a.
An apartment owner receives a deposit of? $1200 equal to one? month's rent.
b.
An insurance company receives annual premiums for fire insurance on June 25 for coverage beginning July 1.
c.
A city transit authority issues? 200,000 monthly passes at? $80 each for sale at various retailers. Retailers act as consignees for these passes.
d.
A city transit authority sells? 50,000 monthly passes at? $80 each to transit riders at its own retail? offices/stores.
e.
A provincial lottery corporation delivers 10 million? scratch-and-win cards to retailers. The cards retail for? $2 and generate a commission of? $0.20 per card for the retailer. The retailer can return unsold cards to the lottery corporation.

1.
Identify the contract with the customer.
2.
Identify the performance obligations.
3.
Determine the transaction price.
4.
Allocate the transaction price to performance obligations.
5.
Recognize revenue in accordance with performance

For each of the preceding? circumstances, identify which revenue recognition? criterion/criteria is/are NOT met at the point of? sale, preventing the recognition of revenue at that time. ?(Italics identify the entity for which you are? accounting.)

Prepare an adjusted Trial balance

Accounts Payable- 88,851

Accounts receivable- 442,120

Accumulated depreciation: building- 1,265

Accumulated depreciation: equipment- 9,900

Advertising Expense- 9,240

Allowance for doubtful accounts- 75,000

Allowance to Reduce Inventory to NRV- 16,000

Bad Debt Expense- 75,000

Bonds Payable- 700,000

Building- 37,500

Cash- 834,544

Common stock- 135,000

Depreciation Expense- 11,165

Dividends- 28,000

Equipment- 21,600

Impairment Loss Expense- 5,000

Income Taxes Expense- 99,000

Income taxes payable- 99,000

Insurance Expense- 22,500

Interest Expense- 31,171

Interest Payable- 35,000

Inventory- 70,000

Land- 88,000

Notes Payable- 0

Office Expense- 28,500

Paid In Capital- Treasury Stock- 6,000

Patent- 45,000

PIC in Excess of Par- Common Stock- 130,000

Premium on Bonds Payable- 52,045

Prepaid insurance- 4,500

Purchases- 177,000

Rent Revenue- 4,500

Retained earnings- 0

Sales Revenue- 790,000

Treasury Stock- 10,000

Unearned rent revenue- 9,000

Utilities Expense- 33,571

Wages Expense- 66,150

Wages Payable-4,000

U1 Review

Define the following terms: assets, liabilities, and equity.

Provide two examples of each of the following terms: assets, liabilities, and equity.

Provide two examples of expenses a business might incur.

Read the items below and indicate whether the account type is increased with a debt or credit.
_____ a. Asset
_____ b. Liabilities
_____ c. Equity
_____ d. Revenue
_____ e. Expenses

Classify each of the following items as assets (A), liabilities (L), equity (EQ), revenue (R), or expense (E)
_____ a. Land
_____ b. Owner, capital
_____ c. Fees earned
_____ d. Equipment
_____ e. Telephone bill
_____ f. Accounts payable
_____ g. Unearned revenue
_____ h. Accounts receivable
_____ i. Supplies
_____ j. Rent

Following are the transactions of a new company called Pose-for-Pics.

2.   Copy and paste the following data into Excel:

a.   Run OLS to determine the demand function as P = f(Q); how much confidence do you have in this estimated equation? Use algebra to invert the demand function to Q = f(P).

b.   Using calculus to determine dQ/dP, construct a column which calculates the point-price elasticity for each (P,Q) combination.

c. What is the point price elasticity of demand when P=$15.25? What is the point price elasticity of demand when P=$14.10?

d.   To maximize total revenue, what would you recommend if the company was currently charging P=$14.79? If it was charging P=$14.10?

e.   Use your first demand function to determine an equation for TR and MR as a function of Q, and create a graph of P and MR on the vertical and Q on the horizontal axis.

f.    What is the total-revenue maximizing price and quantity, and how much revenue is earned there? Compare that to the TR when P = $15.25 and P = $14.10.

A monopolistically competitive firm is currently producing 20 units of output. At this level of output the firm is charging a price equal to $20, has marginal revenue equal to $12, has marginal cost equal to $12, and has average total cost equal to $24. From this information we can infer that

The traditional view of monopolistic competition holds that this type of industrial structure is inefficient because

Suppose that in a competitive market the equilibrium price is $3.50. What is marginal revenue for the last unit sold by the typical firm in this market?

Quilcene Oysteria farms and sells oysters in the Pacific Northwest. The company harvested and sold 7,700 pounds of oysters in August. The company’s flexible budget for August appears below:

The actual results for August appear below:

Required:

Calculate the company’s revenue and spending variances for August. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)

Major Funds

Lenox County provides the following information on its governmental and enterprise funds:

In the governmental funds financial statements, which of these funds are reported separately as major funds?

Calculate the thresholds:

Activity #1 Goal: Produce an Excel spreadsheet that allows your company to model profitability. Assume your company produces bicycles and manufactures these different models: road, mountain, tandem, electric and hybrid.

1) Create a new Excel spreadsheet.

2) Create a new worksheet in the Excel spreadsheet – In this worksheet, create a model that allows the following variables to be changed for each of the 5 bicycle types: 1) The sales quantity 2) The sales price per unit 3) The Cost of Goods Sold (COGS) per unit

Create formulas to calculate the total sales (revenue) and total COGS.

3) Create another worksheet (2) in the same spreadsheet – In this worksheet, create an income statement to model profitability, using the following::

a. The total sales (revenue) and total COGS from worksheet (1). Hint: Use formulas to obtain the total sales (revenue) and total COGS from the worksheet.

b. Selling and General Admin (SG&A) expenses of $25,000.

c. Research & Development (R&D) expenses of $40,000.

d. Miscellaneous Overhead expenses of $5000.

e. Use formulas to calculate Gross Profit, Total Opex and Net Profit and all of the % of sales values.

Oriole Company was organized on July 1, 2019. Quarterly financial statements are prepared. The unadjusted and adjusted trial balances as of September 30 are shown as follows. Journalize the adjusting entries that were made AND create an income statement, retained earnings, and balance sheet.

Oriole Company was organized on July 1, 2019. Quarterly financial statements are prepared. The unadjusted and adjusted trial balances as of September 30 are shown as follows.

FIRST Journalize the adjusting entries that were made THEN create an income statement, retained earnings, and balance sheet.