Golfy Golf Inc. was opened on April 1 by Wee Snaw. These selected events and transactions occurred during April.

Question: Journalize the April transactions. Golfy Golf’s records golf fees as service revenue.

If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.

Record journal entries in the order presented in the problem

Orange & Co is the motor insurance company established on 1^st January 2005. The company is well known and generating positive cash flows for the first 10 years. From the year 2015, the Orange & Co profit was on declining trend. To make different corrective actions, the CEO of a company decided to change the CPA firm. The company hired Purple & co as a new CPA firm. Now suppose you are working in Purple & Co, and your CEO assigned you to perform audit procedures for the client Orange & Co and obtain sufficient audit evidence.

Required:

1. What are the different types of audit procedures that you as an auditor is planning to perform/adopt during audit process?

b. Support each type of audit procedure with relevant example. (10 marks

Zachary Company began operations on January 1, 2018, by issuing common stock for $37,000 cash. During 2018, Zachary received $56,200 cash from revenue and incurred costs that required $37,200 of cash payments.

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

Zachary is a manufacturing company. The $37,200 was paid to purchase the following items:

(1) Paid $3,200 cash to purchase materials that were used to make products during the year.

(2) Paid $3,860 cash for wages of factory workers who made products during the year.

(3) Paid $8,940 cash for salaries of sales and administrative employees.

(4) Paid $21,200 cash to purchase manufacturing equipment. The equipment was used solely to make products. It had a four-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 1,900 units of product to its customers.

All Tunes Satellite Radio (ATS) provides a subscription service to satellite radio channels. Customers can pay for a subscription on a monthly basis, or pay for a year in advance and receive a 15% discount. Approximately 53% of customers pay in advance. When ATS receives payment in advance, a deferred revenue account (Unearned Revenue) is credited. At the end of each month as the satellite radio service is provided to customers, ATS makes an adjusting entry to recognize subscription revenue. The audit team is planning a reliance on controls strategy to obtain evidence of revenue recognition for ATS. The team will be testing internal controls over the recognition of subscription revenue during interim.

Explain the type of audit strategy planned by the audit team for gathering evidence about revenue recognition.

Suppose during the interim testing of internal controls the team discovers a significant number of instances in which subscription revenue received in advance is recognized immediately as revenue. Analyze how the audit strategy will be impacted.

Change in Estimate versus Error Correction Facts: Your company, PlumbAll, provides routine and quick response plumbing services to a range of corporate customers. Customers are expected to pay on the first of each month, in advance of receiving services. One of your customers is a private school that has been a longtime customer. The customer has not paid for the last four months of services (September–December 20X1); nevertheless, to maintain a positive relationship, your company continued to provide services during that time. Your company ceased providing services in January 20X2 and found out in that same month that the school filed for bankruptcy in August. You now believe that the collection of the missed payments is extremely unlikely. Your company has already issued financial statements to lenders (for the period ending 12/31/X1) that reflected revenue and a corresponding account receivable related to this customer of $11,000 per month for services provided to this customer. Those financial statements also reflected the company’s standard allowance (reserve) amount on receivables of 3% of sales. In total, your company’s average monthly sales amount to $300,000.

Required:

1. Evaluate whether receipt of this information indicates you have a change in estimate or whether the customer’s bankruptcy results in this event being considered an error in previously issued financial statements.

2. Describe the accounting treatment required by the Codification for each alternative. Support your explanations with draft journal entries.

3. Briefly state which treatment appears to be more appropriate given the circumstances, describing any assumptions you made in concluding.

Returns earned over a given time period are called realized returns. Historical data on realized returns is often used to estimate future results. Analysts across companies use realized stock returns to estimate the risk of a stock.

Consider the case of Celestial Crane Cosmetics Inc. (CCC):

Five years of realized returns for CCC are given in the following table. Remember:

Given the preceding data, the average realized return on CCC’s stock is ___ .

The preceding data series represents   of CCC’s historical returns. Based on this conclusion, the standard deviation of CCC’s historical returns is___ .

If investors expect the average realized return from 2012 to 2016 on CCC’s stock to continue into the future, its coefficient of variation (CV) will be ___ .

Returns earned over a given time period are called realized returns. Historical data on realized returns is often used to estimate future results. Analysts across companies use realized stock returns to estimate the risk of a stock.

Consider the case of Falcon Freight Inc. (FF):

Five years of realized returns for FF are given in the following table. Remember:

Given the preceding data, the average realized return on FF’s stock is----- .

The preceding data series represents--- of FF’s historical returns. Based on this conclusion, the standard deviation of FF’s historical returns is -- --- .

If investors expect the average realized return from 2012 to 2016 on FF’s stock to continue into the future, its coefficient of variation (CV) will be ----- .

Suppose that you are a consultant that gives advice to small entrepreneurial firms that want to become corporations. As you know, becoming incorporated and publicly-traded (issuing common stock) involves adopting Articles of Incorporation, which establish the corporation’s Board of Directors structure, the number of authorized and issued shares, voting procedures, etc.

Today, a client walks in your office and explains that she has successfully operated a small restaurant for many years and is ready to expand. Therefore, she wishes to incorporate and raise enough common equity to open new locations all over Texas.

The client, however, is concerned about other firms trying to acquire control of her firm in the future and asks your advice about 1) what voting rules, if put in the articles of incorporation, might discourage a takeover, 2) whether the number of directors and the timing of their re-election is an important consideration, and 3) if there are any other ideas you might have to help her fend off possible take-over attempts. Give her some advice.

Please answer the following Question in detail of the following question in 350 Word count in your own words. Please cite your reference from internet search. please answer each question individually. Perform an internet search for a current health care organization of your choice (preferably publicly traded for-profit organizations because these organizations must report all financial data and make it available to the public). In your search, select and evaluate the report of the financial information from the past 4 quarters or more. Complete the following for this assignment:

• Search the Internet for assistance in completing applicable financial calculations for this assignment.

• Using the statements that you located, provide a financial plan that will do the following:

o Create projected financial statements to analyze effects of alternate operating assumptions on the firm’s financial condition

o Determine the projected financial requirements that will be needed to support each of the 3 sets of alternate operating instructions

o Forecast the financial sources that might be needed to support your alternative assumptions

o Assess the projected results using a financial condition analysis to the forecasted data

Returns earned over a given time period are called realized returns. Historical data on realized returns is often used to estimate future results. Analysts across companies use realized stock returns to estimate the risk of a stock. Consider the case of Happy Dog Soap Inc. (HDS): Five years of realized returns for HDS are given in the following table. Remember: 1. While HDS was started 40 years ago, its common stock has been publicly traded for the past 25 years. 2. The returns on its equity are calculated as arithmetic returns.

3. The historical returns for HDS for 2014 to 2018 are: 2014 2015 2016 2017 2018 Stock return 22.50% 15.30% 27.00% 37.80% 11.70% Given the preceding data, the average realized return on HDS’s stock is . The preceding data series represents of HDS’s historical returns. Based on this conclusion, the standard deviation of HDS’s historical returns is . If investors expect the average realized return from 2014 to 2018 on HDS’s stock to continue into the future, its coefficient of variation (CV) will be