The adjusted trial balance of Ryan Financial Planners appears below. Using the information from the adjusted trial balance, you are to prepare for the month ending December 31:

Use the data below to extrapolate figures for 2018. Also, provide graphs and step by step if possible.

Classify the actions as either discretionary spending or automatic stabilizers by placing each item in one of the two categories.

- A bill is passed to increase unemployment benefit payments

- Government spending on welfare increases because high unemployment leads to an increase in applicants

- A law is enacted that increases Medicare coverage

- The government cuts taxes to stimulate consumer spending

- The government increases tax rates to prevent inflation

- Tax revenue increases as a result of economic growth, increasing personal income

- Congress votes to cut government spending to balance the budget

- Corporate profits decline due to a recession, causing a reduction in tax revenue

- Widespread layoffs trigger an increase in government spending on unemployment benefits

MSK Construction Company contracted to construct a factory building for $525,000. Construction started during 2019 and was completed in 2020. Information relating to the contract follows:

Required:

Record the preceding transactions in MSK’s books assuming it recognizes revenue over time and uses costs incurred to measure the extent to which its performance obligation has been satisfied.

Record the preceding transactions in MSK’s books assuming it recognizes revenue at a point in time when control of the completed factory is transferred to the customer at the end of the project.

Please show calculation. Thank You

The ledger of Cranston Corporation has the following account balances at the company's first year end of October 31, 2018.

Prepare the closing entries at October 31, 2018.

Malibu Corporation has monthly fixed costs of $63,000. It sells two products for which it has provided the following information. Sales Price Contribution Margin Product 1 $ 15 $ 9 Product 2 20 4

a. What total monthly sales revenue is required to break even if the relative sales mix is 30 percent for Product 1 and 70 percent for Product 2? (Round your answer to the nearest dollar amount.)

b. What total monthly sales revenue is required to earn a monthly operating income of $16,000 if the relative sales mix is 20 percent for Product 1 and 80 percent for Product 2? (Round your answer to the nearest dollar amount.)

2. The market for air conditioners has: Total Cost: TC = 20 + 10Q +(3/4)Q2 Marginal Cost: MC = 10 + (3/2)Q Marginal Revenue: MR = 1,010 – 0.5Q Demand: Q = 4,040 – 4P

2a. If a monopoly controls the market, calculate the equilibrium price and quantity of air conditioners.

2b. Calculate the monopoly profits from part a.

2c. If the government imposed a tax of $80 per air conditioner that the monopoly sells, calculate the equilibrium new price and quantity of air conditioners and the government tax revenue.

2d. Calculate the monopoly profits from part c.

2e. Calculate the minimum tax that the government could charge to make the monopoly produce no output.

The following is a partial trial balance for General Lighting Corporation as of December 31, 2021:

There were 300,000 shares of common stock outstanding throughout 2021. Income tax expense has not yet been recorded. The income tax rate is 25%.

Required:

1. Prepare a single-step income statement for 2021, including EPS disclosures.

2. Prepare a multiple-step income statement for 2021, including EPS disclosures.

Toyota is considering installing a new production line which is forecasted to start earning $5 million of revenue in the second year of operation. Revenue is projected to decrease at 10% p.a., operating costs are 25% of annual revenue and the production line is kept till the end of year 4, after which it is sold for $2 million. Setting up the production line requires $2 million today and $4 million in the first year. 40% Toyota capital is financed through equity which has a cost of 14% and the creditors are willing to charge 6% less than what the shareholders earn.

a) Draw a timeline and set out the cash flows by year.

b) Calculate the required rate of return of this project

c) What is the IRR of this project? Explain if Toyota should accept this project according to the IRR rule.

d) What is the NPV of this project? Explain if Toyota should accept this project according to the NPV rule?

e) If Toyota's credit rating upgrades from A to AA, holding other factors constant. Explain how this change would affect WACC and how the IRR and NPV of the project and the capital budgeting decision made by using IRR approach and NPV approach would be affected