Following are the transactions and adjustments that occurred during the first year of operations at kissick co. issued 200,000 shares of $5-par-value common stock for $1,000,000 in cash. borrowed $520,000 from oglesby national bank and signed a 10% note due in three years. incurred and paid $400,000 in salaries for the year. purchased $730,000 of merchandise inventory on account during the year. sold inventory costing $580,000 for a total of $910,000, all on credit. paid rent of $330,000 on the sales facilities during the first 11 months of the year. purchased $170,000 of store equipment, paying $53,000 in cash and agreeing to pay the difference within 90 days. paid the entire $117,000 owed for store equipment and $620,000 of the amount due to suppliers for credit purchases previously recorded. incurred and paid utilities expense of $34,000 during the year. collected $835,000 in cash from customers during the year for credit sales previously recorded. at year-end, accrued $52,000 of interest on the note due to oglesby national bank. at year-end, accrued $30,000 of past-due december rent on the sales facilities. required: a. prepare an income statement (ignoring income taxes) for kissick co.'s first year of operations and a balance sheet as of the end of the year. (hint: you may find it to prepare a t-account for the cash account since it is affected by most of the transactions.)

The amberssen specialty company is a chain of twelve retail stores that sell a variety of imported gift items, gourmet chocolates, cheeses, and wines in the toronto area. amberssen has an is staff of three people who have created a simple but effective information system of networked point-of-sale registers at the stores and a centralized accounting system at the company head- quarters. harry hilman, the head of amberssens is group, has just received the following memo from bill amberssen, sales director (and son of amberssen’s founder). harry—it’s time amberssen specialty launched itself on the internet. many of our competitors are already there, selling to customers without the expense of a retail storefront, and we should be there too. i project that we could double or triple our annual revenues by selling our products on the internet. i’d like to have this ready by - giving, in time for the prime holiday gift-shopping season. bill after pondering this memo for several days, harry scheduled a meeting with bill so that he could clarify bill’s vision of this venture. using the standard con- tent of a system request as your guide, prepare a list of questions that harry needs to have answered about this project.

Bridgeport company began operations at the beginning of 2018. the following information pertains to this company. 1. pretax financial income for 2018 is $115,000. 2. the tax rate enacted for 2018 and future years is 40%. 3. differences between the 2018 income statement and tax return are listed below: (a) warranty expense accrued for financial reporting purposes amounts to $7,500. warranty deductions per the tax return amount to $2,200. (b) gross profit on construction contracts using the percentage-of-completion method per books amounts to $94,700. gross profit on construction contracts for tax purposes amounts to $67,100. (c) depreciation of property, plant, and equipment for financial reporting purposes amounts to $61,800. depreciation of these assets amounts to $75,700 for the tax return. (d) a $3,600 fine paid for violation of pollution laws was deducted in computing pretax financial income. (e) interest revenue recognized on an investment in tax-exempt municipal bonds amounts to $1,500. 4. taxable income is expected for the next few years. (assume (a) is short-term in nature; assume (b) and (c) are long-term in nature.) (a) prepare the reconciliation schedule for 2017 and future years. (b) prepare the journal entry to record income tax expense for 2017. (c) prepare the income tax expense section of the income statement beginning with “income before income taxes.” (d) determine how the deferred taxes will appear on the balance sheet at the end of 2017.

Bill dukes has $100,000 invested in a 2-stock portfolio. $62,500 is invested in stock x and the remainder is invested in stock y. x's beta is 1.50 and y's beta is 0.70. what is the portfolio's beta? do not round your intermediate calculations. round the final answer to 2 decimal places.