You have a business manufacturing snarky masks for hipster wannabes. You produce these masks in batches of 100. Each mask has the following manufacturing standards (i.e., budgets):

There is no beginning or ending inventory for WIP and Finished Goods. You have sufficient beginning direct material inventory of material that you do not need to purchase any during the month.

During October 2020 you made 11 batches of masks (100 masks in each batch) and spent/used/incurred the following:

REQUIRED:

1. Prepare an analysis of actual direct production costs for March compared to Budget-adjusted-for-output (Flex Budget). Identify the usage/efficiency and price/rate variances.
2. Record journal entries to record the use of direct materials and direct labor, (Post costs to WIP first, then transfer all of WIP to Finished Goods. Transfer all of Finished Goods to COGS – (pretend there are no indirect manufacturing costs) remember there is no beginning or ending inventory for WIP or Finished Goods.)
3. Prepare the adjusting journal entry to close all of the variances to COGS.
4. Ferd is responsible for buying your direct materials. Did he do a “good” job in March? Why?
5. Franny is in charge of the use of the direct materials. Did she do a “good” job in March with regards to material usage? Why?
6. Franny is also in charge of the use of direct labor. Did she do a “good” job in March with regards to labor usage/efficiency? Why?
7. Futz sets hourly wage rates for the direct labor. Did he do a “good” job in March? Why?

15.      You have purchased a duplex property for $275,000. The property’s assessed value was $200,000, of which $140,000 is for improvements and $60,000 is for land. The property was purchased on the first day of the tax year. What is the cost recovery for the year of acquisition?

a. 4,000
b. 6,709
c. 5,156
d. 275,000

16.       Cost Recovery Deduction depends on the useful economic life of an asset defined by the IRS. The class life of residential real estate improvements is:

a. 39.0 years
b. 37.5 years
c. 27.5 years
d. 29 years

17.       The straight-line cost-recovery method uses this calculation:

a. 100/29
b. Original Basis (100%) / Class Life
c. Year of acquisition /39 years
d. Original Basis / 15^th of the month

18.       Taxable income for an improved property which has no financing is determined by:

a. Subtracting the operating expenses from the gross operating income
b. Subtracting the vacancy rate from the Potential Rental Income
c. Subtracting the operating expenses and the cost recovery deduction from the gross operating income
d. Multiplying the sales price by the cap rate

19.       Find the Adjusted Basis using the following figures:
            Original Basis is $2,000; Capital Improvements are $700; Cost Recovery Taken is $400  

Answer: ___________________

20.       Straight-line cost recovery is taxed at ordinary income rates up to a:

a. Max of 20%
b. Max of 30%
c. Max of 25%
d. Max of 50%

21.       In the Arkansas Apartments Discounted Cash Flow Assumption Data, the total Assessed Value is:

a. 1,300,000
b. 700,000
c. 300,000
d. 1,000,000

22.      In the Arkansas Apartments Discounted Cash Flow Assumption Data, the capital gains tax rate is:

a. 25%
b. 37%
c. 20%
d. 15%

During 2019, Harper Corporation for the first time decided to acquire some equity and debt securities as a means of putting some of its idle cash to work. The equity securities are classified as trading securities and the debt securities are treated as available for sale. The information for 2017 follow:

Jan 1 Purchased $30,000 face value of Bradford Company, 8% bonds for $29,100 The bonds pay interest June 30 and June 30 and December 31. The bonds mature December 31, 2027.

Jan 1 Purchased 100 shares of Gordon Company common stock for $2,800.

June 30 Collected the interest on Bradford Company bonds.

July 1 Purchased $40,000 face value of Morris Company 10% bonds for $40,400. The bonds pay interest June 30 and December 31. The bonds mature December 31, 2022.

July 2 Received dividends of $0.75 per share on the Gordon Company common stock.

Aug 9 Purchased 300 shares of Porter Company common stock for $36 per share.

Aug 24 Sold 100 shares of the Gordon Company common stock for $30 per share.

Sep 7 Purchased 500 Shares of Union Company common stock for $22 per share.

Dec 31 Harper collected the interest on the Bradford Company and Morris Company Bonds. Sold on this date Morris bonds for $40,800. The fair value of Bradford bonds on this date was $30,800. The Porter Company common stock had a quoted market price of $36.60 per share and the Union Company common stock had a quoted market $21 per share.

Instructions: Prepare the journal entries to record the preceding information. Harper uses the straightline method to amortize any bond investments purchased at a premium / discount. Show supporting computations for your journal entries.

Apollo Corporation issued $560,000 of 7%, 12-year bonds payable on March 31, 2016. The market interest rate at the date of issuance was 10%, and the Apollo Corporation bonds pay interest semiannually. Apollo Corporation's year-end is March 31. Calculate the issue price of the bonds using the PV function in Microsoft® Excel®. Prepare an effective-interest amortization table for the bonds through the first three interest payments. Round amounts to the nearest dollar. Record Apollo Corporation's issuance of the bonds on March 31, 2016, and payment of the first semiannual interest amount and amortization of the bond discount on September 30, 2016. Note. Explanations are not required. Show all calculations for your solution. * I need help on calculations* Can you direct me on how to calculate the issue price on an excel worksheet ?

Semiannual Interest : 560000 *.07 *6/12 = 19600

semiannual months : 12* 2 = 24

semiannual yield : 10*6/12 = 5%

Issue Price : [PVA 5%,24*interest ]+[PVF 5%,24*face value]

       =[13.79864*19600]   +[.31007*560000]

        =270453.34+ 173639.2

             = $ 444093 rounded **how do I enter on excel worksheet?

PB6-5 (Supplement A) Recording Inventory Transactions Using Periodic and Perpetual Inventory Systems [LO 6-S1] [The following information applies to the questions displayed below.] Sigfusson Supplies reported beginning inventory of 80 units, for a total cost of $2,000. The company had the following transactions during the month: Jan. 6 Sold 20 shovels on account at a selling price of $35 per unit. 9 Bought 10 shovels on account at a selling price of $25 per unit. 11 Sold 10 shovels on account at a cost of $40 per unit. 19 Sold 20 shovels on account at a selling price of $45 per unit. 27 Bought 10 shovels on account at a cost of $25 per unit. 31 Counted inventory and determined that 30 units were on hand. 1. Prepare the journal entries that would be recorded using periodic inventory system. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) 2. Prepare the journal entries that would be recorded using a perpetual inventory system, including any “book-to-physical” adjustment that might be needed. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

1. Download the EXCEL file: Access Exercise Tables 2. Open a new blank database in ACCESS and name it “Exercise-Your Name” where you replace Your Name with your name. 3. Import each worksheet in the EXCEL file into ACCESS as a separate table as follows: a. External Data Tab -> Import Excel icon b. In the dialog box browse for the destination of the excel file you saved in step 1, it should default to “import the source data in to a new table in the current database”. Click OK. c. A wizard will start, so step through the screens for each worksheet i. Select the specific worksheet to import, click Next. ii. Check the box “First row contains headings”, click Next. iii. Do not modify field in the wizard, click Next. iv. Choose No Primary Key (we will do this later), click Next. v. Save the table as the name of the tab of worksheet, click Finish. d. Repeat for all four worksheets 4. Open each table in design view a. Select the appropriate key field and create a primary key (highlight the correct field name and then click on the little key icon on the toolbar) b. For the tblSales-Inventory, be sure to select both the Invoice Number and Item Number as the primary key (click on one, then hold down the CTRL key while clicking on the second to highlight both. Then, click the key icon. 5. On the Database Tools tab go to the RELATIONSHIPS screen (click on the icon that looks like a little REA diagram) a. In the Show Table dialog box, click on each table to highlight them all, then click Add, the Close. b. Move the tables around to reflect an REA diagram. c. Link the tables by dragging a primary key from one table to the corresponding foreign key in the other table. A line should appear between the two tables. d. Close the table tabs by right clicking on them across the top, leave the relationship screen open. e. Double-click on the line and when the dialog box appears, click on Enforce Referential Integrity f. Save the Relationships after you have all four tables linked like you would with an REA diagram (if you turned the relationship Sales-Inventory into an entity). tblCustomer links to tblSales links to tblSales-Inventory links to tblInventory. g. Print the Relationship Report. 6. Click on the Create Tab. Click the Query Wizard icon. a. In the wizard’s first screen, first select simple query wizard, click OK. b. Select tblSales from the drop down menu and select all the attributes for tblSales using the >> button; then, select tblSales-Inventory and select all the attributes except the Invoice Number, using the > button, click Next. c. Select Detail query on the next wizard screen d. Continue through the wizard to display the query. e. Print the results.

A financial institution has the following balance sheet structure:

The USD 100 million bond has a three year maturity paying 10 percent interest per year. The USD 100 million certificate of deposit has a two-year maturity and paying 8 percent interest per year. The bond and certificate of deposit will be rolled over after their maturities at the respective prevailing market rates. The financial institution expects no additional asset growth.

1. a) What will be the financial institution’s net interest income (NII) over the five-year investment horizon if the interest rate decreases by 1 percent per annum after the first year and decreases by 1 percent per annum after the third year?

2. b) What will be the financial institution’s net interest income (NII) over five-year investment horizon if the interest rate increases by 1 percent per annum after the second year and increases by 1 percent per annum after the fourth year?

3. c) Assuming that market interest rates increase by 1 per cent, the bond will have a value of USD99.9 million at the end of year one. What will be the market value of the equity for the financial institution? Assume that all of the NII in part a) is used to cover operating expenses or is distributed as dividends.

   (2.5 Marks)

4. d) If market interest rates had decreased 100 basis points by the end of year 1, would the market value of equity be higher or lower than USD30 million? Why?

Dr. Paddock is a counseling psychologist who is interested in decreasing adjustment issues in first-year college students. She is curious if having students create collages of their first few weeks of school and then mailing them home will help students feel they have integrated their new life with their old and, as a result, will help them feel less homesick. She samples a group of 100 incoming college freshmen at her university and measures how homesick they are during the first week of school. During Week 4 of school, she has them make the collage and send it home. During Week 7 of school, she measures their homesickness again. She notices a significant reduction in the amount of homesickness from the pretest to the posttest and concludes that her treatment is effective. Imagine in Dr. Paddock’s study that only 90 of the original participants completed the measure of homesickness during Week 7 (10 participants had left the university and were unavailable). What kind of threat to internal validity does this pose? How does this affect her conclusion that her treatment for homesickness worked?

Exercise 20-34 Budgeted income statement LO P3

Fortune, Inc., is preparing its master budget for the first quarter. The company sells a single product at a price of $25 per unit. Sales (in units) are forecasted at 37,000 for January, 57,000 for February, and 47,000 for March. Cost of goods sold is $12 per unit. Other expense information for the first quarter follows.

Prepare a budgeted income statement for this first quarter. (Round your final answers to the nearest whole dollar.)