Accounting for Construction Contracts IAS 11 has been subsumed under the standard IFRS   15, Revenues from Contract with customers. This has implications for the treatment of construction contracts including how they are accounted for, presented and disclosed.

Discuss making reference to the provisions of IFRS 15   Revenue from Contracts with Customers issued May 2014 and applicable for annual reporting beginning on or after January 1, 2018.

(Nb. The case information below is to be used to illustrate your understanding of the issues involved.)

Belvisja Limited has a fixed price contract for $9,000,000 to build a road, that is the initial amount agreed in the contract is $9 M. The contractor estimates that contract cost is $8,000,000. It will take three years to build the road.

By the end of year 1 the contractor’s estimate of contractors cost has increased to $8,050,000.

In year 2 the customer approves a variation resulting in an increase in contract revenue of $200,000 and estimated contract costs of $150,000.

At the end of year 2 costs incurred includes $100,000 for standard material storage on site to be used in year 3 to complete the project.

At the beginning of   year 3 the customer requested that the contract be adjusted by $500,000 for the cleaning of the drains.

The contractor determines the stage of completion of the contract by calculating the proportion that contract cost incurred for work performed to date bear to the latest estimated total contract costs.

Common-Sized Income Statement

Revenue and expense data for the current calendar year for Tannenhill Company and for the electronics industry are as follows. Tannenhill's data are expressed in dollars. The electronics industry averages are expressed in percentages.

a. Prepare a common-sized income statement comparing the results of operations for Tannenhill Company with the industry average.

Select a dataset that is publicly available on the Internet, such as the Census Bureau, any government database, any of the databases used in this class or in prior courses to date, or any nonprofit databases that are publicly available.

Using the data set, identify a research question that you want to study. Using the dataset you located, review the type of data that is included in the set. Then, think of a possible research question, using the data provided, that you may want to ask and then research.

Then, use at least 2 variables and an n value of 20 for each variable to run analysis and draw conclusions based on the data. Be sure that you answer your research question in your analysis.

Length: 2-3 pages

identify a research question that you want to study.

Write a Python program that performs the following list operations.

Part A

1. Define a list called numList with elements.

84, 94, 27, 74, 19, 90, 16, 21, 56, 50, 77, 59, 41, 63, 18, 26, 80, 74, 57, 30, 40, 93, 70, 28, 14, 11, 43,65, 91, 83, 22, 53, 74, 44, 73, 55, 47, 74, 81

2. Display the followings:
   • All the numbers in numList
   • The number of elements in numList
   • The smallest number in numList
   • The largest number in numList
   • The sum of all the numbers in numList
   • The number of times 74 appears in numList

Part B

1. Define an empty list called dogNames and display it.

2. Add the following names to dogNames and display all the names in the dogNames list.

Max, Lola, Buddy, Coco, Teddy

3. Display all the names in the dogNames list after each of the following updates.

   • Add the name ‘Benji’ at the end of the dogNames list.
   • Add the name ‘Chico’ at the beginning of the dogNames list (as the first element).
   • Add the name ‘Nala’ after the name ‘Coco’.
   • Add the name ‘Mimi’ before the name ‘Buddy’.

4. Define another list called catNames with elements and display all the names in catNames list.

Kitty, Simba, Shadow, Coco, Pepper, Tiger

5. Create a new list called petNames by joining the dogNames and catName list. Note that in petNames list, all the dog names come before the cat names. Display all the names in petNames list.

6. Display the followings using petNames list.

   • The total number of names in petNames.
   • The number of times the name ‘Coco’ appears in petNames.
   • The index of the pet name ‘Coco’ in petNames.
   • The first pet name that appears in chronological order based on Unicode. Hint:Use min function.
   • The last pet name that appears in chronological order based on Unicode. Hint: Use max function.

7. Delete the last name in petNames list and display both the deleted name and the updated petName list.

8. Delete the first name in petNames list and display both the deleted name and the updated petName list.

9. Delete the first occurrence of the pet name ‘Coco’ using the remove() method and the deleted name and the updated petName list.

10. In a comment, explain the reason to get None as the deleted name in your output for part 9.

12/31/03 had the following balances in its S.E section of the B.S:

Common Stock, $.50 par $300k

APIC - Common Stock $4 million

APIC - Share Repurchase $50k

R.E $2 million

Treasury Stock, at cost, 30k shares $(600k)

During 2004 completed the follwing transactions:

2/20: Issued40k shares of common stock (with a $.50 par value) in exchange for a machine w/ an appraised value of $800k

6/17: Resold 15k shares of treasury stock for $240k (The treasury stock was resold relates to common stock that was originally issue for $18 per share & was reacquired for $20 per share during 2003.)

12/2: Issued 10k shares of common stock for $24 per share. Share issue costs to promote the stock issuance totaled $15k

12/31: Reported NI of $1.5 million and other comprehensve income of $200k on the companys statement of comprehensive income.

Using the info provided above, what would they report within its 12/31/2004 S.E section of the B.S.

Provide the following amounts as they would appear in the B.S at 12/31/2004.

#1: APIC - Common Stock __________

#2: Retained Earnings __________

#3: Treasury Stock __________

#4: Common Shares Issued __________

Charlotte Computer Services is considering purchasing equipment at $100 000. It is anticipated the equipment will have a useful life of five years. It will be depreciated on a straight-line basis. Operating revenue is expected to be $74 000 per annum and operating expenses $25 000 per annum. The equipment is subject to an investment allowance of 10 per cent and the tax rate is 30 per cent. The after-tax hurdle rate is 12 per cent.
a) The reduction in tax due to the investment allowance is?
b) What is the tax effect of the depreciation?
c) What is the Net Present Value of the investment?

Lily Company began business on January 1, 2017. The company’s year-end is December 31. The following events occurred during the first year of operations: Apr. 1 Paid cash in the amount of $24,000 for a one-year rental contract on a building. July 1 Received $60,000 in cash from customers for services to be provided evenly during the next twelve months. Oct. 1 Acquired a building by borrowing $300,000 at 6% interest, principal and interest payable at maturity in ten years. Annual depreciation expense is $12,000.

1. Prepare the necessary adjusting journal entries at December 31 (10 points total). (Hint: Four adjusting entries are necessary.)

2. Bonus: For each of the adjusting entries, indicate which of the following type of entry was recorded: accrued expense, accrued revenue, deferred expense, or deferred revenue (2 points total).

Question provided us with Adjusted, Unadjusted and Post-closing trial balance sheets. With this information listed below please fill in:

• General Journal (10 transactions)
• Income Statement
• St Owner Equity
• Balance Sheet
• Work Sheet

The Mobility Solutions Company began operations on December 1, 2019. The unadjusted trial balance of the Mobility Solutions Company as of December 31, 2019 is found on the trial balance tab. The following information is required to prepare the necessary adjusting entries for the Mobility Solutions Company found in chapter 3.

1. 1) The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2019. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any.

2. 2) Based on a physical count, supplies on hand total $4,650. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, if any.

3. 3) The equipment is expected to have a 4-year useful life, and be worth about $10,000 at the end of four years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry, if any.

4. 4) On December 26, the client paid a $9,000 60-day fee in advance, covering December 27 to February 24. Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any.

5. 5) Mobility Solutions's sole employee earns $160 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26. Review the unadjusted balance in Salaries payable, and prepare the necessary adjusting entry, if any.

6. 6) In the second week of December, Mobility Solutions agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $3,900. The terms of the initial agreement call for Mobility Solutions to provide services from December 12, 2019, through January 10, 2020, or 30 days of service. The club agrees to pay Mobility Solutions $3,900 on January 10, 2020, when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any.

Prepare the required adjusting and closing entries for the Mobility Solutions Company.

• 1 The balance in Prepaid insurance represents a 24-month policy that went into effect on December 1, 2019. Review the unadjusted balance in Prepaid insurance, and prepare the necessary adjusting entry, if any.

• 2Based on a physical count, supplies on hand total $4,650. Review the unadjusted balance in Supplies, and prepare the necessary adjusting entry, if any.

• 3The equipment is expected to have a 4-year useful life, and be worth about $10,000 at the end of four years. Review the unadjusted balance in Accumulated depreciation, and prepare the necessary adjusting entry, if any.

• 4On December 26, the client paid a $9,000 60-day fee in advance, covering December 27 to February 24. Review the unadjusted balance in Unearned Consulting Revenue, and prepare the necessary adjusting entry, if any.

• 5Mobility Solutions's sole employee earns $160 per day for a five-day workweek beginning on Monday and ending on Friday. The employee was last paid on Friday, December 26. Review the unadjusted balance in Salaries payable, and prepare the necessary adjusting entry, if any.

• 6In the second week of December, Mobility Solutions agreed to provide 30 days of consulting services to a local fitness club for a fixed fee of $3,900. The terms of the initial agreement call for Mobility Solutions to provide services from December 12, 2019, through January 10, 2020, or 30 days of service. The club agrees to pay Mobility Solutions $3,900 on January 10, 2020, when the service period is complete. Review the unadjusted balance in Consulting revenue, and prepare the necessary adjusting entry, if any.

• 7Prepare the journal entry necessary to close the revenue account(s).

• 8Prepare the journal entry necessary to close the expense account(s).

• 9Prepare the journal entry to close Income Summary.

• 10Prepare the journal entry to close R. Walsh, Withdrawals.

Unadjusted

Post-closing

CASE STUDY USING EXCEL SPREADSHEET You work for Theo Walcott Tours Ltd which provide tourists and visitors with ‘experiences’ of Perth and its surrounds. Your manager is currently investigating introducing another product, which are ‘Luxury’ helicopter rides over beautiful bushland. Each trip would be 50km in total. Your manager wants you to use cost-volume-profit analysis in order to help assess the plan’s feasibility. She provides you with the following estimated data: Selling price per trip: $600 (total for 3 customers – trips only run with 3 customers) Costs: Fuel: $50 per trip Walcott ‘goodie bag’ per customer: $40 Helicopter rental per month: $20,000 Insurance per month (unlimited trips): $1,000 Pilot costs: $5,000 per month plus $100 per trip Maintenance costs are difficult to estimate but data from a similar company in a different location shows that these monthly costs were $11,000 when 5,000 kms were flown and $5000 when 1,500 kms were flown. ACCM 4100 Management Accounting 1 Trimester 2, 2020: Individual Excel Assignment REQUIRED: Calculate the following: 1) The Break-even point in trips per month 2) The Break-even point in dollars of revenue per month 3) Assuming a profit after tax requirement from the Helicopter trip business of $120,000 per year and a tax rate of 30%, calculate: a) Trips required per month to obtain target profit b) Revenue required per month to obtain target profit Your manager has requested that the spreadsheet is easy to use for ‘What-if’ analysis – so she would like to be able to change some of the inputs to see the impact on the calculations above – for example, if the Helicopter were able to be rented more cheaply or the selling price was increased.