Category: Accounting

Partnership taxation

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Pedro and Anna plan to form the PA I,LC by the end of 2021 to produce and sell specialty athletic apparel. Pedro and Anna will both serve as member-managers of the LLC and will be active in its operations. The members will each contribute $80.000 cash, and in addition, the LLC will borrow 8440,000 from First State Bank. The $600,000 will be used to buy equipment and to lease a property they can use as a small manufacturing facility and a storefront. The bank has stated that the debt must be guaranteed, and Anna has agreed to guarantee the entire amount. At the end of the year, the LLC also expects to have accounts payable of $40,000 for inventory and supplies. The LLC’s operating agreement provides that all LLC items will be allocated equally. The agreement also provides that capital accounts will be properly maintained and that each member must restore any deficit in the capital account upon the LLC’s If the LLC claims 100% bonus depreciation. it will report a loss of about 3580,000 in 2021, which the LLC members would like to deduct. Pedro and Anna would like to know how the debt ($440,000 loan and $40,000 of accounts payable) will be allocated between them and how that allocation affects their ability to deduct the lasses. Pedro and Anna are single individual taxpayers. If limita-tions arise, can any adjustments he made to ensure that the losses can be deducted? Consider all potential loss limitations, and assume that neither Pedro nor Anna will have business income or losses from other sources. Using the format (1) facts, (2) issues, (3) conclusion and recommendations, and (4) law and analysis, draft a memo to the PA LLC tax planning file for your manager’s review that describes how the debt will be shared between Pedro and Anna for purposes of computing the adjusted basis of each LLC interest. Include any planning ideas that could he addressed to improve the results.

 

Simulation models of tossing two six-sided dice

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Develop two simulation models of tossing two six-sided dice (numbered 1 through 6 on the six faces).
Model 1: Simulate rolling a single die twice and add the total.
Model 2: Simulate a combined roll of two dice, giving a number from 2 through 12 with appropriate probabilities.
Exercise 2:
An advertisement in the newspaper offers a new car for sale or lease. The purchase price of the car is $43,240, or the car can be leased for 24 months for a monthly payment of $458, with a $7,500 down-payment. Under the lease option, there is a charge of 24 cents/mile for mileage above 30,000 miles for the 24 months, and a $550 security deposit, which is refundable at the end of the lease, must be deposited with the dealer. The car may be purchased at the end of the lease for $29,732. All other charges (taxes, maintenance, plates, etc.) are the same under both options.
Develop a simulation model to compare the net present value of buying or leasing the car for 24 months. To compare the two options a number of assumptions must be made. Assume that:
• The mileage driven over the 24 months can be approximated by an exponential distribution with mean 25,000 miles.
• The best estimate of the interest rate over the next 24 months is a normal distribution with mean 8.5% and standard deviation 1%.
• The value of the car at the end of 24 months is the same under both options (that is, if the car is purchased, the realizable value at the end of month 24 is $29,732 less 24 cents/mile for each mile over 30,000).
Use your simulation model to assess the probability that the lease option results in a lower net present value than does the purchase option.
Once you have familiarized yourself with this week’s materials, please write an APA format paper to report your results and findings for the following problems. Use appropriate section headings to make sure you answer each question in a separate section. Be sure to attach your Excel Worksheet to illustrate how you constructed your simulation model.

 

“Money is the most important tool that a manager has for motivating employees.

Posted on | by Brian Leakey
  1. Do you agree or disagree with the following statement? Defend your answer: “Money is the most important tool that a manager has for motivating employees.
  2. When is it to an organization’s advantage to hire employees who need training, and when is it advantageous to hire employees who are already trained?

How you would improve the business of your owner

Posted on | by Brian Leakey | Leave a Comment on How you would improve the business of your owner

 

Assume you work for a vegan restaurant. The owner has a successful restaurant in North Park and he/she/they is considering expanding and taking his/her/their business mobile by adding a food truck. Based on your research of the mobile food truck industry, present pros and cons of entering this market. Include information such as permit requirements, operations-related considerations, all costs including specific permitting costs in San Diego, marketing, opportunities, challenges and anything else you think would be important to present to your boss. Tip: Look at it through the eyes of the receiver. If you were the owner, what information would you need to make this decision? Also, you can be creative and come up with your own name for the restaurant and background information that led up to this point.
Assume you’ve been hired by Emma who is interested in starting a house cleaning business. Emma is considering buying into a franchise such as Molly Maid or starting on her own. In your report, present Emma the pros and cons of purchasing a franchise versus starting independently and (2) the profile, or characteristics, of an entrepreneur that is best suited for each avenue (some personalities do better as independent owners while others will be more successful as franchise owners). (3) Last, present an overview of the top 2-3 house cleaning franchises (initial franchise fee, start-up cost, royalty fees, and any other costs or information to consider), in Emma decides to take that route.
Choose your own topic. You must submit your topic in advance for approval by April 24 through this submission, once this date has passed, you must choose from options 1 or 2 above. Reflect on your school, home or work life. Have you been wanting change and/or improvement? You need to choose a complex topic that can be supported by research and findings, usually something that would take strong convincing and may be expensive (simple proposals and solutions will not work for this type of report). Here’s an example, but use something from your own life: perhaps you work in a business that has old cash registers or point-of-sale systems and you strongly feel that the business would benefit from updating these systems or equipment. Write a proposal to your boss including the reasons why this would improve the business (quicker processing time, improve efficiencies, more aesthetically pleasing, ability to up-sale to customers, etc.), suggest systems or software to replace the current set up, and include cost and any other information you believe is applicable… something like that. Or, in your personal life, it could be a proposal to purchase something expensive or make a major lifestyle change.

Business Entity and Cost Concept Considerations

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Business Entity and Cost Concept Considerations:  Please read the two scenarios below and provide your answers based on the Generally Accepted Accounting Principles (GAAP) of the Business Entity Concept and the Cost Concept.  Please use the information from these concepts to support your responses.
Sally Vertrees purchased a personal computer for use at home. Sally owns a dental practice. She occasionally uses the computer for a task related to her dental practice; however, the computer is used primarily by Sally’s children. Can the computer be recorded as an asset in the accounting records of Sally’s dental office? Why or why not?
Jason Thompson purchased an office building 10 years ago for $780,000. The building was just appraised at $1.25 million. What value should be used for the building in Jason’s accounting records?  Please support your answer.

 

Lauren Smith’s actions to be ethical

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Consider the scenario below and let us know if you believe Lauren Smith’s actions to be ethical.  Please let us know why or why not.
Lauren Smith is the controller for Sports Central, a chain of sporting goods stores. She has been asked to recommend a site for a new store. Lauren has an uncle who owns a shopping plaza in the area of town where the new store is to be located, so she decides to contact her uncle about leasing space in his plaza. Lauren also contacted several other shopping plazas and malls, but her uncle’s store turned out to be the most economical place to lease. Therefore, Lauren recommended locating the new store in her uncle’s shopping plaza. In making her recommendation to management, she did not disclose that her uncle owns the shopping plaza.

 

 

Natural Rewards PPT

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Activities that are naturally rewarding can increase competence and give you a feeling of self-control and purpose. Through activities such as creating a more enjoyable work environment or appreciating a more pleasurable job feature, an individual can increase his or her performance levels. Create a 8-10 slide PowerPoint presentation on natural rewards.

 

 

Dominant Culture

Posted on | by Brian Leakey | Leave a Comment on Dominant Culture

 

 

1.View the movie you selected and find 4 concepts that you have learned about either from the following list or that you have found within the readings and lessons each week. The list below is not exhaustive but can help you to pick some concepts from the different topics we have discussed in the course. You can pick any concept with a definition from the course material or textbook to apply to your movie.

Culture
Dominant Culture
High or Low Context Culture
High or Low Power Distance
Individualism/Collectivism
Ethnocentricity
Perception
Perception checking
Attending
Selective attention
Stimulus
temperament
The Self
Self-concept
Self-image
Self-Esteem
Self-Awareness
Listening
Comprehensive Listening
Evaluative Listening
Empathic Listening
Appreciative Listening
Interrupting
Daydreaming
Verbal Messages
Denotation
Connotation
Polarization
Static Evaluation
Nonverbal Messages
Paralanguage
Eye Contact
4 Zones of space
Emotional Messages
Apology
Relationships
Initiation
Experimenting
Intensifying
Bonding
Autonomy/Connection
Closedness/Openness
Conflict
Avoidance
Accommodation
Competition
Compromise
Collaboration
2.Identify at least 4 scenes from the movie that feature different elements of communication. For instance, if the characters in the movie started a relationship and clearly showed the initiating stage of relationships, you could choose that element to define and describe how it was portrayed in the scene.

For each scene:

Properly cite the definition of the communication element that is featured.
Describe the character interactions and how they portray the communication element.
Demonstrate your understanding of the communication element by analyzing how the character’s interactions portray the communication element.