Please show all work/provide explanations as appropriate, including clearly defining any variables that you use in the applied problems.

1) According to United Nations estimates ( http://www.worldometers.info/world-population/ ) , the population of the world at the start of 2020 was about 7.795 billion, and it is growing at about 1.05% per year.

a. Find an exponential growth model (i.e. write down an exponential function) that gives the earth’s population in billions as a function of time as measured by number of years after 2020. Be sure to clearly and carefully define your variables.

b. According to the model, what will the world population be in 2030? Solve algebraically as opposed to using a table of values or a graph.

c. Again, according to the model, how long will it take the population to double? Solve this algebraically; that is, do not simply use a table or graph.

d. In what year will the population reach 20 billion? Again, solve without resorting to a table of values or a graph.

2) Refer to the population model you found in problem 1. a. Sketch a graph of your model, displaying at least the next 200 years. You may carefully sketch the graph by hand on graph paper,

b. What is the average rate of change of the world population as described by your model over the next 100 years? (so, from 2020 to 2120, or t = 0 to t = 100)

c. What is the average rate of change from 2020 to 2050?

d. Describe how you could estimate the rate of change of the world population in 2030, and then carry out and show the steps you describe to give an estimate.

The December 31, 2019 statement of financial position of Howson Limited (Howson) showed Trade Accounts Receivable of $450,000 and a credit balance in Allowance for Doubtful Accounts of $45,000. During 2020, the following transactions occurred: Total service revenue of 2,000,000 was recognized of which 75% was billed on account; collections from customers totaled $1,300,000; accounts written off totaled $37,000; and previously written off accounts of $4,000 were collected.

Required

a) Journalize the 2020 transactions. (6 marks)

b) If the company uses the percentage of receivables basis to estimate bad debts expense and determines that uncollectible accounts are expected to be 5% of trade accounts receivable, prepare the adjusting entry at December 31, 2020?
   c) Management of Howson wants to show the highest possible net income for the year ended December 31, 2020. The president states, “one of my competitors told me that using % of credit sales method in determining our bad debt expense would increase the Company’s net income. Our industry average % of 2.4% is very reflective of our bad debt experience.”

    Required:

     The president of Howson has two questions she would like addressed.

1. First, would you recommend Howson adopt this method. (2 marks)

2. Secondly, regardless of your recommendation in (i), what amount would the net book value of the Accounts Receivable show on Howson’s Balance Sheet if the method were adopted?

Interpreting Acquisition Footnote with In-Process Research and Development

On October 3, 2017, Gilead Sciences, Inc. (Gilead) acquired 100% of the outstanding common stock

of Kite Pharma, Inc. (Kite). According to Gilead’s December 31, 2017 Securities and Exchange Com-

mission Form 10-K, “[t]he acquisition of Kite was accounted for as a business combination using the

acquisition method of accounting.” The following excerpt is from Note 5 (i.e., Acquisitions) of Gilead’s

2017 10-K:

The following table summarizes the preliminary acquisition date fair values of assets acquired and

liabilities assumed, and the consideration transferred (in millions):

Cash and cash equivalents . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 652

Identifiable intangible assets

Indefinite-lived intangible assets—IPR&D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,950

Outlicense acquired . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 91

Deferred income taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (1,606)

Other assets acquired (liabilities assumed), net. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 81

Total identifiable net assets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,168

Goodwill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,987

Total consideration transferred . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $11,155

a. What did Gilead need to demonstrate for the Kite acquisition to qualify as a business

combination? (In answering this question, ignore the information in part d of this problem.)

b. Given the individual identifiable net assets acquired, describe why business combination

accounting might seem unusual for the Kite acquisition. (In answering this question, ignore the

information in part d of this problem.)

c. For this question only, assume the Kite acquisition qualified as an asset acquisition that is not a

business combination. How would the accounting for the acquisition of Kite’s net assets differ?

d. According to Gilead’s 2017 10-K, in October 2017, after the acquisition date of Kite, the “FDA

approv[ed] Yescarta for the treatment of adult patients with relapsed or refractory DLBCL after

two or more lines of systemic therapy.” (This technology was technically considered unproven

and presented as part of in-process research and development at the balance acquisition date.)

The footnote states that the fair value of the technology for this proven Yescarta therapy is $6,200

million. If this technology was proven and patented, how will the above-presented information in

the acquisition footnote change in the December 31, 2017 financial statements of Gilead?

Warkworth Furniture specializes in environmentally friendly and sustainable furniture. One of its products, the TePaki desk, uses bamboo for the surface and recycled aluminum for the supports. The desk is made in its factory in Vietnam and shipped to all of its 30 stores throughout the United States, primarily in the large urban areas on either coast. Karen Williamson, the owner of Warkworth Furniture, is struggling with how it should organize i supply chain. Currently, it ships the desks from Vietnam to the United States via ocean carrier. Once they arrive in the United States, they are shipped via a third-party carrier to each store. It usually takes 10 weeks between when an order is placed with the factory and when the product is received in a store. The TePaki desk may be eco-friendly, but it isn't wallet friendly: Each desk costs Warkworth $325 to make and it sells the desk for $850. Nevertheless, Warkworth has been able to identify a market segment of customers that value the look of the desk and what it represents. Across it:s stores, it sells six desks per week, or 0.2 desk per week per store. Given the upscale nature of its business, Warkworth's stores are located in nice areas that unfortunately have high rents. Consequently, between the opportunity cost of capital and the cost of physical space, Karen estimates that it costs Warkworth $150 to hold each TePaki desk in one of its stores for one year. It would be a financial disaster if each desk actually spent the entire year in inventory in a store, but the $150 does represent the true cost of holding a desk in a store for that period of time. Shipping a TePaki desk from Vietnam to a store costs Warkworth $80 per desk, about $40 for the ocean portion of the journey and $40 for the land portion within the United States. Shipping a TePaki desk from Vietnam to a store costs Warkworth $80 per desk, about $40 for the ocean portion of the journey and $40 for the land portion within the United States. Andy Philpot, Warkworth's director of operations, has been arguing for some time that Warkworth should set up a distribution center in southern California to receive products from Asia, and from there distribute them to its various stores. Warehouse space is much cheaper than prime retail space. Hence, the holding cost per TePaki desk per year in a warehouse would only be $60. The only problem with this approach, according to Andy, is that the total shipping cost from factory to store could increase by $8 per desk due to the extra handling and shipping distance once all of the desks are routed through a distribution center. Karen understands why the distribution center approach could make sense, but she worries about getting all of the execution done right. Instead, she suggests that it ship all of the desks directly to the stores as it currently does, but then ship product between stores as needed. The only problem with that approach is that it probably will cost it about $40 per desk to ship from one store to another. To add to the discussion, Kathy White, Warkworth's marketing director, is concerned with how these ideas will affect the desks' in-store availability. She proudly reminds everyone that Warkworth currently has a .99 in-stock probability for the TePaki desk. Andy, a typical ops guy, quips that it could save a ton if it were willing to make its customers wait a week or so to get their desk delivered to the store from a distribution center.

1. How much does Warkworth incur in holding costs each year with its current system of delivering directly from the factory to its stores?

2. Say Warkworth opens a distribution center in southern California. How much would it incur in holding costs each year with that strategy?

3. Say Warkworth opens a distribution center in southern California. How much does it incur in holding costs per desk?

4. Would you recommend that it consider Karen's idea of holding all inventory at the stores but shipping between stores as needed?

5. Say Warkworth listened to Andy and didn’t hold inventory at the stores. Instead, inventory would be held in a distribution center and shipped to the stores as needed. How much would it save in inventory holding costs with this strategy?

Show any work.

Problem 21-12

Please explain how you come to the answers, I'm hoping to learn how to do them. Thank you!!

You have been assigned to examine the financial statements of Picard Corporation for the year ended December 31, 2020, as prepared following IFRS. Picard uses a periodic inventory system. You discover the following situations:

Assume that the trial balance has been prepared, the ending inventory has not yet been recorded, and the books have not been closed for 2020. Assuming also that all amounts are material, prepare journal entries showing the adjustments that are required. Ignore income tax considerations. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Veritas is a startup that makes running t-shirts using high-tech fabric. The company has the following cost structure:

Total cost = $50,000 + ($25 × number of t-shirts)

Assume that 5,000 t-shirts are budgeted for the month of April. Calculate the total cost for the month of April.

Assume that 5,000 t-shirts are budgeted for the month of April. Calculate the total variable cost for the month of April.

True or False: "Foreign aid from high-income developed countries to low-income less-developed countries has provided the latter with the startup capital needed to ignite the growth process. Because of foreign aid, poor countries have been able to save enough to finance major investment projects such as roads and power-generating plants. These projects have provided the foundation for economic growth."

filed and kept for maintaining accounts and filling tax returns. For us, the only income is from delivery charge we charge from customers

Suppose you have just joined a startup drug delivery company as the President and CEO. What will be your possible strategies to run this company so that you can bring an antisense oligonucleotide product in the market from the treatment of liver fibrosis? Remember, you need to generate money by attracting investors, you need to take care of the stock price of your company and moral of your employees.

A sociologist who studies guns is interested in understanding the differences in gun ownership across the United States, particularly if there is a difference in number of guns owned per household in Majority Republican States (n=18) vs. Majority Democrat States (n=22). 10 states do not have a political lean. (2018 data (Links to an external site.)).

• Sociological note: guns, gun violence, and gun ownership are currently under-studied in the US, particularly because of the lack of funding and data available on this topic. Although we may have some stereotypes about pro-gun attitudes and political affiliation, there isn’t enough research to assume the directionality of the relationship between the majority political opinion of a state and the number of guns owned per household.

Answer the following questions. While you are not asked to provide all of the information we have performed on the worksheets in class, following along with the worksheets will help you to answer this problem. Assume that you are performing a t-test at an alpha level of 0.05 (p<0.05).

A) What is the right t-test to use in this case: one-tailed or two-tailed? Why?

B) State your alternative and null hypotheses.

C) What is t-calculated?

D) What is t-critical?

E) Compare t-critical and t-calculated. What decision will you make: reject the null hypothesis, or reject the alternative hypothesis?

F) State your results in a complete sentence as described on the worksheet, including the mathematical portion. Explain what you can (and can’t) determine about the relationship between the variables at hand.