...industrial valuations and feasibility studies. On 1 January of the current year, the assets and liabilities of the business were the following: Cash, $3200; Accounts Receivable, $4800; Supplies on Hand, $600; and Accounts Payable, $500. The following business transactions occurred during January. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Paid rent for three months, $900. Received $2600 on customers’ accounts. Paid $350 on accounts payable. Received $1500 for services performed for cash customers. Purchased $200 worth of supplies on account. Billed the city for a feasibility study performed, $3200, and various other credit customers, $4300. Paid salary of assistant, $1500. Paid telephone and electricity expense, $150. Withdrew $800 cash for personal use of R.A. Bartlett. Supplies on hand at the end of January amounted to $320. Determined that rent expense for the month was $300 (see transaction 1.). Required a) From data in the first paragraph, prepare a balance sheet equation for R. A. Bartlett, Registered Valuer, as at 1 January of the current year. Use the horizontal form and place the amounts on the first line of the form. The headings should be as follows: Cash, Accounts Receivable, Supplies on Hand, Prepaid Rent, Accounts Payable, and Capital. b) Following the form, show the effects of transactions 1 to 11 on the beginning balance sheet amounts, and total the columns to prove that assets equal liabilities plus owner’s equity as at 31 January. c) Prepare...
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...a book called, The Cell, Inside the 9/11 Plot, and By John J. Miller. I thoroughly enjoy the topic of terrorism and I continually educate myself on this topic. I actually began to read the book the weekend of Sept 11th 2011. The book over all was a very intense book, it went into great details on many avenues of the 9/11 plot and what went wrong. I have written a review of my first hand account of this book and what it means to me. The authors do a very good job of providing an overview of the long string of Islamic fundamentalist attacks on American interests and the homeland, from the Meir Kahane assassination, on November 5, 1990, to the attacks on September 11, 2001. In fact, they trace some of the origins of the reign of terror back to groups like the Black Liberation Army, which ended up overlapping with Muslim fundamentalists groups, helping to train them and to acquire arms. It was actually in 1980, when the BLA, Black Panthers, Weather Underground, and others were engaging in domestic terrorism in and around New York City that the FBI and the New York Police Department formed a Joint Terrorism Task Force. Most of the book follows the work of the JTTF in general and of Agent John O'Neill. Mr. O'Neill, in a bitter irony, had just left the JTTF to take a job as Chief of Security at the World Trade Center when the towers were struck. His stories, and John Miller’s long working relationship with him, provide a first hand account that runs throughout the book and helps...
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...8/4/13 Chapter 1 Results 36% (9 out of 25 correct) Responses to questions are indicated by the symbol. 1. Corporations generally receive more favorable tax treatment than sole proprietorships and corporations. A. True B. False Correct! Sole proprietorships and partnerships generally receive more favorable tax treatment than corporations. 2. Which is not one of the three forms of business organization? A. Sole proprietorship B. Creditorship C. Partnership D. Corporation This is one of three forms of business organization discussed in the chapter. 3. Which is an advantage of corporations relative to partnerships and sole proprietorships? A. Increased difficulty of raising funds B. Harder to transfer ownership C. Reduced legal liability for investors D. Most common form of organization Ownership is easier to transfer in a corporation than in a partnership or proprietorship. 4. Easy transfer of ownership is a characteristic of which form of business organization? A. Sole proprietorship B. Partnership C. Corporation higheredbcs.wiley.com/legacy/college/kimmel/1118162285/self_test/ch01.html?newwindow=true 1/8 8/4/13 Chapter 1 Results D. All of the answer choices are correct Partnerships are effectively dissolved when any portion of the partnership is sold, closed, boughtout by the other partners, or bought by a new partner or partners. 5. In which forms of business organization are the owners personally liable for all the debts of the...
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... | | | | | | |Prepare the entries for purchases and sales of |6, 8 | 3 | 2, 10 |2, 8, *9 |2, 8, *9 | |inventory under a periodic inventory system. | | | | | | |3. Determine the cost of goods sold under a | 5, 7, 8 |4, 5 | 3, 4 | 2 | 2 | |periodic inventory system. | | | | | | |4. Identify the unique features of the income |9 | 5, 6 | 5 | 2, 3 | 2, 3 | |statement for a merchandising company using a | | | | | | |periodic inventory system. | | | | | | |5. Explain the basis of accounting for |10, 11, 12 | 7 |6,...
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...the following exercises 1. Classify the accounts below (e.g. Assets, Liabilities or Stockholders’ Equity) a. Accounts Payable Liability b. Preferred Stock Stockholder Equity c. Office Supplies Assets d. Accounts Receivable Assets e. Machinery Assets f. Notes Receivable Assets g. Cash Assets h. Mortgage Payable Liability i. Inventory Assets 2. Determine the missing amounts. j. Assets $500,000 Stockholders’ Equity $150,000 Liabilities $350,000 k. Stockholders’ Equity $311,000 Liabilities $423,000 Assets $734,000 l. Assets at January 1, 2013 $950,000 Liabilities at January 1, 2013 $345,000 During 2013 Stockholders’ Equity increased by $35,000 Liabilities decreased by $15,000 during 2013 Stockholders’ Equity at December 31, 2013 $640,000 3. Identify the Classified Balance Sheet category for each of the accounts listed in question #1 as one of the following: m. Current Assets Accounts Receivable, Cash, Inventory, Note Receivable, Office Supply n. Property, Plant & Equipment Machinery o. Current Liabilities Accounts Payable p. Long-term Liabilities Mortgage Payable q. None of the above Preferred Stock 4. Compute the Net Realizable Value of the $460,000 of Accounts Receivable if the company estimates its Allowance for Uncollectible Accounts as 1.5% of its Accounts Receivable. $460,000 - $6900 = $453,100 ...
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...Reaction Paper #2 Gary Stansberry This reaction paper is on the eyewitness account from inside the WTC towers on 9/11. It is an article that gives the stories of three unfortunate people who have been scarred for life on account of the events. They both witnessed the terrorist attacks first hand. The first story is from a man named Jonathan Weinberg, who was working in the building on the day of the attacks. He recounts that he had stayed in his office instead of going into a specific conference room that day, and that saved his life. I could not imagine being a part of that. He described the feeling he felt at that moment as shock. I would have been more than shocked, I would have been terrified beyond belief. The next person was Ashton Lee, and she tells her story from the outside of the building. She says that she was outside, and when the tower was struck she started running for her life, because she thought that the building would crush her if she didn’t get out of the way. I could not imagine the fear of being crushed by a building, on top of everyone screaming. I probably would have run until I collapsed. She said she almost fainted at the thought of death, which I would have to agree with her on that. If I had such a close encounter with death I don’t know if I could handle it. Her account was right next to the towers though, there is another story where a man was a distance away from the tragedy. He states that he saw people jumping from the building. I do not know...
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...employees; accrued (owed but not yet paid) taxes; and payments due on loans or mortgages. Capital: The investment in an organization or business by its owner or owners. Other terms often used instead of capital are owners' equity, often abbreviated 0E, and proprietorship. Account: A record of the changes and balances in the value of an individual item listed in the ledger of an organization. An example of an asset account is the company's furniture and fixtures, usually listed as one item since it would be impractical to list every desk and chair. Each account, usually abbreviated а/с, frequently has its own page in the organization's ledger. Double-entry: A method of bookkeeping in which the twofold effect of every entry is recorded, thus requiring two entries to record each transaction. By recording both effects of each transaction, this system offers protection against error. Single-entry: Any bookkeeping system that does not include the complete results of each transaction. It is usually used by small companies or to keep track of specific accounts: for example, a checkbook which only keeps a record of the cash balance. Debit: An amount entered on the left-hand side of an account. Asset and expense accounts...
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...of June: (1) purchased inventory on account for $245,000 (assume Marchetti uses a perpetual inventory system); (2) paid $60,000 in salaries to employees for work performed during the month; (3) sold merchandise that cost $160,000 to credit customers for $300,000; (4) collected $280,000 in cash from credit customers; and (5) paid suppliers of inventory $225,000. | Analyze each transaction and show the effect of each on the accounting equation for the corporation. (Amounts to be deducted should be indicated by a minus sign. Enter the net change for items which affect more than one account in an account category (i.e., assets, liabilities, etc.)) | | | Assets | = | Liabilities | + | Paid-in capital | + | Retained Earnings | (a) | $245,000 | | $245,000 | | | | | (b) | (60,000) | | | | | | (60,000) | (c) | 140,000 | | | | | | 140,000 | (d) | 0 | | | | | | | (e) | (225,000) | | (225,000) | | | | | A company that has a fiscal year-end of December 31: (1) on October 1, $25,000 was paid for a one-year fire insurance policy; (2) on June 30 the company lent its chief financial officer $23,000; principal and interest at 5% are due in one year; and (3) equipment costing $73,000 was purchased at the beginning of the year for cash. | Prepare journal entries for each of the above transactions. (If no entry is required for a particular transaction, select "No journal entry required" in the first account field.) | Transaction | General...
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...get the total probability for the various hands All of your inputs are on the yellow cells (a) The first task is to figure how many chances you have for each pick that will result in a successful hand INPUT: columns B/C/D/E/F (b) Then if any of the events (one of the five cards) has 100% chance then you need multiply the one path by five to account for the parallel paths to a successful hand INPUT: column H (c) Finally, if there are more than one way to get the result (example four of a kind can be done with 13 different cards) then you need to add that number too INPUT: column J Note: this step will be more complicated when dealing with royal hands, and multiple runs. (d) Your final probability will be the percentage in the last column in the “prob” row (I’ve formattesd it such that these all fall in rows 7,17,27, etc) Dice: Use the tab for Dice in the excel file and get the probabilities for all the outcomes when tossing three dice Note: this problem has been started with the first result for the outcomes of 3 and 4 The probability also has been simplified to two events (rather that 3) by using the results from lab H for the rolls for dice #2 and #3… see below (also on your excel file) Outcome | theoretical % | total | possible outcomes (die 1 / die 2) | 2 | 3% | 1 | 1/1 | | | | | | 3 | 6% | 2 | 1/2 | 2/1 | | | | | 4 | 8% | 3 | 1/3 | 2/2 | 3/1 | | | | 5 | 11% | 4 | 1/4 | 2/3 | 3/2 | 4/1 | | | ...
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...following blanks. The first number is answered as an example. 1. If assets increase by P 1, 000 and liabilities remain unchanged, then capital increases by P 1,000. 2. If assets increase by P 500 and capital remains unchanged, then liabilities ________________. 3. If assets decrease by P 200 and liabilities are unchanged, then capital ________________. 4. If assets decrease by P 400 and capital is unchanged, then liabilities ________________. 5. If assets increase by P 100 and liabilities decrease by P 200, then capital ________________. 6. If assets increase by P 250 and liabilities increase by P 400, then capital ________________. 7. If assets increase by P 600 and capital decreases by P 250, then liabilities ________________. 8. If assets increase by P 700 and capital increases by P 100, then liabilities ________________. 9. If liabilities increase by P 450 and capital increases by P 150, then assets ________________. 10. If liabilities increase by P 820 and capital decreases by P 150, then assets ________________. 11. If liabilities decreases by P 270 and capital decreases by P 130, then assets ________________. Test 2 Direction: Classify the following accounts by checking the appropriate column. Assets Liabilities Capital 1. Notes Receivable 2. Accounts Payable 3. Prepaid Rent 4. Unexpired Insurance 5. Cash on Hand 6. Transportation Expense 7. Land 8. Building 9. Interest Income 10. Accumulated Depreciation 11. Office Supplies ...
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...JetBlue Case Study Just 2 years after its inception in April 2002, JetBlue Airways remained profitable and was growing aggressively despite the terrorist attacks that occurred in September 2001. Together with co-lead manager Morgan Stanley, the JetBlue board was ready to set a price range, which they initially decided should be $22-$24, but facing excess demand, they increased the price range from $25 to $26. However, most of the group anticipated huge demand. In 1999, CEO David Neeleman announced his business plan and was convinced it would be successful on account of his strong commitment to innovation in people, policies, and technology. He attracted David Barger, former VP of Continental Airlines, as JetBlue’s president and COO and John Owen, former VP and treasurer of Southwest Airlines, as JetBlue’s CFO. He had strong support by many, especially the venture-capital community. He swiftly raised $130 million in funding from high profile firms such as Weston Presidio Capital, Chase Capital Partners, and Quantum Industrial Partners. The main problem facing JetBlue managers was the pricing policy. Morgan Stanley reported that the deal involved a severe excess of demand. Given this fact, some thought that the current pricing range was too low and that by raising the price, it would instill confidence into the market. In contrast, some thought raising the price would endanger the success of the deal. Management thought a successful offering involved not only raising short-term...
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...materials. Effective physical control of materials involves limiting the access to stored materials, segregating the duties of employees who handle materials and materials reports, and establishing an accurate recording system for materials purchases and issues. Only authorized personnel should be permitted in material storage areas, and procedures for moving materials into and out of these areas should be well established. The following functions of materials control should be segregated to minimize opportunities for employee misappropriation: purchasing, receiving, storage, use, and recording. To ensure the accurate recording of purchases and materials issues, inventory records should document the determination of inventory quantities on hand, and cost records should provide the data needed to assign a cost to inventories to be used in the preparation of financial statements. 2. Controlling the materials inventory investment requires analysis and planning to determine when orders should be placed and the number of units to be ordered. The point at which the predetermined minimum level of inventory is reached, requiring the item to be ordered, is called the order point. Calculating the order point is based on the following: Usage—The anticipated rate at which the materials will be used. Lead time—The estimated time interval between placing the order and receiving the materials ordered. Safety stock—The estimated minimum level of inventory needed...
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...be answered. Questions are worth different marks. This exam paper must not be removed from the exam venue Question 1 (8 marks) The following account balances are from the ledger of S. Gill, architect, at 31 January 2014. The accounts are not listed in any particular order. The firm’s accounting year began on 1 January. All accounts had normal balances. Prepaid Insurance Insurance Expense Supplies on Hand Advertising Expense S. Gill, Capital 1 January Cash Accounts Payable Rent Expense Supplies Expense Electricity Expense Service Fees Accounts Receivable Salaries Expenses S. Gill, Drawings Required: a) Prepare a trial balance from the given data. $ 320 80 560 230 21 000 9 500 480 720 350 140 9 420 16 500 1 800 700 (8marks) Question 2 (20 marks) Firelights Displays is a graphic design firm providing art services to publishers and advertisers. It has the following accounts in its general ledger: Cash Accounts Receivable Supplies on Hand Office Equipment Accounts Payable O. Harper, Capital O. Harper, Drawings Fees Earned Rent Expense Telephone and Electricity Expense Salaries Expense Required Record the following transactions for June in General Journal form. Include narrations June 1 2 3 6 O. Harper invested $18 000 cash to begin the business Paid rent for June $750 Purchased office equipment on account, $6 300 Purchased art materials and other supplies costing $2 100, paid $1 000 down with the remainder due within 30 days. Billed clients for services, $2...
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...TOPIC) Topics 1. Inventory accounts; determining quantities, costs, and items to be included in inventory; the inventory equation; balance sheet disclosure. Perpetual vs. periodic. Recording of discounts. Inventory errors. Flow assumptions. 10, 11 7 12, 13, 16, 18, 20 4 5, 6, 7 Questions 1, 2, 3, 4, 5, 6, 8, 9 Brief Exercises 1, 3 Exercises 1, 2, 3, 4, 5, 6, 10 Problems 1, 2, 3 Concepts for Analysis 1, 2, 3, 5, 11 2. 3. 4. 5. 2 9, 13, 14, 17 7, 8 2, 3, 4, 5, 10, 11, 12 13, 14, 15, 16, 17, 18, 19, 20, 21, 22 18 4, 5, 6 3 2 1, 4, 5, 6, 7 5, 6, 7, 8 4 6. 7. Inventory accounting changes. Dollar-value LIFO methods. 14, 15, 17, 18, 19 8, 9 7 1, 8, 9, 10, 11 6, 7, 10 8, 9 23, 24, 25, 26 8-1 ASSIGNMENT CLASSIFICATION TABLE (BY LEARNING OBJECTIVE) Learning Objectives 1. 2. 3. 4. 5. Identify major classifications of inventory. Distinguish between perpetual and periodic inventory systems. Identify the effects of inventory errors on the financial statements. Understand the items to include as inventory cost. Describe and compare the cost flow assumptions used to account for inventories. Explain the significance and use of a LIFO reserve. Understand the effect of LIFO liquidations. Explain the dollar-value LIFO method. Identify the major advantages and disadvantages of LIFO. Understand why companies select given inventory methods. 8, 9 22, 23, 24, 25, 26 1, 8, 9, 10, 11 Brief Exercises 1 2 4 1, 3 5, 6, 7 4, 9, 13, 16, 17, 18, 20 5, 10, 11, 12 1, 2, 3, 4, 5, 6,...
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...are steeped in mythology and written solely by human hand. Although fundamental differences are present in the two, the Flood in Genesis and "The Epic of Gilgamesh" also feature distinct parallels. At first glance, the discrepancies between "The Epic of Gilgamesh" and the Flood in Genesis appear to overpower any resemblances perhaps perceived as coincidences. However, further inspection uncovers startling similarities in these two accounts of the Great Flood, leading many to believe that the parallels are not coincidences at all. The story of the Flood in Genesis was first written as part of the Old Testament by the Jewish people. However, it is predated by far by the story "The Epic of Gilgamesh," a story that originates in the same area that holds many striking similarities to the tale of the Flood in Genesis. Though the story is modified to accommodate new characters, many properties of the story are similar, from small details like the creatures that are used as scouts to the religious purpose of the flood itself. For example, both the flood stories start with the characters receiving specific building instructions for a ship, which is to be used to spare the lives of one set of pairs of the creatures of the world. The dimensions of the ship undergo some drastic changes however, quite possibly because the dimensions of Utnapishtim's boat are rather unreasonable: “Equal shall be her width and her length…” ( "Epic" 11. 100). Both Utnapishtim and Noah receive a 7 day notice...
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