Jonathan owns a shoe factory that produces flashy shoes, but he pays his workers the bare minimum wage so that he can live large. The workers at his factory, led by Cosku, have formed a union, and are threatening to go on strike unless they receive a higher wage so that they can reasonably support their families. Five years ago, when Jonathan hired most of the workers, unemployment was very high. Now, unemployment is very low. This has changed the relative bargaining power of the employers and the employees, which Cosku and Jonathan remember from when they took ECON 104. Which statement most accurately describes how their relative power now may affect the campaign for higher wages?a) Jonathan - the factory owner - has more bargaining power than before, because he knows they will be very grateful to him for hiring them when unemployment was high. He thinks he won't have to pay workers more.b) Cosku and the workers have higher bargaining power, because they are less replaceable due to unemployment. There are very few people who Jonathan can hire to replace the workers, and if there are no workers, Jonathan cannot continue to live large. Thus, the power dynamics of the situation favor the workers winning higher wages.c) Both parties are in a better position. If Jonathan gives workers a higher wage, it will cause inflation, and then he can charge more for the flashy shoes from his factory. Workers will make more, and so will Jonathan.d) Cosku and the workers are in a worse position because they already make minimum wage. The government will see their protests and think that it's silly, because they are already paid a legal wage.

Answer:

b. Cosku and the workers have higher bargaining power, because they are less replaceable due to unemployment. There are very few people who Jonathan can hire to replace the workers, and if there are no workers, Jonathan cannot continue to live large  Thus, the power dynamics of the situation favor the workers winning higher wages

Explanation:

Since in the given question it is mentioned that the employees will go on strike until they do not received higher wages so that they can support their families

And in case of low unemployment, the relative bargaining power of the employers and the employees is changed i.e high. Moreover they are very Less person through which they can hire in order to replace the workers and in the case when there is no workers so he is unable to continue its business operations due to which he cannot live large.

So to overcome this he have to agree to pay the higher wages to the employees other wise the workers could leave the organization

Answer:

b) Cosku and the workers have higher bargaining power..........dynamics of the situation favor the workers winning higher wages

Explanation:

Labour markets wages & employment are determined on the basis of :-  labour demand by firms & labour supply by workers ; and relative bargaining power of buyer firms & seller workers.

Firms more bargaining power leads to reducing pressure on wage rates with more employment. Workers more bargaining power leads to increasing pressure on wage rates with less employment.

At the time of Jonathan's shoe factory inception, more unemployment meant firms had more bargaining power & hence the wages were lower. However, no hike in wages with time make workers demand higher wage with strike warning. Meanwhile, less unemployed labour supply available implies that firms have no substitute labour to hire. So, union & workers have higher bargaining power & labour irreplaceability due to less unemployment - state that Jonathan has no other alternative than to accept labour favouring notion of higher wages.

Sheridan Co. incurred research and development costs in 2021 as follows: Materials used in research and development projects $ 915000 Equipment acquired that will have alternate future uses in future research and development projects 2650000 Depreciation for 2021 on above equipment 441666 Personnel costs of persons involved in research and development projects 715000 Consulting fees paid to outsiders for research and development projects 265000 Indirect costs reasonably allocable to research and development projects 190000 $5176666 The amount of research and development costs charged to Sheridan's 2021 income statement should be a. $2071666. b. $1895000. c. $2526666. d. $4545000.

Fred was suffering from a nasal tissue blockage that could be corrected either through an operation or with medical treatment for about two months. Fred's doctor clearly told him that the condition was not acute and he did not need surgery. Fred, however, insisted on the surgical removal of the blockage, being aware that his medical insurance would cover the entire cost of this surgery. The situation described here can be associated with which of the following problems? A) Price dispersionB) Moral hazardC) Lemons problemD) Prisoner's dilemma

The following information was taken from the records of Easter Corporation for the year ended December 31, 2019. Advertising expense $40,000 Income tax expense 26,000 Accounts payable 26,900 Dividends paid 30,000 Retained earnings (Jan 1, 2019) 115,720 Consulting fees revenue 200,000 Rent expense 23,400 Supplies expense 33,800 The retained earnings reported by Easter Corporation as of December 31, 2019 is:

Department A had 4,200 units in Work in Process that was 67% completed as to labor and overhead at the beginning of the period. 33,300 units of direct materials were added during the period, 35,200 units were completed during the period, and 2,300 units were 39% completed as to labor and overhead at the end of the period. All materials are added at the beginning of the process. The first-in, first-out method is used to cost inventories.
The number of equivalent units of production for conversion costs for the period was ___?

Marin Company leased equipment from Costner Company, beginning on December 31, 2019. The lease term is 8 years and requires equal rental payments of $56,394 at the beginning of each year of the lease, starting on the commencement date (December 31, 2019). The equipment has a fair value at the commencement date of the lease of $350,000, an estimated useful life of 8 years, and no estimated residual value. The appropriate interest rate is 8%.

Required:
Prepare Marin's 2019 and 2020 journal entries, assuming Marin depreciates similar equipment it owns on a straight-line basis.

Inventory records for Marvin Company revealed the following:
Date Transaction Number of Units Unit Cost
Mar. 1 Beginning inventory 900 $7.14
Mar. 10 Purchase 560 7.57
Mar. 16 Purchase 790 8.02
Mar. 23 Purchase 510 8.42
Marvin sold 1,900 units of inventory during the month. Cost of goods sold assuming FIFO would be:__________.
(Do not round your intermediate calculations. Round your answer to the nearest dollar amount)
A. $15,998.
B. $14,194.
C. $14,844.
D. $15,155.

Deluxe Building Services offers custodial services on both a contract basis and an hourly basis. On January 1, 2015, Deluxe collected $30,150 in advance on a six-month contract for work to be performed evenly during the next six months. Assume that Deluxe closes its books and issues financial reports on a monthly basis.
a. Prepare the entry on January 1 to record the receipt of $30,150 cash for contract work (1) using the financial statements effect template and (2) in journal entry form.
b. Prepare the adjusting entry to be made on January 31, 2015, for the contract work done during January (1) using the financial statements effect template and (2) in journal entry form.
c. At January 31, a total of 30 hours of hourly rate custodial work was unbilled. The billing rate is $19 per hour. Prepare the adjusting entry needed on January 31, 2015, (1) using the financial statements effect template and (2) in journal entry form. (The firm uses the account Fees Receivable to reflect amounts due but not yet billed).

The following events apply to Lewis and Harper, a public accounting firm, for the 2016 accounting
period:
1. Performed $70,000 of services for clients on account.
2. Performed $40,000 of services for cash.
3. Incurred $36,000 of other operating expenses on account.
4. Paid $10,000 cash to an employee for salary.
5. Collected $47,000 cash from accounts receivable.
6. Paid $16,000 cash on accounts payable.
7. Paid a $8,000 cash dividend to the stockholders.
8. Accrued salaries were $2,000 at the end of 2016.
Required
a. Show the effects of the events on the financial statements using a horizontal statements model like the following one. In the Cash Flow column, use OA to designate operating activity, IA for investment activity, FA for financing activity, NC for net change in cash and NA to indicate the element is not affected by the event. The first event is recorded as an example. (Enter any decreases to account balances and cash outflows with a minus sign.)
a. LEWIS AND HARPER
Statements Model
For Accounting Year 2016
Event No. Assets = Liabilities + Stockholders' Equity Income Statement Statement of Cash Flows
Cash + Accounts Receivable = Accounts Payable + Salaries Payable + Retained Earnings Revenue – Expense = Net Income
1. + 70,000 = + + 70,000 70,000 – = 70,000 NA
2. + = + + – =
3. + = + + – =
4. + = + + – =
5. + = + + – =
6. + = + + – =
7. + = + + – =
8. + = + + – =
Totals + = + + – =
b. What is the amount of total assets at the end of 2016?
c. What is the balance of accounts receivable at the end of 2016?
d. What is the balance of accounts payable at the end of 2016?

Vaughn Manufacturing reported net income of $471000 for the year ended 12/31/21. Included in the computation of net income were: depreciation expense, $59600; amortization of a patent, $32200; income from an investment in common stock of Ivanhoe Company, accounted for under the equity method, $48500; and amortization of a bond discount, $12700. Vaughn also paid an $79000 dividend during the year. The net cash provided by operating activities would be reported at _________.

One of the employees of Davenport Corporation recently was involved in an accident with one of the corporation's delivery vans. The corporation is either going to repair the damaged van or sell it as is and buy a comparable used van. Information related to this decision is provided below:

Initial cost of the damaged van $ 30,000
Accumulated depreciation to date on van $ 18,000
Salvage value of van immediately before crash $ 9,000
Salvage value of van immediately after crash $ 1,000
Cost to repair damaged van $ 5,000
Cost of a comparable used van $ 10,000

Based on the information above, Davenport would be financially better off:

What can be a cost of opening a basic checking account?


high interest rates


penalties for early withdrawal


check writing limits


high fees

On January 1, Year 1, Weller Company issued bonds with a $360,000 face value, a stated rate of interest of 10.50%, and a 10-year term to maturity. Weller uses the effective interest method to amortize bond discounts and premiums. The market rate of interest on the date of issuance was 8.50%. Interest is paid annually on December 31. Assuming Weller issued the bond for $390,440, what is the amount of interest expense that will be recognized during Year 3? (Round your intermediate calculations and final answer to the nearest whole dollar amount.)

Working Capital and Current Ratio The following data (in thousands) were taken from recent financial statements of Under Armour, Inc.: December 31 Year 2 Year 1 Current assets $1,498,763 $1,549,399 Current liabilities 478,810 421,627 a. Compute the working capital and the current ratio as of December 31, Year 2 and Year 1. Enter working capital amounts in thousands of dollars. Round "current ratio" answers to two decimal places.

Tung is nearly fifty years of age and has not had a job for the past twenty-five years. He holds a bachelor's degree in engineering and is in good health. When he casually discusses his lack of employment with friends, he tells them "there are no jobs out there," "no one wants to pay me what I'm worth," or "I was offered a job but it's too far to travel."
1. Based on this scenario, which statement best explains Tung's lack of a job?

Financial Statement Notes: Quarterly Data Quarterly data are presented below for Company A and Company B. One of these companies is Gibson Greetings, Inc., which manufactures and sells greeting cards. The other company is Hon Industries, Inc., which manufactures and sells office furniture. Both companies are on a calendar year basis. (Amounts in Thousands) First Quarter Second Quarter Third Quarter Fourth Quarter Year Company A Net sales $186,111 $177,537 $203,070 $213,608 $780,326 Gross profit 55,457 53,643 64,024 69,374 242,498 Company B Net sales $84,896 $83,796 $142,137 $235,336 $546,165 Gross profit 53,900 52,983 66,018 104,961 277,862 Required a. Compute the percent of annual net sales generated each quarter by Company A. Round to the nearest percent. b. Compute the percent of annual net sales generated each quarter by Company B. Round to the nearest percent.

g During fiscal 2011, we repurchased with cash (i.e., bought) 2 million shares of common stock for an aggregate purchase cost of $700 million. We reissued (i.e., sold) 5 million shares of common stock held in treasury for $2000 million in cash during fiscal 2011. The cost basis of the 5 million shares of treasury stock reissued is $300 per share. What journal entries did ALM record in its treasury stock transactions in 2011

BENETEAU CORPORATION
Comparative Balance Sheet
2017 2016
Assets
Cash $37,000 $31,000
Accounts receivable (net) 80,000 60,000
Prepaid insurance 22,000 17,000
Land 18,000 40,000
Equipment 70,000 60,000
Accumulated depreciation (20,000) (13,000)
Total assets $207,000 $195,000
Liabilities and Stockholder's Equity
Accounts payable $12,000 $6,000
Bonds payable 27,000 19,000
Common stock 140,000 115,000
Retained earnings 28,000 55,000
Total liabilities and stockholder's equity $207,000 $195,000
Additional information:
1. Net loss for 2017 is $12,000. Net sales for 2017 are $250,000.
2. Cash dividends of $15,000 were declared and paid in 2017.
3. Land was sold for cash at a loss of $2,000. This was the only land transaction during the year.
4. Equipment with a cost of $15,000 and accumulated depreciation of $10,000 was sold for $5,000 cash.
5. $12,000 of bonds were retired during the year at carrying (book) value.
6. Equipment was acquired for common stock. The fair value of the stock at the time of the exchange was $25,000
Required:
1. Prepare a statement of cash flows for the year ended December 31, 2017, using the indirect method.

Crane Company had the following assets on January 1, 2022.

Item Cost Purchase Date Useful Life (in years) Salvage Value
Machinery $59,000 Jan. 1, 2012 10 $0
Forklift 18,000 Jan. 1, 2019 5 0
Truck 24,400 Jan. 1, 2017 8 3,000

During 2022, each of the assets was removed from service. The machinery was retired on January 1. The forklift was sold on June 30 for $10,800. The truck was discarded on December 31.

Required:
Journalize all entries required on the above dates, including entries to update depreciation, where applicable, on disposed assets. The company uses straight-line depreciation. All depreciation was up to date as of December 31, 2021.

Trapp Corporation uses the weighted-average method in its process costing system. The beginning work in process inventory in its Painting Department consisted of 3,000 units that were 70% complete with respect to materials and 60% complete with respect to conversion costs. The cost of the beginning work in process inventory in the department was recorded as $10,000. During the period, 10,000 units were started in production and ending work inventory consisted of 4,000 units that 90% complete with respect to material and 85% complete with respect to conversion costs. were If the costs per equivalent unit for the period were $2.00 for material and $3.00 for conversion costs. The cost of units transferred out during the month was:

An on-demand printing company has monthly overhead costs of $1,900 in rent, $450 in electricity, $80 for phone service, and $230 for advertising and marketing. The printing cost is $40 per thousand pages for paper and ink. The average cost for printing x thousand pages can be represented by the function C(x) = (2,660+40x) / x. For a given month, if the printing company could print an unlimited number of pages, what value would the average cost per thousand pages approach? What does this mean in the context of the problem? Select one: a. The average cost would approach $0 per thousand pages. The more pages the company prints, the lower the average cost. b. The average cost would approach infinity. The more pages the company prints, the higher the average cost. c. The average cost would approach $40 per thousand pages or equivalently $0.04 per page. This is the cost per page in the absence of fixed costs. d. The average cost would approach $2.660 per thousand pages. This is the total of the fixed monthly costs.

IZ Corporation purchased land for $400,000. Later in the year, the company sold a different piece of land with a book value of $200,000 for $240,000. How are the effects of these transactions reported on the statement of cash flows assuming the indirect method is used? Use the minus sign to indicate cash out flows, cash payments, decreases in cash and for any adjustments, if required. If a transaction has no effect on the statement of cash flows, select "No effect" from the drop down menu and leave the amount box blank.

Use information from the Washington Post article Why We've Been Hugely Underestimating the Overfishing of the Oceans to determine whether each statement is true or false.
According to the Food and Agriculture Organization of the United Nations FAO), worldwide catches peaked in 2001 at 86 million tons
1. True
2. False
Using catch reconstruction, researchers estimate that the actual peak catch was 50% larger than the reported peak catch.
1. True
2. False
Catch reconstruction shows that, since the peak, catches have been increasing, not decreasing as previously reported
1. True
2. False
The Sea Around Us Project found several problems with the FAO data, such as the fact that data that were not available were reported as catches of zero fish.1. True
2. False

On February 1, 2020, Bonita Industries purchased a parcel of land as a factory site for $328000. An old building on the property was demolished, and construction began on a new building which was completed on November 1, 2020. Costs incurred during this period are listed below: Demolition of old building $ 19800 Architect's fees 36400 Legal fees for title investigation and purchase contract 4600 Construction costs 1378000 (Salvaged materials resulting from demolition were sold for $10200.) Bonita should record the cost of the land and new building, respectively, as:____________
a. $342200 and $1414400.
b. $352400 and $1404200.
c. $337600 and $1419000.
d. $337600 and $1414400.

bob and barbara are friends. bob takes out a $10000 loan and agrees to repay it over 12 years making annual level payments at an effective rate of 5.62499%. at the same time barbara takes out a $10000 loan and agrees to repay it by making annual interest payments at an annual effective interest rate of i. she also agrees to make annual level deposits into a sinking fund that earns 4% annual effective interest so as to accumulate $10,000 at the end of the 12 years. bob and barbara discover they have the same total annual expenditures resulting from their loans. find the rate i.

The following information is budgeted for McCracken Plumbing Supply Corporation for next quarter:

April May June
Sales $110,000 $130,000 $180,000
Merchandise purchases $85,000 $92,000 $105,000
Selling and administrative expenses $50,000 $50,000 $50,000
All sales at McCracken are on credit. Forty percent are collected in the month of sale, 58% in the month following the sale, and the remaining 2% are uncollectible. Merchandise purchases are paid in full the month following the month of purchase. The selling and administrative expenses above include $8,000 of depreciation on display fixtures and warehouse equipment. All other selling and administrative expenses are paid as incurred. McCracken wants to maintain a cash balance of $15,000. Any amount below this can be borrowed from a local bank as needed in increments of $1,000. All borrowings are made at month end.

Required:

Prepare McCracken's cash budget for May. McCracken expects to have $24,000 of cash on hand at the beginning of May.

ABC Corporation has declared a rights offering to stockholders of record on Friday, December 10th. Under the offer, shareholders need 10 rights to subscribe to 1 new share at a price of $19. Fractional shares can be rounded up to purchase 1 full share. As of the ex date, the stock is trading at $29. The value of the right is:

What is implied by the fact that in today’s marketplace, the volume of world trade has been growing faster than world GDP? more companies are relying on domestic firms to obtain parts of their production process the economies of the world’s nation-states are becoming less intertwined more companies are dispersing parts of their production process to locations around the globe the world has experienced a loss of overall wealth in the last two decades more countries are imposing trade barriers to minimize competition

Presented below is the information for Irvine Corp.: Irvine Corp.. has prepared the following comparative balance sheets for 2020 and 2021: 2021 2020 Prepaid expenses 1,800 2,700 Cash 28,200 15,300 Accounts receivable 13,900 17,000 Inventory 36,500 26,000 Patent 15,300 17,400 Plant assets 129,500 105,000 Accumulated depreciation -45,000 -37,500 180,200 145,900 Accounts payable 15,300 16,800 Accrued liabilities 6,000 4,200 Mortgage payable 0 58,300 Additional Paid In Capital 12,000 0 Preferred stock 74,000 Common Stock 60,000 60,000 Retained earnings 12,900 6,600 180,200 145,900 The income statement for 2021 is as follows: Sales revenue $198,000 Cost of sales 108,900 Gross profit 89,100 Operating expenses 69,000 Net income $20,100 Other Facts: Included in operating expenses: Depreciation Expense 7500 Vehicle expense 2800 Interest Expense 15600 Gain on Sale of Asset 5000 Pension Contribution 7500 Other: Dividends 13800 Cash Rec'd From Sale of Assets 35000 Basis of Assets Sold 30000 PREPARE A PERFECT CASH FLOW STATEMENT

Atkinson Construction assembles residential houses. It uses a job-costing system with two direct-cost categories (direct materials and direct labor) and one indirect-cost pool (assembly support). Direct labor-hours is the allocation base for assembly support costs. In December 2016, Atkinson budgets 2017 assembly-support costs to be $8,800,000 and 2017 direct labor-hours to be 220,000.
At the end of 2017, Atkinson is comparing the costs of several jobs that were started and completed in 2017.
Laguna Model Mission Mode
Construction period Feb-June 2017 May-0ct 2017
Direct material costs $106,550 $127,450
Direct labor costs $36,250 $41,130
Direct labor-hours 970 1,000
Direct materials and direct labor are paid for on a contract basis. The costs of each are known when direct materials are used or when direct labor-hours are worked. The 2017 actual assembly-support costs were $8,400,000, and the actual direct labor-hours were 200,000.
Required:
1. Compute the (a) budgeted indirect-cost rate and (b) actual indirect-cost rate. Why do they differ?
2. What are the job costs of the Laguna Model and the Mission Model using (a) normal costing and (b) actual costing?
3. Why might Atkinson Construction prefer normal costing over actual costing?

Tropetech Inc. has an expected net operating profit after taxes, EBIT(1 – T), of $16,300 million in the coming year. In addition, the firm is expected to have net capital expenditures of $2,445 million, and net operating working capital (NOWC) is expected to increase by $50 million. How much free cash flow (FCF) is Tropetech Inc. expected to generate over the next year? $13,805 million $331,476 million $18,695 million $13,905 million