a. In a common-size analysis, what percentage would you show for Income taxes for 2010?

b. In a vertical, common sized analysis, what percentage would you show for Operating expenses for 2009?

c.

What percentage of sales was the gross profit margin in 2010?

Before the audit report was signed, the audit team encountered the following situation. Treat each situation independently and assume the remaining financial statements are fine. The audit report was signed on 5 August 2020, The financial statements were signed by the BoD on the same day, which was subsequently released to shareholders on 12 August 2020.

1) A property owned by Cook’s Furniture Ltd was sold to Lidia Preston, the wife of Howard Cook in June 2020 (refer to case description in part A). The property has a market value of four million and was sold at 3.2 million. Management did not disclose this in the financial statement because they believed this was a private matter. The disposal of this asset has been appropriately accounted for on the financial statements (e.g. the asset was removed from PPE and the loss of disposal was correctly recognised as an expense).

2) The subsequent selling price of the ready-made furniture range suggests the inventory valuation as at 30 June 2020 should be written down by $48,000 but management only wrote $38,000 off as per the financial statements because they were confident that they can increase the selling price again in 2021 after people settling back to normality.

3) Carl Cook decided to retire in 2021 due to health reasons, Carl is willing to sell his shareholding to the remaining shareholders. However, the BoD decided to explore the potential of selling the business. By the time to sign the 2020 financial statements, the company has not commenced a negotiation with any potential buyer. The BoD said to the auditor that they may not sell the business if they cannot get a good deal. Carl’s retirement decision is disclosed on the financial statements, but not the intention to sell the business.

REQUIRED:

For each of the above situation:

a) Discuss the audit procedure that the auditor needs to perform in relation to each situation.

b) Explain which audit opinion is appropriate for each situation.

It is December 31, 2019. You just borrowed $150,000 to purchase some land. You made no down payment, the loan term is 15 years and carries an interest rate of 10%. The annual payment on this loan is $19,721, and your annual payment is on December 31 of each year (you will make your first payment on December 31, 2020).

A. Complete the first few lines of the amortization schedule below:           

B. What is the interest expense on the loan for the first year (2020), and on which financial statement(s) will it go? $15,000, Cash Flow, Income, Balance Sheet

C. How much principal is due within the first 12 months (through December 31, 2020), and where would it appear on the financial statements?

Periodic Payment – Interest Portion = Principal payment

$4721

D. How much principal is remaining beyond 12 months, and where would it appear on the financial statements?

E.   How much accrued interest would appear on the balance sheet as of July 15, 2020?

It is now February 28, 2022 (you made your last payment on December 31, 2021). See your amortization schedule in Part A for loan balances.

A.        How much interest will you owe by the end of this year (2022)?

B.        How much principal will you repay this year?

C.        How much principal is remaining beyond 12 months?

D.        How much accrued interest would go on the February 28, 2022 Balance Sheet?

Tony and Suzie purchased land costing $500,000 for a new camp in January 2020. Now they need money to build the cabins, dining facility, a ropes course, and an outdoor swimming pool. Tony and Suzie first checked with Summit Bank to see if they could borrow another million dollars, but unfortunately the bank turned them down as too risky. Undeterred, they promoted their idea to close friends they had made through the outdoor clinics and TEAM events. They decided to go ahead and sell shares of stock in the company to raise the additional funds for the camp. Great Adventures has two classes of stock authorized: 9%, $10 par preferred, and $1 par value common.

When the company began on July 1, 2018, Tony and Suzie each purchased 12,500 shares of $1 par value common stock at $1 per share. The following transactions affect stockholders’ equity during 2020, its third year of operations:

July 2 Issue an additional 110,000 shares of common stock for $9 per share.

September 10 Repurchase 11,000 shares of its own common stock (i.e., treasury stock) for $12 per share.

November 15 Reissue 5,500 shares of treasury stock at $13 per share.

December 1 Declare a cash dividend on its common stock of $129,500 ($1 per share) to all stockholders of record on December 15.

December 31 Pay the cash dividend declared on December 1.

Required:

1. Record each of these transactions.

2. Great Adventures has net income of $147,000 in 2020. Retained earnings at the beginning of 2020 was $137,000. Prepare the stockholders’ equity section of the balance sheet for Great Adventures as of December 31, 2020.?

give a recommendation for Germany economy  from 1980 to 2010

What are the provisions and implications of the Affordable Care Act of 2010 ?

A 2017 study selecting a sample of 300 cars traveling daily on a highway revealed that 170 were driven by women. With a significance level of 90% find the confidence interval for the sample indicated.

According to a 2010 study, 52 out of every 100 drivers are female. Based on the results of the constructed interval, can you conclude that more women will be driving on the highway in 2017 than indicated in the 2010 study?

Refer to Table 10-6 below. Calculate this country's real GDP for each of the following years, 2008, 2009, 2010 and 2011.

J&C, Inc., had the following Net Income (Loss) from 2010 – 2013. Determine their Ending Retained Earnings amount for each year.