1. Adjusting entries – deferrals: The ledger of Comfort realty on March 31, 2018 includes following selected accounts before the adjusting entries.

An analysis of the account shows the following:

1. Insurance expires at rate of $100 per month
2. Supplies on hand total $800
3. The office equipment depreciates $200 per month
4. One-half of the unearned revenue was earned in March

Prepare the adjusting entries for the month of March.

Problem 7 : Ali Company sells tickets for an upcoming theatre season. All funds are paid upfront. It is the first year of operations for Ali Company. The revenue recognized during the year was $105,000 and the ending balance in unearned revenue is $75,000. How much cash was collected during the year?

Problem 8 : On October 1st, Max Company paid for six months of insurance coverage for their building. As of December 31st, Max Company had $5,000 in the prepaid insurance account. What was the total cost paid on October 1st for the six month policy?

Multi-Screen TV, Inc., is a Cleveland i-based importer and distributor of large screen HDTVs for residential and commercial customers. Revenue and cost relations are as follows:

TR = $1000Q - .1Q2

TC = $43,500 +100Q + 0.4Q2

A. Calculate output, marginal revenue, marginal cost, average cost, price, and profit at the average total cost-minimizing activity level. (Hint - MC passes through the minimum point on the ATC curve)

B. Calculate these values at the profit-maximizing activity level.

C. Compare and discuss your answers to parts A and B.

The following table shows the demand for a product produced by a monopolist , who has a constant marginal cost and an average total cost of $45 per unit

Quantity (Thousand of units) 0 1 2 3 4 5 6

Price (Dollars per unit ) 120 105 90 75 60 45 30

A. Calculate the total revenue and marginal revenue for each level of quantity

B What are the profit-maximizing level of output and the price of the product

C Calculate the monopolist's profit

D Calculate the Lerner Index for this industry

The information below applies to a competitive firm that sells its output for $45 per unit. • When the firm produces and sells 120 units of output, its average total cost is $23.5. • When the firm produces and sells 121 units of output, its average total cost is $23.65. Refer to Scenario 14-2 . Let Q represent the quantity of output. Which of the following magnitudes has the same value at Q = 120 and at Q = 121? a. Total revenue b. Total cost c. Average revenue d. Average fixed cost

1. Briefly describe the pros and cons of a modest allocation to emerging markets bonds for risk-tolerant investors. Assume the currency risk will be hedged.

2.Which of the following have been causes of municipal bankruptcies in the past?

a. Revenue bonds issued for projects which become too costly to complete.

b. Deteriorating economic conditions

c. The question is misleading - municipal bonds, like U.S. Treasury bonds, have never defaulted.

d. Fraud or mismanagement of the project

e. Revenue bonds issued for projects which are deemed unnecessary

3.

Sawyer Appliances sells heaters with an embedded 1-year warranty as well as an optional 2-year extended warranty. In 2017, Sawyer sold 50 heaters with the extended warranty, which costs $10 for each heater. In 2019, Sawyer spent $75 fixing heaters under the extended warranty. Sawyer recognized the revenue on the extended warranties using the straight-line method. a. Record the sale of the extended warranties in 2017. b. Record the repairs performed under the extended warranties in 2019. c. Record the revenue to be recognized on the extended warranties in 2019.