The balance sheet at December 31, 2018, for Nevada Harvester Corporation includes the liabilities listed below: 10% bonds with a face amount of $54 million were issued for $54 million on October 31, 2009. The bonds mature on October 31, 2029. Bondholders have the option of calling (demanding payment on) the bonds on October 31, 2019, at a redemption price of $54 million. Market conditions are such that the call is not expected to be exercised. Management intended to refinance $11.2 million of its 10% notes that mature in May 2019. In early March, prior to the actual issuance of the 2018 financial statements, Nevada Harvester negotiated a line of credit with a commercial bank for up to $4.8 million any time during 2019. Any borrowings will mature two years from the date of borrowing.

Noncallable 10% bonds with a face amount of $28.0 million were issued for $28.0 million on September 30, 1996. The bonds mature on September 30, 2019. Sufficient cash is expected to be available to retire the bonds at maturity. A $19 million 7% bank loan is payable on October 31, 2024. The bank has the right to demand payment after any fiscal year-end in which Nevada Harvester’s ratio of current assets to current liabilities falls below a contractual minimum of 1.7 to 1 and remains so for six months. That ratio was 1.45 on December 31, 2018, due primarily to an intentional temporary decline in inventory levels. Normal inventory levels will be reestablished during the first quarter of 2019.

Required:
a. For each liability listed above, what amount will be reported as a current liability on the December 31, 2018 balance sheet?
b. Prepare the liability section of a classified balance sheet for Nevada Harvester at December 31, 2018. Accounts payable and accruals are $18 million.

Answer:

1a. The balance sheet at December 31, 2018, for Nevada Harvester Corporation includes the liabilities listed below: 10% bonds with a face amount of $54 million were issued for $54 million on October 31, 2009. The bonds mature on October 31, 2029. Bondholders have the option of calling (demanding payment on) the bonds on October 31, 2019, at a redemption price of $54 million. Market conditions are such that the call is not expected to be exercised.

Answer: The entire amount of $54 million should be included in current liabilities as it is callable by the bondholders at any point of time. The current liability that should be reported is $54 million

1b. Management intended to refinance $11.2 million of its 10% notes that mature in May 2019. In early March, prior to the actual issuance of the 2018 financial statements, Nevada Harvester negotiated a line of credit with a commercial bank for up to $4.8 million any time during 2019. Any borrowings will mature two years from the date of borrowing.

Answer: $6.4 million should be reported as a current liability as the company is unable to refinance this amount. The current liability that should be reported is $6.4 million.

1c. Noncallable 10% bonds with a face amount of $28.0 million were issued for $28.0 million on September 30, 1996. The bonds mature on September 30, 2019. Sufficient cash is expected to be available to retire the bonds at maturity.

Answer: $28 million should be reported as a current liability as it is payable in the current period. The current liability that should be reported is $28 million.

1d. A $19 million 7% bank loan is payable on October 31, 2024. The bank has the right to demand payment after any fiscal year-end in which Nevada Harvester's ratio of current assets to current liabilities falls below a contractual minimum of 1.7 to 1 and remains so for six months. That ratio was 1.45 on December 31, 2018, due primarily to an intentional temporary decline in inventory levels. Normal inventory levels will be reestablished during the first quarter of 2019.

Answer: No amount should be reported as a current liability as it is payable in the current period. The current liability that should be reported is 0.

2. Particulars                                      Amount             Amount

Current Liabilities:

Account payable                           $18,000,000

10% Notes payable                       $6,400,000

10% Bonds due on 31st Oct          $54,000,000

10% Bonds due on 30th Sep        $28,000,000

Total Current Liabilities                                             $106,400,000

Non Current Liabilities:

10% Notes payable May 2019       $4,800,000

7% Bank Loan                                 $19,000,000

Total Non Current Liabilities                                    $23,800,000

Total Liabilities                                                         $130,200,000

Duce, Inc. produces two different products (Product A and Product X) using two different activities: Machining, which uses machine hours as an activity driver, and Inspection, which uses number of batches as an activity driver. The activity rate for Machining is $125 per machine hour, and the activity rate for Inspection is $500 per batch. The activity drivers are used as follows:

Product A Product X Total
Machine hours 1,900 3,900 5,800
Number of batches 45 22 67

What is the amount of Machining cost assigned to Product X?

a. $780,000
b. $22,500
c. $380,000
d. $950,000

Mr. Brew Cafeteria has computed the indifference point between debt and common equity financing options to be $4 millions of EBIT. EBIT is approximately normally distributed with an expected value of $4.5 million and a standard deviation of $600,000. What is the probability that the equity financing option will be superior to the debt option

Skysong Corporation reported the following for 2020: net sales $1,236,500, cost of goods sold $732,900, selling and administrative expenses $331,400, and an unrealized holding gain on available-for-sale debt securities $24,400.Prepare a statement of comprehensive income using the one statement format. (Ignore income taxes and earnings per share.)Prepare a statement of comprehensive income, using the two statement format. (Ignore income taxes and earnings per share.)

On July 1, 2013, a Japanese company enters into a forward contract to buy $1 million with yen on January 1, 2014. On September 1, 2013, it enters into a forward contract to sell $1 million on January 1, 2014. Describe the profit or loss the company will make in dollars as a function of the forward exchange rates on July 1, 2013 and September 1, 2013.

Which of the following best describes what investment is?
A required payment to owners of a company
An amount of money to pay for larger operations
A new company with several shareholders
A renewable technology in a developing country

Jackson, Inc., manufactures two products that it sells to the same market. Excerpted below are its budgeted and actual operating results for the year just completed: Unit sales Budged Actual Product X 22,500 42,000 Product Y 90,000 80,000 Unit contribution margin Product X $4.80 $3.90 Product Y $13.00 $14.00 Unit selling price Product X $13.00 $14.00 Product Y $30.00 $29.00 Industry volume was estimated to be 1,875,000 units at the time the budget was prepared. Actual industry volume for the period was 2,440,000 units. Jackson measures variances using contribution margin. Total sales quantity variance is: $97,280 favorable. $95,190 favorable. $107,920 favorable. $84,500 favorable. $36,400 favorable.

Steve has been given the charge of managing unskilled labor in the production units of his company. These workers are primarily motivated by financial incentives and other perks such as discount coupons and free movie or lunch days. In this scenario, which of the following power bases should Steve primarily use to influence the workers to improve their productivity?

a. Referent power
b. Expert power
c. Reward power
d. Information power

slove for x
11x+3=3x+35

After the accounts have been adjusted at April 30, the end of the fiscal year, the following balances were taken from the ledger of Nuclear Landscaping Co.:________.
Felix Godwin, Capital $643,600
Felix Godwin, Drawing 10,500
Fees Earned 356,500
Wages Expense 283,100
Rent Expense 56,000
Supplies Expense 11,500
Miscellaneous Expense 13,000
Journalize the two entries required to close the accounts.

Because there isn't one single measure of inflation, the government and researchers use a variety of methods to get the most balanced picture of how prices fluctuate in the economy. Two of the most commonly used price indexes are the consumer price index (CPI) and the GDP deflator.
The GDP deflator for this year is calculated by dividing the___using_____by the____using_____and multiplying by 100. However, the CPI reflects only the prices of all goods and services______. Indicate whether each scenario will affect the GDP deflator or the CPI for the United States.
Shows up in the... GDP
Scenario Deflator CPI
A decrease in the price of a Treewood Equipment feller
buncher, which is a commercial forestry machine made
in the U.S. but not bought by U.S. consumers.
An increase in the price of a Japanese-made television
that is popular among U.S. consumers.

Franklin, Inc uses activity-based costing. The company produces X and Y. Information relating to the two products is as follows:
X Y
Units produced 38,000 50,000
Machine-hours 15,000 17,000
Direct labor-hours 16,000 24,000
Materials handling (number of moves) 8,000 12,000
Setups 10,000 14,000
The following costs are reported:
Materials handling $160,000
Labor-related overhead 480,000
Setups 240,000
Labor-related overhead costs assigned to product X are:________
A. $192,000
B. $232,000
C. $288,000
D. $272,500

Friends Appliance uses a perpetual inventory system. The following are three recent merchandising transactions: May 10 Purchased 10 televisions from Sony Center on account. Invoice price, 30,000 per unit. The terms of purchase were 2/10, n/30. May 15 Sold one of these televisions for 35,000 cash. May 18 Sold Two of these television for 37,000 on Account. The credit term is 2/10, n/30. May 20 Paid the account payable to Sony Center within the discount period. May 25 Friends received cash of two televisions with in discount period. Instructions a. Prepare journal entries to record these transactions assuming that Friends records purchases of merchandise at: 1. Net cost 2. Gross invoice price b. Assume that Friends did not pay Sony Center and received cash within the discount period. Prepare journal entries to record this payment and receipt assuming that the original liability and Asset had been recorded at: 1. Net cost 2. Gross invoice price

Consider the following transactions.
1. Receive cash from customers, $15,000.
2. Pay cash for employee salaries, $9,000.
3. Pay cash for rent, $3,000.
4. Receive cash from sale of equipment, $8,000.
5. Pay cash for utilities, $1,000.
6. Receive cash from a bank loan, $4,000.
7. Pay cash for advertising, $7,000.
8. Purchase supplies on account, $3,000.
Required: Post transactions to the Cash T-account and calculate the ending balance. The beginning balance in the Cash T-accow1t is $5,000.

Countries' real GDP per capita growth rates differ largely due to disparities in the rates at which they accumulate ____________ , as well as the rate of _________. In many countries, growth has been achieved through high rates _________ and________ spending.

Suppose a​ student-athlete has the opportunity to earn ​$600,000 next year playing for a minor league baseball​ team, ​$100,000 next year playing for a European professional football​ team, or​ $0 returning to college for another year.
The opportunity cost of the​ student-athlete returning to college next year is ​$

I entered $100,000 and got it wrong.

Transactions for Sunland Company for the month of June are presented below.
June
1 Issues common stock to investors in exchange for $4,080 cash.
2 Buys equipment on account for $1,720.
3 Pays $910 to landlord for June rent.
12 Bills Wil Wheaton $800 for welding work done.
Journalize the transactions. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Record journal entries in the order presented in the problem.)

Problem 10-3A The following section is taken from Hardesty's balance sheet at December 31, 2016. Current liabilities Interest payable $ 46,500 Long-term liabilities Bonds payable (9%, due January 1, 2020) 565,000 Interest is payable annually on January 1. The bonds are callable on any annual interest date. (a) Journalize the payment of the bond interest on January 1, 2017. (b) Assume that on January 1, 2017, after paying interest, Hardesty calls bonds having a face value of $160,000. The call price is 107. Record the redemption of the bonds. (c) Prepare the adjusting entry on December 31, 2017, to accrue the interest on the remaining bonds.

Fox Corporation has provided its contribution format income statement for June. The company produces and sells a single product: sales (2,700 units), $261,900; variable costs, $102,600; contribution margin, $159,300; fixed costs, $136,300; and operating profit, $23,000.If the company sells 3,000 units, its total contribution margin should be closest to _____.A. $25,556

You are the creative director at a Milwaukee ad agency. Today, your copywriters are presenting you with their ideas for several 30-second radio spots for the City of Milwaukee Tourism Bureau, which wants to feature its own information center and tours, as well as city museums, art galleries, concerts, festivals, and special events. When they are ready, the best ideas will be taken to the marketing director at the City of Milwaukee for review and approval.(Scenario ) One copywriter shows you an idea that involves an announcer reading a "top ten" list of cool reasons to visit Milwaukee. What basic guidelines of radio copywriting does this technique address?a. Repeat the brand name.b. Stress the main selling points.c. Stimulate the imagination.d. Tailor copy to a time, place, and audience.

Forming a joint venture with an existing foreign company offers all of the following advantages excepta.providing control over product attributes.b.joining an established firm.c.requiring less commitment from all parties involved in the joint venture.d.providing immediate marketing knowledge.e.providing reduced risk.

The Commerce Ministry of a country conducts regular surveys on goods and services sold within the country. Researchers at the Ministry study consumer behavior through the choices the consumers make while deciding what to buy. Their report on the industry for beverages last year indicated that the price elasticity of demand for fruit juices in the country was? -0.8, while the price elasticity of demand for a particular brand called Fruit Drops was? -1.2. According to the? report, an average consumer spends about 1 percent of his monthly income on fruit juices. A student of? economics, Julio, however feels that the current price elasticity of demand for Fruit Drops is actually higher than? -1.2, based on his own experience in purchasing fruit juices.??More recent reports on consumer behavior in this market indicate that the price elasticity of demand for fruit juices in general is actually higher than? -0.8. Which of the? following, if? true, would support this? claim?A. The number of fruit juice manufacturers has increased substantially in recent years.B. More and more people are choosing to consume fruit juices instead of health drinks because of the extremely high caffeine content in the latter.C. Government has stopped the subsidy it used to provide to producers of fruit juices.D. Market research suggests that as income? increases, people are reducing their consumption of Fruit Drops and moving to other brands.E. Health experts are encouraging people to consume fruits instead of fruit juices because the latter contain harmful preservatives.

Port Ormond Carpet Company manufactures carpets. Fiber is placed in process in the Spinning Department, where it is spun into yarn. The output of the Spinning Department is transferred to the Tufting Department, where carpet backing is added at the beginning of the process and the process is completed. On January 1, Port Ormond Carpet Company had the following inventories:
Finished Goods..................................... $62,000
Work in Process-Spinning Department.........35,000
Work in Process-Tufting Department............28,500
Materials............................................... 17,000
Departmental accounts are maintained for factory overhead, and both have zero balances on January 1. Manufacturing operations for January are summarized as follows:
A. Materials purchased on account . . . . . . . . . . . . . . . .$500,000
B. Materials requisitioned for use:
Fiber—Spinning Department . . . . . . . . . . . . . . . . . . . . . $275,000
Carpet backing—Tufting Department . . . . . . . . . . . . . . . .110,000
Indirect materials—Spinning Departme . . . . . . . . . . . . . . . 46,000
Indirect materials—Tufting Departme. . . . . . . . . . . . . . . . . 39,500
C. Labor used:
Direct labor—Spinning Department . . . . . . . . . . . . . . . . $185,000
Direct labor—Tufting Department. . . . . . . . . . . . . . . . . . . . 98,000
Indirect labor—Spinning Department .. . . . . . . . . . . . . . . . 18,500
Indirect labor—Tufting Department . . . . . . . . . . . . . . . . . . . 9,000
D. Depreciation charged on fixed assets:
Spinning Department . . . . . . . . . . . . . .. . . . . . . . . . . . . . $12,500
Tufting Department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,500
E. Expired prepaid factory insurance
Spinning Department . . . . . . . . . .. . . . . . . . . . . . . . . . . . . $2,000
Tufting Department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000
F. Applied factory overhead:
Spinning Department . . . . . . . . . . . . . . . . . . . . . . . . . . . .$80,000
Tufting Department . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55,000
G. Production costs transferred from Spinning Department to Tufting Department .
$547,000
H. Production costs transferred from Tufting Department to Finished Goods .
$807,200
I. Cost of goods sold during the period . . . . . . . . . . . . . . .$795,200
Instructions
1. Journalize the entries to record the operations, identifying each entry by letter.
2. Compute the January 31 balances of the inventory accounts.
3. Compute the January 31 balances of the factory overhead accounts.

Indirect labor includes:______.
1. labor of employees working directly on the product.
2. labor of the maintenance employees.
3. labor of the clerical staff.

In the midst of closing procedures, Echo Corporation's accountant became ill and was hospitalized. You have volunteered to complete the closing of the books, and you find that all revenue and expense accounts have zero balances. The Dividends account has a debit balance of $18,750. The Retained Earnings accounts has a beginning credit balance of $134,000. Expenses totaled $325,500 and revenues totaled $364,400.
Prepare journal entries to complete the closing procedures as of year-end. To close the Dividends account.

The following are the trial balance and the other information related to Brian Consulting Engineer.
BRIAN CONSULTING ENGINEER
TRIAL BALANCE
DECEMBER 31, 2020
Debit Credit
Cash $29,500
Accounts Receivable 56,200
Allowance for Doubtful Accounts $754
Supplies 2,370
Prepaid Insurance 1,710
Equipment 26,900
Accumulated Depreciation-Equipment 6,232
Notes Payable 7,200
Owner’s Capital 36,778
Service Revenue 117,230
Rent Expense (13 months of rent) 10,595
Salaries and Wages Expense 34,700
Utilities Expenses 1,720
Office Expense 620
Totals $168,255 $168,255
1. Fees received in advance from clients $5,980, which were recorded as revenue.2. Services performed for clients that were not recorded by December 31, $4,558.3. Bad debt expense for the year is $1,328.4. Insurance expired during the year $519.5. Equipment is being depreciated at 10% per year.6. Pearl Perez gave the bank a 90-day, 10% note for $7,200 on December 1, 2017.7. Rent of the building is $815 per month. The rent for 2017 has been paid, as has that for January 2018, and recorded as Rent Expense.8. Office salaries and wages earned but unpaid December 31, 2017, $2,616.Pearl Perez withdrew $16,090 cash for personal use during the year.
1. From the trial balance and other information given, prepare annual adjusting entries as of December 31, 2017.2. Prepare an income statement for 2017.
3. Prepare a classified balance sheet for 2017.
4. Prepare a statement of owner’s equity for 2017.

Frederick Group uses ABC to account for its chrome wheel manufacturing process. Company managers have identified four manufacturing activities that incur manufacturing overhead costs: materials handling, machine setup, insertion of parts, and finishing. The budgeted activity costs for the upcoming year and their allocation bases are as follows:
Activity Total budgeted manufacturing overhead cost Allocation base
Material handeling 8700 Number of parts
Machine setup 4650 Number of setups
Insertion of parts 49300 Number of parts
Finishing 75600 Finishing direct labour hours
Total 138250
Frederick Group expects to produce 1,000 chrome wheels during the year.
The wheels are expected to use 2,900 parts, require 15 setups, and consume 1,800 hours of finishing time. Job 420
Job 420 used 150 parts, required 4 setups, and consumed 120 finishing hours.
Job 510 used 500 parts, required 5 setups, and consumed 320 finishing hours.
Requirements
1.Compute the cost allocation rate for each activity.
2. Compute the manufacturing overhead cost that should be assigned to Job 420.
3. Compute overhead cost that should be assigned to Job510.

The Winston Company estimates that the factory overhead for the following year will be $868,000. The company has decided that the basis for applying factory overhead should be machine hours, which is estimated to be 28,000 hours. The total machine hours for the year were 54,800 hours. The actual factory overhead for the year was $1,723,00.

Required:
a. Determine the total factory overhead amount applied.
b. Calculate the overapplied or underapplied amount for the year.
c. Prepare the journal entry to close Factory Overhead into Cost of Goods Sold.

On March 25, 2021, Phillips Corporation purchased bonds of Atlas Corporation for $132 million and classified the securities as trading securities. On December 31, 2021, these bonds were valued at $150 million. Three months later, on April 3, 2022, Phillips Corporation sold these bonds for $140 million. As part of the multi-step approach to record the 2019 transaction, Phillips Corporation should first update the fair value adjustment by recording:A. An unrealized holding gain of $28 million in 2019.B. A unrealized holding loss of $10 million in 2019.C. An unrealized holding gain of $8 million in 2019.D. A gain of $8 million in 2019.

During the summer you have made the decision to attend summer school, which precludes you from working at your usual summer job in which you normally earn $6,000 for the summer. Your tuition cost is $3,000, books and supplies cost $300, and room and board cost $1,000. The opportunity cost of attending summer school is....

Which of the statements is the best description of a business cycle? the relationship between the returns on Treasury securities and the time to maturity the time it takes a firm to convert raw materials into a final good or service alternating periods of increasing and decreasing economic output a calendar year divided into four quarters, each containing three months