Assuming that a partnership normally has a calendar year-end, what should the tax year-end be in the following independent cases? ?

a. Jim, a 70 percent partner, sells his partnership interest to Fred on August 10.

b. On July 13, the partnership sells its office building and moves its business across town.

c. June buys a 15 percent interest in the partnership on May 14.

d. The partnership goes out of business on February 26.

The following information pertaining Juniper Corporation is available for the year ended 2015,its first year of operations: : Pretax financial income, $200,000. Excess of tax deprecation over book depreciation equals $36,000 in 2015 (future taxable). This temporary difference (i.e., $36,000 depreciation expense) will be reversed as follows: $23,000 in 2016 and $13,000 in 2017. The tax rates of 2015, 2016 and 2017 are 30%, 25%, and 25%, respectively. Instructions: (a) Compute Juniper’s 2015 taxable income. (b) Prepare a schedule to show the derivation of the deferred tax liability at the end of 2015. (c) Prepare the journal entry to record income tax expense, deferred income tax liability, and income taxes payable of Juniper for 2015.

5. You plan to deposit $500 into a bank account now (year 0), $300 in year 2, and $1000 in year 4. How much money will be in your account in year 7, if the annual interest rate is 5%?

a. 2,345

b. 2,244

c. 2,175

d. 2,500

6. If the interest rate is 6.5%, calculate the present value of $5000 paid annually over the next 25 years

a. 69,899

b. 65,798

c. 60,898

d. 60,989

Heights of 10 year olds.

Heights of 10 year olds, regardless of gender, closely follow a normal distribution with mean 55 inches and standard deviation 6 inches. Round all answers to four decimal places.

1. What is the probability that a randomly chosen 10 year old is shorter than 57 inches?

2. What is the probability that a randomly chosen 10 year old is between 50 and 52 inches?

3. If the tallest 15% of the class is considered very tall, what is the height cutoff for very tall? inches

4. What is the height of a 10 year old who is at the 39 th percentile? inches

5. In order to ride the Great Chase ride at Six Flags America, a person must be no shorter than 42 inches. What proportion of 10 year olds cannot go on this ride?

The yield to maturity (YTM) on 1-year zero-coupon bonds is 7% and the YTM on 2-year zeros is 8%. The yield to maturity on 2-year-maturity coupon bonds with coupon rates of 11% (paid annually) is 7.7%.

a. What arbitrage opportunity is available for an investment banking firm?

The arbitrage strategy is to buy zeros with face values of $____ and $____ , and respective maturities of one year and two years.

b. What is the profit on the activity?

Multiple Choice

• $2,580,867

• $2,094,400

• $2,859,133

• $2,709,910

• $2,451,823

Colton Enterprises experienced the following events for Year 1, the first year of operation:

1. Acquired $55,000 cash from the issue of common stock.
2. Paid $14,000 cash in advance for rent. The payment was for the period April 1, Year 1, to March 31, Year 2.
3. Performed services for customers on account for $112,000.
4. Incurred operating expenses on account of $45,000.
5. Collected $85,500 cash from accounts receivable.
6. Paid $41,000 cash for salary expense.
7. Paid $36,000 cash as a partial payment on accounts payable.

Adjusting Entries

8. Made the adjusting entry for the expired rent. (See Event 2.)
9. Recorded $6,400 of accrued salaries at the end of Year 1.

Events for Year 2

1. Paid $6,400 cash for the salaries accrued at the end of the prior accounting period.
2. Performed services for cash of $61,000.
3. Purchased $4,800 of supplies on account.
4. Paid $16,500 cash in advance for rent. The payment was for one year beginning April 1, Year 2.
5. Performed services for customers on account for $128,000.
6. Incurred operating expenses on account of $61,500.
7. Collected $109,000 cash from accounts receivable.
8. Paid $59,000 cash as a partial payment on accounts payable.
9. Paid $33,500 cash for salary expense.
10. Paid a $11,000 cash dividend to stockholders.

Adjusting Entries

11. Made the adjusting entry for the expired rent. (Hint: Part of the rent was paid in Year 1.)
12. Recorded supplies expense. A physical count showed that $450 of supplies were still on hand.

d- 3Prepare a balance sheet for Year 1.
d-4. Prepare a statement of cash flows for Year 1. (Amounts to be deducted should be indicated by a minus sign.)
e. Record the entries to close the Year 1 temporary accounts to Retained Earnings in the general journal and post to the T-accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

f. Prepare a post-closing trial balance for December 31, Year 1.
g. Repeat parts a through f for Year 2. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Statement of Cash Flows only, items to be deducted must be indicated with a negative amount. )

You are considering taking a 1-year certificate in stock trading or a 1-year certificate in financial analytics. The certificate in trading will cost you $25,000 and will increase your salary by $8,000 a year for the next 5 years. The certificate in analytics will cost $40,000, and will increase your salary by $12,000 a year for the next 5 years. Based on your calculation of NPV and IRR and MIRR, which certificate will you choose? Use 10% as your discount rate.

You have taken out a $100,000, one-year ARM. The teaser rate in the first year is 4.5% (annual). The index interest rate after the first year is 3.25% and the margin is 2.75%. (Note: The term on this ARM is 30 years). There is also a periodic (annual) rate cap of 1.00%. Given this information, determine the monthly mortgage payment you would be scheduled to make in month 13 of the mortgage loan's term. A) $321.64 B) $566.26 C) $506.69 D) $597.21