Payback period was the earliest -Select- selection criterion. The -Select- is a "break-even" calculation in the sense that if a project's cash flows come in at the expected rate, the project will break even. The equation is:

Answer: 1. Capital Budgeting

2. Payback Period

3. Number of Years Prior to Full Recovery + (Unrecovered Cost at Start of Year / Cash flow during the year)

Explanation:

Payback period was the earliest Capital Budgeting selection criterion. The Payback Period is a "break-even" calculation in the sense...

The Payback period is one of the most simple methods in Capital Budgeting and the earliest as well. It simply checked how long it would take to pay back an investment which made it very alluring to investors who wanted to know how long it would be till they started getting a profit.

It therefore essentially checked when the project would Break-Even.

The formula is,

Number of Years Prior to Full Recovery + (Unrecovered Cost at Start of Year / Cash flow during the year)

This means that to calculate the Payback Period, for example, say the investment was $500 and the project brought in $120 for 5 years.

That would mean that in year 4 it would have brought it $480. Year 4 is the Number of Years prior to Full recovery.

The $20 left is the Unrecovered cost at the start of the year and the Cashflow for the year is $120. The Payback is therefore,

= 4 + (20/120)

= 4.17

According to the UN Charter, one of the four purposes of the UN is to:

a. be a center for harmonizing the actions of nations.
b. encourage high tariffs on imports of manufactured goods.
c. provide enhanced protection for patents.
d. promote the establishment of multinational treaties.
e. facilitate globalization of production.

The Crime Prevention Service for Business at Rutgers University School of Criminal Justice defines shrinkage as the difference between the inventory a business should have and what the:

Some construction company has bought a product for $200,000 with a life of three years, and a salvage value of $10,000. Tabulate depreciation and book value using MACRS, Double Declining Balance and straight-line methods. Which method gives the company the largest depreciation after two years?

A company uses a process costing system. Its Welding Department completed and transferred out 100,000 units during the current period. The ending inventory in the Welding Department consists of 30,000 units (75% complete with respect to direct materials and 40% complete with respect to conversion costs). Determine the equivalent units of production for the Welding Department for direct materials and conversion costs assuming the weighted average method.

Suppose your company reports $160 of net income and $40 of cash dividends paid, and its comparative balance sheet indicates the following. Beginning Ending Cash $ 35 $ 205 Accounts Receivable 75 175 Inventory 245 135 Total $ 355 $ 515 Salaries and Wages Payable $ 10 $ 50 Common Stock 100 100 Retained Earnings 245 365 Total $ 355 $ 515 Required: Prepare the operating activities section of the statement of cash flows, using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)

Pitchfork, Inc. is preparing its 2020 financial statements. The company's accountant calculated Income from Continuing Operations to be $1,700,000, but upon further review is not certain this number is accurate. Pitchfork has a corporate income tax rate of 30%. Additionally, the company reports only one year of financial data on the face of the financial statements. All amounts listed are pretax unless otherwise noted. After reviewing the following information, determine the appropriate adjustments, if any, to Income from Continuing Operations. Once you have determined the CORRECT Income from Continuing Operations, complete the remainder of the Income Statement for reporting EPS.

1. On January 1, 2017, Pitchfork purchased a machine for $180,000 with a salvage value of $20,000 and useful life of eight years which was depreciated using the straight-line method. During 2020, Pitchfork decided to change to double-declining-balance method. The $1,700,000 Income from Continuing Operations had already been calculated using the straight-line depreciation method.

Determine the correct ADJUSTMENT to Income from Continuing Operations (ICO) for Depreciation Expense in 2020.

Adjustment for Depreciation Expense (2020):___________

Continuing with the information presented in #1 above, Pitchfork has ICO of $1,700,000 and a corporate tax rate of 30%. Determine if ICO should be adjusted based on the following information:

2. Pitchfork had an unrealized loss from foreign currency translation adjustments of $120,000 (pretax) that was included in calculating the $1,700,000 income from continuing operations.

Adjustment to I.C.O. for Translation Loss from Foreign Currency: __________

Continuing with the information presented in #1 above, Pitchfork Inc has Income from Continuing Operations (ICO) of $1,700,000 and a corporate tax rate of 30%. Determine if ICO should be adjusted based on the following information:

3. During 2020, Pitchfork closed one of its stores for a pre-tax loss of $150,000. This store closure did not qualify as a component of the entity, nor did it create a strategic shift in the operations of the entity. Therefore, it should not be treated as Discontinued Operations. The $150,000 restructuring charges were excluded in determining the $1,700,000 income from continuing operations.

To correct I.C.O., the Adjustment for Restructuring Charges would be $ _________

Continuing with the information presented in #1 above, Pitchfork has Income from Continuing Operations (ICO) of $1,700,000 and a corporate tax rate of 30%. Determine if ICO should be adjusted based on the following information:

4. On April 1, 2019 Pitchfork paid $24,000 for two years rent on office space and at the time debited Rent Expense. No adjusting or correcting entries were made for this transaction in 2019 or 2020.

a. To correct I.C.O for 2020, the correct Rent Expense (after tax) would be: $ _________


b. Determine the amount of the Prior Period Adjustment to be reported on the Retained Earnings Statement to correct the Beginning Balance at Jan 1, 2020: ______

5. Pitchfork sold investments during the year that resulted in a pre-tax loss of $18,000. The company also had unrealized gains on Available for Sale securities of $20,000 (pre-tax). Both of these transactions were excluded in determining the $1,700,000 Income from Continuing Operations calculation.

To correct I.C.O. for 2020, the adjustment for gains/losses on investments would be: $_________

6. Using the adjustments you made in items 1-5 above, determine the CORRECTED Income From Continuing Operations _________

7. Referring to the information presented above in questions 1-6, determine Pitchfork's Comprehensive Income as of year-end: $_________

During 2021, a company sells 500 units of inventory for $95 each. The company has the following inventory purchase transactions for 2021:Calculate cost of goods sold and ending inventory for 2021 assuming the company uses the weighted-average cost method

The following transactions occur for Badger Biking Company during the month of June:

a. Provide services to customers on account for $36,000.
b. Receive cash of $28,000 from customers in (a) above.
c. Purchase bike equipment by signing a note with the bank for $21,000.
d. Pay utilities of $3,600 for the current month.

Required:
Analyze each transaction and indicate the amount of increases and decreases in the accounting equation.

Two different forecasting techniques (F1 and F2) were used to forecast demand for cases of bottled water. Actual demand and the two sets of forecasts are as follows:



PREDICTED DEMAND

Period Demand F1 F2
1 68 63 62
2 75 66 61
3 70 73 70
4 74 65 71
5 69 71 73
6 72 69 73
7 80 70 76
8 78 72 80


a.
Compute MAD for each set of forecasts. Given your results, which forecast appears to be more accurate? (Round your answers to 2 decimal place.)



MAD F1
MAD F2


(Click to select)F1F2None appears to be more accurate.


b.
Compute the MSE for each set of forecasts. Given your results, which forecast appears to be more accurate? (Round your answers to 2 decimal places.)



MSE F1
MSE F2


(Click to select)F1F2None appears to be more accurate.


c.
In practice, either MAD or MSE would be employed to compute forecast errors. What factors might lead a manager to choose one rather than the other?



Either one might already be in use, familiar to users, and have past values for comparison. If (Click to select)control chartstracking signals are used, MSE would be natural; if (Click to select)tracking signalscontrol charts are used, MAD would be more natural.



d.
Compute MAPE for each data set. Which forecast appears to be more accurate? (Round your intermediate calculations to 2 decimal places and and final answers to 2 decimal places.)



MAPE F1
MAPE F2

Popson Inc. incurred a material loss that was unusual in character. This loss should be reported as: Multiple Choice a discontinued operation. a line item between income from continuing operations and income from discontinued operations. a line item within income from continuing operations. a line item in the retained earnings statement.

Required Information
The following information applies to the questions displayed below) Vanishing Games Corporation (VGC) operates a massively multiplayer online game, charging players a monthly subscription of $13. At the start of January 2018, VGC's income statement accounts had zero balances and its balance sheet account balances were as follows:________.
Cash $1,600,000
Accounts Receivable 174,000
Supplies 15,100
Equipment 930,000
Buildings 510,000
Land 2,050,000
Accounts Payable 113,000
Deferred Revenue 74,800
Notes Payable (due 2025) 94,800
Common Stock 2,500,000
Retained Earnings 2,498,100
In addition to the above accounts, VGC's chart of accounts includes the following: Service Revenue, Salaries and Wages Expense, Advertising Expense, and Utilities Expense. The following transactions occurred during the January month:________.
A. Received $57,750 cash from customers on 1/1 for subscriptions that had already been earned in 2017.
B. Purchased 10 new computer servers for $41,500 on 1/2; paid $11,500 cash and signed a three-year note for the remainder owed.
C. Paid $14,300 for an Internet advertisement run on 1/3.
D. On January 4, purchased and received $5,300 of supplies on account.
E. Received $150,000 cash on 1/5 from customers for service revenue earned in January.
F. Paid $5,300 cash to a supplier on January 6.
G. On January 7, sold 19,900 subscriptions at $13 each for services provided during January. Half was collected in cash and half was sold on account.
H. Paid $380,000 in wages to employees on 1/30 for work done in January.
I. On January 31, received an electric and gas utility bill for $6,260 for January utility services. The bill will be paid in February.

FOR BUS LAW I
Certain that Al Gore would emerge victorious from the post-election chaos, Melvin's Decorations ordered 50,000 "President Al Gore" medallions from Medallions, Inc. on December 1, 2000 for $5 per medallion. Delivery was to be on January 10, 2001. By that date, the value of the medallions had fallen to $1 per medallion. Melvin's Decorations refused to accept the medallions because it was clear that George Bush would keep the presidency, and Medallions, Inc. sued for Melvin’s breach. What can Medallions recover? (Assume that there was nothing wrong with the medallions and that Melvin's did breach the contract).
A.
Medallions' lost profit on the deal.
B.
The difference between the contract price and the market price.
C.
Either A or B.
D.
Neither A nor B.

If a perpetual inventory system is in use _____. a physical inventory count is not required because the Inventory account is updated for each purchase and sale. a physical inventory count is not required because the Inventory account is updated every time a transaction or event occurs. a physical inventory count should be taken at least annually. a physical inventory count is required because the Inventory account is not updated when inventory is purchased or sold.

"In July, one of the processing departments at Okamura Corporation had beginning work in process inventory of $13,000 and ending work in process inventory of $18,000. During the month, the cost of units transferred out from the department was $148,000. In the department's cost reconciliation report for July, the total cost to be accounted for under the weighted-average method would be:"

Thorley Inc. is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's projected IRR can be less than the WACC or negative, in both cases it will be rejected. Year 0 1 2 3 4 5 Cash flows -$1,100 $325 $325 $325 $325 $325 a. 15.18% b. 14.59% c. 11.24% d. 13.43% e. 16.20%

Andrew Manufacturing held an average inventory of $1.1 million (raw materials, work-in-process, finished goods) last year. Its sales were $8.0 million, and its cost of goods sold was $5.8 million. The firm operates 260 days a year. What is the inventory day’s supply? What target inventory level is necessary to reach a 20- and 10-day inventory days supply during the next two years?

Required informationUse the following information for the Exercises below.[The following information applies to the questions displayed below.]
Del Gato Clinic deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on June 30, 2015, its Cash account shows an $11,589 debit balance. Del Gato Clinic's June 30 bank statement shows $10,555 on deposit in the bank.
a. Outstanding checks as of June 30 total $1,829.
b. The June 30 bank statement included a $16 debit memorandum for bank services.
c. Check No. 919, listed with the canceled checks, was correctly drawn for $467 in payment of a utility bill on June 15. Del Gato Clinic mistakenly recorded it with a debit to Utilities Expense and a credit to Cash in the amount of $476.
d. The June 30 cash receipts of $2,856 were placed in the bank's night depository after banking hours and were not recorded on the June 30 bank statement.
1. Prepare the adjusting journal entries that Del Gato Clinic must record as a result of preparing the bank reconciliation. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
2. Prepare a bank reconciliation for Del Gato Clinic using the above information:

Restaurants do a large volume of business by credit and debit cards. Suppose Spring Garden Salads restaurant had these transactions on January​ 28, 2016​: National Express credit card sales $10,500 ValueCard debit card sales 6,000 Requirements 1. Suppose Spring Garden Salads' processor charges a 3​% fee and deposits sales net of the fee. Journalize these sales transactions for the restaurant. 2. Suppose Spring Garden Salads' processor charges a 3​% fee and deposits sales using the gross method. Journalize these sales transactions for the restaurant.

Askew Company uses a periodic inventory system. The June 30, 2018, year-end trial balance for the company contained the following information: Account Debit Credit Merchandise inventory, 7/1/17 32,800 Sales 388,000 Sales returns 12,800 Purchases 248,000 Purchase discounts 6,800 Purchase returns 10,800 Freight-in 18,600 In addition, you determine that the June 30, 2018, inventory balance is $40,800. Required: 1. Calculate the cost of goods sold for the Askew Company for the year ending June 30, 2018. 2. Prepare the year-end adjusting entry to record cost of goods sold.

Identify whether each of the following examples belongs to Money aggregates (M1 or M2). If an example belongs in both, be sure to write it down.

a. Sean has $30,000 in a money market account.
b. Musashi has a roll of quarters that he just withdrew from the bank to do laundry.
c. Yvette has $7,000 in a two-year certificate of deposit (CD).

Any type of money that falls into the M2 category is, by definition, part of M1 as well.

a. True
b. False

A man turns 40 today and wishes to provide supplemental lifetime retirement income of 3,000 at the beginning of each month starting on his 65th birthday. Starting today, he makes monthly contribution of X to a fund for 25 years. The fund earns a nominal rate of 8% compounded monthly. Every 9.65 of lifetime income paid at the beginning of each month starting at age 65 will cost 1,000 to purchase. Calculate x.

Cold Goose Metal Works owns 207,500 shares in the Fat Fox Smelting Corp.. If Fat Fox Smelters has 250,000 shares of common stock outstanding, can Cold Goose file a single income tax return that reports the incomes and expenses of both companies? No, because Cold Goose Metal Works’s ownership stake in Fat Fox Smelters is less than or equal to 49%, whereas 50% or more is required by the U.S. Tax Code. Yes, because Cold Goose Metal Works’s ownership stake in Fat Fox Smelters is greater than or equal to 60%, as required by the U.S. Tax Code. Yes, because Cold Goose Metal Works’s ownership stake in Fat Fox Smelters is greater than or equal to 80%, as required by the U.S. Tax Code.

Lisa loves her job as an executive recruiter for a large hospital located in Dallas, Texas. Part of Lisa's job requires her to gather industry information, collaborate with partners, compare competitors, and tap into the knowledge of prospective employees, partners, and customers. Which of the below would Lisa use to perform her job?
A. Interactivity metrics
B. Source code
C. Network effect
D. Collective intelligence

Mary and Kay, Inc., a distributor of cosmetics throughout Florida, is in the process of assembling a cash budget for the first quarter of 20x1. The following information has been extracted from the company’s accounting records:All sales are on account. Sixty percent of customer accounts are collected in the month of sale; 35 percent are collected in the following month. Uncollectibles amounting to 5 percent of sales are anticipated, and management believes that only 20 percent of the accounts outstanding on December 31, 20x0, will be recovered and that the recovery will be in January 20x1.Seventy percent of the merchandise purchases are paid for in the month of purchase; the remaining 30 percenare paid for in the month after acquisition.The December 31, 20x0, balance sheet disclosed the following selected figures: cash, $100,000; accounts receivable, $255,000; and accounts payable, $84,000.Mary and Kay, Inc. maintains a $100,000 minimum cash balance at all times. Financing is available (and retired) in $1,000 multiples at an 8 percent interest rate, with borrowings taking place at the beginning of the month and repayments occurring at the end of the month. Interest is paid at the time of repaying principal and computed on the portion of principal repaid at that time. Additional data: January February MarchSales revenue $630,000 $ 720,000 $ 735,000Merchandise purchases 450,000 480,000 600,000Cash operating costs 111,000 90,000 153,000Proceeds from sale of equipment — — 33,000Required:1. Prepare a schedule that discloses the firm’s total cash collections for January through March.2. Prepare a schedule that discloses the firm’s total cash disbursements for January through March.3. Prepare a schedule that summarizes the firm’s financing cash flows for January through March.

The following account balances are taken from the December 31, 2018, financial statements of ABZ Advertising Company. The company uses accrual basis accounting. Advertising Revenue $ 46,482 Cash 41,516 Accounts Receivable 7,296 Interest Expense 2,299 Accounts Payable 5,000 Operating Expenses 37,460 Deferred Revenue 1,178 Equipment 18,048 Income Tax Expense 2,326 The following activities occurred in 2019: Performed advertising services on account, $55,000. Received cash payments on account, $10,400. Received deposits from customers for advertising services to be performed in 2020, $2,500. Made payments to suppliers on account, $5,000. Incurred $45,000 of operating expenses; $39,000 was paid in cash and $6,000 was on account and unpaid as of the end of the year. Which of the following is the journal entry that will be used to record activity #3? Multiple Choice Debit Cash and credit Accounts Receivable for $2,500. Debit Deferred Revenue and credit Advertising Revenue for $2,500. Debit Deferred Revenue and credit Receivable for $2,500. Debit Cash and credit Deferred Revenue for $2,500.

In January the price of dark chocolate candy bars was $2.00, and Aji’s Chocolate Factory produced 80 pounds. In February the price of dark chocolate candy bars was $2.50, and Aji’s Factory produced 110 pounds. In March the price of dark chocolate candy bars was $3.00, and Aji’s Factory produced 140 pounds.a. Calculate the price elasticity of supply for Aji's Chocolate Factory in February b. Calculate the price elasticity of supply for Aji's Chocolate Factory in March c. If Aji's Factory is nearly at full capacity of production in March, what will happen to Aji's Factory price elasticity of supply in April?

Solve accepted a 60-day, 9 percent note from Pete Houghton in settlement of his past-due account for $6,000. On April 9, Westwood Company discounted the note at the First National Bank. The bank charged a discount rate of 12 percent. What is the amount of the proceeds

The statement of owner's equity shows a. only net income, beginning capital, and withdrawals b. only net income, beginning and ending capital c. only total assets, beginning and ending capital d. beginning and ending capital and all the changes in the owner's capital as a result of net income (loss), and withdrawals

The topic of email is written in _________________.

a) CC Box
b) BCC Box
c) Subject Box
d) None of these

The common stock and debt of Northern Sludge are valued at $62 million and $38 million, respectively. Investors currently require a 16.8% return on the common stock and a/an 7.2% return on the debt. If Northern Sludge issues an additional $21 million of common stock and uses this money to retire debt, what happens to the expected return on the stock? Assume that the change in capital structure does not affect the interest rate on Northern’s debt and that there are no taxes.