Good afternoon interns,

As you all know, you are all vying for the 15 openings to be offered at the end of the internship. Another chance has come up for you to show us that you deserve one of those positions here at Firmament Financials Inc. New clients, Mr. and Mrs. Perez are planning on starting a family and would like to start saving for their child’s college education. The want to know what they can afford when their child is ready for college. They would like to utilize our Yearly College Savings Plan which grows a yearly deposit at an APR of 15% with continuous compounding. Your job is to analyze their information and come up with feasible recommendations. Their information can be found in the email they sent. Of course, you will be graded on your analysis. A grading rubric has been provided.

Good luck interns!

Dear Ms. Robles,

As satisfied customers of Firmament Financial, we of course look to you to help us save for our upcoming child’s college education. We feel that we can afford $100 per month for the 18 years until college in your College Savings Plan. We have a list of universities that we have researched with the approximate cost per year for each. Which if any of the university options will we be able to afford for our child? We would prefer to send them to an elite private university if we can afford it.

Anthony & Veronica Perez

6. Rebecca is a policy-maker and she wants to design a fair income taxation system, based on the principle that effort should be rewarded, while economic gains coming from advantages not earned through effort should be redistributed. In other words, she wants to level the playing field. In her world, people only differ in their ability to pay and are otherwise identical. Assume that income is a good proxy for ability (to pay). This assumption implies that high earners have high ability. Assume also that ability is randomly given to each individual at birth and that it remains constant over time. Would Rebecca design a system in which high-earners are taxed more or are taxed less than low-earners? Why?

A university student typically spends 15 hours a week on part-time jobs. An officer at a university wants to determine if this amount has changed with the current recession and increase in tuition fees. A sample of 39 students who hold part-time jobs is summarized and has sample mean, = 16.69 and sample standard deviation, s = 7.61.

a) Investigate if there is a reason to believe that there is a change in the average amount of time per week a student spent working pad time at the 1% level of significance

b) What is the rejection region to reject the null hypothesis?

A university student typically spends 15 hours a week on part-time jobs. An officer at a university wants to determine if this amount has changed with the current recession and increase in tuition fees. A sample of 39 students who hold part-time jobs is summarized and has sample mean, = 16.69 and sample standard deviation, s = 7.61.

a) Investigate if there is a reason to believe that there is a change in the average amount of time per week a student spent working pad time at the 1% level of significance

b) What is the rejection region to reject the null hypothesis?

A study of undergraduate computer science students examined changes in major after the first year. The study examined the fates of 256 students who enrolled as first-year students in the same fall semester. The students were classified according to gender and their declared major at the beginning of the second year. The students studied were enrolled at a large Midwestern university several years ago. Discuss how you would conduct a similar study at a college or university of your choice today. Include a description of all variables that you would collect for your study.

A study of undergraduate computer science students examined changes in major after the first year. The study examined the fates of 256 students who enrolled as first-year students in the same fall semester. The students were classified according to gender and their declared major at the beginning of the second year. The students studied were enrolled at a large Midwestern university several years ago. Discuss how you would conduct a similar study at a college or university of your choice today. Include a description of all the variables that you would collect for your study.

A study of undergraduate computer science students examined changes in major after the first year. The study examined the fates of 256 students who enrolled as first-year students in the same fall semester. The students were classified according to gender and their declared major at the beginning of the second year. The students studied were enrolled at a large Midwestern university several years ago. Discuss how you would conduct a similar study at a college or university of your choice today. Include a description of all variables that you would collect for your study.

Baird Company began operations on January 1, 2018, by issuing common stock for $32,000 cash. During 2018, Baird received $56,400 cash from revenue and incurred costs that required $38,400 of cash payments.

Prepare a GAAP-based income statement and balance sheet for Baird Company for 2018, under each of the following independent scenarios:

Baird is a manufacturing company. The $38,400 was paid to purchase the following items:

(1) Paid $3,400 cash to purchase materials that were used to make products during the year.

(2) Paid $2,340 cash for wages of factory workers who made products during the year.

(3) Paid $17,960 cash for salaries of sales and administrative employees.

(4) Paid $14,700 cash to purchase manufacturing equipment. The equipment was used solely to make products. It had a three-year life and a $2,400 salvage value. The company uses straightline depreciation.

(5) During 2014, Lang started and completed 2,400 units of product. The revenue was earned when Lang sold 2,000 units of product to its customers.

*** Need help with income statement and balance sheet**** Please provide step by step

Why must amounts received in advance from customers be deferred?

a. The customer may not pay the entire balance due

b. The company receiving payment has not earned the amount

c. The customer has a right of return

d. All of the above are reasons to defer