The Henry Keizer Family Foundation (2016) provides an excellent resource for individuals to assess their knowledge about health insurance.
Do you think that these types of resources are a part of improving quality?
Reference
Henry Keizer Family Foundation. (2016). Health Insurance Quiz. Retrieved from http://kff.org/quiz/health-insurance-quiz/?utm_source=kff&utm_medium=tile&utm_content=home&utm_campaign=consumer
In: Operations Management
7) You purchased a commercial building and land for $305,000 on May 3rd, 2014. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on February 15th of 2016. (a) What is the allowable tax depreciation amount for the year 2014? (b) What is the allowable tax depreciation amount for the year 2015? (c) What is the allowable tax depreciation amount for the year 2016?
In: Finance
You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on March 27th of 2018. (a) What is the allowable tax depreciation amount for the year 2016? (b) What is the allowable tax depreciation amount for the year 2017? (c) What is the allowable tax depreciation amount for the year 2018?
In: Economics
You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on March 27th of 2018. (a) What is the allowable tax depreciation amount for the year 2016? (b) What is the allowable tax depreciation amount for the year 2017? (c) What is the allowable tax depreciation amount for the year 2018?
In: Economics
On January 1, 2016, your sister's pet supplies business obtained a 30-year amortized mortgage loan for $500,000 at a nominal annual rate of 7.0%, with 360 end-of-month payments. The firm can deduct the interest paid for tax purposes. What will the interest tax deduction be for 2016?
Select the correct answer.
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In: Finance
Plot the unemployment rate in the US from 1980-2016 (Hint: Use the FRED web site). What is the average unemployment rate in this period? What is the most recent unemployment rate in the US?
Plot the percentage change (yearly) in the unemployment rate and the percentage change (yearly) in the real GDP from 1980-2016. What is the relationship between the fluctuations in the unemployment rate and the fluctuations in the real GDP?
In: Economics
You purchased a commercial building and land for $305,000 on February 1st, 2016. The land itself was valued at $82,000 when purchased. You sold the land and building for $480,000 on March 27th of 2018. (a) What is the allowable tax depreciation amount for the year 2016? (b) What is the allowable tax depreciation amount for the year 2017? (c) What is the allowable tax depreciation amount for the year 2018?
In: Economics
Problem 8-35A (Part Level Submission)
The Daniels Tool & Die Corporation has been in existence
for a little over three years. The company’s sales have been
increasing each year as it builds a reputation. The company
manufactures dies to its customers’ specifications and therefore
uses a job-order cost system. Factory overhead is applied to the
jobs based on direct labour hours—the absorption-costing (full)
method. Overapplied or underapplied overhead is treated as an
adjustment to Cost of Goods Sold. The company’s income statements
and other data for the last two years are as follows:
Daniels used the same predetermined overhead rate in applying overhead to its production orders in both 2015 and 2016. The rate was based on the following estimates:
In 2015 and 2016, the actual direct labour hours used were 20,300 and 23,100, respectively. Raw materials put into production were $291,900 in 2015 and $370,200 in 2016. The actual fixed overhead was $42,300 for 2015 and $33,980 for 2016, and the planned direct labour rate was the direct labour achieved. For both years, all of the administrative costs were fixed. The variable portion of the selling expenses results from a 5% commission that is paid as a percentage of the sales revenue. |
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*(a) For the year ended December 31, 2016, prepare a revised income statement for Daniels Tool & Die Corporation using the variable-costing method. (Round answers to 0 decimal places, e.g. 5,275.) |
In: Accounting
Question 2
In 2015, Corbus Co., a Canadian company, created a foreign subsidiary called Snazzy Ltd. by investing $2,000,000 CAD (800,000 FC) in return for all of Snazzy’s common shares. In preparing to start operations, Snazzy acquired equipment for 960,000 FC and took out a 320,000 FC loan. Snazzy is committed to repaying the loan in 3 years. In 2016, Snazzy acquired a tract of land for 320,000 FC. All dividends were paid on December 31 of the years in which they were declared.
Snazzy’s financial statements for its first 2 years of operations are presented below.
Snazzy Ltd.
Statement of Financial Position
As of December 31
(in FC)
2016 2015
Assets:
Current assets:
Cash $ 48.000 $ 256,000
Accounts receivable 64,000 48,000
112,000 304,000
Noncurrent assets:
Land 320,000 -
Equipment 960,000 960,000
Accumulated amortization (192,000) (96,000)
1,088,000 864,000
Total
assets
$
1,200,000
$ 1,168,000
Liabilities and shareholder’s equity:
Current liabilities:
Accounts payable 16,000 32,000
Noncurrent liabilities:
Loan payable 320,000 320,000
336,000 352,000
Shareholder’s equity:
Share capital 800,000 800,000
Retained earnings _64,000 _16,000
864,000 816,000
Total liabilities and shareholder’s equity $ 1,200,000 $ 1,168,000
Snazzy Ltd.
Statement of Comprehensive Income
For the year ended December 31
(in FC)
2016 2015
Revenue $ 480,000 $ 352,000
Expenses:
Amortization 96,000 96,000
Interest 64,000 64,000
Other expenses 192,000 128,000
352,000 288,000
Net and comprehensive income $ 128,000 $ 64,000
Snazzy Ltd.
Statement of Changes in Equity – Retained Earnings Section
For the year ended December 31
(in FC)
2016 2015
Retained earnings, beginning of year $ 16,000 $ -
Net income 128,000 64,000
Dividends declared (80,000) (48,000)
Retained earnings, end of year $ 64,000 $ 16,000
Selected exchange rates
when the equipment was purchased 1FC = $2.30 CAD
when the loan was negotiated 1FC = $2.40 CAD
when the land was purchased 1FC = $1.90 CAD
average during 2015 1FC = $2.20 CAD
December 31, 2015 1FC = $2.00 CAD
Average during 2016 1FC = $1.70 CAD
December 31, 2016 1FC = $1.50 CAD
Required:
Assume that Snazzy’s functional currency is the Canadian dollar.
Translate Snazzy’s 2015 financial statements using the appropriate method.
Independently calculate the translation gain/loss.
Repeat (i) and (ii) for 2016.
Assume that Snazzy’s functional currency is the FC.
Translate Snazzy’s 2015 financial statements using the appropriate method.
Independently calculate the translation gain/loss.
Repeat (i) and (ii) for 2016.
In: Accounting
The Daniels Tool & Die Corporation has been in existence for
a little over three years. The company’s sales have been increasing
each year as it builds a reputation. The company manufactures dies
to its customers’ specifications and therefore uses a job-order
cost system. Factory overhead is applied to the jobs based on
direct labour hours—the absorption-costing (full) method.
Overapplied or underapplied overhead is treated as an adjustment to
Cost of Goods Sold. The company’s income statements and other data
for the last two years are as follows:
| DANIELS TOOL & DIE CORPORATION 2015–2016 Comparative Income Statements |
||||||
| 2015 | 2016 | |||||
| Sales | $833,900 | $1,015,100 | ||||
| Cost of goods sold | ||||||
| Finished goods, January 1 | 24,000 | 17,800 | ||||
| Cost of goods manufactured | 544,600 | 654,400 | ||||
| Total available | 568,600 | 672,200 | ||||
| Finished goods, December 31 | 17,800 | 13,300 | ||||
| Cost of goods sold before overhead adjustment | 550,800 | 658,900 | ||||
| Underapplied factory overhead | 35,800 | 14,100 | ||||
| Cost of goods sold | 586,600 | 673,000 | ||||
| Gross profit | 247,300 | 342,100 | ||||
| Selling expenses | 81,900 | 94,500 | ||||
| Administrative expenses | 69,000 | 74,400 | ||||
| Total operating expenses | 150,900 | 168,900 | ||||
| Operating income | $96,400 | $173,200 | ||||
| Daniels Tool & Die Corporation Inventory Balances | |||||||||
| January 1, 2015 | December 31, 2015 | December 31, 2016 | |||||||
| Raw material | $21,700 | $29,900 | $10,400 | ||||||
| Work in process | $40,500 | $47,700 | $63,400 | ||||||
| Direct labour hours (used in WIP) | 1,350 | 1,630 | 2,280 | ||||||
| Finished goods | $24,000 | $17,800 | $13,300 | ||||||
| Direct labour hours (used in FG) | 1,470 | 1,010 | 840 | ||||||
Daniels used the same predetermined overhead rate in applying
overhead to its production orders in both 2015 and 2016. The rate
was based on the following estimates:
| Fixed factory overhead | $24,790 | |
| Variable factory overhead | $153,698 | |
| Direct labour hours (used in WIP) | 24,790 | |
| Direct labour costs (used in FG) | $148,740 |
In 2015 and 2016, the actual direct labour hours used were 20,200
and 23,800, respectively. Raw materials put into production were
$291,500 in 2015 and $370,600 in 2016. The actual fixed overhead
was $42,300 for 2015 and $23,240 for 2016, and the planned direct
labour rate was the direct labour achieved.
For both years, all of the administrative costs were fixed. The
variable portion of the selling expenses results from a 5%
commission that is paid as a percentage of the sales revenue.
|
*(a) For the year ended December 31, 2016, prepare a revised income statement for Daniels Tool & Die Corporation using the variable-costing method. (Round answers to 0 decimal places, e.g. 5,275.) |
In: Accounting