You are a nonprofit consultant who has been asked to advise the Board of Drivers-R-Us. Drivers-R-Us is a 501(c)(3) whose mission is to provide rides for seniors to medical appointments. The nonprofit, Drivers-R-Us, has been run very well by the Executive Director (ED) for many years. In fact, the board members, who are mostly retired seniors themselves, have done little but show up and approve whatever the ED suggested. But, lately the ED has been poorly prepared for meetings, fundraising has declined, and the employees seem dissatisfied. Even some of the seniors have complained about rides that never materialized causing them to miss appointments. The board members have no clue how to run the organization as the ED has always done that, realize they need help and fast! So, the Board hires you to provide them with advice on governance. Tell me what you would do. Included in your advice to the board instructions about their legal responsibilities. Identify and define the three concepts that summarize the legal responsibilities of a nonprofit board. Explain why these are important and relevant to this case.

University Backpacks (Part 1)
You are the owner-manager of University Backpacks, a company that you started this year (20X1). The company sells backpacks to students attending several local colleges in the area. Your company sells two types of backpacks: those for transporting laptop computers and smaller ones not intended for laptop storage. The latter type comes in two styles, with dividers and zippered pockets and without. All back-packs carry the unique logos of the colleges in the community. For this right, University Backpacks pays a licensing fee on a percentage-of-sales basis. You order only enough inventory to meet immediate sales, so there is no inventory at year end. Few alterations or adjustments are made to the backpacks received from your wholesaler. However, in addition to affixing the local college emblems, customers sometimes request special stitching or the addition of extra patches to meet their own unique tastes. During its first year of business, University Backpacks sold 3,800 backpacks (almost evenly split between laptop and non-laptop styles) and reported the following operating results:
University Backpacks

Actual Income Statement

For the Year Ended December 31, 20X1

Sales $152,000
Cost of Sales 113,256

Gross Profit $38,744
Expenses:

Advertising 5,000
Licensing fee 6,200

Depreciation 2,500
Insurance 2,700

Miscellaneous 1,688
Payroll Taxes (on owner’s salary) 2,000

Owner’s Salary 20,000

Storage 1,000
Income Taxes (Refund) (2,503)

Telephone 2,500
Travel and Entertainment 3,500

Total Expenses 44,585
Net Loss $(5,841)

1. Review the above income statement (prepared in accordance with generally accepted accounting principles) and determine which costs are fixed and which are variable.
2. Using the information provided above and in the income statement, answer the following questions: a. What is the contribution margin per unit? b. What is the breakeven point in units? c. What is the contribution margin ratio? d. What is the breakeven point in sales dollars? e. How many units must be sold to produce a target profit of $25,000? f. How many dollars of sales must be generated to produce a target profit of $25,000? g. What is the margin of safety with a target profit of $25,000?

A) A large insurance company offers group disability insurance products to businesses, which in turn offer the product to their employees. Pricing policies to prevent a loss is difficult. Since it is difficult to know exactly which employees are more prone to file claims, it is hard to price policies accurately. If policies are priced too low, high-risk clients will be attracted and losses incurred. If policies are priced too high, not enough clients will be attracted. Compounding this factor is the fact that companies are motivated to exaggerate their safety in order to negotiate a lower price.  

What problem is being described in this scenario?  

What types of activities can the insurance company undertake to distinguish between customers with a low probability versus a high probability of claiming?

B)The large accommodation chains like Marriott, Accor do not run individual hotels themselves but rather lease the naming rights to a franchisee who leases the building from a property trust. What are the main advantages for hotel chains of not directly operating the hotel? What are the main disadvantages of the franchisee not owning the building?   

Working from home (or WFH) has an undeservedly bad reputation, says Stanford economist Bloom. Based on research comparing the productivity of those who are “home working on their couches or in their pajamas” with those commuting and sitting in a cubicle 8 hours a day, Bloom says no one should be afraid to tell their boss they are working at home. Here is the evidence you need to convince your supervisor to let you give it a try. Nicholas (Nick) Bloom is the William Eberle Professor of Economics at Stanford University, a Senior Fellow of SIEPR, and a Co-Director of the Productivity, Innovation and Entrepreneurship program at the National Bureau of Economic Research. His research focuses on management practices and uncertainty. He previously worked at the UK Treasury and McKinsey & Company. He is a Fellow of the American Academy of Arts and Sciences, and the recipient of awards including an Alfred Sloan Fellowship, the Bernacer Prize, the European Investment Bank prize, the Frisch Medal, the Kauffman Medal and a National Science Foundation Career Award. He has a BA from Cambridge, an MPhil from Oxford, and a PhD from UCLA.

So what do you think? Do you want to work from home? Why or Why not? If you are the boss, how would you manage employees working from home?

Using Purdue's University College of Agriculture as an example, discuss how you think this technology could help U. S. farmers. For example, how can this technology help farmers in your area or state who use underground aquifers to water their crops more efficiently?

My state is Georgia

You are the manager of a business that is losing money due to COVID and the CEO is pushing you hard to fix things.

You have many employees who are also effected by COVID.

Your financial statements show that you must cut employment costs by 50 percent. If you do not do this you will go out of business. You made the decision for the entire company: except for two employees.  Miss. Jackson and Jerome Edwards.

Tip 1: Remember from Chapter 1 the goal of the Financial Manager is to maximize the wealthy of your company.  

Tip 2: What about the human component? This is never covered in the text. This is on YOU as a manager.

Facts below.

_________________________________________________________________

Miss. Jackson is one of your best employees, she has worked for you for 10 years, and recently she has lost two family members to COVID. Miss. Jackson is not doing well. If she is furloughed she risks losing her house and everything she has worked for over the years. Her performance has decreased due to these major life issues. She suffers from depression and sleep issues due to the stress. She has not communicated these circumstances to you because she is overwhelmed and she is afraid of losing her job. However you know, based upon her performance, she is going through rough times.  Miss. Jackson earns $60,000 a year.

Jerome Edwards is a new and upcoming employee that obtained his MBA from UNCFU with a 3.9 GPA and he is Miss. Jackson's subordinate. Jerome meets deadlines and shows no emotion to the difficulties of COVID. He hits every deadline and has the potential to succeed under any circumstances. When you send him a task he states "I'm on it" and he delivers.  Jerome earns $40,000 a year.

__________________________________________________

I am the CEO of the corporation and I care about people. However I need to keep this business alive.

My request for this answer is to write a 250 word memo to me, the CEO, discussing your decision regarding Miss. Jackson and Jerome.

_________________________________________________

I am a CEO who requires facts and an analysis based on how we can support our employees while keeping the business sustainable.

On April 1, Jiro Nozomi created a new travel agency, Adventure Travel. The following transactions occurred during the company’s first month.

April 1 Nozomi invested $41,000 cash and computer equipment worth $25,000 in the company in exchange for common stock.

April 2 The company rented furnished office space by paying $2,400 cash for the first month’s (April) rent.

April 3 The company purchased $1,200 of office supplies for cash.

April 10 The company paid $2,400 cash for the premium on a 12-month insurance policy. Coverage begins on April 11.

April 14 The company paid $900 cash for two weeks' salaries earned by employees.

April 24 The company collected $15,500 cash for commissions earned.

April 28 The company paid $900 cash for two weeks' salaries earned by employees.

April 29 The company paid $250 cash for minor repairs to the company's computer.

April 30 The company paid $1,350 cash for this month's telephone bill.

April 30 The company paid $1,600 cash in dividends.

The company's chart of accounts follows:

Use the following information:

1. Prepaid insurance of $133 has expired this month.
2. At the end of the month, $400 of office supplies are still available.
3. This month’s depreciation on the computer equipment is $400.
4. Employees earned $400 of unpaid and unrecorded salaries as of month-end.
5. The company earned $2,400 of commissions that are not yet billed at month-end.

Required:
1. & 2. Prepare journal entries to record the transactions for April and post them to the ledger accounts in Requirement 6b. The company records prepaid and unearned items in balance sheet accounts.
3. Using account balances from Requirement 6b, prepare an unadjusted trial balance as of April 30.
4. Journalize the adjusting entries for the month and prepare the adjusted trial balance.
5a. Prepare the income statement for the month of April 30.
5b. Prepare the statement of retained earnings for the month of April 30.
5c. Prepare the balance sheet at April 30.
6a. Prepare journal entries to close the temporary accounts and then post to Requirement 6b.
6b. Post the journal entries to the ledger.
7. Prepare a post-closing trial balance.

Burger King is a fast food restaurant that were in Indonesia in the 1990s re-emerged in the country's culinary market. The retail company, PT Mitra Adiperkasa Tbk (MAP) is now the largest fast food restaurant licensee in the US and their competitor is McDonald. MAP added a new subsidiary on behalf of PT Sari Burger Indonesia to manage Burger King. MAP opened Burger King outlets in mid-2007. In their website, Burger King state that :

Every day, more than 11 million guests visit BURGER KING restaurants around the world. And they do so because our restaurants are known for serving high-quality, great-tasting, and affordable food. Founded in 1954, BURGER KING is the second largest fast food hamburger chain in the world. The original HOME OF THE WHOPPER, our commitment to premium ingredients, signature recipes, and family-friendly dining experiences is what has defined our brand for more than 50 succesful years.

Their ingredients for their Whopper are bun, tomatoes, onions, pickles, tomato sauce, lettuce, gilled meat, and mayo sauce.

QUESTIONS :
a. Could there any spoilage, rework, and scrap first and then relate them to The Whopper.

b. As a consultant, can you give them your advice about minimizing their spoilage, rework, and scrap.

take the final balances and create an Income Statement, Statement of Owner's Equity and Balance Sheet for this company. You can title the company CW Rental Management.

On June 1 of the current year, Chad Wilson established a business to manage rental property. He completed the following transactions during June:

1. Opened a business bank account with a deposit of $30,000 from personal funds.

2. Purchased office supplies on account, $1,800.

3. Received cash from fees earned for managing rental property, $10,000.

4. Paid rent on office and equipment for the month, $4,500.

5. Paid creditors on account, $1,250.

6. Billed customers for fees earned for managing rental property, $16,800.

7. Paid automobile expenses (including rental charges) for the month, $750, and miscel- laneous expenses, $980.

8. Paid office salaries, $4,000.

9. Determined that the cost of supplies on hand was $680; therefore, the cost of supplies used was $1,120.

10. Withdrew cash for personal use, $7,500.