Waiting for answer This question has not been answered yet. You can hire a professional tutor to get the answer.
Class :ACC-200-2780-Intro to Accounting & FinanceAssignment :Week Six ExercisesCategory :Due Date :Mon, Sep 12, 2016 11:55 PM MSTDetail :Completethe following...
Complete the following assignments from the text:
Chapter 7
- Exercise 7-1
- Exercise 7-18
Chapter 8
- Exercise 8-4a, b, c
Chapter 9
- Exercise 9-11
- Exercise 9-12
Exercise 7-1
Recognizing accrued interest expense
Harveys Corporation borrowed $60,000 from the bank on November 1, 2014. The note had a 6 percent annual rate of interest and matured on April 30, 2015. Interest and principal were paid in cash on the maturity date.
Required
a. What amount of interest expense was paid in cash in 2014?
b. What amount of interest expense was reported on the 2014 income statement?
c. What amount of total liabilities was reported on the December 31, 2014, balance sheet?
d. What total amount of cash was paid to the bank on April 30, 2015, for principal and interest?
e. What amount of interest expense was reported on the 2015 income statement?
Exercise 7-18
Determining the amount of bond premiums and discounts
Required
For each of the following situations, calculate the amount of bond discount or premium, if any:
a. Wolfe Co. issued $120,000 of 6 percent bonds at 101.
b. Riley, Inc., issued $80,000 of 10-year, 8 percent bonds at 98.
c. Rais, Inc., issued $200,000 of 15-year, 9 percent bonds at 102¼.
d. Beaux Co. issued $400,000 of 20-year, 8 percent bonds at 99¾.
Exercise 8-4
Effect of issuing common stock on the balance sheet
Newly formed Electronics Services Corporation has 100,000 shares of $10 par common stock authorized. On March 1, 2014, Electronics Services issued 20,000 shares of the stock for $12 per share. On May 2 the company issued an additional 30,000 shares for $15 per share. Electronics Services was not affected by other events during 2014.
Required
- Record the transactions in a horizontal statements model like the following one. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). Use NA to indicate that an element was not affected by the event.
b. Determine the amount Electronics Services would report for common stock on the December 31, 2014, balance sheet.
c. Determine the amount Electronics Services would report for paid-in capital in excess of par.
Exercise 9-11
Accounts receivable turnover, inventory turnover, and net margin
Selected data from Komar Company follow.
Balance Sheet
As of December 31
2014
2013
Accounts receivable
$500,000
$450,000
Allowance for doubtful accounts
(20,000)
(16,000)
Net accounts receivable
$480,000
$434,000
Inventories, lower of cost or market
$600,000
$525,000
2014
2013
Net credit sales
$2,000,000
$1,760,000
Net cash sales
400,000
320,000
Net sales
2,400,000
2,080,000
Cost of goods sold
1,600,000
1,440,000
Selling, general, and administrative expenses
240,000
216,000
Other expenses
40,000
24,000
Total operating expenses
$1,880,000
$1,680,000
Income Statement for the Years Ended December 31
Required
Compute the following and round computations to two decimal points.
a.The accounts receivable turnover for 2014.
b.The inventory turnover for 2014.
c.The net margin for 2013.
LO 9-5
Exercise 9-12
Ratio analysis
During 2014, Desny Corporation reported after-tax net income of $3,890,000. During the year, the number of shares of stock outstanding remained constant at 10,000 of $100 par, 9 percent preferred stock and 400,000 shares of common stock. The company’s total stockholders’ equity is $20,000,000 at December 31, 2014. Desny Corporation’s common stock was selling at $52 per share at the end of its fiscal year. All dividends for the year have been paid, including $4.80 per share to common stockholders.
Required
Compute the following by rounding to two decimal points.
a.Earnings per share
b.Book value per share of common stock
c.Price-earnings ratio
d.Dividend yield
