...Financial Reporting Problem, Part 1 XACC/290 Financial Reporting Problem, Part 1 I chose to use the company I work for to complete this assignment. It gives me a better insight as to how the company does financially. Although this is nationally and while it does include what my particular shop contributes it is a total combination of all the company owned shops as well as franchised shops. Dunkin Donuts is a well know coffee, donut and pastry shop, with shops throughout the U.S. and abroad. The last two reporting periods are March 29, 2014 and June 28, 2014 and are as follows. Dunkin’ Brands Group Inc. reported (all reported in thousands) $3,104,491 in total assets at the end of the last reporting period, June 28, 2014. This information is important as it shows a snap shot of how well the company is doing financially. As I had already stated this is a snap shot of all of the Dunkin Donuts shops throughout the world, both brand owned and franchised shops. Investors and stock holders would most likely do well investing in this company. They have the means to repay any loans that are awarded to them. The reported total assets in the last reporting period was at (reported in thousands) $3,136,320, so there was a slight dip in assets from the last reporting period. The report goes on to show that the Brand reported at total of (in thousands) $176,381 in cash and cash equivalent at the end of the reporting period dated June 28, 2014. This again is a dip from the previous...
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...CH2 P4 Patel Rentals, Inc. Patel Rentals, Inc. Patel Rentals, Inc. GENERAL JOURNAL GENERAL LEDGER TRAIL BALANCE June 30, 2013 Date Account Titles Debit Credit Assets Liabilities & Stockholders' Equity Revenue & Expenses 6/2 Owners Capital 14,400 Debit Credit Cash 14,400 Cash Accounts Payable Rental Revenue 6/3 Supplies 300 6/2 14,400 6/3 300 6/4 2,600 6/13 1,940 Cash $2,620 Cash 300 6/23 220 6/4 2,400 6/27 1,920 6/4 Bicycles 2,400 6/5 5,800 Bal. 2,600 Accounts Receivable 0 Cash 2,400 6/8 800 Bal. 0 Accounts Payable 2,600 6/10 150 Supplies 600 6/5 Shed 5,800 6/13 1,940 Cash 5,800 6/17 300 Shed 800 6/8 Shed Shipping 800 6/18 110 Cash 800 6/25 200 Bicycles 2,400 6/9 No Entry Bal. 2,620 Accounts Payable 2,600 6/10 Maintenance Expense 150 Accounts Receivable Owners Capital Wages Expense Cash 150 6/23 220 6/2 14,400 6/29 480 Owners Capital 0 6/13 Rental Revenue 1,940 Cash 1,940 Bal. 0 Bal. 0 Bal. 480 Withdrawal 1,000 6/17 Supplies 300 Cash 300 Supplies Withdrawal...
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...Solutions to Problems and Exercises Table of Contents Chapter 1 5 CA 1-4 5 CA 1-6 5 CA 1-8 6 CA 1-10 7 CA 1-12 8 CA 1-17 9 Chapter 2 10 CE2-2 10 CE2-3 10 EXERCISE 2-2 11 EXERCISE 2-3 12 EXERCISE 2-4 13 CA 2-4 13 Chapter 3 15 EXERCISE 3-6 15 EXERCISE 3-10 16 EXERCISE 3-13 19 EXERCISE 3-15 19 EXERCISE 3-20 20 Chapter 4 22 PROBLEM 4-1 22 PROBLEM 4-3 25 PROBLEM 4-5 27 PROBLEM 4-7 29 Chapter 5 31 PROBLEM 5-2 31 PROBLEM 5-4 34 Chapter 6 37 EXERCISE 6-3 37 EXERCISE 6-6 38 Chapter 7 39 PROBLEM 7-2 39 PROBLEM 7-4 41 PROBLEM 7-9 43 PROBLEM 7-11 46 EXERCISE 7-25 48 EXERCISE 7-26 50 Chapter 8 52 EXERCISE 8-23 52 EXERCISE 8-25 53 PROBLEM 8-5 55 PROBLEM 8-11 59 Chapter 9 62 PROBLEM 9-1 62 EXERCISE 9-7 64 EXERCISE 9-9 66 PROBLEM 9-4 67 PROBLEM 9-6 68 Chapter 17 70 EXERCISE 17-6 70 Chapter 18 71 PROBLEM 18-1 71 PROBLEM 18-4 74 PROBLEM 18-6 76 PROBLEM 18-7 79 PROBLEM 18-8 81 EXERCISE 18-20 82 EXERCISE 18-21 82 Chapter 22 84 EXERCISE 22-2 84 EXERCISE 22-8 84 EXERCISE 22-11 84 Chapter 23 86 EXERCISE 23-11 86 EXERCISE 23-13 88 EXERCISE 23-15 90 Chapter 1 CA 1-4 It is not appropriate to abandon mandatory accounting rules and allow each company to voluntarily disclose the type of information it considered important. Without a coherent body of accounting theory and standards, each accountant or enterprise would have to develop its own theory structure and set of practices, and readers of financial...
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...CHAPTER 17 Investments EXERCISE 17-2 (10–15 minutes) (a) January 1, 2013 Debt Investments $300,000 Cash $300,000 (b) December 31, 2013 Cash $36,000 Interest Revenue $36,000 (c) December 31, 2014 Cash $36,000 Interest Revenue $36,000 EXERCISE 17-5 (20–30 minutes) (a) Schedule of Interest Revenue and Bond Discount Amortization Straight-line Method 9% Bond Purchased to Yield 12% |Date |Cash Received |Interest Revenue |Bond Discount Amortization |Carrying Amount of Bonds | |1/1/13 |— |— |— |$185,589 | |12/31/13 |$18,000 |$22,804 |$4,804 |$190,393 | |12/31/14 |18,000 |$22,804 |$4,804 |$195,197 | |12/31/15 |18,000 |$22,803 |$4,803 |200,000 | **($200,000 – $185,589) ÷ 3 = $4,804 **Rounded by $1. (b) Schedule of Interest Revenue and Bond Discount Amortization Effective-Interest Method 9% Bond Purchased to Yield 12% |Date |Cash Received |Interest Revenue |Bond Discount Amortization |Carrying Amount of Bonds | |1/1/13...
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...Pr. 23-129—Statement of cash flows (direct and indirect methods). Hartman, Inc. has prepared the following comparative balance sheets for 2010 and 2011: 2011 2010 Cash $ 297,000 $ 153,000 Receivables 159,000 117,000 Inventory 150,000 180,000 Prepaid expenses 18,000 27,000 Plant assets 1,260,000 1,050,000 Accumulated depreciation (450,000) (375,000) Patent 153,000 174,000 $1,587,000 $1,326,000 Accounts payable $ 153,000 $ 168,000 Accrued liabilities 60,000 42,000 Mortgage payable — 450,000 Preferred stock 525,000 — Additional paid-in capital—preferred 120,000 — Common stock 600,000 600,000 Retained earnings 129,000 66,000 $1,587,000 $1,326,000 1. The Accumulated Depreciation account has been credited only for the depreciation expense for the period. 2. The Retained Earnings account has been charged for dividends of $138,000 and credited for the net income for the year. The income statement for 2011 is as follows: Sales $1,980,000 Cost of sales 1,089,000 Gross profit 891,000 Operating expenses 690,000 Net income $ 201,000 Instructions (a) From the information above, prepare a statement of cash flows (indirect method) for Hartman, Inc. for the year ended December 31, 2011. (b) From the information above, prepare a schedule of cash provided by operating activities using the direct method. Solution...
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...responsibility for debt payments, even if the property owners default. If the government is liable for payment of special assessment debt in the event of default by the property owners, the transactions are handled as any other general government debt, normally through a debt service fund. PRIVATE-PURPOSE TRUST FUNDS (7.4) A concerned citizen provides resources and establishes a trust with the local government. What factors should be considered in determining which fund to report the trust activities. The factors that should be considered when determining which fund to report is when the benefit is limited to specific private use rather than the general public purposes. INVESTMENT TRUST FUND (7.8) Describe GASB requirements for accounting for Investment Trust Funds. Include (a) a discussion of when the use of investment trust funds is appropriate; (b) the investments to be included and excluded; (c) the basis at which investments are to be reported; (d) reporting of realized and unrealized gains and losses on investments; and (e) financial reporting. The GASB provides requirements for investment pools. First, internal investment pools, which account for investments of the reporting entity, are to be spread out to the funds providing the...
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...Greece’s Accounting Problem Greece is back as a focal point of the world financial crisis. While coming elections are spooking the markets, the supposed cause of the crisis has not changed. Greece has a declared debt of 319 billion euros, or about $369 billion, 175 percent of its 182-billion-euro ($210 billion) gross domestic product. This sounds like a nearly impossible task for any government: to govern effectively, spur economic growth and avoid default. The shackles of the declared Greek debt have effectively paralyzed the country. Yet maybe all of this debt drama is unnecessary. The way this story is usually told, inside and outside Greece, is as a morality play: the profligate Greeks don’t pay taxes and their banks and elites, in turn, rob Greek citizens and foreign investors alike. The Greeks, it seems, need to be held accountable and to pay back their debt at any cost. The brutal and counterproductive response has been austerity. But given Greece’s problems, what the country really needs is transparency and accountability. Greece has a very weak tradition of accounting, with few homebred trained accountants. The government does not use International Public Sector Accounting Standards, or Ipsas, which measure liabilities and assets over time, similar standards to those used by leading governments, businesses, banks and investors at all levels. It’s of little surprise that without internationally verifiable accounting standards, no one feels the need to be accountable...
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...ACCT 8530, ADVANCED ACCOUNTING PROBLEMS Fall 2015 Section 003, 12:30-2:00 PM, Tuesday and Thursday, Greenville ONE Room 603 Suzanne Pearse, CPA. Office: 836 Greenville ONE Office Hours: 9:30-11:00 AM, Tuesday and Thursday and by appointment Office Phone: 864 656-0131 Email: spearse@clemson.edu Required Materials: Text: Hoyle, J. B., Schaefer, T. F, and Doupnik, T. S. Advanced Accounting, 12th ed. (custom print with ConnectPlus access), McGraw-Hill Create, ISBN: 9781308536347. Software: McGraw-Hill Connect Plus Course Description Study of specialized aspects of financial reporting, including business combinations and emerging practices and developments in financial accounting. Prerequisite: Enrollment in the MPAcc program. Course Objectives and Learning Outcomes Students completing this course will demonstrate knowledge and understanding of the financial reporting framework used by business enterprises as it relates to partnerships, variable interest entities, and parent and subsidiary companies. Specifically, you will learn the accounting procedures and reporting requirements for: partnership formation, operation, cessation and liquidation; the treatment of variable interest entities, and combining corporate entities; and the preparation of consolidated financial statements for domestic parents with domestic and foreign subsidiaries...
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...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the Merchandise...
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...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the Merchandise...
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...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the Merchandise...
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...Johnson and Johnson (J&J) is a public company with a calendar year end. J&J manufactures toothpaste that is ultimately purchased and used by consumers. The supply chain consists of the following: • J&J sells its toothpaste to a wholesaler; • Wholesaler sells the toothpaste to a retailer; and • Retailer sells the toothpaste to a consumer. J&J launches a new toothpaste, Shiny Teeth, on September 1, 2012. In connection with this launch, J&J developed a comprehensive marketing campaign. Part of the campaign involves releasing approximately 500,000 coupons in Sunday newspapers in locations in which the new toothpaste will be sold. When a consumer redeems the coupon upon purchasing the product from a retailer, the price charged is reduced by $1. This retailer sends the coupon to a clearinghouse. J&J reimburses the retailer for the discount provided to the customer. J&J discontinues the coupons for this product on October 1, 2012. The coupons expire on October 1, 2013. J&J has not offered coupons on toothpaste before, nor have they offered coupons with a one-year expiration period. They have, however, offered coupons with a six-month expiration date on other products. These coupons had a 1.5 percent redemption rate. J&J estimates that approximately 2 percent of the toothpaste coupons will be redeemed by customers prior to the expiration date. However, J&J does not have any data on the redemption rate for coupons offered on toothpaste. J&J has sold and recognized revenue...
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...ACCOUNTING 211 COMPREHENSIVE PROBLEM 1 BUILDER BOB ASSIGNMENT Click Link Below To Buy: http://hwaid.com/shop/accounting-211-comprehensive-problem-1/ Service Industry: This problem has a value of 10% of the final grade. Objectives: Demonstrate application of Accounting Concepts pertaining to a service company including the following: • Selection of Business Form • Journalization and Posting of Daily Transactions • Creation of Unadjusted Trial Balance • Adjustment of accounts to properly reflect balances at the end of the period. • Creation of Financial Statements • Completion of the Closing Process with appropriate closing entries and posting to T accounts • Determination of Book Value for Fixed Assets • Discussion of the Company’s financial position As you work through this problem please refer to the Penn State rules regarding Academic Integrity. You must cite any source that was used in completing this assignment. PART 1. 5% Bob loves construction and wants to start his own company. He is married, 30 years old and lives with his wife in their house in Goodville. He currently has a full time job for a local architect that supports the family. His dream is to restore old houses and bring them back to their original status. He has saved $20,000 to start this business. He knows nothing about accounting and has hired you to provide him with accounting services as well as guidance in starting this business. The first task is to determine...
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...ACC 206 (Principles of Accounting II) Complete Class All Assignments ,DQs and Problems Click Following Link To get Entire Class http://homework-aid.com/ACC-206-Complete-Class-All-Assignments-DQs-and-Problems-617.htm You can get entire class as well as single Assignments and DQs ACC 206 Week 1 Assignment Chapter 1 Problems ACC 206 Week 1 Assignment Chapter 1 Problems Why are noncash transactions, such as the exchange of common stock a building, included on a statement of cash flows? How are these noncash transactions disclosed? Chapter 1 Exercise 1: 1. Classification of activities Classify each of the following transactions as arising from an operating (O), investing (I), financing (F), or noncash investing/financing (N) activity. and so on... Chapter 1 Exercise 4: 4. Overview of direct and indirect methods Evaluate the comments that follow as being True or False. If the comment is false, briefly explain why. a. Both the direct and indirect methods will produce the same cash flow from operating activities. b. Depreciation expense is added back to net income when the indirect method is used. c. One of the advantages of using the direct method rather than the indirect method is that larger cash flows from financing activities will be reported. d. The cash paid to suppliers is normally disclosed on the statement of cash flows when the indirect method of statement preparation is employed. e. The dollar change in the Merchandise...
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...Significance of the Study These are the following individuals or institutions that will benefit from the findings of the study: Government. This study will provide a basis on making or improving government policies, rules and regulations regarding accounting for negative externalities in the Philippines. Since climate change is a global issue, the government of the Philippines is in need to intervene with institutions or companies that contribute to it. For the local government of Misamis Oriental, this study will help them on having a good picture on what is the accounting practice related to negative externalities of the companies located within the premises. This will help them on deciding to issue a local provisions or city ordinance and implementations in dealing with the current matter. The Society. The society can derive benefits from this study because whatever rules and policies that the government issues, they will be the end recipient. Sustainable developments by companies will also have a great impact on the society particularly on the regulation of activities that will mitigate the negative impact on the environment. Thus, they are able to lessen the burden in paying alone the consequences of the negative externalities emitted by companies. Academe. This particular institution will be benefited by making this study as one of the references in promoting sustainable responsibility to the students of their respective field. As moulder of the future accountants...
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