need solutions and answers to problems.

E9-2 Calculate earned revenues [LO 1]
E9-2 Calculate earned revenues [LO 1]
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    Kirkland Theater sells season tickets for six events at a price of $180. In pricing the tickets, the planners assigned the leadoff event a value of $45 because the program was an expensive symphony orchestra. The last five events were priced equally; 1,200 season tickets were sold for the 2010 season.
    Required:
    (a)
    Calculate the theater's earned revenue after the first three events have been presented. (Omit the "$" sign in your response.)
Lead off event
54,000 (1200 x 45)
Second and third
64,800 (1200 x 27 x 2)
Total
118,800
      Revenue earned
    $
    118,800 
E9-4 Effects of inventory e
or [LO 2]
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    Assume that the ending inventory of a merchandising firm is overstated by $40,000.
    Required:
    (a)  
    By how much and in what direction (overstated or understated) will the firm's cost of goods sold be misstated? (Omit the "$" sign in your response.)
      Cost of goods sold
    Understated by
    $
    40,000 
    
    
    
    
    
    
    
    
E9-6 Calculate gross profit, cost of goods sold, and selling price [LO 2, 3]
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    MBI, Inc., had sales of $141.6 million for fiscal 2010. The company's gross profit ratio for that year was 31.6%.
    Required:
    (a)
    Calculate the gross profit and cost of goods sold for MBI, Inc., for fiscal 2010. (Round your answers to 1 decimal place. Enter your answers in millions. Omit the "$" sign in your response.)
     
     
     
     
      Gross profit
    $
    44.7456
     million
      Cost of goods sold
    $
    96.8544
     million
    
 
    (b)
    Assume that a new product is developed and that it will cost $1,860 to manufacture. Calculate the selling price that must be set for this new product if its gross profit ratio is to be the same as the average achieved for all products for fiscal 2010. (Round your answer to 1 decimal place. Omit the "$" sign in your response.)
      Selling price
    $
    2719.3
 
    
    
E9-10 Calculate basic EPS, and explain the EPS effect of convertible prefe
ed [LO 7]
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    Thrifty Co. reported net income of $465,000 for its fiscal year ended January 31, 2011. At the beginning of that fiscal year, 200,000 shares of common stock were outstanding. On October 31, 2010, an additional 60,000 shares were issued. No other changes in common shares outstanding occu
ed during the year. Also during the year the company paid the annual dividend on the 25,000 shares of 7%, $40 par value prefe
ed stock that were also outstanding the entire year.
    Required:
    (a)
     Calculate basic earnings per share of common stock for the year ended January 31, 2011. (Round your answer to 2 decimal places. Omit the "$" sign in your response.)
Net Income as reported
$465,000
Less: Prefe
ed dividend
$ 70,000
Income available for common stock holders
$395,000
Common stock outstanding
200,000 for 12 months
2,400,000
Issued during the period
60,000 for 2 months
120,000
Total
2,520,000
=======
Average outstanding
210,000 (2,520,000 ÷ 12)
Earning per share
$395,000 ÷ 210,000
$1.88
      Earnings per share
    $ 1.88 
P9-20 Use gross profit ratio to calculate inventory loss [LO 3]
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    On April 8, 2010, a flood destroyed the warehouse of Stuco Distributing Co. From the waterlogged records of the company, management was able to determine that the firm's gross profit ratio had averaged 35% for the past several years and that the inventory at the beginning of the year was $209,600. It also was determined that during the year until the date of the flood, sales had totaled $427,200 and purchases totaled $242,920.
    Required:
    Calculate the amount of inventory loss from the flood. (Input the amount as positive value. Omit the "$" sign in your response.)
 
Sales
$427,200
Less: Gross Profit @ 35%
$149,520
Cost of goods sold
$277,680
======
Beginning Inventory
$209,600
Add: Purchases
$242,920
Total goods available
$452,520
Less; Cost of goods sold
$277,680
Inventory loss
$174,840
======
      Inventory loss
    $ 174,840 
P9-28 Prepare statement of cash flows (indirect method) using balance sheet data [LO 10, 11]
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    Following are comparative balance sheets for Millco, Inc., at January 31 and Fe
uary 28, 2011:
 
    MILLCO, INC.
Balance Sheets
Fe
uary 28 and January 31, 2011
      Assets
    Fe
uary 28
    January 31
      Cash
    $
    42,000
     
    $
    37,000   
      Accounts receivable
     
    64,000
     
     
    53,000   
      Merchandise inventory
     
    81,000
     
     
    94,000   
     
    
    
          Total cu
ent assets
    $
    187,000
     
    $
    184,000   
      Plant and equipment:
     
     
     
     
     
          Production equipment
     
    166,000
     
     
    152,000   
              Less: Accumulated depreciation
     
    (24,000
    )
     
    (21,000)  
     
    
    
      Total assets
    $
    329,000
     
    $
    315,000   
     
    
    
      Liabilities
     
     
     
     
     
      Accounts payable
    $
    37,000
     
    $
    41,000   
      Short-term...