Reference no: EM131786320
Problem
Gunn Manufacturing Company experienced the following accounting events during its first year of operation. With the exception of the adjusting entries for depreciation, assume that all transactions are cash transactions.
1. Acquired $80,000 cash by issuing common stock.
2. Paid $9,200 for the materials used to make its products, all of which were started and completed during the year.
3. Paid salaries of $3,800 to selling and administrative employees.
4. Paid wages of $12,000 to production workers.
5. Paid $9,600 for furniture used in selling and administrative offices. The furniture was acquired on January 1. It had a $1,600 estimated salvage value and a four-year useful life.
6. Paid $16,000 for manufacturing equipment. The equipment was acquired on January 1. It had a $1,000 estimated salvage value and a five-year useful life.
7. Sold inventory to customers for $38,000 that had cost $18,000 to make.
Required
Show how these events would affect the balance sheet, income statement, and statement of cash flows by recording them in a horizontal financial statements model as indicated here. Also, in the Cash Flow column, indicate whether the cash flow is for operating activities (OA), investing activities (IA), or financing activities (FA). Use NA to indicate that an element is not affected by the event. The first event is recorded as an example. (Enter any decreases to account balances and cash outflows with a minus sign.)
|
Compute the macrs deduction allowable
: Compute the MACRS deduction allowable for 2013, 2014 and 2015 for Oak Corp. If any asset was removed from service compute gain or loss on that asset.
|
|
Prepare a differential analysis report
: Prepare a differential analysis report, dated March 3, 2010, for the proposed discontinuance of Royal Cola. Should Royal Cola be retained? Explain
|
|
How much would your monthly payment be
: How much would your monthly payment be, How much interest expense would be included in your first payment
|
|
What options does cal have for tax purposes
: What options does Cal have for tax purposes? Suing the dealer will not get him any money because the dealer is in jail and has no money left.
|
|
How the given events would affect the balance sheet
: Show how the events would affect the balance sheet, income statement, and statement of cash flows by recording them in a horizontal financial statement model.
|
|
Estimate of the proportion of adults
: Construct a 90% con?dence interval estimate of the proportion of adults whose favorite ?‘uit is banana. Show all work.
|
|
Identify a poorly performing multibusiness company
: Identify a poorly performing multibusiness company (examples might include Sony, Time Warner, Bombardier, Pearson, Matsushita, Dubai World, or Tyco).
|
|
Identify opportunities for additional exploitation
: Identify how linkages between businesses are currently being exploited and identify opportunities for additional exploitation of cross-business linkages.
|
|
What is the standard deviation of the sample means
: Consider all random samples of 64 test scores. What is the standard deviation of the sample means? (Round your answer to three decimal places)
|