Exercise: (30%) The following information is available for the Smart Corporation:

Additional information:
(1) There was no gain or loss on the sales of the long-term investments, nor on the bonds retired.
(2) Old equipment with an original cost of $37,550 was sold for $2,100 cash.
(3) New equipment was purchased for $67,550 cash.

(4) Cash dividends of $33,600 were paid.
(5) Additional shares of stock were issued for cash.

Required: Prepare a complete statement of cash flows for the 2010 calendar year using the direct method.

1. Top of the World, Ltd. reported the following summarized balance sheet at December 31, 2010:

During 2011, Top of the World, Ltd. completed these transactions that affected stockholders’ equity:

Taking into account the transactions above, prepare a statement of stockholders’ equity for Top of the World for the period ended December 31, 2011.  Use the format used in lecture and provided in your text, Illustration 10-20.   Assume net income for 2011 was $6,730.

The Patient Protection and Affordable Care Act of 2010 otherwise known as Obama Care has been the center of debate among the government, policymakers, politicians, and health care providers over the past decade. For much of the last 4 years, the government has tried to repeal and replace Obama Care; however, they were unsuccessful in their attempts. There are currently modifications made to the initial Act. As a middle manager in the Health Care Industry, what type of attitude is most essential during this volatile period of change? Discuss your reasons?

Background

Brooke owns a 2010 Honda Civic. She insures the car under a PAP with liability limits of $25/50/25, uninsured motorists coverage of $25,000, medical payments coverage of $5,000 per person, and collision coverage with a $250 deductible.

With respect to each of the following situations, indicate whether the loss is covered and the amount payable, if any under the policy. Assume that each situation is a separate event. Please show your calculations and explain the basis for the claim payment.

1.Brooke’s car was hit by a car that ran a stop sign. The driver of the other car fled the scene of the accident. Brooke’s car was not damaged. However, Brooke required extensive medical care as a result of the accident. Her medical expenses from the accident totaled $20,000. Because of her injury, Brooke was unable to work for a week and lost $4,000 in wages.

2.While driving the Civic, Brooke slide off an icy road. Her car was not damaged. Brooke suffers a broken leg, and the passenger riding with her sustained a broken arm and severe laceration on her forehead. Brooke has medical expenses of $3,000 and her passenger has medical expenses of $6,000.

How much will Brooke’s insurer pay? Please show your calculations and explain as appropriate. Please identify the coverage under which each claim would be paid.

A nationwide US telephone survey3 conducted by the Pew Foundations in October 2010 asked 2625 adults ages 18 and older the following question: “Some people say there is only one true love for each person. Do you agree or disagree?” The surveyed were selected randomly, by landlines and cell phones.

The results showed 372 males “agree” and 363 females “agree” while 1005 females “disagree” and 807 males “disagree”. The number of males who responded “don’t know” was 34, and females 44.

a. Construct a two-way table summarizing the data.

Find the proportions below and express your answers as a decimal rounded to 3 decimal places.
a. What is the proportion of females that agreed?
b. What is the proportion of people who agreed were female?
c. What is the proportion of males that agreed?
d. What is the proportion of survey responders that were female?
e. What is the proportion of responders who answered “don’t know” that
were males?
f. What is the proportion of males that disagreed?
g. What proportion of people who agreed were female?

Oishi and Shigehiro (2010) report that people who move from home to home frequently as children tend to have lower than average levels of well-being as adults. To further examine this relationship, a psychologist obtains a sample of n = 12 young adults who each experienced 5 or more different homes before they were 16 years old. These participants were given a standardized well-being questionnaire for which the general population has an average score of μ = 40. The well-being scores for this sample are as follows: 38, 37, 41, 35, 42, 40, 33, 33, 36, 38, 32, 39.

1. On the basis of this sample, is well-being for frequent movers significantly different from well-being in the general population? Use a two-tailed test with α = .05.  (1 pt)
2. Compute the estimated Cohen’s d to measure the size of the difference. Be sure to interpret your findings. (1 pt)
3. Write a sentence showing how the outcome of the hypothesis test and the measure of effect size would appear in a research report. (1 pt)

Please show work ( how SS, s, and p-value were found)

The Patient Protection and Affordable Care Act of 2010 otherwise known as Obama Care has been the center of debate among the government, policymakers, politicians, and health care providers over the past decade. For much of the last 4 years, the government has tried to repeal and replace Obama Care; however, they were unsuccessful in their attempts. There are currently modifications made to the initial Act. As a middle manager in the Health Care Industry, what type of attitude is most essential during this volatile period of change? Discuss your reasons?

Please put step by step in Minitab

For the 15-year period between 1995 and 2010, ABC’s monthly return had a standard deviation of 5%. Matthew, a certified financial analyst, wishes to establish whether the standard deviation witnessed during that period still adequately describes the long-term standard deviation of the company’s return. He collects data on the monthly returns recorded between 1^st Jan. 2015 and 31^st Dec. 2016 and computes a monthly standard deviation of 4%.

Carry out a 5% test to determine if the standard deviation computed in the latter period is different from the 15-year value.

Please put step by step in Minitab

accounting question

On

1 April 2010

Parent Ltd acquired 90% of the equity in Subsidiary Ltd for $650 000 cash.

At this date the equity of Subsidiary Ltd comprised:

Share capital

$500 000

Retained earnings

130 000

Part A

(a) Assume the net assets of Subsidiary Ltd were at fair value on 1 April 2010. Prepare the

notional journal entry to offset the carrying amount of the asset Investment in Subsidiary Ltd

and the parent’s portion of equity in Subsidiary Ltd in accordance with the requirements of

NZ IFRS 3 Business Combinations

and

NZ IFRS 10 Consolidated Financial Statements.

(b) Assume the net assets of Subsidiary Ltd were

not

at fair value on 1 April 2010. At the

date of acquisition Subsidiary Ltd had an unrecognised intangible asset of $22 000 and a

contingent liability of $8 000. Prepare the notional journal entry to offset the carrying amount

of the asset Investment in Subsidiary Ltd and the parent’s portion of equity in Subsidiary Ltd

in accordance with the requirements of

NZ IFRS 3 Business Combinations

and

NZ IFRS 10

Consolidated Financial Statements.

(c) Briefly explain why the amount of acquired goodwill recognised above in (a) and (b) will

not be the same amount.

Part B

Assume the net assets of Subsidiary Ltd were at fair value on 1 April 2010. Prepare the

notional journal entry to identify the non-controlling interest (NCI) in Subsidiary Ltd to be

reported in the group accounts as at 31 March 2017 in accordance with the requirements of

NZ IFRS 3 Business Combinations

and

NZ IFRS 10 Consolidated Financial Statements

.

Parent Ltd measures the NCI at the NCI’s proportionate share of the acquiree’s identifiable

net assets.

Additional information provided for Part B:

(i) During March 2016 Subsidiary Ltd made sales to Parent Ltd and realised a profit of

$2 000. At 31 March 2016 this purchase was included in the inventory balance of Parent Ltd.

(ii) During March 2017 Subsidiary Ltd made sales to Parent Ltd and realised a profit of

$3 000. Parent Ltd had not sold this purchase of inventory by 31 March 2017.

(iii) At the date of consolidation 31 March 2017 the equity of Subsidiary Ltd comprised:

Share capital

$500 000

Retained earnings - opening

145 000

Profit after tax

62 000

Dividends declared and paid

35 000

172 000

ARS

30 000

Total equity

702 000

(iv) The directors of Parent Ltd believe the acquired goodwill in Subsidiary Ltd was impaired

by $4 500 in the year ended 31 March 2017.