Consider each of the following independent and material situations. In each case:

• the financial report date is 31 December 2019;

• the field work was completed on 12 February 2020;

• the directors declaration and the audit report were signed on 19 February 2020; and

• the completed financial report accompanied by the signed audit report were mailed to shareholders on 18 March 2020

A. You are an auditor pf PP Limited (PP), a company specialising in industrial property development. On 10 February 2020, you become aware that a major overseas investor has informed the management of PP of their intention to withdraw their investment in a proposed major development. On the basis of its discussions with the investor and previously pledged funds from them, PP has incurred substantial costs in feasibility studies, structural engineering reports and architectural plans. A significant portion of these costs has been capitalised. The management is dependent on finding a new investor to be able to meet these expenses and to continue with the project.

B. You are the auditor of XY Limited (XY), a manufacturing client. XY has plans to upgrade its manufacturing process and plans to finance this by a sale of property which is superfluous to its needs, situated next to its head office. The property has been subdivided for the purposes of the sale and placed on the market in December 2019. On 25 January 2020, the state government approved a plan for the construction of an express freeway. The plan will result in the appropriation of a portion of the property owned by XY and subdivided for the purpose of sale. Construction of the freeway will begin in late 2020. No estimate of the compensation payment is available.

C. You are an auditor of Q limited (Q), a major public company involved in the property development industry. Prior to signing your audit report you sought a letter of comfort from Q’s bankers that the bank would continue to support Q by providing finance over the coming year. The bank agrees that it would continue to provide finance. It was your view that without such support Q had severe cash flow problems and the financial report would need to be modified with respect to a going concern assumption. On 15 March 2020, the company’s bankers wrote to you advising that the company had breached its loan covenant with the bank in February 2020 and that the loan facility was now due and payable and would not be renewed.

D. You are the auditor of Turbo Limited (Turbo), a professional services client. On 15 January 2020, Turbo settled and paid a personal injury claim to a former employee as the result of an accident that occurred in September 2017. The company had not previously recorded a liability for the claim. E. You are the auditor of Charge Limited (Charge), an automobile parts manufacturer. On 2 February 2020, Charge agreed to purchase for cash the outstanding shares of Electronic Fuel Injection Limited. The acquisition is likely to double the sales volume of Charge.

Required: For each of the events A to E:

2. Determine whether additional audit evidence needs to be obtained. If so, describe the nature of the audit evidence to be obtained and the audit procedures used to obtain it.

Consider each of the following independent and material situations. In each case:

• the financial report date is 31 December 2019;

• the field work was completed on 12 February 2020;

• the directors declaration and the audit report were signed on 19 February 2020; and

• the completed financial report accompanied by the signed audit report were mailed to shareholders on 18 March 2020

A. You are an auditor pf PP Limited (PP), a company specialising in industrial property development. On 10 February 2020, you become aware that a major overseas investor has informed the management of PP of their intention to withdraw their investment in a proposed major development. On the basis of its discussions with the investor and previously pledged funds from them, PP has incurred substantial costs in feasibility studies, structural engineering reports and architectural plans. A significant portion of these costs has been capitalised. The management is dependent on finding a new investor to be able to meet these expenses and to continue with the project.

B. You are the auditor of XY Limited (XY), a manufacturing client. XY has plans to upgrade its manufacturing process and plans to finance this by a sale of property which is superfluous to its needs, situated next to its head office. The property has been subdivided for the purposes of the sale and placed on the market in December 2019. On 25 January 2020, the state government approved a plan for the construction of an express freeway. The plan will result in the appropriation of a portion of the property owned by XY and subdivided for the purpose of sale. Construction of the freeway will begin in late 2020. No estimate of the compensation payment is available.

C. You are an auditor of Q limited (Q), a major public company involved in the property development industry. Prior to signing your audit report you sought a letter of comfort from Q’s bankers that the bank would continue to support Q by providing finance over the coming year. The bank agrees that it would continue to provide finance. It was your view that without such support Q had severe cash flow problems and the financial report would need to be modified with respect to a going concern assumption. On 15 March 2020, the company’s bankers wrote to you advising that the company had breached its loan covenant with the bank in February 2020 and that the loan facility was now due and payable and would not be renewed.

D. You are the auditor of Turbo Limited (Turbo), a professional services client. On 15 January 2020, Turbo settled and paid a personal injury claim to a former employee as the result of an accident that occurred in September 2017. The company had not previously recorded a liability for the claim. E. You are the auditor of Charge Limited (Charge), an automobile parts manufacturer. On 2 February 2020, Charge agreed to purchase for cash the outstanding shares of Electronic Fuel Injection Limited. The acquisition is likely to double the sales volume of Charge.

Required: For each of the events A to E:

3. If no action is taken by management, determine the most appropriate audit report to be issued.

INVOLVE was incorporated as a not-for-profit voluntary health and welfare organization on January 1, 2020. During the fiscal year ended December 31, 2020, the following transactions occurred.

1. A business donated rent-free office space to the organization that would normally rent for $35,200 a year.
2. A fund drive raised $186,000 in cash and $102,000 in pledges that will be paid within one year. A state government grant of $152,000 was received for program operating costs related to public health education.
3. Salaries and fringe benefits paid during the year amounted to $208,760. At year-end, an additional $16,200 of salaries and fringe benefits were accrued.
4. A donor pledged $102,000 for construction of a new building, payable over five fiscal years, commencing in 2022. The discounted value of the pledge is expected to be $94,460.
5. Office equipment was purchased for $12,200. The useful life of the equipment is estimated to be five years. Office furniture with a fair value of $9,800 was donated by a local office supply company. The furniture has an estimated useful life of 10 years. Furniture and equipment are considered net assets without donor restrictions by INVOLVE.
6. Telephone expense for the year was $5,400, printing and postage expense was $12,200 for the year, utilities for the year were $8,500 and supplies expense was $4,500 for the year. At year-end, an immaterial amount of supplies remained on hand and the balance in accounts payable was $3,800.
7. Volunteers contributed $15,200 of time to help with answering the phones, mailing materials, and various other clerical activities.
8. It is estimated that 90 percent of the pledges made for the 2021 year will be collected. Depreciation expense is recorded for the full year on the assets recorded in item 5.
9. All expenses were allocated to program services and support services in the following percentages: public health education, 35 percent; community service, 30 percent; management and general, 20 percent; and fund-raising, 15 percent.
10. Net assets were released to reflect satisfaction of state grant requirements that the grant resources be used for public health education program purposes.
11. All nominal accounts were closed to the appropriate net asset accounts.

Prepare journal entries to record these transactions. Expense transactions should be initially recorded by object classification; in entry 10 expenses will be allocated to functions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Round the intermediate and final answers to the nearest dollar amount.)

Two automobiles with equal mass approach an intersection.  One vehicle is traveling eastward and the other vehicle is traveling northward.  The vehicles collide and stick together. After impact they travel on the road and then travel on a gravel covered shoulder until both cars stop. Only the northward bound vehicle left skid marks at an angle of 55 degrees north of east.  A police officer posted at the intersection clocked the eastward vehicle at 29 mph before impact. The northward bound car skid on the road for 25 ft and continued to skid on the gravel covered shoulder.  What is the total distance, in feet, the two cars traveled after the collision? Assume u_s = 0.96 and u_k = 0.85 for the road and u_s = 0.74 and u_k = 0.65 for the shoulder.

Two automobiles with equal mass approach an intersection. One vehicle is traveling eastward and the other vehicle is traveling northward. The vehicles collide and stick together. After impact they travel on the road and then travel on a gravel covered shoulder until both cars stop. Only the northward bound vehicle left skid marks at an angle of 55 degrees north of east. A police officer posted at the intersection clocked the eastward vehicle at 29 mph before impact. The northward bound car skid on the road for 25 ft and continued to skid on the gravel covered shoulder. What is the total distance, in feet, the two cars traveled after the collision? Assume us=0.96 and uk=0.85 for the road and us=0.74 and uk=0.65 for the shoulder.

Use the values from PRACTICE IT to help you work this exercise. Suppose the same two vehicles are both traveling eastward, the compact car leading the pickup truck. The driver of the compact car slams on the brakes suddenly, slowing the vehicle to 5.78 m/s. If the pickup truck traveling at 17.4 m/s crashes into the compact car, find the following.

(a) the speed of the system right after the collision, assuming the two vehicles become entangled
m/s

(b) the change in velocity for both vehicles

(c) the change in kinetic energy of the system, from the instant before impact (when the compact car is traveling at 5.78 m/s) to the instant right after the collision
ΔKE =  J

1. What are the physiological advantages of a heart that is divided into four chambers?

2. Discuss what would happen to a human that is born with a heart in which the septum that separates the heart atria has a hole.

A person has been fasting overnight and when this person wakes up the person drinks a regular Coca-Cola for breakfast. The graph below indicates the changes in blood glucose levels over time right before (1) the person drinks the Coca-Cola and 20 minutes after (2), as well as 3 hours after (3) the person drinks the coke.

3. Discuss from a physiological perspective why the glucose levels change in (1), (2), and (3).

4. Is there anything else you can conclude from these data?

Man-U-Facturing Inc. will buy a machine that has a cost of $850,000 and is expected to be useful for 10 years. At the end of the 10th year, the firm intends to sell the machine for an estimated price of $52,036. In addition, the yearly benefits are expected to be $201,952 while the annual maintenance costs are predicted to be $51,300. The company uses a 9% interest rate for this project and it is currently being taxed at a flat tax rate of 21%. This time assume that Man-U-Facturing Inc. uses straight-line depreciation. What is the after-tax benefit-cost ratio?

using straight-line depreciation. What is the after-tax net present value (NPV)?

using straight-line depreciation. What is the before-tax net present value (NPV)?

A 10 g marble slides to the left at a speed of 0.4 m/s along a frictionless surface. It has a head-on, elastic collision with a larger, 30 g marble sliding to the right at 0.2 m/s. Since the collision is head-on, all motion is along the x-axis.

a. Find the total kinetic energy AND the total momentum before the collision

b. The marbles bounce off each other elastically. Each marble has a different velocity after the collision. The lighter marble ends up with a velocity with a magnitude five times that of the heavier marble. Find the velocity of each marble after the collision.

c. Calculate the change in kinetic energy for each individual marble.

d. Calculate the change in momentum for each individual marble.

1. Union shop means:

2. Which Act states that prevailing wages must be paid to workers.

3. The Clayton Act stated that: