Question & Answer

1.       : What are the first rung, glass ceiling, and bamboo ceiling, and why do you think they have proved to be such barriers to women and underrepresented employees?

Komissarov Company has a debt investment in the bonds issued by Keune Inc. The bonds were purchased at par for $400,000 and, at the end of 2014, have a remaining life of 3 years with annual interest payments at 10%, paid at the end of each year. This debt investment is classified as held-for-collection. Keune is facing a tough economic environment and informs all of its investors that it will be unable to make all payments according to the contractual terms. The controller of Komissarov has prepared the following revised expected cash flow forecast for this bond investment. Dec. 31 Expected Cash Flows 2015 $ 35,000 2016 35,000 2017 385,000 Total cash flows $455,000 Instructions (a) Determine the impairment loss for Komissarov at December 31, 2014. (b) Prepare the entry to record the impairment loss for Komissarov at December 31, 2014. (c) On January 15, 2015, Keune receives a major capital infusion from a private equity investor. It informs Komissarov that the bonds now will be paid according to the contractual terms. Briefly describe how Komissarov would account for the bond investment in light of this new information.

Distinguish among: cash dividends, property dividends, liquidating dividends, and stock dividends.

Archer Inc. issued $4,000,000 par value, 7% convertible bonds at 99 for cash. If the bonds had not included the conversion feature, they would have sold for 95. Prepare the journal entry to record the issuance of the bonds.

Define (a) a contingency and (b) a contingent liability.

O’Neil, Inc. began work on a $7,000,000 contract in 2014 to construct an office building. O’Neil uses the percentage-of-completion method. At December 31, 2014, the balances in certain accounts were Construction in Process $2,450,000; Accounts Receivable $240,000; and Billings on Construction in Process $1,400,000. Indicate how these accounts would be reported in O’Neil’s December 31, 2014, balance sheet.

1.      : What is the underlying communication mistake in this case? Why do you think Howard Clarke sent those e-mails?

In a certain chemical blanking operation, a sulfuric acid etchant is used to remove material from a sheet of magnesium alloy. The sheet is 0.25 mm thick. The screen resist method of masking was used to permit high production rates to be achieved. As it turns out, the process is producing a large proportion of scrap. Specified tolerances of ±0.025 mm are not being achieved. The foreman in the CHM department complains that there must be something wrong with the sulfuric acid. \"Perhaps the concentration is incorrect,\" he suggests. Analyze the problem and recommend a solution.

Match the qualitative characteristics below with the following statements. 1. Relevance 5. Comparability 2. Faithful representation 6. Completeness 3. Predictive value 7. Neutrality 4. Confirmatory value 8. Timeliness (a) Quality of information that permits users to identify similarities in and differences between two sets of economic phenomena. (b) Having information available to users before it loses its capacity to influence decisions. (c) Information about an economic phenomenon that has value as an input to the processes used by capital providers to form their own expectations about the future. (d) Information that is capable of making a difference in the decisions of users in their capacity ascapital providers. (e) Absence of bias intended to attain a predetermined result or to induce a particular behavior.

1.    : Imagine yourself in a situation of being encouraged by colleagues to inflate your expense account. What factors do you think would influence your decision? Explain.

Gordeeva Corporation began selling goods on the installment basis on January 1, 2014. During 2014, Gordeeva had installment sales of $150,000; cash collections of $54,000; cost of installment sales of $102,000. Prepare the company’s entries to record installment sales, cash collected, cost of installment sales, deferral of gross profit, and gross profit recognized, using the installment-sales method.

On December 21, 2014, Zurich Company provided you with the following information regarding its trading investments. December 31, 2014 Investments (Trading) Cost Fair Value Unrealized Gain (Loss) Stargate Corp. shares $20,000 $19,000 $(1,000) Carolina Co. shares 10,000 9,000 (1,000) Vectorman Co. shares 20,000 20,600 600 Total of portfolio $50,000 $48,600 $(1,400) Previous fair value adjustment balance –0– Fair value adjustment—Cr. $ (1,400) During 2015, Carolina Company shares were sold for $9,500. The fair value of the shares on December 31, 2015, was Stargate Corp. shares—$19,300; Vectorman Co. shares—$20,500. Instructions (a) Prepare the adjusting journal entry needed on December 31, 2014. (b) Prepare the journal entry to record the sale of the Carolina Company shares during 2015. (c) Prepare the adjusting journal entry needed on December 31, 2015.

Presented below is a condensed version of the comparative balance sheets for Zubin Mehta Corporation for the last two years at December 31. 2014 2013 Cash $177,000 $ 78,000 Accounts receivable 180,000 185,000 Investments 52,000 74,000 Equipment 298,000 240,000 Accumulated depreciation—equipment (106,000) (89,000) Current liabilities 134,000 151,000 Common stock 160,000 160,000 Retained earnings 307,000 177,000 Additional information: Investments were sold at a loss (not extraordinary) of $10,000; no equipment was sold; cash dividends paid were $30,000; and net income was $160,000. Instructions (a) Prepare a statement of cash flows for 2014 for Zubin Mehta Corporation. (b) Determine Zubin Mehta Corporation’s free cash flow.

Indicate how the hardenability alloying elements in steel affect the TTT curve.

Assume the same information in IFRS16-11, except that Angela Corporation converts its convertible bonds on January 1, 2014. Instructions (a) Compute the carrying value of the bond payable on January 1, 2014. (b) Prepare the journal entry to record the conversion on January 1, 2014. (c) Assume that the bonds were repurchased on January 1, 2014, for $1,940,000 cash instead of being converted. The net present value of the liability component of the convertible bonds on January 1, 2014, is $1,900,000. Prepare the journal entry to record the repurchase on January 1, 2014.

The stockholders’ equity section of Tkachuk Corporation appears below as of December 31, 2014. 8% preferred stock, $50 par value, authorized 100,000 shares, outstanding 90,000 shares $ 4,500,000 Common stock, $1.00 par, authorized and issued 10 million shares 10,000,000 Additional paid-in capital 20,500,000 Retained earnings $134,000,000 Net income 33,000,000 167,000,000 $202,000,000 Net income for 2014 reflects a total effective tax rate of 34%. Included in the net income figure is a loss of $18,000,000 (before tax) as a result of a major casualty, which should be classified as an extraordinary item. Preferred stock dividends of $360,000 were declared and paid in 2014. Dividends of $1,000,000 were declared and paid to common stockholders in 2014. Instructions Compute earnings per share data as it should appear on the income statement of Tkachuk Corporation.

How do brazing and soldering differ from the solid-state welding processes?

During the Covid-19 pandemic, U.S. interest rates were extremely low. Explain how the low interest rates affected businesses’ and households’ behavior to borrow. (LO2)

A part made of sheet steel is to be nickel plated. The part is a rectangular flat plate that is 0.075 cm thick and whose face dimensions are 14 cm by 19 cm. The plating operation is carried out in an acid sulfate electrolyte, using a current = 20 amps for a duration = 30 min. Determine the average thickness of the plated metal resulting from this operation.

Beyoncé Corporation factors $175,000 of accounts receivable with Kathleen Battle Financing, Inc. on a with recourse basis. Kathleen Battle Financing will collect the receivables. The receivables records are transferred to Kathleen Battle Financing on August 15, 2014. Kathleen Battle Financing assesses a finance charge of 2% of the amount of accounts receivable and also reserves an amount equal to 4% of accounts receivable to cover probable adjustments. Instructions (a) What conditions must be met for a transfer of receivables with recourse to be accounted for as a sale? (b) Assume the conditions from part (a) are met. Prepare the journal entry on August 15, 2014, for Beyoncé to record the sale of receivables, assuming the recourse obligation has a fair value of $2,000.

Ansel purchased raw land three years ago for $200,000 to hold as an investment. After watching the value of the land drop to $150,000, he decided to contribute it to Mountainside Developers LLC in exchange for a 5 percent capital and profits interest. Mountainside plans to develop the property and will treat it as inventory, like all of the other real estate it holds. a. If Mountainside sells the property for $150,000 after holding it for one year, how much gain or loss does it recognize, and what is the character of its gain or loss? [Hint: See §724.] b. If Mountainside sells the property for $125,000 after holding it for two years, how much gain or loss does it recognize, and what is the character of the gain or loss? c. If Mountainside sells the property for $150,000 after holding it six years, how much gain or loss is recognized, and what is the character of the gain or loss?

What differences are there between the trial balance before closing and the trial balance after closing with respect to the following accounts? (a) Accounts Payable. (b) Expense accounts. (c) Revenue accounts. (d) Retained Earnings account. (e) Cash.

This year Luke has calculated his gross tax liability at $1,800.  Luke is entitled to a $2,400 nonrefundable personal tax credit, a $1,500 business tax credit, and a $600 refundable personal tax credit.  In addition, Luke has had $2,300 of income taxes withheld from his salary.  What is Luke’s net tax due or refund?

A cylindrical riser is to be designed for a sand casting mold. The length of the cylinder is to be 1.25 times its diameter. The casting is a square plate, each side = 10 in and thickness = 0.75 in. If the metal is cast iron, and the mold constant = 16.0 min/in2 in Chvorinov's rule, determine the dimensions of the riser so that it will take 30% longer for the riser to solidify.

What is a terpolymer?