a) Tom Goodly Ltd guarantees the bank overdraft of Pete Smith Ltd during 2018. Tom Goodly Ltd’s reporting period ends on 30 June each year. At the time of

providing the guarantee, Pete Smith Ltd was in a sound financial position. During late 2019, due to the outbreak of the COVID-19 pandemic, international

trading conditions deteriorated to such an extent that Pete Smith Ltd incurred substantial losses. Finally, on 25 July 2020, Pete Smith Ltd was forced to file for

protection from its creditors.

Required:

Explain how Tom Goodly Ltd would report the guarantee provided to Pete Smith Ltd in its financial statements ending

i) 30 June 2019

ii) 30 June 2020 3

b) As at 30 June 2018, T&P Ltd’s equity accounts are as follow: 400  000 ‘A’ ordinary shares, issued at $2.50 each, fully paid $ 1 000 000

75  000  6% cumulative preference shares, issued at $3 and paid to $2 150  000

Accumulated losses (12 750)

As the company had incurred a loss for the year ended 30 June 2018, no dividends were declared for that year. The following transactions and events occurred during the year ended 30 June 2020.

2019 July 25 The directors made the final call of $1 on the preference shares. Aug 31 All call monies were received except those owing on 5000 preference shares.

Sept 7 The directors resolved to forfeit 5000 preference shares for non-payment of the call. The constitution of the company directs that forfeited amounts are not to be refunded to shareholders. The shares will not be reissued.

Nov 1 The company issued a prospectus offering 40  000 ‘B’ ordinary shares payable in two instalments: $3 on application and $2 on 30 November 2022. The offer closed on 30 November.

Nov 30 Applications for 50  000 ‘B’ ordinary shares were received.

Dec 1 The directors resolved to allot the ‘B’ ordinary shares pro rata with all

applicants receiving 80% of the shares applied for. Excess application

monies were allowed to be held. The shares were duly allotted.

Dec 5 Share issue costs of $8600 were paid.

Required:

Prepare general journal entries to record the above transactions.

1.

The typical total product curve

Question 13 options:

Anytime a firm faces a situation where MR < MC, the firm should

Question 15 options:

Jamal operates in the perfectly competitive paper toothpick industry, where the market price is $2 per unit. At Jamal’s profit maximizing output level of 10 units, he faces an average total cost of $4 and an average variable cost of $1. Which of the following is true?

Question 19 options:

If the marginal product of labor decreases as employment increases,

Question 22 options:

If a firm is experiencing increasing marginal returns to its only variable input, then

Question 30 options:

EMICYEAR2019-2020
Question No 3:
Five Star enterprises is a multinational company situated in Muscat and is operating in more than
26 different countries. Majority of multinational companies are facing a problem that accounting
rules are different around the world. Same is the case with Five Star enterprises. While preparing
their statements, they often have to prepare them twice, once in their home country in accordance
with the home country rules and once abroad in accordance with the foreign rules. Additionally,
every region has different historical backgrounds, norms and political systems. They also have
different patterns of financial accounting practices.
Due to all these factors and practices, businesses are under high risk by treating same problems
differently all over. Likewise others, Five Star enterprises also faces difficulties while preparing
their financial results. The management finds it risky, when same company operating in different
countries follows different pattern of reporting. To consider these different accounting rules, now
throughout the world, there is strong need of international harmonisation, and nearly all the
countries in the world now support to develop a set of international accounting standards.
It focuses on narrowing the areas of difference and to eradicate undesirable alternative practices
in financial reporting. It is process of merging and combining various practices into an organized
structure, which produces collaborative result. It is believed some companies have a public
accountability to a great variety of interest groups. These differences which are in the mind of
accountants lead to different views on what is suitable accounting treatment.
a. You are the country manager of Five Star enterprises Oman. Your head office in Italy, is
receiving collective feedback from all the branches. Being the representative of Five Star
enterprises, what would be your feedback in support of harmonisation?
b. In your opinion, what were the challenges faced by Five Star enterprises while preparing their
annual report and explain how it can be avoided in future?
Your answer should be around 400 words for each question.

Write a two-page executive report describing how information technology effects an enterprise familiar to you (your workplace, a volunteer organization, a religious organization). What types of information systems do you find in your enterprise? Why is information technology important in this context? What information and knowledge is important to various stakeholders inside and outside the organization? How do information technology, information and knowledge currently add value to the enterprise? How could IT, information, and knowledge create value for this organization in the next 5 years?

When we study technology we should consider how technology is changing and how those changes affect the world around us. Considering how the world into which someone was born in 1955 was different in 2015 when that person would turn 65. What changes in the world occurred because of changes in computer technology during that time – both in everyday life and “behind the scenes” affecting everyday life. What common devices and social practices, such as using a payphone or having the newspaper delivered, have changed?

A local independent laboratory has been producing negative margins for two years. The laboratory is struggling to compete in the market with the National laboratories primarily in the area of technology. Physician’s are demanding electronic results delivered directly into their medical record and are threatening to move their business to a larger, National Laboratory that can provide this technology to the physician at no cost. Another independent laboratory has offered to provide this technology for 80% ownership in the failing laboratory. Should the failing laboratory enter into a joint venture? Why or why not? What are the potential benefits and risks of this strategic alliance?

Do you think the use and advancement of technology are essential to the criminal just system? Please describe and explain how technology has evolved the criminal justice system in law enforcement, corrections, and the courts. Also, please provide an example of a new technology that has been implemented in law enforcement, corrections, and the courts that you believe has been beneficial.

Please introduce yourself here. Share any information about yourself that would let us get to know you better.

This is criminal JUSTICE SUBJECT.

Carla Corporation has one temporary difference at the end of 2020 that will reverse and cause taxable amounts of $57,000 in 2021, $61,800 in 2022, and $67,300 in 2023. Carla’s pretax financial income for 2020 is $286,600, and the tax rate is 30% for all years. There are no deferred taxes at the beginning of 2020.

Compute taxable income and income taxes payable for 2020.

Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2020

Prepare the income tax expense section of the income statement for 2020, beginning with the line “Income before income taxes.”.

On January 1, 2020, The Fio Corporation purchased a machine for $600,000. The corporation estimated a 5-year useful life (or 300,000 units of useful life) and $60,000 residual/salvage value.

45000 Units were produced in 2020.

6 points:

Complete the following table using the indicated depreciation method and year for each row of the table.

4 points:

What would the journal entry be if the straight-line method was used and the machine was sold on 12/31/2020 for $500,000?