Personal Investment Analysis Find of the cost of a bachelor's degree at the university of your choice assume additional costs of $16,000 for an additional fifth year of education to get Master's degree. Assume that all tuition is paid at the beginning of the year. A student considering this investment must evaluate the present value of cash flows from possessing a graduate degree versus holding only the undergraduate degree. Assume that the average student with an undergraduate degree is expected to earn an annual salary of $55,000 per year (assumed to be paid at the end of the year) for 10 years. Assume that the average student with a graduate Masters degree is expected to earn an annual salary of $76,000 per year (assumed to be paid at the end of the year) for nine years after graduation. Assume a minimum rate of return of 10%. Determine the net present value of cash flows from an undergraduate degree. Use the present value table provided in this chapter 26. Determine the net present value of cash flows from a Masters degree, assuming that no salary is earned during the graduate year of schooling. What is the net advantage or disadvantage of pursuing a graduate degree under these assumption? Bachelor's degree costing 43,000 Master's degree costing 59,000

Who gains and who loses from appreciations in the Canadian dollar?

Spicewood Stables, Inc., was established in Dripping Springs, Texas, on April 1. The company provides stables, care for animals, and grounds for riding and showing horses. You have been hired as the new assistant controller. The following transactions for April are provided for your review.

1. Received contributions from investors and issued $230,000 of common stock on April 1.
2. Acquired a barn for $180,000. On April 2, the company paid half the amount in cash and signed a three-year note payable for the balance.
3. Provided $18,000 in animal care services for customers on April 3, all on credit.
4. Rented stables to customers who cared for their own animals; received cash of $14,000 on April 4 for rent earned this month.
5. On April 5, received $3,350 cash from a customer to board her horse in May, June, and July (record as Deferred Revenue).
6. Purchased and received hay and feed supplies on account on April 6 for $3,800.
7. Paid $2,600 on accounts payable on April 7 for previous purchases.
8. Received $2,040 from customers on April 8 on accounts receivable.
9. On April 9, prepaid a two-year insurance policy for $4,800 for coverage starting in May.
10. On April 28, paid $1,140 in cash for water and utilities used this month.
11. Paid $14,800 in wages on April 29 for work done this month.
12. Received an electric utility bill on April 30 for $1,560 for usage in April; the bill will be paid next month.

Required:

1. 1. Prepare the journal entry for each of the above transactions.

2. 2. Post the transaction activity from requirement 1 to the T-Accounts below. All accounts begin with zero balances because this is the first month of operations.

3. 3. Prepare an unadjusted trial balance as of April 30.

4. 4-a. Refer to the revenues and expenses shown on the unadjusted trial balance. Based on this information, calculate preliminary net income and net profit margin.

5. 4-b. Determine whether the net profit margin is better or worse than the 30.0 percent earned by a close competitor.

Can you make t chart and trail balance sheet?

Marie is a resident of Belgium. For the year, a US company paid her for 200 days of work, ---140 in Belgium and 60 in the US. How is her US-source income computed?

A) All of her income for the year is US-source income.

B) Her US-source income cannot be determined.

C) Her US-source income is her total compensation for the year, multiplied by 60/200

D) Her US-source income is her total compensation for the year, multiplied by 60/365 (or 366 if the tax year is a leap year).

Enron Corporation was an American energy, commodities, and Services Company based in Houston, Texas. It was founded in 1985, Kenneth Lay was the founder of the company, first founded in Omaha Nebraska and then it moved to Houston Texas .Before its bankruptcy on December 2, 2001, Enron employed approximately 20,000 staff and was one of the world's major electricity, natural gas, communications and pulp and paper companies, with claimed revenues of nearly $101 billion during 2000.

Enron’s line of business:

Enron was originally involved in transmitting and distributing electricity and natural gas throughout the United States. The company developed, built and operated power plants and pipeline. Enron owned large network of natural gas pipeline, which stretched ocean to ocean and border to border. Enron traded in more than 30 different products, including the following: Petrochemicals, Plastics, Power, Pulp and paper, Steel, Weather Risk Management, Oil and LNG transportation, Broadband, Principal Investments, Risk management for commodities, Shipping / freight, Water and wastewater. It was also an extensive futures trader, including sugar, coffee, grains, hogs, and other meat futures.

Review of Enron’s Rise and fall:

Throughout the late 1990s, Enron was considered one of the most innovative companies in the world. The company continued to build power plants and operate gas lines, but it became better known for its unique trading businesses. Besides buying and selling gas and electricity. it created whole new markets for such oddball "commodities" as broadcast time for advertisers, weather futures, and Internet bandwidth. Before it bankrupted in late 2001, its annual revenues rose from about $9 billion in 1995 to over $100 billion in 2000.

At the end of 2001 it was revealed that its reported financial condition was sustained substantially by institutionalized, systematic, and creatively planned accounting fraud. The Enron scandal was the biggest bankruptcy in United States history which cost 4,000 employees their jobs. On December 2, 2001 Enron filed for bankruptcy. It was an event that will always be remembered as one of the most disastrous events in the financial world.

The reasons for collapse of Enron company:

There are some reasons that lead to the collapse of Enron:

•Cheating and manipulation by the board of directors to achieve their personal interests at the expense of the interest of the company.

•That the board of director has delegated the task of reviewing the company’s transactions to a sub-committee within the company. The committee has only conducted a quick review of these transactions. The board of directors has concealed very important information whose knowledge may have led to some appropriate action.

•The company’s management inflated the company’s profit to about $ 1 billion by raising the profit by 586 million and hiding debit of $ 2.6 billion in the year before the company’s collapse.

•The loss of the members of the audit committee is independent and neutral because of the enormous they charge from the administration and may reach up to $380000 per year per member.

With the fall of Enron, the financial auditor ARTHER ANDERSON fell for his role in this process, culminating in the company’s disposal of most of the city document. But Enron’s scandal has prompted the US government to amend a number of market laws, most notably issuing legislation allowing employee to sell their shares three years after they own them, and more importantly, the Sarbanes-Oxley act, which explicitly tightens penalties for such crimes. The CEO and CFO are fully responsible for any manipulation of the financial statement. In September 2008, Enron shareholders won the lawsuit against the company and received $7.2 billion damages, the biggest settlement in the history of fraud involving listed company.

Questions:

a.Explain how the dramatic collapse of Enron has severely shaken the U.S. Capital markets in

2001.                                                                                                                                                

b.Suggest the measures that could be taken to restore the credibility of the accounting profession and investor confidence in the financial reporting process.                

Question 2

Describe the Financial Reporting practices followed in Oman quoting some practical instances. Also highlight the principles that govern the financial practices in Oman and the Organizations that form regulatory frame work in Oman.                                              

Melissa, a fundraising associate for Harrelson University, is an attractive, blond, 30-something, who has a vivacious personality. She has been having lunch occasionally with a Harrelson alumnus, Emerson, scion of a wealthy oil magnate, with the intent of convincing Emerson to make a major gift to the University. Melissa has noticed that Emerson has drifted off occasionally during their lunch meetings, calling her by the name of his late wife, and demonstrating lapses of memory. She thinks he may be starting to have symptoms of Alzheimer's or perhaps some other dementia, and is motivated to begin closing the deal before his family takes legal action and obtains power of attorney over Emerson's financial affairs. She does not think the university would fare well if Emerson's family gets complete control over his wealth, and she thinks all of the work she has done would be wasted. She convinces Emerson to meet with her for lunch the next day, and brings with her papers that provide for Emerson pledging half of his wealth, $40 million. She winces as Emerson appears unable to sign his name on the papers, and she leans over to help him. She rationalizes that she does not stand to benefit by this gift, that thousands of students of Harrelson will benefit, and that when Emerson was perfectly lucid and sharp, he always expressed a desire to leave a lasting legacy and assist his alma mater in its mission to become a better institution.

Respond to the following questions in a post of no less than 200 words.

Is Melissa's behavior ethical?
Is Melissa's behavior legal?
What could Melissa do to create an enforceable contract?

4. Faculty members in a state university system who resign within 10 years of initial employment are entitled to receive the money paid into a retirement system, plus 4% per year. Unfortunately, experience has shown that the state is extremely slow in returning this money. Concerned about such a practice, a local teachers organization decides to investigate. After a confrontation with the teachers’ union, the state promised to make reimbursements within 60 days. Monitoring of the next 40 resignations yields an average of 61 days, with a standard deviation of 10 days.

   1. (a) Set up the appropriate hypothesis tests for this investigation.

   2. (b) Test the null hypothesis using an α level of 0.01, draw out a graphical representation of the test. Include critical values and test statistic value. What is your conclusion regarding the population parameter μ ( state your answer in the context of the problem).

Meera is a 24 year old woman who has been studying at a local university. She recently returned from a 14 hour flight to Delhi, where she had been visiting family. She came to your emergency room worried that she is having a heart attack; she describes 2 hours of a sharp pain in her chest and back, which is worse when she takes a deep breath. She states she is having a hard time breathing.

Her vital signs are as follows: Blood pressure is normal at 120/72, pulse elevated at 112, normal body temperature of 98.1℉, and an increased respiratory rate of 40. Meera’s past medical history is unremarkable. She has never been pregnant, and is currently taking an oral contraceptive to prevent pregnancy. In addition to her oral contraceptive, she takes a multivitamin daily and sometimes uses ibuprofen for menstrual cramps. She occasionally drinks alcohol, is a ½ pack per day smoker, and denies any illicit drug use.

Treatment (part 2)

You have ordered a set of arterial blood gases (ABGs), a D-dimer, an EKG, and chest imaging for Meera. Her EKG did not show evidence of cardiac ischemia or myocardial infarction, and her Chest CT revealed a large pulmonary embolism. Her D-dimer was elevated. Her ABGs are as follows:

PaO2: 75 mmHg    Normal range: 80–100 mmHg

pH: 7.5    Normal range: 7.35–7.45

pCO2: 30 mmHg    Normal range: 35–45 mmHg

HCO3: 22 mmol/L    Normal range 22–26 mmol/L

• Thinking back to Chapter nine, does Meera’s lab work reveal an acidotic or alkalotic state?
• Which buffer system(s) will work to restore her pH to a normal value? Briefly (2-3 sentences) describe how that buffer system works to restore normal pH.
• Meera’s PaO2 and CO2 are low. What is the definition of low PaO2? What is the definition of low pCO2?
• What type of alteration in normal physiology is driving Meera’s low PaO2? Explain the alteration in her normal physiology.
• What general treatment(s) do you anticipate will be ordered for Meera? Explain briefly how those treatments will restore normal respiratory function.

Bob, a nutritionist who works for the University Medical Center, has been asked to prepare special diets for two patients, Susan and Tom. Bob has decided that Susan's meals should contain at least 490 mg of calcium, 23 mg of iron, and 60 mg of vitamin C, whereas Tom's meals should contain at least 440 mg of calcium, 18 mg of iron, and 50 mg of vitamin C. Bob has also decided that the meals are to be prepared from three basic foods: Food A, Food B, and Food C. The special nutritional contents of these foods are summarized in the accompanying table. Find how many ounces of each type of food should be used in a meal so that the minimum requirements of calcium, iron, and vitamin C are met for each patient's meals.

Contents (mg/oz)
Calcium Iron Vitamin C
Food A 30 1 2
Food B 25 1 5
Food C 20 2 4

Susan's meals:

Food A     oz
Food B     oz
Food C     oz

Tom's meals:

Food A     oz
Food B     oz
Food C     oz