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Problem 1: A city manager of a major urban city makes urban city makes $124,2000 in salary and benefits this year. This amount needs to be allocated to twenty- four programs in the city's program budget that includes an economic develop program that promotes employment opportunities and economic growth of the city. It is estimated that the city manager works a total of 1,920 hours a year and about 200 of them are associate with the economic development department. How much of the city manager's salary and benefits should be allocated to the economic development program this year if the number of work hours is cost base?
Assume the firm records adjusting entries at the end of each month. Prepare the entries that would be recorded at the end of January 2017.
Richard, age 40, is the owner of Auto Repair, Inc. In addition to Richard, the company has five employees. Richard wants to establish a retirement plan for his employees. Richards wife Maria age 35 is self-employed as freelancer writer after deductin..
Julio is a corporate shareholder in the 34% tax bracket. He acquired 2,000 shares of stock in Gray Corporation seven years ago at a cost of $50 per share. In the current year, Julio received a payment of $150,000 from Gray Corporation in exchange for..
Evaluate a statement of cash flows-indirect method Consider three independent cases for the cash flows of Building Blocks Corp
Record all journal entries on December 1st. On December 1st Bell Tire had a new engine put into an 18-wheeler that is used to transport large inflatable
On January 1, 2014, Brown Corp. acquired 40% (10,000 shares) of Blue Company common stock for $1,000,000 as a long-term investment. Prepare the necessary journal entries for Brown’s investment in Blue under the cost method and the equity method.
An article recently appeared in the Wall Street Journal indicating that companies are selling their receivables at a record rate. Discuss reasons why a company may want to sell their receivables and the advantages and disadvantages of this practi..
Describe the influence that the law has on pricing decisions and how would you respond to the R&D manager's statement about Discounted Cash Flow methods? Do you agree or disagree? Explain.
Judge Drago has decided to set up an educational fund for his favorite granddaughter, Emma, who will start college in one year. The judge plans to deposit an amount in a savings account that pays 9 percent interest. He wants to deposit an amount that..
(Learning Objective 2: Distinguish among operating, financing, and investing activities—indirect method) Smith Clinic, Inc., is preparing its statement of cash flows (indirect method) for the year ended March 31, 2012. Consider the following items in..
Ben Bowman and Savannah Mapes formed a limited liability company with an operating agreement that provided a salary allowance of $89,000 and $71,000 to each member, respectively. In addition, the operating agreement specified an income-sharing ratio ..
Heath Mining Company acquired a mine in 2016. Capitalized costs of the minerals were $6,000,000. The company mined 260,000 tons of ore in 2016 and on December 31, 2016, it is estimated that 3,000,000 tons of ore remained in the ground. Compute the am..
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