XXX Corporation acquired 80% of the outstanding shares of United Company on June 1, 2020 for P3,517,500. United Company’s stockholders equity components at the end of this year as follows: Ordinary shares, P100 par, P1,500,000, Share premium P675,000 and Retained earnings P1,335,000. Non-controlling interest is measured at fair value and the fair value is P705,000. The assets of united were fairly valued, except for inventories, which are overstated by P66,000 and equipment which was understated by P90,000. Remaining useful life of equipment is 4 years. Stockholder’s equity of XXX on January 1, 2020 is composed of ordinary shares P4,500,000, Share Premium P1,050,000, Retained Earnings P3,150,000. Goodwill, if any, should be written down by P85,350 at year-end. Net income for the first year of parent is P450,000 and the net income of subsidiary from the date of acquisition is P255,000. Dividends declared at the end of the year amounted to P120,000 and P90,000 for XXX and United respectively. During the year, there was no issuance of new ordinary shares .

What is the amount of consolidated shareholder’s equity and the non-controlling interest on December 31, 2020?

Bensen Company began operations when it acquired $26,700 cash from the issue of common stock on January 1, 2018. The cash acquired was immediately used to purchase equipment for $26,700 that had a $3,500 salvage value and an expected useful life of four years. The equipment was used to produce the following revenue stream (assume all revenue transactions are for cash). At the beginning of the fifth year, the equipment was sold for $2,300 cash. Bensen uses straight-line depreciation.

Required

Prepare income statements, statements of changes in stockholders’ equity, balance sheets, and statements of cash flows for each of the five years. Present the statements in the form of a vertical statements model. (Statement of Cash Flows and Balance Sheet only: Items to be deducted must be indicated with a minus sign.)

Please answer the following question in two or three paragraphs (200+ words). The case study that relates to the question is listed below. This is for a public relations class. Thank you!

1.) Think of some crises that have hit U.S. corporations recently. Which of these social media strategies that Berger used with GM could be particularly useful in those scenarios? How would you use Facebook? Twitter? YouTube? Blogs?

Case Study – General Motors Goes Social with a Financial Crisis:

General Motors used social media to help handle its bankruptcy financial crisis in May 2009. Despite hesitation from the legal and financial consultants advising GM, Christopher Berger convinced the CEO to use Twitter and Facebook to let shareholders know of the chapter 11 filing. Berger, director of global social media at GM, said that getting CEO Fritz Henderson on board with the idea was crucial. GM following a 20/80 policy on its social media posts – 20 percent was GM material posted to Facebook or Twitter or other places and 80 percent was responding to questions. “Even if they were venting and saying, ‘We hate you,’ we tried to respond,” Berger said. “During a crisis, you want to use social media as a tool to respond and make sure that consumers realized you are listening and you care.”

GM employed such social media tactics as posting blogs and live webcasts, playing a video interview on Facebook with Fritz Henderson, and putting the CEO on Twitter for an open conversation. “You cannot overcommunication during a crisis,” Berger said. “Go on every platform, every possible place somebody might be listening to you. The audience expects you to be there.”

During the first week of the crisis, GM engaged in direct conversations via Twitter, Facebook, and through various blogs with about 800 individual people. Berger noted that those 800 conversations were translated into communication with thousands more because followers to those sites would see the conversations. “Again, it’s not ‘Here’s GM’s message; here’s what they want us to know.’ It is real people interacting,” Berger added. “That was a particular benefit for us.”

In one particular effective strategy, GM even sought to engage its critics. GM invited a popular blogger and frequent GM critic, David Meerman Scott, to headquarters and gave him access to the CEO and anyone else he wanted to talk to. Within a week of the visit, Scott had posted four blogs about GM to his blog, Web Ink Now. Scott’s post were still critical of GM’s advertising strategy (something he had been critical of the motor company for previously), but were positive about the corporation overall. “You don’t engage everybody,” Berger noted, adding that critics not interested in a genuine conversation are not worth the time. “If somebody is giving good thought to their criticism, then you want to engage that person.”

To have an effective and credible social media presence during a crisis, it is important to establish a social media strategy before the crisis hits, Berger maintains. “There is no over. This is not a campaign. It is a commitment. This is a long-term way of doing business.”

Please answer the following question in two or three paragraphs (200+ words). The case study that relates to the question is listed below. This is for a public relations class. Thank you!

1.) Why do you think Berger says it is important to have a social media strategy before a crisis hits in order to have any credibility?

Case Study – General Motors Goes Social with a Financial Crisis:

General Motors used social media to help handle its bankruptcy financial crisis in May 2009. Despite hesitation from the legal and financial consultants advising GM, Christopher Berger convinced the CEO to use Twitter and Facebook to let shareholders know of the chapter 11 filing. Berger, director of global social media at GM, said that getting CEO Fritz Henderson on board with the idea was crucial. GM following a 20/80 policy on its social media posts – 20 percent was GM material posted to Facebook or Twitter or other places and 80 percent was responding to questions. “Even if they were venting and saying, ‘We hate you,’ we tried to respond,” Berger said. “During a crisis, you want to use social media as a tool to respond and make sure that consumers realized you are listening and you care.”

GM employed such social media tactics as posting blogs and live webcasts, playing a video interview on Facebook with Fritz Henderson, and putting the CEO on Twitter for an open conversation. “You cannot overcommunication during a crisis,” Berger said. “Go on every platform, every possible place somebody might be listening to you. The audience expects you to be there.”

During the first week of the crisis, GM engaged in direct conversations via Twitter, Facebook, and through various blogs with about 800 individual people. Berger noted that those 800 conversations were translated into communication with thousands more because followers to those sites would see the conversations. “Again, it’s not ‘Here’s GM’s message; here’s what they want us to know.’ It is real people interacting,” Berger added. “That was a particular benefit for us.”

In one particular effective strategy, GM even sought to engage its critics. GM invited a popular blogger and frequent GM critic, David Meerman Scott, to headquarters and gave him access to the CEO and anyone else he wanted to talk to. Within a week of the visit, Scott had posted four blogs about GM to his blog, Web Ink Now. Scott’s post were still critical of GM’s advertising strategy (something he had been critical of the motor company for previously), but were positive about the corporation overall. “You don’t engage everybody,” Berger noted, adding that critics not interested in a genuine conversation are not worth the time. “If somebody is giving good thought to their criticism, then you want to engage that person.”

To have an effective and credible social media presence during a crisis, it is important to establish a social media strategy before the crisis hits, Berger maintains. “There is no over. This is not a campaign. It is a commitment. This is a long-term way of doing business.”

Please answer the following question in two or three paragraphs (200+ words). The case study that relates to the question is listed below. This is for a public relations class. Thank you!

1.) What were some of the dangers of GM being so transparent in the social media with the news that it was filing chapter 11? What were the advantages of that transparency?

Case Study – General Motors Goes Social with a Financial Crisis:

General Motors used social media to help handle its bankruptcy financial crisis in May 2009. Despite hesitation from the legal and financial consultants advising GM, Christopher Berger convinced the CEO to use Twitter and Facebook to let shareholders know of the chapter 11 filing. Berger, director of global social media at GM, said that getting CEO Fritz Henderson on board with the idea was crucial. GM following a 20/80 policy on its social media posts – 20 percent was GM material posted to Facebook or Twitter or other places and 80 percent was responding to questions. “Even if they were venting and saying, ‘We hate you,’ we tried to respond,” Berger said. “During a crisis, you want to use social media as a tool to respond and make sure that consumers realized you are listening and you care.”

GM employed such social media tactics as posting blogs and live webcasts, playing a video interview on Facebook with Fritz Henderson, and putting the CEO on Twitter for an open conversation. “You cannot overcommunication during a crisis,” Berger said. “Go on every platform, every possible place somebody might be listening to you. The audience expects you to be there.”

During the first week of the crisis, GM engaged in direct conversations via Twitter, Facebook, and through various blogs with about 800 individual people. Berger noted that those 800 conversations were translated into communication with thousands more because followers to those sites would see the conversations. “Again, it’s not ‘Here’s GM’s message; here’s what they want us to know.’ It is real people interacting,” Berger added. “That was a particular benefit for us.”

In one particular effective strategy, GM even sought to engage its critics. GM invited a popular blogger and frequent GM critic, David Meerman Scott, to headquarters and gave him access to the CEO and anyone else he wanted to talk to. Within a week of the visit, Scott had posted four blogs about GM to his blog, Web Ink Now. Scott’s post were still critical of GM’s advertising strategy (something he had been critical of the motor company for previously), but were positive about the corporation overall. “You don’t engage everybody,” Berger noted, adding that critics not interested in a genuine conversation are not worth the time. “If somebody is giving good thought to their criticism, then you want to engage that person.”

To have an effective and credible social media presence during a crisis, it is important to establish a social media strategy before the crisis hits, Berger maintains. “There is no over. This is not a campaign. It is a commitment. This is a long-term way of doing business.”

A. A company acquired a new high-tech printing press on January 1, 2016, for $90,000. At that time, the company estimated the press would have a six-year life and salvage value of $6,000. The company uses the straight-line depreciation method for all its equipment. In December 2017, a newer high-tech printing press is introduced in the market. The company controller is concerned that the value of the press may be impaired. The controller has provided you with the following data as of December 2017 and asked you to determine if there is any impairment using US GAAP or IFRS. If there is any impairment, please provide the journal entries. Additionally, as part of the 2018 budget process, the controller has asked you to calculate depreciation expense of the press using both US GAAP and IFRS. (6)

Scrap value should be reduced to $4,000.

Expected future undiscounted cash flows from operating the press are $51,000.

Discounted net present value of expected cash flows from the press is $49,000.

Fair value of the press at December 31, 2017, is $45,000 and selling costs are minimal.

B. Use the same facts as problem A above, except assume that at December 31, 2018, the controller asks what, if any, impairment reserve can be reversed using US GAAP and IFRS, because the controller concludes the press is not impaired at December 31, 2018. The controller has told you to assume the scrap value should remain $4,000.

DAVID IS THE CEO FOR MID ATLANTIC COMPUTER ASSOCIATES. AS PART OF HIS COMPENSATION AGREEMENT, HE NEGOTIATES GOLDEN PARACHUTE PACKAGE THAT PAYS HIM 3.5 MILLION IN THE EVENT THE COMPANY IS ACQUIRED OR HE IS TERMINATED. MID ATLANTIC WAS TAKEN OVER BY BRILLIANT MICRO COMPANY, AND DAVID WAS TERMINATED AND PAID 3.5 MILLION. HIS BASE AMT OF COMPENSATION IS $1 MILLION. WHAT IS TAX CONSEQUENCES TO DAVID

TAXABLE INCOME OF 2.5 MILLION AND EXCISE TAX OF 200,000

TAXABLE INCOME OF 2.5 MILLION AND EXCISE TAX OF 500,000

TAXABLE INCOME OF 3.5 MILLION AND EXCISE TAX IF 500,000

TAXABLE INCOME OF 3.5 MILLION AND EXCISE TAX OF 700,000

1.What is the brief history of the fortune 500 company Costco. Who is the founder? Where? When?

2. Do an. internal analysis of the company.(SWOT, etc)

The attached Excel file has a sample of tuition rates at 10 colleges in the US. Based on this sample consider the hypothesis that average tuition is $7000. Ho: µ=7000. Test this hypothesis and calculate the t value for the test. Enter your answer to 3 decimal places.

The attached Excel file has a sample of tuition rates at 10 colleges in the US. Based on this sample consider the hypothesis that average tuition is $7500.   Ho: µ=7500. Calculate the t value for this test. Enter your answer to 3 decimal places

The attached Excel file has a sample of tuition rates at 10 colleges in the US. Based on this sample consider the hypothesis that average tuition is $7880. Ho: µ=7880. Calculate the t value for this test. Enter your answer to 3 decimal places

CK investments (Pty) is a local hand sanitizing production company. The company was
incorporated in 2010.
The company was started by Charles Mujende who is the 100% shareholder. CK is run by the
owner’s brother in law, Lazareth Shilongo CA(NAM), the CEO of the company. Charles started
the company using his pension fund of N$ 200 000.00.
The start-up funds were used to build the production centre in Tsumeb where the sanitisers are
produced. The ingredients used to make the sanitiser include water from a nearby lake, alcohol
and fragrance. CK investments is known to make sanitizers that leave your skin clean, smelling
good and moisturized, they have patented their recipe and production processes. The sanitiser
is packaged in plastic bottles. It is company policy that all spoilage from production be dumped
in the lake to minimise waste management costs.

You are a charted accountant and you went to university with Lazareth, the two of you have
remained good friends since your time at university. Lazareth has asked you to assist the
company with accounting, finance and internal audit functions of the company as they do not
currently have a CFO or CAE. You accepted the job because he has promised you a handsome
service fee that you will be paid in cash at the end of every month, off the books.
The company employs 500 men to produce, package and sell the sanitisers. All the salesmen
are paid on a commission basis only. The company has a list of commercial suppliers whom
they have a three-year sales agreement with. The CEO is output driven and is known to fire
salespersons who do not sell more than N$10 000.00 worth of sanitiser per month. The CEO
and all executives receive annual bonuses based on the profit before tax of the company.
In 2020, the demand for hand sanitisers increased exponentially due to the Corona virus. The
government has put out a tender to local companies to produce hand sanitizers. The tendering
process is highly competitive.
Fortunately, the audit committee chair, who is also the sales executive at CK, Sidney Haufiku is
good friends with the government official who is overseeing the tender process. Sidney has
invited the government official and his family to a nearby lodge for the weekend. All expenses
for this trip were covered by CK investments and expensed in terms S11a of the income tax act.
On the Saturday afternoon Sidney had a drink with the government official to discuss the
tender. Sidney proposed that he could service the tender at a cost of N$3m, half the market
value of sanitizers to save the government money if he could be guaranteed that the tender
would be awarded to CK Investments. The government official agreed that given countries
financial position, they would agree to the N$3m.
On 30 March the board had their first and last board meeting for the year. The audit committee
has not had a meeting and no other committees have been established as yet. At that meeting
Sidney briefed the board on his deal with the government official. Wilhelm Gariseb, is the
production executive and a member of the board, his department has been experiencing a
shortage of pharmaceutical alcohol in 2020. He proposed that to be able to produce at such low
costs, they could use less alcohol and more water to make the sanitizers. The board consisting of Lazareth Shilongo (chair of the board), Sidney Haufiku (audit comm chair) and Wilhelm Gariseb (member of the board), resolved to apply for the tender at a low cost using less alcohol At the same meeting, the board learned that they were required to hire an external auditor.
Lazareth suggested that you be appointed as the auditor as you are already familiar with the
business. The board members agreed, and you were appointed as the auditor.
On 29 May 2020, a newspaper article published that a local company CK Investments had been
selling the government ineffective sanitizer that was not strong enough to cleanse or sanitize
skin. The government has distributed this sanitizer to schools and hospitals. As a result, the
virus was able to easily spread as people would go about day to day activities under the
assumption that they had effectively sanitized their hands.
After a legal inquiry the company was found guilty of several legal violations. As a result, the
company was liquidated, and all 500 employees were left unemployed.

Question 5 (2)
The executive and government official agreed that the company would benefit from the
contract as they would have more income and the government would save costs from the 3m
dollar deal. Which method of ethical evaluation did they use and why?
Question 6 (2)
What kind of economic system is CK investments operating in? Please provide a reason for your
conclusion.

question 7

Assume that CK is the only seller of sanitizer in the country. What kind of competitive
environment do they operate in? Please draw the demand curves for this type of competition.
Question 8 (5)
Would you agree or disagree that CK investments is operating sustainably? Please provide
reasons for your answer.
Question 9 (10)
Identify any ethical concerns you may in terms of the CPC, based on the company description
above.
Question 10 (12)
Please raise any corporate governance concerns you noted in the description above based on
your knowledge of King 3/4. Please state the principle first and then apply it to the scenario
above.