Criticize the following working paper that you are reviewing as senior auditor on the December 31 audit of Pratt Company.
Pratt Company Cash
Per bank $44,874.50,/
Deposit in transit 5,843.10(1)
Bank Charges (2.80)(2)
Outstanding checks
1,246.40,/
3,412.72,/
840.00,/
1,013.60 (3)
1,200.00(3)
967.50V 8,680.22
Per ledger f $42,034.58, /
f Footed column
/ Verified
(1) The client saved a copy of the deposit slip that is filled out. Per discussion with client. this represents cash sales on 12/31/XO. I agreed totals to the Cash Receipts Journal on 12/31/XO. Properly posted on bank statement as having been received by bank on 1/9/X1 .
(2) Represents December bank service charge. Agreed charge to December bank statement in which bank charged client $2.80. Recorded as cash disbursement in January of 20X1.
(3) Per client, check written (to pay account receivable) before year-end, but not mailed until 1/2/X1 because on 12/31/XO the last office mail was picked up at 3 p.m. due to year-end party of mail room employees.
J.M.W
1-15-X1

Answers

Answer 1

After reviewing the working paper for Pratt Company's cash on December 31st, there are a few concerns that I have as a senior auditor. Firstly, the deposit in transit of $5,843.10 needs further verification.

While the client has saved a copy of the deposit slip, it would be prudent to confirm with the bank that they have received the funds and included it in the balance as of December 31st. Additionally, the fact that it was recorded as received by the bank on January 9th raises questions about the timing and accuracy of the recorded cash balance.



Secondly, the bank charges of $2.80 recorded as a cash disbursement in January 20X1 should have been recorded as an expense in December 20X0, when the charge was incurred.



Lastly, the outstanding checks totaling $8,680.22 raise concerns about their validity. While the check written before year-end but not mailed until January 2nd can be verified with the payee, the other outstanding checks need to be further investigated to ensure they are still valid and have not been cancelled or otherwise accounted for.

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Related Questions

new image hair salon hires a firm to conduct a survey to determine the frequency of salon visits.

Answers

To answer your question, new image hair salon is interested in finding out how often their customers visit the salon. They have hired a firm to conduct a survey to gather this information. The survey will ask customers how often they typically visit the salon, and the responses will be used to determine the frequency of salon visits.


To ensure that the survey is effective, it will need to be designed carefully. The questions should be clear and easy to understand, and the survey should be distributed to a representative sample of the salon's customer base. It's important to gather a large enough sample size to ensure that the data is statistically significant and can be used to make informed decisions about the salon's marketing and operations.
it's clear that understanding customer behavior and preferences is critical for businesses to succeed. By conducting a survey, new image hair salon is taking an important step in gathering the information they need to make informed decisions about their business. By analyzing the frequency of salon visits, they can determine how often customers are coming in and make adjustments to their marketing and operations to increase customer loyalty and retention.

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which one of the following is not part of the leadership task of putting constructive pressure on the organization to achieve good results and operating excellence?
Using empowerment to help create a fully engaged workforce
Using the tools of benchmarking, best practices, business process reengineering, TQM, and Six Sigma to focus attention on making continuous improvements in internal operations
Using the full range of motivational techniques and compensation incentives to inspire company personnel, nurture a results-oriented work climate, and reward high performance
Providing employees with a stream of suggestions for improving company operations and eliminating negative or punitive elements from the company's reward system
Setting stretch objectives and communicating an expectation that company personnel are to do their best in achieving performance targets

Answers

The leadership task of putting constructive pressure on the organization to achieve good results and operating excellence involves various techniques and strategies. The correct answer to the question is "providing employees with a stream of suggestions for improving company operations and eliminating negative or punitive elements from the company's reward system."

This is because providing suggestions and eliminating negative elements is not considered a leadership task that puts constructive pressure on the organization. However, it is still an important task that contributes to the improvement of internal operations and employee engagement.

On the other hand, using empowerment, benchmarking, best practices, business process reengineering, TQM, Six Sigma, motivational techniques, compensation incentives, and setting stretch objectives are all important leadership tasks that can help improve the organization's performance. Empowerment can create a fully engaged workforce, benchmarking and best practices can focus attention on making continuous improvements, and setting stretch objectives can motivate employees to do their best in achieving performance targets.

By using these techniques, leaders can create a results-oriented work climate and reward high performance, ultimately achieving good results and operating excellence. The correct answer to the question is "providing employees with a stream of suggestions for improving company operations and eliminating negative or punitive elements from the company's reward system."

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market share percentage is an example of which performance measure category?

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Market share percentage is an example of a market performance measure.

What is the market performance measure?

Marketing performance measurement (MPM) is a term used by marketing professionals to describe the analysis and improvement of the efficiency and effectiveness of marketing. This is accomplished by focusing on the alignment of marketing activities, strategies, and metrics with business goals. The marketing strategy that focuses on measuring, managing, and analyzing market performance is referred to as marketing analytics.

How is market performance measured?

Marketing performance can be measured by selecting important metrics and key performance indicators — from return on investment to cost per lead.

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Staff members on your unit raise concern that there is rising acuity on the unit and lack of responsiveness in addressing these needs through appropriate staffing. They point to increased incidences of adverse and sentinel events on the unit. To address this concern, your hospital organization would do best to:
a. Implement a patient classification system immediately.
b. Participate in databases that compare the outcomes and staffing levels versus those of institutions similar to yours.
c. Provide increased numbers of staff to the unit.
d. Ignore such concerns because acuity is variable.

Answers

To address the rising acuity on the unit and lack of responsiveness in addressing these needs through appropriate staffing.

Option B, participating in databases that compare outcomes and staffing levels versus similar institutions, is the most appropriate response to the concerns raised by staff members. By participating in such databases, the hospital organization can gain valuable insights into how their staffing levels and outcomes compare to other similar institutions. This allows them to identify any potential gaps or areas for improvement in addressing the rising acuity and adverse events on the unit.

Implementing a patient classification system (option A) may help with workload management, but it may not directly address the concerns of lack of responsiveness and adverse events. Providing increased numbers of staff to the unit (option C) could be a solution, but it should be based on data and analysis rather than solely relying on staff members' concerns. Ignoring the concerns (option D) is not a proactive approach and may lead to further complications and risks.

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in a transaction for the sale of a bank building at an amount in excess of the original purchase price, any previously taken straight-line depreciation is: a. recaptured as ordinary income. b. treated as capital gain under regular capital gain rules. c. ignored for the calculation of capital gains. d. treated as capital gain taxed at 25%.

Answers

The correct answer is a. When a bank building is sold at an amount higher than its original purchase price, any previously taken straight-line depreciation is recaptured as ordinary income.

This means that the amount of depreciation that was taken as an expense in previous years is now considered as income in the year of sale. The recaptured depreciation is taxed at the ordinary income tax rate, which is typically higher than the capital gains tax rate. This is because the depreciation deduction reduced the amount of taxable income in previous years, resulting in a lower tax liability. Therefore, when the property is sold, the government "recaptures" some of the previously saved taxes. It is important to note that this recapture rule only applies to the amount of depreciation that was taken, and not to any remaining basis in the property.

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Which of these managerial actions is a concurrent mechanism that should deter employee theft? O A. Treat employees with dignity and respect. O B. Involve employees in writing policies. C. Use careful prehiring screening. D. Educate and train employees about policies. E. Redesign control measures.

Answers

The concurrent mechanism that should deter employee theft is E. Redesign control measures. This involves implementing measures to monitor and control access to company assets, such as using security cameras, limiting access to certain areas, and conducting regular inventory checks.

This can help prevent theft and also send a message to employees that the company takes theft seriously. While the other options listed can also be effective in preventing employee theft, they are not specifically considered concurrent mechanisms.

Redesigning control measures refers to implementing or improving systems, procedures, and safeguards to minimize opportunities for employee theft. By modifying existing controls or introducing new ones, such as surveillance systems, access controls, inventory tracking, or auditing mechanisms, organizations can actively discourage and detect instances of theft.

While all of the options mentioned can contribute to fostering a positive work environment and reducing theft to some extent, the concurrent mechanism that directly addresses employee theft prevention is the redesign of control measures. Hence, E is the correct option.

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compare and contrast the types of companies that stand to benefit the most from a social media strategy, and those that might want to limit their exposure

Answers

When it comes to social media strategy, different types of companies will have varying levels of success and may need to adjust their level of exposure accordingly.

The first group that stands to benefit the most are businesses with a strong brand identity and customer engagement. This includes companies that sell products that are visually appealing, such as fashion or beauty items, as well as those that sell experiences, like restaurants or travel agencies. These companies can showcase their products and services on social media, engage with customers, and build a community around their brand.
On the other hand, companies that sell more complex or niche products or services may want to limit their exposure on social media. For example, businesses that offer specialized B2B services may not see as much success on social media platforms, as their target audience may not be as active or engaged in these spaces. Additionally, companies that operate in heavily regulated industries, like finance or healthcare, may be limited in what they can share on social media due to compliance and regulatory concerns.
Overall, companies that invest in a strong social media strategy can see significant benefits in terms of brand awareness, customer engagement, and ultimately, sales. However, it is important for companies to assess their unique needs and goals to determine whether or not a social media presence is the right fit for them.

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People and nations specialize in what they do best relative to others. The resulting benefits are referred to as the _____ trade.
A. downside of
B. deterrents to
C. barriers to
D. gains from

Answers

People and nations specialize in what they do best relative to others. The resulting benefits are referred to as the gains from trade. Option D is correct.

Specialization and trade are two fundamental economic concepts that promote the efficient use of resources. When people or nations specialize in producing goods and services that they can produce at a lower cost and trade them with others, they both benefit from the exchange. The gains from trade are the increased production, consumption, and economic welfare that result from specialization and trade. The gains from trade are realized because of the differences in the opportunity cost of producing goods and services among countries, which creates a comparative advantage.

Comparative advantage is the ability of a country to produce a good or service at a lower opportunity cost than another country. By specializing in producing goods and services that they have a comparative advantage in, countries can increase their productivity and efficiency, which leads to lower costs and increased output. Therefore, specialization and trade create gains from trade that benefit all participating nations.

Option D is correct.

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The following table shows the demand, supply, and price of tulips in the Netherlands. If the world price of tulips is $4 and there are no trade restrictions, the Netherlands will:
Domestic Supply and Demand for Tulips in the Netherlands Demand Demand Supply Supply
Q P($) Q P($)
12,000 0 6,000 0
10,000 1 7,000 1
8,000 2 8,000 2
6,000 3 9,000 3
4,000 4 10,000 4
a. produce 10,000, consume 4,000, and import 6,000 tulips.
b. produce 10,000, consume 4,000, and export 6,000 tulips.
c. produce 4,000, consume 10,000, and import 6,000 tulips.
d. produce 9,000, consume 6,000, and export 6,000 tulips.
e. import all of the tulips that it consumes.

Answers

The option B: the Netherlands will produce 10,000, consume 4,000, and export 6,000 tulips.

According to the table, when the price of tulips is $4, the domestic supply in the Netherlands is 10,000 and the domestic demand is 4,000. This means that the Netherlands will produce 10,000 tulips to meet its domestic demand and have an excess of 6,000 tulips.

Since there are no trade restrictions and the world price of tulips is also $4, the Netherlands will export its excess supply of 6,000 tulips to other countries. This will increase the Netherlands' overall economic welfare as it can sell its tulips at the world price and earn more revenue.

Step 1: Find the domestic equilibrium point. In this case, the equilibrium point is at a price of $2, with a quantity of 8,000 tulips (where demand and supply meet).

Step 2: Compare the world price ($4) to the domestic equilibrium price ($2). The world price is higher, meaning there is an opportunity for the Netherlands to sell tulips internationally at a better price.

Step 3: Find the domestic quantity supplied and demanded at the world price. At the world price of $4, the domestic demand is for 4,000 tulips, and the domestic supply is 10,000 tulips.

Step 4: Calculate the difference between the quantity supplied and demanded at the world price. The difference is 10,000 - 4,000 = 6,000 tulips, which will be exported.

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.At which stage in Tuckman’s Model, is trust low?
Multiple Choice
forming
storming
norming
performing
adjourning

Answers

In Tuckman's Model, trust is typically low during the "storming" stage.

According to Tuckman's Model, the stage where trust is typically low is during the "storming" stage. This is the second stage of the model, following the "forming" stage. During the storming stage, group members may have conflicting ideas and goals, and there may be some competition for leadership roles or power within the group. This can lead to tensions and a lack of trust between members. However, once these conflicts are resolved and the group begins to work together more effectively, they can move into the "norming" stage, where trust and cooperation begin to increase. Ultimately, the goal is to reach the "performing" stage, where the group is functioning at its highest level.
In Tuckman's Model, trust is typically low during the "storming" stage. This stage is characterized by conflicts and competition among team members as they establish their roles and express opinions on goals and tasks. As the team progresses through the subsequent stages, trust tends to increase.

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suppose ms. firth faces a marginal tax rate of 26%. ms. firth considers investing in one of the following two bonds: a corporate bond with a 7.50% interest rate, and the other is a tax-free municipal bond with a 4.00% interest rate. ceteris paribus, which bond should ms. firth choose? either bond because the tax-free rate on the corporate bond is the same as the rate paid on the municipal bond the corporate bond because the tax-free rate on the corporate bond is 5.55% the municipal bond because the tax-free rate on the corporate bond is 4.3% the municipal bond because it is a tax-free bond

Answers

Ms. Firth should choose the municipal bond with a 4.00% interest rate because it is a tax-free bond. The marginal tax rate of 26% means that Ms. Firth would have to pay taxes on the interest earned from the corporate bond. Therefore, the actual rate of return on the corporate bond would be reduced by 26% of the interest rate, which would result in a lower effective interest rate.

To calculate the effective interest rate on the corporate bond, we can subtract 26% of the 7.50% interest rate from the original rate, which gives us an effective interest rate of 5.55%. This is still higher than the 4.00% interest rate on the municipal bond, but it is lower than the tax-free rate.

Thus, considering the marginal tax rate, Ms. Firth should choose the municipal bond with a 4.00% interest rate as it provides a higher effective interest rate due to being tax-free.

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You have the following payoff table for a decision analysis problem. Payoffs are in units of thousands of dollars of profit. STATE OF NATUREALTERNATIVES Si S2 S3 d1 3 3 9 d2 4 7 6 d3 2 6 7 a. Which decision alternative would you choose using an optimistic approach? b. Which decision alternative would you choose using a conservative approach? c. Which decision alternative would you choose using the Minimax Regret approach? = For parts d and e, assume that P(s) = 0.2, P(s) = 0.3, and P(sz) = 0.5. d. Which decision alternative would you choose using the EV approach? e. What would be the value of perfect information?

Answers

To determine the optimal decision alternatives using different decision analysis approaches, we will evaluate the given payoff table. Payoffs are in units of thousands of dollars.

Payoff Table:

         | State of Nature

Alternatives| S1  | S2  | S3

-----------------------------

d1         |  3  |  3  |  9

d2         |  4  |  7  |  6

d3         |  2  |  6  |  7

a. Optimistic Approach:

In the optimistic approach, we select the decision alternative with the highest possible outcome for each state of nature.

d1: Max(3, 3, 9) = 9

d2: Max(4, 7, 6) = 7

d3: Max(2, 6, 7) = 7

According to the optimistic approach, the decision alternative with the highest possible payoff is d1, which yields 9.

b. Conservative Approach:

In the conservative approach, we select the decision alternative with the lowest possible payoff for each state of nature.

d1: Min(3, 3, 9) = 3

d2: Min(4, 7, 6) = 4

d3: Min(2, 6, 7) = 2

According to the conservative approach, the decision alternative with the lowest possible payoff is d3, which yields 2.

c. Minimax Regret Approach:

In the minimax regret approach, we calculate the maximum regret for each decision alternative by finding the difference between the maximum payoff for each state of nature and the corresponding payoffs for each alternative.

For d1:

Regret(d1) = Max(3, 3, 9) - Payoff(d1) = 9 - 9 = 0

Regret(d2) = Max(4, 7, 6) - Payoff(d2) = 7 - 4 = 3

Regret(d3) = Max(2, 6, 7) - Payoff(d3) = 7 - 2 = 5

The decision alternative with the minimum maximum regret is d1, which has a regret of 0.

d. Expected Value (EV) Approach:

In the EV approach, we calculate the expected value for each decision alternative by multiplying the payoff for each alternative in each state of nature by the corresponding probabilities, and then summing them up.

EV(d1) = (3 * 0.2) + (3 * 0.3) + (9 * 0.5) = 1.2 + 0.9 + 4.5 = 6.6

EV(d2) = (4 * 0.2) + (7 * 0.3) + (6 * 0.5) = 0.8 + 2.1 + 3 = 5.9

EV(d3) = (2 * 0.2) + (6 * 0.3) + (7 * 0.5) = 0.4 + 1.8 + 3.5 = 5.7

According to the EV approach, the decision alternative with the highest expected value is d1, with an expected value of 6.6.

e. Value of Perfect Information (VoPI):

To calculate the value of perfect information, we compare the expected value of the best decision alternative with perfect information to the expected value without perfect information.

VoPI = EV(Best Decision Alternative with Perfect Information) - EV(Best Decision Alternative without Perfect Information).

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paulette is age 32, single, and reported agi of $72,000 in tax year 2021. she is an active participant in her employer's pension plan. what amount of deductible ira contribution is disallowed in 2021?

Answers

Paulette's deductible IRA contribution in 2021 would be disallowed in full due to her active participation in her employer's pension plan.

When an individual is an active participant in an employer-sponsored retirement plan, such as a pension plan, their ability to deduct contributions to a Traditional IRA may be limited based on their income. In 2021, if Paulette's filing status is single and she actively participates in her employer's pension plan, the phase-out range for deductible IRA contributions begins at an adjusted gross income (AGI) of $66,000 and ends at $76,000.

Since Paulette's AGI is $72,000, which falls within the phase-out range, her deductible IRA contribution would be partially or fully disallowed. In her case, the full amount of her deductible IRA contribution would be disallowed, meaning she would not be able to claim any deduction for her IRA contribution on her tax return for 2021. It's important to note that while the deductible IRA contribution is disallowed, Paulette can still contribute to an IRA account, but the contribution would not provide a tax deduction in the given tax year.

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True or false: and why
1- The current condition of extreme government indebtedness is not an acute concern to many because of government's ability to print their own money.
2- The primary purpose of a default premium is to measure of an issuer's future financial prospects.
3- In the event of bankruptcy liquidation, debt holders are repaid, then common share holders and then preferred shareholders.
4- Bonds are considered fixed income instruments because their terminal value and yield to maturity are known and will not change.

Answers

1- True. The current condition of extreme government indebtedness is not an acute concern to many because governments have the ability to print their own money. This allows them to manage debt levels and potentially reduce the burden of their obligations.

2- False. The primary purpose of a default premium is to compensate investors for the additional risk associated with lending to an issuer with a higher probability of default, not necessarily to measure the issuer's future financial prospects.3- False. In the event of bankruptcy liquidation, the repayment order is typically debt holders first, followed by preferred shareholders, and then common shareholders.

4- True. Bonds are considered fixed income instruments because their terminal value and yield to maturity are known and will not change. This provides a predictable and stable income stream for investors.

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Lauren's Beauty Boutique has experienced the following weekly sales:
Week Sales
1 432
2 396
3 415
4 458
5 460
Forecast sales for week 6 using the following methods. (Round answers to 1 decimal place, e.g. 15.2.)
The naive method:
A simple average:
A three period moving average:

Answers

Lauren's Beauty Boutique can forecast the sales for week 6 using three different methods.

What are the three methods to forecast sales for week 6 at Lauren's Beauty Boutique?

The naive method calculates the forecast for week 6 by assuming that the sales will be the same as the previous week, which is 460 units. The simple average method calculates the forecast by taking the average of the sales over the past five weeks, resulting in a forecast of 432.2 units. The three-period moving average method calculates the forecast by averaging the sales from the three most recent weeks, giving a forecast of 457.7 units for week 6.

The naive method is a simplistic approach that assumes no significant changes in sales patterns. The simple average method provides a more balanced forecast by considering the overall sales trend. However, it may not capture short-term fluctuations.

The three-period moving average method offers a compromise between the previous two methods by considering a shorter time frame, which can be useful in capturing recent changes in sales. It's important to note that these methods are based solely on historical data and do not account for potential external factors that could affect sales.

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Blue laws​ (bans on stores being open for business on Sunday or the ban on certain items being sold on​ Sunday) are an example of​ ________.

A. Price ceilings

B. Command−and−control regulation

C. Price floors

D. Sales taxes

Answers

Blue laws​ (bans on store) are an example of​ command-and-control regulation. The Option B.

What are blue laws and how its fit into regulation?

Blue laws refers to government regulations that prohibit certain activities or sales on Sundays which is often based on religious beliefs. For example, some blue laws ban stores from being open for business on Sundays or restrict the sale of certain items such as alcohol.

These laws are an example of command-and-control regulation where the government sets specific rules and enforces them through legal means. The aim of blue laws is typically to promote religious observance or provide a day of rest for workers.

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since service industries do not produce a tangible product, often customer satisfaction may be a matter of ______

Answers

Since service industries do not produce a tangible product, often customer satisfaction may be a matter of intangible experiences and perceptions.

In service industries, the primary offering is the delivery of intangible services rather than physical goods. Customer satisfaction in such industries is often influenced by intangible factors such as experiences, interactions, and perceptions. Unlike tangible products, services cannot be seen, touched, or measured in the same way. Therefore, customer satisfaction becomes a matter of subjective evaluation based on the quality of the service provided and the overall experience.

Customer satisfaction in service industries depends on various intangible elements. These include factors like the competence and professionalism of the service provider, the responsiveness to customer needs and inquiries, the level of personalized attention, and the overall atmosphere or ambiance of the service environment. The perception of reliability, trustworthiness, and empathy also plays a significant role. Additionally, intangible aspects such as convenience, convenience, and ease of access to the service can greatly influence customer satisfaction.

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your final proofreading step in report writing should be for spelling, punctuation, grammar, and other mechanical errors. group of answer choices false true

Answers

The final proofreading step in report writing should include checking for spelling, punctuation, grammar, and other mechanical errors.

True. The final proofreading step in report writing is essential to ensure the accuracy and professionalism of the document. This step involves carefully reviewing the report for any spelling mistakes, punctuation errors, grammar inconsistencies, and other mechanical errors.

By conducting thorough proofreading, you can identify and correct any typographical errors, syntax issues, or formatting inconsistencies that may have been overlooked during the writing and editing process. This attention to detail helps to enhance the clarity, coherence, and overall quality of the report, ensuring that it effectively communicates the intended message to the readers.

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1) Loan Shark Company provides short term loans. They will loan you $4 today and expect $5 back in one week! What is the EAR for this loan?
2) You plan to retire with $500,000 savings. How much should you deposit annually into a retirement saving account that pays 10 percent annual interest if you plan to retire in 15 years?
3) You borrow $350,000 at 8 percent compounded monthly. How many years will it take to pay back the loan if the monthly payment is $2,960?

Answers

1)  The EAR for this loan is 1448.72%.

2) The annual deposit needed to reach $500,000 in 15 years is $12,644.41.

3) It will take 15 years to pay back the loan.

1) The loan has a one-week term. To calculate the Effective Annual Rate (EAR), we need to first calculate the periodic interest rate. Using simple interest, the interest for one week is $5 - $4 = $1.

Therefore, the periodic interest rate is $1/$4 = 0.25 or 25%. To calculate the EAR, we use the formula:[tex](1 + periodic rate)^n - 1,[/tex]

where n is the number of periods in a year. For weekly compounding, n = 52. Plugging in the numbers, we get: [tex](1 + 0.25)^52[/tex] - 1 = 1448.72%. Therefore, the EAR for this loan is 1448.72%.

2) We can use the present value of an annuity formula to calculate the annual deposit needed to reach a future value of $500,000.

The formula is: Payment = [tex]FV / (((1 + r)^n - 1) / r),[/tex]

where FV is the future value, r is the interest rate per period, and n is the number of periods.

Plugging in the numbers, we get: Payment = [tex]500,000 / (((1 + 0.10/1)^15*1) - 1) / 0.10) = $12,644.41.[/tex]

Therefore, the annual deposit needed to reach $500,000 in 15 years is $12,644.41.

3) We can use the formula for the present value of an annuity to solve for n.

The formula is: Payment = [tex]PV * (r / (1 - (1 + r)^-n)),[/tex]

where PV is the present value, r is the interest rate per period, and n is the number of periods.

Plugging in the numbers, we get [tex]2,960 = $350,000 * (0.08/12 / (1 - (1 + 0.08/12)^-n))[/tex]

. Solving for n, we get n = 180 months, or 15 years. Therefore, it will take 15 years to pay back the loan.

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alfredo incorporated reports net income of $253,000 for the year ended december 31. it also reports $97,700 depreciation expense and a $6,150 gain on the sale of equipment. its comparative balance sheet reveals a $40,100 decrease in accounts receivable, a $18,050 increase in accounts payable, and a $14,050 decrease in wages payable. calculate the cash provided (used) in operating activities using the indirect method. multiple choice $394,800. $291,250. $352,550. $388,650. $416,750.

Answers

We need to start with the net income of $253,000 and make adjustments for non-cash items such as depreciation and gain on sale of equipment, as well as changes in working capital accounts.

Starting with net income:

Net income = $253,000

Add back depreciation expense:

Depreciation expense = $97,700

Net income + depreciation expense = $350,700

Adjust for gain on sale of equipment:

Gain on sale of equipment = $6,150

Net income + depreciation expense - gain on sale of equipment = $344,550

Now, we need to adjust for changes in working capital accounts.

Decrease in accounts receivable = $40,100

Increase in accounts payable = $18,050

Decrease in wages payable = $14,050

Cash provided (used) in operating activities = Net income + depreciation expense - gain on sale of equipment +/- changes in working capital accounts

Cash provided (used) in operating activities = $344,550 - $40,100 + $18,050 - $14,050

Cash provided (used) in operating activities = $308,450

Therefore, The correct answer is $308,450.

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The following information pertains to Sherida amounts represent average balance figures Total assets Stockholders' equity-c Total stockholders' equity Sales revenue Net income Number of shares of common stock n Company. Assume that all balance $325000 ommon 205000 267000 96000 20500 7500 Common dividends Preferred dividends 4600 8500 What is Sheridan's payout ratio? 16%. a. b. C. d. 22.44%. 3690. 790.

Answers

The payout ratio for Sheridan Company is 22.44%.

The payout ratio is calculated by dividing the total amount of dividends paid to shareholders by the net income. In this case, the total amount of dividends paid is the sum of common dividends and preferred dividends, which is $13,100.

The net income is given as $96,000. Dividing $13,100 by $96,000 results in a payout ratio of 0.2244 or 22.44%. The payout ratio indicates the portion of a company's earnings that are paid out as dividends to shareholders.

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TRUE OR FALSE the quantity of a variable at which revenues and costs are equal is known as the maximum cost point

Answers

The statement "the quantity of a variable at which revenues and costs are equal is known as the maximum cost point" is FALSE. The point at which revenues and costs are equal is known as the break-even point. This is the level of sales at which a company neither makes a profit nor incurs a loss.

The maximum cost point, on the other hand, refers to the point at which the cost of producing an additional unit of output exceeds the revenue generated by that unit. In other words, it is the point at which the marginal cost of production becomes greater than the marginal revenue generated by the sale of that additional unit. This point is also known as the shutdown point because if a company continues to produce beyond this point, it will incur losses.

It is important for businesses to be aware of both the break-even point and the maximum cost point in order to make informed decisions about production levels and pricing strategies. By understanding these points, companies can identify the minimum level of sales needed to cover costs and make a profit, as well as the point at which production should be halted to avoid losses.

In conclusion, the quantity of a variable at which revenues and costs are equal is known as the break-even point, not the maximum cost point. The maximum cost point refers to the point at which the cost of producing an additional unit of output exceeds the revenue generated by that unit. Answer is false

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egan corporation's net income last year was $119,000. changes in the company's balance sheet accounts for the year appear below: increases (decreases) asset and contra-asset accounts: cash and cash equivalents $ (19,800) accounts receivable $ (35,000) inventory $ 13,500 prepaid expenses $ (21,700) long-term investments $ 101,000 property, plant, and equipment $ 97,000 accumulated depreciation $ 100,000 liability and equity accounts: accounts payable $ 0 accrued liabilities $ 24,580 income taxes payable $ (14,280) bonds payable $ (61,500) common stock $ 41,000 retained earnings $ 45,200 the company paid a cash dividend of $73,800 and it did not dispose of any long-term investments or property, plant, and equipment. the company did not issue any bonds payable or repurchase any of its own common stock. the following questions pertain to the company's statement of cash flows. the free cash flow for the year was:

Answers

we need to calculate the capital expenditures. We are given that the company did not dispose of any long-term investments or property, plant, and equipment. Therefore, the capital expenditures are zero.

To calculate the free cash flow for the year, we need to use the formula:

Free Cash Flow = Net Cash from Operating Activities - Capital Expenditures

We can start by calculating the net cash from operating activities using the indirect method. We need to adjust the net income for non-cash items and changes in working capital accounts. Here are the adjustments:

Depreciation expense (from accumulated depreciation) = $100,000
Increase in accounts receivable = $35,000
Increase in inventory = -$13,500 (note the negative sign as it represents a decrease in cash)
Decrease in prepaid expenses = -$21,700
Increase in accrued liabilities = $24,580
Decrease in income taxes payable = $14,280

Net Cash from Operating Activities = Net Income + Depreciation - Changes in Working Capital
= $119,000 + $100,000 - $13,500 - $35,000 - $21,700 + $24,580 + $14,280
= $187,660

Next, we need to calculate the capital expenditures. We are given that the company did not dispose of any long-term investments or property, plant, and equipment. Therefore, the capital expenditures are zero.

Finally, we can calculate the free cash flow:

Free Cash Flow = Net Cash from Operating Activities - Capital Expenditures
= $187,660 - 0
= $187,660

Therefore, the free cash flow for the year was $187,660. Note that income tax is not directly used in the calculation of free cash flow, but it is included in the adjustments for net cash from operating activities.

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moving from zero to two hours of labor input, this production process is characterized by

Answers

C) The production process characterized by moving from zero to two hours of labor input is likely to exhibit increasing marginal returns.

Increasing marginal returns occur when adding additional units of a variable input, such as labor, leads to a more than proportionate increase in output. In this scenario, going from zero to two hours of labor input suggests that as labor is introduced into the production process, the output is expected to increase at an increasing rate.

Diminishing marginal returns, on the other hand, occur when each additional unit of a variable input leads to a smaller increase in output. Constant marginal returns imply that each additional unit of input leads to a consistent increase in output. Economies of scale refer to the cost advantages that arise from increased production levels, while diminishing total product occurs when the addition of more units of input results in a decrease in total output.

Given the information provided, the most appropriate characterization for the production process is increasing marginal returns. This suggests that the introduction of labor is expected to lead to a more than proportionate increase in output, indicating a positive relationship between labor input and production output.

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Complete Question:

Moving from zero to two hours of labor input, this production process is characterized by a) diminishing marginal returns b) constant marginal returns c) increasing marginal returns d) economies of scale e) diminishing total product

What positive qualities can employers most likely


discover about candidates from candidates' social


media accounts? Check all that apply.


Therefore, you may think that it would be wise not to


have any social media accounts. Better safe than sorry,


right? However, the Career Builder survey also revealed


that employers expect workers to have an online presence


and may not hire them without it. About 47 percent of


employers said that they are less likely to call a candidate


in for an interview if they cannot find him or her on the


internet. That's because social media can help employers


uncover positive traits, not just negative ones. These sites


can provide a glimpse into a potential hire's creativity,


communication skills, or ability to interact well with


others. They also may help employers learn more about


people's interests and discover if they would fit well with


the company. In some fields, such as film, television, or


other forms of media, having a lot of social media


followers is a mark in a potential employee's favor.


their creativity


their salary demands


their communication skills


how they might get along with others


how long they would likely stay in a job

Answers

The positive qualities that employers can most likely discover about candidates from candidates' social media accounts are their creativity, communication skills, and How they might get along with others. The correct option is A, C, and D.

Through posts, shares, and interactions with content, social media platforms frequently highlight an individual's creativity. Employers can evaluate a candidate's capacity to think creatively, communicate themselves in original ways, and possibly offer novel ideas at work.

Social media encompasses the exchange of knowledge, textual communication, and communication with others through comments and conversations.

Employers can gain insight into a candidate's ability to collaborate, cooperate, and get along with others in a professional situation by observing the interactions the applicant has with others on social media.

Thus, the ideal selections are options A, C, and D.

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if the fed increases the supply of money in the market through open market operations, bond prices will _____ and interest rates will _____. rise; rise fall; fall rise; fall fall; rise

Answers

If the Fed increases the supply of money in the market through open market operations, it will lead to an increase in the demand for bonds.

As a result, bond prices will rise. However, the increase in demand for bonds will lead to a decrease in interest rates. This is because the increase in bond prices will reduce the yield on the bonds, causing investors to demand lower interest rates to invest in them.

Overall, the relationship between the supply of money and interest rates is inversely proportional. When the supply of money increases, interest rates tend to decrease, and vice versa. This is because the increased supply of money creates more competition among lenders, leading to lower interest rates as borrowers have more options to choose from.

In summary, if the Fed increases the supply of money in the market through open market operations, bond prices will rise, and interest rates will fall. It is essential to keep in mind that changes in interest rates can have significant impacts on the economy, including inflation and economic growth. Therefore, the Fed carefully monitors and adjusts interest rates to achieve its economic objectives.

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Prepare an unadjusted trial balance. If an amount box does not require an entry, leave it blank
Palisade Creek Co.
Unadjusted Trial Balance
May 31, 2019
Debit Balances Credit Balances
Cash Accounts Receivable Merchandise Inventory Estimated Returns Inventory Prepaid Insurance Store Supplies Store Equipment Accumulated Depreciation—Store Equipment Accounts Payable Customer Refunds Payable Salaries Payable Lynn Tolley, Capital Lynn Tolley, Drawing Sales Cost of Merchandise Sold Sales Salaries Expense Advertising Expense Depreciation Expense Store Supplies Expense Miscellaneous Selling Expense Office Salaries Expense Rent Expense Insurance Expense Miscellaneous Administrative Expense Palisade Creek Co. is a merchandising business that uses the perpetual inventory system. The account balances for Palisade Creek Co. as of May 1, 2019 (unless otherwise indicated), are as follows:
110 Cash $83,600
112 Accounts Receivable 233,900
115 Merchandise Inventory 624,400
116 Estimated Returns Inventory 28,000
117 Prepaid Insurance 16,800
118 Store Supplies 11,400
123 Store Equipment 569,500
124 Accumulated Depreciation—Store Equipment 56,700
210 Accounts Payable 96,600
211 Customer Refunds Payable 50,000
212 Salaries Payable —
310 Lynn Tolley, Capital, June 1, 2018 685,300
311 Lynn Tolley, Drawing 135,000
410 Sales 5,069,000
510 Cost of Merchandise Sold 2,823,000
520 Sales Salaries Expense 664,800
521 Advertising Expense 281,000
522 Depreciation Expense —
523 Store Supplies Expense —
529 Miscellaneous Selling Expense 12,600
530 Office Salaries Expense 382,100
531 Rent Expense 83,700
532 Insurance Expense —
539 Miscellaneous Administrative Expense 7,800

Answers

An unadjusted trial balance is a listing of all account balances in a company's accounting system before any adjustments have been made. The purpose of an unadjusted trial balance is to ensure that the total debits equal the total credits, which serves as a preliminary step in the accounting process.

To prepare an unadjusted trial balance for Palisade Creek Co., we would list all the account balances as of May 31, 2019. The debit balances would include cash, accounts receivable, merchandise inventory, estimated returns inventory, prepaid insurance, store supplies, store equipment, accumulated depreciation-store equipment, sales salaries expense, advertising expense, depreciation expense, store supplies expense, miscellaneous selling expense, office salaries expense, rent expense, insurance expense, and miscellaneous administrative expense. The credit balances would include accounts payable, customer refunds payable, salaries payable, Lynn Tolley capital, Lynn Tolley drawing, sales, and cost of merchandise sold.

We would ensure that the total debit balances equal the total credit balances. If they do not, we would need to investigate and correct any errors before proceeding with adjusting entries.

Once the unadjusted trial balance is complete, we can use it to prepare adjusting entries and ultimately create the company's financial statements.

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what are some of the specific tips presented that should shape the delegation process for the better?

Answers

By following these tips, you can help shape the delegation process for the better and ensure that everyone involved is working towards the same goals and objectives.  

There are several specific tips that can help shape the delegation process for the better:

Clearly define the goals and objectives of the delegation: Before delegating tasks or responsibilities, it is important to clearly define the goals and objectives of the delegation. This will help ensure that everyone involved is on the same page and working towards the same outcomes.

Assess the skills and abilities of the team members: It is important to assess the skills and abilities of the team members before delegating tasks or responsibilities. This will help ensure that the right people are assigned to the right tasks, and that everyone has the necessary skills and knowledge to complete their work effectively.

Provide clear instructions and guidelines: When delegating tasks or responsibilities, it is important to provide clear instructions and guidelines. This will help ensure that everyone understands what is expected of them and how to complete their work effectively.

Set clear deadlines and expectations: It is important to set clear deadlines and expectations when delegating tasks or responsibilities. This will help ensure that everyone is aware of their responsibilities and can work towards completing them within the designated timeframe.

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In what circumstances might a large corporation sell stock rather than bonds to obtain long-term financing?
In what circumstances would it sell bonds rather than stock?

Answers

Bonds are typically fixed-income securities with a specific repayment schedule, making them a viable option for companies looking to secure long-term debt while maintaining ownership stability.

When would a large corporation prefer to sell bonds instead of stock for long-term financing?

A large corporation may choose to sell stock rather than bonds to obtain long-term financing in certain circumstances. One such scenario is when the corporation wants to maintain control and ownership of the company. By selling stock, the corporation raises capital without taking on debt or creating a fixed repayment obligation. Additionally, if the corporation believes its stock is undervalued, it may choose to issue new shares to take advantage of potential price appreciation.

Conversely, a corporation may opt to sell bonds instead of stock under different circumstances. Selling bonds allows the corporation to raise funds without diluting ownership or control. This approach is suitable when the corporation aims to leverage its creditworthiness to access cheaper borrowing costs in the form of interest payments. Bonds are typically fixed-income securities with a specific repayment schedule, making them a viable option for companies looking to secure long-term debt while maintaining ownership stability.

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A sporting goods store decides to lower prices on high-end sports equipment. How could this change affect market equilibrium?

A. The quantity of equipment demanded could be greater than the quantity supplied.
B. The equipment manufacturers could produce goods of lower quality.
C. The sporting goods market could experience a surplus.
D. The quantity of equipment supplied could be greater than the quantity demanded.

Answers

This change could affect market equilibrium C. The sporting goods market could experience a surplus.

Lowering prices on high-end sports equipment would likely lead to an increase in the quantity demanded by consumers. This decrease in price could incentivize more individuals to purchase the high-end equipment, resulting in a higher quantity demanded.

However, if the price reduction is significant and not accompanied by a corresponding increase in demand, it could lead to an excess supply of high-end sports equipment. The quantity supplied by manufacturers may exceed the quantity demanded by consumers at the new lower price. This would create a surplus in the market, where there is an oversupply of goods.

In a surplus situation, sellers may need to lower prices further or find other ways to stimulate demand in order to clear the excess inventory. This can lead to competition among sellers and potentially impact their profitability. Additionally, manufacturers may adjust their production levels or explore alternative markets to address the surplus.

It's important to note that the impact on market equilibrium can vary depending on various factors, including the elasticity of demand and the responsiveness of suppliers to price changes. Nonetheless, in the scenario described, a lowering of prices on high-end sports equipment is likely to result in a surplus in the sporting goods market.

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