1. Use the adjusted trial balance for Stockton Company to answer the question that follow.
   

   Stockton Company
   Adjusted Trial Balance
   December 31
   	Account No.	Debit Balances	Credit Balances
   Cash	11	6,530
   Accounts Receivable	12	2,100
   Prepaid Expenses	13	700
   Equipment	18	13,700
   Accumulated Depreciation	19		1,100
   Accounts Payable	21		1,900
   Notes Payable	22		4,300
   Bob Steely, Capital	31		12,940
   Bob Steely, Drawing	32	790
   Fees Earned	41		9,250
   Wages Expense	51	2,500
   Rent Expense	52	1,960
   Utilities Expense	53	775
   Depreciation Expense	54	250
   Miscellaneous Expense	59	185
   Totals		29,490	29,490

   
   Use the adjusted trial balance for Stockton Company. Determine the total assets.

   a.$23,030

   b.$8,630

   c.$9,330

   d.$21,930

Question 2

a. Produce a risk register template showing all the essential headings and evaluate the significance of the Earned Monetary Value and the Risk Response Owner in the overall scheme of developing Risk Management Plan

b. A company is in the process of inventing an unmanned vehicle for the defense industry. There is serious disagreement on whether the company should move straight into commercial production or they should first build a prototype. The available data indicates that building the prototype will cost the company $400,000 with a failure rate of 5% and an impact of $10,000. If the prototype succeeds there will be no impact. However, the data for not building the prototype and moving straight into commercial production shows a failure rate (probability of failure) of 95% with an impact of $4,000,000.

Using expected monetary Value (EMV) and a Decision Tree as a project manager:  

1. Construct a Decision Tree for the above case
2. Critically analyze the options available and advice on the best option based on the data provided

Which of the following is NOT a part of Koch’s Postulates?

Based on information given in the attached Excel document, 1. Prepare journal entries and adjusting entries for September 2019 for your company. 2. Set up T-accounts and post your journal entries and adjusting entries to T-accounts. 3. Prepare your company’s pre-closing trial balance, as of September 30, 2019. 4. Prepare an income statement, in a good format, for the month of September 2019 for your company. 5. Prepare a statement of retained earnings, in a good format, for the same period. 6. Prepare a balance sheet, in a good format, as of September 30, 2019 for your company. 7. Prepare closing entries and a post-closing trial balance, as of September 30, 2019.

Description of the Business Activity:

1. You, the owner(s), contributed $1,000 cash to the business on September 1. 2. On September 1, your company borrowed $21,000 from a local bank, on a 10% note for 5 years. The interest would be paid semi-annually on each March 1 and September 1. 3. On September 1, your company paid $900 fees to local government agencies for business licenses and permits, for a period of one year. 4. On September 1, your company acquired a mobil cart, a business sign, and some other equipment for a total of $4,200 (all paid in cash). You estimated that the lifetime of these PP&E was 2 years with a residual value of $200. 5. On September 1, your company also paid $1,500 for its annual insurance, starting September 1. 6. During September, your company acquired merchandise, totaled $35,000. At the time of purchases, 70% of the merchandise was acquired on account. Your company promised to pay the remaining balances in 20 days. 7. For merchandise purchases in Transaction 6, toward the end of September, your company also paid in cash, an additional 20% of the total merchandise prices to its suppliers. 8. During September, your company delivered merchandise and earned $50,000 sales revenue, of which 30% was on credit. Cost, to your company, of the merchandise sold, was $27,000. 9. On September 26, your company also signed a sales contract with a customer, Mini-Soda Company to deliver a total of $5,000 merchandise on October 7, 2019. Your company collected $2,000 cash in advance from this customer on September 26. 10. By the end of September, your company collected 50% of its accounts receivables from various customers from the abovementioned Transaction 8. 11. By the end of September, your company incurred and paid a total of $8,000 in cash for its other selling expenses (including advertising, marketing, payroll, cart transportation, trailer rental, etc.).

Additional Information:

12. Your company incurred monthly interest expense on its debt borrowing as described in Transaction 2. 13. At the end of September, your prepayment, from Transaction 3, on business licenses and permits expired for the month. 14. As described in Transaction 4, your company's PP&E had an estimated life of 2 years with a $200 residual value. Your company used the straight-line depreciation method. 15. At the end of September, your prepayment, from Transaction 5, on insurance expired for the month. 16. At the end of September, your company estimated 10% of its outstanding accounts receivables as possible uncollectible. 17. The income tax rate was 20% for your company, which would be paid in March 2020.

You deposit $600 in an account earning 6% coumpound interest for 3 years. Find the future value and the interest earned for each of the following compounding frequencies. Use the Bankers' Rule for daily compounding.

Creditors would prefer a firm to have

1.       inventory turnover of 3.0

2.        Inventory turnover of 2.0

3.       Times-interest-earned of 3.0

4.       Times-interest earned of 5.0

a.       1 and 3

b.       1 and 4

c.        2 and 3

d.        2 and 4

It is understandable why we have insurance to cover catastrophic losses. Not many of us have hundreds of thousands of dollars laying around. Interestingly, there are many individuals who have insurance to cover small expenses (i.e. dental. Vision). This will be the topic of this week’s discussion. First, discuss the reasons why a person would purchase insurance vs being self-insured. Next discuss why someone would choose to have coverage for a small claim. Be sure to briefly mention the three reasons listed in your textbook. Do you think the cost of the premium is worth it based upon how much it would cost out of pocket to get dental, vision, etc.?

Your firm has a client who has been a management accountant for many years and is now also teaching part-time at TAFE and has recently acquired a rental property. We prepared his Tax Return, sent it out for signature. He has sent the Tax Return back to us unsigned, saying that we had made an error in claiming a tax deduction for the interest and expenses for the first four months that he owned the rental property, as it was not earning income at the time, as it runs counter to the matching principle. Required: Your manager has asked you to prepare an essay exploring this issue. Explaining to the client diplomatically that he is in error