ACC 206 Week Two Assignment

 

 

 

Please complete the following exercises below in either Excel or a word document (but must be single document). You must show your work where appropriate (leaving the calculations within Excel cells is acceptable). Save the document, and submit it in the appropriate week using the Assignment Submission button.

 

 

 

 

 

1. Analysis of stockholders’ equity

 

Star Corporation issued both common and preferred stock during 20X6. The stockholders’ equity sections of the company’s balance sheets at the end of 20X6 and 20X5 follow:

 

 

 

 

 

	20X6	20X5
Preferred stock, $100 par value, 10%	$580,000	$500,000
Common stock, $10 par value	2,350,000	1,750,000
Paid-in capital in excess of par value
Preferred	24,000	—
Common	4,620,000	3,600,000
Retained earnings	8,470,000	6,920,000
Total stockholders’ equity	$16,044,000	$12,770,000

 

 

 

1. Compute the number of preferred shares that were issued during 20X6.

2. Calculate the average issue price of the common stock sold in 20X6.

3. By what amount did the company’s paid-in capital increase during 20X6?

4. Did Star’s total legal capital increase or decrease during 20X6? By what amount?

 

 

 

 

 

 

 

2. Bond computations: Straight-line amortization

 

Southlake Corporation issued $900,000 of 8% bonds on March 1, 20X1. The bonds pay interest on March 1 and September 1 and mature in 10 years. Assume the independent cases that follow.

 

• Case A—The bonds are issued at 100.

• Case B—The bonds are issued at 96.

• Case C—The bonds are issued at 105.

 

 

 

Southlake uses the straight-line method of amortization.

 

 

 

Instructions:

 

Complete the following table:
	Case A	Case B	Case C
Cash inflow on the issuance date	_______	_______	_______
Total cash outflow through maturity	_______	_______	_______
Total borrowing cost over the life of the bond issue	_______	_______	_______
Interest expense for the year ended December 31, 20X1	_______	_______	_______
Amortization for the year ended December 31, 20X1	_______	_______	_______
Unamortized premium as of December 31, 20X1	_______	_______	_______
Unamortized discount as of December 31, 20X1	_______	_______	_______
Bond carrying value as of December 31, 20X1	_______	_______	_______

 

 

 

 

 

 

 

 

 

3. Definitions of manufacturing concepts
Interstate Manufacturing produces brass fasteners and incurred the following costs for the year just ended:

 

Materials and supplies used

 

Brass $75,000

 

Repair parts 16,000

 

Machine lubricants 9,000

 

Wages and salaries Machine operators 128,000

 

Production supervisors 64,000

 

Maintenance personnel 41,000

 

Other factory overhead Variable 35,000

 

Fixed 46,000

 

Sales commissions 20,000

 

 

 

Compute:

 

1. Total direct materials consumed

2. Total direct labor

3. Total prime cost

4. Total conversion cost

 

 

 

 

 

 

 

 

 

 

 

4. Schedule of cost of goods manufactured, income statement

 

The following information was taken from the ledger of Jefferson Industries, Inc.:

 

Direct labor	$85,000		Administrative expenses	$59,000
Selling expenses	34,000		Work in. process:
Sales	300,000		Jan. 1	29,000
Finished goods			Dec. 31	21,000
Jan. 1	115,000		Direct material purchases	88,000
Dec. 31	131,000		Depreciation: factory	18,000
Raw (direct) materials on hand			Indirect materials used	10,000
Jan. 1	31,000		Indirect labor	24,000
Dec. 31	40,000		Factory taxes	8,000
			Factory utilities	11,000

 

Prepare the following:

 

1. A schedule of cost of goods manufactured for the year ended December 31.

2. An income statement for the year ended December 31.

 

 

 

5. Manufacturing statements and cost behavior

 

Tampa Foundry began operations during the current year, manufacturing various products for industrial use. One such product is light-gauge aluminum, which the company sells for $36 per roll. Cost information for the year just ended follows.

 

Per Unit	Variable Cost	Fixed Cost
Direct materials	$4.50	$ —
Direct labor	6.5	—
Factory overhead	9	50,000
Selling	—	70,000
Administrative	—	135,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Production and sales totaled 20,000 rolls and 17,000 rolls, respectively There is no work in process. Tampa carries its finished goods inventory at the average unit cost of production.

 

Instructions:

 

1. Determine the cost of the finished goods inventory of light-gauge aluminum.

2. Prepare an income statement for the current year ended December 31

3. On the basis of the information presented:

 

1. Does it appear that the company pays commissions to its sales staff? Explain.

2. What is the likely effect on the $4.50 unit cost of direct materials if next year’s production increases? Why?

 

Nothing

population of tree salamanders is highly variable in color and blends easily with the surrounding, colorful vegetation. After a factory upstream impacts their environment, several species of trees die off and only those with one color of leaf and flower are left. Within several generations, the salamander population has reduced variability in color.

Elements of Drama: Characterization

 

Read Act I and Act II of Henrik Ibsen’s A Doll’s House on pages 1103-1139. Answer the following question regarding experience from page 1153:

Describe Torvald Helmer. What aspects of his character are most evident in the early scenes? Does he give any evidence of having changed by the end of the play? Do you think he is capable of sharing the kind of marriage Nora describes at the end of the play?

Your initial post should be at least 250 words in length. Support your claims with examples from required material(s) and/or other scholarly resources, and properly cite any references

Please see attached, read the entrie document before accepting this assignment as it includes everything needed to complete this assignment. 

 

Thanks