Seth Bullock, the owner of Bullock Gold Mining, is evaluating a new gold mine in South Dakota. Dan Dority, the company’s geologist, has just finished his analysis of the mine site. He has estimated that the mine would be productive for eight years, after which the gold would be completely mined. Dan has taken an estimate of the gold deposits to Alma Garrett, the company’s financial officer. Alma has been asked by Seth to perform an analysis of the new mine and present her recommendation on whether the company should open the new mine. Alma has used the estimates provided by Dan to determine the revenues that could be expected from the mine. She has also projected the expense of opening the mine and the annual operating expenses. If the company opens the mine, it will cost $624 million today, and it will have a cash outflow of $90 million nine years from today in costs associated with closing the mine and reclaiming the area surrounding it. The expected cash flows each year from the mine are shown in the following table. Bullock Mining has a 12 percent required return on all of its gold mines. Construct a spreadsheet to calculate the payback period, internal rate of return, modified internal rate of return, and net present value of the proposed mine. Based on your analysis, should the company open the mine?

1. Construct a spreadsheet to calculate the payback period, internal rate of return, modified internal rate of return, and net present value of the proposed mine.
2. Based on your analysis, should the company open the mine?

A kayak race is held each August on the South Arm of Lake Charlevoix, Charlevoix County, Michigan. The "course" starts at the public launch in East Jordan, MI and ends at the DNR launch at Dutchman's Bay, a distance of approximately two nautical miles. Participants are individual paddlers in identical Old Town sit inside Sorrento 106sk kayaks. The organizer wants to investigate if there is a relationship between the amount of experience (three categories) and minutes to complete the course. She wants to control for age. She also wants suggestions about other data that might be collected to find additional relationships (e.g. water temperature).

The data from a random sample from a recent year's event is provided below:

KAYAK RACE DATA SET

Experience

1 = participation in 10 or more kayak events

2 = participation in 4 to 9 kayak events

3 = participation in 3 kayak events

Complete the following:

Import / post the data above to create an SPSS data file (sav)

Conduct an ANCOVA analysis

Respond to the organizers current research question

Propose two future data categories (not including example above of water temperature) and rationale for each.

Trevor is interested in purchasing the local hardware/electronic goods store in a small town in South Ohio. After examining accounting records for the past several years, he found that the store has been grossing over $850 per day about 60% of the business days it is open. Estimate the probability that the store will gross over $850

1. at least 6 out of 10 business days.

0.68256

2. at most 3 of the 10 business days.

3. fewer than 7 out of 20 business days.

4. more than 16 out of 20 business days.

5. What is the expected (mean) number of business days for which the store would gross over $850 in a month (30 days)?

In South Korea, “Jeju” is a famous holiday destination with breathtaking scenic views. A travel agent in Jeju wants to know the satisfaction levels of tourists who visit the island. The travel agent surveyed 45 tourists at random and constructed a 95% confidence interval for the proportion of tourists who were extremely satisfied with their Jeju visit to be (0.5289, 0.8044).

Which of the following statements are true? Select all the that apply.

Question 5 options:

Fact Pattern –

South Florida CPAs, LLP is a boutique accounting firm in FL. You are currently employed as a tax consultant at South Florida CPAs and have many intriguing clients with interesting (and sometimes strange) circumstances. Because the 2019 tax filing deadline is rapidly approaching, you receive several phone calls from clients inquiring about the tax consequences of recent transactions and events. The second and third pages of this document contain a summary of these phone calls. Note: you will be expected to complete this project using current, post?Tax Cuts and Jobs Act (H.R.1) law. In other words, apply the “new” law to the fact patterns below. To the extent your conclusion is contingent on an unknown fact, you should discuss possible outcomes for different assumptions.

1) Ally is a graduate accounting student at the local university. She is the recipient of a $1,000 scholarship from the university. In addition, Ally works as a part-time teaching assistant in the school of accountancy. She is paid $7,000 per the calendar year and receives a tuition waiver covering 100 percent of her tuition. If not for the waiver, Ally would have paid $8,000 for tuition. Further, she paid $400 for books and supplies related to her coursework and incurred living expenses of $6,200. How much must gross income Ally report?

2) Candace found nearly $10,000 in cash inside the spare tire compartment of a used car she purchased at an auction in December of last year. She did not discover the money until February of the following year. The auctioneer has not asked about the vehicle, nor has anyone else stepped forward to claim the money. Must the cash be included in the discoverer’s gross income? If so, in what year must the income be recognized?

3) Irene contributes $275 towards a cause on a crowdfunding site to support victims of a recent hurricane. When the time comes to file her taxes, she wonders whether the contribution is deductible. Irene also contemplates whether the victims of the hurricane (i.e., the ultimate recipients of the contributions) will have to pay tax on the distribution of the funds from the crowdfunding effort. Is the contribution deductible for Irene, and are the proceeds included in gross income for the beneficiaries?

Gold Nest Company of Guandong, China, is a family-owned enterprise that makes birdcages for the South China market. The company sells its birdcages through an extensive network of street vendors who receive commissions on their sales. The company uses a job-order costing system in which overhead is applied to jobs on the basis of direct labor cost. Its predetermined overhead rate is based on a cost formula that estimated $67,500 of manufacturing overhead for an estimated activity level of $45,000 direct labor dollars. At the beginning of the year, the inventory balances were as follows:

Raw materials $ 10,600 Work in process $ 4,700 Finished goods $ 8,100

During the year, the following transactions were completed:

A: Raw materials purchased for cash, $ 166,000.

B: Raw materials used in production, $147,000 (materials costing $124,000 were charged directly to jobs; the remaining materials were indirect).

C: Cash paid to employees as follows:

Direct labor $ 159,000 Indirect labor $ 158,400 Sales commissions $ 23,000 Administrative salaries $ 48,000

D: Cash paid for rent during the year was $18,400 ($13,700 of this amount related to factory operations, and the remainder related to selling and administrative activities).

E: Cash paid for utility costs in the factory, $13,000.

F: Cash paid for advertising, $11,000.

G: Depreciation recorded on equipment, $21,000. ($17,000 of this amount related to equipment used in factory operations; the remaining $4,000 related to equipment used in selling and administrative activities.)

H: Manufacturing overhead cost was applied to jobs, $ ? .

I: Goods that had cost $228,000 to manufacture according to their job cost sheets were completed.

J: Sales for the year (all paid in cash) totaled $518,000. The total cost to manufacture these goods according to their job cost sheets was $217,000.

Required:

1. Prepare journal entries to record the transactions for the year.

2. Prepare T-accounts for each inventory account, Manufacturing Overhead, and Cost of Goods Sold. Post relevant data from your journal entries to these T-accounts (don’t forget to enter the beginning balances in your inventory accounts).

3A. Is Manufacturing Overhead underapplied or overapplied for the year?

3B. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold.

4. Prepare an income statement for the year. All of the information needed for the income statement is available in the journal entries and T-accounts you have prepared.

1) Researchers in South Africa were interested in prevalence of HIV-related behaviors and infection in the population. They administered a survey of 500 men and women who came for health care at a hospital clinic in Johannesburg. At the same time, all subjects were tested for HIV status. Prevalence of HIV was higher in men than in women. Men were also more likely to use IV drugs and to engage in sex with multiple sex partners. What type of study design is this?

2)

Investigators interested in whether maternal-fetal sharing of HLA genes was associated with preeclampsia identified recent births from state birth certificate files. They selected all women whose birth certificate indicated preeclampsia in pregnancy and a random sample of women for whom preeclampsia was not indicated on the birth certificate. After confirming preeclampsia status in medical records, a total of 250 women with preeclampsia and a similar number of women without preeclampsia were enrolled. All women provided buccal cell samples from themselves and their babies for HLA-typing. Maternal-fetal sharing was more common among women with preeclampsia than women without preeclampsia. What type of study design is this?

. Star Smoothie in Summerville, South Carolina specializes in smoothies but also sells light breakfast and lunch items as well as coffee, tea, and soda. The owner noticed that many customers bring their computers to do work while enjoying a smoothie. He wants to support these customers by offering them wireless Internet access. A recent customer survey also indicated that many customers loved the smoothies but were frustrated by the time to wait in line and to wait for the smoothie to be made. One of the employees suggests that an order-ahead application would allow customers to choose and pay for a smoothie from their phones and then just stop in at the specified time to pick them up. The owner wants to integrate support for making and fulfilling such orders. Currently the only forms of communication the shop owners have are a telephone and a credit card machine for payments. The owner has asked you to design a network that will allow customer Internet access, will support the order-ahead idea, and will allow customers to move inventory, finances, and other records to electronic systems.

You have already conducted a needs analysis for the network of the business you are working with. The next step is to translate that understanding of various users in terms of what they need into a specific list of design requirements. This will serve as a checklist for your design. For each item, you should provide a brief description of why that specific requirement is necessary.

Possible examples include:

• Password-protected guest wireless access: The business wants to allow customers to access the Internet, but does not want general open access. This customer access should not give access to other network resources or computers and should not allow customers to access one another’s computers when logged on.
• Shared data storage with version control: Employees often collaborate on documents and other materials. Common, shared access is needed for these materials. Employees should know when someone else is working on the materials or when changes have been made to support collaboration without inadvertently losing work.
• Internet access: All computers on the company network need to be able to access the Internet through a shared modem.

Assignment (3–5 pages):

Create a list consisting of at least ten specific requirements for the network you are designing. Explain each requirement in terms of the needs of the business you have chosen to work with.

Seth Bullock, the owner of Bullock Gold Mining, is evaluating a new gold mine in South Dakota. Dan Dority, the company’s geologist, has just finished his analysis of the mine site. He has estimated that the mine would be productive for eight years, after which the gold would be completely mined. Dan has taken an estimate of the gold deposits to Alma Garrett, the company’s financial officer. Alma has been asked by Seth to perform an analysis of the new mine and present her recommendation on whether the company should open the new mine.

Alma has used the estimates provided by Dan to determine the revenues that could be expected from the mine. She has also projected the expense of opening the mine and the annual operating expenses. If the company opens the mine, it will cost $635 million today, and it will have a cash outflow of $45 million nine years from today in costs associated with closing the mine and reclaiming the area surrounding it. The expected cash flows each year from the mine are shown in the table. Bullock Mining has a required return of 12 percent on all of its gold mines.

Year    Cash Flow
0    −$635,000,000
1    89,000,000
2    105,000,000
3    130,000,000
4    173,000,000
5    205,000,000
6    155,000,000
7    145,000,000
8    122,000,000
9    −    45,000,000

1. Construct a spreadsheet to calculate the payback period, internal rate of return, modified internal rate of return, and net present value of the proposed mine.

2. Based on your analysis, should the company open the mine?

3. Bonus question: Most spreadsheets do not have a built-in formula to calculate the payback period. Write a VBA script that calculates the payback period for a project.

Gold Nest Company of Guandong, China, is a family-owned enterprise that makes birdcages for the South China market. The company sells its birdcages through an extensive network of street vendors who receive commissions on their sales.

The company uses a job-order costing system in which overhead is applied to jobs on the basis of direct labor cost. Its predetermined overhead rate is based on a cost formula that estimated $75,000 of manufacturing overhead for an estimated activity level of $50,000 direct labor dollars. At the beginning of the year, the inventory balances were as follows:

During the year, the following transactions were completed:

1. Raw materials purchased on account, $ 165,000.
2. Raw materials used in production, $141,000 (materials costing $122,000 were charged directly to jobs; the remaining materials were indirect).
3. Costs for employee services were incurred as follows:

4. Rent for the year was $18,500 ($13,900 of this amount related to factory operations, and the remainder related to selling and administrative activities).
5. Utility costs incurred in the factory, $15,000.
6. Advertising costs incurred, $12,000.
7. Depreciation recorded on equipment, $20,000. ($18,000 of this amount related to equipment used in factory operations; the remaining $2,000 related to equipment used in selling and administrative activities.)
8. Record the manufacturing overhead cost applied to jobs.
9. Goods that had cost $230,000 to manufacture according to their job cost sheets were completed.
10. Sales for the year (all paid in cash) totaled $518,000. The total cost to manufacture these goods according to their job cost sheets was $218,000.

Required:

1. Prepare journal entries to record the transactions for the year.

2. Prepare T-accounts for each inventory account, Manufacturing Overhead, and Cost of Goods Sold. Post relevant data from your journal entries to these T-accounts (don’t forget to enter the beginning balances in your inventory accounts).

3A. Is Manufacturing Overhead underapplied or overapplied for the year?

3B. Prepare a journal entry to close any balance in the Manufacturing Overhead account to Cost of Goods Sold.

4. Prepare an income statement for the year. All of the information needed for the income statement is available in the journal entries and T-accounts you have prepared.

• Raw materials purchased on account, $165,000

• Raw materials used in production, $141,000 (materials costing $122,000 were charged directly to jobs; the remaining materials were indirect).

• Cost for employee services incurred as follows: Direct labor $167,000 Indirect labor $170,700 Sales commissions $24,000 Administrative salaries $47,000

• 
  Rent for during the year was $18,500 ($13,900 of this amount related to factory operations, and the remainder related to selling and administrative activities).

• Utility cost incurred in the factory, $15,000.

• Advertising cost incurred, $12,000.

• Depreciation recorded on equipment, $20,000. ($ 18,000 of this amount related to equipment used in factory operations; the remaining $ 2,000 related to equipment used in selling and administrative activities.)

• Record the manufacturing overhead cost applied to jobs.

• Goods that had cost $230,000 to manufacture according to their job cost sheets were completed.

• Sales for the year (all paid in cash) totaled $518,000

• The total cost to manufacture these goods according to their job cost sheets was $218,000.

Complete this question by entering your answers in the tabs below.

• Req 1
• Req 2
• Req 3A
• Req 3B
• Req 4

Prepare T-accounts for each inventory account, Manufacturing Overhead, and Cost of Goods Sold. Post relevant data from your journal entries to these T-accounts (don’t forget to enter the beginning balances in your inventory accounts). (Do not round intermediate calculations.)