Master Business with Fun Quizzes & Brain Teasers!

On its December 31, 2017, balance sheet, Calgary Industries reports equipment of $370,000 and accumulated depreciation of $74,000. During 2018, the company plans to purchase additional equipment costing $80,000 and expects depreciation expense of $30,000. Additionally, it plans to dispose of equipment that originally cost $42,000 and had accumulated depreciation of $5,600. The balances for equipment and accumulated depreciation, respectively, on the December 31, 2018 budgeted balance sheet are: a) $450,000; $98,400. b) $450,000; $104,000. c) $408,000; $104,000. d) $328,000; $74,000. e) $408,000; $98,400.
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Park Corporation is planning to issue bonds with a face value of $710,000 and a coupon rate of 7.5 percent. The bonds mature in 8 years and pay interest semiannually every June 30 and December 31. All of the bonds were sold on January 1 of this year. Park uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 8.5 percent. (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided. Round your final answer to whole dollars.) Required 1. Prepare the journal entry to record the issuance of the bonds. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
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Given the following information regarding an income producing property, determine the internal rate of return (IRR) using levered cash flows. Expected Holding Period: 5 years; 1 year Expected NOI: $89,100; 2 year Expected NOI: $91,773; 3 year Expected NOI: $94,526; 4 year Expected NOI: $97,362; 5 year Expected NOI: $100,283; Debt Service in each of the next five years: $58,444; Current Market Value: $885,000; Required equity investment: $221,250; Net Sale Proceeds of Property at end of year 5: $974,700; Remaining Mortgage Balance at end of year 5: $631,026.A) 10.6%B) 12.2%C) 22.9%D) 33.4%
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Statement of Cash Flows Colorado Corporation was organized at the beginning of the year, with the investment of $251,500 in cash by its stockholders. The company immediately purchased an office building for $304,900, paying $212,700 in cash and signing a three-year promissory note for the balance. Colorado signed a five-year, $60,500 promissory note at a local bank during the year and received cash in the same amount. During its first year, Colorado collected $93,970 from its customers. It paid $66,500 for inventory, $20,500 in salaries and wages, and another $4,000 in taxes. Colorado paid $6,200 in cash dividends.Required1. Prepare a statement of cash flows for the years2. What does this statement tell you that an income statement does not?
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On January 1, 2021, NFB Visual Aids issued $720,000 of its 20-year, 8% bonds. The bonds were priced to yield 10%. Interest is payable semiannually on June 30 and December 31. NFB Visual Aids records interest expense at the effective rate and elected the option to report these bonds at their fair value. On December 31, 2021, the fair value of the bonds was $600,000 as determined by their market value in the over-the-counter market. General (risk-free) interest rates did not change during 2021. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.) Required: 1-a. Determine the price of the bonds at January 1, 2021. 1-b to 4. Prepare the necessary Journal entries.
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The mean value of land and buildings per acre from a sample of farms is $1400, with a standard deviation of $200. The data set has a bell-shaped distribution. Assume the number of farms in the sample is 74. (a) Use the empirical rule to estimate the number of farms whose land and building values per acre are between $1200 and $1600. (b) If 29 additional farms were sampled, about how many of these additional farms would you expect to have land and building values between $1200 per acre and $1600 per acre?
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U.S. employees work harder now than ever before, and almost 75 percent report regularly experiencing job-related stress symptoms. Stress costs organizations an estimated $30 billion a year in lost productivity, and hundreds of billions a year if you include health care costs and absenteeism. This activity is important because managers can help to decrease unnecessary workplace stressors, and can help employees to experience fewer stress symptoms, if they are attuned to the sources from which workplace stress can manifest. The goal of this exercise is to challenge your knowledge of the six sources of work-related stress.For each person, select the source of job-related stress that his or her example best depicts:a. Demands created by individual differencesb. Individual task demandsc. Individual role demandsd. Worklife balancee. group demandsf. Organizational demands
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Imagine that Arts Flower Shop has blossomed into a large, sophisticated corporation, that advertises in the yellow pages and also spends thousands each year in its online advertising. Imagine also that the local government has required advertising services to buy a license, to raise money for the city.
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If the price of a bottle of orange juice is $1.50, then consumer surplus is an amount equal to the area A. under the demand curve and above the $1.50 price for each individual who buys and consumes orange juice. B. above the demand curve for each individual who buys and consumes orange juice. C. under the demand curve for each individual who buys and consumes orange juice. D. under the demand curve and above the $0.75 price for each individual who buys and consumes orange juice.
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If the company uses the horizontal linkage model, how can the software development department expect to do its work? Check all that apply. (a)-Software development employees will receive customer feedback about whether the products are helpful to students.(b)- Software development employees will have opportunities to tell the research and marketing departments if a new product idea cannot be brought to market in a timely or cost-effective manner.(c)-Instead of getting orders from the top management about what products to make, based on what the research department recommends, software development employees will participate on teams that collect data and make decisions. (d)-The software development department will not have contact with people and ideas outside the organization, such as educational think tanks and open source app developers.
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If an HR manager is reviewing a list of interview questions to ensure that they will accurately measure the employee characteristics she is looking for, she is checking for...reliability cognitiontrustworthinessvalidity If you have all of the answers to this quiz may you please help me out i am struggling with this
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If the coupon interest rate is 4.375% for the first six months and changes to a rate equal to the 10-year Treasury bond rate plus 1.3% thereafter, the bond is called a bond. Which feature of a bond contract allows the issuer to redeem a bond issue immediately in its entirety at an amount greater than par value prior to maturity? Deferred call provision Call provision Put provision Convertible provision Which term is used to describe a call provision in which the issuer is prevented from calling a portion or the entire issue for several years during the early years of the bond issue? Sinking fund provision Declining call provision Deferred call provision
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If average household income increases by 20%, from $50,000 to $60,000 per year, the quantity of rooms demanded at the Triple Sevens Rises from 300 rooms per night to 350 rooms per night. Therefore, the income elasticity of demand is positive , meaning that hotel rooms at the Triple Sevens area normal good .
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If the coupon interest rate is 4.375% for the first six months and changes to a rate equal to the 10-year Treasury bond rate plus 1.3% thereafter, the bond is called afloating-rate bond. The contract that describes the terms of a borrowing arrangement between a firm that sells a bond issue and the investors who purchase the bonds is called the . When are issuers more likely to call an outstanding bond issue? When interest rates are lower than they were when the bonds were issued When interest rates are higher than they were when the bonds were issued.
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If consumer wealth decreases as the stock market plunges, then (3 points) there is a movement down the AD curve as price level decreased. AD shifts right and price level would decrease. AD shifts right and price level would increase. AD shifts left and price level would decrease. AD shifts left and the price level would increase.
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Eaton Tires manufactures tires for dune buggies and has two different products, nubby tires and smooth tires. The company produces 5,000 nubby tires and 10,000 smooth tires each year and incurs $172,000 of overhead costs. The following information is available: Activity Total Cost Cost Driver Materials handling $60,000 Number of requisitions Machine setups 55,000 Number of setups Quality inspections 57,000 Number of inspections For the nubby tires, the company has 400 requisitions, 200 setups, and 200 inspections. The smooth tires require 600 requisitions, 300 setups, and 400 inspections. Determine the overhead rate for each activity.
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Workers are responsible for the production of goods in a business, but business owners exploit their workers. A) Workers should revolt, B) take over the businesses, C) set up a government to run the economy on their behalf. Which political thinker would be most likely to agree with this statement
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Darden Corporation uses the weighted-average method in its process costing system. The first processing department, the Welding Department, started the month with 21,400 units in its beginning work in process inventory that were 10% complete with respect to conversion costs. The conversion cost in this beginning work in process inventory was $24,700. An additional 101,000 units were started into production during the month. There were 34,000 units in the ending work in process inventory of the Welding Department that were 70% complete with respect to conversion costs. A total of $853,880 in conversion costs were incurred in the department during the month. The cost per equivalent unit for conversion costs for the month is closest to:_______a. $8.486b. $9.965c. $8.738d. $9.200
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Which type of business proposal or report is most likely to capture the attention of your manager? Explain your choice using information from this reading week's material. The use of social platforms, electronic and web-based communication is on the rise. How would you effectively include electronic and social media to reach a wider audience? Create and share the plan you develop using the AIDA model. (Hint: AIDA Attention, Interest, Desire, Action)
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Wright Company's cash account shows a $27,700 debit balance and its bank statement shows $26,000 on deposit at the close of business on May 31. The May 31 bank statement lists $110 in bank service charges; the company has not yet recorded the cost of these services. Outstanding checks as of May 31 total $5,700. May 31 cash receipts of $6,300 were placed in the banks night depository after banking hours and were not recorded on the May 31 bank statement. In reviewing the bank statement, a $410 check written by Smith Company was mistakenly drawn against Wrights account. The bank statement shows a $580 NSF check from a customer; the company has not yet recorded this NSF check. Prepare its bank reconciliation using the above information.
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Why is determining the selling price in the global marketplace an extremely difficult task? A.Many countries still have rules governing the competitive marketplace, including those that affect pricing.B.The major challenge is identifying the elements that need to be adapted to be effective in the global marketplace.C. Distribution can be challenging in some countries if the transportation infrastructure is inadequate.D. Differences in language, customs, and culture also complicate marketers' ability to communicate with customers in various countries.E. The number of firms with which the seller needs to deal to get its merchandise to the consumer determines the complexity of a channel
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During the current year, Merkley Company disposed of three different assets. On January 1 of the current year, prior to the disposal of the assets, the accounts reflected the following: Asset Original Cost Residual Value Estimated Life Accumulated Depreciation (straight line) Machine A $ 39,000 $ 3,000 6 years $ 24,000 (4 years) Machine B 53,000 4,000 8 years 36,750 (6 years) Machine C 76,900 5,200 17 years 50,612 (12 years) The machines were disposed of during the current year in the following ways: a. Machine A: Sold on January 1 for $14,500 cash. b. Machine B: Sold on December 31 for $10,725; received cash, $2,300, and a $8,425 interest-bearing (12 percent) note receivable due at the end of 12 months. c. Machine C: On January 1, this machine suffered irreparable damage from an accident. On January 10, a salvage company removed the machine at no cost. Required: Give all journal entries related to the disposal of each machine in the current year. a. Machine A. b. Machine B. c. Machine C.
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Telecomp is a U.S.-based manufacturer of cellular telephones. It is planning to build a new manufacturing and distribution facility in either South Korea, China, Taiwan, Poland, or Mexico. The cost of the facility will differ between countries and will even vary within countries depending on the economic and political climate, including monetary exchange rates. The company has estimated the facility cost (in $ millions) in each country under three different future economic/political climates as follows.Economic/Political Climate Country Decline Same Improve South Korea 21.7 19.1 15.2 China 19.0 18.5 17.6 Taiwan 19.2 17.1 14.9 Poland 22.5 16.8 13.8 Mexico 25.0 21.2 12.5 Determine the best decision using the following decision criteria. (Note that since the payoff is cost, the maximax criteria becomes minimax and maximin becomes minimax.) a. Maximin b. Minimax c. Hurwicz ( 0.40) d. Equal likelihood
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Statements of financial position on December 31, Year 1, and December 31, Year 2, are presented below. Dec 31, Dec. 31, Year 1 Year 2 Assets Cash 50,000 $ 60,000 Accounts receivable 95,000 89,000 Allowance for uncollectible accounts (4.000) (3.000) Inventory 120,000 140,000 Property, plant, and equipment 295,000 340,000 Accumulated depreciation (102,000) (119.000) Total Assets $ 454.000 $507.000 Liabilities and equity: Trade accounts payable $ 62,000 $ 49,000 Interest payable 8,000 11.000 Bonds payable 200,000 200,000Unamortized bond discount (15,000) (10,000)Equity 199,000 257,000Total liabilities and equity $454,000 $507,000Additional information for Year 2: 1. Sales revenue was $338,000 2. $3.000 of accounts receivable was written off Cash collections from customers in Year 2 were 200.00 332 A. $344,000B. $341,000 C. $335.000 D. $338,000
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