Required
Prepare a vertical analysis of both the balance sheets and income statements for 2019 and 2018.
Prepare a vertical analysis of the balance sheets for 2019 and 2018. (Percentages may not add exactly due to rounding. Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45).)
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Prepare a vertical analysis of an income statements for 2019 and 2018. (Percentages may not add exactly due to rounding. Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45).)
Round your answers to 2 decimal places. (i.e., .2345 should be entered as 23.45).)
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In: Accounting
C & M Securities made several expenditures during the
current fiscal year, including the following:
(a)
For each of the items listed below, indicate whether the cost
should be debited to land, buildings, equipment, land improvements,
or an expense account.
| Amount | Description of Expenditure | |||||
| 1. | $150,000 | Acquisition of a piece of land to be used as a building site | Expense or Land improvementsLandBuildingExpenseLand improvementsNo effectEquipmentExpense or Buildings | |||
| 2. | 3,000 | Demolition of a small building on the land, to make way for the new building | Expense or BuildingsExpenseBuildingNo effectExpense or Land improvementsLandEquipmentLand improvements | |||
| 3. | 7,500 | Levelling of the land to prepare it for construction of the new building | BuildingEquipmentExpense or BuildingsLand improvementsNo effectExpenseLandExpense or Land improvements | |||
| 4. | 290,000 | Construction of the new building | No effectLandExpense or Land improvementsExpense or BuildingsBuildingLand improvementsExpenseEquipment | |||
| 5. | 12,000 | Paving of a parking lot beside the building | BuildingExpense or BuildingsNo effectLandLand improvementsExpense or Land improvementsEquipmentExpense | |||
| 6. | 6,000 | Addition of decorative landscaping around the building (such as planting flowers and ornamental shrubs) | BuildingExpense or Land improvementsExpense or BuildingsLandNo effectEquipment | |||
| 7. | 80,000 | Purchase of a new piece of equipment | Expense or BuildingsEquipmentExpense or Land improvementsLandLand improvementsNo effectExpenseBuilding | |||
| 8. | 6,000 | Sales taxes on the new equipment | ||||
| If non-recoverable | Land improvementsExpense or Land improvementsNo effectEquipmentBuildingExpense or BuildingsExpenseLand | |||||
| If GST or HST | Land improvementsEquipmentNo effectExpense or BuildingsExpense or Land improvementsExpenseBuildingLand | |||||
| 9. | 3,000 | Installation of the new equipment | Expense or Land improvementsEquipmentNo effectBuildingLandLand improvementsExpenseExpense or Buildings | |||
| 10. | 1,500 | Testing and adjustment of the new equipment prior to its use | Land improvementsExpense or Land improvementsExpenseLandEquipmentBuildingNo effectExpense or Buildings | |||
| 11. | 1,000 | Minor repairs to some old equipment | LandLand improvementsNo effectExpenseExpense or Land improvementsBuildingExpense or BuildingsEquipment | |||
| 12. | 7,000 | Major overhaul of an old piece of equipment, extending its useful life by three years | EquipmentBuildingExpense or Land improvementsExpense or BuildingsExpenseLandNo effectLand improvements | |||
| 13. | 1,200 | Routine maintenance of equipment | Expense or Land improvementsLand improvementsBuildingEquipmentNo effectExpense or BuildingsExpenseLand | |||
| 14. | 2,000 | Replacement of windows broken by disgruntled employees during a labour dispute | ExpenseExpense or BuildingsBuildingLandLand improvementsNo effectExpense or Land improvementsEquipment |
In: Accounting
Exercise 10-8
On December 31, 2016, Splish Inc. borrowed $4,260,000 at 12% payable annually to finance the construction of a new building. In 2017, the company made the following expenditures related to this building: March 1, $511,200; June 1, $852,000; July 1, $2,130,000; December 1, $2,130,000. The building was completed in February 2018. Additional information is provided as follows.
| 1. | Other debt outstanding | |||
| 10-year, 13% bond, December 31, 2010, interest payable annually | $5,680,000 | |||
| 6-year, 10% note, dated December 31, 2014, interest payable annually | $2,272,000 | |||
| 2. | March 1, 2017, expenditure included land costs of $213,000 | |||
| 3. | Interest revenue earned in 2017 |
$69,580 |
(A) Determine the amount of interest to be capitalized in 2017 in relation to the construction of the building.
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The amount of interest $_________________ (B)Prepare the journal entry to record the capitalization of interest and the recognition of interest expense, if any, at December 31, 2017. (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.)
(List of Accounts) Accounts Payable |
In: Accounting
Justin Greenway is the heir to a very successful family-owned wine-making business. Decades ago, Justin’s great grandfather bought a large area of land in Yarra Valley where the family has been making wine for generations. Justin is now 35 years old and manages the vineyard. Justin is passionate about harvesting the best grapes to make quality wine.
Justin needs a new heavy-duty tractor to assist in harvesting the grapes. Justin visits a winery equipment business called Winery Equipment Specialists, which is known in the wine making industry to have a wide selection of both general use and specialised tractors.
Justin meets Beth, the manager of Winery Equipment Specialists to discuss purchasing the new tractor. Justin tells Beth that not only does he need a tractor for harvesting grapes for commercial purposes, he also needs a tractor with a special capacity to handle his property which has a few hills on it. He needs the tractor to be able to negotiate its way up and down those hills.
Beth shows Justin a tractor which she says will definitely meet Justin’s needs. A logo exists on the side door of the tractor that says: ‘Super Tractor designed for the hills’. The cost of the tractor is $40,000 and the parties enter into a written contract which states the following:
‘All statutory provisions which would otherwise apply to this transaction are hereby expressly negated’.
The tractor is manufactured by Agricultural Industry Construction Company which has its head office in Melbourne.
Shortly after its purchase and use, the tractor proves to be entirely inappropriate for Justin’s needs at the vineyard. It cannot negotiate the hills on his property and has stalled on many occasions. As a result, Justin cannot harvest the grapes in a timely manner and is worried they will not have enough quality grapes to make wine this year. Justin wants to commence legal action.
REQUIRED:
Advise Justin of all his rights and remedies against both Winery Equipment Specialists and Agricultural Industry Construction Company under the Australian Consumer Law.
In: Accounting
Use the data given to develop a Statement of Cash flows for 2007 and calculate change in cash from 2006 in operating, investing and financing activities and reconcile to beginning and ending cash.
| Income Statements | |||||||
| (Thousands of Dollars) | |||||||
| Katie's Construction | Peer | ||||||
| 2006 | 2007 | Proj. 2008 | Com. Size | ||||
| Net Sales | 81,950 | 83,875 | 101,488.75 | 100.00 | |||
| Cost of goods sold | 66,000 | 70,950 | 85,849.5 | 81.00 | |||
| Gross Profit | 15,950 | 12,925 | 15,639.25 | 19.00 | |||
| 0 | 0 | 0 | |||||
| S & A Expenses | 8,360 | 9,997.9 | 11,163.762 | 10.00 | |||
| Depreciation | 1,100 | 902 | 1,045 | 1.00 | |||
| Operating Profit | 6,490 | 2,025.1 | 3,430.488 | 8.00 | |||
| 0 | 0 | 0 | |||||
| Interest Expense | 775.5 | 1,322.2 | 1,125.3 | 1.00 | |||
| Pre-Tax Profit | 5,714.5 | 702.9 | 2,305.188 | 7.00 | |||
| 0 | 0 | 0 | |||||
| Tax (34%) | 1,942.93 | 238.986 | 783.764 | 2.38 | |||
| After Tax profit | 3,771.57 | 463.914 | 1,521.424 | 4.62 | |||
| 0 | 0 | 0 | |||||
| Dividends | 1,377.2 | 165 | 660 | ||||
| Retained Earnings | 2,394.37 | 298.914 | 861.424 | ||||
| No. of Shares | 1,450 | 1,450 | 1,450 | ||||
| Stock Price/Share | 13 | 9 | |||||
| Balance Sheets | |||||||
| (Thousands of Dollars) | |||||||
| Katie's Construction | Peer | ||||||
| 2006 | 2007 | Proj. 2008 | Com. Size | ||||
| Cash | 1,760 | 1,427.8 | 1,760 | 3.5 | |||
| Accounts Receivable | 8,140 | 13,200 | 11,550 | 28 | |||
| Inventory | 14,609.1 | 20,900 | 15,381.3 | 47 | |||
| Total Current Assets | 24,509.1 | 35,527.8 | 28,691.3 | 78.5 | |||
| 0 | 0 | 0 | |||||
| Net Fixed Assets | 6,832.1 | 7,156.6 | 8,760.4 | 21.5 | |||
| Total Assets | 31,341.2 | 42,684.4 | 37,451.7 | 100 | |||
| 0 | 0 | 0 | |||||
| Accounts Payable | 4,620 | 8,800 | 6,600 | 15 | |||
| Notes Payable | 2,256.1 | 8,250 | 4,290 | 9 | |||
| Accruals | 2,255 | 3,242.8 | 3,567.08 | 7.5 | |||
| Total Current Liabilities | 9,131.1 | 20,292.8 | 14,457.08 | 31.5 | |||
| 0 | 0 | 0 | |||||
| Long Term Debt | 5,380.1 | 5,262.4 | 5,148.704 | 19 | |||
| Total Liabilities | 14,511.2 | 25,555.2 | 19,605.784 | 50.5 | |||
| 0 | 0 | 0 | |||||
| Common Equity | 16,830 | 17,129.2 | 17,845.916 | 49.5 | |||
| Total Liabilities & Equity | 31,341.2 | 42,684.4 | 37,451.7 | 100 |
In: Accounting
Sam, a 32-year-old male who works on a construction site visits his family physician three days after suffering a puncture wound in his foot from a nail gun. The site of the injury is painful, red, warm and swollen with evidence of pus. There are reddish streaks extending up his ankle and lower leg. His temperature is 38.3°C. Describe the molecular details on how the above signs and symptoms occurred.
In: Nursing
a) Explain what you understand by a credit agreement and why credit agreements remain so vital in commercial transactions.
b) Giving examples draw distinctions between stop orders and debit orders as negotiable instruments.
c) Discuss the relevance of insurance law in Namibia.
d) Refereeing to case law, discuss the doctrine of subrogation.
e) List any 5 (five) obligations of the lessee in a contract of lease over heavy duty construction machinery.
In: Accounting
Which of the below is the best description for this test?
2 x 3 ANOVA
Two DVs were measured at the interval level. The IVs numbered 3.
Two IVs were operating: sex (male / female) and proficiency (high / medium / low).
Six variables were under study but nothing else can be known from this little information.
The 2 x 3 construction transforms this Factoral ANOVA into a Factoral MANOVA.
which one?
In: Statistics and Probability
Sam, a 32-year-old male who works on a construction site visits his family physician three days after suffering a puncture wound in his foot from a nail gun. The site of the injury is painful, red, warm and swollen with evidence of pus. There are reddish streaks extending up his ankle and lower leg. His temperature is 38.3°C. Describe the molecular details on how the above signs and symptoms occurred.
In: Nursing
A construction management company is examining its cash flow requirements for the next few years. The company expects to replace software and in-field computing equipment at various times. Specifically, the company expects to spend $6,000 1 year from now, $9,000 3 years from now, and $13,000 each year in years 6 through 10. What is the future worth in year 10 of the planned expenditures, at an interest rate of 14% per year?
In: Economics