Question 1
The accrual basis Four Winds Partnership owned and operated three storage facilities in Milwaukee, Wisconsin. The partnership did not have a section 754 election in effect when partner Suzanne sold her 25% interest to Paul for $250,000. The partnership has no debt. There are no section 197 assets, and no depreciation recapture potential exists on the storage facility buildings. ? At the time of the transfer, the partnership?s assets bases and fair market values were as follows Basis Fair Market Value Cash $50,000 $50,000 Accounts Receivable $150,000 $150,000 Storage facility #1 $500,000 $200,000 Storage facility #2 $400,000 $500,000 Storage facility #3 $300,000 $100,000 Total assets ??$1,400,000 $1,000,000 The value of two of the properties is less than the partnership?s basis because of downturns in the real estate market in the area. Paul?s share of the inside basis of partnership assets is $350,000, and his share of the fair market value of partnership assets is $250,000. Write 3-4 double-spaced pages that address each of the following requirements. a. What adjustment is required regarding Paul?s purchase of the partnership interest? Must a section 754 election be made? b. Using the basis allocation rules of section 755 and the Regulations thereunder, calculate the amount of the total adjustment to be allocated to each of the partnership?s assets. c. Would an adjustment be required if the partnership was a venture capital firm and, instead of storage facilities, its three primary assets were equity interests owned in target firms? What requirements would have to be satisfied in order to avoid making a basis adjustment? Use the online access code for the Checkpoint Student Edition to locate, cite, and discuss at least one source to support your conclusion.
Question 2
Module 5 - Case Correlational Methods Please read the following article. Note: There is a second study at the bottom of that article -- you can ignore that one (about the effect of green buildings). Pati, S., Mohamad, Z., Cnaan, A., Kavanagh, J., & Shea, J.. (2010). Influence of Maternal Health Literacy on Child Participation in Social Welfare Programs: The Philadelphia Experience. American Journal of Public Health, 100(9), 1662-5. Retrieved November 6, 2010, from Proquest. Write a 1 - 2 page essay naming at least 3 possible confounding factors that would make it difficult to establish a causal connection between maternal health literacy and child participation in welfare programs. Explain why you think they would be confounding factors. Please refrain from stating opinions on this issue; just name and describe the variables that would confound the findings. ASSIGNMENT EXPECTATIONS: Please read before completing assignments. ? Assignment should be approximately 1 - 2 pages in length (double-spaced). ? Please use major sections corresponding to the major points of the assignment, and where appropriate use sub-sections (with headings). ? Remember to write in a Scientific manner (try to avoid using the first person except when describing a relevant personal experience). ? Quoted material should not exceed 10% of the total paper (since the focus of these assignments is on independent thinking and critical analysis). Use your own words and build on the ideas of others. ? When material is copied verbatim from external sources, it MUST be properly cited. This means that material copied verbatim must be enclosed in quotes and the reference should be cited either within the text or with a footnote. ? Use of peer-reviewed articles is strongly recommended. Websites as references must be credible and should be minimal. ? Cite references within the body of the paper as well as listing them at the end. Use APA style.,I have attached the article again just in case. All that is required is to read the article and complete the following: Write a 1 - 2 page essay naming at least 3 possible confounding factors that would make it difficult to establish a causal connection between maternal health literacy and child participation in welfare programs. Explain why you think they would be confounding factors. Please refrain from stating opinions on this issue; just name and describe the variables that would confound the findings.
Question 3
Final exam Managerial Accounting The exam comprises two parts: Part 1. Managerial data (30 points) and Part 2. Financial data (20 points) Please write your answers after my questions here and don?t delete the questions. Please make sure you answered the questions and show your work in order to get points. Part 1: Managerial data (30 points) Please go to the Cleveland Clinic?s webpage at http://my.clevelandclinic.org/default.aspx 1. Please click on the grey tab ?Institute and services? and choose one department (example: Anesthesiology). 2. For the department you chose in the previous step, please investigate what are the activities they perform in that department. You are supposed to do this by clicking on the department you choose and then read the information they give you on the website. You will identified at least 5 activities they run in that department (5 points, 1 point for each activity identified) 3. For each activity identified please find the cost driver (5 points, 1 point for each cost driver identified) 4. Please take the first activity you identified previously in q1 and list the potential resources needed for doing this activities. Please identify these resources using your expertise in this area. Most probably you will not be able to find this information on their website. (5 points) 5. Take one of the resources you identified in the previous step (q4). If you would be asked to estimate a value for this resource, what would be the method you would use to do this estimation? Please explain your choice. (5 points) 6. Supposing you are the manager of the department you chose here in q1 and you are asked to implement the Balanced Scorecard in your department. Please write down here how you would do this: a). would you use all the perspectives presented in theory? Please explain. b). what would be the performance measures you will use in your department? Please explain your reasons for choosing them, c). How often would you monitor the performance measures? value and why? (10 points) Part 2: Financial data (25 points) Please open the file Financial Statements Cleveland Clinic posted here in Moodle and answer the questions: 7. Did the Cleveland Clinic?s operating income increased from 2010 to 2011? By how much (please express the value in percentages)(Show work to receive your grade)(5 points) 8. Did the excess of revenues over expenses increased or decreased in 2011 compared with 2010? By how much? (Show work to receive your grade)(5 points) 9. Compare the operating income with the excess over expenses for 2011 and 2010. What do you notice? Please explain how they got in this situation (5 points) 10. Did the clinic invest in property, plant and equipment? Several elements in the financial reports indicates you the answer. Please name: a). the element in the Consolidated Balance Sheet that gives you this information b). the element in the Consolidated Statements of Operations (page 4) that indicates you this information. (5 points)
Question 4
1. A firm has four divisions-food, cookware, retail, and credit services- that generate revenues of $1.5 million, $3.8 million, $5.7 million, and $3.1 million, respectively. Compute the Herfindahl index (HI) for the firm. The firm is considering the purchase of a rival retailer, which would increase the retail division?s revenues by another $3.2 million. The firm is also considering selling its credit services divisions. Assuming these two actions occur, what will the HI become? What is the HI if the sale of the credit division does not occur but the rival is acquired? Mini Case- Mergers, Corporate Control, and Corporate Governance Jackson Enterprise (JE) is offering a 25% takeover premium to Michael Studios, Inc. (MSI) for the firm?s 2 million outstanding shares, which are currently trading for a pre-offer price of $20 per share. The balance sheet for MSI is: Assets Liabilities Current $15,000,000 Current $7,500,000 Food 45,000,000 Long-term 25,000,000 Total 60,000,000 Total 32,000,000 Owner?s Equity $27,500,000 Total liabilities 60,000,000 & equity The market value of MSI?s fixed assets is $60,000,000. The sales (in millions) for the industry by company are: Sales ABC $89 CWC 66 DEF 35 JE 45 KOJ 42 MSI 18 SEE 76 1. Determine the amount Jackson Enterprise is willing tyo pay in terms of goodwill. 2. If JE?s shares are currently trading at $62.43, then how many shares should JE offer for every share of MSR? 3. Assuming that MSI will be treated as a separate reporting subsidiary following the merger, develop the balance sheet for the subsidiary. 4. Calculate the Herfindahl Index for the industry both before and after the proposed merger.
Question 5
AC556 Week 5 Problem Cash Budget Note: It is expected that this problem will be complete using an Excel spreadsheet using formulas. Please see the Excel Tutorial that is available under the course home tab. The Hale Company is currently working on its cash budget for the coming year. The following information is available: Projected sales for the coming year: Month Projected Sales January $850,000 February 750,000 March 730,000 April 850,000 May 830,000 June 750,000 July 900,000 The collection history of the Hale Company has been as follows: ? 20% of sales are collected in the month of the sale. ? 60% of the sales are collected in the month following the sale. ? 12% of the sales are collected in the 2nd month following the sale. ? 5% of the sales are collected in the 3rd month following the sale. The following information regarding costs is available: ? The cost of goods sold is 54% of sales ? Items for sale are purchased in the month of the sale. ? 80% of accounts payable are paid in the month following when the cost is incurred. ? 20% of accounts payable are paid in the 2nd month following when the cost is incurred. ? Wages are 28% of sales and are paid currently ? Annual general and administrative costs are $1,411,200 and are incurred evenly throughout the year. ? Annual property taxes are $14,000 and are paid semi annually in June and October. ? A $10,000 cash capital purchase will be made in April. The beginning cash balance in April is expected to be $47,000. The Hale Company has a policy of maintaining a minimum cash balance of $45,000. The company has an arrangement with a local bank for a line of credit that carries a 10% annual interest rate. If the ending monthly balance falls below $45,000, the company will borrow against the line of credit so that the minimum balance can be maintained. If the company has borrowed against the line of credit and a cash balance is expected to be above $45,000 at the end of a particular month, then repayments will be made bringing the cash balance down to $45,000. Interest on the line of credit is paid monthly. Assume that all line of credit transactions occur on the last day of the month. Required: Prepare a cash budget for the Hale Company for the 2nd quarter of the year. Include April, May, June, and a quarter total in your budget.,I have worked on it. I am searching to find out if my answers are correct. I review several times. Please see attached and advice.,Thank you very much. In the collection in the second month the percentage is 12% not 15%. Please see attached. Did you get the solution spreadsheet I worked on yesterday. I have another assignment I will be submiting also. I truly appreciate your help it has been great.
