Professional Documents
Culture Documents
1. Prepare a translation worksheet for Oppa at December 31, 2016.
Oppa Corporation
Translation Worksheet
At and for the year ended December 31, 2016
Korean won Exchange rate
Debits
Cash ₩ 20,000,000 Rp120.0 C
Accounts receivable ₩ 150,000,000 120.0 C
Inventories ₩ 600,000,000 120.0 C
Buildings ₩ 800,000,000 120.0 C
Equipment ₩ 750,000,000 120.0 C
Cost of sales ₩ 300,000,000 110.5 A
Depreciation expense ₩ 50,000,000 110.5 A
Operating expense ₩ 40,000,000 110.5 A
Dividend ₩ 50,000,000 100.50 H
₩ 2,760,000,000
Credits
Accounts payable ₩ 100,000,000 120.0 C
Accumulated depreciation – building ₩ 260,000,000 120.0 C
Accumulated depreciation – equipment ₩ 200,000,000 120.0 C
Common stock ₩ 1,500,000,000 110.0 H
Retained earnings January 1 ₩ 200,000,000 110.0 H
Sales ₩ 500,000,000 110.5 A
Equity adjustment from translation
₩ 2,760,000,000
2. Calculate PT Ratu’s income from Oppa for 2016.
Cost of sales
Depreciation expense
Operating expense
Share of Oppa’s net income
Percentage owned
Equity in Oppa’s net income
Less: Patent amortization
(₩409,454,545.5 x Rp110.5 average rate)
Income from Oppa
3. Determine the correct balance of investment in Oppa account at December 31, 2016.
Rp (149,600,000,000)
Rp 450,400,000,000
₩ 4,094,545,455
₩ 409,454,545.5
mber 31, 2016.
31, 2016
Indonesian rupiah
Rp 2,400,000,000.00
Rp 18,000,000,000.00
Rp 72,000,000,000.00
Rp 96,000,000,000.00
Rp 90,000,000,000.00
Rp 33,150,000,000.00
Rp 5,525,000,000.00
Rp 4,420,000,000.00
Rp 5,025,000,000.00
Rp 326,520,000,000.00
Rp 12,000,000,000.00
Rp 31,200,000,000.00
Rp 24,000,000,000.00
Rp 165,000,000,000.00
Rp 22,000,000,000.00
Rp 55,250,000,000.00
Rp 17,070,000,000.00
Rp 326,520,000,000.00
Rp 55,250,000,000.00
-Rp 5,525,000,000.00
-Rp 4,420,000,000.00
Rp 45,305,000,000.00
80%
Rp 36,244,000,000.00
-Rp 45,244,727,280.00
-Rp 9,000,727,280.00
pa account at December 31, 2016.
Rp 600,000,000,000.00
-Rp 35,520,727,280.00
Rp 13,656,000,000.00
Rp 37,055,636,380.00
-Rp 4,020,000,000.00
Rp 611,170,909,100.00
P14-6
Prepare a worksheet to remeasure the adjusted trial balance of Stu Corporation into U.S. dollars ar December
Stu Corporation
Remeasurement Worksheet
December 31, 2016
New Zealand Exchang
U.S. Dollars
Dollars e rate
Debits
Cash $ 15,000 0.65 $ 9,750.00
Accounts receivable – net $ 60,000 0.65 $ 39,000.00
Inventories $ 30,000 0.66 $ 19,800.00
Prepaid expenses $ 10,000 0.70 $ 7,000.00
Land $ 45,000 0.70 $ 31,500.00
Equipment $ 60,000 Note 1 $ 41,800.00
Cost of sales $ 120,000 Note 2 $ 82,200.00
Depreciation expense $ 12,000 Note 3 $ 8,360.00
Other operating expenses $ 28,000 Note 4 $ 19,000.00
Dividends $ 20,000 0.66 $ 13,200.00
Remeasurement loss $ 1,450.00
$ 400,000 $ 273,060.00
Credits
Accumulated depreciation $ 22,000 Note 5 $ 15,360.00
Accounts payable $ 18,000 0.65 $ 11,700.00
Capital stock $ 150,000 0.70 $ 105,000.00
Retained earnings $ 10,000 0.70 $ 7,000.00
Sales $ 200,000 0.67 $ 134,000.00
$ 400,000 $ 273,060.00
Note 1: Equipment
Original equipment in the business combination NZ$50.000 x 0,70 = $ 35,000.00
Equipment purchased in 2016 NZ$10.000 x 0,68 = $ 6,800.00
$ 41,800.00
Note 2: Cost of sales
Inventory on hand at January 1, 2016 NZ$50.000 x 0,70 = $ 35,000.00
Inventory purchased in 2016 NZ$100.000 x 0,67= $ 67,000.00
Less – Ending inventory NZ$30.000 x 0,66 = $ -19,800.00
$ 82,200.00
Note 3: Depreciation expense
Depreciation rate x all equipment 20% x $41.800 = $ 8,360.00
Note 4: Other operating expenses
Other operating expenses consist of prepaid supplies used NZ$8.000 x 0,70 = $ 5,600.00
Current year outlays NZ$20.000 x 0,67 = $ 13,400.00
$ 19,000.00
Note 5: Accumulated depreciation
Acc.Dep. on the original equipment NZ$20.000 x 0,70 = $ 14,000.00
Acc.Dep. on the equipment purchased (20% x NZ$10,000) NZ$2.000 x 0,68 = $ 1,360.00
$ 15,360.00
dollars ar December 31, 2016.
P15-5
1. Prepare the schedules to show which of the segments are reportable segments under:
a. The 10 percent revenue test
Total
Sales to
Sales to affiliated identified
Segment unaffiliated
customers segment
customers
revenue
b. The 10 percent operating-profit test
Operating
Operating segment’s
Segment’s
Segment
Operating
Operating Loss
profit
Food $ 4,000 ≥
Tobacco $ 4,000 ≥
Lumber $ (500) <
Textiles $ 5,000 ≥
Furniture $ 1,500 ≥
$ 14,500 $ (500)
c. The 10 percent asset test
Identifiable (10% x
Assets $72,000)
Food $ 18,000 ≥ $ 7,200
Tobacco $ 19,000 ≥ $ 7,200
Lumber $ 6,000 < $ 7,200
Textiles $ 22,000 ≥ $ 7,200
Furniture $ 7,000 < $ 7,200
$ 72,000
2. Which of the segments meet at least one of the tests for reportable segments?
Food, Tobacco, Textiles, and Furniture segments.
3. Must additional reportable segments be identified?
Revenue Data
Ex: Sales to unaffiliated customers
Karena revenue from unaffiliated customers dari reportable segments (Food, Tobacco, Textiles, and Fur
75% consolidated revenue, maka no additional reportable segments have to be identified.
4. Prepare a schedule for appropriate disclosure of the segmented data in the financial report of R
Rad Company
Schedule of Operations in Different Segments
For the year ended December 31, 2016
Food Tobacco Textiles
Revenues
Sales to unaffiliated custome $ 12,000.00 $ 10,000.00 $ 18,000.00
Sales to affiliated customers $ 5,000.00 $ 7,000.00 $ 8,000.00
Segment revenue $ 17,000.00 $ 17,000.00 $ 26,000.00
Operating profit
Segment operating profit $ 4,000.00 $ 4,000.00 $ 5,000.00
Assets
Identifiable assets $ 18,000.00 $ 19,000.00 $ 22,000.00
Depreciation $ 1,000.00 $ 2,000.00 $ 3,000.00
Reconciliation of revenue:
Revenue from reportable segments ###
Revenue from equity investees ###
Other revenue ###
Intersegment eliminations ###
Consolidated revenue ###
Reconciliation of assets:
Reportable segment assets ###
Other segment assets ###
Investment in equity affiliates ###
Corporate assets ###
Consolidated assets ###
e segments under:
Reportable
Segment
Test Value (10%
under
x $74,000)
Revenue
Test?
≥ $ 7,400 Yes
≥ $ 7,400 Yes
< $ 7,400 No
≥ $ 7,400 Yes
< $ 7,400 No
Reportable
Test Value (10% Segment Under
x $14,500) Operating Profit
Test?
$ 1,450 Yes
$ 1,450 Yes
$ 1,450 No
$ 1,450 Yes
$ 1,450 Yes
Reportable
Segment Under
Asset Test?
Yes
Yes
No
Yes
No
ll Segments (Consolidated)
12,000
10,000
7,000
18,000
7,000
54,000
est Value (75% x $54.000) =
$40.500
a in the financial report of Rad Company for the year ended December 31, 2016.
ferent Segments
ber 31, 2016
Furniture Other Total
Tor Corporation
Schedule of Income by Quarter for 2016
1. Calculate the estimated annual effective tax rate for Tor Corporation for 2016.
2. Prepare a schedule showing Tor’s estimated net income for each quarter and the calendar year 201
n for 2016.
4th Quarter:
50000- 80% deviden deductable
50000 - 80% x 20000 = 34000
rter and the calendar year 2016.
$ 50,000 $ 160,000
$ (13,112.5) $ (41,960)
$ 36,887.5 $ 118,040