Below is the financial data of FIT Corp. at the end of January 31, 2020. Prepare a traditional income statement. Show your calculations of the numbers that are not directly given.

1. Direct Materials used      $70k
2. Direct labor hour recorded:    1600
3. Average DL hourly pay:   $35
4. Applied Overhead   $50k
5. Work In Process (WIP), Jan.1, 2020        $20k
6. WIP, Jan.31, 2020                    $10k
7. Finished Goods Inventory, Jan. 1, 2020 $40k
8. Finished Goods Inv., Jan. 31, 2020 $30k
9. Other expenses paid for during January are:
10. Salesmen, executives, and other corporate employees salary and bonuses $100k
11. New vehicle bought on credit and put in use on 1/1/2020. $24k, 10 years life
12. Rent and utilities paid for the first quarter    $33k
13. Shipped products $800k
14. Collected payment $600k
15. No interest payment made. Tax rate is 21%

Please show the calculations please, thank you!

Piece of Time is a manufacturer of wrist watches and relies heavily on advertising to promote its products. Its partially filled Prepaid Advertising account below is missing an additional $44,000 (GST-inclusive) prepaid for advertising by Piece of Time on October 8, 2020 and the recognition of advertising expense for the month of October 2020.

Required:

Complete the Prepaid Advertising 3-column ledger below to find out the amount of advertising expense incurred by Piece of Time in October 2020. GST needs to be accounted for.

Using the General Journal below, record the additional $44,000 (GST-inclusive) prepaid for advertising and record the advertising expense for the month of October 2020 following the completion of Prepaid Advertising 3-column ledger above. GST needs to be accounted for. Narrations are not required.

(a) George Gershwin Co. sold $2,000,000 of 10%, 10-year bonds at 104 on January 1, 2020. The bonds were dated January 1, 2020, and pay interest on July 1 and January 1. If Gershwin uses the straight-line method to amortize bond premium or discount, determine the amount of interest expense to be reported on July 1, 2020, and December 31, 2020. (Round answer to 0 decimal places, e.g. 38,548.) Interest expense to be recorded $ (b) Ron Kenoly Inc. issued $600,000 of 9%, 10-year bonds on June 30, 2020, for $562,500. This price provided a yield of 10% on the bonds. Interest is payable semiannually on December 31 and June 30. If Kenoly uses the effective-interest method, determine the amount of interest expense to record if financial statements are issued on October 31, 2020. (Round intermediate calculations to 6 decimal places, e.g. 1.251247 and final answer to 0 decimal places, e.g. 38,548.) Interest expense to be recorded $

On November 15, 2020, a fire destroyed Youngstown Inc.’s warehouse where inventory is stored. It is estimated that $20,000 can be realized from sale of usable but damaged inventory. The accounting records concerning inventory reveal the following. Based on recent records, gross margin has averaged 35% of net sales.

a. Calculate the estimated loss of inventory using the gross profit method.
b. Assume instead that the markup is 35% of cost. Estimate the loss of inventory using the gross profit method.

• Do not round the gross profit percentage used in your calculations.
• Round your final answers below to the nearest dollar.

a. Estimated loss of inventory assuming a 35% markup on sales:

b. Estimated loss of inventory assuming a 35% markup on cost:

Complete the journal entries as necessary for both Part 1 and Part 2.

Part 1.

Transaction 1. On January 1st of 2020, Casey bought 10% of Apple Company’s 100,000 shares of outstanding common stock at $20 a share.

2. On December 31, 2020, Apple reported $40,000 of net income and paid $20,000 of dividends.

3. On December 31, 2020, the market price of the stock was $ 25 a share. Assume there was a zero balance in the fair value adjustment account.

Part 2. Complete the journal entries as required:

Transaction 4. On January 1st of 2020, Casey bought 30% of Apple Company’s 100,000 shares of outstanding common stock at $20 a share and has significant influence.

5. On December 31, 2020, Apple reported $40,000 of net income and paid $20,000 of dividends.

6. On December 31, 2020, the market price of the stock was $ 25 a share. Assume there was a zero balance in the fair value adjustment account before this transaction.

Consider the following table of activities A through E in which A is the start node and E is the stop node. Assume the project starts on Monday, May 4, 2020 and no work is done on weekends (Saturday and Sunday). All activities require the same resource. Assume no working-day holidays during the months of May and June—no Memorial Day holiday, for example.

On a piece of scratch paper, draw the early-start Gantt Chart associated with this table. Assume the project is resource-constrained but not time-constrained. Assume only one resource is available and that resource can only do one activity at a time. Given that the Month of May has 31 days, what would be the completion date for the project?

• Monday, June 8, 2020

• Wednesday, June 10, 2020

• Friday, June 5, 2020

• Thursday, June 11, 2020

• Thursday, June 4, 2020

Presented here are summarized data from the balance sheets and income statements of Wiper Inc.:

Required:

1. Calculate return on investment, based on net income and average total assets, for 2020 and 2019.
2. Calculate return on equity for 2020 and 2019.
3. Calculate working capital and the current ratio for each of the past three years.
4. Calculate earnings per share for 2020 and 2019.

The purchasing and supply department needs to forecast the number of tubes of adhesive being ordered. The data for several months is supplied below. Be careful since the data is listed beginning with the most recent. The forecasting method to be used here is exponential smoothing accounting for seasonality with a smoothing constant of 0.35 and a previous forecast (with seasonality) of 635. Please round your forecast to the nearest whole number.

The accounting department needs to forecast the profit for a subsidiary. The data for several months is supplied below. Be careful since the data is listed beginning with the most recent. The forecasting method to be used here is exponential smoothing with trend accounting for seasonality given a smoothing constant (alpha) of 0.69, a trend smoothing constant (delta) of 0.3, a previous trend amount, seasonally adjusted, of 65, and a previous seasonal forecast of 582. Please round your forecast to the nearest whole number.

Use the data in the following table for the next seven questions. Note that "%∆" is shorthand for "percentage change." If the answer is a percentage, please just enter the number. Thus, say an answer of yours is 3.5%, then below you would enter "3.5" (without the quotes) in the box below. Be careful not to include the percent symbol. Also, please use just one decimal place.

Q1: Is the rate of inflation for consumers from 2019 to 2020 correct? Yes or NO

What was the rate of economic growth from 2019 to 2020? (As in the directions above, just enter the percent number, such as 3.5 for 3.5%).

What was the inflation rate for the entire economy from 2019 to 2020?

Q2: What was the real interest rate for a consumer purchasing a house in 2020? They'll be taking out a home loan, often called a mortgage.

Please convert the nominal price for an apple from 1990 to the prices of 2020. Assume that a consumer purchases it.

What was the percentage change in the real price of apples from 2019 to 2020 for consumers?

Deflate the nominal price of apples from 2020 for consumers (that is, convert the 2020 nominal price to the base year of the CPI). Please use two decimal place for this answer.