Patricia Johnson is the sole owner of Crane Vista Park, a public camping ground near the Crater Lake National Recreation Area. Patricia has compiled the following financial information as of December 31, 2020. Revenues during 2020—camping fees $186,228 Fair value of equipment $186,228 Revenues during 2020—general store 86,463 Notes payable 79,812 Accounts payable 14,632 Expenses during 2020 199,530 Cash on hand 30,595 Accounts receivable 23,278 Original cost of equipment 140,336 (a) Determine Patricia Johnson’s net income from Crane Vista Park for 2020. Net income $enter Net income in dollars (b) Prepare a balance sheet for Crane Vista Park as of December 31, 2020. (List Assets in order of liquidity.) CRANE VISTA PARK Balance Sheet choose the accounting period Assets enter a balance sheet item $enter a dollar amount enter a balance sheet item enter a dollar amount enter a balance sheet item enter a dollar amount select a closing section name for this part of the balance sheet $enter a total amount for this part of the balance sheet Liabilities and Owner’s Equity select an opening name for section one enter a balance sheet item $enter a dollar amount enter a balance sheet item enter a dollar amount select a closing name for section one enter a total amount for this section of the balance sheet select an opening name for section two enter a balance sheet item enter a dollar amount select a closing name for this part of the balance sheet $enter a total amount for this part of the balance sheet

At the end of 2020, the records of Block Corporation reflected the following.

a. What EPS presentation is required—basic, diluted, or both?

b. Compute the required EPS amount(s).

• Note: Round earnings per share amount to two decimal places.

c. Compute the required EPS amount(s), assuming that the preferred stock is cumulative.

• Note: Round earnings per share amount to two decimal places.

Taxable income and pretax financial income would be identical for Bridgeport Co. except for its treatments of gross profit on installment sales and estimated costs of warranties. The following income computations have been prepared.

The tax rates in effect are 2019, 40%; 2020 and 2021, 45%. All tax rates were enacted into law on January 1, 2019. No deferred income taxes existed at the beginning of 2019. Taxable income is expected in all future years.

Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2019, 2020, and 2021. (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.)

1. Financial institutions in the U.S. economy

Suppose Paolo would like to invest $2,000 of his savings.

One way of investing is to purchase stock or bonds from a private company.

Suppose TouchTech, a hand-held computing firm, is selling stocks to raise money for a new lab—a practice known as _____ (equity or debt) finance. Buying a share of TouchTech stock would give Paolo _________ (a claim to partial ownership in/ an IOU, or promise to pay, from) the firm. In the event that TouchTech runs into financial difficulty, _______ (The bondholders/ Paolo and other stockholders) will be paid first.

Suppose Paolo decides to buy 100 shares of TouchTech stock.

Which of the following statements are correct? Check all that apply.

The price of his shares will rise if TouchTech issues additional shares of stock.

The Dow Jones Industrial Average is an example of a stock exchange where he can purchase TouchTech stock.

Expectations of a recession that will reduce economy-wide corporate profits will likely cause the value of Paolo's shares to decline.

Alternatively, Paolo could invest by purchasing bonds issued by the U.S. government.

Assuming that everything else is equal, a corporate bond issued by an electronics manufacturer most likely pays a ____ (lower/higher) interest rate than a municipal bond issued by a state.

Owl Vision Corporation (OVC) is a North Carolina corporation engaged in the manufacture and sale of contact lenses and other optical equipment. The company handles its export sales through sales branches in Belgium and Singapore. The average tax book value of OVC’s assets for the year was $220 million, of which $176 million generated U.S. source income and $44 million generated foreign source income. The average fair market value of OVC’s assets was $264 million, of which $198 million generated U.S. source income and $66 million generated foreign source income. OVC’s total interest expense was $22 million. (Enter your answers in millions.)   a. What amount of the interest expense will be apportioned to foreign source income under the tax book value method? (Round your final answer to 1 decimal place.) b. What amount of the interest expense will be apportioned to foreign source income under the fair market value method? (Do not round intermediate calculations. Round your final answer to 2 decimal places.) c. If OVC wants to maximize its foreign tax credit limitation, which method produces the better outcome?

Fair market value method

Tax book value method

37/ Madison Corporation purchased 40% of Jay Corporation for $400,000 on January 1. On June 20 of the same year, Jay Corporation declared total cash dividends of $100,000. At year-end, Jay Corporation reported net income of $500,000. The balance in Madison Corporation's Long-Term Investment-Jay Corporation account as of December 31 should be:

Multiple Choice

$640,000.

$240,000.

$740,000.

$400,000.

$560,000.

38/Segmental Manufacturing owns 30% of Glesson Corp. stock. Glesson pays a total of $51,500 in cash dividends for the period. Segmental's entry to record the dividend transaction would include a:

Multiple Choice

Credit to Cash for $15,450.

Credit to Investment Revenue for $51,500.

Credit to Long-Term Investments for $15,450.

Debit to Cash for $51,500.

Debit to Long-Term Investments for $15,450.

39/ If the exchange rate for Canadian and U.S. dollars is 0.83777 to 1, this implies that 4 Canadian dollars will buy ____ worth of U.S. dollars. (Select the nearest answer.)

Multiple Choice

$0.20944

$0.83777

$1.83777

$3.35108

None of these.

40/ A company had net income of $41,000, net sales of $310,000, and average total assets of $210,000. Its profit margin and total asset turnover were respectively:

Multiple Choice

2.02%; 1.48.

13.23%; 1.48.

13.23%; 0.20.

1.48%; 13.23.

1.48%; 0.20.

Why does a quota generate a larger loss to the importing country than a tariff that restricts imports to the same quantity?

(b) Some U.S. politicians claim that China’s trade policies are unfair to the United States, and that a large tariff should be placed on Chinese imports to protect U.S. workers and industries. Why might such a policy sound better than it actually is in practice? What are the dangers of imposing large taxes on Chinese imports?

1. Describe the razor-and-blades business model.

2. How and why do U.S. razor consumers differ from razor consumers in India?

3. How did Gillette’s product development process differ for the Gillette Guard when compared to its previous product development processes?

4. Should Gillette release the Gillette Guard in the U.S.? Should it release the product in other low-income countries besides India?

3) Consider the supply-demand framework for the British pound relative to the U.S. dollar shown in the chart. The equilibrium exchange rate based on both the supply (S) and the demand (D) is $1.90/£. Please ignore the demand curve D’. However, if the current market exchange rate is $1.80/£, does the U.S experience the trade deficit or surplus with the U.K. Moreover, explain your answer based on both the demand and the supply for the pound. (30points

Based on the Covered Interest Parity (CIP), what should be the 90-day forward rate, F_£/US$, today on 6 April 2016 (the contract matures on 5 July 2016)? Use the exact equation of the CIP.??

2016-04-06

U.S. Dollars to One British Pound: 1.4162

3-Month Effective Interest Rate for U.S. Dollar: 0.15765

3-Month Effective Interest Rate for British Pound: 0.14703