The individual financial statements for Gibson Company and Keller Company for the year ending December 31, 2018, follow. Gibson acquired a 60 percent interest in Keller on January 1, 2017, in exchange for various considerations totaling $900,000. At the acquisition date, the fair value of the noncontrolling interest was $600,000 and Keller’s book value was $1,200,000. Keller had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $300,000. This intangible asset is being amortized over 20 years.

Gibson sold Keller land with a book value of $55,000 on January 2, 2017, for $130,000. Keller still holds this land at the end of the current year.

Keller regularly transfers inventory to Gibson. In 2017, it shipped inventory costing $227,500 to Gibson at a price of $350,000. During 2018, intra-entity shipments totaled $400,000, although the original cost to Keller was only $240,000. In each of these years, 20 percent of the merchandise was not resold to outside parties until the period following the transfer. Gibson owes Keller $60,000 at the end of 2018.

(Note: Parentheses indicate a credit balance.)

Prepare a worksheet to consolidate the separate 2018 financial statements for Gibson and Keller.

How would the consolidation entries in requirement (a) have differed if Gibson had sold a building with a $160,000 book value (cost of $340,000) to Keller for $300,000 instead of land, as the problem reports? Assume that the building had a 10-year remaining life at the date of transfer.

The individual financial statements for Gibson Company and Keller Company for the year ending December 31, 2018, follow. Gibson acquired a 60 percent interest in Keller on January 1, 2017, in exchange for various considerations totaling $600,000. At the acquisition date, the fair value of the noncontrolling interest was $400,000 and Keller’s book value was $800,000. Keller had developed internally a customer list that was not recorded on its books but had an acquisition-date fair value of $200,000. This intangible asset is being amortized over 20 years.

Gibson sold Keller land with a book value of $50,000 on January 2, 2017, for $110,000. Keller still holds this land at the end of the current year.

Keller regularly transfers inventory to Gibson. In 2017, it shipped inventory costing $175,000 to Gibson at a price of $250,000. During 2018, intra-entity shipments totaled $300,000, although the original cost to Keller was only $195,000. In each of these years, 20 percent of the merchandise was not resold to outside parties until the period following the transfer. Gibson owes Keller $55,000 at the end of 2018.

(Note: Parentheses indicate a credit balance.)

1. Prepare a worksheet to consolidate the separate 2018 financial statements for Gibson and Keller.

2. How would the consolidation entries in requirement (a) have differed if Gibson had sold a building with a $110,000 book value (cost of $240,000) to Keller for $200,000 instead of land, as the problem reports? Assume that the building had a 10-year remaining life at the date of transfer.

Cascade Company was started on January 1, Year 1, when it acquired $160,000 cash from the owners. During Year 1, the company earned cash revenues of $90,400 and incurred cash expenses of $62,500. The company also paid cash distributions of $7,000. Required Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows under each of the following assumptions. (Consider each assumption separately.)

a. Cascade is a sole proprietorship owned by Carl Cascade.

Complete this question by entering your answers in the tabs below.

• Inc Stmt
• Stmt of Changes
• Bal Sheet
• Cash Flows

Required information

[The following information applies to the questions displayed below.]

Cascade Company was started on January 1, Year 1, when it acquired $164,000 cash from the owners. During Year 1, the company earned cash revenues of $94,300 and incurred cash expenses of $69,500. The company also paid cash distributions of $9,500.

Required

Prepare a Year 1 income statement, capital statement (statement of changes in equity), balance sheet, and statement of cash flows under each of the following assumptions. (Consider each assumption separately.)

3. Cascade is a corporation. It issued 9,000 shares of $9 par common stock for $164,000 cash to start the business.

Question One: Compare:

In a work interview for the position of Tax Accountant, the general manager of the company asked you to explain the difference between individual income tax and business income tax.

Required:

Compare briefly between the individual income tax and business income tax as it is shown in the table below.

The Office Supplies account started the year with a $3,875 balance. During 2015, the company purchased supplies for $16,004, which was added to the Office Supplies account. The inventory of supplies available at December 31, 2015, totaled $3,410.

Record the adjusting entry related to the company's insurance.

The company has 15 employees, who earn a total of $2,650 in salaries each working day. They are paid each Monday for their work in the five-day workweek ending on the previous Friday. Assume that December 31, 2015, is a Tuesday, and all 15 employees worked the first two days of that week. Because New Year’s Day is a paid holiday, they will be paid salaries for five full days on Monday, January 6, 2016.

The company purchased a building on January 1, 2015. It cost $875,000 and is expected to have a $45,000 salvage value at the end of its predicted 30-year life. Annual depreciation is $27,667.

Since the company is not large enough to occupy the entire building it owns, it rented space to a tenant at $2,500 per month, starting on November 1, 2015. The rent was paid on time on November 1, and the amount received was credited to the Rent Earned account. However, the tenant has not paid the December rent. The company has worked out an agreement with the tenant, who has promised to pay both December and January rent in full on January 15. The tenant has agreed not to fall behind again.

On November 1, the company rented space to another tenant for $2,265 per month. The tenant paid five months' rent in advance on that date. The payment was recorded with a credit to the Unearned Rent account.

Note: Enter debits before credits.

+

Office supplies expense

the party-identification model
the sociological model
the rational-choice model
the dominant-ideology model.

Party-identification model
The earliest theory of voting behaviour, the party-identification model, is based on the sense of psychological attachment that people have to parties. Electors are seen as people who identify with a party, in the sense of being long-term supporters who regard the party as ‘their’ party. Voting is therefore a manifestation of partisanship, not a product of calculation influenced by factors such as policies, personalities, campaigning and media coverage. This model places heavy stress on early political socialization (see p. 178), seeing the family as the principal means through which political loyalties are forged. These are then, in most cases, reinforced by group membership and later social experiences.

Sociological model

The sociological model links voting behaviour to group membership, suggesting that electors tend to adopt a voting pattern that reflects the economic and social position of the group to which they belong. Rather than developing a psychological attachment to a party on the basis of family influence, this model highlights the importance of a social alignment, reflecting the various divisions and tensions within society. The most significant of these divisions are class, gender, ethnicity, religion and region. Although the impact of socialization is not irrelevant to this model, social-base ex planations allow for rationality insofar as group interests may help to shape party allegiances. For many analysts, the sociological model is best understood as an ‘interest plus socialization’ approach to voting (Denver, 2012). This has perhaps been clearest in relation to social class.

Rational-choice model
Rational-choice models of voting shift attention onto the individual, and away from socialization and the behaviour of social groups. In this view, voting is seen as a rational act, in the sense that individual electors are believed to decide their party pre ference on the basis of personal self-interest. Rather than being habitual, a manifestation of broader attachments and allegiances, voting is seen as essentially instrumental; that is, as a means to an end. Rational-choice models differ in that some, following the example of V. O. Key (1966), see voting as a retrospective comment on the party in power and how its performance has influenced citizen’s choice. Others, such as Himmelveit et al., (1985), portray.

Dominant-ideology model

Radical theories of voting tend to highlight the degree to which individual choices are shaped by a process of ideological manipulation and control. In some respects, such theories resemble the sociological model, in that voting is seen to reflect a person’s position in a social hierarchy. Where these theories differ from
the sociological model, however, is in emphasizing that how groups and individuals interpret their position depends on how it has been presented to them through education, by the government and, above all, by the mass media. (The influence of the media on political debate and party competition is examined in greater detail in Chapter 8.) voters as active, in the sense that they behave like consumers expressing a choice
amongst the available policy options.

7) . How, do you think, the killing of African-American George Floyd and the following violent demonstrations will affect the decisions of US citizens in the coming Presidential elections in November according to determinants of voting behavior?

QUESTION 2 [Total = 15 marks]

Sports-R-Us Ltd runs a highly successful retail sporting business with stores in major shopping centres in metropolitan areas throughout Australia. It has come to the attention of Hannah, a substantial shareholder in Sports-R-Us that the company is sourcing merchandise produced in Erewhon, a developing country recovering from a civil war. She also learns that labour practice relied on in Erewhon is low wages, forced labour and low standards of workplace health and safety, but that there are otherwise limited employment opportunities. Nonetheless, she would like a members’ meeting to be held and a resolution to be passed by the shareholders at that meeting instructing the Board of Sports-R-Us to cancel any contracts they have for the purchase of merchandise produced in Erewhon.

(a) Can Hannah call such a meeting and can the shareholders pass such a resolution?

(b) Would you answer be different if the resolution was to remove the directors?

1. What are the ‘five major types of income” ? 2. Please describe each type of income in some detail: a) what does it take, exactly, for a worker to earn a wage? b) how is interest income earned? c) how is ‘capital gain’ income earned? d) how is ‘inheritance’ income earned, exactly? e) how are social security benefits earned? f) how are private sector pensions and government employee pensions earned? g) how are unemployment insurance benefits earned?   3. Please rank each type of income on a scale from 1, contributes the most to our economy and our society, to 5, contributes the least, and defend your ranking system. 4. In your opinion, should one type of income be taxed at a higher rate than the others? Why? Should one type of income be taxed at a lower rate? If so, why?  

A company pays its salespeople on a commission basis. The salespeople are paid $200 per week plus 9% of their gross sales for that week. For example, a salesperson who sells $5000 worth of merchandise in a week is paid $200 plus 9% of $5000, for a weekly pay of $650.

Create an application that uses a for loop to input each sales person’s gross sales for the week, and calculates and displays that sales person’s weekly pay. Process one sales person’s figures at a time. In the end, print out the weekly total sales and total pay for all company salespeople. All output values should be labeled and formatted to include a dollar sign and two decimal digits (i.e., dollars and cents). Skip lines in the output to separate data for each person and to separate the totals from the individual data.

Here is a pseudocode definition of the program requirements:

Initialize variables used to accumulate company totals for sales and weekly pay

Prompt the user to enter the number of salespersons to be processed

For each salesperson

Prompt the user to enter the weekly sales for that person Calculate and display and display the weekly pay for that person

Update variables used to accumulate company totals for sales and weekly pay

Display company totals for sales and weekly pay

Here is a sample test run of the application: sales commission calculator

Enter the number of salespersons: 2

Enter sales in dollars for sales person 1: 5000

Weekly pay is $650.00

Enter sales in dollars for sales person 2: 7500

Weekly pay is $875.00

Total weekly sales: $12500.00

Total weekly pay: $1525.00

THIS IS IN PYTHON