Presented below are 11 income statement items from Braun Company for the year ended December 31, 2020.

Sales revenue $2,700,000

Cost of goods sold 1,150,000

Interest revenue 15,000

Loss from abandonment of plant assets 45,000

Gain from extinguishment of debt 28,000

Selling expenses 290,000

Administrative expenses 190,000

Effect of change in estimated useful lives of fixed assets (included in administrative expenses) 35,000

Loss from earthquake 30,000

Gain on disposal of discontinued operation 50,000

Instructions

b. Compute comprehensive income for Braun in 2020, assuming Braun had an unrealized holding loss on an available-for-sale debt investment, net of tax, $12,000.

On December 31, 2018, Kohl Company performed engineering consulting services for Hemingway, Inc. Hemingway was short of cash, and Kohl Co. agreed to accept a $200,000 zero-interest-bearing note due December 31, 2020, as payment in full. Hemingway is somewhat of a credit risk and typically borrows funds at a rate of 10%. Kohl is much more creditworthy and has various lines of credit at 6%.

Prepare the following journal entries for Kohl Co.:

(a) Prepare the journal entry to record the transaction of December 31, 2018

(b) Prepare the adjusting journal entry for December 31, 2019

(c) Prepare the adjusting journal entry and the collection of the note for December 31, 2020

Please show supporting computations.

On January 1, 2020, the Vasquez SA ledger shows Equipment €32,000 and Accumulated Depreciation—Equipment €9,000. The depreciation resulted from using the straight‐line method with a useful life of 10 years and a residual value of €2,000. On this date, the company concludes that the equipment has a remaining useful life of only 4 years with the same residual value. Compute the revised annual depreciation.

1) Compute the revised depreciation.

a. Same facts as (1), except assume that Vasquez will use the declining-balance method for the remaining four years, at 50%. What will be the annual depreciation expense for 2020 and 2021?

b. At the end of the useful life, what will be the book value of the equipment if the straight-line method is used?

The Burger Division of Good Meat Company reported the following results for 2020: Sales $800,000 Variable costs 420,000 Controllable fixed costs 100,000 Average operating assets 4,000,000 Management is considering the following independent alternative courses of action in 2021 in order to maximize the return on investment for the division 1. Reduce controllable fixed costs by 50% with no change in sales or variable costs 2 Reduce average operating assets by 30% with no change in control margin 3. Increase sales $200,000 with no change in the contribution margin percentage Required a) Calculate the return on investment for 2020 b) Calculate the expected return on investment for each of the alternative courses of action Show all your work

Question 1

The inventory at April 1, 2020, and the costs charged to Work in Process--Department B during April for Worldwide Company are as follows:

During April, all direct materials are transferred from Department A. In Department B, the units in process at April 1 were completed, and of the 26,000 units entering the department, all were completed except 1,000 units which were 70% completed as to conversion costs. Inventories are costed by the first-in, first-out method.

Required:

Prepare a cost of production report for Department B for the month April 2020.

The December 31, 2020 inventory of Ivanhoe Company consisted of four products, for which certain information is provided below.

Using the lower-of-cost-or-market approach applied on an individual-item basis, compute the inventory valuation that should be reported for each product on December 31, 2020. (Round answers to 2 decimal places, e.g. 52.75.)

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.

Between the beginning of 2020 and the middle of 2020,

A. the typical interest rate on jumbo mortgage went up, relative to the interest rate on conforming mortgages

B. the typical interest rate on conforming mortgages went up, relative to the interest rate on jumbo mortgages

Northeastern Insurance Company is considering opening an office in the U.S. The two cities under consideration are

Philadelphia and New York.

The factor ratings​ (higher scores are​ better) for the two cities are given in the following table.

Based on the given​ information, the best location for Northeastern Insurance Company to open the office is

____________

with a total weighted score of

___________.

​(Enter your response rounded to two decimal​ places.)