Armstrong Inc. did a physical inventory count and accidentally overstated ending inventory on the 12/31/18 financial statement by $20,000. The company noticed the error during 2020, before books were closed. The 2020 inventory was not affected since physical inventory was adequately counted. How would Armstrong Inc correct this error in 2020, assume a 21% tax rate.

On January 1, 2020, Bubble Corporation signed a five-year noncancelable lease to obtain a bubble machine. The terms of the lease called for Bubble to make annual payments of $90,000 at the beginning of each year for 5 years. The equipment has an estimated useful life of 7 years and no salvage value. Bubbles effective interest rate is 10%. The fair value on Jan. 1, 2020 of the asset is $500,000. With respect to this lease, what should Bubble record for 2020?

Chinese furniture industry analysis from 2010 to 2020 export and import write less than 3000 words

INNOVATION IN THE CONSTRUCTION INDUSTRY
The construction industry has been criticized because of its low productivity and quality in comparison with other industries. One of the main reasons is the industry suffers from a lack of innovation. Thanks to digitalization, innovative technologies and new construction techniques had been introduced recently. This is reflected with the rapid emergence of augmented reality, drones, 3D scanning and printing, Building Information Modelling (BIM), autonomous equipment and advanced building materials. By adopting and exploiting these innovations, companies will boost productivity, streamline their project management and procedures, and enhance quality and safety. However, the adoption rate of innovation in the Malaysian construction industry is still low. One of the reasons is due to the lack of awareness. For this, the Construction Industry Development Board (CIDB) has taken initiative by inviting everyone to participate in the Innovation in Construction Industry Awareness Campaign 2020. Your company is taking part in this campaign with the purpose to create awareness among the construction industry players on the available innovation that can be used in the construction industry to increase their productivity.
For this, your company are required to prepare a report that contains information on the innovation available in the construction industry in terms of:

a)   The definition
b)   The purpose
c)   The benefits

4. Suppose you are interested in the impact of minimum wages on employment. You collect the following data on two jurisdictions:

Consider the “before and after” approach using 2010 and 2015, which encompass an increase in the minimum wage in jurisdiction 1. The results would show:

a) a positive relationship between the change in the minimum wage and the change in employment.

b) a negative relationship between the change in the minimum wage and the change in employment.

c) no relationship between the change in the minimum wage and the change in employment.

d) none of the listed options.

Discuss historical data from 2010 - 2020 about GDP growth rate (percentage) and Real GDP volume (in dollar value)

In 2010, (when t = 0), the population of a country was 1.16 billion people and increasing at a rate proportional to its population. If the population is measured in billions of people and time is measured in years since 2010, the constant of proportionality is 0.0138.

(a) Define the variables.

Let P be the population, in trillions of people, in year t, where t represents the number of years before 2010.

Let P be the population, in billions of people, in year t, where t represents the number of years before 2010.    

Let P be the population, in billions of people, in year t, where t represents the number of years since 2010.Let P be the population, in billions of people, in month t, where t represents the number of years before 2010.

Let P be the population, in billions of people, in year t, where t represents the current year.

(b) Write a differential equation to describe the relationship.

=

with initial condition P(0) = _____________

(c) Solve the differential equation.
P = _________________________

ACCOUNTING 3220 CORPORATE FINANCIAL REPORTING 1 Spring 2018

Assignment #9 – Noncurrent Liabilities

This assignment is due at 9:00am Monday, April 30, 2018 regardless of your section. The assignment must be submitted electronically via D2L. DO NOT EMAIL ME YOUR HOMEWORK.

You may submit your homework in Excel, Word, or .pdf style (not .zip or other). Please format the pages for printing and clearly state all group members’ names and section numbers on the first page.

The assignment may be done in groups (ideally, not more than 3 people). You may work with students across sections if you prefer. However, each person must submit a copy of the homework through D2L to ensure submission is done properly.

The standard university Honor Code applies to this assignment. Other than the members of your group, you may not consult with any other person about this assignment.

Kraft Foods Inc. issued four tranches of notes in 2010 to finance its acquisition of Cadbury. The four types of notes were individually priced. Below you will find excerpts from their prospectuses and 8-K disclosure of material events. The Settlement Date is the date on which Kraft Foods Inc. received the proceeds from the note issue (some terms were modified for analytical simplicity). Questions for the assignment follow the excerpts.

Kraft Foods Inc.'s notes prospectus

Filed pursuant to Rule 433 Relating to Preliminary Prospectus Supplement dated February 3, 2010 to Prospectus Dated December 4, 2007 Registration Statement No. 333-147829

Pricing Term Sheet

$9,500,000,000
$1,000,000,000 2.625% Notes due 2013 (the “2013 Notes”) $1,750,000,000 4.125% Notes due 2016 (the “2016 Notes”) $3,750,000,000 5.375% Notes due 2020 (the “2020 Notes”) $3,000,000,000 6.500% Notes due 2040 (the “2040 Notes”)

Issuer:
Offering Format: Size:

Maturity:

Coupon:

Price to Public:

Interest Payment Dates:

Kraft Foods Inc. (“Kraft”)

SEC Registered

$1,000,000,000 of 2013 Notes $1,750,000,000 of 2016 Notes $3,750,000,000 of 2020 Notes $3,000,000,000 of 2040 Notes

2013 Notes: May 8, 2013
2016 Notes: February 9, 2016 2020 Notes: February 10, 2020 2040 Notes: February 9, 2040

2013 Notes: 2.625% 2016 Notes: 4.125% 2020 Notes: 5.375% 2040 Notes: 6.500% 2013 Notes: 99.731% 2016 Notes: 99.658% 2020 Notes: 99.176% 2040 Notes: 99.036%

2013 Notes: Semi-annually in arrears on May 8 and November 8, commencing on November 8, 2010

Settlement Date:

2016 Notes: Semi-annually in arrears on February 9 and August 9, commencing on August 9, 2010

2020 Notes: Semi-annually in arrears on February 10 and August 10, commencing on August 10, 2010

2040 Notes: Semi-annually in arrears on February 9 and August 9, commencing on August 9, 2010

May 8, 2010

Interest on the 2013 Notes is payable semiannually on May 8 and November 8, commencing November 8, 2010, to holders of record on the preceding April 23 and October 24. Interest on the 2016 Notes is payable semiannually on February 9 and August 9, commencing August 9, 2010, to holders of record on the preceding January 25 and July 25. Interest on the 2020 Notes is payable semiannually on February 10 and August 10, commencing August 10, 2010, to holders of record on the preceding January 26 and July 26. Interest on the 2040 Notes is payable semiannually on February 9 and August 9, commencing August 9, 2010, to holders of record on the preceding January 25 and July 25. Interest on the Notes will be computed on the basis of a 360-day year consisting of twelve 30-day months.

The 2013 Notes will mature on May 8, 2013. The 2016 Notes will mature on February 9, 2016. The 2020 Notes will mature on February 10, 2020. The 2040 Notes will mature on February 9, 2040.

Answer the following questions based on the prospectus of Kraft Foods Inc.'s bond issue. You can provide your answers in the spaces below or in a separate document.

1. Are the notes issued at a premium or discount? How do you know?

2. What is the coupon interest rate on the “2013 Notes”?

3. What is the market rate of interest rate (also known as effective interest rate) on the “2013 Notes”?

4. Show the journal entry for the “2013 Notes” on May 8, 2010.

5. Construct an amortization schedule that shows premium/discount amortization over the life of the “2013 Notes” (similar to the examples in class).

6. Show the journal entries for the “2013 Notes” on November 8, 2010.

7. Assume the fiscal year ends on December 31, 2010. Show the appropriate adjusting entries related to the “2013 Notes” (round interest for the period to the nearest month for simplicity).

8. Show the entries on May 8, 2011 (related to the “2013 Notes”), assuming the financial statements were correct on December 31, 2010 (round interest for the period to the nearest month for simplicity).

9. Show the entries on November 8, 2011 (related to the “2013 Notes”).

10. Assume 60% of the “2013 Notes” are redeemed early on May 8, 2012 for $595,000,000 in cash. Provide all the journal entries required on this date related to the “2013 Notes,” assuming the financial statements were correct on December 31, 2011.

11. Does the early redemption affect the income statement? If so, what is the effect?

From 2010-2020 discuss the market performance in that 10 year period. What were some of the major drivers of performance during that decade?

What is a purchase price reduction? When the buyer and seller agree to reduce the purchase price of real property after agreeing on price terms, but before the sale is closed. When an insolvent buyer receives credit from a seller for the purchase of property, and the seller later reduces the purchase price and relieves the buyer of some of the debt associated with the original purchase. When the buyer and seller agree to reduce the purchase price of real property after the sale has closed, and the seller returns the agreed-upon amount to the buyer. When a solvent buyer receives credit from a seller for the purchase of property, and the seller later reduces the purchase price and relieves the buyer of some of the debt associated with the original purchase.

Mark whether the statement is an example of a directive or a directive with collective sanction. A parent telling their child to clean their room. One person blackmailing another person Asking a server in a restaurant to bring you more napkins. Stating "I do" during marriage vows. The phrase "please stand for the national anthem" before a baseball game The sentence "I will faithfully execute the Office of President of the United States, and will to the best of my ability preserve, protect, and defend the constitution [. . .]"

A supervisor telling an employee to "manage the front desk." A friend asking "Are you going to be around this weekend. I need someone to watch my dog" A. directive B. directive with collective sanction