Category: Accounting

Hooplah, Inc.: Applying Audit Sampling Concepts to Testing of the Revenue Cycle
As a general rule for both parts of this case, anytime you need to make a judgment or an assumption, it is always best to justify and document why you made that decision. Your justifications will be important when I am grading your assignment. Moreover, your justifications will be tremendously important when/if you are working as an auditor.

Part A –The following are some notes that should help you complete the assignment. Be sure to answer all the questions in Part A of the case.
Please answer each question included in the printed case materials for Part A.
Use the information in Appendix A to determine the sample size for question 1. You will also want to explain your answer to part A. Note also that the relative importance of the control determines your assessment of the tolerable deviation rate.
The documents for the controls testing can be found at the following link: https://media.pearsoncmg.com/ph/bp/bridgepages/bp_beasley_bridgepage/7e/
For question 2b, your test should look only for evidence of a review of the credit memo. Don’t be anxious about the length of the question. It describes the process that should be followed for processing credit memos.
For question 3a, your test should be to reperform the control (i.e., do exactly what BT should have done).
If you find any exceptions, you’ll want to use the lower table in Appendix A to determine the upper deviation rates.
For question 4, think about the relationship between the effectiveness of internal controls and the extent of substantive testing that needs to be done. You may also likely comment on the relative mix of substantive analytics vs. tests of details that would need to be performed.

Using the Company’s financial statements (2023 Annual Report) and published articles provide the answers to the following questions.
Question #1 – Is UPS’ cash provided by operating activities increasing or decreasing?
You need to research what caused the increase or decrease in the cash provided by operating activities. Net income is a result of Sales and Expenses. Do not focus mainly of Net income. You have to research any impact to sales and line item expenses that drove the increase or decrease. Once you have identified he drivers, research them so you can explain the reasons.
Question #2 – Is UPS’ cash provided by operating activities more or less than net income in fiscal 2022?
Similar to question #1, you have to compare cash provided by operating activities against net income. Explain the difference, i.e., what are the drivers and reasons for the increase or decrease.
Please include citations and reference APA style

Chapter 1- introduction
Please do read the sample thesis. Sahdans thesis
Please can you pay special attention to the chapter1.
We need the followings:
1. Why/ what motivated this thesis. And write about my passion.
2. What are my research objectives. Please do consider that we have done 3 research papers. How do we adjust the objectives and research questions
3. Research hypotheses and how it is tested
4. Abstract of the whole thesis – 1 page only
5. Set the tune for the whole thesis
6. Please explain the difference of why we did mixed methods. That is, for the length (interviews) and for breath (questionnaires)
Rest you know best

Case Study Guidelines
Case Study 1 Chapter 4 Hobby Horse Mini-Case Page 117. This Integrated mini case allows you to apply your knowledge to relatively complex real-world business scenario. In addition to being fluent in the course material covered thus far, you should be familiar with Microsoft Word, Excel and Power point. You are expected to study the information provided in the mini-case, identify the main issues/problems, thoroughly analyze these issues/problems using the concepts studied thus far in your course modules, support your analysis with relevant calculations on a spreadsheet, and provide your recommendations for effective solutions and strategies to resolve the issues.
Your final submission must include:
A case study report in MS Word
Supporting calculations and relevant analysis in a separate Excel file, as an appendix along with any supporting figures/tables.
A short power point presentation summarizing your case study analysis and recommendations.
Remember that your final case study report (MS Word) should be single spaced, in the required format, not exceeding 3-4 pages of running text (plus appendices/tables/figures and attachments). You must attach your supporting calculations and quantitative analysis in a separate Excel file as an appendix.
Format:
Format for Case Study Report
Introduction
A brief, one-paragraph description to introduce the case.
Problem Statement
A specific statement of the main problem(s)/issue(s) presented in the case. This should be concise, focused, and not exceeding two sentences.
Environmental Analysis
An insightful and thorough analysis of all identified problem(s)/issue(s); Your analysis must be comprehensive, and supported by all necessary calculations in a separate Excel file attached as an appendix. In your analysis, you should be able to make connections between identified problem(s)/issue(s) and the strategic concepts studied in the course module lessons
Recommendations on Effective Solutions/Strategies
Provide specific strategies to resolve the identified problem(s)/issue(s). Your recommendations should be objective, comprehensive and based on convincing arguments and well-documented evidence.
Conclusion
A final paragraph summarizing your key points
References
All your citations presented in the MLA citation format
Comments from Customer
The assignment is from fundamentals of corporate finance, page 117. Tenth edition

Assignment Question(s):(Marks 15)
Assignment Question(s):(Marks 5)
Q1. ABC prepares budgets for the quarter ending sept.30. Sales in units: July 20,000, August 50,000, September.30, 000, Oct. 25,000. Selling price is SR 10 per unit. , inventory in June 31, is 4,000 units. Desired inventory is 20% of the next month sales. (5 marks)
Required: Prepare sales and production budgets.
ANSWER:
Q2. ABC Company has equipment, and it considers whether to sell it directly at a price of SR 200,000 or to make some modifications costing SR 10,000 to sell it at a price of SR 220,000. Required: Using the differential analysis which alternative do you recommend about the equipment. (2.5 marks)
Answer:
Q3. Riyadh Corporation has average operating assets of SR 450,000 and is required to earn a return of 35% on these assets. In the current period, the division earns net income of SR 75,000. (2.5 marks)
Required: Compute the residual income.
ANSWER:
Q.4- Saudi and German Joint Corporation is a division of a major corporation. Last year the division had total sales of SAR 85,780,000, net operating income of SAR 8,697,570, and average operating assets of SAR 11,000,000. The company’s minimum required rate of return is 15%.
Required:
a. What is the division’s margin?[1.5 mark]
b. What is the division’s turnover?[1 mark]
c. What is the division’s return on investment (ROI)? [1.5 marks]
Answer

The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
Assignments submitted through email will not be accepted.
Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page.
Students must mention question number clearly in their answer.
Late submission will NOT be accepted.
Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. All answers must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism.
Submissions without this cover page will NOT be accepted. Assignment Question(s): (Marks 15)
Q1. What is the process of identifying activities in an organisation and assigning costs under the Activity Based Costing (ABC) system? Elucidate. You will need to include the right numerical examples to support your answer. (2 Marks) (Chapter 7, Week 7)
Answer:
Q2. PPLC Company has two support departments, SD1 and SD2, and two operating departments, OD1 and OD2. The company decided to use the direct method and allocate variable SD1 dept. costs based on the number of transactions and fixed SD1 dept. costs based on the number of employees. SD2 dept. variable costs will be allocated based on the number of service requests, and fixed costs will be allocated based on the number of computers. The following information is provided: (4 Marks) (Chapter 8, Week 10)
Support Departments
Operating Departments
SD1
SD2
OD1
OD2
Total Department variable costs
18,000
19,000
51,000
35,000
Total department fixed costs
20,000
24,000
56,000
30,000
Number of transactions
30
40
200
100
Number of employees
14
18
35
30
Number of service requests
28
18
35
25
Number of computers
15
20
24
28
You are required to allocate variable and fixed costs using direct method. Answer:
Q3. What are an organization’s “outsourcing decisions” and “constrained resource decisions?” Provide a suitable numerical example of these decisions and explain how quantitative and qualitative considerations support a company’s decision-making process.
(2 Marks) (Chapter 4, Week 9)
Note: Your answer must include suitable numerical examples. You are required to assume values of your own, and they should not be copied from any sources. Answer:
Q4. VBN plastic industry makes three plastic toys: T1, T2, and T3. The joint costs of the three products in 2017 were SAR 120,000. The total number of units for each product and the selling price per unit is given below:(3 Marks) (Chapter 9, Week 11)
Product
Units
Selling Price per unit
T1
45,000
SAR 15
T2
26,000
SAR 14
T3
18,000
SAR 10
You are required to allocate the joint costs to each product using the physical volume method and sales value at the split-off method.
Answer:
Q5. MN&M Corporation is preparing a budget for 2018. The company provides you with the following details which will help you to prepare the budget: (4 Marks) (Chapter 10, Week 12)
Budgeted selling price per unit = SAR 500 per unit
Total fixed costs = SAR 150,000
Variable costs = SAR 100 per unit
Required:
You are required to prepare a flexible budget for 1,000, 1,100, 1,200 and 1,300 units. Answer:

Question 1
Here are the latest financial statements filed by Zoom Video Communications (ticker symbol:
ZM) with the Securities and Exchange Commission (form 10-K):
https://www.sec.gov/ix?doc=/Archives/edgar/data/1585521/000158552120000095/zm-
20200131.htm
Answer the following questions:
a) How much did Zoom have in cash and short-term investments as of January 31, 2020?
b) What is the value of Zoom’s total assets?
c) What is the value of Zoom’s long-term debt?
d) What was the book value of Zoom’s equity?
e) Is Zoom a profitable company?
f) What was Zoom’s largest expense item for the fiscal year that ended on January 31,
2020.
theoretical relationship between gross and net margins, i.e., should one always be larger
than the other one?
Question 2
Consider the following potential events that might have taken place at Global Conglomerate on
December 30, 2015. (This is the company we covered in class. Note that December 30 is one day
before the fiscal year end, December 31.) For each one, indicate which line items in Global’s
balance sheet would be affected and by how much. Also indicate the change to Global’s book
g) Compute Zoom’s gross and net profit margin. Which one is larger? What is the
value of equity. (In all cases, ignore any tax consequences for simplicity.)
a) Global used $20 million of its available cash to repay $20 million of its long-term debt.
b) A warehouse fire destroyed $5 million worth of uninsured inventory.
c) Global used $5 million in cash and $5 million in new long-term debt to purchase a $10
million building.
d) A large customer owing $3 million for products it already received declared bankruptcy,
leaving no possibility that Global would ever receive payment.
e) Global’s engineers discover a new manufacturing process that will cut the cost of its
flagship product by over 50%.
f) A key competitor announces a radical new pricing policy that will drastically undercut
Global’s prices.
Question 3
What was the change in Global Conglomerate’s book value of equity from 2014 to 2015
according to Table 2.1 from the textbook? Does this imply that the market price of Global’s
shares increased in 2015? Explain.
Question 4
In early-2015, Abercrombie & Fitch (ANF) had a book equity of $1390 million, a price per share
of $25.52, and 69.35 million shares outstanding. At the same time, The Gap (GPS) had a book
equity of $2983 million, a share price of $41.19, and 421 million shares outstanding.
a) What is the market-to-book ratio of each of these clothing retailers?
b) What conclusions can you draw by comparing the two ratios?
Question 5
See Table 2.5 showing financial statement data and stock price data for Mydeco Corp.
a) What is Mydeco’s market capitalization at the end of each year?
b) What is Mydeco’s market-to-book ratio at the end of each year?
Question 6
Suppose that in 2016, Global launches an aggressive marketing campaign that boosts sales by
15%. However, their operating margin falls from 5.57% to 4.50%. Suppose that they have no
other income, interest expenses are unchanged, and taxes are the same percentage of pretax
income as in 2015.
a) What is Global’s EBIT in 2016?
b) What is Global’s net income in 2016?
c) If Global’s P/E ratio and number of shares outstanding remains unchanged, what is
Global’s share price in 2016?

Case and Requirements
In 2020, Mr. Pep, the chairman, founded FoodPlanet PLC. The company specialises in
providing wholesale services to independent retailers, caterers, and businesses, with a
strong commitment to improving customer service. However, the grocery industry is
experiencing a surge in technological advancements due to increased consumer demand for
online grocery shopping and more personalised advertising. As a result, the company′s sales
have sharply declined, primarily due to external competition. The absence of an online
platform has made it challenging for the company to meet the demand for online shopping.
Fewer customers are visiting physical stores to purchase food, leading to a drop in sales. To
boost sales and foster growth, the company has introduced more discounts and offers for its
customers. Nevertheless, the decline in the company has affected profitability margins and
has had a significant impact on its borrowing capacity, ability to repay the interest on its
debts, and cash flow.
To foster competition and establish the online branch, Mr. Pep is contemplating securing
financing to expand the online retail operations and procure products. Given the company′s
financial position and the inherent risks associated with entering a new online market, this
move entails risks for both short-term and long-term growth, as operating an online e-retail
store will impact the financial structure and profitability. Initially, a substantial cash flow is
anticipated for the online branch, driven by customer interest in the range of products and
competitive wholesale prices. Consequently, the company can anticipate a significant
increase in future sales and profits. Furthermore, the company is expected to have a greater
amount of liquid assets and cash flow than originally projected. Nevertheless, the
management acknowledges the need to secure short-term financing for this new project.
Following consultations with specialists in the online grocery retail sector, the management
team has forecasted the cash flows from online sales for the next five years. The anticipated
cash flows are as follows:
year 1 year 2 year 3 year 4 year 5
Projected
sales (£)
250,000 400,000 550,000 550,000 800,000
This projection outlines a gradual increase in online sales revenue, reflecting an expected
growth and stabilisation in the online grocery market.
Establishing the necessary online processing software will incur an immediate cost of
£4,000, and this software is expected to have a useful life of five years. The installation of a
new online network by the internet service provider requires a one-time payment of £6,000,
plus an annual line rental fee of £1,600. For online deliveries, a fleet of new delivery vans,
costing £250,000, is required. These vans can be financed over a five-year period with a
40% down payment. The financing for the vans is available through a bank loan at a 5%
interest rate, compounded yearly, resulting in yearly payments of £34,647.22.
The company plans to hire part-time van drivers, offering a total annual salary of £5,000 for
all drivers. The vans have a useful life of five years and will be depreciated on a straight-line
basis over this period. The salvage value of the vans after five years is estimated to be 25%
of their total cost. Using the straight-line method for depreciation, the annual depreciation
expense on the company’s income statement is calculated at 20% of the annual depreciation
allowance.
The annual expense for maintaining the vans and for insurance is projected to be £3,000.
The company′s weighted average cost of capital is calculated at 8%. An anticipated shift in
customer behaviour from physical to online shopping is expected to result in a £430,000
annual decrease in sales from physical grocery stores.
The financial advisor anticipates no significant inflation over the next five years and,
consequently, has excluded inflation from the projected figures. The company currently
carries some debt and is not publicly listed on the stock market. Should the proposal be
implemented, additional financing will be necessary. However, the financial advisor has not
specified a preferred method for acquiring this additional finance.
REQUIREMENT FOR REPORT:
Adress the following three questions in relation to the case in a 3,000-word report.
Desсrіption Weighting
Q1 Prepare a schedule of cash flows for the project. Calculate, using the
information available, the net present value of the proposal to sell
online shopping and run an online store. Include in your answer a
justification for whether or not you recommend FoodPlanet to go
ahead with this proposal.
In this question, you are required to critically discuss the effect of the
cost of capital on financial decisions.
35%
Q2 Calculate the payback period for the proposed project to run an
online store, if the company has a policy of only accepting projects
with a payback of less than three years, would this be accepted?
Comment on the suitability of the payback method for the new
investment and comment on how to develop an appropriate payback
year for the new project.
35%
Q3 Identify potential issues of cash flow for the proposed online
expansion of the e-grocery business and discuss various methods of
financing to support this project.
20%
Presentation and referencing

ABC Corporation operates a current account within a community financial institution. As of July 31, highlighted figures from both the ledger balance and the financial institution′s statement are presented for examination.
* Book:
* Cash Balance per book (Beginning Balance) $17,600
* July Cash receipts $81400
o July Cash Disbursements $77150
* Bank:
* Cash Balance per bank (Beginning Balance) $ 16800
* July bank credits $82470
* July bank debits $74756
Analysis of the bank data reveals that the credits consist of $81,000 of July deposits and a credit memorandum of $1,470 for collecting a $1,400 note plus interest revenue of $70. The July debits per bank consist of checks cleared of $74,700 and a debit memorandum of $56 for printing additional company checks. You also discover the following errors involving July checks:
* A check for $230 to a creditor on account that cleared the bank in July was journalized and posted as $320.
* A salary check to an employee for $255 was recorded by the bank for $155.
The June 30 bank reconciliation contained only two reconciling items: deposits in transit of $7,000 and outstanding checks of $6,200.
* What is the value of the deposit in transit as of July 31?
* What is the value of the outstanding checks as of July 31?
* What amount must be subtracted from the bank′s balance as of July 31?
* What amount must be added to the book′s balance as of July 31?
* What is the adjusted cash balance per book as of July 31?
Important Info
The order was placed through a short procedure (customer skipped some order details).
Please clarify some paper details before starting to work on the order.
Type of paper and subject
Number of sources and formatting style
Type of service (writing, rewriting, etc)