Hewlett-Packard Company (HPQ) reports the following in its 2007 10-K report.

HPQ footnotes to its 10-K provide the following additional information relating to its allowance for doubtful accounts.

(a) What is the gross amount of accounts receivables for HPQ in fiscal 2007 and 2006?

(b)What is the percentage of the allowance for doubtful accounts to gross accounts receivable for 2007 and 2006? (Round your answers to two decimal places.)

(c)What amount of bad debts expense did HPQ report each year 2005 through 2007? What amount was actually written off?

Which of the following statements describes how bad debts expense compares with the amounts of its accounts receivable actually written off?

Generally, HP has overestimated its accruals, which has deflated profit by the over-accrual of bad debts.

Generally, HP has underestimated its accruals, which has inflated profit by the under-accrual of bad debts.

The difference between bad debt expense and write-off during the three years is insignificant so it appears that profit has been fairly stated.

The difference between bad debt expense and write-off during the three years has inflated HPQ's cash flows reported.

(d)Compute HPQ's write-offs as a percentage of the allowance account at the beginning of the year (Round your answers to two decimal places).
2007 write-offs as a percentage of beginning of year allowance: Answer%
2006 write-offs as a percentage of beginning of year allowance: Answer%
What inferences can we draw as a result of changes in the allowance for doubtful accounts from 2006 to 2007?

HPQ's write-offs as a percentage of the allowance decreased from 2006-2007. By this measure it appears that HPQ is accurately accruing for anticipated credit losses.

The allowance for uncollectible accounts has decreased as a percentage of gross accounts receivable in 2007. We can , therefore, expect write-offs to increase.

The allowance for uncollectible accounts has decreased as a percentage of gross accounts receivable in 2007. This means that HPQ is over-stating its bad debt expense in the current year.

HPQ's write-offs as a percentage of the allowance decreased from 2006-2007. The reduction in write-off is reflected in their income statement as a corresponding reduction of bad debt expense and an increase in profit.

READ AND SUMMARIZE THE FINDINGS ABOUT THE DIFFERENCES OF IFRS AMONG COUNTRIES:

We present an index that can be used to distinguish between countries according to their institutional setting for the audit of financial statements and the enforcement of

compliance with accounting standards. The pursuit of comparable financial reporting and adoption of IFRS has highlighted differences in institutional setting between

countries that may influence the quality of IFRS reporting (Ball, 2006; Brown, 2011). The role of audit and accounting enforcement is arguably crucial to the application

of IFRS. The IFRS Foundation’s staff has supported calls by the World Bank for an international infrastructure to support the application of IFRS, emphasising that accounting quality is not a function of accounting standards alone (Hegarty et al., 2004;IASB, 2012). With the development of cross-country IFRS studies, researchers need

effective proxies to control for differences between countries in their institutional setting.

Our index represents a first attempt at ranking countries specifically on factors affecting the strength of audit and the level of enforcement activities relating to We present an index that can be used to distinguish between countries according to their institutional setting for the audit of financial statements and the enforcement of compliance with accounting standards. The pursuit of comparable financial reporting and adoption of IFRS has highlighted differences in institutional setting between countries that may influence the quality of IFRS reporting (Ball, 2006; Brown, 2011).

The role of audit and accounting enforcement is arguably crucial to the application of IFRS. The IFRS Foundation’s staff has supported calls by the World Bank for an

international infrastructure to support the application of IFRS, emphasising that accounting quality is not a function of accounting standards alone (Hegarty et al., 2004;IASB, 2012). With the development of cross-country IFRS studies, researchers need effective proxies to control for differences between countries in their institutional setting.

Our index represents a first attempt at ranking countries specifically on factors affecting the strength of audit and the level of enforcement activities relating to 16 has double the enforcement activity of a country scoring 8, although that is the literal interpretation of the numbers. Our aim is to provide a ranking of countries on enforcement in 3 years, using the index numbers to do so. At best, we can show how countries are positioned relative to their peers and how their position has changed over the study period. Nevertheless, our index improves on other indices by capturing, directly, differences between countries in their audit environments and enforcement of financial reporting requirements during a watershed period. Preliminary analysis supports this view.

There are many research opportunities to employ the index we present. For example, studies continue to address important questions about the consequences of adopting IFRS, often by considering the effect of the change of standards on the quality of financial statements or capital market outcomes. As another example, our index should be useful when the design of a study requires a measure of differences in the likelihood a country is monitoring compliance with accounting standards,including IFRS, and taking action on cases of non-compliance

The following is a list of 29 Nascar racers, arranged in descending order.
18, 21, 22, 25, 26, 27, 29, 30, 31, 33, 36, 37, 41, 42, 47, 52, 55, 57, 58, 62, 64, 67, 69, 71, 72, 73, 74, 76,77

-Find the % for the data value 74.

-Find the % for the data value 30

-Calculate the 44th percentile

-Calculate the 7th percentile

Consider the following table:

Fill in the missing data, using the quantity equation of money.

Why might velocity change in this way?

Calculate the average inflation rate between 2006 and 2009 and between 2009 and 2012.

If velocity had remained at the 2006 level, what would the deflator have been in 2009 and 2012, assuming real GDP and money are as in the table?

A relatively new firm has the dividend payment history. Suppose this stock sells for $8 per share. Estimate the shareholders' required rate of return using the dividend discount model with the following:

A. The dividend growth rate calculated over the firm's entire history.

B. The growth rate calculated over the actual dividend paying history only.

C. Why are the two answers different? Which do you think is most meaningful?

Table 9-10

Year dividends

2000 0

2001 0

2002 0

2003 0

2004 .10

2005 .13

2006 .15

2007 .18

Brown Inc.​'s annual dividends are indicated below. Find the required rate of return for this​ stock, assuming the future dividend growth rate will remain the same and the company has an infinite horizon. Assume the January​ 1, 2011 price of the stock was $39.00. What was the required return for Brown Inc.Brown Inc.​'s stock?

What was the estimated annual required return for Brown Inc.​'s ​stock? ​(Round to two decimal​ places.)

Given the following price data for EA and the Market Index (DIA) from 2000 to 2015, find the returns for each price series, then calculate the beta for EA's stock. (Round to 3 decimals)

How much money would you have by the end of 2019? Problem 4. Hard problem: Suppose that you invested $x in 1980. Plot the amount of money you would have in 2019 for all values of $x between $0 and $100,000. Solve using R Studio