Reference no: EM132670215
Sports Company is located in Alberta. Below are the following situations that occurred during the year. Note that Sports Company has a December 31, 2020 year end.
a) They received funds of $170,000 for a baseball game on August 1, 2020. The baseball game is not scheduled to occur until March 1, 2021. (Ignore GST)
b) During December, Sports Company sold 600 foam ?ngers that have a 90-day warranty. The company expects that 20% of the foam ?ngers will require repairs under warranty. They expect that average repair cost per unit will be 531. (Ignore GST)
c) Sports Company sold jerseys at a Volleyball game in November. They sold 150 jerseys at $60 each, plus applicable GST (5%). The cost of sales are 60% ofthe sale price.
d) A fan fell down the stairs during a football game that occurred in September. Sports Company's lawyers believe the company will have to pay for damage, however, the amount cannot be reasonably estimated at this time.
Required:
Problem 1: Prepare any required adjusting entries at Dec 31, 2020, for each of the above situations.
|
How much should fox record to the additional paid-in capital
: Fox Co. issues 30,000 shares of $1, How much should Fox record to the Additional Paid-in Capital-Common Stock account in the entry for this issuance
|
|
Calculate the carrying amount of the factory
: Arnold Ziffel Incorporated (AZI) owns a rhubarb candy factory in Tajikistan. The factory was purchased on 1 July 2013 for $15,000,000.
|
|
What is the crossover rate
: What is the crossover rate for these two projects? Express your crossover rate decimal format and accurate to the nearest 4 decimal places.
|
|
What is the payback period for project
: Consider a project that requires an initial investment of $506, pays $107 one year from today (at t=1), pays $205 two years from today (at t=2)
|
|
How do prepare any required adjusting entries at dec
: Prepare any required adjusting entries at Dec 31, 2020. During December, Sports Company sold 600 foam ?ngers that have a 90-day warranty.
|
|
Find positive benefit to the value of the call option
: Does an American option value short or longer time as a positive benefit to the value of the call option?
|
|
Compute the Coles Federal income tax
: Using the appropriate forms and schedules, compute the Coles' Federal income tax for 2018. Disregard the alternative minimum tax (AMT)
|
|
How does reinvestment affect both npv and irr
: How does reinvestment affect both NPV and IRR? Support your rationale with at least one citation from the literature.
|
|
What accounts are affected and how
: Earned fees (services provided) of $6 500, of which $3 000 was collected from clients and the remainder is on account. What accounts are affected and how?
|