FACTS:

Sheldon and Victoria were married last year and live in England.

• Sheldon is a U.S. citizen and has a valid Social Security number. Victoria is a citizen of England.

• During the interview, Victoria mentions that she has never filed a joint return with Sheldon. She asks the volunteer what is required to file a joint return with Sheldon. Based on the information provided, Victoria decides she does not want to be treated as a resident alien for U.S. tax filing purposes this year.

• Sheldon worked for a U.S.-based company and earned $55,000. Victoria worked part-time and earned the equivalent of $12,000 in U.S. dollars.

• Sheldon and Victoria’s daughter, Riley, lives with them. Riley is eight months old, a U.S. citizen, and has a valid Social Security number.

• Victoria has another child from a previous marriage; Adam is five years old and is a citizen of England. Sheldon has not adopted Adam.

• Sheldon and Victoria provided all the financial support for Riley and Adam.

1. Victoria does not want to elect to file a joint return with Sheldon. What is the most advantageous filing status for Sheldon?

a. Married Filing Separately

b. Single

c. Head of Household

d. Qualifying Widower

2. On his U.S. tax return, how should Sheldon treat Victoria’s income?

a. Because Victoria did not choose to file a joint return, Sheldon should report her income as his own on a separate return.

b. Victoria’s income is not included on the return because she does not choose to be treated as a resident alien.

c. Because their combined income is less than the foreign earned income exclusion limit, Sheldon doesn’t need to file a return.

d. Victoria’s worldwide income must be reported on Sheldon’s return.

3. In the future, if Victoria and Sheldon choose to file Married Filing Jointly and treat Victoria as a resident alien for tax purposes, this election will continue each year unless suspended or ended.

a. True

b. False

Derby Inc. is a manufacturer and retailer of bicycles. The company offers a 2 year standard (assurance type) warranty with all bikes sold to cover normal manufacturing defects. In the first quarter of 2020, Derby sold a total of 250 bikes at a retail price of $400 each. Each bike costs on average $225 to produce and, historically, the costs associated with the warranty average $75 per bike. The company accepts cash and debit cards as payment for the bikes. a) Prepare all journal entries related to the sale of the 250 bikes that occurred in the first quarter of 2020. b) In the second quarter, Derek brings in his bike for some repairs due to faulty steering. Derby paid $100 of labour and $30 for parts to repair Derek’s bike. These costs were covered by the basic warranty. Prepare the journal entry to account for the repairs made to Derek’s bike. c) The repairs on Derek’s bike totalled $130 while the estimated average cost of the warranty was $75. Do you think that Derby made an error in estimating the warranty cost? Explain and support your answer. d) At the end of the second quarter, because of adverse economic conditions associated with a global pandemic, the expected selling price per bike has fallen to $230. The cost to sell each bike averages $20 per bike. There are 100 bikes in inventory at the end of the second quarter. What impact, if any, does this information have on the financial statements at the end of the second quarter? Explain and support your

You are an audit consultant at a top tier accounting firm that is celebrating another year of fee income growth from one of its most important audit clients, a huge telecommunications business (think Telstra / Vodaphone). The last audit you did for this client had run smoothly from your company’s point of view, despite some hiccups on delivery times and quality control, but overall, your accounting firm were happy with the depth of this client relationship and its position to keep their business (future tax and consulting projects to the accounting firm of around $1.6 million).

However, yesterday, the telecommunications client asked for an internal review of your account service to negotiate a revised audit fee for the following three years. This leaves you and your accounting colleagues mystified as to why they want to do this.

The client spoke to you yesterday, requesting a meeting to discuss and have stated that they were generally happy with the relationship but asked that the lead audit partner from your firm be removed from the team and they also want to lower the total audit fee by 15%. This will have a negative impact of $185,000 on the accountants.

Instructions (in pairs):

1. Meet with the client (your trainer) who will act out the above scenario.
2. Try to understand your client’s requirements / needs using some of the techniques covered in this unit e.g. listening skills, note-taking, confirming client requirements, responding effectively to client feedback.
3. Try and resolve any conflict or ill-will (if there is any) so that you don’t lose this client and the future work amounting to $1.6 million.

A 36 year old caucasian, obese, female presents to the ED with a complaint of epigastric pain for the last 2 days. THe pain radiates through to her back, is consistant, sharp in nature and relieved with sitting up. Associated symptoms includes nausea and non-bloody emesis. Eating make the pain worse and therefore she has not eaten for the last 24 hrs. He is married and has two children. She denies any alcohol and drug use. One assessment she is afebrile, heart rate 100, respirations 22, and BP 110/70mmhg. SHe is restless from the pain, diaphorietic and has a icteric sclera. Heart and lung assessment are unremarkable. abdomen is soft with hypoactive bowel sound and tender in the epigastric area and RUQ.

LAB;

Sodium- 140

Potassium- 3.0

Creatnine- 1.0

BUN- 20

WBC 12000

Hct- 54%

Hgb-18

platetes 200,000

AST- 70

ALT 75

Alkaline phosphatase 294

Total bilirubin- 8.0

GGT- 65

Lipase- 1050

Questions

1. The clinical scenario is most consistent with which diagnosis? You may simply list your answer below using a bullet point format. This does not have to be in a complete sentence.

2. What data in the clinical scenario supports your diagnosis? Make sure to interpret the lab values that you list. You may simply list your answers below using a bullet point format. This does not have to be in a complete sentence. Interpret the labs that you list as part of your answer by indicating normal, high or low.

3. What are the two most common causes of the diagnoses in question 1? Which etiology is most likely causing the diagnosis in question 1? You may simply list your answer below using a bullet point format. This does not have to be in a complete sentence.

4. Describe the key pathophysiologic concepts of the diagnosis in question 1. To answer this question completely, you must answer all of the sub-questions below using complete sentences. Each sub-question may be answered in 1-6 sentences.

a. Why is the potassium value abnormal?

b. What do the abnormal GGT and Alkaline Phosphate indicate?

c. Why are the lipase and bilirubin elevated?

5. For what actual or potential complications related to the diagnosis in question 1 does she need to be monitored? You may simply list your answer(s) below using a bullet point format. This does not have to be in a complete sentence.

The net income reported on the income statement for the current year was $258,880. Depreciation recorded on fixed assets and amortization of patents for the year were $37,299 and $9,059, respectively. Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows:

What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

a. $263,962

b. $248,970

c. $334,622

d. $278,422

4) Compute the depreciation and book value each year of a machine that costs $67,000 to purchase and $3,000 to install with an 8-year life. Use the double declining balance method with switching to straight line depreciation. (a) Fill out the following table, assuming a $1,000 salvage value. (b) What would be D7 if the salvage value was $18,000?

The following unadjusted trial balance is for Groenke Construction Company as of year-end for the December 31, 20x7 fiscal year. The December 31, 20x6 credit balance of the stockholders’ equity account is $50,500, and the stockholders invested $45,000 cash in the company during 20x7.

1. Account Title Debit                     Credit

101         Cash                                                      $15,000

126         Supplies                                               $8,500

128         Pre-paid insurance                          $11,200

167         Equipment                                          $175,000

168         Accumulated depreciation – equipment                 $19,000

201         Accounts payable                                                               $9,250

251         Long-term notes payable                                               $45,000

301         Shareholders’ equity                                                      $106,900

302         Dividends                                            $15,750

401         Construction Revenue                                                   $153,000

623         Wage expense                                  $61,800

633         Interest expense                               $6,250

640         Rent expense                                    $15,750

683         Property tax expense                    $12,500

684         Repairs expense                                $6,100

690         Utilities expense                                $5,300

TOTALS                                                            $333,150                  $333,150

Instructions:

Use the template provided to:

1. Journalize the following adjusting entries as of fiscal year-end December 31, 20x7.
2. Post the adjusting entries to an unadjusted trial balance and prepare the adjusted trial balance.
3. Create financial statements, namely: i) the income statement, ii) statement of stockholders’ equity, and iii) the balance sheet for 20x7.

Adjustments needed:

1. The supplies available at the end of the fiscal year 20x7 are at a cost of $5,700.
2. The company's employees have earned $3.500 in accrued wages for the fiscal year.
3. The cost of expired insurance for the fiscal year is $8,600.
4. The rent expense not yet paid or recorded in the fiscal year is $2,250.
5. Annual depreciation on equipment is $8,000; no other depreciation adjustment was made in 20x7.
6. The $450 accrued interest for December has not yet been paid and reported.
7. Additional property taxes of $625 have been assessed for the fiscal year but have not yet been paid or recorded in the accounts.
8. The December utilities expense of $425 is not included in the adjusted trial balance, because the bill arrived after the trial balance was prepared. The $425 amount owed needs to be recorded.

In a slow year, Deutsche Burgers will produce 2.500 million hamburgers at a total cost of $3.600 million. In a good year, it can produce 4.100 million hamburgers at a total cost of $4.700 million. a. What are the fixed costs of hamburger production? (Do not round intermediate calculations. Enter your answer in millions rounded to 1 decimal place.) b. What is the variable cost per hamburger? (Do not round intermediate calculations. Round your answer to 2 decimal places.) c. What is the average cost per burger when the firm produces 2 million hamburgers? (Do not round intermediate calculations. Round your answer to 2 decimal places.) d. What is the average cost per burger when the firm produces 3 million hamburgers? (Do not round intermediate calculations. Round your answer to 2 decimal places.) e. Why is the average cost lower when more burgers are produced? The fixed costs are spread across more burgers.Variable costs are lower per burger.Fixed costs are constant per burger.

Assume this week is the end of 2018. It has been a wonderful year-end for you because your business Computer Servicing and Networking Business was doing great! But don't forget that you need to complete adjusting entities on Dec 31, 2018. Please give me one each example of two types of adjusting entries:

1. Deferred accounts

2. Accrued accounts

Please feel free to read the text books, but make sure you use transactions of your own company. For example:

1. Deferred expenses- Unearned Revenue

Scenario: I own a catering service. On Dec 16, 2018 one of my clients came to my office and asked me to provide the catering service on his birthday party for the next 30 days. He knew I would be very busy then, so he paid me $1,000 in advance. Deal! Here I need to record an entry on Dec 16 and adjust it on Dec 31. (Only entries, no ledgers needed)

Date Accounts and Explanation     Debit    Credit Dec. 16 Cash     1,000            Unearned Revenue    1,000 Collected cash for future services

Date Accounts and Explanation     Debit    Credit Dec. 31 Unearned Revenue    500            Service Revenue     500 To record service revenue earned that was collected in advance

The Aluminum Association reports that the average American uses 56.8 pounds of aluminum in a year. A random sample of 51 households is monitored for one year to determine aluminum usage. If the population standard deviation of annual usage is 12.4 pounds, what is the probability that the sample mean will be each of the following?

Appendix A Statistical Tables

a. More than 58 pounds
b. More than 57 pounds
c. Between 55 and 58 pounds
d. Less than 55 pounds
e. Less than 49 pounds

(Round the values of z to 2 decimal places. Round your answers to 4 decimal places.)

a. enter the probability that the sample mean will be more than 58pounds

b. enter the probability that the sample mean will be more than 57pounds

c. enter the probability that the sample mean will be between 55 and 58pounds

d. enter the probability that the sample mean will be less than 55 pounds

e. enter the probability that the sample mean will be less than 49 pounds