On-the-Go, Inc., produces two models of traveling cases for laptop computers—the Programmer and the Executive. The bags have the following characteristics.

The total fixed costs per year for the company are $669,000.

Required:

a. What is the anticipated level of profits for the expected sales volumes?

b. Assuming that the product mix is the same at the break-even point, compute the break-even point.

c. If the product sales mix were to change to nine Programmer-style bags for each Executive-style bag, what would be the new break-even volume for On-the-Go?

1. Compared to a competitive firm, monopolies will
   1. Have greater innovation
   2. Have lesser innovation
   3. Have the same amount of innovation
   4. Maximize innovation

The Articles of Partnership for partners Moon, Sun, and Stars stipulate 10% interest allowance for each partner based on average capital balances during 2020. The beginning capital balances for Moon, Sun, and Stars on January 1, 2020 are $100,000, $250,000, and $400,000, respectively. On April 1, 2020, Moon invests additional 20,000 in the partnership. On July 1, 2020 Star withdraws 50,000 from the partnership. During 2020, Sun and Stars have drawings of 60,000 and 20,000, respectively. During 2020, partners Sun and Stars receive salary allocation of 60,000 and 20,000, respectively. If the partnership’s Net Income for the period after salary allocations are considered is above 130,000, Stars is also going to receive a bonus allowance of 10% of Net Income. The measure of Net Income used to determine the actual amount of the bonus is Net Income after bonus and interest allocations are considered, but before salary allocations are considered. The profit-and-loss sharing ratios for the partnership are: Moon (20%), Sun (50%), and Stars (30%) Required (show all your calculations):

1. Assume that the partnership’s net income for 2020 is $250,000. What is the TOTAL partnership RESIDUAL INCOME allocation in 2020? What is the total partnership profit allocation for Moon, Sun, and Stars, respectively? (10 points)

2. Assume that the partnership’s net income for 2020 is $250,000. Prepare the journal entry to close the NI into the Capital balances of the partners. (5p.)

3. Assume that the partnership incurs a net loss of $100,000 in 2020. What is the TOTAL partnership RESIDUAL INCOME allocation in 2020? What is the total partnership profit allocation for Moon, Sun, and Stars, respectively? (10 points)

4. Assume that the partnership incurs a net loss of $100,000 in 2020. Prepare the journal entry to close the net loss into the Capital balances of the partners. (5p.)

Please give recommendations from this analysis of Trevor Industries for future to upper management.

For the period ending December 31, 2010, Trevor Industries produced a current ratio of 90% and the acid test of 24%, both ranging below the industry standard. According to the results of these ratios, it can be concluded that the firm’s liquidity is between moderate and low levels of liquidity. The evaluation bases its conclusion on the results of the current ratio which suggests that the firm is capable of meeting approximately 90% of its short-term obligations through liquidation of all its current assets. Firms operating in similar industries possess current ratios two times greater than what currently exists for Trevor Industry.

Since Trevor Industry’s inventories account for almost 60% of the current assets, the acid test was used to produce a clearer picture of the financial position of the firm with regards to liquidity. Recall, Gitman, L.J& Zutter, C.J. (2015, pg 120) affirms that inventories are the least liquid current assets since it is made-up of partially completed products or special purposes items and are sold generally on credit (means inventories sold become accounts receivables before it can be converted to cash). The inventory turnover ratio for the past two financial periods indicates a slowing down of inventory turnover. The acid-test ratio according to Hayes (2020) uses a firm’s balance sheet data as an indicator of whether it has enough short-term assets to cover its short-term liabilities. The acid test ratio of 0.24 as of December 31, 2010, is 65% lower than the industry average – therefore, Trevor Industries must conduct a deeper investigation into its ability to finance short-term obligations to prevent cash flow problems or possible business failure.

Trevor Industries was successful in maintaining its gross profit margin of 40% at year end. However, these profits were significantly reduced after operating expenses were deducted. As at December 31, 2010 variable operating expenses and depreciation expenses (owing to the purchase of additional fixed assets) grew exponentially leaving an operating Profit margin of 10.63%. Once interest expense was deducted from Operating Profit and taxation deducted from Net Profit before tax- a Net Profit Margin of 3% of sales was retained- lower than 2009. This means as at December 31, 2010 Trevor industry was only able to retain 3% his revenues generated from sales.

Potential as well as present stockholders will be interested in knowing Trevor Industry’s earning per share (EPS). Observing Trevor Industry’s 2009 EPS it is noted that the firm’s financial position is improving; as it stands (as at December 31, 2010) Trevor Industry’s EPS is $1.09 which means that for every dollar earned in profits, $1.09 is earned for its stockholders. Based on the firm’s current trajectory it is becoming more attractive to outside investors and would encourage its current common stockholders to invest additional capital into the firm. Especially with return on equity improvements as December 31,2010. Common stockholders now earn approx. 9 cents for every dollar invested in Trevor Industries

As at December 31, 2010 Trevor Industry held a Debt ratio of 60% which was slightly above that of the industry average. This ratio suggests that 60% of the firm’s assets are financed through debt which lends to some degree of financial leveraging. The Debt to equity ratio of 158.4% confirms the implied use of financial leveraging by increasing the firm’s indebtedness (risk) to generate prospective returns on investment. It is to be noted however that a significant portion (approx. 75%) of the firm’s Debt is in short-term lending which will create significant pressure on the firm to meet its obligations in the short- term. Against this backdrop, coverage was examined. Trevor Industries' ability to service its interest payments as at December 31, 2010 was moderately sufficient however limited. As at the date aforementioned, Trevor industry’s times interest-earned ratio is 2.78 which means that Earnings before interest and tax can fall by 64% and the firm will still be able to meet its interest expense. It means therefore Trevor industry has a moderately sufficient however limited margin of safety.

Although the Patient Protection and Affordable Care Act was signed into law by President Barack Obama on March 23, 2010, it will take several years before full implementation is achieved. Since 2010, some of the provisions have been implemented while others have not. In this assignment, you will report on the potential issues that could affect how the law is fully implemented, summarizing your thoughts about potential issues related to healthcare policymaking process in the United States.

B. TERMS
_____9. reasonable accommodation
_____10.constructive discharge
_____11.quid pro quo harassment
_____12.lockout
_____13.closed shop
_____14.strike
_____15.whistleblowing
_____16.employment-at-will doctrine

A. Either party may terminate the employment relationship at any time and for any reason.
B. This is when the employer causes the employee’s working conditions to be so intolerable that a reasonable person would feel compelled to quit.
C. Occurs when an employee tells government authorities that his employer is engaged in some specific unsafe or illegal activity.
D. This refers to a minor change or adaptation that an employer must make for a disabled employee.
E. This is the illegal demand for sexual favors in return for job opportunities.
F. This is when the employer shuts the workplace down to prevent employees from working.
G. This is when the workers leave their jobs and refuse to work as part of the collective bargaining process.
H. When union membership is required as a condition for employment.

***Must be 2 pages long***

Company NewCo has hired you to advise its senior management on how to communicate a strategy for unleashing the firm’s creativity. You have eight weeks to put your recommendations together, which will be on the agenda of the company’s next Leadership Retreat.

Fortunately for NewCo, you have just completed a course on this very subject. After thinking about it for a while, you thought you should structure your project using material from the course you just completed, augmented by some additional research.

Your assignment this week is to establish the commitment to creativity and innovation of the leadership at NewCo. Is there a strong desire among leadership for the company to be innovative and creative? What company goals or achievements are tied to creativity and innovation? Lay out the commitment to creativity and innovation that will drive your work over the course of this project.

On December 31, 2020, an analysis of the accounts for a company reveals the following:

$100,000 loss on disposal of discontinued operations, before tax

$6,000 gain on sale of investments, before tax

$10,000 depreciation expense understatement in 2018 due to error, before tax

$20,000 cumulative understatement of net income of prior years from changing inventory valuation method in 2020, before tax

$168,000 income from operations, before tax

$4,000 dividends declared

The applicable income tax rate is 40% for all tax-related items. Retained earnings on December 31, 2019 were reported as $600,000.

What is ending retained earnings on December 31, 2020?