1. On January 1, 2020, Pantop Corporation acquired 85% of the outstanding common stock of Sunny Company for $527,000. There was no control premium.

The following information about Sunny Company on January 1, 2020 was available:

Pantop uses the complete equity method to account for its investment in Sunny. During 2020, Sunny had a net income of $80,000. The remaining useful life of the building was five years with no salvage value. Sunny uses straight line depreciation. Sunny’s cost of goods sold (FIFO) was $70,000 in 2020. On December 23, 2020, Sunny declared and paid $48,000 cash dividend to its shareholders. Goodwill was unimpaired as of December 31, 2020.

(i)  Prepare journal entries for Pantop to record under the complete equity method of accounting the operating results of Sunny in 2020.

(ii) Prepare the working paper eliminating entries C, E, R, O and N (in journal entry format) for Pantop Corporation and subsidiary for the year ended December 31, 2020.

SWOT Analysis on taking the CPA SWOT Analysis on getting an MBA

You currently make $100,000 a year and expect your salary increase by 10% a year for 20 years.   You are considering an MBA which will cost you $120,000 for the entire education. If you take the MBA, you will have to pay the full tuition today (all upfront) and you will make zero earnings at the end of years 1 and 2. However, after graduation you’ll have an opportunity to join an investment bank, which promises $130,000 a year, which will grow by 15% for 18 years after graduation. Is the MBA a good deal? Assume a constant discount rate of 15%. What if rates fall to 10%? What if rates rise to 17%, how does your answer change? Show your detailed spreadsheet calculations using Excel.

Show your work in Excel and submit your excel sheet.

Q. Your brother, age 30, working for ABC Corp. wants to quit his job and go back to school for MBA degree. At his current job, he is making $60000 per year and was planning to work until age 65 years. If he goes back to school, he will forego two years of income, but his real income after graduation would be $90000 per year until retirement at age 65. He has been accepted to an MBA program that costs a real $40000 per year. If his real opportunity cost is 10 percent, would leaving his job to get an MBA be a smart financial decision? Show all your calculations along with the recommendation.

Western Europe emerged slowly out of Feudalism. As early nation states formed, it was the smaller states that had the advantage, such as Holland.   Eventually a larger England eclipsed Holland yet maintain a long-term advantage over the larger France and Spain. Ultimately, after many centuries the very large United States become the model of a successful modern, capitalist economy. If trade and population are so important, why did it take almost 1,000 years to develop a very large capitalist nation state?  

Need a few pages to write about this so as much information as possible would be nice

References and sources if possible, or any site that would help answer

The MBA program was experiencing problems scheduling its courses. The demand for the program’s optional courses and majors was quite variable from one year to the next. In one year, students seem to want marketing courses; in other years, accounting or finance are the rage. In desperation, the dean of the business school turned to a Statistics professor for assistance. The Statistics professor believed that the problem may be the variability in the academic background of the students and that the undergraduate degree affects the choice of major. As a start, he took a random sample of last year’s MBA students and recorded the undergraduate degree and the major selected in the graduate program. The undergraduate degrees were BA (=1), BEng (=2), BBA (=3), and several others (=4). There are three possible majors for the MBA students: Accounting (=1), Finance (=2), and Marketing (=3). Can the Statistics professor conclude that the undergraduate degree affects the choice of major?

1. a) Create a cross-classified (or contingency) table with undergraduate degree as the row and MBA major as the column. The data in this table should be deemed as observed counts.

2. b) Create another table with the corresponding expected counts and having row totals, column totals, and grand total. Round each cell value to two decimal places.

3. c) Perform a chi-square test to assess the association (or independence) between undergraduate degree and choice of MBA major at 5% level of significance. Verify the assumptions required for the chi-square test of independence. Make sure you follow all the steps for hypothesis testing indicated in the Instructions section and show your computations.

Elaborate the Agency Theory on the movie "the founder" identify and elaborate on the issues in the movie

THE MBA DECISION

Ben Bates graduated from college six years ago with a finance undergraduate degree. Since graduation, he has been employed in the finance department at East Coast Yachts. Although he is satisfied with his current job, his goal is to become an investment banker. He feels that an MBA degree would allow him to achieve this goal. After examining schools, he has narrowed his choice to either Wilton University or Mount Perry College. Although internships are encouraged by both schools, to get class credit for the internship, no salary can be paid. Other than internships, neither schools will allow its students to work while enrolled in its MBA program.

Ben currently works at the money management firm of Dewey and Louis. His annual salary at the firm is $65,000 per year, and his salary is expected to increase at 3 percent per year until retirement. He is currently 28 years old and expects to work for 40 more years. His current job includes a fully paid health insurance plan, and his current average tax rate is 26 percent. Ben has a savings account with enough money to cover the entire cost of his MBA program.

The Ritter College of Business at Wilton University is one of the top MBA programs in the country. The MBA degree requires two years of full-time enrollment at the university. The annual tuition is $70,000 , payable at the beginning of each school year. Books and other supplies are estimated to cost $3,000 per year. Ben expects that after graduation from Wilton, he will receive a job offer for about $110,000 per year , with a $20,000 signing bonus. The salary at this job will increase at 4 percent per year. Because of the higher salary, his average income tax rate will increase to 31 percent.

The Bradley School of Business at Mount Perry College began its MBA program 16 years ago. The Bradley School is smaller and less well known than the Ritter College. Bradley offers an accelerated, one-year program, with a tuition cost of $85,000 , to be paid upon matriculation. Books and other sup- plies for the program are expected to cost $4,500. Ben thinks that after graduation from Mount Perry, he will receive an offer of $92,000 per year , with a $18,000 signing bonus The salary at this job will increase at 3.5 percent per year. His average income tax rate at this level of income will be 29 percent.

Both schools offer a health insurance plan that will cost $3,000 per year, payable at the beginning of the year. Ben also estimates that room and board expenses will cost $2,000 more per year at both schools than his current expenses, payable at the beginning of each year. The appropriate discount rate is 6.3 percent.

1. How does Ben’s age affect his decision to get an MBA?

2. What other, perhaps non-quantifiable factors, affect Ben’s decision to get an MBA?

3. Assuming all salaries are paid at the end of each year, what is the best option for Ben—from a strictly financial standpoint?

4. Ben believes that the appropriate analysis is to calculate the future value of each option. How would you evaluate this statement?

5. What initial salary would Ben need to receive to make him indifferent between attending Wilton University and staying in his current position?

6. Suppose that instead of being able to pay cash for his MBA, Ben must borrow the money. The current borrowing rate is 5.4 percent. How would this affect his decision to get an MBA?