What are the provisions and implications of the Affordable Care Act of 2010 ?

23. A group of five individuals with high blood pressure were given a new drug that was designed to lower blood pressure. Systolic blood pressure was measured before and after treatment for each individual. The mean and standard deviation for the before treatment were 168.6 and 9.3, respectively. The mean and standard deviation for the after treatment were 137.2 and 7.4, respectively. The 90% confidence for the mean reduction in systolic blood pressure is nearly?

Ten different people take part in an exercise program. Their blood pressure is tested before and after the program. Use a 5% level of significance to determine whether the program helps reduce blood pressure.

Ho:

H1:

Statistic:

Conclustion:

Which of the following statements is TRUE about product costs?

Multiple Choice

A. Product costs are reported only on the balance sheet.

B. Product costs are reported only on the income statement.

C. Product costs are reported on the balance sheet before goods are sold, and on the income statement after goods are sold.

D. Product costs are reported on the income statement before goods are sold, and on the balance sheet after goods are sold.

Question Two

Eateries Regina Ltd. (ERL) operates restaurants in several Saskatchewan cities.

The accountant responsible for ERL’s long lived assets and liabilities has been on medical leave since January 1, 2020. Therefore, the accounting is not up to date and you have been contracted to help with the backlog.

On April 1, 2019, ERL purchased a heavy duty pasta machine for $32,000 for its Regina restaurant. Since wear and tear on the machine is directly related to the number of hours it is used, you have decided to depreciate it using the UNITS OF PRODUCTION method. According to the manufacturer’s website, ERL should be able to use the machine for 20,000 hours before it will require replacement. It has an estimated residual value of $1,000. The machine was used for 2,050 hours during the year ended December 31, 2019. You have been asked to prepare the journal entry (in good form) necessary to recognize depreciation expense. You intend to provide detailed supporting calculations and round all amounts to the nearest cent .

(Please insert response here.)

On July 1, 2015, ERL purchased a commercial espresso maker for its Martensville restaurant at a cost of $14,500. Since that time, the espresso maker has been depreciated using the STRAIGHT LINE method based on a useful life of 20 years and an estimated residual value of $500. On January 1, 2020, the espresso maker had a carrying amount of $11,350. After several breakdowns and before calculating depreciation expense, you have decided to revise the useful life to a total of 15 years and residual value to $750. You plan to calculate the depreciation expense for the year ending December 31, 2020, but you do NOT plan to make the related journal entry at this time. You intend to provide detailed supporting calculations and round all amounts to the nearest dollar .

(Please insert response here.)

On January 1, 2018, ERL purchased a wood fired pizza oven for its Yorkton restaurant at a cost of $19,500. The oven had a useful life of 10 years and an estimated residual value of $4,500. Due to rapidly changing technology, the accountant on leave determined that the oven should be depreciated using the DOUBLE DIMINISHING BALANCE method. On October 1, 2019, ERL closed the Yorkton restaurant and sold the oven for $14,250. You have been asked to calculate the gain or loss arising from the sale of the oven. You have been instructed to clearly label your work including whether a gain or loss has occurred, provide detailed supporting calculations and round all amounts to the nearest dollar or whole percent. You are NOT to prepare any journal entries at this time .

(Please insert response here.)

On December 24, 2019, a customer fell outside ERL’s Saskatoon restaurant. On December 26, ERL was served with a lawsuit claiming $5,000,000 in lost wages and pain and suffering. The restaurant’s general manager was confident that any award would be much less than $5,000,000 until he learned the customer is a virologist and one of the highest paid doctors in Saskatchewan. ERL’s lawyer had commented he did not expect the lawsuit to be successful as staff had been cleared of the sidewalk of snow and ice just prior to the customer’s visit. Also, phone records showed the customer was using her smart phone at the time of the fall. However, on December 31 you were forwarded a video that shows a shovel laying across the sidewalk in the same location the customer fell. The lawyer has now commented that should the video be authenticated, ERL will definitely be required to pay damages. Based on this information, you have been asked to BRIEFLY DISCUSS the CPA Canada Handbook guidance regarding contingent liabilities AND make a DEFINITIVE RECOMMENDATION regarding whether a contingent liability must be recognized on the statement of financial position as at December 31 .

(Please insert response here.)

A 2017 study selecting a sample of 300 cars traveling daily on a highway revealed that 170 were driven by women. With a significance level of 90% find the confidence interval for the sample indicated.

According to a 2010 study, 52 out of every 100 drivers are female. Based on the results of the constructed interval, can you conclude that more women will be driving on the highway in 2017 than indicated in the 2010 study?

Refer to Table 10-6 below. Calculate this country's real GDP for each of the following years, 2008, 2009, 2010 and 2011.

J&C, Inc., had the following Net Income (Loss) from 2010 – 2013. Determine their Ending Retained Earnings amount for each year.

You bought a call option on July 27, 2020 at the exercise price of $65. It expires on October 26, 2020. The stock currently sells for $66., while the call option sells for $6.

a) What is the intrinsic value of the call? What is the time premium paid for the call?

b) What will the value of this call be after expiration if the price of the stock is $99, $65, $99, and $80, respectively?

c) If the price of the stock rises to $80 at the expiration date of the call, what is the percentage increase in the value of the call? Does this example illustrate favorable leverage?

d) If an individual opens a covered call position on this stock, what is the net cost and what will the profit on the position be at the expiration of this position if the price of the stock is $49, $52, $59, $65, $66, $69, and $80, respectively?

e) If an individual sells this call naked, what will the profit or loss be on the position after six months if the price of the stock is $59, $66, and $80, respectively?