Question 1
ok...J. Oliver "P4-2A Book Financial Accounting The adjusted trial balance columns of the worksheet for Porter Company are as follows. PORTER COMPANY Worksheet For the Year Ended December 31, 2008 Adjusted Account Trial Balance No. Account Titles Dr. Cr. 101 Cash 18,800 112 Accounts Receivable 16,200 126 Supplies 2,300 Prepare worksheet, financial statements, and adjusting and closing entries. (SO 1, 2, 6) (a) Adjusted trial balance $57,800 (b) Net income $6,680 Total assets $48,730 Complete worksheet; prepare financial statements, closing entries, and post-closing trial balance. Instructions (a) Complete the worksheet by extending the balances to the financial statement columns. (b) Prepare an income statement, a retained earnings statement, and a classified balance sheet. $10,000 of the notes payable become due in 2009. No additional issuance of common stock occurred during 2008. (c) Prepare the closing entries. Use J14 for the journal page. (d) Post the closing entries. Use the three-column form of account. Income Summary is account No. 350. (e) Prepare a post-closing trial balance.,$25 - Done Thanx,Problems: Set A 183 Account Trial Balance No. Account Titles Dr. Cr. 101 Cash 18,800 112 Accounts Receivable 16,200 126 Supplies 2,300 130 Prepaid Insurance 4,400 151 Office Equipment 44,000 152 Accumulated Depreciation?Office Equipment 20,000 (Cr.) 200 Notes Payable 20,000 (Cr.) 201 Accounts Payable 8,000(Cr.) 212 Salaries Payable 2,600 (Cr.) 230 Interest Payable 1,000 (Cr.) 311 Common Stock 30,000 320 Retained Earnings 6,000 332 Dividends 12,000 400 Service Revenue 77,800 610 Advertising Expense 12,000 631 Supplies Expense 3,700 711 Depreciation Expense 8,000 722 Insurance Expense 4,000 726 Salaries Expense 39,000 905 Interest Expense 1,000 Totals 165,400 165,400 (a) Complete the worksheet by extending the balances to the financial statement columns. (b) Prepare an income statement, a retained earnings statement, and a classified balance sheet. $10,000 of the notes payable become due in 2009. No additional issuance of common stock occurred during 2008. (c) Prepare the closing entries. Use J14 for the journal page. (d) Post the closing entries. Use the three-column form of account. Income Summary is account No. 350. (e) Prepare a post-closing trial balance
Question 2
1) Sanchez Company sold land for $100,000 to Belita Sanchez, who owns 60 percent of the outstanding stock of Sanchez. The company?s adjusted basis in the land is $120,000. a. Compute the company?s realized and recognized gain or loss on the sale of the land. b. What is Belita?s adjusted basis in the land? c. If Belita sold the land for $90,000 two years after she purchased it, compute her realized and recognized gain or loss. d. If Belita sold the land of $105,000 two years after she purchased it, compute her realized and recognized gain or loss. e. If Belita sold the land for $145,000 two years after she purchased it, compute her realized and recognized gain or loss. 2) Lopez Company transfers a computer used in its business that has an adjusted basis of $300 and an FMV of $1,000 to Greene Company and receives in exchange a laser printer with an FMV of $600 that it will use in its business and cash of $400. a. Calculate Lopez?s realized and recognized gain or loss. b. What is Lopez?s basis in the laser printer? 3) Garrison Corporation transfers unimproved land to Rucker Corporation and receives in exchange improved land with an FMV of $600,000 and $250,000 of cash. Rucker?s adjusted basis in the improved land is $750,000. Garrison?s adjusted basis in the unimproved land is $400,000 and the FMV of the land is $900,000. At the time of the exchange Garrison?s unimproved land is subject to a $200,000 mortgage that Rucker assumes. Rucker?s improved land is subject to a mortgage of $150,000 that Garrison assumes. a. Compute Garrison?s realized and recognized gain or loss on the exchange of the unimproved land and its basis in the newly acquired improved land. b. Compute Rucker?s realized and recognized gain or loss on the exchange of the improved land and its basis in the newly acquired unimproved land. 4) The business equipment of Connor Corporation was destroyed in a fire. The insurance company reimburses Connor $221,000. At the time of the fire, the adjusted basis in the equipment was $171,000. Two months after received the insurance proceeds, Connor Corporation purchases similarly functioning equipment that costs $215,000. a. Compute Connor?s realized and recognized gain or loss from the casualty. b. What is Connor?s basis in the new equipment/ 5) Grossman Company received land with a fair market value of $90,000 and $10,000 in cash from Francona Company. In exchange, Grossman transferred land to Francona that had an FMV of $100,000 and an adjusted basis of $130,000. a. Calculate the gain or loss that Grossman realized on the exchange. b. How much of Grossman?s realized gain or loss is recognized? c. What is Grossman?s adjusted basis in the land it received from Francona?
Question 3
Intermediate Accounting Questions,Dear sir, I was looking through your answer and have a few questions. 1) For question 1 (Long term investments). How did you get $8350 and $108530 in part (i)? How did you get the numbers $6300, $121.17, $6000, and $421.17 in part (iii)? 2) For question 2 (Notes Receivable), how did you get $23,150 in part (i)?,Dear sir, I still have a few questions that I need clarification in. 1) For question 1 (Long term investments) part (iii), how did you get $6000? You used it in the January 1,2006 entry for 8% bonds A/c and also in calculating premium ob bond payable=6421-6000. Did you just use $100000*6%? Please explain. 2) For question 1 (Long term investments), why are you using face value of $1000? Shouldn't it be $100,000? I am using the business/financial calculator sharp EL-738. I used PMT=100000*(8%/2)=-4000, i=6%/2=3%, n=5*2=10, and FV=-100,000, and got PV=108,530.20. Also how would I calculate the loss on sale of bond in part (iii) if I didn't use the face value of $1000? You divided by 1000 to get 6421. How would I get this amount using the financial calculator? Please explain. 3) For question 2 (Notes receivable), can you explain how to get the $23,150 amount using the financial calculator again? I am using BGN function, and i=9%, n=4, and PV=75000, but I am not getting PMT=23150? How do you get PMT=23150? Please explain. Thank you.
Question 4
This part of the question is based on the information from Problem 6-18 in the textbook. Question 1 To minimize total inventory cost, Lila should order ___ number 6 screws per order. (Please round to an integer and include no units.) Question 2 Based on the calculation in Question 1, Lila needs to make _____ orders per year. Question 3 Based on the calculation in Question 2, Lila's total ordering cost is _____ per year. (Please round to a whole dollar.) Question 4 Based on the calculation in Question 1, Lila's average inventory is _____. (Please round to an integer and include no units.) Question 5 Based on the calculation in Question 4, Lila's total holding cost is ______ per year. (Please round to a whole dollar.) This part of the question is based on the information from Problem 6-23 in the textbook. Question 6 If the carry cost were 10% of the cost, then the optimal order quantity would be _______ pairs of sandal. (Please round to an integer and include no units.) Question 7 If the optimal order quantity were 100 pairs of sandal, the carry cost should be _____ percent of the cost. (Please round to a whole percentage.) This part of the question is based on the information from Problem 6-25 and 6-26 in the textbook. Questions are for Problem 6-26 only. Question 8 The daily demand rate for Rose White's machine shop is _____ . (Please round to an integer and include no units.) Question 9 The optimal production quantity for Rose White's machine shop is _______ . (Please round to an integer and include no units.) Question 10 Given the optimal production quantity calculated above, it will take ______ days for Rose White's machine shop to produce the optimal production quantity. (Please round to one decimal point and include no units.) Question 11 During the time producing the optimal quantity, (based on your calculation in Questions 8 and 10), there will be about ______ brackets sold. (Please round it to an integer and include no units.) Question 12 If Rose uses the optimal production quantity calculated above in Question 9, the maximum inventory level would be ______ , the average inventory level would be _____ , and the annual holding cost would be ______ . (Please round to an integer and include no units.) Question 13 If Rose uses the optimal production quantity calculated above in Question 9, there would be about _____ production runs each year. Hence, the total annual setup cost is ______ and the total annual inventory cost, including the cost of production is ______ . (Please round to an integer and include no units.) Question 14 If the lead time is one-half day, the reorder point (ROP) is ______ units. (Please round to an integer and include no units.)
Question 5
I have attach the word documetn.Let me know if this works thanks,Did the attachment work? Let me know if there is anything else I can do,Hi, There are a couple of questions that were not answered in the word document here are the questions: jiminy's Cricket Farm issued a 30-year, 8 percent semi-annual bond 4 years ago. The bond currently sells for 94 percent of its face value. The book value of the debt issue is $21 million. The company's tax rate is 34 percent, and the bond has a YTM of 8.58%. In addition, the company has a second debt issue on the market, a zero coupon bond with 4 years left to maturity; the book value of this issue is $81 million and the bonds sell for 77 percent of paR. What is the company's total book value of debt? A)126,240,000 B) 127,050,000 C) 76,950,000 D) 82,110,000 E) 102,000,000. What is the company's total market value of debt? a)102,000,000 B) 82,110,000 C) 86,215,500 C) 85,394, 400 D)78,004,500. What is your best estimate of the aftertax cost of debt (leave as an APR) A) 4.46% B)5.3% C)5.05% D)3.55% E) 4.69 Johnson Tire Distributors has an unlevered cost of capital of 12 percent, a tax rate of 34 percent, and expected earnings before interest and taxes of $1,500 in perpetuity. The company has $2,900 in bonds outstanding that have a 6 percent coupon and pay interest annually in perpetuity. The bonds are selling at par value. What is the cost of equity? A) 11.05 percent B) 13.81 percent C) 12.43 percent D) 8.29 percent E) 9.67 percent You currently own 600 shares of JKL, Inc. JKL is an all equity firm that has 75,000 shares of stock outstanding at a market price of $40 a share. The company's earnings before interest and taxes are $140,000. JKL has decided to issue $1 million of debt at 8 percent interest. This debt will be used to repurchase shares of stock. How many shares of JKL stock must you sell to unlever your position if you can loan out funds at 8 percent interest? Ignore taxes. A)120 SHARES B)150 SHARES C)180 SHARES D)200 SHARES E)250 SHARES The June Bug has a $19,000,000 bond issue outstanding. These bonds have a 10 percent coupon, pay interest semiannually in perpetuity, and have a current market price equal to 98.6 percent of face value. The tax rate is 39 percent. What is the amount of the after-tax annual interest payment made by the firm? A)1,154,000) B) 1,209,000 C) $3,948 D) 1,159,000 E) 1,174,000 the solution for the following problem is not included in the options provided Douglass & Frank has a debt-equity ratio of 3.0. The pre-tax cost of debt is 6 percent while the unlevered cost of capital is 21 percent. What is the cost of equity if the tax rate is 39 percent? A51.45% B) 15.92% C) 48.45%D) 12.40% E) 21.00% Solution provided: Return on assets = (D/V)*RD + (E/V)*RE 16.1% = (0.72/1.72)*8.7% + (1/1.72)*Cost of equity 16.1% - 3.64% = (1/1.72)*Cost of equity Cost of equity = 12.46%*1.72 = 21.43%
