A summary of cash flows for Ousel Travel Service for the year ended November 30, 2016, follows. The cash balance as of December 1, 2015, was $203,000.

Prepare a statement of cash flows for Ousel Travel Service for the year ended November 30, 2016. Refer to the cash receipts and cash payments information given in the instructions and to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. Be sure to complete the statement heading. A colon (:) and the word “Deduct” will automatically appear if they are required. Enter amounts that represent cash outflows as negative numbers using a minus sign.

Accounting Major

The data in the enclosed spreadsheet comes from the Texas Higher Education Coordinating Board and the Texas Department of Labor. It represents the total wages earned by major, during the 4^th quarter after graduation. http://www.txhighereddata.org/reports/performance/ctcasalf/gainful.cfm

What was the mean 4^th quarter wages for 2016 grads in your major:_____________

What was the median 4^th quarter wages for 2016 grads in your major:_____________

What percent of 2016 graduates in your major were employed in the 4^th quarter?_______

What are some limitations to the THECB wage report that might impact interpretation of wage data? Should you use the mean or median to provide the best estimate of annual wages for graduates in this major? Explain your answer:

Based on #4, calculate an estimation of annual wage for this major, one year out from graduation:_______________________

Go to O-NET (https://www.onetonline.org/). This site is run by the US Department of Labor. The Department of Labor uses actual wage date to create an overview of expected wages and job availability. Search for an occupation related to your major under “Occupation Quick Search”.

Occupation Researched:__________________

What are related occupations:___________________________________________

Percentage of respondents working in field with a Bachelor’s degree:_____________

Percentage of respondents working in field with a Master’s degree:_____________

What is the median wage in 2017 (nationally)_________________

What is the median wage in 2017 (Texas only) ___________________

What is the projected job growth (2016-2026) nationally for occupation?___________________

What is the projected job growth (2016-2026) in Texas for this occupation? _______________

One the State Wage Data tab, select the “Employment Concentration Tab”. Where are people in this occupation most concentrated?________________

How does the median annual wage in Texas compare to the THECB wage calculated in #5?

What factors might account for the differences in wages between the O-NET Texas data and the THECB data?

Based on these data, what is your best estimate of your wages the first year after graduation? Justify your answer:

How has this research affirmed or changed your career plans?

FINANCIAL STATEMENTS

The Davidson Corporation's balance sheet and income statement are provided here.

1. Construct the statement of stockholders' equity for December 31, 2016. No common stock was issued during 2016. Write out all your answers completely. For example, 25 million should be entered as 25,000,000. Round your answers to the nearest share or dollar.

   	Common Stock		Retained	Total Stockholders'
   	Shares	Amount	Earnings	Equity
   Balances, 12/31/15		$	$	$
   2016 Net income
   Cash dividends
   Addition to RE
   Balances, 12/31/16		$	$	$

   Enter your answers for parts b-d in millions. For example, an answer of $25,000,000 should be entered as 25.

2. How much money has been reinvested in the firm over the years? Round your answer to the nearest hundredth of million, if necessary.
   
   $   million
   
3. At the present time, how large a check could be written without it bouncing? Round your answer to the nearest hundredth of million, if necessary.
   
   $   million
   
4. How much money must be paid to current creditors within the next year? Round your answer to the nearest hundredth of million, if necessary.
   
   $   million

SCANDI HOME FURNISHINGS, INC.

Income Statements

                                              2014                   2015                             2016

Net Sales                                      $1,300,000           $1,500,000                         $1,800,000     

Cost of Goods Sold                      780,000                     900,000                      1,260,000       

Gross Profit                               520,000                600,000                              540,000

Marketing                                    130,000                    150,000                              200,000

General & Administrative          150,000                 150,000                             200,000

Depreciation                                  40,000                  53,000                                  60,000

EBIT                                          200,000                    247,000                           80,000

Interest                                                      45,000                   57,000                           70,000

Earnings Before Taxes              155,000                     190,000                           10,000

Income Taxes (40%)                    62,000                         76,000                             4,000

Net Income                                $93,000               $114,000                               $6,000

SCANDI HOME FURNISHINGS, INC.    

Balance Sheets

                                                         2014                                 2015                             2016

Cash                                            $50,000                       $40,000                        $10,000

Accounts Receivables                200,000                       260,000                            360,000

Inventories                                  450,000                       500,000                        600,000

Total Current Assets                 700,000                       800,000                         970,000

Fixed Assets                               300,000                       400,000                        500,000

Total Assets                       $1,000,000              $1,200,000                         $1,470,000

Accounts Payable                     $180,000                 $240,000                     $260,000   

Bank Loan                                    90,000                           90,000                        184,000

Total Current Liabilities           270,000                       330,000                        444,000

Long-Term Debt                        300,000                       400,000                        550,000

Common Stock                           350,000                       350,000                        350,000

Retained Earnings                       80,000                         120,000                        126,000

Total Liab. & Equity            $1,000,000                         $1,200,000    $1,470,000

Kaj should be interested in knowing whether Scandi has been building or burning cash. Compare the cash build, cash burn, and the net cash build/burn positions (and their rates) for 2015 and 2016. What, if any, changes have occurred?

Creditors, as well as management, are also concerned about the ability of the venture to meet its debt obligations (and interest) as they come due and the relative size of equity investments to debt levels. Calculate ratios in each of these areas for 2014-2016. Interpret your results and explain what has happened to Scandi.

Kaj and the venture investors are also interested in how efficiently Scandi is able to convert their equity investment, as well as the venture’s total assets, into sales. Calculate several ratios that combine data from the income statements and balance sheets and compare what has happened from 2014-2016.

Some recent financial statements for Smolira Golf, Inc., follow.

Find the following financial ratios for Smolira Golf (use year-end figures rather than average values where appropriate): (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Enter the profitability ratios as a percent.)

Some recent financial statements for Smolira Golf, Inc., follow.

Find the following financial ratios for Smolira Golf (use year-end figures rather than average values where appropriate): (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Enter the profitability ratios as a percent.)

In Case 15, GoPro’s Struggle for Survival in 2016, the following is mention:

As GoPro moved into 2015, it appeared to be the poster child for American entrepreneurial success, going from a humble beginning as a homemade camera tether and plastic case vendor in 2004, to an action camera vendor with $350,000 in sales in 2005 (its first full year of operation), to revenue of $1.6 billion in 2015. The company had gone public in June, 2014, and at its peak in October, 2014, GoPro stock traded at over $98.00. In 2014, GoPro was ranked #1 most popular brand on YouTube with more than 640 million views, and an average of 845 thousand views daily. In 2015, the average daily views were up to 1.01 million. Abruptly, in the third quarter of 2015, GoPro’s magic disappeared. Fourth quarter, 2015 revenue dropped by 31 percent from the prior year, and net income (loss) fell by 128 percent to a net loss of $34.5 million. By the end of December, 2015, the stock traded at less than $20.00. GoPro’s sales continued to slip in 2016. The newly introduced HERO4 camera performed poorly, and the company cut its price by half and reduced its product line to three cameras. The Karma camera drone, set for release in the first half of 2016, was inexplicably pushed back to winter, and there was no date for release of the HERO5 action camera. After the first quarter 2016 results were released, GoPro’s stock dropped below $9.00. According to Investor Place (28 March, 2016), GoPro had “essentially erased its once coveted title of Wall Street’s darling and is now loathed by Wall Street.”

What is your assessment of GoPro’s business model and competitive strategy? Does its approach to deliver customer value contribute to a sustainable competitive advantage?

One of the competitive strategies to consider is whether to be a “first-mover,” “first-follower,” or “slow-mover.” Which strategy do you believe Go-Pro has embraced? Is your chosen strategy the right course of action for Go-pro all of the time? Please explain

Seth Feye established Reliance Financial Services on July 1, 2016. Reliance Financial Services offers financial planning advice to its clients. The effect of each transaction and the balances after each transaction for July follow:

Mario Corporation started business on January 1, 2016. The board of directors authorized the
following classes of stock:
4% Cumulative preferred stock - $25 par value
Authorized: 40,000
Common Stock - No par value
Authorized: 300,000
The following transactions occurred during 2016:
1/1/16 Issued 120,000 shares of common stock at $10 per share.
6/2/16 Issued 25,000 shares of preferred stock at a market price of $25. The dividend is
payable semiannually on 12/1 and 6/1 beginning 12/1/16.
6/23/16 Purchased 12,000 shares of treasury stock at $8 per share.
10/1/16 Purchased 20,000 shares of treasury stock at $10 per share.
12/1/16 Did not pay semiannual dividend on the 4% preferred stock.
12/31/16 Recorded a net loss of $29,000 for 2016.
The following transactions occurred during 2017:
1/20/17 Sold 22,000 of treasury stock at a market price of $12. Mario uses the weighted
average method to account for treasury stock.
5/15/17 Declared dividends on the 4% preferred stock and a dividend of $.96 per common
share.
6/1/17 Paid all dividends declared on 5/15.
8/15/17 Distributed a 5% stock dividend on common shares outstanding when the market
value of the stock was $10 per share.
10/15/17 Issued 50,000 shares of common stock at a market price of $9 per share.
11/15/17 Declared dividends on the 4% preferred stock.
12/1/17 Paid dividends on the 4% preferred stock.
12/31/17 Recorded a net income of $23,500 for fiscal year 2017.
Required:
1. Record journal entries for each of the 2017 transaction.
2. Prepare comparative stockholders’ equity sections of the balance sheet for the years
ending December 31, 2016 and 2017 in good form.
3. Calculate earnings-per-share for 2016 and 2017.

Mario Corporation started business on January 1, 2016. The board of directors authorized the following classes of stock:

4% Cumulative preferred stock - $25 par value

Authorized: 40,000
Common Stock- No par value
Authorized: 300,000

The following transactions occurred during 2016:

1/1/16. Issued 120,000 shares of common stock at $10 par value
6/2/16. Issued 25,000 shares of preferred stock at a market price of $25. The divident is payable semiannulally on
   12/1 and 6/1 beginning 12/1/16
6/23/16. Purchased 12,000 shares of treasury stock at $8 per share
10/1/16. Purchased 20,000 shares of treasury stock at $10 per share
12/1/16. Did not pay semiannual divident on the 4% preferred stock
12/31/16. Recorded a net loss of $29,000 for 2016

The following transactions occured during 2017:

1/20/17. Sold 22,000 of treasury stock at a market price of $12. Mario uses the weighted average method to account
for treasury stock
5/15/17. Declared dividends on the 4% preferred stock and a dividend of $.96 per common share
6/1/17. Paid all dividends declared on 5/15
8/15/17. Distributed a 5% stock dividend on common shares outstanding when the market value of the stock was $10
   per share
10/15/17. Issued 50,000 shares of common stock at a market price of $9 per share
11/15/17. Declared dividends on the 4% preferred stock
12/1/17. Paid dividends on the 4% preferred stock
12/31/17. Recorded a net income of $23,500 for fiscal year 2017

Required:
1. Record journal entries for each of the 2017 transactions
2. Prepare comparative stockholders' equity sections of the balance sheet for the years ending December 31,2016 and 2016 in good form
3. Calculate earnings-per-share for 2016 and 2017