You are the accounting manager of ABC Inc, which sells laptops. Your company has the following transactions for the month of December, 2019:

1. December 1^st: Ordered 10,000 laptops from Park Inc and paid cash of $200.
2. December 1^st: Bought a delivery truck from Arthur Motors Inc for $36,000. You estimate that this delivery truck can be used for anywhere between 12 to 36 months.
3. December 5^th: Spent $20 in cash on each laptop to package it.
4. Dec 10^th: Delivered 10,000 laptops for a price of $500 to Bata Inc. and received cash for the entire order.
5. December 20^th: Ordered 5,000 laptops from Park Inc. and paid cash of $250.
6. December 29^th: Received a call from Home Inc. saying that they want 5,000 ($500 each)laptops. Home Inc. said that they can receive delivery any time between December 30^th, 2019 and January 5^th, 2020. You also know that Home Inc. will only be able to pay in February, 2020 as it is going through financial trouble. A credit check allowed you to find out that Home Inc. will only be able to pay between 80 – 90% of the full amount.

Your CEO, Mrs. Hop, asks you to present her some accounting numbers by the end of day on December 31^st, 2019.

a) What is the highest value of net income you can report to her? (1.5 points)

b) What is the lowest value of net income you can report to her? (1.5 points)

c) What is the highest value of cash provided by operations you can report to her? (1.5 points)

d)What is the lowest value of cash provided by operations you can report to her? (1.5 points)

Please show the formula.

The YMCA contracts with Road Maintenance Inc. to clear roads and driveways during the winter months and to do repair work during summer on its properties in Estes Park and Winter Park. Road Maintenance has been doing this work for over 10 years and has been very responsive to the YMCA’s requests. The YMCA site managers call Road Maintenance to request specific work to be done, and Road Maintenance does the work then bills the YMCA quarterly for work that’s been performed. The YMCA pays the bills within 60 days of receiving the invoices. Occasionally, Road Maintenance will donate its services to the YMCA to receive a tax write off.

While clearing off a remote access road that had recently been patched by YMCA volunteers, Road Maintenance’s plow broke when it hit an unexpected barrier. Road Maintenance bills the YMCA for repair costs to the plow, and the YMCA refuses to pay for it. Neither party can find their original contract to see who is responsible for the repair costs.

QUESTION #1: (1 point)

What tort should Road Maintenance bring against the YMCA?

QUESTION #2: (2 points)

List the elements of the tort you identified when answering Question #1 and apply them to the hypothetical.

QUESTION #3: (1 points)

What contract claim should Road Maintenance bring against the YMCA?

QUESTION #4: (2 points)

List the elements of the contract claim you identified when answering Question #3 and apply them to the hypothetical.

QUESTION #5: (4 points)

Who is most likely to win: Road Maintenance or YMCA? What will be the easiest cause of action for Road Maintenance to prove—the tort or the contract claim? The most difficult? Explain your reasoning.

Melissa recently paid $760 for round-trip airfare to San Francisco to attend a business conference for three days. Melissa also paid the following expenses: $370 fee to register for the conference, $365 per night for three nights’ lodging, $250 for meals, and $300 for cab fare. (Leave no answers blank. Enter zero if applicable.) (Do not round intermediate calculations. Round your final answer to the nearest dollar amount.)

A. What amount of the travel costs can Melissa deduct as business expenses?
Deductible Amount:

B. Suppose that while Melissa was on the coast, she also spent two days sightseeing the national parks in the area. To do the sightseeing, she paid $1,710 for transportation, $1,285 for lodging, and $475 for meals during this part of her trip, which she considers personal in nature. What amount of the travel costs can Melissa deduct as business expenses?
Deductible Amount:

C. Suppose that Melissa made the trip to San Francisco primarily to visit the national parks and only attended the business conference as an incidental benefit of being present on the coast at that time. What amount of the airfare can Melissa deduct as a business expense?
Deductible Amount:

D. Suppose that Melissa’s permanent residence and business was located in San Francisco. She attended the conference in San Francisco and paid $370 for the registration fee. She drove 153 miles over the course of three days and paid $190 for parking at the conference hotel. In addition, she spent $430 for breakfast and dinner over the three days of the conference. She bought breakfast on the way to the conference hotel and she bought dinner on her way home each night from the conference. What amount of these costs can Melissa deduct as business expenses? (Use standard mileage rate.)
Deductible Amount:

Analyze means 1) identify the issue or problem 2) State the rule(s) and any exceptions if applicable 3) discuss the facts with the rules, and 4) conclude

Harvey is riding his bicycle, no-handed, and at a very fast speed down a park path. Trish, a jogger, accompanied by her dog, Rover on a leash is approaching Harvey from the other direction. Because he knows that he is bigger and faster on his bike, Harvey expects Trish to move out of his way. Unfortunately, Trish does not and as Harvey passes Trish, he side-swipes her knocking her to the ground and injuring her. Rover is inadvertently released when Trish falls, and he runs off into the road. Monty is driving carefully down the road. Seeing Rover running into his path and wanting to avoid hitting him, Monty swerves driving off the road and onto the sidewalk, damaging his wheel alignment when he jumps the curb. Grandma Jenkins is babysitting young Elvis, her grandson. Elvis happens to be playing hopscotch on the sidewalk across the street from the park. Fortunately, Monty's veering car stops far short of Elvis, and all is well for the tot (except for anxiety he suffered when he looked up and saw Monty's car heading straight for him). Unfortunately, Grandma Jenkins, observing the car veering off the road and heading straight toward her grandson, suffers a heart attack.

Analyze the following questions based on Negligence - (how far does Harvey's liability go? support)

Is Harvey liable for the injuries suffered by Trish and the loss of Rover? (Note: Rover is not dead, just lost) Is Harvey liable for the damage to Monty's car?

Is Harvey liable for the anxiety that Elvis suffered?

Is Harvey liable for Grandma Jenkins' heart attack?

• Journalize the transactions for the month of July, 2019, beginning on page GJ 1. Be sure and list the Debit Account(s) first; Credit Account(s) next. Be sure and write a brief explanation for each transaction.

You made the following transactions for Floral & Fauna Landscaping   during the month of July:

July   1        You deposited $25,000 in a bank account in the name of the business.

1           You invested your personal gardening equipment, with a fair market value of $1,500, in the business.

6           Bought a used trailer on account from Trailers R Us , $800, Inv. #286.

7           Paid the rent for July, $1485, Ck. # 1000.

8           Bought a used backhoe from Deere Equipment, $8,500, paying $4,000 in cash and placing the balance on account, Inv. #3562,       Ck. # 1001.

          10        Bought liability insurance for one year, $2,400, Ck. #1002.

11       Sold landscaping services on account to Bel-Red Business Park,    $2,225, Inv. #100.  

15       Bought supplies on account from Garden Suppliers, Inc., $1,585,        Inv. #6283.

16       Sold landscaping services on account to Phylla Dendron, $1,850,   Inv. #101.

18       Received and paid the bill from Gas To Go for gas and oil for the equipment, $95, Ck. #1003.

19       Sold landscaping services for cash to A Chinzy Company, $1,978,   Inv. #102.

20       Paid on account to Trailers R Us, $600, Inv. #286, Ck #1004.

21       Received on account from Bel-Red Business Park, $725, Inv. 100.

22       Sold landscaping services on account to Bonsai, Inc.,$1,626,         Inv. #103.

25       Received and paid the utility bill, $184, Ck. #1005.

30       Paid salaries of the employees, $3,000, Ck. #1006.

31       You withdrew cash for your personal use, $1,500, Ck. #1007.

NewTech Medical Devices is a medical devices wholesaler that commenced business on June 1, 20X1. The company purchases merchandise for cash and on open account. In June 20X1, NewTech Medical Devices engaged in the following purchasing and cash payment activities:

Required:
Journalize the transactions in a general journal.


Analyze:
What was the amount of trade discounts received on the June 15 purchase from Park Research?

Inventory Case Study

Nicole Matthews is the sole owner of Nature's Cosmetics, Inc. In December, 2015, a supplier, Spa Manufacturing, Inc., asked her to include a prepackaged spa kit with her cosmetics line. Feeling that she could manage an additional product line, Nicole agreed. Nicole's company, Nature's Cosmetics would make monthly purchases from the supplier at a cost that included production costs and transportation charges. Nicole would keep track of the new inventory line by using a perpetual inventory system.

On January 15, Nicole purchased 10 units at a total cost of $6 per unit. At the end of the month, January 31, she paid the totaLamount due to Spa Manufactur ing,Inc. On February 5,she purchased 30 more units at $8, but she returned 5 defective units on February 8. February, 15 she paid the full amount due to Spa Manufacturing ,Inc. On February 25,she sold 15 units to Sheila Davis for $40 per unit.

March 1,she purchased 15 units at $10 per unit, and on March 15 she sold 30 units to Lola Guthrie for $40 per unit. On May 1,she purchased an additional 50 units for $10 per unit.

Directions:

1. Prepare a Table that includes the below headings and subheadings:

Use the Table to compute Cost of Goods Sold and Ending Inventory (include both units and total dollars):

a) First In, First Out (FIFO)

b) Last In,First Out (LIFO)

c) Weighted Average Cost

3) Use the three Tables to answer the following questions :

a) Explain why merchandising companies have to use an inventory cost flow method.

b.When prices are increasing , which inventory cost flow method will yield the:

i) Highest ending inventory cost

ii) Lowest ending inventory cost

iii) Highest cost of goods sold

iv) Lowest cost of goods sold

v) Highest gross profit

vi) Lowest gross profit

c) Compared to FIFO and LIFO, when prices are increasing, the ending inventory for weighted average cost will be?

d) Compared to FIFO and LIFO, when when prices are increasing, the cost of goods sold for weighted average cost will be?

4) Using the FIFO Method from the Table created in question #2, prepare journal entries for all of the applicable transactions .

5) Open T Accounts, and post the journal entries to the T Accounts.

6) Using the LIFO Method from the Table created in question #2, prepare journal entries for all of the applicable transactions.

7) Open T Accounts, and post the journal entries to the T Accounts .

A hamburger joint took in $634.70 and sold (a combination of hamburgers and cheeseburgers) for a total of 650 burgers. Hamburgers cost $.89 and cheeseburgers cost $1.09. How many of each were sold?

A concrete walk 3 feet wide is placed around the outside of a circular pond with diameter 15 feet.

What is the total cost of the walk if the cost per square foot is $1.31