Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data. BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2019 Computer services revenue $ 25,307 Net sales 18,693 Total revenue 44,000 Cost of goods sold $ 14,052 Depreciation expense—Office equip. 400 Depreciation expense—Computer equip. 1,250 Wages expense 3,250 Insurance expense 555 Rent expense 2,475 Computer supplies expense 1,305 Advertising expense 600 Mileage expense 320 Repairs expense—Computer 960 Total expenses 25,167 Net income $ 18,833 BUSINESS SOLUTIONS Comparative Balance Sheets December 31, 2018, and March 31, 2019 Mar. 31, 2019 Dec. 31, 2018 Assets Cash $ 68,057 $ 48,372 Accounts receivable 22,867 5,668 Inventory 704 0 Computer supplies 2,005 580 Prepaid Insurance 1,110 1,665 Prepaid rent 825 825 Total current assets 95,568 57,110 Office equipment 8,000 8,000 Accumulated depreciation—Office equip. (800 ) (400 ) Computer equipment 20,000 20,000 Accumulated depreciation—Computer equip. (2,500 ) (1,250 ) Total assets $ 120,268 $ 83,460 Liabilities and Equity Accounts payable $ 0 $ 1,100 Wages payable 875 500 Unearned computer service revenue 0 1,500 Total current liabilities 875 3,100 Equity Common stock 98,000 73,000 Retained earnings 21,393 7,360 Total liabilities and equity $ 120,268 $ 83,460 Required: Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2019. Owner Santana Rey contributed $25,000 to the business in exchange for additional stock in the first quarter of 2019 and has received $4,800 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.)

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data.

BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2020 Computer services revenue $ 25,007 Net sales 17,893 Total revenue 42,900 Cost of goods sold $ 14,652 Depreciation expense—Office equipment 370 Depreciation expense—Computer equipment 1,250 Wages expense 2,950 Insurance expense 475 Rent expense 1,575 Computer supplies expense 1,285 Advertising expense 580 Mileage expense 260 Repairs expense—Computer 860 Total expenses 24,257 Net income $ 18,643 BUSINESS SOLUTIONS Comparative Balance Sheets December 31, 2019, and March 31, 2020 Mar. 31, 2020 Dec. 31, 2019 Assets Cash $ 77,407 $ 57,102 Accounts receivable 23,767 4,868 Inventory 694 0 Computer supplies 2,085 500 Prepaid insurance 1,030 1,605 Prepaid rent 805 805 Total current assets 105,788 64,880 Office equipment 7,500 7,500 Accumulated depreciation—Office equipment (740 ) (370 ) Computer equipment 19,000 19,000 Accumulated depreciation—Computer equipment (2,500 ) (1,250 ) Total assets $ 129,048 $ 89,760 Liabilities and Equity Accounts payable $ 0 $ 1,200 Wages payable 945 500 Unearned computer service revenue 0 2,400 Total current liabilities 945 4,100 Equity Common stock 106,000 78,000 Retained earnings 22,103 7,660 Total liabilities and equity $ 129,048 $ 89,760

Required: Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2020. Owner Santana Rey contributed $28,000 to the business in exchange for additional stock in the first quarter of 2020 and has received $4,200 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.)

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data.
  

Required:
Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2020. Owner Santana Rey contributed $34,000 to the business in exchange for additional stock in the first quarter of 2020 and has received $4,200 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.)

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data. BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2020 Computer services revenue $ 25,207 Net sales 17,993 Total revenue 43,200 Cost of goods sold $ 14,852 Depreciation expense—Office equipment 310 Depreciation expense—Computer equipment 1,250 Wages expense 2,850 Insurance expense 525 Rent expense 1,975 Computer supplies expense 1,285 Advertising expense 540 Mileage expense 310 Repairs expense—Computer 860 Total expenses 24,757 Net income $ 18,443 BUSINESS SOLUTIONS Comparative Balance Sheets December 31, 2019, and March 31, 2020 Mar. 31, 2020 Dec. 31, 2019 Assets Cash $ 74,567 $ 54,312 Accounts receivable 24,167 5,168 Inventory 614 0 Computer supplies 2,085 510 Prepaid insurance 1,060 1,655 Prepaid rent 825 825 Total current assets 103,318 62,470 Office equipment 7,500 7,500 Accumulated depreciation—Office equipment (620 ) (310 ) Computer equipment 19,700 19,700 Accumulated depreciation—Computer equipment (2,500 ) (1,250 ) Total assets $ 127,398 $ 88,110 Liabilities and Equity Accounts payable $ 0 $ 1,120 Wages payable 895 530 Unearned computer service revenue 0 1,500 Total current liabilities 895 3,150 Equity Common stock 104,000 77,000 Retained earnings 22,503 7,960 Total liabilities and equity $ 127,398 $ 88,110 Required: Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2020. Owner Santana Rey contributed $27,000 to the business in exchange for additional stock in the first quarter of 2020 and has received $3,900 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.)

A power company operates three power generation plants. One is a wind plant, and the other two consume a combination of Fuel 1 and Fuel 2, emitting carbon dioxide in the process. In addition, all three plants require maintenance. The amount of fuel consumed (in Mg), maintenance required (in person-hours), carbon dioxide (CO2) emitted (in Mg), and power generated (in MWh) per day of operation is as follows: Maintenance Fuel 1 Fuel 2 CO2 Power Plant Required Required Required Emitted Produced 1 20 0 0 0 20 2 13 10 15 12 32 3 18 30 40 29 40 Each MWh of power can be sold at £121 and there is no limit on the amount that can be sold. Over its next planning period, the company has 230 person-hours for maintenance, 75 Mg of Fuel 1, and 90 Mg of Fuel 2 available.

(a) Due to environmental regulations, they cannot emit more than 200Mg of CO2 in this period. The company wants to know how to operate its plants to generate as much revenue as possible (you may assume that there is no limit on the number of days a plant can operate in this period). Give a linear program that models this problem and state what each of your variables is meant to represent. You do not need to solve this program. [11]

(b) Suppose now that the company can emit more than 200Mg of CO2, but now loses £55 of revenue for each Mg emitted after the first 200Mg because it must purchase “CO2 credits”. The other resource constraints remain as stated. The company now wants to know how to operate its plants to generate as much revenue as possible (you may assume that there is no limit on the number of days that a plant can operate in this period). Give a linear program that models this problem. You do not need to solve this program.

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data.
  

Required:
Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2020. Owner Santana Rey contributed $31,000 to the business in exchange for additional stock in the first quarter of 2020 and has received $4,000 in cash dividends. (Amounts to be deducted should be indicated with a minus sign.)

The income statement and additional data of Bayleaf Pty Ltd are as follows:

Income statement for the year ended 31 December 2016

Revenue:

Service Revenue R225 000

Dividend Revenue R6 300 (231 300)

Expenses:

Cost of goods sold R100 000

Salary Expense R52 000

Depreciation Expense R23 000

Advertising Expense R2 300

Interest Expense R2 400

Income tax expense R5 000 (R184 700)

Net income R46 600

Additional Data:

a) Acquisition of PPE was R170 000. Of this amount , R140 000 was paid in cash and R30 000 by signing a note payable

b) Proceeds from the sale of land totalled R48 000

c) Proceeds from issuance of shares totalled R31 000

d) Payment of long-term note payable was R16 000

e) Payment of dividends was R10 000

From the Balance Sheet:

Balance sheet as at 31 December

Currents Assets 2016 2015

Cash R32 000 R13 300

Accounts Receivable R41 000 R57 000

Inventory R48 000 R87 000

Prepaid expenses R9 100 R8 200

Current Liabilities

Accounts Payable R32 000 R17 000

Accrued liabilities R14 000 R43 000

Required:

1. Prepare Bayleaf 's statement of cash flow for year ended 31 December 2016, using indirect Method.

2. Evaluate Bayleaf's cash flow for the year ended 31 December 2016, including its free cash flow and cash realization ratio. In your evaluation, review all three categories of cash flows and give the reason for your evaluation.

3. When analyzing the cash flow patterns of the Company, what other three (3) important indicators of the health of the company 's cash flows do you look at?

A study reports that 36% of companies in Country A have three or more female board directors. Suppose you select a random sample of 100 respondents. Complete parts​ (a) through​ (c) below.

a. What is the probability that the sample will have between 33​% and 43​% of companies in Country A that have three or more female board​ directors?

b. The probability is 70​% that the sample percentage of Country A companies having three or more female board directors will be contained within what symmetrical limits of the population​ percentage?

c. The probability is 99.7​% that the sample percentage of Country A companies having three or more female board directors will be contained within what symmetrical limits of the population​ percentage?

The probability is 99.7​% that the sample percentage will be contained above _____ ​% and below _____ ​%.

Sky Kitchens is the second largest airline caterer in the United States, providing nearly all the meals for passengers of three major airlines and several smaller commuter airlines. As part of a total quality management (TQM) program, its largest airline client, Continental Airlines, has recently met with representatives of Sky Kitchens to discuss a customer satisfaction program that it is planning to implement. Continental plans to interview a sample of its customers four times a year. In the survey, it intends to ask customers to rate the quality of meals provided on a 1–10 scale, where 1 means poor and 10 means excellent. It has just completed a benchmark study of 1,000 customers. In that study, meals received an average rating of 8.7 on the 10-point scale, with a standard deviation of 1.65. Continental has indicated that it wants Sky Kitchens to guarantee a level of satisfaction of 8.5 in the first quarterly survey, to be conducted in three months. For its quarterly surveys, Continental plans to use a sample size of 500. In the new contract with Sky Kitchens, Continental wants to include a clause that will penalize Sky Kitchens $50,000 for each one-tenth of a point it falls below an average of 8.5 on the next survey’s satisfaction scale.

1. What is the 99.74% confidence interval (CI) for the true satisfaction level based on the benchmark survey?

2. What is the 99% confidence interval (CI) for the true satisfaction level based on the benchmark survey?

3. What is the 95.44% CI for the true satisfaction level based on the benchmark survey?

4. What is the 95% CI for the true satisfaction level based on the benchmark survey?

5. As Sky Kitchens, what do you think of Continental’s requirement for a level of satisfaction of 8.5 in the first quarter survey?

6. Assume that the upcoming 1st -quarter satisfaction survey shows anaverage rating of 8.4 on satisfaction with meals. Assume that the population standard deviation is1.65. Compute the 99% CI for the true satisfaction level based on the 1st-quarter survey. As Sky Kitchens, what is the best way to present and interpret the resulting CI?

7. If you were negotiating for Sky Kitchens, how would you respond to Continental regarding the penalty clause? Is there a better or more reasonable way to revise it

Answer the following questions:

Q.1) Is collecting cash from customer accounts receivable an expense or a revenue?

Q.2) Is purchasing supplies on account an expense or a revenue?

Q.3) Is cash receipts an expense or a revenue?

Q.4) Are invoices for services on account an expense or a revenue?

Q.5) Is paying for utility bills in the month of May that were received in the month of April an expense or a revenue?

Q.6) Is paying for employee salaries an expense or a revenue?

Q.7) Is purchasing a one-year insurance policy an expense or a revenue?

Q.8) Is paying $100 ( on 10th May) on the account payable that was established when supplies worth $200 were purchased on on 10th April, an expense or a revenue?

Q.9) Is receiving monthly utility bills amounting to $200 in the month of May that are to be paid in June an expense or a revenue?

Q.10) Are invoices for sales on account an expense or a revenue?