URGENT!!!
Jamee is a resident tax payer. For the year ended 30 June 2020 he
recived:
- Gross salary of $82,000 from which PAYG of 20,100 had been withheld.
- Net interest of $745 afterTFN with holding tax of $715 had been withheld.
- In September 2019, Jamee received $1,100 as his share in winnings from a punters club with his work colleagues.
- In Jan 2020,he received a holiday valued at $3,400 from his employer for achieving the highest sale in the previous year.
- In June 2020, Jamee’s employer announced that he would be giving Jamee a pay rise effective from 1 April 2020. He is therefore to receive backpay of $2000 of which $1000 will be paid on 27 June 2020 and the remaining of $1000 will be paid on 4 july 2020.
-Dividend of $12,000 deposited to his bank account in May 2020 in respect of 70% franked Australian dividend. ( company tax rate 30%).
- Interest on term deposit with a Swedish bank of $3,600 (10% withholding tax had been deducted).
a. Advise Jamee how each payment would be treated, provide relevant section, case law and other supporting evidence.
b. Calculate Jamee’s assemble income for the current year ended 30 June, 2020.
In: Accounting
Use the adjusting journal entry information to prepare the formal adjusting journal entries as of December 31, 2020. Remember to skip a line between each adjusting journal entry and use AJ1, AJ2, AJ3, etc, instead of the actual date.
Information for Year End Adjusting Journal Entries December 31, 2020
1) The building(cost of $180,000)was purchased on January 1, 2019 and it is expected to have a useful life of 30 years with no salvage value. Depreciation expense has been recorded through November 30, 2020.
2) Office equipment(cost of $130,000)as of November 30, 2020 was purchased on January 1, 2015. The office equipment is expected to have a useful life of 10 years with $10,000 salvage value. Depreciation expense has been recorded through November 30, 2020.
3) Insurance in the amount of $4,800 was paid on April 1, 2020 covering the period of April 1, 2020 through March 31, 2021. The insurance expense and prepaid insurance accounts have been properly adjusted through November 30, 2020.
4) A December 31, 2020 count of supplies showed $3,300 of supplies remaining on hand.
5) Salaries earned but unpaid as of December 31, 2020 amount to $31,500.
6) The company has earned one of the three months rent previously received on December 1 from Bullwinkle Inc.
7) Interest at an annual rate of 3¼% is owed for the month of December 2020 on the Mortgage Note Payable due in 5 years (round interest to nearest whole dollar).
8) The savings account was opened on December 31, 2019. It earns interest at an annual rate of 1.5%, compounded monthly. Interest has been received and recorded through November 30, 2019. The bank notified the company that interest for the month of December was deposited in the savings account on December 31, 2020(round interest to the nearest dollar).
9) Uncollectible accounts are expected to be $11,500 based on net sales.
10) Income taxes owed for the year amounted to $15,000.
In: Accounting
Consider the information provided for Peak Financial Services
|
You must use formula to construct the ledger accounts, profit and loss statement, and balance sheet.
PEAK FINANCIAL SERVICES
UNADJUSTED TRIAL BALANCE AS AT 31st MAY 2020
ACCOUNT DR CR
CASH AT BANK 88,300 –
ACCOUNTS RECEIVABLE 48,300 –
GST RECEIVABLE 4,380 -
PREPAID RENT 9,000 -
PREPAID INSURANCE 8,000 -
OFFICE SUPPLIES 4,700 -
OFFICE EQUIPMENT 92,400 -
ACCUMULATED DEPRECIATION – OFFICE EQUIPMENT - 25,000
ACCOUNTS PAYABLE – 26,800
UNEARNED FEES – 12,200
LOAN PAYABLE – DUE 31 DECEMBER 2019 – 25,000
GST PAYABLE – 5,980
CAPITAL (A, PEAK) – 32,000
DRAWINGS (A, PEAK) 12,500 –
FEES REVENUE – 213,700
GAS EXPENSE 750 -
FUEL EXPENSE 6,400 -
RENT EXPENSE 30,000 -
SLALARIES EXPENSE 32,800 -
PHONE AND INTERNET EXPENSE 3,150 -
TOTALS 3,40,680 3,40,680
June transactions
Date transaction amount
1/06/2020 cash receipts from customers for money owed $19,800
2/06/2020 purchased a work van paying a 20% cash deposits and taking out a 4-year 6% loan to cover the balance $67,100
5/06/2020 purchased office supplies on credit, due 15 July $2,200
9/06/2020 received a cash deposit upfront from a customer for financial advisory work to be completed during July 2020 $4730
12/06/2020 cash receipts from customers for moneys owed $22,185
15/06/2020 paid all outstanding accounts payable from previous month
22/06/2020 received gas bill $330
24/06/2020 paid June salaries to this date $2,400
26/06/2020 received and paid mobile phone and internet bill for month of June $374
28/06/2020 settled previous month GST with ATO
29/06/2020 cash receipts from customers for moneys owed $3,250
30/06/2020 record all June sales on credit $21,340
30/06/2020 received bank interest $230
30/06/2020 one customer was declared bankrupt during June. Their debt is judged to be non-recoverable (a bad debt). $2,310
Additional Information:
In: Accounting
Consider the information provided for Peak Financial Services
|
You must use formula to construct the ledger accounts, profit and loss statement, and balance sheet.
PEAK FINANCIAL SERVICES
UNADJUSTED TRIAL BALANCE AS AT 31st MAY 2020
ACCOUNT DR CR
CASH AT BANK 88,300 –
ACCOUNTS RECEIVABLE 48,300 –
GST RECEIVABLE 4,380 -
PREPAID RENT 9,000 -
PREPAID INSURANCE 8,000 -
OFFICE SUPPLIES 4,700 -
OFFICE EQUIPMENT 92,400 -
ACCUMULATED DEPRECIATION – OFFICE EQUIPMENT - 25,000
ACCOUNTS PAYABLE – 26,800
UNEARNED FEES – 12,200
LOAN PAYABLE – DUE 31 DECEMBER 2019 – 25,000
GST PAYABLE – 5,980
CAPITAL (A, PEAK) – 32,000
DRAWINGS (A, PEAK) 12,500 –
FEES REVENUE – 213,700
GAS EXPENSE 750 -
FUEL EXPENSE 6,400 -
RENT EXPENSE 30,000 -
SLALARIES EXPENSE 32,800 -
PHONE AND INTERNET EXPENSE 3,150 -
TOTALS 3,40,680 3,40,680
June transactions
Date transaction amount
1/06/2020 cash receipts from customers for money owed $19,800
2/06/2020 purchased a work van paying a 20% cash deposits and taking out a 4-year 6% loan to cover the balance $67,100
5/06/2020 purchased office supplies on credit, due 15 July $2,200
9/06/2020 received a cash deposit upfront from a customer for financial advisory work to be completed during July 2020 $4730
12/06/2020 cash receipts from customers for moneys owed $22,185
15/06/2020 paid all outstanding accounts payable from previous month
22/06/2020 received gas bill $330
24/06/2020 paid June salaries to this date $2,400
26/06/2020 received and paid mobile phone and internet bill for month of June $374
28/06/2020 settled previous month GST with ATO
29/06/2020 cash receipts from customers for moneys owed $3,250
30/06/2020 record all June sales on credit $21,340
30/06/2020 received bank interest $230
30/06/2020 one customer was declared bankrupt during June. Their debt is judged to be non-recoverable (a bad debt). $2,310
Additional Information:
In: Finance
Earnings per share Bass Ltd, a leading producer of construction, mining and electrical equipment, suffered a significant drop in the demand of the company’s products due to COVID-19 in 2020 that significantly threatens the financial stability of the company. Bass in order to survive in this critical situation decides to restructure its strategy for forthcoming years. Changes in company strategies and accounting policies have a significant impact on reported profit. The basic earnings per share and diluted earnings per share presented in the company’s current year financial statements in accordance with “AASB 133 Earnings per Share” were comparatively higher than that of the last year. In contrast, company share prices have dropped by 20% at the reporting date, according to Yahoo finance.
While most shareholders seem unhappy to own company shares for the meagre dividend attached to them the question of whether Bass Ltd are fully valued at their current share prices continues to linger.
The directors of Bass Ltd are not sure how to calculate and include basic and diluted earnings per share in the company’s financial statements in accordance with AASB 133, and called for a report from the Finance Manager of the company.
On 30 June 2020, Bass Ltd had the following equity:
Preference shares (issued at $ 2 each) 500 000 shares Ordinary shares (issued at $ 3 each) $ 3 000 000 Retained earnings $1 250 000 Reserves $ 520 000 Total equity $ 5 770 000 During the year ended 30 June 2020, the company earned after tax profit of $1 240 000 from ordinary activities. The additional information is available.
i. On 20 November 2019, the company made a one-for-five bonus issue, and on 30 March 2020, the company made a rights issue of 400 000 ordinary shares.
ii. On 20 July 2017, the company issued $ 750 000 of 8% convertible notes. Each $ 100 note was convertible into 50 ordinary shares. There was no conversion during the year ended 30 June 2020.
iii. On 28 February 2019, the company issued options to purchase 10 000 shares at $ 3.50 each. No options were exercised during the year ended 30 June 2020.
iv. The company income tax rate is $ 0.30 in the dollar and the company’s ordinary shares are trading at $ 5 per share on 30 June 2020.
v. The company paid preference dividends of $ 40 000.
Required 1. Briefly describe the requirements of AASB 133 ‘earnings per share’ for the calculation of earnings per share.
2. Distinguish between basic and diluted earnings per share.
Following the requirements of AASB 133:
3. Calculate basic earnings per share.
4. Calculate diluted earnings per share.
In: Accounting
Jazz Mobile phone is a famous multinational brand
producing smart phones. The main aim for
Jazz is to satisfy its users with user friendly, innovative and
elegant devices that simplify the
problems of the customers and enable them to enjoy the product.
Jazz mobile have different series
with amazing features of large display size, amazing battery time,
high definition camera quality
and large internal storages. Jazz have a comprehensive portfolio of
hardware, software and services
that enable the digital transformation of networks to address
capacity needs, reduce complexity
and leverage network intelligence to create and deliver new
services. Operational excellence
remains a source of competitive advantage for Jazz and this becomes
the foundation of their
strategy.
According to their vision, Jazz Research is actively conducting
research and development (R&D) to
identify new future growth areas and secure advanced technologies
for its products to create new value
and improve people’s lives. Jazz has a global network of R&D
centers, each with individual
technology and competence specialties. Jazz research promises to
continue working hard to become
a global top research institute that creates new values for the
future through ceaseless innovation and
intelligence.
Recently Jazz has launched a new phone Book 8. It has the biggest
screen and battery, the fastest
processor and the largest storage. It’s a phone designed and built
for the power user who won’t
settle for anything less. The Book 8 gives the most advanced
features than any other series. After
few days of launching the phone, the customers had a complaint that
there is some problem with
the phone. Jazz management ordered the inquiry and identify the
issues arising out of the battery
design and manufacturing process. Jazz had to recall about 1.5
million phones after complaints of
manufacturing issues.
Research and development along with the management is concerned
about the incident and their
goodwill across the world. R &D is now working to find out the
reasons for the failure of their
new Book 8. They wanted to ensure that this problem should not
exist for the new model coming
in the future.
a. Sometimes a minor negligence can cost the company in terms of
their repute, money, time and
effort. Based on company’s previous experience of Book 8, what
steps are required to be followed
by Jazz for comprehensive research for their upcoming model. What
suggestions would you
recommend to Jazz R&D to make their research successful?
b. Write the analysis report for the causes of failure of Book 8.
What were the practices not
followed before launch of Book 8?
In: Accounting
Jazz Mobile phone is a famous multinational brand producing smart phones. The main aim for Jazz is to satisfy its users with user friendly, innovative and elegant devices that simplify the problems of the customers and enable them to enjoy the product. Jazz mobile have different series with amazing features of large display size, amazing battery time, high definition camera quality and large internal storages. Jazz have a comprehensive portfolio of hardware, software and services that enable the digital transformation of networks to address capacity needs, reduce complexity and leverage network intelligence to create and deliver new services. Operational excellence remains a source of competitive advantage for Jazz and this becomes the foundation of their strategy. According to their vision, Jazz Research is actively conducting research and development (R&D) to identify new future growth areas and secure advanced technologies for its products to create new value and improve people’s lives. Jazz has a global network of R&D centers, each with individual technology and competence specialties. Jazz research promises to continue working hard to become a global top research institute that creates new values for the future through ceaseless innovation and intelligence. Recently Jazz has launched a new phone Book 8. It has the biggest screen and battery, the fastest processor and the largest storage. It’s a phone designed and built for the power user who won’t settle for anything less. The Book 8 gives the most advanced features than any other series. After few days of launching the phone, the customers had a complaint that there is some problem with the phone. Jazz management ordered the inquiry and identify the issues arising out of the battery design and manufacturing process. Jazz had to recall about 1.5 million phones after complaints of manufacturing issues. Research and development along with the management is concerned about the incident and their goodwill across the world. R &D is now working to find out the reasons for the failure of their new Book 8. They wanted to ensure that this problem should not exist for the new model coming in the future.
a. Sometimes a minor negligence can cost the company in terms of their repute, money, time and effort. Based on company’s previous experience of Book 8, what steps are required to be followed by Jazz for comprehensive research for their upcoming model. What suggestions would you recommend to Jazz R&D to make their research successful?
b. Write the analysis report for the causes of failure of Book 8. What were the practices not followed before launch of Book 8?
In: Accounting
An LC circuit like the one in the figure below contains an 85.0 mH inductor and a 24.0 µF capacitor that initially carries a 175 µC charge. The switch is open for t < 0 and is then thrown closed at t = 0. A rectangular loop forms an L C circuit. The left side of the loop contains a capacitor C carrying a charge Qmax, with the positively charged plate above the negatively charged plate. The right side of the loop contains an inductor L. The bottom side of the loop contains an open switch S. (a) Find the frequency (in hertz) of the resulting oscillations. . Hz (b) At t = 1.00 ms, find the charge on the capacitor. µC (c) At t = 1.00 ms, find the current in the circuit. mA (d) What If? What are the first three times (in ms), after t = 0, when the capacitor is fully charged again? smallest value ms ms largest value ms
In: Physics
Short answer: Answer each of the questions in Section B. Answers should typically be no more than 2-3 sentences in length.
1. In the Mundell-Fleming model, what are the two endogenous variables that appear in the goods-market equilibrium condition (after substituting in all relevant functions, e.g., C = C(Y ? T), etc.)? How does this compare to the case in the (closed economy) IS-LM model? Be sure to explain the reason for any differences
2. Briefly describe how “debt deflation” works; that is, how this mechanism might cause an unexpected fall in the price level to produce a large fall in output (e.g., in the Great Depression).
3. Consider the IS-LM model, and suppose G increases by ?G units. In general equilibrium, does output increase by more, less, or the same amount as µG × ?G (where µG is the government spending multiplier)? Be sure to explain why this is the answer.
In: Economics
A portfolio manager has a $33m position in an equity portfolio which tracks the YAL100 index. The manager is concerned about the possibility of a short term fall in the index and consequent decrease in the value of his portfolio. The fund manager decides to hedge using futures written on the YAL100 index. The current value of the index is 7,500 points with a continuously compounded dividend yield of 3.8%. The portfolio has a beta of 1.1 with respect to the index. The relevant futures contract has 6 months to maturity and has a contract multiple of $25 per full index point. The risk-free rate of interest is 4.5%.
(a) Calculate the futures position required to hedge the
portfolio using a beta hedge.
(b) After 3 months the spot price of the index falls to 7,200 points and the futures position is closed out. What will be the new quoted futures price and what will be the gain or loss on the futures and spot positions and the return on the hedged portfolio?
In: Finance