Franklin purchases 40 percent of johnson company on january 1 for $610,500. although franklin did not use it, this acquisition gave franklin the ability to apply significant influence to johnson’s operating and financing policies. johnson reports assets on that date of $1,567,000 with liabilities of $580,000. one building with a seven-year remaining life life is undervalued on johnson’s books by $141,750. also, johnson’s book value for its trademark (10-year life) is undervalued by $397,500. during the year, johnson reports net income of $99,000 while declaring dividends of $30,000. what is the investment in johnson company balance (equity method) in franklin’s financial records as of december 31?

Jordan, inc. sells fireworks. the company’s marketing director developed the following cost of goods sold budget for april, may, june, and july. april may june july budgeted cost of goods sold $62,000 $72,000 $82,000 $88,000 jordan had a beginning inventory balance of $3,000 on april 1 and a beginning balance in accounts payable of $14,600. the company desires to maintain an ending inventory balance equal to 15 percent of the next period’s cost of goods sold. jordan makes all purchases on account. the company pays 65 percent of accounts payable in the month of purchase and the remaining 35 percent in the month following purchase. required prepare an inventory purchases budget for april, may, and june. determine the amount of ending inventory jordan will report on the end-of-quarter pro forma balance sheet. prepare a schedule of cash payments for inventory for april, may, and june. determine the balance in accounts payable jordan will report on the end-of-quarter pro forma balance sheet.

Suppose that a firm is considering moving from a batch process to an assembly-line process to better meet evolving market needs. what concerns might the following functions have about this proposed process change: marketing, finance, human resources, accounting, and information systems?

Which of the following would be an accurate statement about achieving a balanced budget