The Bradford Company issued 12% bonds, dated January 1, with a
face amount of $87 million on January 1, 2018. The bonds mature on
December 31, 2027 (10 years). For bonds of similar risk and
maturity, the market yield is 14%. Interest is paid semiannually on
June 30 and December 31. (FV of $1, PV of $1, FVA of $1, PVA of $1,
FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from
the tables provided.)
Required:
1. Determine the price of the bonds at January 1,
2018.
2. to 4. Prepare the journal entry to record their
issuance by The Bradford Company on January 1, 2018, interest on
June 30, 2018 and interest on December 31, 2018 (at the effective
rate).
termine the price of the bonds at January 1, 2018. (Enter your answers whole dollars.)
|
||||||||||||||||||||||
| No | Date | General Journal | Debit | Credit |
|---|---|---|---|---|
| 1 | January 01, 2018 | |||
| 2 | June 30, 2018 | |||
| 3 | December 31, 2018 |
In: Accounting
Falcon, Inc. has the following assets in service at the end of 2018:
|
Asset |
Cost |
Recovery Period |
Date placed in service |
|
Building |
1,000,000 |
Commercial RE |
March 2015 |
|
Land |
200,000 |
Commercial RE |
March 2015 |
|
Furniture and Fixtures |
15,000 |
7 |
June 2015 |
|
Manufacturing Equipment |
80,000 |
7 |
April 2016 |
|
Manufacturing Equipment |
219,000 |
7 |
January 2018 |
|
Transportation Equipment |
795,000 |
5 |
August 2018 |
|
Office Equipment |
70,000 |
7 |
December 2018 |
In 2018 Falcon has taxable income of $10,000,000.
Falcon did not utilize a §179 deduction or bonus depreciation prior to 2018. They would like to take the §179 deduction this year.
All assets purchased in 2018 are brand new.
2a: Calculate the most beneficial cost recovery for Falcon, Inc. for 2018. Please note that you completed this problem under 2017 tax law during Chapter 10 in-class problems.
2b: If the transportation equipment was instead purchased for $2,100,000, what would be the most beneficial cost recovery for 2018?
In: Accounting
Assume that the following data relative to Kane Company for 2018
is available:
| Net Income | $2,800,000 | |||||
| Transactions in Common Shares | Change | Cumulative | ||||
| Jan. 1, 2018, Beginning number | 650,000 | |||||
| Mar. 1, 2018, Purchase of treasury shares | (55,200) | 594,800 | ||||
| June 1, 2018, Stock split 2-1 | 594,800 | 1,189,600 | ||||
| Nov. 1, 2018, Issuance of shares | 216,000 | 1,405,600 | ||||
| 6% Cumulative Convertible Preferred Stock | ||||||
| Sold at par, convertible into 190,000 shares of common (adjusted for split). | $950,000 | |||||
| Stock Options | ||||||
| Exercisable at the option price of $25 per share. Average market price in 2018, $30 (market price and option price adjusted for split). |
Compute weighted average shares outstanding for 2018.
|
Weighted average shares outstanding |
Compute the basic earnings per share for 2018.
(Round answer to 2 decimal places, e.g.
52.75.)
| Basic earnings per share |
Compute the diluted earnings per share for 2018.
(Round answer to 2 decimal places, e.g.
52.75.)
| Diluted earnings per share |
In: Accounting
Assume that the following data relative to Kane Company for 2018 is available:
| Net Income | $2,890,000 | |||||
| Transactions in Common Shares | Change | Cumulative | ||||
| Jan. 1, 2018, Beginning number | 740,000 | |||||
| Mar. 1, 2018, Purchase of treasury shares | (72,000) | 668,000 | ||||
| June 1, 2018, Stock split 2-1 | 668,000 | 1,336,000 | ||||
| Nov. 1, 2018, Issuance of shares | 222,000 | 1,558,000 | ||||
| 6% Cumulative Convertible Preferred Stock | ||||||
| Sold at par, convertible into 180,000 shares of common (adjusted for split). | $900,000 | |||||
| Stock Options | ||||||
| Exercisable at the option price of $25 per share. Average market price in 2018, $30 (market price and option price adjusted for split). | 90,000 | shares |
Compute weighted average shares outstanding for 2018.
| Weighted average shares outstanding |
Compute the basic earnings per share for 2018. (Round answer to 2 decimal places, e.g. 52.75.)
| Basic earnings per share | $ |
Compute the diluted earnings per share for 2018. (Round answer to 2 decimal places, e.g. 52.75.)
| Diluted earnings per share | $ |
In: Accounting
Assume that the following data relative to Kane Company for 2018 is available:
| Net Income | $2,890,000 | |||||
| Transactions in Common Shares | Change | Cumulative | ||||
| Jan. 1, 2018, Beginning number | 720,000 | |||||
| Mar. 1, 2018, Purchase of treasury shares | (67,200) | 652,800 | ||||
| June 1, 2018, Stock split 2-1 | 652,800 | 1,305,600 | ||||
| Nov. 1, 2018, Issuance of shares | 240,000 | 1,545,600 | ||||
| 6% Cumulative Convertible Preferred Stock | ||||||
| Sold at par, convertible into 190,000 shares of common (adjusted for split). | $950,000 | |||||
| Stock Options | ||||||
| Exercisable at the option price of $25 per share. Average market price in 2018, $30 (market price and option price adjusted for split). | 93,000 | shares |
Compute weighted average shares outstanding for 2018.
| Weighted average shares outstanding |
Compute the basic earnings per share for 2018. (Round answer to 2 decimal places, e.g. 52.75.)
| Basic earnings per share | $ |
Compute the diluted earnings per share for 2018. (Round answer to 2 decimal places, e.g. 52.75.)
| Diluted earnings per share | $ |
In: Accounting
A PEST analysis of the healthcare industry shows how the system works and the change in the future (Frue, 2018). The healthcare industry depends on legislation, changes in economic rates, and technological advancements (Frue, 2018). People begin to worry when there are changes in government and it’s important companies like mine are aware of changes in healthcare (Frue, 2018).
Political factors; Government Subsidies the healthcare industry is impacted by insurance mandates, tax legislation changes, and consumer protection (Frue, 2018). With my chosen company Independence at Home funds are issued from the State because it’s a government program. Government spending for healthcare can be affected by tax policy changes (Frue, 2018). However, allowing for increased subsidies can be a benefit or it can cause concerns (Frue, 2018). Governmental changes can affect the public and the healthcare services they’re entitled to, especially with changing healthcare bills and plans (Frue, 2018).
Economic Factors Loss of Services, healthcare organizations will be affected by many economic factors, especially inflation, unemployment, and interest rates (Frue, 2018). If there is a change to any of those it can change how the public is able to spend their money, impacting policy spending (Frue, 2018). Companies who manufacture medical devices won’t have many people able to pay their rate if unemployment rate is increased (Frue, 2018). This would mean if less people are able to work, they won’t qualify for work benefits, including healthcare (Frue, 2018). People without these benefits are likely not able to pay the entire cost of any hospital or emergency room visit (Frue, 2018). They’re less likely to seek help when they become ill (Frue, 2018). The public will have a limited selected of health services they can afford (Frue, 2018). My company with our different programs can help older adults with healthcare services healthcare insurance.
Social factors change in beliefs, healthcare relies on understanding the changes in demographics and public values (Frue, 2018). There are communities that share fears, beliefs, and cultural norms (Frue, 2018). If a healthcare professional or hospital is not aware of these conditions while they treat that public, it can cause problems (Frue, 2018). Medical professionals need to stay on their toes about new trends (Frue, 2018). An example would be the use of essential oils as a cure for various illnesses including cases of flu, fevers and even incurable conditions like autism are on the rise (Frue, 2018). Now people have become more health conscious (Frue, 2018). Some business across the country must now post calorie amount of each item on their menu, giving people the option to choose what to eat based on these numbers (Frue, 2018).
Technological factors in the healthcare industry is seeing positive changes in treatments because of technological advancements (Frue, 2018). Developments with medical devices allow patients to receive better care (Frue, 2018). An example is hearing aid devices have the tools to enhance performance, providing crystal clear sound, less background noise, and premium options for a better hearing experience (Frue, 2018). My chosen company Independence at Home is now exploring sending text messages, emails and app developments for clients and care managers to interact with clients for a better service. More business is using apps to connect doctors with patients right in their homes (Frue, 2018). The healthcare industry is heading towards a positive direction for patient care because of our ever-evolving technology (Frue, 2018).
For Chegg: Please provide feedback to the above post and ask question if needed. The student was advised to Discuss the PEST technique with respect to at least one each of the political, economic, social, and technical factors. Explain how this knowledge could be used in the strategic planning process within a company.
In: Economics
what is Therapeutic and Non-therapeutic communication?
In: Nursing
Comparative balance sheets for 2018 and 2017 and a statement of
income for 2018 are given below.
|
METAGROBOLIZE INDUSTRIES |
||||||||
|
2018 |
2017 |
|||||||
|
Assets |
||||||||
|
Cash |
$ |
390 |
$ |
190 |
||||
|
Accounts receivable |
450 |
240 |
||||||
|
Inventory |
600 |
375 |
||||||
|
Land |
600 |
560 |
||||||
|
Building |
900 |
900 |
||||||
|
Less: Accumulated depreciation |
(300 |
) |
(285 |
) |
||||
|
Equipment |
2,750 |
2,450 |
||||||
|
Less: Accumulated depreciation |
(430 |
) |
(400 |
) |
||||
|
Patent |
1,500 |
1,650 |
||||||
|
$ |
6,460 |
$ |
5,680 |
|||||
|
Liabilities |
||||||||
|
Accounts payable |
$ |
700 |
$ |
550 |
||||
|
Accrued expenses payable |
200 |
175 |
||||||
|
Lease liability—land |
130 |
0 |
||||||
|
Shareholders' Equity |
||||||||
|
Common stock |
3,110 |
3,000 |
||||||
|
Paid-in capital—excess of par |
550 |
485 |
||||||
|
Retained earnings |
1,770 |
1,470 |
||||||
|
$ |
6,460 |
$ |
5,680 |
|||||
|
METAGROBOLIZE INDUSTRIES |
||||||
|
Revenues |
||||||
|
Sales revenue |
$ |
2,765 |
||||
|
Gain on sale of land |
55 |
$ |
2,820 |
|||
|
Expenses |
||||||
|
Cost of goods sold |
$ |
900 |
||||
|
Depreciation expense—building |
15 |
|||||
|
Depreciation expense—equipment |
300 |
|||||
|
Loss on sale of equipment |
10 |
|||||
|
Amortization of patent |
150 |
|||||
|
Operating expenses |
$ |
550 |
1,925 |
|||
|
Net income |
$ |
895 |
||||
Additional information from the accounting records:
Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2018.
During 2018, equipment with a cost of $300,000 (90% depreciated) was sold.
The statement of shareholders’ equity reveals reductions of $175,000 and $420,000 for stock dividends and cash dividends, respectively.
Required:
Prepare the statement of cash flows for Metagrobolize Industries
using the indirect method. (Enter your answers in
thousands. (i.e., 10,000 should be entered as 10).) Amounts to be
deducted should be indicated with a minus sign)
In: Accounting
Comparative balance sheets for 2018 and 2017 and a statement of
income for 2018 are given below for Metagrobolize Industries.
Additional information from the accounting records of Metagrobolize
also is provided.
|
METAGROBOLIZE INDUSTRIES |
||||||||
|
2018 |
2017 |
|||||||
|
Assets |
||||||||
|
Cash |
$ |
440 |
$ |
190 |
||||
|
Accounts receivable |
470 |
250 |
||||||
|
Inventory |
620 |
380 |
||||||
|
Land |
625 |
575 |
||||||
|
Building |
800 |
800 |
||||||
|
Less: Accumulated depreciation |
(200 |
) |
(170) |
|||||
|
Equipment |
2,800 |
2,510 |
||||||
|
Less: Accumulated depreciation |
(451 |
) |
(420 |
) |
||||
|
Patent |
1,600 |
1,800 |
||||||
|
$ |
6,704 |
$ |
5,915 |
|||||
|
Liabilities |
||||||||
|
Accounts payable |
$ |
720 |
$ |
470 |
||||
|
Accrued expenses payable |
210 |
165 |
||||||
|
Lease liability—land |
130 |
0 |
||||||
|
Shareholders' Equity |
||||||||
|
Common stock |
2,650 |
2,500 |
||||||
|
Paid-in capital—excess of par |
500 |
470 |
||||||
|
Retained earnings |
2,494 |
2,310 |
||||||
|
$ |
6,704 |
$ |
5,915 |
|||||
|
METAGROBOLIZE INDUSTRIES |
||||||
|
Revenues |
||||||
|
Sales revenue |
$ |
2,807 |
||||
|
Gain on sale of land |
60 |
$ |
2,867 |
|||
|
Expenses |
||||||
|
Cost of goods sold |
$ |
920 |
||||
|
Depreciation expense—building |
30 |
|||||
|
Depreciation expense—equipment |
328 |
|||||
|
Loss on sale of equipment |
10 |
|||||
|
Amortization of patent |
200 |
|||||
|
Operating expenses |
600 |
2,088 |
||||
|
Net income |
$ |
779 |
||||
Additional information from the accounting records:
Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2018.
During 2018, equipment with a cost of $330,000 (90% depreciated) was sold.
The statement of shareholders' equity reveals reductions of $180,000 and $415,000 for stock dividends and cash dividends, respectively.
Required:
Prepare the statement of cash flows of Metagrobolize for the year
ended December 31, 2018. Present cash flows from operating
activities by the direct method.
In: Accounting