On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019.

Expenditures on the project were as follows:

On January 1, 2018, the company obtained a $3,300,000 construction loan with a 16% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $2,000,000 and $8,000,000 with interest rates of 10% and 12%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31.

Required:
1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method.
2. What is the total cost of the building?
3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019. Expenditures on the project were as follows: January 1, 2018 $ 2,050,000 March 1, 2018 1,800,000 June 30, 2018 2,000,000 October 1, 2018 1,800,000 January 31, 2019 450,000 April 30, 2019 783,000 August 31, 2019 1,080,000 On January 1, 2018, the company obtained a $5,000,000 construction loan with a 9% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $6,000,000 and $9,000,000 with interest rates of 5% and 8%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31. Required: 1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019.

Expenditures on the project were as follows:

On January 1, 2018, the company obtained a $3 million construction loan with a 12% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $5,400,000 and $7,400,000 with interest rates of 6% and 8%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31.

Required:
1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the weighted-average method.
2. What is the total cost of the building?
3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

1. RBC leased high-tech electronic equipment from Scotia on January 1, 2018. The present value of the lease payments and the fair value of the equipment are both $56,040.

Related Information:                                             

            Lease term                                          2 years (8 quarterly periods)

            Quarterly lease payments                   $7,500 at Jan 1, 2018 and at Mar 31,

                                                                        June 30, Sept 30 and Dec 31 thereafter

Economic life of asset                        2 years (straight-line, zero residual value, quarterly)

The interest rate needs to be calculated with the information provided   

Required:

1. Prepare appropriate journal entries for RBC (assuming it is a finance lease) on January 1, 2018 and March 31, 2018.
2. Prepare appropriate journal entries for RBC (assuming it is an operating lease and the useful life of the asset is five years) on January 1, 2018 and March 31, 2018.
3. Prepare appropriate journal entries for Scotia (assuming it is a finance lease) on January 1, 2018 and March 31, 2018.
4. Prepare appropriate journal entries for Scotia (assuming it is an operating lease and the useful life of the asset is five years) on January 1, 2018 and March 31, 2018.

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019.

Expenditures on the project were as follows:

On January 1, 2018, the company obtained a $3 million construction loan with a 10% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $4,000,000 and $6,000,000 with interest rates of 6% and 8%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31.

Required:
1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the weighted-average method.
2. What is the total cost of the building?
3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.
  

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019. Expenditures on the project were as follows: January 1, 2018 $ 1,310,000 March 1, 2018 1,020,000 June 30, 2018 1,220,000 October 1, 2018 1,020,000 January 31, 2019 333,000 April 30, 2019 666,000 August 31, 2019 963,000 On January 1, 2018, the company obtained a $3,700,000 construction loan with a 12% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $3,000,000 and $7,000,000 with interest rates of 8% and 10%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31. Required: 1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019. Expenditures on the project were as follows: January 1, 2018 $ 1,310,000 March 1, 2018 1,020,000 June 30, 2018 1,220,000 October 1, 2018 1,020,000 January 31, 2019 333,000 April 30, 2019 666,000 August 31, 2019 963,000 On January 1, 2018, the company obtained a $3,700,000 construction loan with a 12% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $3,000,000 and $7,000,000 with interest rates of 8% and 10%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31. Required: 1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method. 2. What is the total cost of the building? 3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

On January 1, 2018, the Mason Manufacturing Company began construction of a building to be used as its office headquarters. The building was completed on September 30, 2019.

Expenditures on the project were as follows:

On January 1, 2018, the company obtained a $3 million construction loan with a 10% interest rate. The loan was outstanding all of 2018 and 2019. The company’s other interest-bearing debt included two long-term notes of $4,000,000 and $6,000,000 with interest rates of 6% and 8%, respectively. Both notes were outstanding during all of 2018 and 2019. Interest is paid annually on all debt. The company’s fiscal year-end is December 31.

Required:
1. Calculate the amount of interest that Mason should capitalize in 2018 and 2019 using the specific interest method.
2. What is the total cost of the building?
3. Calculate the amount of interest expense that will appear in the 2018 and 2019 income statements.

Req 1 and 3

Req 2

A sample of 65 video game satisfaction ratings are given in the following table:

The mean and the standard deviation of the sample of 65 video game satisfaction ratings are x⎯⎯x¯= 41.45 and s = 2.2011.

(a) What does the histogram in Figure 2.15 say about whether the Empirical Rule should be used to describe the satisfaction ratings?

It (Click to select)is notis somewhat reasonable.

(b) Use the Empirical Rule to calculate estimates of tolerance intervals containing 68.26 percent, 95.44 percent, and 99.73 percent of all possible satisfaction ratings. (Round your answers to 4 decimal places.)

(c) Does the estimate of a tolerance interval containing 99.73 percent of all satisfaction ratings provide evidence that 99.73 percent of all customers will give a satisfaction rating for the XYZ-Box game system that is at least 34 (the minimal rating of a “satisfied” customer)? Explain your answer.

(Click to select)NoYes, because the lower limit of the interval is (Click to select)greater thanequal toless than 34.

(d) How do the percentages of the 65 customer satisfaction ratings in that actually fall into the intervals [x⎯⎯x¯ ± s], [x⎯⎯x¯ ± 2s], and [x⎯⎯x¯ ± 3s] compare to those given by the Empirical Rule? Do these comparisons indicate that the statistical inferences you made in parts b and c are reasonably valid? (Round your answers to the nearest whole number. Omit the "%" sign in your response.)

Based on Contract Law: 10 Marks Superstrong Petroleum Products SAOC Wholesalers of petroleum & petroleum products, including racing fuels, oils & lubricants & specialty chemicals were the regular suppliers oils and lubricants to SafePackaging LLC, a manufacturer of duplex cartons operating from the Rusayl Industrial Estate. The two companies had been dealing with each other since 1996 on an informal basis with no written contract. In January 2018, the parties agreed that it would be wise to have a formal contract written. Accordingly, Superstrong Petroleum Products SAOC drew up a draft contract and sent it to the SafePackaging LLC. SafePackaging LLC made some minor amendments and filled in some blanks and sent it back to Superstrong Petroleum Products SAOC. Superstrong then simply filed the document and never communicated their acceptance to the contract. Throughout this period the claimants continued to supply the coal. Subsequently a dispute arose in December 2019. Safepackaging refused to settle an invoice amounting to OMR 65,000 claiming that the Superstrong had charged more than the contracted price. They also claimed that there was no contract between the parties.

You are required to advise Superstrong on the validity of the written agreement between the two parties.

I: Based on the Taxation Law of Oman: 10 marks “Traditionally, double tax treaties (DTTs) served as an important policy tool to promote international economic activity by preventing international double 6 taxations. However, despite the growing number of contributions, the empirical evidence on the effects of double tax treaties on bilateral FDI remains inconclusive.” With reference to the above statement critically evaluate the significance of double tax treaties (double taxation avoidance agreements) to developing countries.