Questions
Graffiti Advertising, Inc., reported the following financial statements for the last two years.    2016 Income...

Graffiti Advertising, Inc., reported the following financial statements for the last two years.
  

2016 Income Statement
Sales $ 571,200
Costs of goods sold 273,965
Selling and administrative 124,721
Depreciation 54,564
EBIT $ 117,950
Interest 19,560
EBT $ 98,390
Taxes 39,356
Net income $ 59,034
Dividends $ 10,800
Addition to retained earnings $ 48,234
GRAFFITI ADVERTISING, INC.
Balance Sheet as of December 31, 2015
Cash $ 13,440 Accounts payable $ 9,492
Accounts receivable 18,982 Notes payable 14,496
Inventory 13,806 Current liabilities $ 23,988
Current assets $ 46,228
Long-term debt $ 135,840
Net fixed assets $ 344,786 Owner's equity $ 231,186
Total assets $ 391,014 Total liabilities and owners’ equity $ 391,014
GRAFFITI ADVERTISING, INC.
Balance Sheet as of December 31, 2016
Cash $ 14,426 Accounts payable $ 10,524
Accounts receivable 21,087 Notes payable 16,478
Inventory 22,766 Current liabilities $ 27,002
Current assets $ 58,279
Long-term debt $ 153,200
Net fixed assets $ 406,299 Owner's equity $ 284,376
Total assets $ 464,578 Total liabilities and owners’ equity $ 464,578

a. Calculate the operating cash flow. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
  
Operating cash flow            $
  
b. Calculate the change in net working capital. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
  
Change in net working capital            $
  
c. Calculate the net capital spending. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
  
Net capital spending            $
  
d. Calculate the cash flow from assets. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
  
Cash flow from assets            $

e. Calculate the cash flow to creditors. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
  
Cash flow to creditors            $

f. Calculate the cash flow to stockholders. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
  
Cash flow to stockholders            $

In: Finance

Lesedi Company (Pty) Ltd.’s balance sheets for the last two years are provided below

Lesedi Company (Pty) Ltd.’s balance sheets for the last two years are provided below

Balance Sheet

2019

2018

Cash

R 82 000

R 40 000

Accounts Receivable

180 000

150 000

Inventory

170 000

200 000

Equipment

200 000

140 000

Accum. Depreciation

(72 000)

(60 000)

Total Assets

R560 000

R470 000

Accounts Payable

R100 000

R 80 000

Long-term Payables

100 000

50 000

Ordinary Shares

250 000

250 000

Retained Earnings

110 000

90 000

Total Liabilities &

   

     Shareholders’ Equity

R560 000

 

R470 000

The company’s income statement for 2019 is provided below

Income Statement

2019

Sales

R345 000

Expenses:

 

Cost of Goods Sold

R120 000

             Operating Expenses

58 000

Depreciation Expense

20 000

Interest Expense

2 000

 

200 000

Operating Income

   145 000

Gain on Sale--

Equipment*

   5 000

Income before Taxes

   150 000

Tax Expense

30 000

Net Income/profit

R120 000

The company sold equipment for R57 000 that had a cost of R60 000

Required:

Prepare the company’s Statement of Cash flow for 2019. Use the direct method for calculating the cash flows from operating activities.                                                        (15)

 

In: Accounting

Suppose that you and two friends go to a​ restaurant, which last month filled approximately 86%...

Suppose that you and two friends go to a​ restaurant, which last month filled approximately 86% of the orders correctly.

(a) What is the probability that all three orders will be filled​ correctly?

The probability is 0.6361

(b) What is the probability that none of the three orders will be filled​ correctly?

The probability is 0.0022

(c) What is the probability that at least two of the three orders will be filled​ correctly?

The probability is 0.9466

(d) What are the mean and standard deviation of the binomial distribution used in​ (a) through​ (c)? Interpret these values.

The mean is= ?

(Round to four decimal places)

In: Statistics and Probability

Calculating Residual Income Forchen, Inc., provided the following information for two of its divisions for last...

Calculating Residual Income

Forchen, Inc., provided the following information for two of its divisions for last year:

           Small Appliances
Division Cleaning Products
Division
Sales $34,630,000      $31,350,000     
Operating income 2,653,000      1,253,000     
Operating assets, January 1 6,393,000      5,730,000     
Operating assets, December 31 7,530,000      6,040,000     

Forchen, Inc., requires an 6 percent minimum rate of return.

Required:

1. Calculate residual income for the Small Appliances Division.

$

2. Calculate residual income for the Cleaning Products Division.

$

3. What if the minimum required rate of return was 7 percent? How would that affect the residual income of the two divisions?

Small Appliances Division residual income would be
Cleaning Products Division residual income would be

In: Accounting

Gomez Co. had the following transactions in the last two months of its year ended December...

Gomez Co. had the following transactions in the last two months of its year ended December 31st. Nov. 1st Paid $1,900 cash for future newspaper advertising. 1st Paid $2,460 cash for 12 months of insurance through October 31st of the next year. 30th Received $3,700 cash for future services to be provided to a customer. Dec. 1st Paid $6,000 cash for a consultant’s services to be received over the next three months. 15 Received $7,950 cash for future services to be provided to a customer. 31st Of the advertising paid for on November 1st, $1,500 worth is not yet used. 31st A portion of the insurance paid for on November 1st has expired. No adjustment was made in November to Prepaid Insurance. 31st Services worth $1,500 are not yet provided to the customer who paid on November 30. 31st One-third of the consulting services paid for on December 1st have been received. 31st The company has performed $3,400 of services that the customer paid for on December 15th.

Required 1. Prepare entries for these transactions under the method that records prepaid expenses as assets and records unearned revenues as liabilities. Also prepare adjusting entries at the end of the year.

2. Prepare entries for these transactions under the method that records prepaid expenses as expenses and records unearned revenues as revenues. Also prepare adjusting entries at the end of the year.

In: Accounting

Please can someone explain this to me. I am stuck at the last two questions Use...

Please can someone explain this to me. I am stuck at the last two questions

Use the following information to calculate your answers to questions 10 through 14.

Test scores of 10 individuals before and after a training program are shown below. Note: despite the sample size, assume that the sampling distribution of T+ can still be approximated by a normal distribution.

Individual

Score After
the Program

Score Before
the Program

1

57

59

2

62

57

3

60

60

4

63

66

5

69

68

6

63

59

7

74

72

8

56

52

9

64

58

10

64

63

Question 10

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Question text

What is the sum of positive signed ranks (T+)?

Select one:

a. 22.50

b. 8.44

c. 14.52

d. 36.50

e. 71.25

Question 11

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The mean µT is

Select one:

a. 71.25

b. 8.50

c. 8.44

d. 14.52

e. 22.50

Question 12

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The value of σT is

Select one:

a. 71.25

b. 22.50

c. 14.52

d. 8.44

e. 8.50

Question 13

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At α = 0.05, what can be concluded about the effectiveness of the training program?

Select one:

a. Since p-value is less than alpha, we can conclude that the training program was extremely effective.

b. Since p-value is greater than alpha, we can conclude that the training program was somewhat effective.

c. Since p-value is greater than alpha, we can conclude that the training program was ineffective.

d. The study is inconclusive.

e. Since p-value is less than alpha, we can conclude that the training program was ineffective.

Question 14

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At α = 0.2, what can be concluded about the effectiveness of the training program?

Select one:

a. Do not reject Ho: the training program was effective.

b. Reject Ho: the training program was ineffective.

c. Do not reject Ho: the training program was ineffective.

d. The study is inconclusive.

e. Reject Ho: the training program was effective

In: Statistics and Probability

An instructor who taught two sections of engineering statistics last term (the first with 20 students...

An instructor who taught two sections of engineering statistics last term (the first with 20 students and the second with 30), decided to assign a term project. After all projects had been turned in, the instructor randomly ordered them before grading. Consider the first 15 graded projects.

a. What is the probability that exactly 10 of these are from the second section? b. What is the probability that at least 10 of these are from the second section?

In: Statistics and Probability

An instructor who taught two sections of engineering statistics last term, the first with 25 students...

An instructor who taught two sections of engineering statistics last term, the first with 25 students and the second with 35, decided to assign a term project. After all projects had been turned in, the instructor randomly ordered them before grading. Consider the first 15 graded projects.

(a) What is the probability that exactly 10 of these are from the second section? (Round your answer to four decimal places.)


(b) What is the probability that at least 10 of these are from the second section? (Round your answer to four decimal places.)


(c) What is the probability that at least 10 of these are from the same section? (Round your answer to four decimal places.)


(d) What are the mean value and standard deviation of the number among these 15 that are from the second section? (Round your mean to the nearest whole number and your standard deviation to three decimal places.)

mean projects
standard deviation     projects


(e) What are the mean value and standard deviation of the number of projects not among these first 15 that are from the second section? (Round your mean to the nearest whole number and your standard deviation to three decimal places.)

mean projects
standard deviation     projects

In: Statistics and Probability

What role does partisanship play in federal court appointments? In the last two decades, has the...

What role does partisanship play in federal court appointments? In the last two decades, has the Supreme Court acted with more judicial activism or restraint? Explain. In your opinion, is the Supreme Court too powerful or is it equal to the other branches? Try to make it 350 words please.

In: Psychology

Generic Motors Corporation has two product lines, A and B. Its revenue and costs for last...

Generic Motors Corporation has two product lines, A and B. Its revenue and costs for last year is as follows:

Product A Product B Total
sales volume (units) 100 200 300
Revenue $6,000 $30,000 $36,000
Costs:
  direct materials $1,200 $6,000 $7,200
  direct labor $3,000 $12,000 $15,000
  OH costs $11,700
Profit $2,100

Generic Motors uses ABC to allocate the overhead costs. It examined the main activities in the firm, and decided to break up the total overhead costs of $11,700 into 3 cost pools:
* "labor-related" - the total cost in this pool is $3,000, allocated based on direct labor dollars
* "sales-related" - the total cost in this pool is $2,700, allocated based on number of units
* "production setups" - the total cost in this pool is $6,000, allocated based on the number of production setups. Product A requires 10 setups. Product B requires is 40 setups.

Required:

a) for each cost pool, compute the activity rate and the amounts allocated to product A and product B.
(hint: The amounts allocated to A and B from each pool should add up to the total cost in that pool. To allocate the costs in the "production setups" pool, you will have to compute the number of batches. If the total number of batches for A and B does not add up to 50, you are doing something wrong).
* "labor-related" pool:
   activity rate = $  per DL$
   Labor-related OH costs allocated to A = $
   Labor_related OH costs allocated to B = $
* "sales-related" pool:
   activity rate = $  per unit
   Sales-related OH costs allocated to A = $
   Sales_related OH costs allocated to B = $
* "production setups" pool:
   activity rate = $  per setup
   Production setups OH costs allocated to A = $
   Production setups OH costs allocated to B = $

b) using the allocated OH costs from (a), compute the profit margin for product A and product B.
If you get a negative number, enter it with a minus sign, i.e., enter negative $100 as -100, not ($100)
profit margin for A = $
profit margin for B = $

In: Accounting