You decide to save for retirement with a company that offers 6.3% compounded annually. You have decided to make $5,000 yearly deposits into the account for the next 30 years. Then for the 35 years following your final deposit, you plan on taking out an equal amount of money at the end of every year. (a) How much will you be able to withdraw each year for the 35 years after your last deposit? (b) How much total interest is earned during this entire 65-year process?

Determine the total assets.

$26,518

$20,154

$22,200

$11,316

I need show work also

Times-Interest-Earned Ratio

The Morris Corporation has $700,000 of debt outstanding, and it pays an interest rate of 10% annually. Morris's annual sales are $3.5 million, its average tax rate is 35%, and its net profit margin on sales is 3%. If the company does not maintain a TIE ratio of at least 5 to 1, then its bank will refuse to renew the loan, and bankruptcy will result.

1. What is Morris's TIE ratio? Do not round intermediate calculations. Round your answer to two decimal places.

What are costs? What are benefits? What tangible cost and benefits? What are in intangible cost and benefits? What direct and indirect cost?

What is earned value (EV)? Explain how earned value management can be used to control costs and measure project performance.

Scott Cohen, an expert on performance management, says: “Performance Management programs represent a lost opportunity for most companies. These systems, if designed and implemented properly, can have a strong positive impact on individual performance and financial results – our studies suggest a possible 20 percent improvement in shareholder value.” Cohen goes on to observe that too many companies use performance management programs merely as “window dressing” rather than to add real value.

One key to having a successful pay-for-performance plan is to have an organizational culture that embraces pay for performance. Such a culture will emphasize goal setting, rating and/or ranking of performance, and performance dialogue between supervisors and subordinates. A performance-based culture places a premium on obtaining desired behaviours and results, recognizes that the organization’s success depends on the employees’ successful performance, lets strategic outcomes and goals drive the work of the organization, and rewards desired performance but not poor performance.

H e w l e t t – P a c k a r d ’ s

P e r f o r m a n c e –B a s e d C u l t u r e

Hewlett-Packard’s, operating in 178 countries and doing business in more than ten languages, is a company with a performance-based culture. Employing more than 140,000 people, Hewlett-Packard is known as a great place to work. Hewlett –Packard values ideas and believes that ideas are best developed in a teamwork culture. “That is why everyone at every level in every function is encouraged to have original ideas to express them, and to share them.” Each employee is valued for the unique skills, experiences, and perspectives that he or she brings to the job and organization.

Hewlett-Packard provides employees “every opportunity to learn, grow, and develop skills to drive the company toward achieving its business goals.” It encourages employees “to develop their work and life skills in order to achieve personal as well as career goals.” Hewlett-Packards encourages employees to plan individual development paths that are discussed with their respective managers. Employees and their managers reach mutual agreement upon the individual development paths. Learning within the context of these development plans is intended to be flexible, fast, and rewarding. Hewlett-Packard pride itself on having an “empowering culture that allows people to make the most of their skills, personality, and career.”

Not only is goal setting an important part of employees’ development plans, but it is also a crucial element in on-the-job performance management. Employees have three sets of goals: threshold, target, and aspiration. Threshold goals represent the minimum acceptable performance. Target goals represent the desired and expected level of performance. Aspirational goals exceed the desired and expected level of performance by a significant amount. Attainment of these goals is evaluated using appropriate criteria.

H e w l e t t –P a c k a r d ’ s

T o t a l R e w a r d s p r o g r a m

Performance management at Hewlett-Packard relies, in part, on a Total Rewards program that encourages employees to contributes ideas and attain a high level of achievement. The Total Rewards program includes six major components: competitive base pay, performance-related pay, comprehensive benefits, stock ownership, work life navigation, and sports and social facilities.

While the Total Rewards program differs from nation to nation and by organizational level, all employees are paid market rates for their locations and have benefits packages that are designed to address needs of the location. For instance, differences occur in benefits plans from country to country because of the different laws and regulations that govern the distribution of benefits. In the United States, for example, the benefits package includes a variety of programs for managing work and life demands (e.g. flexible work hours, flexible work arrangement, and educational assistance, among others), staying healthy (e.g. medical, dental, and vision plans), and protecting employees (e.g. life insurance and disability insurance).

All employees also receive performance –related pay that is linked to their attainment of threshold, target, and aspirational goals. “When aspirational goals are met, employees may exceed their target pay potential. Conversely, when minimal thresholds are not met, no variable payment will be made,” this provides employees the opportunity to share in HP’s success.

Performance-related pay may be one of three types: a company performance bonus, pay for results, or sales incentives. The company performance bonus links individual rewards to HP’s overall success. The pay for results variable incentive links compensation for executives and managers to individual, business organization, and company performance results. Sales incentives link the compensation of sales professionals to the attainment of individual, business organization, and company performance goals.

The ultimate effect of and justification for Hewlett –Packard Total Rewards program is perhaps best captured in its corporate rewards philosophy: “Our philosophy on rewards is simple: We believe that when excellent performance is acknowledged is rewarded, people are more motivated and work smarter.”

Discussion Questions

1. What are the primary characteristics of an organizational culture that strongly supports performance management?

2. How does Hewlett-Packard's organizational culture support its performance-management philosophy?

7. With each of the scenarios below, name all financial statement accounts affected, and whether it increased or decreased each account: a. Additional revenue is accrued at year end, that is earned but not received. b. The portion of revenue that is earned as of year end that had previously been recorded in unearned revenue when the customer paid. c. Portion of expiring insurance recorded. d. Salaries earned by employees but not paid until after year end is recorded. Regarding all of the entries discussed above, these are applicable to which basis of accounting? _____ Cash basis of accounting _____ Accrual basis of accounting

1: Phil McGlynn (Married; 3 federal withholding allowances) earned weekly gross pay of $790.

Federal income tax withholding = $

2: Gary Williams (single; 2 federal withholding allowance) earned biweekly gross pay of $1,840. He participates in a flexible spending account, to which he contributes $50 during the period.

Federal income tax withholding = $

3: Lila Downing (single; 5 federal withholding allowances) earned monthly gross pay of $5,460. For each period, she makes a 401(k) contribution of 8% of gross pay.

Federal income tax withholding = $

4: Billie Hall (married; 2 federal withholding allowances) earned semimonthly gross pay of $2,250. She participates in a cafeteria plan, to which she contributes $250 during the period.

Federal income tax withholding = $

Jordan Company’s annual accounting year ends on December 31. It is now December 31, 2015, and all of the 2015 entries have been made except for the following:

a. The company owes interest of $600 on a bank loan. The interest will be paid when the loan is repaid on September 30, 2016. No interest has been recorded.

b. On September 1, 2015, Jordan collected six months’ rent of $4,200 on storage space. At that date, Jordan debited Cash and credited Unearned Revenue for $4,200.

c. The company earned service revenue of $2,300 on a special job that was completed December 29, 2015. Collection will be made during January 2016. No entry has been recorded.

d. On November 1, 2015, Jordan paid a one-year premium for property insurance of $3,600, for coverage starting on that date. Cash was credited and Prepaid Insurance was debited for this amount.

e. At December 31, 2015, wages earned by employees but not yet paid totaled $1,000. The employees will be paid on the next payroll date, January 15, 2016. f. Depreciation of $1,200 must be recognized on a service truck purchased this year. g. The income after all adjustments other than income taxes was $29,000. The company's income tax rate is 25%. Compute and record income tax expense.

Determine the accounting equation effects of each required adjustment.

Solvency and Profitability Trend Analysis

Addai Company has provided the following comparative information:

You have been asked to evaluate the historical performance of the company over the last five years.

Selected industry ratios have remained relatively steady at the following levels for the last five years:

Required:

1. Determine the following for the years 20Y4 through 20Y8. Round to one decimal place:

a. Return on total assets:

b. Return on stockholders’ equity:

c. Times interest earned:

d. Ratio of liabilities to stockholders' equity: