Question 1
"After researching the different forms of business organization, Natalie Koebel decides to operate ?Cookie Creations? as a proprietorship. She then starts the process of getting the business running. In November 2009, the following activities take place. November Transactions Nov. 8 Natalie cashes her U.S. Savings Bonds and receives $520, which she deposits in her personal bank account. 8 She opens a bank account under the name ?Cookie Creations? and transfers $500 from her personal account to the new account. 11 Natalie pays $165 to have advertising brochures and posters printed. She plans to distribute these as opportunities arise. (Hint: Use Advertising Supplies.) 13 She buys baking supplies, such as flour, sugar, butter, and chocolate chips, for $125 cash. 14 Natalie starts to gather some baking equipment to take with her when teaching the cookie classes. She has an excellent top-of-the-line food processor and mixer that originally cost her $750. Natalie decides to start using it only in her new business. She estimates that the equipment is currently worth $300. She invests the equipment in the business. 16 Natalie realizes that her initial cash investment is not enough. Her grandmother lends her $2,000 cash, for which Natalie signs a note payable in the name of the business. Natalie deposits the money in the business bank account. (Hint: The note does not have to be repaid for 24 months.As a result,the note payable should be reported in the accounts as the last liability and also on the balance sheet as the last liability.) 17 She buys more baking equipment for $900 cash. 20 She teaches her first class and collects $125 cash. 25 Natalie books a second class for December 4 for $150. She receives $30 cash in advance as a down payment. 30 Natalie pays $1,320 for a one-year insurance policy that will expire on December 1, 2010. Instructions (a) Use the journal template provided and prepare journal entries to record the November transactions. Remember to use correct journal entry formatting. (b) Post the journal entries to general ledger accounts. Remember to use correct posting references. Also, note that we do not use descriptions in the ledger account "description" column for regular journal entry postings. (c) Prepare a trial balance at November 30. Be sure to total the columns of your trial balance. Do NOT include accounts that do not have a ledger balance. (d) Submit your completed CCC2 file to the dropbox for grading and feedback. (e) Make noted corrections before beginning CCC3. Chapter 3 - CCC3 Open your corrected CCC2 file. Complete the required CCC3 activities. Note: For transaction 3, round depreciation to the nearest dollar. It is the end of November and Natalie has been in touch with her grandmother. Her grandmother asked Natalie how well things went in her first month of business. Natalie, too, would like to know if she has been profitable or not during November. Natalie realizes that in order to determine Cookie Creations? income, she must first make adjustments. Natalie puts together the following additional information. 1. A count reveals that $60 of brochures and posters remain at the end of November. 2. A count reveals that $35 of baking supplies were used during November. 3. Natalie estimates that all of her baking equipment will have a useful life of 5 years or 60 months. (Assume Natalie decides to record a full month?s worth of depreciation, regardless of when the equipment was obtained by the business.) 4. Natalie?s grandmother has decided to charge interest of 6% on the note payable extended on November 16. The loan plus interest is to be repaid in 24 months. (Assume that half a month of interest accrued during November.) 5. On November 30, a friend of Natalie?s asks her to teach a class at the neighborhood school. Natalie agrees and teaches a group of 35 first-grade students how to make Santa Claus cookies. The next day, Natalie prepares an invoice for $300 and leaves it with the school prin?cipal. The principal says that he will pass the invoice along to the head office, and it will be paid sometime in December. 6. Natalie receives a cellphone bill for $45. She uses her cellphone only for business. The bill is for services provided during November and is due December 15. Instructions Using the information that you have gathered through Chapter 2, and based on the new infor?mation above, do the following. (a) Prepare and post the adjusting journal entries using the general journal template provided. Again, remember to use correct formatting in both the journal and the ledger. (b) Prepare an adjusted trial balance using the correct worksheet in your template workbook. Be sure to total the columns of your ATB and include only those accounts that have a balance. (c) Using the adjusted trial balance, calculate Cookie Creations? net income or net loss for the month of November. You are not required to prepare an income statement. (d) Submit the file to the dropbox for grading and feedfback. (e) Review the feedback provided and make necessary corrections before moving on to CCC4. Chapter 4 - CCC4 Open your corrected CCC3 file. Complete the required activities for CCC4. Note that this is a rather difficult problem. You are asked to prepare financial statements and prepare and post closing entries, but you were not given the specific transactions for December. Instead, you are given the Adjusted Trial Balance for Dec. 31. I recommend that you take the balances on the ATB and write them in the correct ledger accounts. Just make a note to yourself in each ledger that this is the "Dec. 31 balance." Of course, if we were REALLY doing a set of books, we would have posted the entries for Dec. and this wouldn't be necessary. Natalie had a very busy December.At the end of the month,after journalizing and post?ing the December transactions and adjusting entries. Natalie prepared the following adjusted trial balance. COOKIE CREATIONS Adjusted Trial Balance December 31, 2009 Debit Credit Cash $1,180 Accounts Receivable 875 Baking Supplies 350 Prepaid Insurance 1,210 Baking Equipment 1,200 Accumulated Depreciation - Baking Equipment $ 40 Accounts Payable 75 Salaries Payable 56 Interest Payable 15 Unearned Revenue 300 Notes Payable 2,000 N. Koebel, Capital 800 N. Koebel, Drawing 500 Teaching Revenue 4,515 Salaries Expense 1,006 Telephone Expense 125 Advertising Supplies Expense 165 Baking Supplies Expense 1,025 Depreciation Expense 40 Insurance Expense 110 Interest Expense 15 $7,801 $7,801 Instructions: Using the information in the adjusted trial balance, do the following. (a) Prepare an income statement and a statement of owner?s equity for the 2 months ended December 31, 2009, and a classified balance sheet as at December 31, 2009. The note payable has a stated interest rate of 6%, and the principal and interest are due on November 16, 2011. (b) Natalie has decided that her year-end will be December 31, 2009. Prepare and post closing entries as of December 31, 2009. (c) Prepare a post-closing trial balance. (d) Submit your file to the dropbox for grading and feedback. (e) Make necessary corrections based on the feedback you receive before going on to CCC5. Chapter 5 - CCC5 Because Natalie has had such a successful first few months, she is considering other opportunities to develop her business. One opportunity is the sale of fine European mixers. The owner of Kzinski Supply Co. has approached Natalie to become the exclusive distributor of these fine mixers in her state. The current cost of a mixer is approximately $575, and Natalie would sell each one for $1,150. Natalie comes to you for advice on how to account for these mixers. Each appliance has a serial number and can be easily identified. In the end, Natalie decides to use the perpetual inventory system to track her inventory. The following transactions happen during the month of January. Date Transaction Jan 4 Bought five deluxe mixers on account from Kzinski Supply Co. for $2,875, FOB shipping point, terms n/30. 6 Paid $100 freight on the January 4 purchase. 7 Returned one of the mixers to Kzinski because it was damaged during shipping. Kzinski issues Cookie Creations credit for the cost of mixer plus $20 for the cost of freight that was paid on January 6 for one mixer 8 Collected $375 of the accounts receivable from December 2009. 12 Three deluxe mixers are sold on account for $3,450, FOB destination, terns n/30. (Cost of goods sold is $595 per mixer.) 14 Paid the $75 of delivery charges for the three mixers that were sold on January 12. 14 Bought four deluxe mixers on account from Kzinski Supply Co. for $2,300, FOB ship ping point, terms n/30. 17 Natalie is concerned that there is not enough cash available to pay for all of the mixers purchased. She invests an additional $1,000 cash in Cookie Creations. 18 Paid $80 freight on the January 14 purchase 20 Sold two deluxe mixers for $2,300 cash. (Cost of goods sold is $595 per mixer.) 28 Natalie issued a check to her assistant for all the help the assistant has given her during the month. Her assistant worked 20 hours in January and is also paid the $56 owed at December 31, 2009. (Natalie?s assistant earns $8 an hour.) 28 Collected the amounts due from customers for the January 12 transaction. 30 Paid a $145 cellphone bill ($75 for the December 2009 account payable and $70 for the month of January). (Recall that the cellphone is used only for business purposes.) 31 Paid Kzinski all amounts due. 31 Natalie withdrew $750 cash for personal use. As of January 31, the following adjusting entry data is available. 1. A count of baking supplies reveals that none were used in January. 2. Another month?s worth of depreciation needs to be recorded on the baking equipment bought in November. (Recall that the baking equipment has a useful life of 5 years or 60 months and no salvage value.) 3. An additional month?s worth of interest on her grandmother?s loan needs to be accrued. (The interest rate is 6%.) 4. During the month, $110 of insurance has expired. 5. An analysis of the unearned revenue account reveals that Natalie has not had time to teach any of these lessons this month because she has been so busy selling mixers. As a result, there is no change to the unearned revenue account. Natalie hopes to complete the remaining lessons in February. 6. An inventory count of mixers at the end of January reveals that Natalie has three mixers remaining. Instructions Using the information from previous chapters and the new information above, do the following. (a) Prepare and post the January 2010 transactions. (b) Prepare a trial balance. (c) Prepare and post the adjusting journal entries required. (d) Prepare an adjusted trial balance. (e) Prepare a multiple-step income statement for the month ended January 31, 2010. ",Are you still evaluatingn the assignment or have you started on it?
Question 2
Help with case study answering the 2 questions PLEASE. each answer around 150 words PLEASE. thank you "Accenture - Retaining for itself" Accenture is a firm that provides a wide range of consulting and services to organizations worldwide. With more than 170,000 employees, the firm has clients in 120 countries that receive many HR and other consulting services. Among others, these services include organizational, strategic, and change management analyses; leadership training and development; and technology assistance and supply chain assistance. Large and small client organizations also outsource various operational functions to Accenture instead of performing them internally with employees. Thus, Accenture has many individuals who serve as consultants and support experts on specialized areas and industries. Because of its many professional consulting and support staff members, Accenture has to manage its own human resources effectively in order to serve both itself and its clients. The rapid growth of this widespread firm has caused Accenture to hire up to 60,000 employees in just one year due to the expansion of clients and the need to replace employees who have left to become employees at other firms, to become independent consultants, or to work as employees at client firms. What Accenture does for its own employees illustrates one reason why it is widely used by clients. At the heart of Accenture's approach for itself is to consider its employees as a virtual workforce. This means that numerous employees work in many different places at different times, often using work-life balancing, technology resources, and work-related job flexibility. With offices in more than 150 cities worldwide, the work locations and schedules vary so much that numerous Accenture consultants have to reserve a desk at an office when they need to be there. Otherwise, many employees are encouraged to work outside offices. The out-of-office environment presents an extensive HR challenge for Accenture in terms of engaging its employees. Many consultant employees work intermittently with a variety of managers and coworkers, in teams as large as 1,000 consultants, throughout multiple countries. To practice retention in its own firm, Accenture does extensive training and development of employees. All new Accenture workers participate in "New Joiner Orientation" where they learn what is expected of them, do sample client projects with coworkers, and become linked to personal career counselors. Career training and development efforts include a wide range of activities, access to Accenture's "Career Marketplace" website, and training in how to work effectively on different types of projects and in global locations. The value of these activities is shown in the fact that almost 39% of Accenture's open U.S. jobs are filled by current employees who change and/or increase their job levels. What Accenture's employee retention program emphasizes is that the firm does not just consult about HR and other services for clients, but also does for itself what many current and potential clients need to do, which is to view HR planning and retention as crucial for organizational success and growth. 1. Identify how some Accenture-type efforts have and have not occurred in your current and previous workplaces. Also, discuss why focusing on employee retention pays off for Accenture clients, and not just for Accenture itself. 2. Go to the Accenture website, www.accenture .com, to research and gather job- and career-related information that might need to be adapted by other employers. As part of this research, examine how Accenture markets itself to current and potential employees.
Question 3
Hello, what formula would I use to start solving for the questions below?: What formula should I use to find the Present Value? A firm is considering the adoption of a project that is expected to generate revenues for 10 years. These expected revenues (in dollars) are: Year 1: 200,000 Year 6: 270,000 Year 2: 250,000 Year 7: 255,000 Year 3: 300,000 Year 8: 240,000 Year 4: 300,000 Year 9: 150,000 Year 5: 280,000 Year 10: 75,000 The total cost of the project, that is to be paid immediately upon adoption, is $1.6 million. Use a spreadsheet to compute the Net Present Value of the project if: a. the firm?s cost of capital is 6 percent. Should the project be adopted? b. the firm?s cost of capital is 8 percent. Should the project be adopted? Suppose the firm has a second project that requires an initial outlay of $800,000 and is expected to generate revenues for only 5 years, and those revenues are of the same amounts as given above for years 1 to 5. Use the same spreadsheet to compute the Net Present Value of this project if: c. the firm?s cost of capital is 6 percent. Is this project one the firm would like to adopt? If these are the only two projects that the firm is contemplating, what should the firm so if: d. its capital budget is $1 million and its cost of capital is 6 percent? e. its capital budget is $3 million and its cost of capital is 6 percent: Year Net Cash Flow Present Value Year 1: 200,000 Year 2: 250,000 Year 3: 300,000
Question 4
1. A copier company has been using the same Copier A for 5 years. This copier can copy approximately 50 sheets a minute. The company has an opportunity to purchase a new Copier B that can process approximately 60 sheets a minute. The old machine will continue to be used for jobs that aren?t rush jobs. The new machine will create a need for additional fixed selling expenses, an additional supervisor, and two employees to use the machine. No other fixed costs will change. Please list out whether each of these costs are relevant (R) or not relevant (NR). Format your answers as follows: a) R, b) R, and so forth. a. Copier revenue?R b. Book value ? Copier A?R c. Disposal value ? Copier A?NR d. Variable selling expenses?R e. Fixed selling expenses?R f. Depreciation of Copier A?NR g. General and administrative overhead fixed?R h. Direct labor?R i. Indirect labor?R j. Market value of Copier B?R 2. Home Improvement Company, a retail home store, has two major divisions?outdoor and indoor. Here is the data on their income and expenses: (T)otal; (I)ndoor; (O)utdoor Sales: (T)$85,000; (I)$50,000; (O)$35,000 Variable expenses: (T)$35,000; (I)$15,000; (O)$20,000 Contribution margin: (T)$50,000; (I)$35,000; (O)$15,000 Fixed expenses: Advertising: (T)$5,000; (I)$2,000; (O)$3,000 Supervisor salaries: (T)$19,000; (I)$10,000; (O)$9,000 Store insurance: (T)$2,000; (I)$1,000; (O)$1,000 General administrative overhead: (T)$11,000; (I)$8,000; (O)$3,000 Total fixed expenses: (T)$37,000; (I)$21,000; (O)$16,000 Net operating income (loss): (T)$13,000; (I)$14,000; (O) ($1,000) Due to the loss, the general manager is considering closing the outdoor division and just focusing on the indoor division. If the division were closed, the supervisor salary and the advertising costs could be eliminated. Should the division be closed? Please show your computations to support your answer. 3. Lucky?s Long Board Park manufactures its own long boards to use at their national long board skiing park. An outside supplier has offered to sell long boards to Lucky?s for $100 per unit. To evaluate this offer, Lucky?s has gathered the following information relating to its own cost of producing a long board internally: Per Unit (U); Total for 1,000 Units (T) Direct materials: (U)$70; (T) $70,000 Direct labor: (U)$22; (T)$22,000 Variable manufacturing overhead: (U) $5; (T)$5,000 Supervisors salaries: (U)$10; (T)$10,000 Depreciation of machinery to make long boards: (U)$8; (T)$80,000 Fixed manufacturing overhead, common, allocated: (U)$20; (T)$20,000 Total cost: (U)$135; (T)$135,000 Should the outside supplier?s offer be accepted? Show all computations. 4. Hancock Hoodies is considering a special order for 100 Hoodies for a local company party. The normal selling price of a hoodie is $30 and its unit product cost is $16 as shown below: Direct materials: $6 Direct labor: $3 Manufacturing overhead: $7 Unit product cost: $16 Most of the manufacturing overhead is fixed and unaffected by variations in how many hoodies are produced in a given period. However, $2 of the overhead is variable with respect to the number of hoodies produced. The customer who is interested in the special hoodie order would like special a special silkscreen put onto the hoodies. This silkscreen would require additional materials costing $4 per hoodie and would require ordering of the design costing $100 that would have no other use once the special order is completed. This order would have no effect on the company?s regular sales, and the order could be fulfilled using the company?s existing capacity without affecting any other order. What effect would accepting this order have on the company?s net operating income if a special price of $17 is offered per hoodie for this order? Should the company accept the order? 5. Calibri Company produces three products: F, G, and H. The selling price, variable costs, and contribution margin for the one unit of each product below: Selling Price: (F)$40; (G)$110; (H)$50 Variable Costs: Direct Materials: (F)$16; (G)$25; (H)$20 Direct Labor: (F)$11; (G)$20; (H)$12 Variable Manufacturing Overhead: (F)$10; (G)$10; (H)$8 Total Variable Costs: (F)$37; (G)$55; (H)$40 Contribution Margin Ratio: (F)7.5%; (G)50%; (H)20% One of two major machines used to produce these products has broken down and a new one is on backorder so the company is down to one machine. Product F takes 0.20 machine hours to produce one unit, Product G takes 11 machine hours to produce one unit, and Product H takes 2.5 machine hours. There are 1,000 machine hours available on the new machine. a. What is the amount of contribution margin that will be obtained per machine hour on each product? b. Which product would you recommend that the company work on next week?the orders for Product F, Product G, or Product H? Show computations. 6. How does opportunity cost enter into the make or buy decision? What would be an example of a decision that you might make in your personal life that would involve an opportunity cost? What decision would you make and how would you change the opportunity cost if you needed to? Need in-text citations and references so I can go back to the references.
Question 5
"1. (TCO 8) Which one of the following is a correct definition of an Ibbotson and Sinquefield investment category as used to report historical returns in your textbook? (Points : 3) U.S. Treasury bills: 1-year debt securities issued by the U.S. Department of the Treasury Small-company stocks: Stocks of the smallest 20 percent of the firms listed on the NYSE Large-company stocks: Stocks of the largest 10 percent of the firms listed on the NYSE Long-term U.S. government bonds: Bonds issued by the U.S. government with a 30-year maturity 2. (TCO 8) If the financial markets are efficient, then: (Points : 3) stock prices should never change. stock prices should only respond to unexpected news and events. stock prices should increase or decrease slowly as new events are analyzed and the information is absorbed by the markets. stock prices will only change when an event actually occurs, not at the time the event is anticipated. 3. (TCO 8) Which of the following factors will affect the expected rate of return on a security? Select all that apply: (Points : 4) multiple states of the economy probability of occurrence for any one economic state market rate of return given a particular economic state security beta 4. (TCO 8) Assume a project that has the following returns for years 1 to 5: 15%, 4%, -13%, 34%, and 17%. What is the approximate expected return of this investment? (Points : 3) 11% 17% 16.60% 10% 5. (TCO 8) Assume you are considering investing in two stocks, A & B. Stock A has an expected return of 16% and Stock B has an expected return of 9.5%. Your goal is to create a two-security portfolio that will have an expected return of 12%. If you have $250,000 to invest today, which of the following statements is true? (Points : 3) You would invest more in Stock A than you would invest in Stock B You would invest approximately $96,000 in Stock A and $154,000 in Stock B You would invest the same amount in each stock Regardless of your investment choices, you cannot obtain a return of 12%. 6. (TCO 8) For this exercise, use the information provided for Problem 30 of Chapter 11 (page 375 of your textbook). Assume that the probability of the state of the economy has changed as follows: The probability of a recession has increased to 30% and the probability for a normal state of economy is now 40%. The market risk premium has increased by 1% as well. What is the standard deviation of Stock I and II respectively? (Points : 3) 12 and 20% 12.5 and 23% 1.25 and 2.326% Cannot be determined with the information given 7. (TCO 8) For this exercise, use the information provided for Problem 30 of Chapter 11 (page 375 of your textbook). Assume that the probability of the state of the economy has changed as follows: The probability of a recession has increased to 30% and the probability for a normal state of economy is now 40%. The market risk premium has increased by 1% as well. Which statement is true? Select all that apply: (Points : 4) Stock I has more overall risk than Stock II Stock II has less systematic risk than Stock I Stock I has a higher risk premium than Stock II None of the above are correct statements 8. (TCO 8) Which statements are false regarding risk? Select all that apply: (Points : 4) The expected return is always the same as the actual return A key to assessing risk is determining how much risk an investment adds to a portfolio Risks can always be diversified The higher the risk, the higher the return investors require for the investment 9. (TCO 8) Are all risks diversifiable? Why or why not? (Points : 3)
