Acme Materials is a publicly traded company on the NYSE. On October 15, 2021, at 10:46am, company ACME materials, has traded between the price range of $2400 and $2300. Where, $2400 is the high of the range and $2300 is the low of the range.

Fact: As of 10:46am,

- There is a 75% probability that either $2400 will be thehighest price of the day

or

$2300 will be the lowest price of the day.

(Meaning there is a 25% probability that neither 2400 or 2300 will be the high or low of the day.)
Probability of both events occuring together is not provided

Question 1: What is the probability that $2400 is the highest price of the day?

Question 2: Please list / define, what statistical principles and or formula’s make this answer true? How do I get to understandthis answer?

Question 3: I have basic high school math skills, what resourcescan I use to further my understanding of the underlying principles to this solution?

On October 15, 2020, the board of directors of Ensor Materials Corporation approved a stock option plan for key executives. On January 1, 2021, 30 million stock options were granted, exercisable for 30 million shares of Ensor's $1 par common stock. The options are exercisable between January 1, 2024, and December 31, 2026, at 80% of the quoted market price on January 1, 2021, which was $15. The fair value of the 30 million options, estimated by an appropriate option pricing model, is $5 per option. Ensor chooses the option to recognize forfeitures only when they occur.

Ten percent (3 million) of the options were forfeited when an executive resigned in 2022. All other options were exercised on July 12, 2025, when the stock’s price jumped unexpectedly to $33 per share.

Required:
1. When is Ensor’s stock option measurement date?
2. Determine the compensation expense for the stock option plan in 2021. (Ignore taxes.)
3. Prepare the journal entries to reflect the effect of forfeiture of the stock options on Ensor’s financial statements for 2022 and 2023.
5. Prepare the journal entry to account for the exercise of the options in 2025.

ABC Company sold equipment on October 1, 2018, to XYZ Company for £1,000,000. It agrees to repurchase this equipment in July 2019, for a price of £1,100,000. The proper accounting treatment for this transaction based on

Select one:

a. relevance

b. going concern

c. comparability

d. substance over form

1. Blue Spruce Corp. purchased a new machine on October 1, 2019, at a cost of $134,000. The company estimated that the machine will have a salvage value of $20,000. The machine is expected to be used for 10,000 working hours during its 5-year life.

Compute the depreciation expense under straight-line method for 2019. (Round answer to 0 decimal places, e.g. 2,125.)
2019 Depreciation expense:

2. Yello Bus Lines uses the units-of-activity method in depreciating its buses. One bus was purchased on January 1, 2019, at a cost of $227,125. Over its 4-year useful life, the bus is expected to be driven 132,500 miles. Salvage value is expected to be $8,500.

Compute the depreciable cost per unit. (Round answer to 2 decimal places, e.g. 0.50.)

Depreciation cost per unit:        per mile

3. In recent years, Sheffield Transportation purchased three used buses. Because of frequent turnover in the accounting department, a different accountant selected the depreciation method for each bus, and various methods were selected. Information concerning the buses is shown as follows.

For the declining-balance method, the company uses the double-declining rate. For the units-of-activity method, total miles are expected to be 124,000. Actual miles of use in the first 3 years were 2018, 26,000; 2019, 31,500; and 2020, 29,500.

For Bus #3, calculate depreciation expense per mile under units-of-activity method. (Round answer to 2 decimal places, e.g. 0.50.)

Depreciation expense:    per mile

USE CHART BELOW THIS

4. On January 1, 2019, Pina Colada Company purchased the following two machines for use in its production process.

Prepare the following for Machine A. (Round answers to 0 decimal places, e.g. 2,125. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

5. At December 31, 2019, Sheffield Corp. reported the following as plant assets.

During 2020, the following selected cash transactions occurred.

Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 50-year life and no salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

On October 1, 2018, the Allegheny Corporation purchased machinery for $314,000. The estimated service life of the machinery is 10 years and the estimated residual value is $6,000. The machine is expected to produce 550,000 units during its life.

Required:
Calculate depreciation for 2018 and 2019 using each of the following methods. Partial-year depreciation is calculated based on the number of months the asset is in service.

1. Straight line.
2. Sum-of-the-years’-digits.
3. Double-declining balance.
4. One hundred fifty percent declining balance.
5. Units of production (units produced in 2018, 28,000; units produced in 2019, 43,000).

Calculate depreciation for 2018 and 2019 using one hundred fifty percent declining balance. Partial-year depreciation is calculated based on the number of months the asset is in service. (Do not round your intermediate calculations and round your final answers to nearest whole number.)

Calculate depreciation for 2018 and 2019 using Units of production (units produced in 2018, 28,000; units produced in 2019, 43,000). Partial-year depreciation is calculated based on the number of months the asset is in service. (Round "Depreciation per unit rate" answers to 2 decimal places.)

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Artis, Inc. uses the aging of accounts receivable method for estimating uncollectible accounts. As of October 31, total Accounts Receivable was $17,800 of which $8,400 was 0 - 30 days old; $5,900 was 31 - 60 days old; and the remainder was over 60 days old. Artis estimates 1% of accounts 0 - 30 days old will be uncollectible; 5% of accounts 31 - 60 days old will be uncollectible; and 15% of accounts over 60 days old will be uncollectible. How much is the adjustment for uncollectible accounts assuming the Allowance for Doubtful Accounts has a $610 credit balance

On October 31, the stockholders’ equity section of Sheridan Company consists of common stock $275,000 and retained earnings $885,000. Sheridan is considering the following two courses of action: (1) declaring a 4% stock dividend on the 27,500, $10 par value shares outstanding, or (2) effecting a 2-for-1 stock split that will reduce par value to $5 per share. The current market price is $14 per share. Prepare a tabular summary of the effects of the alternative actions on the components of stockholders’ equity, outstanding shares, and par value per share.

Pitman Company is a small editorial services company owned and operated by Jan Pitman. On October 31, 2019, the end of the current year, Pitman Company's accounting clerk prepared the following unadjusted trial balance:

The data needed to determine year-end adjustments are as follows:

Required:

Unexpired insurance at October 31, $5,090.

Supplies on hand at October 31, $620.

Depreciation of building for the year, $3,360.

Depreciation of equipment for the year, $2,920.

Unearned rent at October 31, $1,880.

Accrued salaries and wages at October 31, $3,290.

Fees earned but unbilled on October 31, $19,310.

1. Journalize the adjusting entries using the following additional accounts: Salaries and Wages Payable; Rent Revenue; Insurance Expense; Depreciation Expense—Building; Depreciation Expense—Equipment; and Supplies Expense.

2. Determine the balances of the accounts affected by the adjusting entries, and prepare an adjusted trial balance. If an amount box does not require an entry, leave it blank.

question 2

Adjusting Entries and Errors

At the end of August, the first month of operations, the following selected data were taken from the financial statements of Tucker Jacobs, an attorney:

In preparing the financial statements, adjustments for the following data were overlooked:

Required:

Unbilled fees earned at August 31, $6,090.

Depreciation of equipment for August, $2,700.

Accrued wages at August 31, $1,950.

Supplies used during August, $1,710.

1. Journalize the entries to record the omitted adjustments.

2. Determine the correct amount of net income for August and the total assets, liabilities, and owner’s equity at August 31. In addition to indicating the corrected amounts, indicate the effect of each omitted adjustment by completing the columnar table below. Use the minus sign to indicate decreases. If an effect is zero, enter "0". Adjustment (a) is presented as an example.

question 3

Adjusting Entries

Good Note Company specializes in the repair of music equipment and is owned and operated by Robin Stahl. On November 30, 2019, the end of the current year, the accountant for Good Note prepared the following trial balances:

Required:

Journalize the seven entries that adjusted the accounts at November 30. None of the accounts were affected by more than one adjusting entry.

During October 1962 the United States and the Soviet Union engaged in a stand off over the Soviet Union’s attempted deployment of nuclear missiles to Cuba. We will model part of the crisis dynamics as they looked on October 22, 1962 when President Kennedy announced the naval blockade of Cuba stating that Soviet ships carrying nuclear missile equipment would be turned back if attempting to enter Cuba. Consider this a sequential move game where the first mover Premier Krushchev can choose to retract (R) the ships or order them to challenge (C) the blockade. If Krushchev retracts, the game ends and it will be perceived as a political failure for Krushchev and a win for Kennedy with payoff 2 of (−1, 1), meaning a payoff of −1 to Krushchev and 1 to Kennedy. If Krushchev challenges the blockade, Kennedy will observe the challenge and now has an option to enforce (E) the blockade or to fold (F), the latter meaning letting the ships proceed to Cuba. If Kennedy folds the game ends, and Krushchev will deploy nuclear missiles to Cuba and achieve an improved strategic position, resulting in payoffs of (5, −5). If Kennedy enforces the blockade, the crisis will escalate with the distinct possibility of nuclear war ensuing. We will assign payoffs (−100, −100) to the act of enforcing the blockade. 1. Draw the extensive form game between Krushchev and Kennedy. 2. What are the pure strategy Nash equilibria of the game? Explain. 3. What is the subgame perfect Nash equilibrium of the game? Explain. 4. In reality, Kruschev retracted the ships. The following is an open ended question: In order to understand this action, how is it in your mind best understood given the previous analysis? Is the equilibrium concept not appropriate? Would you consider changes in the game? Etc...

Susan Huang began the practice of law October 1, 2017, with an initial investment of $21,000 in cash. She made no withdrawals during the month. After completing the first month of practice, the financial statements were prepared by Ryan Player, the secretary/bookkeeper Ms. Huang had hired. Ms. Huang almost burst out laughing when she saw them. She had completed a course in legal accounting in law school and knew the statements prepared by Player left much to be desired. Consequently, she asked you to revise the statements. The Player version is presented as follows:

Required:
Prepare the corrected financial statements for Susan Huang.

income statement

statement of changes in equity

balance sheet