PROBLEM:01 The formula which breaks down the return on equity into three component parts is referred to as DuPont formula. PROBLEM:02 The Purple Martin has annual sales of $687‚400‚ total debt of $210‚000‚ total equity of $365‚000‚ and a profit margin of 4.80 percent. What is the return on assets? ROA = net income / total assets ROA = (687400 * 4.80) / (210000 + 365000) ROA = 5.74 PROBLEM:03 The Meat Market has $747‚000 in sales. The profit margin is 4.1 percent and the firm has 7
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Jessica Schmitt Auditing Chapter 9‚ problem 9-28 A. Since there are no specific materiality guidelines‚ it is the auditor’s professional judgment that must be used to determine the appropriate preliminary estimates of materiality. I used the guidelines listed on pg 251 in figure 9-2: Statement Percent Guideline Dollar Range (in thousands) Earnings from continuing operations before taxes 3-6 % $12‚500-$25‚100 (rounded) Current Assets 3-6 % $67‚600-$135‚200 (rounded) Current Liabilities 3-6 %
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ACL Chapter 9 Problems Problem 1 In addition to determining sample size‚ ACL can also select a random sample for you. Draw a sample of Accounts Receivable (AR) transactions from the Roger Company AR table assuming the confidence is 95‚ the upper error limit is 9 percent‚ and the expected error rate is 5 percent. 1. Open the Roger_Company_AR table 2. Select Sampling >> Sample Records and the Sample window appears 3. Make sure Record is the chosen Sample Type 4. Under Sample
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Problems Page 1 of 10 Taxation of Business Entities‚ 2012‚ eBook 3/e Content Chapter5: Corporate Operations Problems 44. (LO1) LNS corporation reports book income of $2‚000‚000. Included in the $2‚000‚000 is $15‚000 of taxexempt interest income. LNS reports $1‚345‚000 in ordinary and necessary business expenses. What is LNS corporation ’s taxable income for the year? 45. (LO1) ATW corporation currently uses the FIFO method of accounting for its inventory for book and tax purposes
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1. Stiles Corporation issues a new series of bonds on January 1‚ 1982. The bonds were sold at part ($1000)‚ had a 12% coupon‚ and matured in 30 years‚ on December 31‚ 2011. Coupon payments are made semiannually (on June 30 and December 31). a) What was the YTM on January 1‚ 1982? - Explain b) What was the price of the bonds on January 1‚ 1987‚ 5 years later‚ assuming that interest rates had fallen to 10%? (Show in equation form‚ plug all the relevant numbers and without calculation‚ say whether
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1. | | Discuss the major principle that describes recording revenues.The revenue recognition principle states that we record revenue in the period in which we earn it. | | | 2. | | Discuss the major principle that describes recording expenses.The matching principle states that we recognize expenses in the same period as the revenues they help to generate. | | LO1 | 3. | | Samantha is a first-year accounting student. She doesn’t think it matters that expenses are reported in the same
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Chapter 9 & 10 Short Answer and Critical Thinking CHAPTER 9 Short answer 15. Name and describe the four functional abilities of muscle that are the basis for muscle response. Contractibility- is the ability to shorten forcibly when adequately stimulated. This ability sets muscle apart from other tissue types. Extensibility- is the ability to extend or stretch. Muscle cells shorten when contracting‚ but they can stretch even beyond their resting length‚ when relaxed. Elasticity-
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Corinne Judd Chapters 6‚ 7‚ 8‚ 9‚ 10 homework Chapter 6 Problem 4 1. a 2. o 3. r 4. u 5. t 6. c 7. l 8. s 9. m 10. q 11. n 12. j 13. e 14. h 15. i 16. k 17. f Problem 5 1. i 2. k 3. f 4. m 5. a 6. j 7. d 8. b 9. h 10. c Chapter 7 Problem 6 1. Bank deposits are taking place before cash receipts have been counted. a. Reconcile bank deposits and cash receipts by two separate
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ACCT 420-D1 TAX REASERCH PROBLEM 9-61 From Prentice Hall federal taxation Caitlin and Wally formed the C&W Partnership on September 20‚ 2012. Caitlin contributed cash of $195‚000‚ and Wally contributed office furniture with a FMV of $66‚000. He bought the furniture for $60‚000 on January 5‚ 2012‚ and placed it in service on that date. Wally will not elect Sec. 179 expensing on the furniture and elected out of bonus depreciation. He also contributed and office building and land with a combined
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1. How much of our global energy supply do nuclear power‚ biomass energy‚ and hydroelectric power contribute? How much of our global electricity do these three conventional energy alternatives generate? Biomass provides 10.8% of global primary energy use‚ nuclear power provides 6.5%‚ and hydropower provides 2.2% of global primary energy use. Nuclear power generates 15.8% of the world’s electricity‚ and hydropower generates 15.9%. 2. Describe how nuclear fission works. How do nuclear plant engineers
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