On December 31, Year 13, Onyx Corporation accepted an 8%, 10 year, $300,000 note for consulting services performed at the end of Year 13. Interest on the note will be accrued quarterly, and the note carries an effective rate of 12%.

a. What would be the journal entry to record initial acceptance of the note?

b. What is the carrying value of the note on April 1^st, Year18, assuming 23 interest payments remain to be paid?

c. What is the total interest revenue of the note for the year-end December 31, Year 14 (round to the nearest dollar)?

The Shirt Shop had the following transactions for T-shirts for Year 1, its first year of operations

During the year, The Shirt Shop sold 1,080 T-shirts for $24 each.

PART I.) Compute the amount of ending inventory The Shirt Shop would report on the balance sheet, assuming the following cost flow assumptions: (1) FIFO, (2) LIFO, and (3) weighted average. (Round cost per unit to 2 decimal places and final answers to the nearest whole dollar amount.)

PART II.) Record the above transactions in general journal form using FIFO method

PART III.) Record the above transactions in general journal form using LIFO method. Assume all transactions are cash transactions.

PART IV.) Record the above transactions in general journal form using weighted average method. Assume all transactions are cash transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round cost per unit to 2 decimal places and final answers to the nearest whole dollar amount.)

PART V.) post to T-accounts using FIFO method. Assume all transactions are cash transactions.

PART VI.) Post to T-accounts using LIFO method. Assume all transactions are cash transactions.

PART VII.) Post to T-accounts using weighted average method. Assume all transactions are cash transactions. (Round cost per unit to 2 decimal places and final answers to the nearest whole dollar amount.)

EXAMPLE 1- TAXPAYER HAS 3 PASSIVE ACTIVITIES WITH THE FOLLOWING RESULTS FOR THE CURRENT YEAR(YEAR 1): ACTIVITY A ($10,000), ACTIVITY B ($15,000), AND ACTIVITY C $6,000TAXPAYER CAN DEDUCT ONLY $6,000 OF THE PASSIVE LOSSES SINCE PASSIVE LOSSES ARE DEDUCTIBLE ONLY UP TO PASSIVE INCOME WITH THE FOLLOWING LOSS CARRYFORWARDS TO YEAR 2: $19,000 DISALLOWED LOSSES X 10/25= ($7,600) LOSS CARRIED FORWARD FROM ACITIVITY A $19,000 DISALLOWED LOSSES X 15/25= ($11,400) LOSS CARRIED FORWARD FROM ACTIVITY B

can someone explain this please

Assume Maple Corp. has just completed the third year of its existence (year 3). The table below indicates Maple’s ending book inventory for each year and the additional I.R.C. §263A costs it was required to include in its ending inventory. Maple immediately expensed these costs for book purposes. In year 2, Maple sold all of its year 1 ending inventory, and in year 3 it sold all of its year 2 ending inventory.

1. What book–tax difference associated with its inventory did Maple report in year 1? Was the difference favorable or unfavorable? Was it permanent or temporary?
2. What book–tax difference associated with its inventory did Maple report in year 2? Was the difference favorable or unfavorable? Was it permanent or temporary?
3. What book–tax difference associated with its inventory did Maple report in year 3? Was the difference favorable or unfavorable? Was it permanent or temporary?

company has the following operating data for the past 2 years:

Sales in year 1 is $70,000 less than sales in year 2.

The Company had the same capital turnover in both years.

Q.) What is the sales margin in Year 2

1. A business invests $5000 and initially plans to achieve annual revenue of $1100/YEAR with $200/YEAR expenses (starting at the end of year 1) for ten years. No market value if used for 10 years.

Part A:

Draw a before tax cash flow diagram of the ten-year plan

Part B:

If at the end of year 6, the investment is sold for $1000, calculate the PW, FW, and AW for the before tax cash flow MARR of 12%. Is the investment worth it? And why ?

Part C:

If the investment was used for ten years with no market value, what are the simple payback and the discounted payback periods.

Part D:

What is the IRR if it used for the ten years with no market value? Is it a good investment in this way? If so why?

(b) During the year ended 30 June Year 6, Nungua Ltd acquired freehold land at a cost of
GHC 500,000 and built a distribution centre on it, using a mixture of subcontract and own
labour. The distribution centre cost a total of GHC 200,000 to construct. The construction was
completed by the end of April.

Required:

Set out the audit objectives in respect of the above and the substantive procedures you would
carry out to achieve those objectives.

During Year 1 and Year 2, Agatha Corp. completed the following transactions relating to its bond issue. The corporation’s fiscal year is the calendar year.

Year 1

Year 2

Timpanogos Inc. is an accrual-method calendar-year corporation. For the current year 2017, it reported financial statement income after taxes of $1,552,000. Timpanogos provided the following information relating to its current year activities:

Life insurance proceeds as a result of CEO’s death $ 200,000

Revenue from sales (for both book and tax purposes) 2,000,000

Premiums paid on the key-person life insurance policies (the policies have no cash surrender value) 21,000

Charitable contributions 180,000

Interest income on tax-exempt bonds 40,000

Interest paid on loan obtained to purchase tax-exempt bonds 45,000

Rental income payments received and earned in current year 15,000

Rental income payments received in last year but earned in current year 10,000

Rental income payments received in current year but not earned by year-end 30,000

MACRS depreciation 55,000

Book depreciation 25,000

Net capital loss 42,000

Federal income tax expense for books in current year 400,000

Required:

1. Parts A and B are done in a Word table – one page single sided.

2. Parts C and D are done on Form M-1.Fill in information form www.irs.gov

3.

A. Reconcile book income to taxable income for Timpanogos Inc. Be sure to start with book income and identify all of the adjustments necessary to arrive at taxable income.

B. Identify each book–tax difference as either permanent or temporary.

C. Complete Schedule M-1 for Timpanogos.

D. Compute Timpanogos Inc.’s tax liability.