Think up a company you would like to start. Then, choose an organizational type. Assume the company will start on January 1st, 2020. Create 10 transactions for the year 2020. Please make sure you use entries which affect equity, revenue, expenses, assets and liabilities. You can draw the "T" accounts or you can describe the affect of the transactions on the financial statement. Then, show the income statement, the balance sheet and the statement of equity for the year ending 12/31/2020.
Any company or organization is fine!
In: Accounting
Amazon leased equipment from United Machines on July 1, 2020, in a finance lease. The present value of the lease payments discounted at 10% was $82,000. Ten annual lease payments of $12,000 are due each year beginning July 1, 2020. United Machines had constructed the equipment recently for $66,000. What net effect did the lease have on the income statement of United Machines for the year ending December 31, 2020? Ignore taxes. a. $23,000 b. $0 c. $16,000 d. $19,500 e. $3,500
In: Accounting
1. A 100.0 mL sample of 0.10 M NH3 is titrated with 0.10 M HNO3. Kb, NH3 = 1.8 × 10−5. Determine the pH of the solution at each of the following points in the titration:
(a) before addition of any HNO3
(b) after the addition of 50.0 mL HNO3
(c) after the addition of 75.0 mL HNO3
(d) at the equivalence point
(e) after the addition of 150.0 mL HNO3
2. (12 points) Consider the titration of 37.0 mL of 0.200 M ammonia, NH3 (Kb = 1.8 × 10−5) with 0.130 M HCl
(a) Calculate the volume (mL) of HCl required to reach the equivalence point.
(b) Calculate the Ka of the conjugate acid, NH3+
(c) Calculate the pH at each of the following points:
i. initial pH
ii. halfway to the equivalence point
iii. at the equivalence point
iv. after the addition of 20.0 mL excess HCl
Plot the points from part (c) on a graph. Please label each point with volume and pH. Then sketch the shape of the titration curve.
In: Chemistry
A paddlewheel is made by attaching 4 thin uniform blades of length L and massmo to the exterior of a solid wooden disk of mass M and radius R. The paddlewheel isfree to spin about an axis through its center, on frictionless bearings. A particle pf mass m, moving horizontally at speed vo impinges on the outer edge of the vertically-alignedbottom blade of the stationary paddlewheel. Uniform gravity g is present.a) Determine the moment of inertia for the paddlewheel with blades, before being hit by m,.b) Assume m, is made of clay and sticks to the'blade. What is vo such that thepaddlewheel almost rotates by 180 degrees (i.e. the blade with clay attached nearlyreaches the top) after the collision?c) For part b), determine the kinetic energy of the paddlewheel immediately after thecollision (do not include the kinetic energy of the attached clay).d) Now assume that m, is made of steel and thus bounces (fully elastically) straightback after hitting the blade, with velocity -vo. What is the kinetic energy of thepaddlewheel after the collision?
In: Physics
Consider formic acid, HCHO2 (Ka = 1.9x10-4) and its conjugate base, CHO2-.
a) A buffer is prepared by dissolving 25.0 grams of sodium formate in 1.30 L of a solution of 0.660 M formic acid. Assume the volume remains constant after dissolving the sodium formate.
i) Calculate the pH of this buffer.
ii) Calculate the pH after 0.100 mole of nitric acid is added to this buffer.
iii) Calculate the pH after 10.0 grams of potassium hydroxide is added to this buffer.
iv) What is the buffer capacity of this buffer?
b) 35.0 mL of 0.739 M formic acid is titrated with 0.431 M potassium hydroxide.
i) What is the pH of the formic acid solution before titration begins?
ii) How many milliliters of KOH is required for this titration to reach its equivalence point?
iii) What is the pH of the solution after 10.0 mL of KOH has been added?
iv) What is the pH of the solution halfway to equivalence?
v) What is the pH of the solution at the equivalence point?
In: Chemistry
A firm with no debt-financed financial leverage has 600,000 common shares trading at $30 per share. With its investment plan fixed, it is expected to generate a perpetual EBIT stream of $3 million per year. The corporate tax rate is 40%. The firm is contemplating issuing a $9 million face value perpetual bond carrying 5% coupon interest per year and using the proceeds to retire some of its stock outstanding. Ignoring personal taxes:
a. What will be the value of the firm’s equity after the change in its capital structure?
b. Suppose you hold 100 shares of the company before it was levered, what will be the capital gain on your shares after the company is levered?
c. What financial risk premium will be included in the firm’s cost of equity after the change in its capital structure?
d. What will be the firm’s WACC after the change in its capital structure?
e. What will be the firm’s value if the debt issued was half of the firm’s levered value?
In: Finance
The Guo Chemical Corporation is considering the purchase of a chemical analysis machine. The purchase of this machine will result in an increase in earnings before interest and taxes of $65,000 per year. The machine has a purchase price of $350,000 and it would cost an additional $9,000 after tax to install this machine correctly. In addition, to operate this machine properly, inventory must be increased by $18,000.This machine has an expected life of 10 years, after which time it will have no salvage value. Also, assume simplified straight-line depreciation, that this machine is being depreciated down to zero,32 percent marginal tax rate, and a required rate of return of 13 percent.
a. What is the initial outlay associated with this project?
b. What are the annual after-tax cash flows associated with this project for years 1 through 99?
c. What is the terminal cash flow in year 10 (that is, the annual after-tax cash flow in year 10 plus any additional cash flow associated with termination of the project)?
d. Should this machine be purchased?
In: Finance
The Guo Chemical Corporation is considering the purchase of a chemical analysis machine. The purchase of this machine will result in an increase in earnings before interest and taxes of $75,000 per year. The machine has a purchase price of $300,000, and it would cost an additional $5,000 after tax to install this machine correctly. In addition, to operate this machine properly, inventory must be increased by $12,000. This machine has an expected life of 10 years, after which time it will have no salvage value. Also, assume simplified straight-line depreciation, that this machine is being depreciated down to zero, a 30 percent marginal tax rate, and a required rate of return of 99 percent.
a. What is the initial outlay associated with this project?
b. What are the annual after-tax cash flows associated with this project for years 1 through 99?
c. What is the terminal cash flow in year 10 (that is, the annual after-tax cash flow in year 10 plus any additional cash flow associated with termination of the project)?
d. Should this machine be purchased?
In: Finance
Bond H, described in the table below, is sold for settlement on 20 April 2020.
|
Annual Coupon |
6% |
|
Coupon Payment Frequency |
Semiannual |
|
Interest Payment Dates |
30 December and 30 June |
|
Maturity Date |
30 December 2025 |
|
Day-Count Convention |
30/360 |
|
Annual Yield-to-Maturity |
7% |
What is the full price (per 100 of par value) that Bond H will settle at on 20 April 2020? Round your answer to three decimal places.
Bond H, described in the table below, is sold for settlement on 20 April 2020.
|
Annual Coupon |
6% |
|
Coupon Payment Frequency |
Semiannual |
|
Interest Payment Dates |
30 December and 30 June |
|
Maturity Date |
30 December 2025 |
|
Day-Count Convention |
30/360 |
|
Annual Yield-to-Maturity |
7% |
What is the amount of accrued interest for Bond H on the settlement date of 20 April 2020? Round your answer to three decimal places.
Bond H, described in the table below, is sold for settlement on 20 April 2020.
|
Annual Coupon |
6% |
|
Coupon Payment Frequency |
Semiannual |
|
Interest Payment Dates |
30 December and 30 June |
|
Maturity Date |
30 December 2025 |
|
Day-Count Convention |
30/360 |
|
Annual Yield-to-Maturity |
7% |
What is the flat price for Bond H on the settlement date of 20 April 2020? Round your answer to three decimal places.
In: Finance
The adjusted trial balance of Monona Inc. as of December 31, 2020, follows.
| Adjusted Trial Balance | |||
|---|---|---|---|
| December 31, 2020 | |||
| Acct. No. | Account | Debit | Credit |
| 100 | Cash | $18,000 | $ |
| 104 | Accounts receivable | 35,000 | |
| 105 | Allowance for doubtful accounts | 1,775 | |
| 106 | Inventory | 40,000 | |
| 108 | Prepaid insurance | 2,400 | |
| 150 | Land | 5,725 | |
| 155 | Building | 100,000 | |
| 156 | Equipment | 30,000 | |
| 162 | Accumulated depreciation | 6,250 | |
| 202 | Accounts payable | 37,500 | |
| 204 | Salaries payable | 2,250 | |
| 208 | Deferred service revenue | 1,000 | |
| 210 | Interest payable | 250 | |
| 240 | Note payable | 75,000 | |
| 302 | Common stock | 92,500 | |
| 304 | Retained earnings | 6,000 | |
| 310 | Dividends | 2,500 | |
| 400 | Sales revenue | 250,000 | |
| 402 | Service revenue | 12,500 | |
| 510 | Costs of goods sold | 120,000 | |
| 512 | Salaries expense | 115,000 | |
| 520 | Repair expense | 1,000 | |
| 526 | Insurance expense | 1,800 | |
| 528 | Depreciation expense | 6,600 | |
| 540 | Interest expense | 6,000 | |
| 542 | Bad debt expense |
1,000 |
|
| Totals |
$485,025 |
$485,025 |
|
a. Prepare the income statement for the year ended
December 31, 2020.
b. Prepare the statement of stockholders’ equity for the
year ended December 31, 2020. Assume that the common stock was
issued prior to 2020.
c. Prepare the balance sheet on December 31, 2020
In: Accounting