Question & Answer

What is the continuity law as it applies to the flow of molten metal in casting?

What are some design recommendations for ceramic parts?

1. (a) What discount factor is used to weight benefits that occur in three months’ time for a person with a per-monthly discount factor of 0.9? (b) What does this make the present value of £20 of benefits received in three months’ time? 2. Assume that the good costs £10, which has to be paid today. How long would the maximum delay in (whole) months before receiving the £20 of benefits have to be before a person with a monthly discount of 0.9 would no longer purchase the good.

1.      Broken Rock LLC was recently formed with the following members: Name Tax Year-End Capital/Profits % George Allen December 31 33.33% Elanax Corp. June 30 33.33% Elizabeth Cheam December 31 33.34% What is the required taxable year-end for Broken Rock LLC?

EG Corporation redeemed 200 shares of stock from one of its shareholders in exchange for $200,000. The redemption represented 20 percent of the corporation’s outstanding stock. The redemption was treated as an exchange by the shareholder. By what amount does EG reduce its E&P as a result of the redemption under the following E&P assumptions?

In what ways might the views of different politicians on what constitutes a ‘good’ tax system conflict?

Did the exchange rate difficulties experienced by countries under the ERM strengthen or weaken the arguments for progressing to a single European currency?

If customers were all charged the same price for a product could this ever be classed as an example of price discrimination? Explain your answer.

What is the difference between deep drawing and bar drawing?

What is a flow-through entity, and what effect does this designation have on how business entities and their owners are taxed?

What amounts are included in gross income for the following taxpayers? Explain your answers.

During a tensile test in which the starting gage length = 125.0 mm and the cross-sectional area = 62.5 mm2 , the following force and gage length data are collected (1) 17,793 N at 125.23 mm, (2) 23,042 N at 131.25 mm, (3) 27,579 N at 140.05 mm, (4) 28, 913 N at 147.01 mm, (5) 27,578 N at 153.00 mm, and (6) 20,462 N at 160.10 mm. The maximum load is 28,913 N and the final data point occurred immediately prior to failure. (a) Plot the engineering stress strain curve. Determine (b) yield strength, (c) modulus of elasticity, and (d) tensile strength.

Draw a diagram like Figure 19.18, only with just one L curve. Assume that the current level of national income is at Y1. Now assume that the supply of money decreases. Show the effect on (a) the rate of interest; (b) the position of the LM curve.

Coy and Matt are equal partners in the Matcoy Partnership. Each partner has a basis in his partnership interest of $28,000 at the end of the current year, prior to any distribution. On December 31, each receives an operating distribution. Coy receives $10,000 cash. Matt receives $3,000 cash and a parcel of land with a $7,000 fair market value and a $4,000 basis to the partnership. Matcoy has no debt or hot assets. a. What is Coy’s recognized gain or loss? What is the character of any gain or loss? b. What is Coy’s ending basis in his partnership interest? c. What is Matt’s recognized gain or loss? What is the character of any gain or loss? d. What is Matt’s basis in the distributed property? e. What is Matt’s ending basis in his partnership interest?

Irene is saving for a new car she hopes to purchase either four or six years from now.  Irene invests $10,000 in a growth stock that does not pay dividends and expects a 6 percent annual before-tax return (the investment is tax deferred).When she cashes in the investment after either four or six years, she expects the applicable marginal tax rate on long-term capital gains to be 25 percent.  a.       What will be the value of this investment four and six years from now? b.      When Irene sells the investment, how much cash will she have after taxes to purchase the new car (four and six years from now)?

1.       : What is the difference between ethnocentrism and unconscious bias? Might the two concepts also appear to be the same within some people? Explain.

Myers Company provides you with the following condensed balance sheet information. Assets Liabilities and Stockholders’ Equity Current assets $ 40,000 Current and long-term liabilities $100,000 Equity investments (trading) 60,000 Stockholders’ equity Equipment (net) 250,000 Common stock ($5 par) $ 20,000 Intangibles 60,000 Paid-in capital in excess of par 110,000 Total assets $410,000 Retained earnings 180,000 310,000 Total liabilities and stockholders’ equity $410,000 Instructions For each transaction below, indicate the dollar impact (if any) on the following five items: (1) total assets, (2) common stock, (3) paid-in capital in excess of par, (4) retained earnings, and (5) stockholders’ equity. (Each situation is independent.) (a) Myers declares and pays a $0.50 per share cash dividend. (b) Myers declares and issues a 10% stock dividend when the market price of the stock is $14 per share. (c) Myers declares and issues a 30% stock dividend when the market price of the stock is $15 per share. (d) Myers declares and distributes a property dividend. Myers gives one share of its equity investment (ABC stock) for every two shares of Myers Company stock held. Myers owns 10,000 shares of ABC. ABC is selling for $10 per share on the date the property dividend is declared. (e) Myers declares a 2-for-1 stock split and issues new shares.

Andy Roddick is the new owner of Ace Computer Services. At the end of August 2014, his first month of ownership, Roddick is trying to prepare monthly financial statements. Below is some information related to unrecorded expenses that the business incurred during August. 1. At August 31, Roddick owed his employees $1,900 in wages that will be paid on September 1. 2. At the end of the month, he had not yet received the month’s utility bill. Based on past experience, he estimated the bill would be approximately $600. 3. On August 1, Roddick borrowed $30,000 from a local bank on a 15-year mortgage. The annual interest rate is 8%. 4. A telephone bill in the amount of $117 covering August charges is unpaid at August 31. Instructions Prepare the adjusting journal entries as of August 31, 2014, suggested by the information above.

If market interest rates are expected to decline over time, will a savings institution with rate-sensitive liabilities and a large amount of fixed-rate mortgages perform best by (a) using an interest rate swap, (b) selling financial futures, or (c) remaining unhedged? Explain. (LO4)

Leon Wight, a newly hired loan analyst, is examining the current liabilities of a corporate loan applicant. He observes that unearned revenues have declined in the current year compared to the prior year. Is this a positive indicator about the client’s liquidity? Explain.

What is a route sheet?

Assume that breaking news causes bond portfolio managers to suddenly expect much higher economic growth. How might bond prices be affected by this expectation? Explain. Now assume that breaking news causes bond portfolio managers to suddenly anticipate a recession. How might bond prices be affected? Explain. (LO2)

Heartland Company’s budgeted sales and budgeted cost of goods sold for the coming year are $144,000,000 and $99,000,000, respectively. Short-term interest rates are expected to average 10%. If Heartland can increase inventory turnover from its present level of 9 times a year to a level of 12 times per year, compute its expected cost savings for the coming year.

To produce a 10 megabit memory chip, how many I/O pins are predicted by Rent's rule (C = 6.0 and m = 0.12)?

Human occupations have been lost as a result of technological advancements throughout history. Do you believe that the advancements in fintech will have a comparable effect on employment, leading to the replacement of human jobs with intelligent robots and software? (LO1, LO4)