The following transactions relate to Academy Towing Service. Assume the transactions for the purchase of the wrecker and any capital improvements occur on January 1 of each year. 2016 1. Acquired $79,000 cash from the issue of common stock. 2. Purchased a used wrecker for $41,000. It has an estimated useful life of three years and a $10,000 salvage value. 3. Paid sales tax on the wrecker of $5,000. 4. Collected $65,100 in towing fees. 5. Paid $12,900 for gasoline and oil. 6. Recorded straight-line depreciation on the wrecker for 2016. 7. Closed the revenue and expense accounts to Retained Earnings at the end of 2016. 2017 1. Paid for a tune-up for the wrecker’s engine, $1,800. 2. Bought four new tires, $2,150. 3. Collected $71,000 in towing fees. 4. Paid $18,900 for gasoline and oil. 5. Recorded straight-line depreciation for 2017. 6. Closed the revenue and expense accounts to Retained Earnings at the end of 2017. 2018 1. Paid to overhaul the wrecker’s engine, $5,700, which extended the life of the wrecker to a total of four years. The salvage value did not change. 2. Paid for gasoline and oil, $20,000. 3. Collected $74,000 in towing fees. 4. Recorded straight-line depreciation for 2018. 5. Closed the revenue and expense accounts at the end of 2018. 4.value: 50.00 pointsRequired information b. For each year, record the transactions in general journal form and post them to T-accounts. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 2016: 2017: 2018:

Chip makers (Qualcomm and Intel, for instance) and Smart Phone manufacturers (Apple and Samsung, for instance) belong to two oligopoly markets. However, these markets are connected because smart phones cannot work without chips. In 2017 we have seen a complex battle over patents and how much license fees should be between Apple and Qualcomm, the largest players in each market. They were fighting with lawsuits in the US, UK and China. Apple ended the litigation with Qualcomm in 2019 and agreed to buy Qualcomm Snapdragon chips because Intel-Apple were not able to develop 5G chips, Samsung and Wawei already have it, and Apple found itself cornered without 5G chips. However, the discussion of licence fee models is still relevant. Read this Reuters' article from 2017 about the license fee model supported by Qualcomm, Nokia and Ericsson, and the license fee model that Apple, Google, Mercedes, and VW would like to have: https://www.reuters.com/article/legal-uk-eu-technology-patents/apple-faces-down-qualcomm-ericsson-over-eu-patent-fees-idUSKCN1C71EO

1. Show with an example how these two license fee models are different.

2. As a consumer of final products and not chips, what model favors you? Why?

Black Lives Matter Protest and Rioting

1. Prepare a two-page summary of your strategies to address the criminal justice problem that you are discussing in the capstone project.
   1. The first paragraph should address your position on the problem. Provide your argument for the most appropriate way to handle eliminating or mitigating the criminal justice problem. Include evidence from your literature review to support your position.
   2. The next few paragraphs should address the plan of action that will be implemented to eliminate or mitigate the criminal justice problem. As you describe your plan of action, be sure to break the plan down into steps or individual strategies that will allow you to accomplish the goal. Also, explain why each strategy is critical/important for the overall plan. Discuss how the plan addresses the criminological theories that apply to the criminal justice problem you are attempting to address. Note: The individual steps/strategies can be listed in bulleted format.
   3. The next paragraph should address the potential ethical issues that could arise based on your plan/strategy being implemented. Consider issues impacting people, the environment and the overall community.
   4. The final portion of your strategies submission will be a summary of the personnel required to implement the plan, the resources and other technology required and an estimated budget.

Black Lives Matter Protest and Rioting

1. Prepare a two-page summary of your strategies to address the criminal justice problem that you are discussing in the capstone project.
   1. The first paragraph should address your position on the problem. Provide your argument for the most appropriate way to handle eliminating or mitigating the criminal justice problem. Include evidence from your literature review to support your position.
   2. The next few paragraphs should address the plan of action that will be implemented to eliminate or mitigate the criminal justice problem. As you describe your plan of action, be sure to break the plan down into steps or individual strategies that will allow you to accomplish the goal. Also, explain why each strategy is critical/important for the overall plan. Discuss how the plan addresses the criminological theories that apply to the criminal justice problem you are attempting to address. Note: The individual steps/strategies can be listed in bulleted format.
   3. The next paragraph should address the potential ethical issues that could arise based on your plan/strategy being implemented. Consider issues impacting people, the environment and the overall community.
   4. The final portion of your strategies submission will be a summary of the personnel required to implement the plan, the resources and other technology required and an estimated budget.

Given info

Student loan

Annual 14667

4 year total 58558

Interest 4.45%

Home

Buying home in 7 years which is 4 years after graduation

30 year mortgage fixed interest 4.37%

House is 450kwith 15% downpayment

Cost of living

Utilities monthly

Electric 45

Phone 25

Internet/cable 115

Water 50

Natural gas 120

Gas 350

Food 400

Rent 0

Yearly expenses

Technology 1000

Car maintenance 500

Clothes 1000

Vacation 1000

Bar/clubs 1000

Salary

65k plus 5k for inflation 70k

First, let's compute your monthly (don't forget to modify your interest rate, for monthly compounding!!) debt of the student loan. Your payments will start on September 2022 and nish on September 2032. Please compute your monthly payment (using the assumptions or your real data [amount loaned, interest rate and duration]) and the total interest you will pay.

2. Compute the monthly payment of your house and the total interest you will pay on it. You have until 2025 to get the money for the down payment and you will start paying your mortgage on September 2025 and continue until September 2055. Compute the total interest you will pay.

32. Which of these new product characteristics is LEAST likely to increase the adoption rate:

-   product that can be demonstrated to outperform current products.

-   product that costs less than presently used products.

-   product that requires new patterns of use compared to existing products.

-   product that can be tried or sampled in small quantities.

33. Test marketing:

-   attempts to record consumers’ responses under reasonably realistic market conditions.

-   is basically the same as the screening and development stages of the new product development process.

-   is more common for industrial products than for consumer products because industrial markets usually involve fewer customers.

-   should be done slowly so that competitive actions can be observed and categorized.

34. Which is WRONG with regard to new products and product innovation:

-   most “new” products are just slight modifications of existing products.

-   planned obsolescence can cause some consumers to delay their purchases in order to wait for product improvements.

-   the most innovative new product ideas usually originate in research labs rather than in the marketplace.

-   the most successful new product innovation programs are organized just for a particular purpose; they are not ongoing research programs.

36. Meghan was disappointed to be assigned to work on a product in the mature phase of the product life cycle. Once she started working with the product team, she discovered all the following EXCEPT:

-   changes in consumers’ preferences were opening up new market segments.

-   end-of-cycle strategies were the most profitable for companies.

-   she could take the product into a new market segment to stimulate new growth.

-   some simple product redesign could completely reinvigorate the product.

1. Explain why drugs are covered and protected by copyright law but recipes are not.

2. What are the arguments for extending copyright protection to the fashion industry? How might it change the way clothes are produced and sold? Would it affect us, the final consumers?  

3. What do you think? Should the law extending copyright protection to the fashion industry be passed?

Copycats vs. Copyrights

Does it make sense to legally protect the fashion industry from knockoffs?

Fashion designer Zac Posen helps country singer Martina McBride choose a dress. Posen is one of those who want a law to protect designs from knockoffs.

I pride myself on being a man of substance. A wonk. A nerd, even. And like most nerds, I don’t have a great eye for fashion. So I ask this question seriously: what did you think of Chelsea Clinton’s Vera Wang wedding dress? Want to buy it? What if I can sell it to you really, really cheap?

On Aug. 5, Sen. Chuck Schumer (D-N.Y.) introduced S.3728: the Innovative Design Protection and Piracy Prevention Act. He’s got 10 cosponsors—including three Republicans—and a big idea: to extend copyright protections to the fashion industry, where none currently exist. That’s right: none. I—well, not I, but someone who can sew—can copy Vera Wang’s (extremely expensive) dress and sell it to you right now (for much less), and Wang can’t do a thing about it.

Allen Schwartz, founder and lead designer of the label ABS, has already promised to do exactly that. He’ll take the dress, remake it, and sell it to the masses for much cheaper. Is he stealing? Or is he popularizing? Schumer’s legislation suggests his answer: he wants to make Schwartz’s imitation illegal. Only Vera Wang should be able to profit from her designs, at least for the first three years (the length of Schumer’s proposed copyright). But what if he’s wrong? What if copying, despite what your teacher always told you, is ... good?

We’re used to the logic of copyright. Movies, music, and pharmaceuticals all use some form of patent or copyright protection. The idea is simple: if people can’t profit from innovation, they won’t innovate. So to encourage the development of stuff we want, we give the innovators something very valuable—exclusive access to the profit from their innovations. We’ve so bought into the logic that we allow companies to patent human genes.

And companies love copyright. They love it so much they persuaded Congress to pass the Sonny Bono Act, which extended individual copyright protections to the life of the author, plus another 70 years; and corporate copyrights to 120 years from creation, or 95 years from publication, whichever is earlier. That’s an absurdly long time, and it belies the original point of patents: does anyone seriously believe that a 40-year-old with a money-making idea is going to hold back because someone can mimic it 20 years after he dies?

At a certain point, copyrights stop protecting innovation and begin protecting profits. They scare off future inventors who want to take a 60-year-old idea and use it as the foundation to build something new and interesting. That’s the difficulty of copyrights, patents, and other forms of intellectual protection. Too little, and the first innovation won’t happen. Too much, and the second innovation—the one relying on the first—will be stanched.

Which is why we have to be careful when one industry or another demands more copyright protection for itself. “Intellectual property is legalized monopoly,” says James Boyle, a professor at Duke Law School. “And like any monopoly, its tendency is to raise prices and diminish availability. We should have a high burden of proof for whether it’s necessary."

Drug development probably meets the burden of proof. It costs hundreds of millions of dollars to bring a drug to market. If Pfizer could just copy the drugs Novartis develops, Novartis wouldn’t have much reason to develop drugs.

Recipes don’t. You can’t patent dessert. Just ask Jean-Georges Vongerichten. Years ago, he created a chocolate cake with a molten core of liquid chocolate. The recipe became a sensation. Which meant it appeared on menus all across the country, with no credit to JGV. That’s a bummer for its creator, but a boon to all of us who don’t live in New York. We get to eat it anyway. And yet innovation continues apace in the food world. JGV is still a rich man. We can have our cake and eat it, too. (Sorry, sorry.)

So which one is fashion? Well, look around. Sure seems as if there are a lot of clothing options, and at all manner of price points. The big fashion houses are raking in billions of dollars in profits. What’s the problem we’re trying to solve?

Well, there’s the principle of the thing. Designers don’t like being copied. It doesn’t seem fair. But there’s nothing fair about legal monopolies, either. The question is, which benefits consumers more?

Then there’s the matter of profit: Schwartz is threatening to take Wang’s profits. In theory, that might dissuade Wang from making new dresses. But America has never had copyright protection for dresses, and Wang keeps making—and profiting from—them. Meanwhile, Schwartz’s copies make versions of Wang’s designs available to consumers who would never be able to afford them otherwise. That has value, too. Copyright law is supposed to help consumers by protecting innovation, not producers by protecting profits. If we’re not having an innovation problem, we’re not having a problem that needs to be fixed through copyright.

Fordham University’s Susan Scafidi, who helped craft the legislation, says that it’s actually small designers that we need to worry about. They get ripped off, and because they don’t have the name recognition of a Vera Wang, there’s nothing they can do about it, and so they have to close up shop. But how many of them? There’s anecdotal evidence of this, but we’ve got record numbers of students signing up for fashion-design school, and the entire American fashion industry has emerged and thrived in the absence of copyright.

And what about the dangers of the new law? Schumer’s office has worked to protect against frivolous lawsuits. The language is very narrow, and cynical plaintiffs would have a tough road ahead of them. But the letter of the law does not always govern the effect of the law: small designers and retailers don’t have attorneys on retainer, and if bigger firms take the opportunity to start sending out a lot of intimidating cease-and-desist letters, or opportunists try to patent everything in sight and sue their way to prosperity, we could, at the least, see the legal fees and threats pile up—and ultimately consumers will pay for that.

And then there’s the question of creep: a judge could interpret the law as bigger than Congress intends, or a future Congress could expand the law beyond what Schumer intends—as has happened in other areas of copyright.

If we’re going to risk all that, the law needs to carry some serious benefits. And it might have one: innovation. “We have Allen Schwartz and six other companies making slavish copies of Vera Wang,” Scafidi says. “But suppose we have this law in place. The other companies can’t copy it exactly, so they go to their designers and create six or seven versions at the affordable price point.” In other words, the ability to copy might reduce the need to innovate.

Jennifer Jenkins, an intellectual-property expert at Duke, disagrees. “In fashion, copying has benefits,” she argues. First, knockoffs make designs trendy, and that increases the value of the original, and thus the incentives for designers to innovate. Second, it makes them affordable, so more people can wear them. Vera Wang and Allen Schwartz aren’t selling to the same crowds, and there are a lot more people shopping at discount stores than at designer boutiques (which is why many designers are now licensing their names to retail outlets like Target). And third, it speeds up innovation, as fashion designers have to keep churning out new products to stay ahead of the copycats.

But perhaps the strongest argument is that America’s apparel industry doesn’t seem broken—so why try and fix it? “America is the world fashion leader,” said Steven Kolb, director of the Council of Fashion Designers of America, the lead trade group in support of the Schumer bill, “and yet it is basically the only industrialized country that does not provide protection for fashion design.”

Run that by me one more time? We’re the world leader in fashion, so we should change our policy to mimic our lagging competitors?

Too often, copyrights are used not to protect consumers by making sure they have access to new products, but to protect the profits of producers. It’s no coincidence that the rise of the Internet—which led to an explosion of low-cost distribution networks, new forms of competition, and unexpected types of innovation—has also led to calls for new and stronger forms of intellectual protection.

Consumers assume this is all for them, as that’s what they’ve been told. But it isn’t. There’s a reason we’re skeptical of monopolies, and we shouldn’t forget that even when they’re dressed up as “copyrights.”

Question 1

At 30 June 2019, Beta Ltd had the following deferred tax balances: Deferred tax liability $18,000 Deferred tax asset 15,000 Beta Ltd recorded a profit before tax of $80,000 for the year to 30 June 2020, which included the following items: Depreciation expense – plant $7,000 Doubtful debts expense 3,000 Long-service leave expense 4,000 For taxation purposes the following amounts are allowable deductions for the year to 30 June 2020: Tax depreciation – plant $8,000 Bad debts written off 2,000 Depreciation ratesfor taxation purposes are higher than for accounting purposes. A corporate tax rate of 30% applies.

Required:

a) Determine the taxable income and income tax payable for the year to 30 June 2020. (2.5 Marks)

b) Determine by what amount the balances of the deferred liability and deferred tax asset will increase or decrease for the year to 30 June 2020 because of depreciation, doubtful debts and long-service leave.

c) Prepare the necessary journal entries to account for income tax assuming recognition criteria are satisfied. (2.5 marks)

d) What are the balances of the deferred tax liability and deferred tax asset at 30 June 2020?

Glaus Leasing Company agrees to lease equipment to Jensen Corporation on January 1, 2020. The following information relates to the lease agreement.

b. Calculation for annual rental payment

d. Prepare the journal entries Jensen would make in 2020 and 2021 related to the lease arrangement

e. Prepare the journal entries Glaus would make in 2020 and 2021