Explain the advantages and disadvantages of using Equation 4 to forecast sales. [pic] .:. (CMA adapted) SOLUTION: 1. Equation 2: St = $1,000,000 + $0.00001Gt Equation 4: St = $600,000 + $10Nt–1 + $0.000002Gt + $0.000003Gt–1 2. To forecast 2010 sales based on 2009 sales, Equation 1 must be used: St = $500,000 + $1.10St–1 S2010 = $500,000 + $1.10($1,500,000) = $2,150,000 3.
User | Alonzo Doby | Course | Spring2014-ECO2023-Princ Economics II-397328 | Test | Chapter 4 Quiz | Started | 2/12/14 10:49 PM | Submitted | 2/12/14 11:24 PM | Due Date | 2/19/14 11:59 PM | Status | Completed | Attempt Score | 6 out of 20 points | Time Elapsed | 34 minutes out of 40 minutes. | Instructions | | * Question 1 0 out of 2 points | | | Examine the graph below. If the equilibrium price is P1, then producer surplus | | | | | Selected Answer: | can be determined by the area of the triangle acP1. | | | | | * Question 2 2 out of 2 points | | | Examine the graph below. Consumer surplus is | | | | | Selected Answer: | defined by the area of the triangle
Financial Statement Analysis Income statements and balance sheets were reviewed to summarize the following key points that could impact the loan decision. Horizontal, vertical, trend, and ratio analysis were also reviewed to provide a solid understanding of the financial highlights of Custom Snowboards in the areas of profitability, liquidity, and solvency. Revenue. Revenue includes net sales, cost of goods sold, and gross profit. Gross profit continues to grow at 30.4% with .23%/ $4,900 from year 12 to 13, and .93%/ $19,600 from year 13 to 14.
If so, what amount should be recorded; and should the amount of the adjustment be considered a 2009 event or a prior period adjustment? For the year- end December 31, 2009, financial statement M should adjust its liability to $18.5 million FASB 450-20-50-3 through 50-8 required disclosure of additional exposure to loss if there is a reasonable possibility that there are additional amounts to be paid. The amount of the adjustment would be considered a 2009 event period adjustment. 3. Should M record the reduction of the previously recorded loss contingency in 2010 (upon the
The alternative hypothesis H1 is that the mean annual income μ is less than $50,000. H1:μ < $50,000 Significance level chosen is 5% or α = 0.05 Here, the population standard deviation is unknown. Hence, we use a t statistic Therefore the test statistic used is t = X-μS/n follows a t distribution with n-1 degrees of freedom From the t table corresponding to 0.05 probability, the critical value tα =1.6766. Hence the critical region is t < -1.6766. Alternatively, we reject the null hypothesis, if the p value is less than the significance level Substituting the value we get t = 43.74-5014.6396/50 = -3.02 The p value corresponding to t = -3.02 and 49 d.f.
Key Financial Data Points. One of the main components to show a firm’s strength and ability to repay debt is profitability, or how much income is left after all expenses are paid. This analysis will examine in some detail various financial results during years 12, 13 and 14 of Custom Snowboards operations
Key Financial Data Points. One of the main components to show a firm’s strength and ability to repay debt is profitability, or how much income is left after all expenses are paid. This analysis will examine in some detail various financial results during years 12, 13 and 14 of Custom Snowboards operations
Christopher Nelson Intermediate Accounting II Research Case 1 1. As of December 31, 2011, what amount, if any , of sales taxes due should be recognized in eVade’s financial statements? Assuming the financial statements for year ending 12/31/2011 have not been issued, an adjustment to sales tax liability can be recognized for the entire $25,000.000. As well, affected prior period statements will need to be re-stated. This is consistent with FASB codification ASC250-10-45-23 2.
Peter Swap I. Issue: Will recognizing compensation expense as part of Mizri Corporation’s stock compensation plan faithfully represent the exchange? II. GAAP List: * 718-10-30-22: An equity instrument for which it is not possible to reasonably estimate fair value at the grant date shall be accounted for based on intrinsic value * 718-20-35-3: A modification of an equity award shall be treated as an exchange of the original award for a new award incurring additional compensation cost for any incremental value III. Alternatives: A.
Should impairment testing be completed on intangible assets, and if so, how often? 3. How should prior periods be corrected for financial reporting and taxes to correct incorrect treatment for intangible asset expenses? Conclusions: 1. ASC 350-30-35-1: Expenses related to intangible assets that have a finite useful life must be capitalized and amortized over the useful life of the intangible assets.