Reference no: EM131189197
You are the controller of ABC manufacturing corp, a publicly traded furniture manufacturing company, based on Long Island. Business has been going well for ABC. Over the last four quarters the EPS have been 50, 54,59, and 60 cents per share. It is nearing the end of the quarter and most of the analysts that are following your stock are projecting an EPS for the current quarter of 69 cents per share, which looks right in line with what you are projecting for the quarter.
However, just as you are going over the quarter to date figures, four new items are brought to you attention:
1) A wholesale account that has been a long term and important customer (up to 10% if sales) to ABC has just declared Chapter 11 bankruptcy.
2) A piece of land that the company has as invest for years has just been sold to a real estate development company and a profit of 5 cents net of tax has been realized.
Questions-
What course of action you would take against of these points in order to prepare for the next day’s meeting. In each case, what additional information might you seek? Depending on what you find out, what would US GAAP require you to report or disclose in your quarterly 10Q? How would the above events be reflected in your quarterly income statement? What EPS concerns would you expect to hear from the CFO and president? What alternatives would be available to you to appropriately and ethically adjust earnings?
|
Expect to be the limiting value of c
: (a) What is the average yearly rate of change of carbon-14 during the first 5000 years? (Round your answer to six decimal places.) g/yr (b) How many grams of carbon-14 would you expect to find remaining after 2005 years? (Round your answer to two de..
|
|
Rewrite information security policy to current industry
: New policy: Rewrite the information security policy to reflect current industry practices in a way that is appropriate for the organization. Remove obsolete content, revise outdated material, and add sections to reflect current technology. Strive for..
|
|
How do we define quality within healthcare
: Discuss how Quality has evolved over time in various industries to what it is today. Be sure to discuss landmark quality models and the individuals who discovered and pioneered those models.
|
|
Construct a cumulative frequency distribution of this data
: The number of families who used the Minneapolis YWCA day care service was recorded over a 30-day period.- Construct a cumulative frequency distribution of this data.
|
|
What additional information might you seek
: You are the controller of ABC manufacturing corp, a publicly traded furniture manufacturing company, based on Long Island. Business has been going well for ABC. Over the last four quarters the EPS have been 50, 54,59, and 60 cents per share. What cou..
|
|
Evalute microsofts strategy in good and poor economic times
: Evalute Microsoft's strategy in good and poor economic times. --- Discuss the pros and cons of Microsoft's most.
|
|
Define the discount window and the federal reserve policy
: The Federal Reserve Discount Window was fundamental to the founding of the Fed in 1913. And while the basic structure has stayed the same, in at least one way its importance has been diminished and in at least one way its importance remains significa..
|
|
Explain one of the tm concepts
: Explain one of the TM concepts (decisional balance, situational self-efficacy, and processes of change).- Describe how the selected concept impacts a client's behavioral change in the area of health.
|
|
Coupon bonds selling-common stock-shares outstanding
: Given the following, calculate the WACC: Miramar Power Company tax rate = 40% Debt: 10,000 6 percent coupon bonds selling for 98 percent of par use a YTM of 6.5% Common Stock: 200,000 shares outstanding, selling for $60 per share. The beta is .9 Mark..
|