Income Statement, Statement of Stockholders’ Equity, and Balance Sheet

Napolean Corporation started business on January 1, 2016. The following information was compiled by Napolean’s accountant on December 31, 2016:

Required

You have been asked to assist the accountant for the Napolean Corporation in preparing year-end financial statements. Use the above information to prepare an income statement, statement of stockholders’ equity, and a balance sheet as of December 31, 2016.

Compucat is a Canadian manufacturing company that produces inexpensive personal and laptop computers. The company has been generating progressively more of its sales from foreign markets. During 2016, the company started purchasing most of its components from a supplier in Germany.

To deal with the uncertainty associated with foreign exchange fluctuations, all of Compucat's foreign currency denominated receivables and payables are hedged with contracts with the company's bank. Compucat's year-end is on December 31. The following transactions took place in 2016:

On September 1, 2016, Compucat purchased components from its German supplier for 100,000 Euros. On that date Compucat entered into a forward contract for 100,000 Euros at the 60 day forward rate of 1 Euro = CDN$1.50. The forward contract was designated as a fair value hedge of the amount payable to the German supplier. Compucat settled with the bank and paid its supplier in full on December 1, 2016.

On December 1, 2016 Compucat also shipped a batch of laptop computers to an American client for US$250,000. The invoice required that Compucat receive its payment in full by January 31, 2017. On the date of the sale, the company entered into a forward contract for US$250,000 at the two-month forward rate of US$1 = CDN$1.25. This forward contract was designated to be a fair value hedge of the amount due from the American customer.

The dates and exchange rates relevant to these transactions are shown below:

1) Prepare the 2017 Journal Entries if the company invoked fair value hedge accounting

2) What would the balance in the asset and liability accounts as at December 31, 2016?

Stockholders' Equity. (Note: an example for this problem will be worked in class on Monday, June 11. You might want to wait until Monday evening to try this problem.)

                           Given the following information for Company G at 1/1/16:

                  Retained earnings at 1/1/16 were $800,000.

                  Common stock at 1/1/16 was $ 300,000.

                  Additional Paid-in Capital at 1/1/16 was $900,000.

         The description of the common stock at 1/1/16 was: $10 par value, 100,000 shares authorized, 30,000 shares issued and outstanding.

         During 2016 (its second year), Company G had the following activity:

1. The income statement reflected net income of $200,000 for the year ended 12/31/16.

2. Cash dividends of $1 per share were declared and paid to the common shareholders in February of 2016.

3. On June 1, 2016, Company G declared a 100% stock dividend.

4. On July, 1, 2016, Company G distributed the 100% stock dividend.

5. On September 1 of 2016, Company G repurchased 2,000 shares of its own stock at $25 per share. Company G uses the cost method to account for treasury stock transactions.

6. On December 1 of 2016, Company G reissued 600 shares of the treasury stock at $22 per share.

A. On the answer sheet, prepare journal entries for Items 2 – 6 above.

B.   On the answer sheet, complete the Statement of Stockholders’ Equity for Items 1 – 6 above.

C. On the answer sheet, complete the Stockholders' Equity section of the balance sheet at December 31, 2016, including the appropriate description for the common stock and treasury stock.

B. ( 2 points) Statement of Stockholders’ Equity                   APIC - TS

                                  CS             APIC-CS           RE             TS          CS Dividend

                                                                                                               Distributable

      2016 Begin.   ________       _______      _______      _______      ________

      1. Net Inc.      ________       _______      _______      _______      ________

      2. Cash Div    ________       _______      _______      _______      ________

      3. Stock Div. ________       _______      _______      _______      ________

      4. Stock Div. ________       _______      _______      _______      ________

      5. TS              ________       _______      _______      _______      ________

      6. TS              ________       _______      _______      _______      ________

     2016 Ending   ________       _______      _______      _______      ________

I just need the bolded question done.

1. AFN equation

Broussard Skateboard's sales are expected to increase by 25% from $8.0 million in 2016 to $10.00 million in 2017. Its assets totaled $2 million at the end of 2016. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2016, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 4%, and the forecasted payout ratio is 70%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year. Round your answer to the nearest dollar. Do not round intermediate calculations.

Answer:

2. AFN equation

Broussard Skateboard's sales are expected to increase by 20% from $8.6 million in 2016 to $10.32 million in 2017. Its assets totaled $6 million at the end of 2016. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2016, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 5%, and the forecasted payout ratio is 75%. What would be the additional funds needed? Do not round intermediate calculations. Round your answer to the nearest dollar.

Answer:

3. AFN Equation

Broussard Skateboard's sales are expected to increase by 20% from $8.8 million in 2016 to $10.56 million in 2017. Its assets totaled $4 million at the end of 2016. Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2016, current liabilities were $1.4 million, consisting of $450,000 of accounts payable, $500,000 of notes payable, and $450,000 of accruals. The after-tax profit margin is forecasted to be 5%. Assume that the company pays no dividends. Under these assumptions, what would be the additional funds needed for the coming year? Do not round intermediate calculations. Round your answer to the nearest dollar.

Answer:

Which of the following statements is FALSE? Select one: a. With a discount loan, the borrower is required to pay the interest at the end of the loan period. b. A bridge loan is another type of short-term bank loan that is often used to "bridge the gap" until a firm can arrange for long-term financing. c. Bridge loans are often quoted as discount loans with fixed interest rates. d. After a natural disaster, lenders may provide businesses with short-term loans to serve as bridges until they receive insurance payments or long-term disaster relief.

Which of the following statements is FALSE?

Select one:

a. Inventory helps minimize the risk that the firm will not be able to obtain an input it needs for production.

b. Firms may hold inventory because factors such as seasonality in demand mean that customer purchases do not perfectly match the most efficient production cycle.

c. Because excessive inventory uses cash, efficient management of inventory increases firm value.

d. If a firm holds too much inventory, stock-outs, the situation when a firm runs out of product, may occur, leading to lost sales.

Clear my choice

Identify these elements of your state and local budget process:

a. Does your state have an annual or a biennial budget? Does it appear to have a separate budget for acquisition of capital assets (buildings, roads, bridges, etc)? South Carolina or Georgia

b. What units direct the preparation of the executive budget/ (Not all states have an executive budget.)

c. How many appropriation bills are usually passed?

d. How much object-of-expenditure detail appears in these bills?

e. What item-veto power, if any, does the governor have? Can the governor change the amounts in appropriations bills or is the veto limited to total amounts?

f. Is the budget process described on a state website? Does the website have the budget instruction issued to state agencies?

g. Is the state budget easily accessible on the state website?

h. Does the website provide information on the agency requests, in additions to the executive proposal and adopted appropriations? The National Association of State Budget Officers provides much of this information in its publication Budget Process in the States, which may be accessed at its website [http://www.nasbo.org].

In 2003, London established a congestion charge for cars and vehicles entering the central London area. Today, motorists entering the charge zone area pay a flat rate of £11.50 (around $22AUD), debited through a scanner. Failure to pay the charge results in a penalty of £130. Currently, electric cars and some low-emmission hybrids receive free entry to the zone. Net revenue from the charge is used to invest in public transport, improved roads and bridges, and create walking and cycling paths. What economic problem (or problems) do you think the congestion charge is trying to solve? Explain how the congestion charge might help to solve these problems.

B)After the charge was introduced, the number of vehicles entering the zone fell by about one-third, riders on buses increased by 15%, and bicycle use increased by 30%. Using principles of microeconomics, what explanations can you give for these changes in the behaviour of drivers?

C)Suppose the charge is increased by 15%, and revenue from the charge scheme increases by 20%. Explain why revenue has increased at a faster rate than price in this case

Use the aggregate demand/aggregate supply framework to answer the following questions:

(a) A sharp decline in the stock market due to an increase in corporate bankruptcies leads to a decline in consumer and business confidence. What effect would you expect this shock to have on output and inflation in the short-run?
(b) The US government decides to lower military expenditures to reduce the budget deficit. What effect would you expect this shock to have on output and inflation in the shortrun?
(c) State and local governments increase infrastructure spending on highways and bridges boosting potential output. What effect does this shock have on output and inflation in the short-run? What effect does this shock have on output and the inflation in the long-run if monetary policy does not respond?
(d) A surge in violence in the Mideast causes a temporary spike in global oil prices. What effect would you expect this shock to have on output and inflation in the short-run?
(e) A temporary tax rebate is enacted by Congress in an effort to boost reelection prospects. What effect would you expect this shock to have on output and inflation in the shortrun?

Which off the following does NOT occur during skeletal muscle contraction?

Titin fibers compress

Actin and myosin shorten

Sarcomers shorten

2. Action potential propagated along the sarcolemma stimulate ___________ located on transverse tubules.2.

Nicotinic receptors

Ryanodine receptors

DHP receptors

3. Which of the following does not occur during the "Excitation" of a skeletal muscle?

Group of answer choices

The cell membrane depolarizes

ATPase on myosin heads split ATP

The myosin head binding site on actin is exposed

The passive force of contraction increases

4. What happens as an IMMEDIATE result of Ryanodine receptors on the sarcoplasmic reticulum being stimulate?

Ryanodine receptors simulate DHP receptors on T-tubules

Myosin cross bridges are formed

Calcium ions diffuse out of the saroplasmic reticulum

5. Why does lactic acid produced during anaerobic metabolism cause fatigue?

Because H+ from lactic acid interfers with crossbridge formation

Because lactic acid produced duirng anaerobic metabolism produces only 2 molecules of ATP

Because the myosin head is denature by lactic aci