David Bash's Landscaping Company has the following list of assets, liabilities, revenues and expenses on December 31, 2016, which is the end of its first year of operations:

Common stock $40,400

Accounts payable 5,000

Salary expense 15,000

Repairs expense     2,200

Dividends       10,000

Truck    24,000

Equipment     22,200

Notes payable 12,800

Cash   60,400

Supplies expense 5,400

Service revenue 77,200

Gasoline expense 2,200

The stockholders' equity for David Bash's Landscaping on December 31, 2016 is:

Working Backward: Debt Service Coverage Madison Corp. reported the following in the Current Assets section of its comparative balance sheets: December 31, 2017 December 31, 2016 Current Liabilities: Current portion of notes payable $412,000 $598,000 Supplemental information at the bottom of Madison's 2017 statement of cash flows was as follows: 2017 2016 Interest paid $138,500 $151,300 Income taxes paid 538,200 429,300 Madison's 2017 debt service coverage ratio was 21 to 1. Determine Madison's cash flow from operations for 2017.

On April 22, 2016, Blossom Enterprises purchased equipment for $130,000. The company expects to use the equipment for 10,500 working hours during its 4-year life and that it will have a residual value of $12,000. Blossom has a December 31 year end and pro-rates depreciation to the nearest month. The actual machine usage was: 1,500 hours in 2016; 2,500 hours in 2017; 3,500 hours in 2018; 2,200 hours in 2019; and 1,000 hours in 2020.
Calculate depreciation expense for the life of the asset under straight-line method.diminshing balance .and unites of production

Using the bond below, calculate your annual holding period yield (on a bond equivalent basis).

• 3.096%
• 5.888%
• 6.192%
• 6.246%
• 6.288%

On January 1, 2015 $20,000,000 of 20 year bonds were issued with a coupon rate of 6.5% when the market rate was 6%. Interest is paid every six months on June 30th and December 31st. Prepare the following journal entries and show your calculations as to how you arrived at the numbers.

1)Issuance of bonds on January 1, 2015

2) Payment of interest on June 30th and December 31st of both 2015 and 2016.

3) What is the carrying value of the bonds that would be presented on the balance sheet at December 31st 2016.

INFERENCES ABOUT THE DIFFERENCES

ENGINEERS IN A LARGE CORPORATION ARE CONCERNED ABOUT THE BONUS AMOUNT CLAIMING THAT THE AMOUNDS DECREASED COMPARED TO THE PREVIOUS YEAR. A SAMPLE OF n = 9 ENGINEERS WAS SELECTED AT RANDOM AND THEIR BONUS AMOUNTS FOR TWO LAST YEARS (2015 AND 2016) WERE SUMMARIZED. THE SUMMARIES SHOW THAT: (X-BAR) = (SAMPLE MEAN FOR 2015) = 4,880 (Y-BAR) = (SAMPLE MEAN FOR 2016) = 4,140 AND S = (SAMPLE SD FOR DIFFERENCES) = 1,200

1. (A) AT THE 5% SIGNIFICANCE LEVEL, DO ENGINEERS HAVE SUFFICIENT EVIDENCE THAT THE POPULATION AVERAGE BONUS IN 2016 WAS LOWER THAN IN 2015?

   CIRCLE ONE: YES or NO

   SHOW ALL ITEMS NEEDED FOR HYPOTHESIS TESTING (LISTED BELOW)

   NULL HYPOTHESIS STATES:
   ALTERNATIVE HYPOTHESIS STATES:
   TEST STATISTIC =
   CRITICAL VALUE =
   REJECTION RULE STATES:
   DECISION –

2. (B) ESTIMATE THE POPULATION AVERAGE CHANGE IN BONUS AMOUNT WITH THE 95% CONFIDENCE. SHOW THE DETAILED ANSWERS, PLEASE.

CRITICAL VALUE =

MID-POINT =

MARGIN OF ERROR =

UPPER CONFIDENCE LIMIT =

LOWER CONFIDENCE LIMIT =

Statement of Cash Flows

The following are several items involving the cash flow activities of the ROCKY HORROR PICTURE CO. for 2016:

1. Net income, $58,000
2. Payment of dividends, $16,300
3. Ten-year, $32,100 bonds payable were issued at face value
4. Depreciation expense, $15,500
5. Building acquired at a cost of $30,800
6. Accounts receivable decreased by $2,700
7. Accounts payable decreased by $4,700
8. Equipment acquired at a cost of $6,500
9. Inventories increased by $7,000
10. Beginning cash balance, $15,300

Required:

Prepare Rocky Horror Picture's statement of cash flows for 2016 using the indirect method. Use a minus sign for any negative amounts.

Liala Ltd acquired all the issued shares of Jordan Ltd on 1 January 2015. The following transactions occurred between the two entities:On 1 June 2016, Liala Ltd sold inventory to Jordan Ltd for $12,000, this inventory previously costed Liala Ltd $10,000. By 30 June 2016, Jordan Ltd had sold 20% of this inventory to other entities for $3,000. The other 80% was all sold to external entitiesby 30 June 2017 for $13,000.During the 2016–17 period, Jordan Ltd sold inventory to Liala Ltd for $6,000, this being at cost plus 20% mark-up. Of this inventory, 20 % remained on hand in Liala Ltd at 30 June 2017. The tax rate is 30%.Required:(i)Prepare the consolidation worksheet entries for Liala Ltd at 30 June 2017 in relation to the intragroup transfers of inventory. (ii)Compute the amount of cost of goods sold to be reported in the consolidated income statement for 2017 relating to the relevant intra-group sales.

Skysong Company began operations on January 1, 2016, adopting the conventional retail inventory system. None of the company’s merchandise was marked down in 2016 and, because there was no beginning inventory, its ending inventory for 2016 of $37,300 would have been the same under either the conventional retail system or the LIFO retail system. On December 31, 2017, the store management considers adopting the LIFO retail system and desires to know how the December 31, 2017, inventory would appear under both systems. All pertinent data regarding purchases, sales, markups, and markdowns are shown below. There has been no change in the price level.

Cost Retail Inventory, Jan. 1, 2017 $37,300 $60,100 Markdowns (net) 12,900 Markups (net) 22,100 Purchases (net) 128,800 178,800 Sales (net) 169,300. (The first number is cost the second is retail)

Determine the cost of the 2017 ending inventory under both (a) the conventional retail method and (b) the LIFO retail method.