Based on the company Mc Donalds

Describe the position of the company as of March of this year (Meaning tell me the Balance sheet or Income statement position) and show how they reflect the activity and financial condition of the company based on the Cash Flow Statement Explain the securities markets the company is traded with. Identify the company's strengths, weaknesses, opportunities, and threats of information technology for businesses.

Dobbs Wholesale Antiques makes all sales under terms of FOB shipping point. The company usually ships inventory to customers approximately one week after receiving the order. For orders received late in December, Kathy Dobbs, the owner, decides when to ship the goods. If profits are already at an acceptable level, Dobbs delays shipment until January. If profits for the current year are lagging behind expectations, Dobbs ships the goods during December.

Requirements

1.   Under Dobbs’s FOB policy, when should the company record a sale?

2.   Do you approve or disapprove of Dobbs’s manner of deciding when to ship goods to customers and record the sales revenue? If you approve, give your reason. If you disapprove, identify a better way to decide when to ship goods. (There is no accounting rule against Dobbs’s practice.)

Under Dobbs’s FOB policy, when should the company record a sale?

Do you approve or disapprove of Dobbs’s manner of deciding when to ship goods to customers and record the sales revenue? If you approve, give your reason. If you disapprove, identify a better way to decide when to ship goods. (There is no accounting rule against Dobbs’s practice.)

Financing S&S Air's Expansion Plans with a Bond Issue

Mark Sexton and Todd Story, the owners of S&S Air, have decided to expand their operations. They instructed their newly hired financial analyst, Chris Guthrie, to enlist an underwriter to help sell $35 million in new 10-year bonds to finance construction. Chris has entered into discussions with Renata Harper, an underwriter from the firm of Raines and Warren, about which bond features S&S Air should consider and what coupon rate the issue will likely have. Although Chris is aware of the bond features, he is uncertain about the costs and benefits of some features, so he isn't sure how each feature would affect the coupon rate of the bond issue. You are Renata's assistant, and she has asked you to prepare a memo to Chris describing the effect of each of the following bond features on the coupon rate of the bond. She would like you to list any advantages or disadvantages of each feature.

1. The security of the bond-that is, whether the bond has collateral.

2. The seniority of the bond.

3. The presence of a sinking fund.

4. A call provision with specified call dates and call prices.

5. A deferred call accompanying the call provision.

6. A make-whole call provision.

7. Any positive covenants. Also, discuss several possible positive covenants S&S Air might consider.

8. Any negative covenants. Also, discuss several possible negative covenants S&S Air might consider.

9. A conversion feature (note that S&S Air is not a publicly traded company).

10. A floating-rate coupon.

1.         You are engaged to examine the financial statements of Spitalfields Company for the year ended December 31. Assume that on October 1, Spitalfields borrowed $600,000 from Third National Bank to finance its plant expansion. The long-term note agreement provided for the annual payment of principal and interest over 5 years. The existing plant was pledged as security for the loan. Due to unexpected difficulties in acquiring the building site, the plant expansion did not begin on time. To use the borrowed funds, management decided to invest in stocks and bonds and on October 16, invested the $600,000 in publicly traded securities.

Required:

Develop specific assertions (audit objectives) related to securities (assets) based on management’s five (PCAOB) general assertions.

2.         GAAS require auditors to be independent. Included within this standard are the concepts of independence in fact and independence in appearance.

            Required:

            a.         Define independence in fact and independence in appearance.

b.         What two general types of relationships would normally compromise auditors’ independence?

3.         The preparation of audit documentation is an integral part of an auditor’s examination of financial statements. On a recurring engagement, auditors review the audit plans and audit documentation from the prior year to determine their usefulness for the current-year work.

            Required:

            a.         (1) What are the purposes or functions of audit documentation?

                        (2) What records may be included in audit documentation?

b.         What factors affect the auditors’ judgement of the type and content of the audit documentation for a particular engagement?

c.         What should be included in audit documentation to support auditors’ compliance with GAAS?

d.         How can auditors make the mot effective use of the prior-year audit plans in a recurring audit?

Weight gain during pregnancy. In 2004, the state of North Carolina released to the public a large data set containing information on births recorded in this state. This data set has been of interest to medical researchers who are studying the relationship between habits and practices of expectant mothers and the birth of their children. The following histograms show the distributions of weight gain during pregnancy by 855 younger moms (less than 35 years old) and 136 mature moms (35 years old and over) who have been randomly sampled from this large data set. The average weight gain of younger moms is 30.87 pounds, with a standard deviation of 14.32 pounds, and the average weight gain of mature moms is 29.32 pounds, with a standard deviation of 13.43 pounds. Do these data provide strong evidence that there is a significant difference between the two population means? Conduct a hypothesis test. Round all numeric answers to 4 decimal places.

1. Which set of hypotheses should the researcher use?
A. ?0H0: ?1−?2=0p1−p2=0, ??HA: ?1−?2≠0p1−p2≠0
B. ?0H0: ?1−?2=0μ1−μ2=0, ??HA: ?1−?2>0μ1−μ2>0
C. ?0H0: ?1−?2=0μ1−μ2=0, ??HA: ?1−?2≠0μ1−μ2≠0
D. ?0H0: ?1−?2=0p1−p2=0, ??HA: ?1−?2<0p1−p2<0

2. Calculate the test statistic. t =

3. Calculate the p-value for this hypothesis test.
p value =

4. Suppose that a researcher today decides to replicate this study. Using the information from the 2004 study, they calculate an effect size of 0.11. Next, they obtain a new sample of 124 younger moms and a new sample of 86 mature moms and, using their new sample data, conduct the same hypothesis test. They calculate a p-value of 0.266 and an effect size of 0.096. Does their new study confirm or conflict with the study from 2004?
A. The researcher cannot make a comparison because the sample sizes are not the same.
B. It confirms the 2004 study because the effect sizes are nearly the same.
C. It contradicts the 2004 study because the effect sizes are not exactly the same.
D. It contradicts the 2004 study because the p-value is larger.
E. It confirms the 2004 study because the sample of moms from today is independent of the sample of moms from 2004.

Changes in Education Attainment: USE SOFTWARE - According to the U.S. Census Bureau, the distribution of Highest Education Attainment in U.S. adults aged 25 - 34 in the year 2005 is given in the table below.

Census: Highest Education Attainment - 2005

In a survey of 4000 adults aged 25 - 34 in the year 2013, the counts for these levels of educational attainment are given in the table below.

Survey (n = 4000): Highest Education Attainment - 2013

The Test: Test whether or not the distribution of education attainment has changed from 2005 to 2013. Conduct this test at the 0.05 significance level.

(a) What is the null hypothesis for this test?

H₀: p₁ = p₂ = p₃ = p₄ = p₅ = 1/5

H₀: The distribution in 2013 is different from that in 2005.     

H₀: p₁ = 0.14, p₂ = 0.48, p₃ = 0.08, p₄ = 0.22, and p₅ = 0.08.

H₀: The probabilities are not all equal to 1/5.

(b) The table below is used to calculate the test statistic. Complete the missing cells.
Round your answers to the same number of decimal places as other entries for that column.

(c) What is the value for the degrees of freedom?  

(d) What is the critical value of χ²? Use the answer found in the χ²-table or round to 3 decimal places.
t_α =  

(e) What is the conclusion regarding the null hypothesis?

reject H₀

fail to reject H₀    

(f) Choose the appropriate concluding statement.

We have proven that the distribution of 2013 education attainment levels is the same as the distribution in 2005.

The data suggests that the distribution of 2013 education attainment levels is different from the distribution in 2005.     

There is not enough data to suggest that the distribution of 2013 education attainment levels is different from the distribution in 2005.

Your company currently sells its product with a 3% discount to customers who pay cash immediately. Otherwise the full price is due within 30 days. Half of your customers take advantage of the discount. You are considering dropping the discount so that your new terms would just be net 30. If you do that, you expect to lose some customers who were only willing to pay the discounted price, but the rest will simply switch to taking the full 30 days to pay . Altogether, you estimate that you will sell 40 fewer units per month (compared to 500 units currently). Your variable cost per unit is $60 and your price per unit is $100. If your required return is 1% per month, what is the change in value after you switch to the new credit policy

Comprehensive Accounting Cycle Review 5-02 (Part Level Submission)

On November 1, 2022, Kingbird had the following account balances. The company uses the perpetual inventory method.

During November, the following summary transactions were completed.

(b)

Journalize the November transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Round answers to 0 decimal places, e.g. 5,275. Record journal entries in the order presented in the problem.)