On January, 1, 2018, Nath-Langstorm services, inc, a computer software training firm, leased several customers under a 2 year operating lease agreement from ComputerWorld Leasing, which routinely finances equipment for other firms at an anuual interest rate of 4%. The contract calls for 4 rent payemnts of 16,500.00 each, payable semiannually on JUne 30 and December 31 each year. the computers were acquired by ComputerWorld at a cost of 103,000 and were expected to have a useful life of five years with no residual value. Both firms record amortization and depreciation semi-annully. (use appropriate charts). Prepare the appropriate entries for both the leasee and the lessor from the beginning of the lease through the end of 2018.

1. Record the beginning of the lease for Nath-Langstorm

2.Record the lease payment and interest expense for Nath

3. Record the amortization expense for Nath

4. Record the lease payment and interest expense for Nath

5. Record the amortization expense for Nath

6. Record the lease revenue received by computerworld

7. Record the deprecation expense for computerworld

8 Record the lease revenue received by computerworld

9. Record the depreciation expense for Computerworld

On January, 1, 2018, Nath-Langstorm services, inc, a computer software training firm, leased several customers under a 2 year operating lease agreement from ComputerWorld Leasing, which routinely finances equipment for other firms at an anuual interest rate of 4%. The contract calls for 4 rent payemnts of 16,500.00 each, payable semiannually on JUne 30 and December 31 each year. the computers were acquired by ComputerWorld at a cost of 103,000 and were expected to have a useful life of five years with no residual value. Both firms record amortization and depreciation semi-annully. (use appropriate charts). Prepare the appropriate entries for both the leasee and the lessor from the beginning of the lease through the end of 2018.

1. Record the beginning of the lease for Nath-Langstorm

2.Record the lease payment and interest expense for Nath

3. Record the amortization expense for Nath

4. Record the lease payment and interest expense for Nath

5. Record the amortization expense for Nath

6. Record the lease revenue received by computerworld

7. Record the deprecation expense for computerworld

8 Record the lease revenue received by computerworld

9. Record the depreciation expense for Computerworld

On January 1, 2018, Red Flash Photography had the following balances: Cash, $21,000; Supplies, $8,900; Land, $69,000; Deferred Revenue, $5,900; Common Stock $59,000; Retained Earnings, $34,000. During 2018, the company had the following transactions: February 15 Issue additional shares of common stock, $29,000. May 20 Provide services to customers for cash, $44,000, and on account, $39,000. August 31 Pay salaries to employees for work in 2018, $32,000. October 1 Purchase rental space for one year, $21,000. November 17 Purchase supplies on account, $31,000. December 30 Pay dividends, $2,900. The following information is available on December 31, 2018: Employees are owed an additional $4,900 in salaries. Three months of the rental space has expired. Supplies of $5,900 remain on hand. All of the services associated with the beginning deferred revenue have been performed.

1. Record the transactions that occurred during the year

2. Record the adjusting entries at the end of the year.

3. Prepare an adjusted trial balance.

4. Prepare an income statement, statement of stockholders’ equity, and classified balance sheet.

5.Prepare closing entries.

(journal entries)

Look up the most recent annual balance sheet and income statement for Apple (AAPL) and Tesla (TSLA). Use Yahoo finance (finance.yahoo.com). It is a good resource for financial statements. Type in the company’s name or ticker and then click on Financials, then click on balance sheet and income statement. Make sure it is annual, not quarterly. Show your work for each ratio (the numerator and denominator). Don’t just give the answer. You do not need to attach the financial statements to your work, as all of you will be using the same statements from Yahoo finance.

a. What are Apple’s total liabilities?

b. What are Tesla’s total liabilities?

c. Calculate the current ratio (CA÷CL) for Apple:

d. Calculate the current ratio (CA÷CL) for Tesla:

e. Calculate Operating profit margin (EBIT÷ Total Revenue) for Apple:

f. Calculate Operating profit margin (EBIT÷ Total Revenue) for Tesla:

g. Calculate Return on Equity (Net Income ÷Total Equity) for Apple:

h. Calculate Return on Equity (Net Income ÷Total Equity) for Tesla:

i. Calculate BVPS for both companies: (Total Equity ÷ # shares outstanding)*

j. Look up the current market price per share for each company on yahoo finance:

Clark Bell started a personal financial planning business when he accepted $55,000 cash as advance payment for managing the financial assets of a large estate. Bell agreed to manage the estate for a one-year period beginning June 1, Year 1.

Required
a. Show the effects of the advance payment and revenue recognition on the Year 1 financial statements using a horizontal statements model given below. In the Statement of Cash Flows column, use OA to designate operating activity, IA for investing activity, FA for financing activity, and NC for net change in cash. (Do not round intermediate calculations. Enter any decreases to account balances and cash outflows with a minus sign. Not all cells in the "Statement of Cash Flows" column may require an input - leave cells blank if there is no corresponding input needed.)

b. How much revenue would Bell recognize on the Year 2 income statement? (Do not round intermediate calculations and round your final answer to nearest whole number.

enue to be recognized in Year 2

c. What is the amount of cash flow from operating activities in Year 2?

Mags Ltd. has purchased a new machine for a cost of $500,000. The machine has just been

installed and the cost of installation is $30,000. The internal auditors have advised that the

cost of installation cannot be depreciated. The machine’s suppliers have requested a 20%

deposit on installation with the remainder to be paid within six months. The current

estimated before-tax net operating cash revenue for the coming four years are $300,000 in

the first year, $320,000 in the second year, $340,000 in the third year and $360,000 in the

fourth year. The new machine is expected to increase the expected before-tax net operating

cash revenue for the next four years by 70% of the current estimated value. Mags will take

out a business loan to fund the purchase of the machine and the interest payments on the

loan will be $100,000 per annum. The machine will be sold at the end of the fourth year and

its estimated market value at that time is $65,000. The company tax rate is 30% and

reducing balance depreciation is permitted. The required rate of return is 13% per year and

the prevailing market interest rate is 6% per year.

Prepare a cash flow analysis for the useful economic life of the machine, and use the cash

flow analysis to estimate the machine’s net present value. Show all workings.

On January 1, 2017, the first day of its fiscal year, Carter City received notification that a federal grant in the amount of $580,000 was approved. The grant was restricted for the payment of wages to teenagers for summer employment. The terms of the grant permitted reimbursement only after qualified expenditures have been made; the grant could be used over a two-year period. The following data pertain to operations of the SUMMER EMPLOYMENT GRANT FUND, a special revenue fund of Carter City, during the year ended December 31, 2017.

1. The budget was recorded. It provided for Estimated Revenues for the year in the amount of $290,000, and for Appropriations in the amount of $290,000.
2. A temporary loan of $290,000 was received from the General Fund.
3. During the year, teenagers earned and were paid $278,200 under terms of the Summer Employment program. An additional $9,000 is accrued as payable on December 31. Recognize the receivable and revenue (include the $9,000 of wages payable).
4. Each month a properly documented request for reimbursement was sent to the federal government; checks for $283,000 were received.
5. $256,200 was repaid to the General Fund.
6. Necessary closing entries were made.

Prepare the journal entry for the year ended December 31 of the Summer Employment Grant Fund.

1) Complete the flexible budget performance report that shows both revenue and spending variances and activity variances for the pizzeria for November.   

For this assessment, you should assume you are on the internal audit staff of a publicly traded company. Choose company Amazon. You will be required to obtain the last two years’ worth of financial statements and a recent audit report. The internal audit group at the company is tasked with preparing for an upcoming revenue audit and analyzing the business risk internally to mitigate audit findings. You will conduct an internal audit of the company using the information gathered and create a report. Then, you will prepare appropriate memos analyzing the audit report you have prepared, while offering feedback and recommendations.

A. Describe how you would conduct the audit process, incorporating the analytical procedures you would use to investigate selected business transactions.

1. What steps will you take to review the company’s business transactions?

2. What would your plan be to utilize these procedures?

B. Explain the appropriate field work needed to review high-risk business transactions for cash and revenue.

1. What would you need to do in the field to investigate these?

2. Could you convey this information through charts or other supporting documentation?

C. Create a test to assess appropriate assertions for designated high-risk business transactions.