Case Analysis Essay - 885 Words

Case Analysis Background In early April, ABC Inc., needed to recruit several new hires. These new trainees needed to be ready to work by June 15. During this case study we will discuss the problems that the company and its workers had to confront. Carl Robins had been hired six months earlier as the campus recruiter. He had just graduated from a community college and was extremely excited to commence his work at ABC Inc. Carl was known as an industrious man, who had to work his way through to college. Coming from a low income family, Carl had to attend school and work full time to pay for his education. This was Carl’s big opportunity to begin his lifelong journey. Monica Carrolls had worked for ABC Inc., for more than 25 years as†¦show more content†¦Carl went for a walk to clear up his head and come up with a solution to the horror he was living. Analysis After going for a walk, Carl re-organized his task. He prioritized the tasks needed to get done sooner. The most important task was getting the new hires tested for drugs. Carl called a nearby clinic and scheduled the most available dates for testing. Fortunately he was able to schedule the new hires that were missing the drug test. Carl decided it was time to ask for help, he send an email to Monica letting her know about the situations. In that same email he included the barriers he come up with and what he was planning to do. Carl asked Monica if she could re-schedule the technology specialist department for the month of July instead of June. He also wrote that he needed help organizing the orientation manuals. As soon as Monica saw the email, she wanted answer. She scheduled a conference call with Carl and her boss Daniel Ross. The purpose of the meeting was to investigate why the material was not ready and the new hires application was not complete. Carl began the conversation by apologizing and informing them both of the situation. He provided a full description of what was missing. Carl also informed Monica and Daniel that he had schedule the drug test for the new trainees and that he was finishing the application process for all 15 new trainees. In addition toShow MoreRelatedCase Study : Case Analysis : Case Study2888 Words   |  12 PagesRunning head: CASE ANALYSIS 1 CASE ANALYSIS 9 Case Analysis (Author’s name) (Institutional Affiliation) Introduction The case is about Modrow Company, the subsidiary of Tri-American Corporation based in Canada. The branch has 1000 employees whose primary function is fabricating aluminum. The advantages of Modrow are its locationRead MoreImp Case Analysis739 Words   |  3 Pagesâ€Æ' 1. Would a TNA be needed in this situation? Why or why not? If yes, who would you want to talk to? Training Needs Analysis is a formal process required for the purpose of identifying the training gap that is in existence and its related training need. Considering the IMP case analysis, training needs analysis is required since there are different sectors within the organization which require an individual to possess the necessary skills to perform the expected work within that department. InRead MoreCase Analysis: Dave Armstrong (a)648 Words   |  3 PagesOrganisational Behavior Case Analysis: Dave Armstrong (A) Case Summary: This case is about Dave Armstrong, a 29 year old second year MBA student of Harvard Business School. Immediately after his graduation from a small liberal arts college in Texas, he started working for Thorne Enterprises as a computer Programmer. After eighteen months in the job, he quit to go into life insurance business in Amarillo. He applied to Harvard Business school but hadn’t considered what he would do, once acceptedRead MoreHow to Prepare and Present a Case Analysis5797 Words   |  24 PagesPART 6 Strategic-Management Case Analysis How to Prepare and Present a Case Analysis CHAPTER OBJECTIVES After studying this chapter, you should be able to do the following: 1. Describe the case method for learning strategic-management concepts. 2. Identify the steps in preparing a comprehensive written case analysis. 3. Describe how to give an effective oral case analysis presentation. 4. Discuss special tips for doing case analysis. Oral Presentation— Step 1 Introduction (2 minutes) Read MoreBussiness Analysis: The Affinity Plus Case Essay972 Words   |  4 PagesIntroduction In this case analysis the company Affinity Plus will be examined. Affinity Plus recently implemented a new control system. The implication of this new control system resulted in more employee latitude. The consequence of this new system was that resources and time of the organization were used in excess of what was supposed. To solve this problem, MOE (Member, Organization, and Employee) was introduced as a guideline of the chronological sequence that should be taken into account whenRead MoreCase Analysis : You Get What You Put In1015 Words   |  5 Pages6. Case Analysis – You get what you put in A recurring theme that I noticed in COMM 101 was the emphasis on the application of class concepts in the real world. The case analyses often touched on the core teachings and truly tested my knowledge by requiring me to apply everything that I had learned thus far. To be quite honest, it was a rough awakening to university, as I knew my performance was below my regular standards; it reflected my personal effort. A key takeaway from the individual assignmentsRead MoreA Typical Design : Summative Case Analysis1211 Words   |  5 PagesA Typical Design: Summative Case Analysis Luis Navarro, Jr. Southern New Hampshire University A Typical Design: Summative Case Analysis Formulating a concise and effective design can often be exacting to an organization and of an industrial and organizational (I-O) (e.g., organizational consultant, or OC) practitioner/psychologist. This is especially true when an organization is attempting to initiate a program focus on individual development, specifically to address translation ofRead MoreEssay about week 6 case analysis705 Words   |  3 PagesWeek 6 Case Analysis MKTG 301 1. Harris told Houston that he needed a couple of weeks to think about his proposal. How should Houston handle this? Harris is using what is called a time objection also known as stalling technique. In this particular case study Harris already has the need fulfilled by a different supplier and while they have had a few late deliveries Harris need to determine if it worth going through all of the work to get set up a new vendor. The time objection is oftenRead MoreTerracog Case Analysis2219 Words   |  9 PagesTerraCog Case Analysis Part 1 Analysis The situation of dysfunction during meetings in TerraCog is obvious. Both the participants and the facilitator don’t play professional in the meetings and they don’t have necessary communication with others before the meeting. All these poor performances make all meetings which are described in the case study has very low efficiency and cause so much negative emotion amount team members. Primary and secondary tensions Primary tension comes from the unfamiliarityRead MoreCase study analysis paper1396 Words   |  6 Pagesï » ¿ Case Study Analysis Amanda Zuber COMM215 JEANNINE BUCKLEY Case Study Analysis June 16, 2014 Executive Summary ABC Inc. hired 15 new employees with the intention of starting the orientation on June 15. Carl has only six months experience and has made several critical errors. This may have been created due to lack of qualifications, training, or overstating of qualification on Carl’s resume. Due to this, certain tasks were not addressed in a timely manner. Four problems are readily

Fast Food and Obesity - 1681 Words

Is Fast Food Causing Obesity or Are We? Obesity is a growing problem in America that has serious consequences for us and our children. Some would argue this growing predicament is due to the poor choices made by the fast food industries and the unhealthy foods they have available to the public. Others like the Center for Consumer Freedom, would argue that it is not only their choice to eat healthy or unhealthy but also every individuals right as Americans to make that choice without the interference of our government . Where exactly does that leave the children of America though? Children are taught to obey their parents and/or guardians and to do as they are told. If parents are feeding their children unhealthy food the children†¦show more content†¦It is our choice to get into our cars and drive to these restaurants just as it is our choice to wait in line and order that whooper with a large coke. Part of being in America is having the freedom to make choices for ourselves. Pointing the blame at others is much easier than looking at ourselves and realizing that we are becoming obese and have health problems caused by unhealthy foods because of the choices we have made for ourselves. Fast food is not only found at the drive-thru diners with the golden arches or the giant burgers in front of their buildings although they are the most common thing we think of when we hear the term â€Å"fast foodâ€Å". Fast food is any food that is quick, convenient, and inexpensive for the most part. It can be bought just about anywhere that sells food and snacks. Vending machines play a huge part in bad food choices. They are found in most offices and schools for people on the go to grab a quick bite. Twenty-four hour convenience stores are probably the most common places to find fast food but we don’t usually think of it as fast food because it isn’t sold threw a drive-thru restaurant. These foods are so popular because for under five dollars you can usually get a meal that may not be the healthiest choice but will fill you up. However, although fast food is inexpensive it is only that way because it is made with cheaper ingredients. It is timeShow MoreRelatedObesity And Fast Food1444 Words   |  6 PagesStates? In the United States, obesity is one of the public health issues that causes thousand of deaths. When a person’s body mass index shows an extremely high number, he or she is considered having obesity. It is important because it is a serious health problem due to mortality and morbidity. In addition, eating many unhealthy food and lacking exercises lead to dangerous chronic illnesses which then leads to premature death. Lifestyle choices contribute to obesity, in general, and can have adverseRead MoreFast Food And Obesity771 Words   |  4 Pages Is fast food causing people to be obese or is it just a part of the equation? Three hundred thousand people die each year from obesity linked deaths. According to the health care costs of obesity, obese adults spend 42 percent more on direct health care costs than adults who are a healthy weight. Obesity has been an ongoing epidemic for many years not only in America but many other countries. Kids nowadays eat more fast food because it is easy for them to choose this option. Even some schoolsRead MoreFast Food And Obesity : Obesity2432 Words   |  10 PagesKimberly Vang English 1A Andrew Bligh 30 July 2014 Fast Food and Obesity In the Fresno County, a lot of children are becoming overweight and obese. Parents are not doing their proper jobs by looking after or taking care of their children. They are over feeding them; stuffing them with sweets and sodas, and junk foods. Parents aren’t really paying attention until their child is overweight and obese. For example, in Bridget Kelly’s article she showed that 10% of children and over 22 million kidsRead MoreFast Food and Obesity in Adults990 Words   |  4 Pages2013 Fast Food and Obesity in Adults In Aprils addition of Men’s Health magazine there is a picture of salted golden French fries inside a white cup. This advertisement invokes hunger for unhealthy and cheap fast food to consumers. The fast food industries false advertisements, unhealthy food, and long term effects of consuming fast food all lead to the causes and effects of adulthood obesity in the lives of thousands of Americans today. McDonalds, Burger King, Wendy’s, and other fast food industriesRead MoreFast Food And The Obesity Epidemic933 Words   |  4 PagesFast –food Industries are to be Blame for Obesity Visualize the world somewhere a school-age child can step out of his school and walk into a McDonalds. Fast-food causes an array of problems in your body. The food is often high in sugar, fat, and calories while providing very few nutrients. The obesity epidemic Americans face today is a growing problem that affects more than half of the population with growing body sizes and serious medical problems associated with obesity. It is a problem thatRead MoreFast Food And Its Effect On Obesity1655 Words   |  7 PagesKhalid Alebraheem ENG 101 November 25, 2014 Fast Food and Its Effect on Obesity Today, the names of fast food and obesity are synonymous worldwide. Since the 1970s, the number of fast food restaurants in the US has doubled, corresponding to approximately 300,000 new chains (Egger and Boyd 23). Equally, there has been an exponential increase in the number of obese people over the same period, turning obesity into a public health problem in the US and most developed nations (Egger and Boyd 25). HenceRead MoreFast Food Is The Reason For Obesity955 Words   |  4 PagesFast food is the reason to blame for obesity. Food made and prepared in a matter of minutes should certainly raise some flags. ---- Roberto De Vogli states in â€Å"†globesization’: ecological evidence on the relationship between fast food outlets and obesity among 26 advanced economies† that â€Å" the diffusion of ‘fast food restaurants’ resulting from rapid global market integration (Hawkes 2009) and trade liberalization policies (Thow and Hawkes 2009) seems to b e one of the key contributing factors behindRead MoreFast Food Restaurants And Obesity1528 Words   |  7 PagesDo fast food restaurants contribute to obesity in America? One out of every four Americans stop by to eat fast food daily. Many people may not know this, but you would have to walk seven straight hours to burn off a super sized Coke, fry, and Big Mac. Sixty percent of all Americans are either overweight or obese. Did you also know that some fast food restaurants sell more toys than Toys-R-Us? Fast food restaurants contribute to obesity in America by promoting time-saving eating options, using celebritiesRead MoreFast Food Obesity Essay1165 Words   |  5 PagesThroughout the years, fast food is becoming more and more of an outlet for many people that are short on change, in a rush but still need to grab a bite to eat, or even who are just too lazy to cook a meal. Fast food is very cheap, yet when we eat it we don’t necessarily realize the price we pay when we are starting to gain weight. Who is to blame? The person that is addicted to fast food, or the fast food restaurants? I agree fast food is cheap, yet delicious. I understand th at it may get addictingRead MoreFast Food And Childhood Obesity1166 Words   |  5 Pages â€Å"Childhood obesity is a serious epidemic, affecting children across the world. In our country alone, 17% of all children and adolescents are now obese, triple the rate from just a generation ago† (Centers for Disease Control and Prevention [CDC], 2011). This drastic increase leads researchers and ordinary citizens alike to speculate about possible causes. Fast food consumption is one potential cause that has received widespread attention. Many researchers have looked at the relationship

Advance Accounting 1 Free Essays

Joint Venture103 CHAPTER 6 SOLUTIONS TO MULTIPLE CHOICES 6-1: a Assets per Jessica Company- balance sheetP3,550,000 Jessica’s proportionate interest in assets of JV (50%) 1,000,000 Total assets of JessicaP4550,000 6-2: a Total liabilities only of Jenny Co. 6-3: b 6-4: b Investment of Heart P80,000 Profit share: Sales150,800 Cost of sales (150,800 ? 125%)120,640 Gross profit 30,160 Expenses 10,000 Net Profit 20,160 Profit/loss ratio x 40% 8,064 Balance of investment in JVP88,064 6-5: a CashP190,000 Merchandise inventory 29,360 Accounts receivable 150,800 Total assets 370,160 Sweet Co’s, proportionate interest x 60% Sweet Company’s share in total assetP222,096 6-6: a Sales7,200 Cost of sales PurchasesP10,000 Merchandise inventory, end (50% of P10,000)__5,000_5,000 Gross profit2,200 Expenses___500 Net profitP  1,700 104Chapter 6 6-7: b Original investment (cash)P10,000 Profit share (P1,700 / 2)___850 Balance of Investment accountP10,850 6-8: a Joint venture account before profit distribution (credit balance)P  9,000 Unsold merchandise__2,500 Joint venture profit before fee to SalasP11,500 Joint venture profit after fee to Salas (P11,500 / 115%)P10,000 6-9: b Fee of Salas (P10,000 x 15%)P  1,500 Profit share of Salas (P10,000 x 25%)_2,500 TotalP  4,000 6-10: b SalasSalve Balance before profit distributionP  Ã‚  500 (dr)P  2,000 (cr) Profit share:Sabas (P10,000 x 40%)4,000 Salve (P10,000 x 35%)_______3,500 BalanceP  3,500 (cr)P  5,500 (cr) 6-11: d Joint venture account balance before profit distribution (debit)P   6,000 Joint venture profit (P4,500 x 3)_13,500 Cost of unsold merchandise (inventory) taken by DanteP19,500 6-12: b Edwin Capital: Debits: Balance before profit distributionP14,000 Credits: Profit share__4,500 Due from Edwin (debit balance)P   9,500 Joint Venture105 Settlement to Ferdie (Balance of capital account) Debits:P  Ã‚  Ã¢â‚¬â€œ0– Credits:Balance before profit distributionP16,000 Profit share__4,500_20,500 Due to Ferdie (credit balance)P20,500 Settlement to Dante (balance of JV Cash account) Debits:Balance before cash settlementP30,000 Due from Edwin__9,500P39,500 Credits:Due to Ferdie_20,500 BalanceP19,000 6-13: a JV account balance before profit distribution (cr)P  4,600 Unsold merchandise (required dr balance after profit distribution)__2,000 Joint venture profit before fee to JerryP  6,600 Joint venture profit after fee (P6,600 / 110%)__6,000 Fee to JerryP     600 6-14: d Harry CapitalIsaac Capital Balances before profit distribution(P  Ã‚  200)P  1,800 Profit distribution: Harry P6,000 x 50%)3,000 Isaac (P6,000 x 20%)1,200 Cash settlementsP  2,800P   3,000 6-15: b SalesP14,000 Cost of sales: Merchandise inventory, beg (contributions)P14,000 Freight300 Purchases__4,000 Goods available for saleP18,300 Merchandise inventory, end (P8,300/2)__4,15014,150 Gross profit (loss)(150) Expenses (P400 + P200)__600 Net profit (loss)P(  Ã‚  750) 6-16: c Contributions to the Joint Venture (P5,000 + P8,000)P13,000 Loss share (P750 x 50%)(  Ã‚  Ã‚  375) Unsold merchandise taken (withdrawal)(  Ã‚  4,150) Final settlement to jackP   8,475 106Chapter 6 SOLUTIONS TO PROBLEMS Problem 6 – 1 Books of Blanco (Manager)Books of Ablan JV Cash100,000Investment in JV90,000 Joint Venture90,000Merchandise inventory90,000 Cash100,000 Ablan Capital90,000 Joint Venture60,000 JV cash60,000 Joint Venture20,000 JV cash20,000 JV cash200,000 Joint Venture200,000 Computation of JV Profit Total debit to JVP170,000 Total credit to JVP200,000 Credit balance (Profit)P   30,000 Distribution Joint Venture30,000Investment in JV15,000 Profit from JV15,000Profit from JV15,000 Ablan capital15,000 Ablan capital105,000Cash105,000 JV cash105,000Investment in JV105,000 Cash155,000 JV cash155,000 Joint Venture107 Problem 6 – 2 Books of the Joint Venture 1. Computer equipment105,000 Ella capital60,000 Fabia capital45,000 2. We will write a custom essay sample on Advance Accounting 1 or any similar topic only for you Order Now Purchases80,000 Supplies2,000 Diaz capital82,000 3. Expenses9,000 Diaz capital9,000 4. Cash150,000 Sales150,000 5. Expenses30,000 Cash30,000 6. Merchandise inventory20,000 Ella capital20,000 7. Fabia capital10,000 Cash10,000 8. Adjusting and closing entries: (a)Expenses500 Supplies500 (b)Sales150,000 Income summary150,000 Income summary77,500 Merchandise inventory2,500 Purchases80,000 Income summary39,500 Expenses39,500 Distribution of profit: Income summary33,000 Diaz capital11,000 Ella capital11,000 Fabia capital11,000 108Chapter 6 Books of Diaz (1)Investment in Joint Venture82,000 Cash82,000 (2)Investment in Joint Venture9,000 Cash9,000 (3)To record profit share: Investment in Joint Venture11,000 Profit from Joint Venture11,000 Books of Ella: (1)Investment in Joint Venture60,000 Computer equipment60,000 (2)Investment in Joint Venture20,000 Merchandise inventory20,000 (3)To record profit share: Investment in Joint Venture11,000 Profit from Joint Venture11,000 Books of Fabia: (1)Investment in Joint Venture45,000 Computer equipment45,000 (2)Cash10,000 Investment in Joint Venture10,000 (3)To record profit share: Investment in Joint Venture11,000 Profit from Joint Venture11,000 Joint Venture109 Problem 6 – 3 1)No Separate Set of Joint Venture Books is Used Books of Duran (Manager) May1:Joint Venture12,500 Castro capital12,000 Cash500 7:JV cash10,000 Bueno capital10,000 26:Joint Venture9,500 JV cash9,500 30:JV accounts receivable16,000 Joint Venture16,000 June30:JV cash15,000 JV accounts receivable15,000 27:JV cash9,000 Joint Venture9,000 30:To record unsold merchandise taken by Duran: Merchandise inventory3,000 Joint Venture3,000 To record profit distribution: Joint Venture6,000 Profit from JV2,000 Bueno capital2,000 Castro capital2,000 To record settlements: Bueno capital12,000 Castro capital14,000 JV cash24,500 Cash1,500 Accounts receivable1,000 JV accounts receivable1,000 110Chapter 6 Books of Bueno May7:Investment in Joint Venture10,000 Cash10,000 June30:Investment in Joint Venture2,000 Profit from Joint Venture2,000 Cash12,000 Investment in Joint Venture12,000 Books of Castro May1:Investment in Joint Venture12,000 Merchandise inventory12,000 June30:Investment in Joint Venture2,000 Profit from Joint Venture2,000 Cash14,000 Investment in Joint Venture14,000 (2)A Separate Set of Books is used: Books of the Joint Venture May1:Merchandise inventory12,500 Castro capital12,000 Duran capital500 7:Cash10,000 Bueno capital10,000 26:Purchases9,500 Cash9,500 0:Accounts receivable16,000 Sales16,000 June20:Cash15,000 Accounts receivable15,000 27:Cash9,000 Sales9,000 Joint Venture111 June 30:Closing entries: Sales25,000 Income summary25,000 Income summary19,000 Merchandise inventory, end3,000 Merchandise inventory12,500 Purchases9,500 Distribution of profit: Income summary6,000 Bueno capital2,000 Castro capital2 ,000 Duran capital2,000 Settlements to Venturers: Bueno capital12,000 Castro capital14,000 Duran capital2,500 Merchandise inventory3,000 Accounts receivable1,000 Cash24,500 Books of Duran (Manager/Operator) May1:Investment in Joint Venture500 Cash500 June30:Investment in Joint Venture2,000 Profit from Joint Venture2,000 Cash2,500 Investment in Joint Venture2,500 Books of Bueno and Castro (Same as in No. 1 requirement) 112Chapter 6 Problem 6 – 4 (1)Books of Seiko (Manager/Operator) April1:JV Cash102,000 Notes payable – PNB34,000 Roles capital34,000 Timex capital34,000 May:Joint venture64,100 Cash16,300 Rolex capital7,800 June:Rolex capital30,000 JV cash30,000 Joint venture111,400 Cash37,400 Rolex capital64,700 Timex capital9,300 July:Cash40,000 Rolex capital15,000 Timex capital10,000 JV cash65,000 Joint venture55,770 Cash13,970 Rolex capital31,240 Timex capital10,560 August:Cash45,000 Rolex capital67,000 Timex capital13,500 JV cash125,500 Joint venture30,600 Cash9,730 Rolex capital16,560 Timex capital4,310 To record sales: JV cash (P421,000 x 96%)404,160 Joint venture404,160 Joint Venture113 To record payment of loan to PNB: Notes payable – PNB34,000 Rolex capital34,000 Timex capital34,000 Joint venture (Interest expense)8,000 JV cash110,000 To record distribution of profit: Joint venture134,290 Gain from JV (30%)40,287 Rolex capital (60%)80,574 Timex capital (10%)13,429 Computed as follows: Total debits tot he JV accountP269,870 Total credits to the JV account_404,160 Gain (credit balance)P134,290 To record settlement: Cash32,687 Rolex capital128,874 Times capital14,099 JV cash175,660 Computations: Settlement to Rolex – Balance of capital account: Debits:JuneP30,000 July15,000 August67,000 Payment of note payable_34,000P146,000 Credits:April 1P34,000 May47,800 June64,700 July31,240 August16,560 Profit share_80,574__274,874 Credit balanceP 128,874 114Chapter 6 Settlement to timex – Balance of capital account Debits:JulyP  10,000 August13,500 Payment of loan__34,000P  57,500 Credits:April 1P  34,000 June9,300 July10,560 August4,310 Profit share__13,429_71,599 Credit balanceP  14,099 Settlement to Seiko – Balance of JV cash account Debits:April 1P102,000 Loan proceeds_404,160P506,160 Credits:JuneP  30,000 July65,000 August125,500 Payment of loan_110,000_330,500 Balance of JV cash175,660 Less:Settlement to RolexP128,874 Settlement to Timex__14,099_142,973 Settlement to SeikoP   32,687 (2)Partial Balance Sheet June 30, 2008 Books of Seiko (Manager/operator) Current assets: Investment in joint Venture: Joint Venture assets: CashP  72,000 Joint Venture_175,500P247,500 Less:Equity of other venturers (P116,500 + P43,300)_159,80087,700 Current liabilities: Notes payable – PNB34,000 Joint Venture115 Computation of balances as of June 30, 2008: JV CashJoint Venture April 1P102,000P30,000JuneMayP   64,100 BalanceP   72,000June_111,400 BalanceP175,500 Notes PayableRolex capital P34,000AprilJuneP  30,000P  34,000April 1 47,800May _________64,700June P  30,000P146,500 P116,500 Timex capital P34,000April __9,000June P43,300 Problem 6 – 5 Consolidated Balance Sheet CashP  61,000 Receivables122,000 Inventory102,500 Other assets__40,500 Total assetsP326,000 Accounts payableP  61,000 Other liabilities96,500 Capital stock50,000 Retained earnings_118,500 Total liabilities and stockholders’ equityP326,000 Consolidated Income Statement SalesP246,750 Cost of sales_124,750 Gross profit122,000 Operating expenses__58,250 Consolidated net incomeP   63,750 16Chapter 6 Problem 6 –6 (a)Journal entries on venture books June 15:Cash1,000,000 MacDo1,000,000 Initial contribution at 6% July 1:Land2,400,000 Mortgage payable1,650,000 Cash 750,000 Purchased land for cash and 6% mortgage. Aug 1:Cash1,100,000 MacDo1,100,000 Additional contribution at 6%. Land 950,000 Cash 950,000 Paid for improvements. Sept 30:Mortgage payable 250,000 Interest expense- Mortgage 3,750 Cash 253,750 Reduced mortgage and paid interest. Oct 31:Mortgage payable 400,000 Interest expense- Mortgage 8,000 Cash 408,000 Reduced mortgage and paid interest. Nov 30:Mortgage payable 300,000 Interest expense- Mortgage 7,500 Cash 307,500 Reduced mortgage and paid interest. Dec 31:Mortgage payable 200,000 Interest expense- Mortgage 21,000 Cash 221,000 Reduced mortgage and make semi-annual interest payment. Joint Venture117 31:Cash2,600,000 Sales2,600,000 Sales to date. 31:Commissions 130,000 Cash 130,000 P2,600,000 x 5% 31:Expenses 628,100 Cash 628,100 Paid expenses 31:Interest expense- Venturer 60,000 MacDo 60,000 6% on P1,000,000 from June 15 to December 31, and on P1,100,000 from August 1 to December 31. 31:Sales2,600,000 Land (cost of land sold)1,145,000 Expenses 628,100 Commissions 130,000 Interest expense- mortgage 40,250 Interest- venturer 60,000 Income summary 596,650 To close income and expense accounts. 31:Income summary 596,650 MacDo 596,650 MacEn 238,660 To divide gain, 60:40. 31:MacDo 801,650 Cash 801,650 Payment on account. (b)Journal entries on MacDo’s books: June 15:Investment in Joint Venture1,000,000 Cash1,000,000 Initial contribution. Aug 1:Investment in Joint Venture1,100,000 Cash1,100,000 Additional contribution. 118Chapter 6 Dec 31:Investment in Joint Venture 60,000 Interest income 60,000 Interest earned on cash advanced. 31:Investment in Joint Venture 357,990 Gain on Joint Venture 357,990 60% of gain on venture. 31:Cash 801,650 Investment in Joint Venture 801,650 Repayment in part of advances. (c)MacDo and MacEn Joint Venture Income Statement For the period from June 15 to December 31, 2008 SalesP2,600,000 Cost of land sold: LandP2,400,000 Improvements 950,000 TotalP3,350,000 Unsold land 2,205,000 1,145,000 Gross profit 1,455,000 Expenses: Advertising and office expensesP 628,100 Interest on mortgage 40,250 Interest on advances 60,000 Commissions 130,000 858,350 Net gainP 596,650 Distributions: MacDo (P596,650 x 60%)P 357,990 MacEn (P596,650 x 40%) 238,660 Mac Do and MacEn Joint Venture Balance Sheet December 31, 2008 Assets CashP 250,000 Land 2,205,000 Total AssetsP2,455,000 Liabilities and equity: Mortgage payableP 500,000 MacDo 1,716,340 MacEn 238,660 Total liabilities and equityP2,455,000 Joint Venture119 Venturers equity (interest) MacDoMacEnTotal InvestedP2,100,000P2,100,000 Shares: GainP 357,990P238,660P 596,650 Interest on advances 60,000 60,000 Commissions 130,000 130,000 Total 417,990 368,660 786,650 Balances 2,517,990 368,660 2,886,650 Withdrawn (801,650) (130,000) (931,650) Equity (interests)P1,716,340P238,660P1,955,000 How to cite Advance Accounting 1, Papers