Use the following information to answer questions 26 to 29. In October 1998, 30% of employed adults were satisfied with their chances for promotion. A human resource manager wants to determine if this percentage has changed significantly since then. She randomly selects 280 employed adults and find that 112 of them are completely satisfied with their chances for promotion. Is there sufficient evidence to conclude that the percentage of employed adults satisfied with their chances for promotion is significantly different from the percentage in 1998, at the α = 0.1 level of significance?
The null and alternative hypothesis are: A. H0: p = 0.3 versus H1: p ≠ 0.3 B. H0: p = 0.4 versus H1: p ≠ 0.4 C. H0: p = 0.3 versus H1: p < 0.3 D. H0: p = 0.3 versus H1: p > 0.3 5 puntos PREGUNTA
27 The t statistic is equal to: A. z = 1.65 B. z = -1.65 C. t = 3.65 D. t = -3.65
PREGUNTA 28 The critical value is equal to: A. t = ± 3.65 B. z = ± 1.65 C. z = 3.65 D. z = -1.65
PREGUNTA 29 The conclusion is to Reject the Null Hypothesis Verdadero o Falso
In: Statistics and Probability
A newspaper conducted a statewide survey concerning the 1998 race for state senator. The newspaper took a SRS of n=500 registered voters and found that 175 would vote for the Republican candidate. Let p represent the proportion of registered voters in the state who would vote for the Republican candidate.
We test
H0:p=.04
Ha:p>.04
What is the z-statistic for this test?
What is the P-value of the test?
A random sample of 1000 car owners in a particular city found 200 car owners who received a speeding ticket this year. Find a 95% confidence interval for the true percent of car owners in this city who received a speeding ticket this year. Express your results to the nearest hundredth of a percent.
Answer: ___________to ___________%
In: Statistics and Probability
Groups of dolphins were observed off the coast of Iceland near Keflavik in 1998. The data in the file dolphin_dat on the course website give the time of the day and the main activity of the group, whether travelling quickly, feeding, or socializing. The dolphin groups varied in size. Usually feeding or socializing groups were larger than travelling groups. (Sec. 8.2)
Source of data: Marianne Rasmussen, Department of Biology, University of Southern Denmark, Odense, Denmark.
Activity Period Groups Travel Morning 6 Feed Morning 28 Social Morning 38 Travel Noon 6 Feed Noon 4 Social Noon 5 Travel Afternoon 14 Feed Afternoon 0 Social Afternoon 9 Travel Evening 13 Feed Evening 56 Social Evening 10
Refer to Exercise 1 above.
In: Statistics and Probability
Dave Wooden started Wooden Corporation in 1998 as a small consulting company specializing in streamlining and improving grocery store displays and related inventory configurations.The company has been very successful in improving client ‘bottom lines’ through the use of cutting edge technology to generate fairly accurate information on current consumer trends and opportunities and providing end-results utilizing highly-creative innovations specific to each client.Currently, the company provides these services to a multitude of entities ranging from small, local concerns to some larger, nationally recognized chains.The company itself is a closely held entity with Dave serving as the majority stockholder and president along with a handful of other, unrelated smaller investors.Overall company strategy and primary customer contact is driven by Dave with daily operational activities being led by Dave’s oldest son, Donnie.All remaining activities (primarily administrative and marketing) are guided by Dave’s wife, Sarah. Both Donnie and Sarah each supervise staffs of approximately five individuals that perform the majority of the day-to-day work-load.
Dave (a long-time friend) has recently reached out to you (a licensed CPA in public practice) to “take a look” at the some of the financial information of Wooden Corporation for the year ended 2016. Your analysis will result in the preparation, in proper form, of an unaudited Classified Balance Sheet to be used as supporting documentation in an application for a long-term loan to be used for future growth.
Johnny Gilmer, the internal accountant for Wooden who maintains the company’s financial records, has prepared all the tax returns and financial information for the corporation since January 2, 2010. Gilmer provides you with a Recap of Financial Position providing the information listed below:
Wooden Corporation
Recap of Financial Position (unaudited)
December 31, 2016
ASSETS
Current Assets - 1,823,130
Other Assets - 6,678,700
Total Assets - 8,501,830
An Analysis of Current Assets discloses the following:
Cash and Cash Equivalents - 1,113,195
Investments in Land - 106,500
Accounts Receivable less allowance of $48,000 - 118,710
Inventories (LIFO flow assumption) - 484,725
Total Current assets - 1,823,130
Other Assets include:
Prepaid Insurance 47,073
Buildings (less Accumulated Depreciation of $1,506,310) - 5,123,490
Cash surrender value of life insurance policy - 90,198
Unamortized bond discount - 45,830
Claim for Income Tax Refund - 182,148
Equipment (less Accumulated Depreciation of $153,724) - 642,861
Vehicles (less Accumulated Depreciation of $68,833) - 547,100
Totals 6,678,700
LIABILITIES AND EQUITY
Current Liabilities - 2,450,465
Long-term Liabilities - 1,500,000
Owners Equity - 4,551,365
Total Liabilities and Equity - 8,501,830
Current Liabilities Include:
Accounts Payable - 480,000
Notes Payable (due 2019) - 1,682,213
Income Taxes Payable - 150,000
Premium on Common Stock - 138,252
Totals - 2,450,465
Long-Term Liabilities and Equity Include:
Retained Earnings - 4,551,365
Capital Stock ($10 par, 200,000 authorized, 150,000 issued) - 1,500,000
Totals - 6,051,365
After a preliminary review of the above information, you approach Dave and Johnny with several questions for clarification and the subsequent discussion revealed the following:
*On May 1, 2016, the corporation issued $750,000 of bonds to finance future plant expansion. The proceeds are included in Cash and Cash Equivalents. The long-term bond agreement provided for the annual payment of principal and interest over five years. As of the 2016 year-end, interest due on the bonds has not been recognized in the financial statements.
*In 2013, the ending inventory was overstated by $183,000. The ending inventories for 2014, 2015, and 2016 were correctly computed.
*Insurance amounting to $100,000 was purchased during the year and was expensed when purchased, leaving the balance of prepaid insurance unchanged from the beginning of the period. The balance of unused insurance at the end of 2016 totaled $52,000.
*The Claim for Income Tax Refund stemmed from a Net Operating Loss in 2015 that was carried back to a prior year (2013) and was used to offset income for that year resulting in a refund. The returns were prepared by Gilmer and the carryback appropriately followed Federal Tax guidelines.
*In accordance with GAAP, the Premium on Common Stock represents amounts that all stockholders’ paid in excess of the par value of the stock.
*Income Taxes Payable are the estimated amounts due for 2016 earnings.
*The balance in Accounts Receivable includes a $25,000 balance owed by a particular customer that has signed a written agreement to pay the amount in monthly installments over the next two years with interest. The first payment was made on December 31, 2016 and was recorded as a debit to Cash with a credit to Accounts Receivable for the entire amount (principle and interest). Gilmer plans to adjust Accounts Receivable when the amount is fully paid to recognize interest income at that time and honestly believes that the entire amount will be collected. This way, the adjustment for income will be easy to make since the balance in the account will be equal to the amount of total interest paid. The customer has a record of filing for bankruptcy from time to time.
*In 2016, wages in the amount of $33,000 were not appropriately accrued and were therefore omitted from the balance sheet and not charged to the income statement.
*In 2015, the company replaced the roof on the Administrative building at a cost of $280,000. The replacement was completed in phases over a five month period, paying roughly 20% of the total cost each month. When the roof was replaced, the composition of the roof was changed from an asphalt shingle roof to a clay tile roof for both aesthetic value and to increase the life expectancy. To simplify accounting, the entire amount was expensed as a repair.
*A major competitor has introduced a line of products that will compete directly with Warren’s primary line, now being produced is a specially designed new plant. Because of manufacturing innovations, the competitor’s line will be of comparable quality but priced 50% below the client’s line. The competitor will meet the lower prices that are high enough to cover variable manufacturing and selling expenses, but permit recovery of only a portion of fixed costs.
*The Investment in Land was for the current Administrative Building. The company plans to use the proceeds from the current note application to acquire additional land and begin construction on a new building sometime after 2020.
*In 2016, a gain of $150,000 (net of tax) on the sale of certain plant assets was credited directly to retained earnings.
*Dave refused to release any other information or documentation to you stating the information was proprietary in nature that release of the information would compromise the company’s long-range plans. Therefore, you have all you need to prepare the unaudited Classified Balance Sheet. In addition, Dave has made it very clear that approval of the loan is critical to expand the business and he would pay ‘what-ever is necessary’ for you to produce a document that will assist in the approval.
REQUIREMENTS
Discuss in detail any issues and discrepancies along with the impact on the 2016 year-end unaudited Classified Balance Sheet – you do not need to prepare any financial statements, just analyze the ramifications of the items discussed above.Please discuss each item separately.Your discussion must be at least two pages in length and no more than four pages.Again, you do not need to perform any calculations, just describe the nature if the issue and its effect on Wooden’s financial statements.
In: Accounting
Starting in 1998, Jackson and Sasha have been purchasing Series EE bonds in their name to use for the higher education of their son, Pedro, who currently is age 18. In 2018, they cash in $18,000 of the bonds to use for tuition, fees, and room and board. Of this amount, $4,000 represents interest. Of the $18,000, $10,800 is used for tuition and fees, and $7,200 is used for room and board. Jackson and Sasha AGI, before the educational savings bond exclusion, is $98,000.
If an amount is zero, enter "0".
a. If Jackson and Sasha file a joint, how much
is the savings bond exclusion?
$
b. Assume that Jackson and Sasha purchased the bonds in Pedro's name. Determine the tax consequences for Pedro.
$ of savings bond interest is included in Pedro's gross income.
c. Assume the same facts in part (a) except
Jackson and Sasha file separate returns. Compute the savings bond
exclusion.
$
In: Accounting
A newspaper conducted a statewide survey concerning the 1998 race for state senator. The newspaper took a SRS of ?=1000 registered voters and found that 520 would vote for the Republican candidate. Let ? represent the proportion of registered voters in the state who would vote for the Republican candidate. We test ?0:?=.50 ??:?>.50 (a) The test statistic is ? = (b) P-value =
In: Statistics and Probability
In 1998 a national vital statistics report indicated that about 2.3 % of all births produced twins. Is the rate of twin births the same among very young mothers? Data from a large city hospital found only 9 sets of twins were born to 481 teenage girls. Test an appropriate hypothesis and state your conclusion. Be sure the appropriate assumptions and conditions are satisfied before you proceed.
Are the assumptions and the conditions to perform a one-proportion z-test met?
No Yes
State the null and alternative hypotheses. Choose the correct answer below.
A. H0: pequals0.023 HA: pnot equals0.023
B. H0: pequals0.023 HA: pless than0.023
C. H0: pequals0.023 HA: pgreater than0.023
D. The assumptions and conditions are not met, so the test cannot proceed.
Determine the z-test statistic. Select the correct choice below and, if necessary, fill in the answer box to complete your choice.
A. z= __________ (Round to two decimal places as needed.)
B. The assumptions and conditions are not met, so the test cannot proceed.
Find the P-value. Select the correct choice below and, if necessary, fill in the answer box to complete your choice.
A. P-value+ ______ (Round to three decimal places as needed.)
B. The assumptions and conditions are not met, so the test cannot proceed.
What is your conclusion? Choose the correct answer below.
A) Reject H0. The proportion of twin births for teenage mothers is different from the proportion of twin births for all mothers.
B) Fail to reject H0. The proportion of twin births for teenage mothers is not different from the proportion of twin births for all mothers.
C)Reject H0. The proportion of twins births for teenage mothers is greater than the proportion of twin births for all mothers.
D) The assumptions and conditions are not met, so the test cannot proceed.
In: Statistics and Probability
In 1998, the governor of New York, George Pataki, formulated a $185 million plan to update old Amtrak trains. The purpose of such a project was to make the old trains faster than the more current Amtrak trains. Such a reconstruction would allow for a high-speed rail system between Albany and New York City. Unfortunately, Amtrak produced only one train, and though millions of dollars were poured into the company to fund the project, auditing showed that the company showed little spending on the trains. Problems stemmed in part from the lack of engineering expertise of the Steel Company that was picked to work on the trains. Also, the state's Department of Transportation (DOT) was not experienced in overseeing projects of this type, so little oversight was given to Amtrak. Furthermore, unforeseen problems arose such as air conditioning malfunctions and the removal of asbestos from train cabins. After the plan seemed as though it would never be successful and Amtrak was extremely low on money due to normal operations, the company tried to settle with the state to escape the project. However, the state filed a lawsuit against Amtrak. Amtrak's defense was that both parties made a unilateral mistake because neither party foresaw the problems or extra costs associated with the project that made it unrealistic. How do you think the court decided? [New York v. AMTRAK,2007 U.S. Dist. LEXIS 13045 (N.D.N.Y, Feb. 23, 2007).]
In: Accounting
Distributions from a S Corporation: Dart Company, a calendar year corporation was formed in 1998 and made a proper S election in 2010 that is valid today. Its books and records for 2018 reflect the following information: Accumulated adjustments account at 1-1-18 $30,000 Ordinary income for 2018 $120,000 Accumulated earnings profits at 1-1-18 $60,000 Dart is solely owned by Robert, who basis in his Dart stock was $80,000 on 1-1-18. Answer the following independent questions: 1. If Dart distributed $20,000 to Robert, how much is taxable as a dividend? 2. If Dart distributed $130,000 to Robert, how much is taxable as a dividend? 3. If Dart distributed $180,000 to Robert, how much is taxable as a dividend? 4. If Dart distributed $230,000 to Robert, how much is taxable as a dividend Dividend: and how much is taxable at a capital gain? Capital Gain: 5. Is Dart distributed $280,000 to Robert how much is taxable as a dividend and how much is taxable at a capital gain? Dividend: Capital Gain:
In: Accounting
Sun packaging is a profit-making manufacturing company established during 1998. The company is not fulfilling their responsibility towards their stakeholders. They do not provide fair wages to the employees and the company did not disclose all the financial information to their stakeholders about the company.
i. Who are classified as stakeholders?
ii. Discuss how each stakeholder will be affected?
iii. Which principles or concepts of accounting is affected if they do not disclose the information?
In: Accounting