For the year ended Dec 31, 2020, King Inc. reported pretax accounting income of $800,000. Select information is listed below:

In 2020, the company started issuing stock options to its employees. The compensation expense related to stock options was $80,000. The compensation expense related to stock options is not deductible for tax purpose until the employees exercise the options in the future.

2) In 2020, the company purchased a piece of equipment with a cost of $500,000. For financial reporting purposes, the company used the straight-line method over a 5-year service life with no residual value expected. For tax purposes, the equipment was scheduled to be depreciated by $160,000, $140,000, $120,000, $50,000 and $30,000 in years 2020 through 2024, respectively.

3) During 2020 loss contingency accrued for financial reporting purpose was $45,000. The loss contingency was due to the pending patent lawsuit brought by its long-time competitor, Queen Inc. The payment for the lawsuit is expected to be paid in 2022.

4) In 2020, the company incurred $10,000 from municipal bonds. The interest earned on municipal bonds are exempted for tax purposes.

King Inc.’s income tax rate is 20%. At January 1, 2020, the deferred tax asset balance was $40,000 and the deferred tax liability was $5,000.

Required:

a) What is taxable income for 2020?

b) What s the ending balance of DTL on 12/31/2020?

c) What is the ending balance of DTA on 12/31/2020?

d) Prepare journal entries to record income taxes in 2020

e) Prepare 2020 income statement, beginning with"Income before income taxes". You need to reconcile current income tax expense with total income tax expense in this section.

epidemiological triad in relation to community acquired pneumonia

CIO sought to organize the unskilled workers, which was on an industrial bases. They organized the United Auto Unions, and the United Steel Unions.

a) Give 5 reasons why the CIO sought to organize this type of labor.

Kimble, Sykes, and Gerard open an accounting practice on January 1, 2019, in Chicago, Illinois, to be operated as a partnership. Kimble and Sykes will serve as the senior partners because of their years of experience. To establish the business, Kimble, Sykes, and Gerard contribute cash and other properties valued at $288,000, $220,000, and $132,000, respectively. An articles of partnership agreement is drawn up stipulating the following:

• Personal drawings are allowed annually up to an amount equal to 10 percent of the partner's beginning capital balance for the year.
• Profits and losses are allocated according to the following plan:

1. Each partner receives an annual salary allowance of $55 per billable hours worked.
2. Interest is credited to the partners’ capital accounts at the rate of 12 percent of the beginning capital balance for the year.
3. Kimble and Sykes are eligible for an annual bonus of 10 percent of net income after subtracting the bonus, salary allowance, and interest. The agreement also states that there will be no bonus if there is a net loss or if salary and interest result in a negative remainder of net income to be distributed.
4. Any remaining partnership profit or loss is to be divided evenly among all partners.

On January 1, 2020, the partners admit Nichols to the partnership. Nichols contributes cash directly to the business in an amount equal to a 25 percent interest in the book value of the partnership property subsequent to this contribution. The partnership profit and loss sharing agreement is not altered upon Nichols' entrance into the firm; the general provisions continue to be applicable.

The billable hours for the partners during the first three years of operation follow:

The partnership reports net income (loss) for 2019 through 2021 as follows:

Each partner withdraws the maximum allowable amount each year.

1. Prepare schedules that allocate each year's net income to the partners.

2. Prepare in appropriate form a statement of partners’ capital for the year ending December 31, 2021.

Kimble, Sykes, and Gerard open an accounting practice on January 1, 2019, in Chicago, Illinois, to be operated as a partnership. Kimble and Sykes will serve as the senior partners because of their years of experience. To establish the business, Kimble, Sykes, and Gerard contribute cash and other properties valued at $298,000, $225,000, and $137,000, respectively. An articles of partnership agreement is drawn up stipulating the following:

• Personal drawings are allowed annually up to an amount equal to 10 percent of the partner's beginning capital balance for the year.
• Profits and losses are allocated according to the following plan:

1. Each partner receives an annual salary allowance of $55 per billable hours worked.
2. Interest is credited to the partners’ capital accounts at the rate of 12 percent of the beginning capital balance for the year.
3. Kimble and Sykes are eligible for an annual bonus of 10 percent of net income after subtracting the bonus, salary allowance, and interest. The agreement also states that there will be no bonus if there is a net loss or if salary and interest result in a negative remainder of net income to be distributed.
4. Any remaining partnership profit or loss is to be divided evenly among all partners.

On January 1, 2020, the partners admit Nichols to the partnership. Nichols contributes cash directly to the business in an amount equal to a 25 percent interest in the book value of the partnership property subsequent to this contribution. The partnership profit and loss sharing agreement is not altered upon Nichols' entrance into the firm; the general provisions continue to be applicable.

The billable hours for the partners during the first three years of operation follow:

The partnership reports net income (loss) for 2019 through 2021 as follows:

Each partner withdraws the maximum allowable amount each year.

1. Prepare schedules that allocate each year's net income to the partners.

2. Prepare in appropriate form a statement of partners’ capital for the year ending December 31, 2021.

Kimble, Sykes, and Gerard open an accounting practice on January 1, 2019, in Chicago, Illinois, to be operated as a partnership. Kimble and Sykes will serve as the senior partners because of their years of experience. To establish the business, Kimble, Sykes, and Gerard contribute cash and other properties valued at $248,000, $200,000, and $112,000, respectively. An articles of partnership agreement is drawn up stipulating the following:

• Personal drawings are allowed annually up to an amount equal to 10 percent of the partner's beginning capital balance for the year.
• Profits and losses are allocated according to the following plan:

1. Each partner receives an annual salary allowance of $55 per billable hours worked.
2. Interest is credited to the partners’ capital accounts at the rate of 12 percent of the beginning capital balance for the year.
3. Kimble and Sykes are eligible for an annual bonus of 10 percent of net income after subtracting the bonus, salary allowance, and interest. The agreement also states that there will be no bonus if there is a net loss or if salary and interest result in a negative remainder of net income to be distributed.
4. Any remaining partnership profit or loss is to be divided evenly among all partners.

On January 1, 2020, the partners admit Nichols to the partnership. Nichols contributes cash directly to the business in an amount equal to a 25 percent interest in the book value of the partnership property subsequent to this contribution. The partnership profit and loss sharing agreement is not altered upon Nichols' entrance into the firm; the general provisions continue to be applicable.

The billable hours for the partners during the first three years of operation follow:

The partnership reports net income (loss) for 2019 through 2021 as follows:

Each partner withdraws the maximum allowable amount each year.

1. Prepare schedules that allocate each year's net income to the partners.

2. Prepare in appropriate form a statement of partners’ capital for the year ending December 31, 2021.

A small country consists of seven states. there are 160 states in the legislature that need to be apportioned among the seven states and the population of each state is shown in the table.

State A B C D E F G

Population 1283 2374 2725 2155 1592 2511 2017

Does the Alabama paradox occur using Hamilton's method if the number of seats is increased from 160 to 161?

1. A comparison of salaries at comparable institutions in two states was undertaken to examine if states pay professors similarly. Professors in each institution were selected and then matched on the basis of gender, length of service with the institution, number of publications, number of grants obtained, and average student evaluations.  The data are as follows.

            Pair     State "T"       State "G"                   Pair     State "T"       State "G"       

            1          38,432             42,134                         6          39,232             42,143

            2          47,984             49,243                         7          48,394             50,003

            3          58,423             63,243                         8          51,248             53,381

            4          35,345             36,454                         9          64,458             68,454

            5          43,214             44,365                         10        42,345             43,294

1. What is the null hypothesis?
2. What is the alternative hypothesis?
3. What test statistic will you use? Why?
4. What alpha level will you set?
5. What is the average salary for each state?
6. What is the value of the test statistic?
7. What is the p-value?
8. What is your decision about the null hypothesis?
9. What is your interpretation of the results? (2-3 sentences; 2pts).

A $10 000 bond with 5% interest payable quarterly, redeemable at par on November 15, 2030, was bought on July 2, 2014, to yield 9% compounded quarterly. If the bond sells at 92.75 on September 10, 2020, what would the gain or loss on the sale be?

   Face value = 10 000.00; b = 1.25%

                   Principal = 10 000.00; i = 2.25%

                   Interest dates are November 15, February 15, May 15, and August 15.

                   The interest date preceding the date of sale is August 15, 2020.

                   The time period August 15, 2020, to November 15, 2030, is 10.25 years: n = 41.

                   b < i → discount

                   The interest payment interval August 15, 2020, to November 15, 2020, is 92 days

                   The interest period August 15, 2020, to September 10, 2020, is 26 days.