Assignment Help for Winter Accounting Success

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Assignment Help for Winter Accounting Success

1. In the current year, Azure Company has $350,000 of net operating income before deducting any...

In the current year, Azure Company has $350,000 of net operating income before deducting any compensation or other payment to its sole owner, Sasha. In addition, Azure has interest on municipal bonds of $25,000. Sasha has significant income from other sources and is in the 35% marginal tax bracket. Based on this information, determine the income tax consequences to Azure Company and to Sasha during the year for each of the following independent situations.

a. Azure is a C corporation and pays no dividends or salary to Sasha.

b. Azure is a C corporation and distributes $75,000 of dividends to Sasha.

c. Azure is a C corporation and pays $75,000 of salary to Sasha.

d. Azure is a sole proprietorship, and Sasha withdraws $0.

e. Azure is a sole proprietorship, and Sasha withdraws $75,000.

2. Determine income on an accrual basis.

The following data relate to Jones Company for the year ended December 31, 2009:

Required

a. Determine income on an accrual basis.

b. Determine income on a cash basis.

3. You are the data analyst on the project team building a data warehouse for an insurance company....

You are the data analyst on the project team building a data warehouse for an insurance company. List the possible data sources from which you will bring the data into your data warehouse. State your assumptions.

4. BYP1-7 Steve Morgan, controller for Newton Industries, was reviewing production cost reports for...

BYP1-7 Steve Morgan, controller for Newton Industries, was reviewing production cost reports for the year. One amount in these reports continued to bother him—advertising. During the year, the company had instituted an expensive advertising campaign to sell some of its slower-moving products. It was still too early to tell whether the advertising campaign was successful.

There had been much internal debate as how to report advertising cost. The vice president of finance argued that advertising costs should be reported as a cost of production, just like direct materials and direct labor. He therefore recommended that this cost be identified as manufacturing overhead and reported as part of inventory costs until sold. Others disagreed. Morgan believed that this cost should be reported as an expense of the current period, so as not to overstate net income. Others argued that it should be reported as prepaid advertising and reported as a current asset.

The president finally had to decide the issue. He argued that these costs should be reported as inventory. His arguments were practical ones. He noted that the company was experiencing finan- cial difficulty and expensing this amount in the current period might jeopardize a planned bond offering. Also, by reporting the advertising costs as inventory rather than as prepaid advertising, less attention would be directed to it by the financial community.

Instructions

(a)  Who are the stakeholders in this situation?

(b)  What are the ethical issues involved in this situation?

(c)   What would you do if you were Steve Morgan?

5. The following data are for Marvin Department Store. The account

The following data are for Marvin Department Store. The account balances (in thousands) are for 2011.
Marketing, distribution, and customer-service costs $ 37,000
Merchandise inventory, January 1, 2011 27,000
Utilities 17,000
General and administrative costs 43,000
Merchandise inventory, December 31, 2011 34,000
Purchases 155,000
Miscellaneous costs 4,000
Transportation-in 7,000
Purchase returns and allowances 4,000
Purchase discounts 6,000
Revenues 280,000
Required
1. Compute (a) the cost of goods purchased and (b) the cost of goods sold.
2. Prepare the income statement for 2011.

6. Matthewson Company began operations on January 2, 2012. It emplo

Matthewson Company began operations on January 2, 2012. It employs 9 individuals who work 8-hour days and are paid hourly. Each employee earns 10 paid vacation days and 6 paid sick days annually. Vacation days may be taken after January 15 of the year following the year in which they are earned. Sick days may be taken as soon as they are earned; unused sick days accumulate. Additional information is as follows.


Matthewson Company has chosen to accrue the cost of compensated absences at rates of pay in effect during the period when earned and to accrue sick pay when earned.
Instructions
(a) Prepare journal entries to record transactions related to compensated absences during 2012 and 2013.
(b) Compute the amounts of any liability for compensated absences that should be reported on the balance sheet at December 31, 2012 and2013.

7. Planning and control decisions, Internet company. PostNews.com offers its subscribers several...

Planning and control decisions, Internet company. PostNews.com offers its subscribers several services, such as an annotated TV guide and local-area information on weather, restaurants, and movie theaters. Its main revenue sources are fees for banner advertisements and fees from subscribers. Recent data are as follows:

The following decisions were made from June through October 2017:

a. June 2017: Raised subscription fee to $25.50 per month from July 2017 onward. The budgeted number of subscribers for this monthly fee is shown in the following table.

b. June 2017: Informed existing subscribers that from July onward, monthly fee would be $25.50.

c. July 2017: Offered e-mail service to subscribers and upgraded other online services.

d. October 2017: Dismissed the vice president of marketing after significant slowdown in subscribers and subscription revenues, based on July through September 2017 data in the following table.

e. October 2017: Reduced subscription fee to $22.50 per month from November 2017 onward. Results for July–September 2017 are as follows:

1. Classify each of the decisions (a–e) as a planning or a control decision.

2. Give two examples of other planning decisions and two examples of other control decisions that may be made at PostNews.com.

8. Four different corporation, cancer, libra, sagittarius, and virgo, show the same balance sheet data.

Four different corporation, cancer, libra, sagittarius, and virgo, show the same balance sheet data at the beginning and endof a year. these

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Four different corporation, cancer, libra, sagittarius, and virgo, show the same balance sheet data at the beginning and endof a year. these

9. Farmer Jones must determine whether to plant corn or wheat. If he plants corn and the weather is...

Farmer Jones must determine whether to plant corn or wheat. If he plants corn and the weather is warm, he earns $8,000; if he plants corn and the weather is cold, he earns $5,000. If he plants wheat and the weather is warm, he earns $7,000; if he plants wheat and the weather is cold, he earns $6,500. In the past, 40% of all years have been cold and 60% have been warm. Before planting, Jones can pay $600 for an expert weather forecast. If the year is actually cold, there is a 90% chance that the forecaster will predict a cold year. If the year is actually warm, there is an 80% chance that the forecaster will predict a warm year. How can Jones maximize his expected profits? Also find EVSI

and EVPI.

10. Spiller Corp. plans to issue 10%, 15-year, $500,000 par value bonds payable that pay interest...

If the market rate of interest for the bonds is 8% on the date of issue, what will be the total cash proceeds from the bond issue?

11. management accounting should not fit the straitjacket of financial accounting. (explain)

management accounting should not fit the straitjacket of financial accounting. (explain)

12. (1) The accounting guideline that requires financial statement information to be su

(1) The accounting guideline that requires financial statement information to be supported by independent, unbiased evidence other than someone's belief or opinion is the: Question options: a.Business entity principle. b.Monetary unit principle. c.Going-concern principle. d.Cost principle. (2) Nike had income of $350 million and average invested assets of $2,000 million. Its ROA is: Question options: a.1.8%. b.35%. c.17.5%. d.5.7%. e.3.5%. (3) Which of the following accounting principles would require that all goods and services purchased be recorded at cost? Question options: a.Going-concern principle. b.Continuing-concern principle. c.Cost principle. d.Business entity principle. (4)If assets are $99,000 and liabilities are $32,000, then equity equals: Question options: a.$ 32,000. b.$ 67,000. c.$ 99,000. d.$131,000. e.$198,000. (5)Marian Mosely is the owner of Mosely Accounting Services. Which accounting principle requires Marian to keep her personal financial information separate from the financial information of Mosely Accounting Services? Question options: a.Monetary unit principle b.Going-concern principle c.Cost principle d.Business entity principle (6) The accounting principle that requires accounting information to be based on actual cost and requires assets and services to be recorded initially at the cash or cash-equivalent amount given in exchange, is the: Question options: a.Accounting equation. b.Cost principle. c.Going-concern principle. d.Realization principle. eBusiness entity principle. (7) Ethics: Question options: a.Are beliefs that separate right from wrong. b.And law often coincide. c.Help to prevent conflicts of interest. d.Are critical in accounting. e.All of the above. (8) The financial statement that shows the beginning balance of owner's equity; the changes in equity that resulted from new investments by the owner, net income (or net loss), and withdrawals; and the ending balance, is the: Question options: a.Statement of financial position. b.Statement of cash flows. c.Balance sheet. d.Income statement. e.Statement of owner's equity. (9) The principle that requires every business to be accounted for separately and distinctly from its owner or owners is known as the: Question options: a.Objectivity principle. b.Business entity principle. c.Going-concern principle. d.Revenue recognition principle. e.Cost principle. (10) Net income: Question options: a.Occurs when revenues exceed expenses. b.Is the same as revenue. c.Equals resources owned or controlled by a company. d.Occurs when expenses exceed assets. e.Represents assets taken from a company for an owner's personal use. ________________________________________

13. Discuss the basic accounting problem that arises in handling eac

Discuss the basic accounting problem that arises in handling each of the following situations.
(a) Assets purchased by issuance of capital stock.
(b) Acquisition of plant assets by gift or donation.
(c) Purchase of a plant asset subject to a cash discount.
(d) Assets purchased on a long-term credit basis.
(e) A group of assets acquired for a lump sum.
(f) An asset traded in or exchanged for another asset.

14. Amalia Company received its utility bill for the current period of $700 and immediately paid it. Its...

Amalia Company received its utility bill for the current period of $700 and immediately paid it. Its journal entry to record this transaction includes a

a. Credit to Utility Expense for $700.

b. Debit to Utility Expense for $700.

c. Debit to Accounts Payable for $700.

d. Debit to Cash for $700.

e. Credit to capital for $700.

15. Alvin Inc. planned and actually manufactured 200,000 units of its single product in 2008, its first

Alvin Inc. planned and actually manufactured 200,000 units of its single product in 2008, its first year of operations. Variable manufacturing costs were $30 per unit of product. Planned and actual fixed manufacturing costs were $600,000, and marketing and administrative costs totaled $400,000 in 2004. Alvin sold 120,000 units of product in 2008 at a selling price of $40 per unit.

9.

AlvinAc€?cs 2008 operating income using variable costing is

A) $800,000
B) $600,000
C) $440,000
D) $200,000

10.

AlvinAc€?cs 2008 operating income using absorption costing is

A) $840,000
B) $800,000
C) $440,000
D) $200,000

16. Portland Plastics Inc, has the following data. If it follows the residual dividend policy

Portland Plastics Inc, has the following data. If it follows the residual dividend policy, what is its forecasted dividend payout ratio?

Capital budget $12,500

% Debt 40%

Net income (NI) $9,250

a. 19.68%

b. 23.65%

c. 18.92%

d. 17.22%

e. 15.70%

17. show steps

On March 12, Medical Waste Services provides services on account to Grace Hospital for $10,000, terms 3/10, n/30. Grace pays for those services on March 20

18. The tobacco companies have paid billions because of smoking-related illnesses. In particular,...

The tobacco companies have paid billions because of smoking-related illnesses. In particular, Philip Morris, a leading cigarette manufacturer, paid more than $3,000,000,000 in settlement payments in one year.

Requirements

1. Suppose you are the chief financial officer (CFO) responsible for the financial statements of Philip Morris. What ethical issue would you face as you consider what to report in your company's annual report about the cash payments? What is the ethical course of action for you to take in this situation?

2. What are some of the negative consequences to Philip Morris for not telling the truth? What are some of the negative consequences to Philip Morris for telling the truth?

Instructions:Your initial response should be no less than 250 words.. In-text citations and references may be in APA format

19. Dave Czarnecki is the managing partner of Czarnecki and Hogan, a medium-sized local CPA firm...

Dave Czarnecki is the managing partner of Czarnecki and Hogan, a medium-sized local CPA firm located outside of Chicago. Over lunch, he is surprised when his friend James Foley asks him, “Doesn’t it bother you that your clients don’t look forward to seeing their auditors each year?” Dave responded, “Well, auditing is only one of several services we provide. Most of our work for clients does not involve financial statement audits, and our audit clients seem to like interacting with us.”

a. Identify ways in which a financial statement audit adds value for clients.

b. List other services other than audits that Czarnecki and Hogan likely provides.

c. Assume Czarnecki and Hogan has hired you as a consultant to identify ways in which they can expand their practice. Identify at least one additional service that you believe the firm should provide and explain why you believe this represents a growth opportunity for CPA firms.