Debt and the golf course

Assignment Help Financial Accounting
Reference no: EM13912123

Max Maxfield was just hired by your town as a new controller. He has a love for golf, and was able to convince the town’s people to provide city funds for the construction of a new golf course (Max gets free golf year round). The city funds the construction of the golf course by issuing $100 million in general obligation bonds. However, it accounts for the golf course in an enterprise fund, and it intends to repay the debt from green fees. Should the city, in its government-wide statement of net position, report the debt as a governmental activity and the golf course as a business-type activity? Alternatively, should it report both the debt and the golf course in the same category of activity? If so, then which one?

Reference no: EM13912123

Questions Cloud

The transactions and adjustments related : Record transactions and adjustments. The transactions and adjustments related to the second month of operations of Zoe Amelia Corp. were as follows:
Calculate dh°f of gaseous nitrogen monoxide : For the reaction:NO(g) + 1/2 O2(g) → NO2(g) ΔH°rxn is -114.14 kJ/mol. Calculate ΔH°f of gaseous nitrogen monoxide, given that ΔH°f of NO2(g) is 33.90 kJ/mol 181.9 kJ/mol
Disney company presented comprehensive income : Comprehensive income requires that companies present comprehensive income in either of two ways.
Calculate he enthalpy change of combustion of a fuel : In an experiment to calculate he enthalpy change of combustion of a fuel, 1.5g (0.0326 mol) of the fuel was used to heat 200g of water. The temperature of the water rose from 25'C to 55'C. The specific heat capacity of water is 4.18 J/Kg.There is a s..
Debt and the golf course : Max Maxfield was just hired by your town as a new controller. He has a love for golf, and was able to convince.Alternatively, should it report both the debt and the golf course in the same category of activity? If so, then which one.
Why is the solubility of oxygen lower in water : Why is the solubility of oxygen lower in water? give me explanation!
What is meant by partial pressure of a gas in liquid : What is meant by partial pressure of a gas in liquid?
Draw a diagram of a bike wheel perpendicular : Draw a diagram of a bike wheel perpendicular to a banked track, whose normal is at an angle of, say, θ from the vertical. Relate the horizontal component of acceleration to the normal force and the gravitational force; now and an expression for th..
Uncollected accounts estimation : Bay Company began using the allowance method in 2014. On January 1, 2014.Uncollectible accounts are estimated to be 2% of sales on account.

Reviews

Write a Review

Financial Accounting Questions & Answers

  What should be the carrying value of montana inventory

"Montana Co. has determined its year-end inventory on a FIFO basis to be $600,000. Information pertaining to that inventory is as follows: What should be the carrying value of Montana's inventory?

  Briefly describe other methods of obtaining the cash

Prepare a brief memo (no more than 120 words) giving the arguments for and against offering this preferred stock. In the memo also briefly describe other methods of obtaining the cash.

  The firm reduced its net working capital investment

The 2014 balance sheet of Sugarpova's Tennis Shop, Inc., showed long-term debt of $3.3 million, and the 2015 balance sheet showed long-term debt of $3.4 million. The 2015 income statement showed an interest expense of $155,000. What was the firm’s 20..

  Modified accelerated cost recovery system

Tax Planning for Corporate Taxpayers Jackson Corporation prepared the following book income statement for its year ended December 31, 2013: For tax: Seven-year Modified Accelerated Cost Recovery System (MACRS) property for which the corporation made ..

  Calculate the weighted average cost of capital

Based on the information below, calculate the weighted average cost of capital. great corporation has the following capital situation. debt: one thousand bonds were issued five years ago at a coupon rate of 8%. they had 25-year terms and $1000 face v..

  Company has the cash flow operating from investing

A company has the following cash flow operating (30) from investing (45) from financing 90 what stage best describes this company

  Weighted-average method in its process costing system

The Gasson Company uses the weighted-average method in its process costing system. The company's ending work in process inventory consists of 15,000 units; The ending work in process inventory is 100% complete with respect to materials and 70% comple..

  Entry to close income summary account at end of year

Tara Westmont, the stockholder of Tiptoe Shoes, Inc., had annual revenues of $203,000, expenses of $112,700, The Company paid $25,200 cash in dividends to the owner (sole stockholder). The retained earnings account before closing had a balance of $31..

  Discuss revenue recognition

What percent of total current assets is comprised of receivables? For which company does its receivables constitute a higher percentage of its total current assets?

  Determine the net cash flows from operating activities

Determine the net cash flows from operating activities. Determine the net cash flows from investing  activities. Determine the net cash flows from financing activities.

  Calculate current ratio based on inventory

Calculate the inventory turnover ratio and days in inventory and calculate the current ratio based on inventory as reported using LIFO.

  Compute postretirement benefit expense

Engleheart Co. provides the following information about its postretirement benefit plan for the year 2012. Compute postretirement benefit expense for 2012.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd