Tuesday, June 30, 2020

Accounting Questions Coursework - 825 Words

Accounting Questions (Coursework Sample) Content: Week Five ExerciseNameInstructorCourse Name and CodeDateQuestion one: Liquidity ratios * Compute the current and quick ratios for each of the three companies. (Round calculations to two decimal places) Which firm is the most liquid? Why?Item Edison Stagg Thornton Cash $6000 $5,000 $4,000 Accounts receivable $2,000 $2,500 $3,000 Short-term investments $3,000 $2,500 $2,000 Inventory $1,000 $2,500 $4,000 Prepaid expenses $800 $8,00 $800 Total Current Assets $12,800 $13,300 $13,800 Item Edison Stagg Thornton Notes Payable: short term $200 $200 $200 Accrued payables $3,100 $3,100 $3,100 Accounts payable $300 $300 $300 Total Current Liabilities $3,600 $3,600 $3,600 Edison Current Ratio $12,600/$3,600 3.50 Quick Ratio ($6,000+$3,000+$2,000)/$3,600 3.06 Thornton Current Ratio $13,800/$3,600 3.83 Quick Ratio ($4,000 + $2,000+$3000)/$3,600 2.50 Stagg Current Ratio $13,300/$3,600 3.69 Quick Ratio ($5,000+$2,500+$2,500)/$3,600 2.78 Comment: Thornton is the most-liquid company bec ause it has the largest inventory, and it can move its inventory quickly.Question Two: Computation and evaluation of activity ratiosAccounts Receivable Turnover Ratio = Net Credit Sales/Average Accounts Receivable= $832,000/[($205,000 + $156,000)/2]= 4.61Inventory Turnover Ratio = Cost of Goods Sold/ Average Inventory= $530,000/[($70,000+$50,000)/2]=8.83Question Three: Profitability ratios, trading on the equity * Compute the profit margin on sales ratio, the return on equity and the return on assets, rounding calculations to two decimal places.Profit margin on Sales Ratio = Net Income/Net Sales= $130,000/$1,750,000=7.43%Profit margin on the return on equity = Net Income/Average common stockholderà ¢Ã¢â€š ¬s equity= $130,000/$500,000= 26%Profit margin on the return on assets = Net income/Average Assets= $130,000/$1,200,000= 10.83% * Does the firm have positive or negative financial leverage? Briefly explain.The company has a negative financial leverage because of the $120 ,000 interest rate, which shows that the company has a huge debt. The debt capital ratio is too high. Indeed, it appears that the company is operating mainly with borrowed funds.Question four: Horizontal analysis. * Prepare a horizontal analysis for 20X1 and 20X2. Briefly comment on the results of your work.Mary Lynn Corporation Horizontal Analysis Item Increase/Decrease 20X2 20X1 Amount Percentage Current Assets $86,000 $80,000 86,000-80,000= $6,000 6,000/80000x100= 7.50% Net Property, Plant, and Equipment $99,000 $90,000 99,000-90,000= $9,000 9,000/90,000x100= 10.00% Intangibles $25,000 $50,000 25,000-50,000= -$25,000 25,000/50,000x100= -50.00% Current Liabilities $40,800 $48,000 40,800-48,000= -$7,200 7,200/48,000x100= -15.00% Long-term Liabilities $153,000 $160,000 153,000-160,000= -$7,000 7,000/160,000x100= -4.38% Stockholderà ¢Ã¢â€š ¬s Equity $16,200 $12,000 16,200-12,000= $4,200 4,200/12,000x100= 35.00% Net Sales $500,000 $500,000 500,000-500,000 0.00% Cost of Goods S old $322,500 $350,000 322,500-350,000= -$27,500 27,500/350,000x100= -7.85% Operating Expenses $93,500 $85,000 93,500-85,000= $8,500 8,500/85,000 x 100= 10.00% Comment: Decrease in long term liabilities show that the company has been repaying its debts. There is no change in net sales, but cost of goods sold has decreased. Furthermore, there is a increases in current assets, and a decrease in current liabilities, showing that the companyà ¢Ã¢â€š ¬s working capital has increased.Question five: Vertical AnalysisMary Lynn Corporation Vertical Analysis Item 20X2 20X1 Amount Percentage Amount Percentage Current Assets $86,000 40.95% $80,000 36.36% Net Property, Plant, and Equipment $99,000 47.14% $90,000 40.91% Intangibles $25,000 11.90% $50,000 22.73% Total Assets $210,000 100.00%

Monday, June 1, 2020

The Reason I became a Physician Assistant in 20 Minutes and 46 Seconds

This is the video from our global medical mission trip October 2012. We were proud to serve over 600 people with combined medical and dental care. I have written several posts on the topic. It was an amazing experience and every time I need a reminder of why I love my job, I just look at these pictures. I encourage each and every Physician Assistant I meet to take a trip like this. And then take 10 more. It will change your life in ways I cannot begin to describe. It will make you a better, more balanced person! Since returning I have a renewed passion for my work, and I am proud of my kids as they continue to ask the questions about these children and theirfamilies. My 5-year-old daughter now says when she grows up she "Wants to be a person who helps poor people and the Haiti kids." Honestly,this is the best thing a dad can hear. I hope that 2013 brings continued joy. My thanks to the amazing Brad Ingram, my dear friend and awonderfulPA who organized this whole adventure. You can see all the photos here. All photos by the amazing: Courtney Reese! You may also like -Most Social Problems Do Not Have a Quick Fix When Good Intentions Are Not Enough As I prepare for my first medical missionstrip to Haiti I question my intentions. I fear that this trip may turn out to be less about helping (because who can help anybody in a week) and more []Working as a Physician Assistant in Haiti: Organization Logisticshttps://youtu.be/dVOWpLo4gpo This video is from the wonderful FREE EdX course:The Practitioners Guide to Global Health The idea of workingoverseasas a physician assistant had always perplexed me. The laws governing PAs and []My First International Trip to Haiti as a Physician Assistant PreperationThis post is the first of aseries I am excited to be going to do some work in Haiti this October. My whole life I have wanted to do medical work overseas and now I am seeing a dream fulfilled. I will be flying from San Francisco []