How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask linda_us Your Own Question

linda_us, Master's Degree
Category: Business and Finance Homework
Satisfied Customers: 6790
Experience:  A tutor for Business, Finance, Accounts and other related topics.
Type Your Business and Finance Homework Question Here...
linda_us is online now
A new question is answered every 9 seconds

I need help on my accounting coarse, please.

Resolved Question:

I need help on my accounting coarse, please.
Submitted: 5 months ago.
Category: Business and Finance Homework
Expert:  linda_us replied 5 months ago.
Welcome back,

My name is XXXXX XXXXX X will try my best to help you. Please post your questions.
Customer: replied 5 months ago.

1. The following balance sheet information (in $ millions) comes

from the Annual Report to Shareholders of Marriott

International Inc. for the 2008 fiscal year. (Certain amounts

have been replaced with question marks to test your understanding

of balance sheets.) In addition, you’re provided with

the following information from an analysis of Marriott’s financial

position at the same date:


Current ratio = 1.3296486

Acid-test ratio = 0.407422

Debt-to-equity ratio = 5.4514493


Compute the missing amounts (rounded to the nearest $ in

millions) in the Marriott balance sheet.



Current assets

Cash and equivalents $134

Accounts and notes receivable ?

Inventory ?

Other 355

Total current assets ?

Property and equipment, net $1,443)

Intangible assets, net ?)

Investments 346)

Notes and other receivables, net 988)

Other 1,173)

Total non-current asssets ?

Total assets ?

Liabilities and Shareholders’ Equity

Current liabilities

Accounts payable $704

Accrued payroll and benefits 633

Other payables and accruals 1,196

Total current liabilities 2,533

Long-term debt ?)

Other long-term liabilities 2,015)

Total long-term liabilities ?

Total liabilities ?

Shareholders’ equity

Class A common stock 5)

Additional paid-in capital 3,590)

Retained earnings 3,565)

Treasury stock and other (5,780)

Total shareholders’ equity 1,380

Total liabilities and shareholders’ equity $8,903


2. The following information is provided in the 2011 annual report to shareholders of


December 31, 2011 December 31, 2010

Accounts receivable ??? $100 million

Inventory $70 million $30 million

Other assets ??? $170 million

Total assets ??? $300 million

Total liabilities ??? $100 million

Total stockholders’ equity ??? $200 million

For the year ended Dec. 31, 2011

Net sales ???

Cost of goods sold ???

Net income $40 million

Return on assets 10%

Receivables turnover 8.0

Inventory turnover 12.0

Asset turnover 2.5

Return on stockholders’ equity 20%

Profit margin on sales 4%


Required: Compute the missing amount in the financial statement

information, indicated by ??? in the table above.


3. Shown below is activity for one of the products of Denver Office Equipment:

January 1 balance, 500 units @ $55 $27,500


January 10 500 units @ $60

January 20 1,000 units @ $63


January 12 800 units

January 28 750 units

a. Compute the ending inventory and cost of goods sold assuming Denver uses FIFO.

b. Compute the ending inventory and cost of goods sold assuming Denver uses LIFO

and a perpetual inventory system.

c. Compute the ending inventory and cost of goods sold assuming Denver uses

average cost and a periodic inventory system.

d. Compute the ending inventory and cost of goods sold assuming Denver uses

average cost and a perpetual inventory system.

e. Compute the ending inventory and cost of goods sold assuming Denver uses LIFO

and a periodic inventory system.



Part B: Ten questions worth 4 points each. Show all work.


1. The following information ($ in millions) comes from a recent annual report of, Inc.:


Net sales $10,711)

Total assets 4,363)

End of year balance in cash 1,022)

Total stockholders’ equity 431)

Gross profit (Sales – Cost of Sales) 2,456)

Net increase in cash for the year 9)

Operating expenses 2,067)

Net operating cash flow 702)

Other income (expense), net (12)


a. Compute Amazon’s balance in cash at the beginning of the year.

b. Compute Amazon’s total liabilities at the end of the year.

c. Compute cost of goods sold for the year.

d. Compute the income before income tax for Amazon.



2. The current asset section of Seifert & Seifert, CPA’s balance sheet consists of cash,

accounts receivable, investments, and prepaid expenses. The 2011 balance sheet

reported the following: cash, $110,000; investments, $22,000; prepaid expenses,

$18,000; noncurrent assets, $422,000; and shareholders’ equity, $350,000. The current

ratio at the end of the year was 1.6 and the debt to equity ratio was .8.

Required: Determine the following 2011 amounts and ratios:

a. Current liabilities.

b. Long-term liabilities.

c. Accounts receivable.

d. The acid-test ratio.


3. Canton Corporation reported the following items in its adjusted trial balance for the

year ended December 31, 2011:

Income from continuing operations before income taxes $110,000)

Extraordinary gain on property condemnsation 28,000)

Extraordinary loss on natural disaster (50,000)

Canton is subject to a 30% tax rate.

Required: Prepare the December 31, 2011, income statement for Canton Corporation,

starting with income from continuing operations before income taxes.


4. In 2011, KP Building Inc. began work on a four-year construction project (called “Cincy

One”). The contract price is $300 million. KP uses the percentage-of-completion

method of accounting. At the end of 2011, the following financial statement information

indicates the results to date for Cincy One:



Gross Profit (before-taxes) recognized in 2011 $22 million


Accounts Receivable from construction billings $10 million

Construction in progress $66 million

Less: Billings on construction ($75 million)

Net billings in excess of construction in progress $9 million

Required: Compute the following, placing your answer in the spaces provided and

showing supporting computations:

Items to compute:

Cash collected by KP on Cincy One during 2011

Actual costs incurred by KP on Cincy One during 2011

At 12/31/2011, the estimated remaining costs to complete Cincy One

The percentage of Cincy One that was completed during 2011


5. On June 30, 2011, Gunderson Electronics issued 8% stated rate bonds with a face

amount of $300 million. The bonds mature on June 30, 2031 (20 years). The market

rate of interest for similar bond issues was 10% (5% semiannual rate). Interest is paid

semiannually (4%) on June 30 and December 31, beginning on December 31, 2011.


a. Determine the price of the bonds on June 30, 2011.

b. Calculate the interest expense Gunderson reports in 2011 for these bonds.

6. During Burns Company’s first year of operations, credit sales totaled $140,000 and collections

on credit sales totaled $105,000. Burns estimates that bad debt losses will be

1.5% of credit sales. By year-end, Burns had written off $300 of specific accounts as



a. Prepare all appropriate journal entries relative to uncollectible accounts and bad

debt expense.

b. Show the year-end balance sheet presentation for accounts receivable.


7. Appleton Inc. adopted dollar-value LIFO on January 1, 2011, when the inventory value

was $1,200,000. The December 31, 2011, ending inventory at year-end costs was

$1,430,000 and the cost index for the year is 1.1.

Required: Compute the dollar-value LIFO inventory valuation for the December 31,

2011, inventory.


8. DK Super Stores Inc. uses the average cost retail method to estimate its ending

inventory. Information at June 30, 2011, is as follows:

Cost Retail

Beginning inventory $105,000

Net purchases 375,000

Net sales 380,000

Ending inventory 64,000

Required: Compute the cost-to-retail percentage used by DK.


9. Schefter Mining operates a copper mine in Wyoming. Acquisition, exploration, and

development costs totaled $8.2 million. Extraction activities began on July 1, 2011.

After the copper is extracted in approximately six years, Schefter is obligated to

restore the land to its original condition, including constructing a park. The company’s

controller has provided the following three cash flow possibilities for the restoration


Cash Flow Probability

1. $700,000 30%

2. $ 800,000 25%

3. $ 900,000 45%

The company’s credit-adjusted, risk-free rate of interest is 5%, and its fiscal year ends

on December 31.


a. What is the initial cost of the copper mine? (Round computations to nearest whole


b. How much accretion expense will Schefter report in its 2011 income statement?

c. What is the carrying value (book value) of the asset retirement obligation that

Schefter will report in its 2011 balance sheet?

d. Assume that actual restoration costs incurred in 2017 totaled $860,000. What

amount of gain or loss will Schefter recognize on retirement of the liability?


10. On March 30, 2011, Calvin Exploration purchased a drilling machine for $840,000. The

estimated useful life of the machine is 10 years, and no residual value is anticipated.

An important component of the machine is the drill housing component that will need

to be replaced in five years. The $200,000 cost of the drill housing component is

included in the $840,000 cost of the machine. Calvin uses the straight-line depreciation

method for all machinery. The company’s fiscal year ends on December 31.


a. Calculate depreciation on the drilling machine for 2011 and 2012 applying the

typical U.S. GAAP treatment.

b. Repeat requirement 1 applying IFRS.

Expert:  linda_us replied 5 months ago.

Please click here for solution

Please rate my solution as Excellent/Good by clicking smiley face so that I get paid.
linda_us, Master's Degree
Satisfied Customers: 6790
Experience: A tutor for Business, Finance, Accounts and other related topics.
linda_us and other Business and Finance Homework Specialists are ready to help you
Customer: replied 5 months ago.

Thank you so much for your help! Sorry it took so long to rate you, been having trouble with my internet lately.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
< Last | Next >
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C. Freshfield, Liverpool, UK
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex Los Angeles, CA
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP Hesperia, CA
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin Kernersville, NC
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther Woodstock, NY
  • Thank you so much for taking your time and knowledge to support my concerns. Not only did you answer my questions, you even took it a step further with replying with more pertinent information I needed to know. Robin Elkton, Maryland
  • He answered my question promptly and gave me accurate, detailed information. If all of your experts are half as good, you have a great thing going here. Diane Dallas, TX

Meet The Experts:

  • linda_us's Avatar


    Master's Degree

    Satisfied Customers:

    A tutor for Business, Finance, Accounts and other related topics.
< Last | Next >
  • linda_us's Avatar


    Master's Degree

    Satisfied Customers:

    A tutor for Business, Finance, Accounts and other related topics.
  • F. Naz's Avatar

    F. Naz

    Bachelor's Degree

    Satisfied Customers:

    Have completed B.COM and CA Finalist
  • Bizhelp's Avatar


    Bachelor's Degree

    Satisfied Customers:

    BA degree and Certified Public Accountant
  • Mr. Gregory White's Avatar

    Mr. Gregory White

    Master's Degree

    Satisfied Customers:

    M.A., M.S. Education / Educational Administration
  • Alex's Avatar


    Bachelor's Degree

    Satisfied Customers:

    BS in Business Administration with honors. Able to assist in many business related courses.
  • FiveStarLaw's Avatar


    Lawyer, Accountant & Researcher

    Satisfied Customers:

    25 years of experience helping people like you.
  • Brittany's Avatar



    Satisfied Customers:

    AA/Accounting BS/Business