Explain how to build an Iron condor, what are the purposes of an iron condor strategy? Build a real life iron condor for an American publicly traded stock of your choice, pull the options contracts and paste them on the answer. Please explain each part of it, what the credit or debit will be for the transaction, include every detail of each option contract you will use to build the iron condor trade.

1) What legislation requires the implementation and attestation of internal controls for publicly traded companies?

2) What two principles of GAAP apply to accounting for bad debts?

3) October 1, a company purchases a building for $160,000, $10,000 salvage value, and 15-year useful life. On October 1 of year 6, the asset book value is $110,000, and management determines the salvage value should be $25,000 instead of $10,000.

3A. What should depreciation be for the last 3 months of the year?

3B. Record depreciation for the Part A.

4) At the end of the year, the company reported: Total sales of $375,000 of which $67,500 were cash sales. Accounts receivable balance is $37,000. Allowance for Doubtful Accounts had a beginning credit balance of $3,025, and $2,325 were written off during the year.

4A. What is the balance in Allowance for Doubtful Accounts at the end of the year before adjusting entry?

4B. What is the adjusting entry if bad debts are estimated to be 2% of Accounts receivable?

4C. What is the adjusting entry if bad debts are estimated to be 3.5% of credit sales?

Financial managers should be able to determine how risk factors into a company’s decision to expand or start a new project.

Select one of the publicly traded Fortune 500 corporations listed below:

• Amazon
• Apple
• General Electric
• Samsung

Use Mergent Online to access the company’s annual report to its stakeholders, then complete the following activities:

Retrieve and analyze the steps that the selected company uses for scenario and sensitivity analysis, risk management techniques, and how companies mitigate currency fluctuation risk for the launch of a new product/project. (this information comes from the companys annual report)

Prepare your analysis in a minimum of 500 words with APA formatting.

A company incurs the following costs on a particular project:

The total revenue from the project is expected to be $2,000,000. Under the percentage-of-completion method, the project’s net income in 2008 is closest to:

Group of answer choices

a. $300,000

b. $100,000

c. $600,000

ABC company's vice president of marketing proposes a new program to significantly increase product sales by 250,000 units per year throughout the 1998-2004 period. Specifically, it is suggested that the company take the following actions: A. Spend $2.5 million over the period of 1998-2000 as promotional expenditures - for example, spend $1.0 million each in the years 1998, 1999, and $0.5 million in the year 2000. B. Make a one-time investment of $1.4 million in plants and equipment needed at the beginning of 1998 to generate these additional products. No new warehouse capability is needed. This investment is to be depreciated on a straight-line basis over the seven-year period. There will be no salvage values for these plants and equipment in 2005. It is further assumed that the product unit cost is $8.00 in 1998, and it is estimated to increase by 3 percent per year. The product unit price is $20 in 1998, and it is estimated to change as manifested in the following table: Items 1998 1999 2000 2001 2002 2003 2004 Unit Price $20.00 $20.60 $21.00 $21.15 $21.25 $21.25 $21.00 The SG&A expenditure is estimated at $1.25 million in 1998, and it will increase by 3 percent per year during the six-year period. A corporate tax of 40 percent must be paid for any marginal income. There is an interest charge during this period, and the company's weighted average cost of capital (WACC) is 8 percent. If the company's hurdle rate for this type of investment is 25 percent, and the NPV (Net Present Value) for the proposed marketing initiative is negative at that hurdle rate of 0.25, why would you not recommend the marketing initiative be approved? Explain in depth.

AnimalChin! is a well-established company. Because of its market share and a fairly stable revenue stream, 3 years ago they successfully issued 20-year maturity 8% bonds, paying semiannually. Today, these bonds are selling for 95% of their face value. The total face value of these bonds is $4 billion. The company also issued 7% convertible bonds, paying semiannually, trading at 104% of their face value, maturing in 20 years. The total face value of these bonds is $3 billion. Finally, they just received a $2.2 billion term loan from a bank, the bank is currently charging a 6% interest on the loan. AnimalChin is publicly-traded. Today, its common stock trades for $18 per share. There are .8 billion shares outstanding. Its preferred stock is trading at $10 and just paid a dividend of $0.8. There are .3 billion preferred shares outstanding. The five financial analysts currently covering the company expect AnimalChin to grow at a similar pace as the whole skateboarding sec-tor: about 4%. The last dividend paid on common stock was $1.8 per share. The company’s most recent es-timated beta is 1.2. The risk-free rate is 4% and the expected market risk premium 8%. For the Veloce project the company’s CFO has decided to apply an adjustment factor of 1.5% to the compa-ny’s WACC to account for additional risk.

1) Calculate Animal Chin’s cost of all debt and the after-tax cost of debt. (Show work)

2) Calculate Animal Chin’s average cost of equity. (Show work)

3) Calculate Animal Chin’s cost of preferred. (Show work)

4) Calculate the market value of debt, equity, preferred, and the company’s total market value. (Show work)

5) Calculate the WACC. (Show work)

Choose an information technology and develop a business case for implementing the technology in your company (or a publicly traded company).

This should be written as a memo to your upper management.

Be sure to include the following:

A brief background on the company. What does it do, company size, where does it fit in the overall industry, financial situation, etc.

What is the generic strategy (e.g, cost leader, differentiator, focus) the company is pursuing? Note, this real strategy might be very different than the strategy statement the company puts out.

High level overview of the technology - what is it and how does it work.

How well does the technology proposed align with corporate strategy?

What are the high level costs and benefits (no need for detail here, but are we talking thousands, millions, billions, etc.)?

Based on what you have researched and written so far, make a recommendation as to whether the company should invest in the technology or not. Be sure to back up your recommendation.

Shown below is the stockholders' equity section of Lchrer Corp.'s balance sheet at 12/31/04

15% cumulative preferred stock, $100 par $50,000

Common stock, $2 par                                $120,000

Additional paid-in capital                              $160,000

Retained earnings                                        $340,000

Total stockholders' equity                             $670.000

Transactions during 2005

On January 1, Lehrer issued $90,000 face amount of 10% convertible bonds for cash. Each bond ($1,000 face) can be converted to 30 shares of common stock at any time. The bonds were issued at a discount, and bond interest expense reported in the company's 2005 income statement was $9,500. No bonds were converted during 2005

On 9/1/2005, Lehrer issued 18,000 common shares for cash.

On 10/31 Lehrer purchased 6,000 common shares and held them as treasury stock.

Additional information:

Lehrer had options to purchase 20,000 common shares at $19 outstanding throughout 2005. None of these options were exercised during the year.

Lehrer's 2005 net income was $170,000. The company's common stock traded at an average price of $25 during the year. Lehrer's tax rate, applicable to all items of profit and loss, is 30%.

Oustanding shares on 12/31/04 = 60,000 shares

Weighted average common shares outstanding during 2005 = 65,000 shares

Basic EPS for 2005 = 2.50

THE QUESTION.

What amount should Lehrer report as diluted EPS? (Show calculations and show how the order of inclusion of potential common shares was determined.) Hint: Bonds are antidilutive. The answer is 2.33. Show me the calculation involved.

The following activity occurred during May 2016 for ABC Inc.:

Using the information above, what journal entry would be required to record the transaction of May 4?

Select one:

a.

b.

c.

d.