Intermediate Accounting IPart A20 Point Questions (3 questions x 20 points = 60 total points)Show al

Stuck with a difficult assignment? No time to get your paper done? Feeling confused? If you’re looking for reliable and timely help for assignments, you’ve come to the right place. We promise 100% original, plagiarism-free papers custom-written for you. Yes, we write every assignment from scratch and it’s solely custom-made for you.


Order a Similar Paper Order a Different Paper

Intermediate Accounting IPart A20 Point Questions (3 questions x 20 points = 60 total points)Show all work.1. The following information is provided in the 2011 annual report to shareholders of The Biz Store:December 31, 2011 December 31, 2010Accounts Receivable Y $ 6 millionInventory $ 25 million $ 20 millionTotal assets $ 250 million XTotal Stockholders’ Equity W $ 130 millionNet Sales $ 115 millionCost of goods sold ZNet Income UAverage Collection Period 22.2 daysAverage days in inventory 104 DaysEquity multiplier 1.9Return on stockholders’ Equity 16.0 %Profit Margin on sales 17.4 %ROA VRequired: Compute U-Z in the table above.2. Shown below is the activity for one of the products of Random Creations:January 1 balance, 80 units @ $50 $4,000Purchases:January 18: 40 Units @ $51January 28: 40 Units @ $52Sales:January 12: 30 UnitsJanuary 22: 30 UnitsJanuary 31:45 Units2a. Compute the ending inventory and cost of goods sold assuming Random Creations uses FIFO.2b. Compute the ending inventory and cost of goods sold assuming Random Creations uses LIFO and perpetual inventory system.2c. Compute the ending inventory and cost of goods sold assuming Random Creations uses LIFO and a periodic inventory system.2d. Compute the ending inventory and cost of goods sold assuming Random Creations uses average cost and a periodic inventory system.2e. Compute the ending inventory and cost of goods sold assuming Random Creations uses average cost and a perpetual inventory system.3. On January 3, 2011, Michelson & Sons acquired a tract of land just outside the city limits. The land and existing building were purchased for $2.4 million. Michelson paid $400,000 and signed a noninterest-bearing note requiring the company to pay the remaining $2,000,000 on December 31, 2012. An interest rate of 7% properly reflects the time value of money for this type of loan agreement. Transfer taxes, title insurance and other costs totaling $24,000 were paid at closing. During February, the old building was demolished at a cost of $120,000, and an additional $100,000 was paid to clear and grade the land. Construction of a new building began on March 1 and was completed on October 30. Construction expenditures were as follows:March 30 $ 800,000June 30 1, 200,000July 30 1,200,000September 1 600,000Michelson did not borrow specifically for the construction project, but did have the following debt outstanding throughout 2011:$6,000,000, 8% long-term note payable$2,000,000, 5% long-term note payableIn December, the company purchased equipment and office furniture and fixtures for a lump-sum price of $800,000. The fair values of the equipment and the furniture and fixtures were $540,000 and $360,000, respectively. In December, Michelson paid $340,000 for the construction of parking lots and landscaping.Required:3a. Determine the initial values of the various assets that Michelson acquired or constructed during 2011.3b. How much interest expense will Michelson report in its 2011 income statement?Part B4 points Questions (10 questions x 4 points = 40 total points)Show all Works1. Tri Fecta, partnerships, had revenues of $360,000 in its first year of operations. The partnership has not collected on $35,000 of its sales, and still owes $40,000 on $150,000 of merchandise they purchased. There was no inventory on hand at the end of the year. The partnership paid $25,000 in salaries. The partners invested $40,000 in the business and $25,000 was borrowed on a five-year note. The partnership paid $3,000 in interest that was the amount owed for the year and paid $8,000 a two-year insurance policy on the first day of business.Required1a. Compute net income for the first year for Tri Fecta.2a. Compute the cash balance at the end of the first year for Tri Fecta.2. Presented below is a partial trial balance for the Messenger Corporation at December 31, 2011.Account Title Debits CreditsCash and Cash Equivalents 30,000Account Receivable 195,000Raw materials inventory 36,000Note receivable 120,000Interest receivable 4,000Interest Payable 7,000Marketable securities 48,000Land 100,000Buildings 1,500,000Accumulated depreciation-buildings 740,000Work in process inventory 38,000Finish goods inventory 98,000Equipment 400,000Accumulated depreciation – equipment 230,000Franchise (Net of amortization) 120,000Prepaid insurance (for the next year) 60,000Unearned revenue 48,000Accounts payable 240,000Note payable 500,000Salaries Payable 6,000Cash restricted for payment of Note Payable 100,000Allowance for uncollectible Accounts 24,000Sales revenues 900,000Cost of goods sold 500,000

Writerbay.net

We’ve proficient writers who can handle both short and long papers, be they academic or non-academic papers, on topics ranging from soup to nuts (both literally and as the saying goes, if you know what we mean). We know how much you care about your grades and academic success. That's why we ensure the highest quality for your assignment. We're ready to help you even in the most critical situation. We're the perfect solution for all your writing needs.

Get a 15% discount on your order using the following coupon code SAVE15


Order a Similar Paper Order a Different Paper