Summer Company sells all its output at 25 percent above cost. Parade Corporation purchases all its inventory from Summer. Selected information on the operations of the companies over the past three years is as follows:

Parade acquired 70 percent of the ownership of Summer on January 1, 20X1, at underlying book value.

Required:
Compute consolidated net income and income assigned to the controlling interest for 20X2, 20X3, and 20X4.

Summer Company sells all its output at 25 percent above cost. Parade Corporation purchases all its inventory from Summer. Selected information on the operations of the companies over the past three years is as follows:

Parade acquired 60 percent of the ownership of Summer on January 1, 20X1, at underlying book value.

Required:
Compute consolidated net income and income assigned to the controlling interest for 20X2, 20X3, and 20X4.

xercise 12-25 (Algo) Fair value option; held-to-maturity investments [LO12-1, 12-2, 12-3, 12-8] Tanner-UNF Corporation acquired as a long-term investment $290 million of 6% bonds, dated July 1, on July 1, 2021. Company management has the positive intent and ability to hold the bonds until maturity, but when the bonds were acquired Tanner-UNF decided to elect the fair value option for accounting for its investment. The market interest rate (yield) was 7% for bonds of similar risk and maturity. Tanner-UNF paid $260 million for the bonds. The company will receive interest semiannually on June 30 and December 31. As a result of changing market conditions, the fair value of the bonds at December 31, 2021, was $270 million. Required: 1. How would this investment be classified on Tanner-UNF's balance sheet? 2. to 4. Prepare the journal entry to record Tanner-UNF’s investment in the bonds on July 1, 2021, interest on December 31, 2021, at the effective (market) and fair value changes as of December 31, 2021. 5. At what amount will Tanner-UNF report its investment in the December 31, 2021, balance sheet? 6. Suppose Moody's bond rating agency downgraded the risk rating of the bonds motivating Tanner-UNF to sell the investment on January 2, 2022, for $250 million. Prepare the journal entries to record the sale.

On January 3, 2018, Matteson Corporation acquired 40 percent of the outstanding common stock of O’Toole Company for $1,379,000. This acquisition gave Matteson the ability to exercise significant influence over the investee. The book value of the acquired shares was $863,000. Any excess cost over the underlying book value was assigned to a copyright that was undervalued on its balance sheet. This copyright has a remaining useful life of 10 years. For the year ended December 31, 2018, O’Toole reported net income of $353,000 and declared cash dividends of $35,000.The fair value of the O'Toole Company stock on December 31, 2018 was $1,410,000.

Requirements:

Shaquille Company pays $1,599,600 to acquire 100% of the common stock of Revolve Incorporated. It assumes that Revolve's plant assets (such as the factory building and land) are undervalued by $43,000. The historical cost of the net assets acquired, excluding goodwill is equal to $1,502,500. Revolve will be held as a division of Shaquille. The following information is available after 1 year the acquisition of the subsidiary company:

Shaquille estimated the fair value of the divisions net assets (excluding goodwill) 1 year after the date of acquisition at 1,609,000.

A. Compute the goodwill recorded on the date of acquisition. (COMPLETED)

B. determine whether goodwill is impaired assuming that the fair value of the Revolve Division with goodwill 1 year after acquisition is equal to 2,004,000. Provide the impairment journal entry, if needed.

C. Determine whether goodwill is impaired assuming that the fair value of the Revolve Division with goodwill 1 year after acquisition is equal to 1,618,000. Prepare the impairment journal entry if needed.

You need a new car and the dealer has offered you a price of $20,000, with the following payment options: (a) pay cash and receive a $2000 rebate, or (b) pay a $5000 down payment and finance the rest with a 0% APR loan over 30 months. But having just quit your job and started an MBA program, you are in debt and you expect to be in debt for at least the next 2 1 2 years. You plan to use credit cards to pay your expenses; luckily you have one with a low (fixed) rate of 15% APR (monthly). Which payment option is best for you?

Problem 4. You would like to have enough money saved to receive $200,000 per year after retirement so that you and your family can lead a good life for 30 years (from age 65 to 95). You will make your first withdraw of $200,000 at the end of year when you are 65. If you will be 35 years old when you graduate and plan on making savings contributions at the end of your first year out of school, how much would you need to save in your post-MBA retirement fund to achieve this goal? Assume an interest rate is 8%.  

The Graduate Management Admission Test (GMAT) is a test required for admission into many Master of Business Administration (MBA) programs. Total scores on the GMAT are normally distributed. The Graduate Management Admission Council, who administers the test, claims that the mean total score is 579. (Source: http://www.mba.com/.) Suppose a random sample of 8 students took the test, and their scores are given below.

699, 560, 414, 570, 521, 663, 727, 413

At the 0.05 level of significance, test the claim that the mean score is less than 579.

Set up the curve with the rejection region and critical value. State conclusion in a sentence.

After earning an MBA, a student begins working on an $80,000 per year job on 9/1/18. She expects to receive a 5 percent raise each year until she retires on 9/1/48. If the cost of capital (i.e. interest rate she uses to discount future earnings to current dollars) is 8% per year and she is paid monthly, determine the total present value of her before tax earnings. Assume she is paid at the end of each month and each annual raise takes effect on Sept 1 each year. (answer is $1,521,144,67) In Excel functions

This is all the instruction you need for this assignment. For LP04.2 paper, you will be demonstrating competence in your MBA in accounting field of study.

You must complete the assignment for your emphasis area in order to earn points for this assignment. Your paper must be at least 3 pages and include an introduction, the body of the paper, a conclusion and a reference page. In the body of your paper, you should

Discuss the effectiveness of delivering strategy in your field of accounting study and what was that strategy

Explore the results of each accounting decision round that strategy

How’s your accounting study go by a framework to implement new and innovative systems or practices?