You are the audit partner at Parkville & Associates, a mid-tier audit firm. You are responsible for the audits of the following four independent entities for the year ended 30 June 2018: (a) Human Help Ltd is a non-profit entity. You have discovered that it has not kept substantiating vouchers or receipts for more than 55 per cent of its expenses, excluding salaries and allowances (2.5 marks) (b) JJ King Ltd is a building contractor with a varying workload. In order to compensate for the irregularity of its contracted building projects, JJ King also purchases large vacant blocks of land that it later subdivides for the construction of houses and units. JJ King then sells these on its own account. Your analysis strongly suggests that the apportionment of costs to houses and units sold has been kept low to boost profits. In your opinion, this has resulted in the overvaluation of the unsold properties. The directors of the company do not agree and hold to their view that the stock of properties is correctly valued (2.5 marks) (c) You have completed the audit of Grand Resort Ltd (Grand Resort) for the year ended 30 June 2015. The audit partner suggested that the value of properties on the Gold Coast were overstated by $16 million, a figure which was twice the level of materiality set for the audit. As a result of discussions with the audit committee, the CEO of Grand Resort agreed to revise the valuations downward by $10 million. All other issues were resolved to the satisfaction of the audit partner, resulting in an overall misstatement of the financial report of $6 million. The audit partner is now considering the effect of the misstatement on the auditor’s report. (2.5 marks) (d) Grand Event Ltd arranges for popular overseas entertainment artists to perform in Australia. The band Eclipse was booked by Grand Event to play in major cities across the country. Grand Event’s written contract required the company to pay the band in US dollars but, in order to reduce costs, it did not hedge the amounts. Subsequent to year end, the Australian dollar fell against the US dollar and a substantial loss relating to the band’s tour was predicted. The management of Grand Event tried unsuccessfully to renegotiate the band’s contract and has been unable to obtain finance to cover the expected shortfall. Grand Event has now cancelled the tour and expects a substantial claim from Eclipse. It is clear to you, as the auditor, that Grand Event does not have the income, cash or other assets to sustain such a loss. (2.5 marks) Required: Assuming no amendments have been made, identify and explain the type of auditor’s opinion required for each issue outlined above. (10 marks, maximum 300 words) Issues Audit Opinion (1 mark) Explanation (1.5 marks) (a)(/(b)/ Write 1 line about issue Unqualified or Qualified or Adverse or Disclaimer Audit Opinion or Unqualified Audit opinion with emphasis of matter or Unqualified Audit Opinion with other matter paragraph Here you will mention about why you have chosen this audit opinion and reason details

For the operating systems game, let us now assume the intrinsic superiority of Mac is not as great and that network effects are stronger for Windows. These modifications are reflected in different payoffs. Now, the payoff from adopting windows is (50 x W) and from adopting Mac is (15+ 5 x M); n consumers are simultaneously deciding between Windows and Mac.

A. Find all nash equilibria.

B. With these new payoffs, let us now suppose that a third option exists, which is to not buy either operating system; it has a payoff of 1000. Consumers simultaneously decide among windows, mac, and no operating system. Find all nash equilibria.

On December 31, 2020, Jen & Mink Clothing (J&M) performed the inventory count and determined the year-end ending inventory value to be $75,500. It is now January 8, 2021, and you have been asked to double-check the year-end inventory listing. J&M uses a perpetual inventory system. Note: Only relevant items are shown on the inventory listing.

The following situations have been brought to your attention:

1. On January 3, 2021, J&M received a shipment of 100 blue jackets, for $2,000 (Item #7649). The inventory was purchased December 23, 2020, FOB destination from Global Threads. This inventory was included in J&M’s inventory count and inventory listing.
2. On December 29, 2020, J&M sold scarves (Item #5566) to a customer with a sale price of $700 and cost of $500, FOB shipping. The order was shipped on December 30, 2020. J&M has not included this inventory.
3. Red Blazers (Item #6193) were purchased and shipped from International Co. on December 30, 2020, for $3,300, FOB shipping. The shipment arrived January 5, 2021, and the appropriate party paid for the shipping charges of $320. Additional costs were $220 for import duties and $60 for insurance during shipment. J&M has not included this inventory.
4. At year-end, J&M is holding $5,000 of black pants (Item #10824) on consignment for designer Duke Co. This inventory was included in J&M’s inventory count and inventory listing.
5. On December 31, 2020, J&M shipped white shirts (Item #4291), FOB destination costing $1,000 to a customer. The customer was charged $1,400 and the customer received the goods on January 3, 2021. J&M has not included this inventory.

Required:
1. In situations (a) to (e) determine whether inventory should be included or excluded in inventory at December 31, 2020. If the inventory should be included, determine the correct inventory cost. (Do not leave any empty spaces; input a 0 wherever it is required.)

2. Determine the correct ending inventory value at December 31, 2020. Starting with the unadjusted inventory value of $75,500, add or subtract any errors based on your analysis in Part 1. Assume all items that are not shown in the inventory listing are recorded correctly.

Next

True/False

1. _____ The number of accounts on the chart of accounts is strictly limited.
2. _____ Every account on the chart of accounts must be identified by one of the accounting elements
3. _____ An account on the chart of accounts could be both a liability and a revenue.
4. _____ The term prepaid is usually associated with an asset account.
5. _____ Unearned revenue would usually be listed in the asset section of a chart of accounts.
6. _____ The FASB dictates to companies what their chart of accounts must look like.
7. _____ The accounting equation stays in balance except when dealing with dividends.
8. _____ Gains and losses are listed under retained earnings because they change the amount of retained earnings.
9. _____ Paying cash for prepaid insurance will not change retained earnings.
10. _____ Using electricity in June and receiving a bill from the electric company in June will result in an increase in assets during June.
11. _____ Selling inventory for a price more than what was paid will increase retained earnings.
12. _____ Amounts to be reported on the financial statement come from the accounting equation worksheet.
13. _____ Accounts receivable at the end of 2020 would become the beginning balance for accounts receivable in 2021.
14. _____ Cost of Goods Sold for the year 2020 would become the beginning balance for Cost of Goods Sold in 2021.
15. _____ Every total from the accounting equation worksheet will have a place to go on the financial statements.
16. _____ When unearned revenue is earned, liabilities are decreased.
17. _____ For revenue recognition the transaction price is adjusted for discounts and rebates that are most likely to take place.
18. _____ Allocating the transaction price to the performance obligations is not necessary if there is only one performance obligation.

Lake Ltd. was incorporated on July 1, 2013. The company is authorized to issue an unlimited number of preferred and common shares. The company entered into the following transactions during its fiscal year ending June 30, 2014:

Jul 10 Issued 100,000 common shares for $12.50 per share.

Jul 15 Issued 400,000 common shares for $13 per share.

Sep 30 Issued 30,000 common shares in return for a warehouse. The common shares were trading for $15.50 on the date the warehouse was acquired.

Mar 16 Issued 1,000 preferred shares for $95 per share.

Instructions

1. Record the above transactions on the general journal template.

At the beginning of 2010, Lipstick Company has installation costs of $8,000 on new machine that were charged to Repair Expense. Other costs of this machinery of $29,000 were correctly recorded and depreciate with the straight-line method with an estimated life of 10 years and no residual value. At December 31, 2008, Lipstick Company decides that the machinery has remaining useful life of 15 years, starting with January 1, 2011. The book have not been closed for 2018 and depreciation expense has not yet been recorded for 2018. Do not take in to account the impact of taxes.

a) Show the journal entry that Lipstick Company should make in 2011 to correct for the error.
b) Calculate and present the journal entry of Lipstick Company’s depreciation expense in 2011 for machinery acquired in 2010.

At the beginning of 2010, Lipstick Company has installation costs of $8,000 on new machine that were charged to Repair Expense. Other costs of this machine of $29,000 were correctly recorded and depreciate with the straight-line method with an estimated life of 10 years and no residual value. At December 31, 2008, Lipstick Company decides that the machinery has remaining useful life of 15 years, starting with January 1, 2011. The book have not been closed for 2011 and depreciation expense has not yet been recorded for 2011. Do not take in to account the impact of taxes.

a) Show the journal entry that Lipstick Company should make in 2011 to correct for the error.
b) Calculate and present the journal entry of Lipstick Company’s depreciation expense in 2011 for machinery acquired in 2010.

According to the following article?What role does the organizational structure play in the efficiency and effectiveness of the organizational structure?explain

Both A and B are two large sales companies, and B was acquired by Company A due to poor management. Both companies have a similar organizational structure - function-based design.However, after the acquisition of the new company, it suddenly increased a lot of shops and employees.After the completion of the acquisition of the new company, get an increase of many chain stores and a new Internet sector. In order to integrate these new businesses, the post-acquisition organizational structure must change. Now, the two companies that merged together became the largest sellers. Performance is gradually increasing. Although the company's merger has challenges, most of them have great confidence in the company's managers.

According to the following article? What types of structural problems need to be resolved when the two organizations are merged?

Both A and B are two large sales companies, and B was acquired by Company A due to poor management. Both companies have a similar organizational structure - function-based design.However, after the acquisition of the new company, it suddenly increased a lot of shops and employees.After the completion of the acquisition of the new company, get an increase of many chain stores and a new Internet sector. In order to integrate these new businesses, the post-acquisition organizational structure must change. Now, the two companies that merged together became the largest sellers. Performance is gradually increasing. Although the company's merger has challenges, most of them have great confidence in the company's managers.