Questions
What is the yield to maturity of a five​-year, $10,000 bond with a 4.1% coupon rate...

What is the yield to maturity of a five​-year, $10,000

bond with a 4.1% coupon rate and semiannual coupons if this bond is currently trading for a price of

$9,227​?

A. 7.09​%

B. 2.95​%

C. 8.27​%

D. 5.91​%

In: Finance

THIS PROBLEM IS FOR THE 2018 TAX YEAR [PLEASE DO NOT ANSWER IF YOU JUST HAD...

THIS PROBLEM IS FOR THE 2018 TAX YEAR [PLEASE DO NOT ANSWER IF YOU JUST HAD THE ANSWER OF PREVIOUS YEAR] [Please fill out Form 1040, Schedules A, B WITH EXPLANATION]

Alice J. and Bruce M. Byrd are married taxpayers who file a joint return. Their Social Security numbers are 123-45-6789 and 111-11-1112, respectively. Alice's birthday is September 21, 1971, and Bruce's is June 27, 1970. They live at 473 Revere Avenue, Lowell, MA 01850. Alice is the office manager for Lowell Dental Clinic, 433 Broad Street, Lowell, MA 01850 (employer identification number 98-7654321). Bruce is the manager of a Super Burgers fast-food outlet owned and operated by Plymouth Corporation, 1247 Central Avenue, Hauppauge, NY 11788 (employer identification number 11-1111111).

The following information is shown on their Wage and Tax Statements (Form W-2) for 2018.

Line Description Alice Bruce
1 Wages, tips, other compensation $58,000 $62,100
2 Federal income tax withheld 4,500 5,300
3 Social Security wages 58,000 62,100
4 Social Security tax withheld 3,596 3,850
5 Medicare wages and tips 58,000 62,100
6 Medicare tax withheld 841 900
15 State Massachusetts Massachusetts
16 State wages, tips, etc. 58,000 62,100
17 State income tax withheld 2,950 3,100

The Byrds provide over half of the support of their two children, Cynthia (born January 25, 1994, Social Security number 123-45-6788) and John (born February 7, 1998, Social Security number 123-45-6786). Both children are full-time students and live with the Byrds except when they are away at college. Cynthia earned $6,200 from a summer internship in 2018, and John earned $3,800 from a part-time job.

During 2018, the Byrds provided 60% of the total support of Bruce's widower father, Sam Byrd (born March 6, 1942, Social Security number 123-45-6787). Sam lived alone and covered the rest of his support with his Social Security benefits. Sam died in November, and Bruce, the beneficiary of a policy on Sam's life, received life insurance proceeds of $1,600,000 on December 28.

The Byrds had the following expenses relating to their personal residence during 2018:

Property taxes $5,000
Qualified interest on home mortgage (acquisition indebtedness) 8,700
Repairs to roof 5,750
Utilities 4,100
Fire and theft insurance 1,900

The Byrds had the following medical expenses for 2018:

Medical insurance premiums $4,500
Doctor bill for Sam incurred in 2017 and not paid until 2018 7,600
Operation for Sam 8,500
Prescription medicines for Sam 900
Hospital expenses for Sam 3,500
Reimbursement from insurance company, received in 2018 3,600

The medical expenses for Sam represent most of the 60% that Bruce contributed toward his father's support.

Other relevant information follows:

When they filed their 2017 state return in 2018, the Byrds paid additional state income tax of $900.

During 2018, Alice and Bruce attended a dinner dance sponsored by the Lowell Police Disability Association (a qualified charitable organization). The Byrds paid $300 for the tickets. The cost of comparable entertainment would normally be $50.

The Byrds contributed $5,000 to Lowell Presbyterian Church and gave used clothing (cost of $1,200 and fair market value of $350) to the Salvation Army. All donations are supported by receipts, and the clothing is in very good condition.

Via a crowdfunding site (gofundme.com), Alice and Bruce made a gift to a needy family who lost their home in a fire ($400). In addition, they made several cash gifts to homeless individuals downtown (estimated to be $65).

In 2018, the Byrds received interest income of $2,750, which was reported on a Form 1099–INT from Second National Bank, 125 Oak Street, Lowell, MA 01850 (Employer Identification Number 98-7654322).

The home mortgage interest was reported on Form 1098 by Lowell Commercial Bank, P.O. Box 1000, Lowell, MA 01850 (Employer Identification Number 98-7654323). The mortgage (outstanding balance of $425,000 as of January 1, 2018) was taken out by the Byrds on May 1, 2014.

Alice's employer requires that all employees wear uniforms to work. During 2018, Alice spent $850 on new uniforms and $566 on laundry charges.

Bruce paid $400 for an annual subscription to the Journal of Franchise Management and $741 for annual membership dues to his professional association.

Neither Alice's nor Bruce's employer reimburses for employee expenses.

The Byrds do not keep the receipts for the sales taxes they paid and had no major purchases subject to sales tax.

All members of the Byrd family had health insurance coverage for all of 2018.

This year the Byrds gave each of their children $2,000, which was then deposited into their Roth IRAs.

Alice and Bruce paid no estimated Federal income tax. Neither Alice nor Bruce wants to designate $3 to the Presidential Election Campaign Fund.

Form 1040 Information

Provide the following that would be reported on the Byrd's Form 1040:

1. Filing status and dependents: The taxpayers' filing status:
Married filing jointly

Indicate whether the following individuals can be claimed as a dependent by Alice and Bruce.
Cynthia:  No
Sam:   Yes
John:   Yes

2. Calculate taxable gross income. $_______

3. Calculate the total deductions for AGI. $_______

4. Calculate adjusted gross income. $_______

5. Calculate the greater of the standard deduction or itemized deductions. $_______

6. Calculate total taxable income. $_______

7. Calculate the income tax liability. $_______

8. Calculate any other taxes due. $_______

9. Calculate the total tax credits available. $_______

10. Calculate total withholding and tax payments. $_______

11. Calculate the amount overpaid (refund): $_______

12. Calculate the amount of taxes owed: $_______

Schedule A Information

Provide the following that would be reported on the Alice and Bruce Byrd's Schedule A:

1. Calculate the deduction allowed for medical and dental expenses. (Round computations to the nearest dollar.) $_______

2. Calculate the allowable deduction for taxes. $_______

3. Calculate the deduction for interest. $_______

4. Calculate the charitable deduction allowed. $_______

5. Calculate total itemized deductions. $_______

Schdule B Information

Provide the following that would be reported on the Alice and Bruce Byrd's Schedule B:

1. Calculate the interest amount: $_______

2. Calculate the ordinary dividends: $_______

Tax Planning For 2018

Alice and Bruce are planning some significant changes for 2019. They have provided you with the following information and asked you to project their taxable income and tax liability for 2019. Assume that the Byrds will itemize their deductions next year.

The Byrds will invest the $1,600,000 of life insurance proceeds in short-term certificates of deposit (CDs) and use the interest for living expenses during 2019.

They expect to earn interest of $32,000 on the CDs.

Bruce has been promoted to regional manager, and his salary for 2019 will be $88,000.

He estimates that state income tax withheld will increase by $4,000 and the Social Security tax withheld will be $5,456.

Alice, who has been diagnosed with a serious illness, will take a leave of absence from work during 2019. The estimated cost for her medical treatment is $15,400, of which $6,400 will be reimbursed by their insurance company in 2019. Their medical insurance premiums will increase to $9,769.

Property taxes on their residence are expected to increase to $5,100.

The Byrds' home mortgage interest expense and charitable contributions are expected to be unchanged from 2018.

John will graduate from college in December 2018 and will take a job in New York City in January 2019. His starting salary will be $46,000.

In 2019, the deduction for taxes on Schedule A are limited to $10,000 and the medical expenses are reduced by 10% of AGI.

Assume that all of the information reported in 2018 will be the same in 2019 unless other information has been presented above. Use the 2018 Tax Rate Schedules.

Provide the following that would be reported on the Byrds' Tax Planning For 2018. If required, round any computations to the nearest dollar.

1. Calculate the Byrds' projected itemized deductions for 2018: $________

2. Calculate the Byrds' taxable income: $________

3. Calculate the Byrds' related tax liability for 2018: $________

Required:

Compute the Alice J. and Bruce M. Byrd's Federal income tax for 2018. by providing the following information that would be reported on Form 1040, Schedules A and B. If they have overpaid, they want the amount to be refunded to them.

Make realistic assumptions about any missing data.

It may be necessary to consider the information provided on other schedules before completing Form 1040 information.

When computing the tax liability, do not round your immediate calculations. If required, round your final answers to the nearest dollar.

In: Accounting

Forecast an Income Statement Following is the income statement for Medtronic PLC for the year ended...

Forecast an Income Statement

Following is the income statement for Medtronic PLC for the year ended April 29, 2016.

Consolidated Statements of Income Apr. 29, 2016 Apr. 24, 2015 Apr. 25, 2014
Net sales $29,944 $20,261 $17,005
Costs and expenses
Cost of products sold 9,283 6,309 4,333
Research and development expense 2,224 1,640 1,477
Selling, general, and administrative expense 9,469 6,904 5,847
Special charges (gains), net 70 (38) 40
Restructuring charges, net 290 237 78
Certain litigation charges, net 26 42 770
Acquisition-related items 283 550 117
Amortization of intangible assets 1,931 733 349
Other expense, net 107 118 181
Operating profit 6,261 3,766 3,813
Interest expense, net 955 280 108
Income from operations before income taxes 5,306 3,486 3,705
Provision for income taxes 1,008 811 640
Net income $4,298 $2,675 $3,065

Use the following assumptions to prepare a forecast of the company's income statement for FY2017.

Net sales increase 20%
Cost of products sold 31.7%

of net sales
Research and development expense 7.7%

of net sales
Selling, general, and administrative expense 32.8%

of net sales
Special charges (gains), net $0
Certain litigation charges, net $0
Restructuring charges, net 75%

of 2016 expense
Acquistion-related items 1.0% of net sales
Amortization of intangible assets No change
Other expense, net and Interest expense, net No change
Provision for income taxes 20%

of pre-tax income

Instructions:

Round answers to the nearest whole number.

Use rounded answers for any subsequent computations.

Do not use negative signs with any of your answers.

Medtronic Inc.
Forecasted Consolidated Statement of Income

in Millions

 EST. 2017
Net sales $Answer
Costs and expenses
Cost of products sold Answer
Research and development expense Answer
Selling, general, and administrative expense Answer
Restructuring charges, net Answer
Acquisition-related items Answer
Amortization of intangible assets Answer
Other expense, net Answer
Operating profit Answer
Interest expense, net Answer
Income from operations before income taxes Answer
Provision for income taxes Answer
Net income $Answer

In: Finance

Forecast the Balance Sheet Following is the balance sheet for Medtronic PLC for the year ended...

Forecast the Balance Sheet

Following is the balance sheet for Medtronic PLC for the year ended April 29, 2016.

Medtronic plc
Consolidated Balance Sheets
($ millions) Apr. 29, 2016 Apr. 24, 2015
Current assets
Cash and cash equivalents $2,768 $4,843
Investments 9,758 14,637
Accounts receivable 5,562 5,112
Inventories 3,473 3,463
Tax assets 697 1,335
Prepaid expenses and other current assets 1,234 1,454
Total current assets 23,492 30,844
Property, plant, and equipment, net 4,841 4,699
Goodwill 41,500 40,530
Other intangible assets, net 26,899 28,101
Long-term tax assets 1,383 774
Other assets 1,559 1,737
Total assets $99,674 $106,685
Current liabilities
Short-term borrowings $885 $2,434
Accounts payable 1,709 1,610
Accrued compensation 1,712 1,611
Accrued income taxes 566 935
Deferred tax liabilities - 119
Other accrued expenses 2,185 2,464
Total current liabilities 7,057 9,173
Long-term debt 30,247 33,752
Long-term accrued compensation 1,759 1,535
Long-term accrued income taxes 2,903 2,476
Long-term deferred tax liabilities 3,729 4,700
Other long-term liabilities 1,916 1,819
Total liabilities 47,611 53,455
Shareholders’ equity
Ordinary shares - -
Retained earnings 53,931 54,414
Accumulated other comprehensive (loss) (1,868) (1,184)
Total shareholders’ equity 52,063 53,230
Total liabilities and shareholders’ equity $99,674 $106,685

Use the following assumptions to forecast the company’s balance sheet for FY2017.

Forecasted FY2017 net income $4,839

million
Forecasted FY2017 net sales $34,079

million
Accounts receivable 19.3%

of net sales
Inventories 12.0%

of net sales
Tax assets 2.4%

of net sales
Prepaid expenses and other current assets 4.3%

of net sales
Long-term tax assets 4.8%

of net sales
Other assets 5.4%

of net sales
Accounts payable 5.9%

of net sales
Accrued compensation 5.9%

of net sales
Accrued income taxes 2.0%

of net sales
Other accrued expenses 7.6%

of net sales
Long-term accrued income taxes 10.1%

of net sales
Long-term deferred tax liabilities 12.9%

of net sales
Other long-term liabilities 6.6%

of net sales
Investments No change
Goodwill No change
Long-term accrued compensation and retirement benefits No change
Ordinary shares No change
Accumulated other comprehensive (loss) No change
CAPEX 3.6%

of net sales
Depreciation expense 18.9%

of prior year PPE, net
Amortization expense in FY2016 $1,931

million
Current maturities of debt due in FY2017 $885

million
Current maturities of debt due in FY2018 $6,176

million
Dividend payout ratio 60.5%

Round your answers to the nearest whole number.

Do not use negative signs with any of your answers.

Medtronic plc
Forecasted Consolidated Balance Sheet
($ millions) EST. 2017
Current assets
Cash and cash equivalents $Answer
Investments Answer
Accounts receivable Answer
Inventories Answer
Tax assets Answer
Prepaid expenses and other current assets Answer
Total current assets Answer
Property, plant, and equipment, net Answer
Goodwill Answer
Other intangible assets, net Answer
Long-term tax assets Answer
Other assets Answer
Total assets $Answer
Current liabilities
Short-term borrowings $Answer
Accounts payable Answer
Accrued compensation Answer
Accrued income taxes Answer
Other accrued expenses Answer
Total current liabilities Answer
Long-term debt Answer
Long-term accrued compensation Answer
Long-term accrued income taxes Answer
Long-term deferred tax liabilities Answer
Other long-term liabilities Answer
Total liabilities Answer
Shareholders’ equity
Ordinary shares -
Retained earnings Answer
Accumulated other comprehensive (loss) Answer
Total shareholders’ equity Answer
Total liabilities and shareholders’ equity $Answer

In: Finance

Please show the work During a year of operation, a firm collects $175,000 in revenue and...

Please show the work

  1. During a year of operation, a firm collects $175,000 in revenue and spends $80,000 on labor expense, raw materials, rent, and utilities. The firm’s owner has provided $500,000 of her own money instead of investing the money and earning a 14 percent annual rate of return.
    1. The explicit costs of the firm are $_______. The implicit costs are

$ _______________. Total economic cost is $_____________.

  1. The firm earns economic profit of $___________________________.
  1. The firm’s accounting profit is $_____________________________.

  1. If the firm’s costs stay the same but its revenue falls to $____________, only a normal profit is earned.
  1. If the owner could earn 20 percent annually on the money she has invested on the firm, the economic profit of the firm would be __________ (when revenue is $175,000).

In: Finance

A bond matures in 10 years, pays $ 80 each year, and pays $ 1,000 at...

A bond matures in 10 years, pays $ 80 each year, and pays $ 1,000 at maturity. Assume that the market interest is 10%. What is the present value of the bond?

In: Finance

The Aluminum Association reports that the average American uses 56.8 pounds of aluminum in a year....

The Aluminum Association reports that the average American uses 56.8 pounds of aluminum in a year. A random sample of 50 households is monitored for one year to determine aluminum usage. If the population standard deviation of annual usage is 12.3 pounds, what is the probability that the sample mean will be each of the following? Appendix A Statistical Tables

a. More than 60 pounds

d. Less than 55 pounds

In: Statistics and Probability

case : The mother of a 17 year old girl brings her daughter to the doctor...

case : The mother of a 17 year old girl brings her daughter to the doctor after she experiences a number of fainting spells and lethargy. The mother states that her daughter eats practically nothing and is obsessed with exercise and losing weight. Her daughter states that she feels fat if she eats more. The girl is 5’6” and weighs 90 pounds. Physical examination shows loose skin folds and an abnormally low percentage of body fat.

1- What vitamin supplements would you recommend that she take? Consider all the pathways that are active in her current state. List these pathways and the cofactors and the corresponding vitamins needed by the enzymes in each of these pathways.

In: Biology

If you were an investor in a rent-to-own business that takes more than a year to...

  • If you were an investor in a rent-to-own business that takes more than a year to collect revenues while the customers take immediate possession of the goods: Would you prefer to have the income statement prepared by cash basis or by accrual basis and why?

In: Accounting

***A 7-year-old Virginia boy set fire to a building. As a result of the blaze, a...

***A 7-year-old Virginia boy set fire to a building. As a result of the blaze, a 66-year-old woman died. The boy was charged with second-degree murder. Could the boy be morally responsible for the crime of murder? If so, what circumstances might increase or diminish his responsibility?

***Five New Jersey teenagers were drinking beer by the railroad tracks near their home when they heard a train approaching. They decided to throw a track switch and sent the train careening off the tracks, down a siding, and through the brick wall of a building. The crash killed the engineer, critically injured one passenger, and caused an estimated $5.5 million in property damage. Discuss the teenagers’ moral responsibility for their act in light of the circumstances in which it took place.

In: Nursing