FinancialAccounting2th财务会计ReviewCases全套复习案例

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1、文档来源为：从网络收集整理.word版本可编辑.欢迎下载支持.ReviewCase1:MechanicalTechnologyIncorporatedMechanicalTechnologywasincorporatedin1961.Itsprincipalbusinessisthedevelopmentandcommercializationofmicrofuelcellsandthedevelopmentandsalesofprecisioninstrumentation.Overthelastfiveyears,MechanicalTechnologyhasstrengthenedits

2、commitmenttoandinvoIvementinthenewenergysector.TheCompanyhassoldoffnon-corebusinessesandrestructureditsbalancesheetinordertoimplementitscorebusinessstrategy,whichistodevelopnewenergytechnologiesandfurtherstrengthenitsoperation.Anincomestatement,balancesheet,statementofcashflows,statementofshareholde

3、rsequity,andseveralnotesappearattheendofthiscase.Required:Thefollowingquestionsallrelatetothesestatements.Explainandjustifyallanswers.a. ExplainthechangeinthebalanceintheretainedearningsaccountfromSeptember30,2000,toSeptember30,2001.b. Whyisthe“lossonsaleoffixedassets”addedtoneashctoweinthestatement

4、inordertoobtaincashflowfromoperations?Bespecific.c. WhatisMechanicalTechnologyscomprehensiveincome(loss)totalfortheyearendedSeptember30,2001?Whatisthesingleitemaccountingforthelargestdifferencebetweennetincomeandcomprehensiveincomefortheyear?d. Accountspayablerelateonlytopaymentstosuppliersofinvento

5、ry.During2001,byhowmuchdidthe“costofsales”(assumeallrelatedtoinventory)differfromthecashpaymentsmadetothesuppliersoftheinventory?e. Whatwasthebaddebtexpenserelatingtoallaccountsandnotesreceivable(bothshort-andIong-term)inthe2001incomestatement?Explain.“property,plantandeqi-i-|pmisnt”andf. Explainthe

6、changes(listallofthemajortransactionswhichaccountforchange)inthebalancesoftheaccumulateddepreciationaccounts.(Hint:consideralloftheinformationinthecashflowstatementaswellasthefootnoteinformation).Provideajournalentryforeachadditionorsubtractionineachofthet-accounts.PP&E(gross)Beg.bal.?Additions?Subt

7、ractionsEnd.Bal.?Beg.bal.Subtractions?Additions?End.bal.AccumulatedDepreciationg. Whatwastheamountofthe“minorityinterest”claimagainstconsolidatednetassetsintheconsolidatedfinancialstatementsatthetimethelessthanwhollyownedsubsidiarywassetupduringthe2001fiscalyear?h. Werethereanytreasurystocktransacti

8、ons(purchasesorsales)duringthe2001fiscalyear?Howcanyoutell?Bespecific.i. Whyis“Stockdividend”subtractedfromnetincomeinthecashflowstatementinordertoobtaincashflowfromoperations?Makeajournalentrytorecordreceiptofthisdividend.j. sfiscal2001pretaxnetincomehavebeenifithadusedLIFOinsteadofFIFOforitsinvent

9、oryaccounting?InventoriesconsistofthefollowingatSeptember30,2001:(Dollarsinthousands)20012000Finishedgoods$272$150Workinprocess693249Rawmaterials,componentsandassemblies709794FIFOinventoryvalue$1,674$1,193Less:LIFOreserve120100LIFOinventoryvalue$1,554$1,093k. SupposethatonOctober1,2001,MechanicalTec

10、hnologyisconsideringraising$1,000thousandforgeneralcorporatepurposes.Itisconsideringtwoalternatives.(Forpurposesofthisproblem,makeallinterestandcouponcalculationsonanannualbasis.)Issueazero-couponbond.Getthe$1,000thousandnowandrepayallprincipalandinterestattheendofthreeyears.Themarketinterestrateont

11、hebondwouldbe10%.1. Issue,atfacevalue,a10%couponbondwithafacevalueof$1,000thousand.Thebondmaturesinthreeyearsandtherelevantrateofinterestis10%Makethejournalentriestorecordtheissueofthebondundereachofthealternatives.i. Whatistheamountofinterestexpensetobereportedinthefiscal2002incomestatementundereac

12、hofthealternatives?ii. Whatistheamountofinterestexpensetobereportedinthefiscal2003incomestatementundereachofthealternatives?iii. WhatisthebookvalueofthebondonOctober1,2003,exactlyoneyearpriortomaturity,undereachofthealternatives?iv. Supposethebondunderalternative2sellsinthemarketfor$1,100thousandonO

13、ctober1,2003.MakethejournalentrytorecordthebuybackofthebondbyMechanicalTechnologyonthatdate.v. IfthemarketrateofinterestforzerocouponbondsofthetypeissuedbyMechanicalTechnologyfallsto6%onSeptember30,2003whatwillbethemarketvalueofthealternative1bond?sbalancevi. Supposethepurchaserofthezero-couponbondc

14、lassifiesitasanavailable-for-salesecurity.WhatvaluewillthebondhaveonthepurchasersheetatthecloseofbusinessonSeptember30,2003,iftheassumptionsofvi.prevail?l.SummarizedbelowisfinancialinformationforPlugPowerandSatCon,thetwocompaniesaccountedforbyusingtheequitymethodbyMechanicalTechnology.MechanicalTech

15、nologyowns24.9%ofPlugPowerand8.05%ofSatCon.Bookvalueapproximatesmarketvalueforallofthenumbersinthefollowingtable.($inthousands)PlugPowerSatConCurrentassets$111,212$24,935Noncurrentassets53,60718,560Currentliabilities7,7375,271Noncurrentliabilities6,5345,773Stockholdersequity150,54832,451i.Ifthesetwo

16、affiliateswereconsolidatedinsteadofbeingaccountedforundertheequitymethod,howmuchlargerorsmallerwouldlong-term(noncurrent)liabilitieshavebeen?Assumetherearenointercompanyliabilities.ii. Assuming(i),howwouldtheconsolidatedratiooflong-term(noncurrent)liabilitiestostockholdersequitychange?iii. Undercons

17、olidation,asin(i),howmuchlargerwouldtotalassetsbe?Assumethattherearenointercompanyassetsorliabilities.文档来源为：从网络收集整理.word版本可编辑.欢迎下载支持.iv. WhydoyouthinkMechanicalTechnologyusestheequitymethodtoaccountforitsownershipinSatCon,whileonlyowning8.05%ofthecompany?MECHANICALTECHNOLOGYINCORPORATEDANDSUBSIDIARI

18、ESBalanceSheets(dollarsinthousands)Assets20012000CurrentAssets:Cashandcashequivalents$9,807$1,552Restrictedcashequivalents781,142Securitiesavailableforsale6,704-Accountsreceivable,lessallowancesof$0in2001and2000586693Inventories1,6741,193Notesreceivable-current,lessallowanceof$0in2001and$250in200025

19、094Deferredincometaxes2,052979Prepaidexpensesandothercurrentassets1,108331TotalCurrentAssets$22,259$5,984Derivativeasset220-Property,plantandequipment,net1,581529Notesreceivable-noncurrent,lessallowanceof$660in2001and2000-97Holdings,atequity(Note7)47,19764,356Holdings,atcost-6,050TotalAssets$71,257$

20、77,016LiabilitiesandShareholdersEquityCurrentLiabilities:Lineofcredit(Note11)$5,000$27,000Accountspayable807283Accruedliabilities1,9451,603Accruedliabilities-relatedparties39Incometaxespayable259Contingentobligationtocommonstockwarrantholders288-Netliabilitiesofdiscontinuedoperations358231TotalCurre

21、ntLiabilities$8,426$29,135Long-TermLiabilities:Deferredincometaxesandothercredits8,4532,852TotalLiabilities$16,879$31,987Minorityinterests$331$-ShareholdersEquityCommonstock,parvalue$1pershare,authorized75,000,000;35,505,010issuedin2001and35,437,285in2000$35,505$35,437Paid-in-capital65,10354,790Accu

22、mulateddeficit(41,328)(45,169)$59,280$45,058AccumulatedOtherComprehensiveLoss:Unrealizedlossonavailableforsalesecurities,netoftax(5,204)-Commonstockintreasury,atcost,20,250sharesin2001and2000(29)(29)TotalShareholdersEquity$54,047$45,029TotalLiabilitiesandShareholdersEquity$71,257$77,016MECHANICALTEC

23、HNOLOGYINCORPORATEDANDSUBSIDIARIESIncomeStatements(dollarsinthousands)200120001999Netsales$7,298$5,558$12,895Costofsales3,1502,5878,249Grossprofit$4,148$2,971$4,646Selling,generalandadministrativeexpenses6,1594,8644,949Productdevelopmentandresearchcosts3,6842,0341,105Operatingloss$(5,695)$(3,927)$(1

24、,408)Interestexpense(1,970)(1,943)(106)Lossonderivatives(1,266)-Gainonderivatives,Companystock922-Gainonsaleofholdings,net28,838-Gainonsaleofsubsidiary-1,262-Other(expense)income,net(93)(309)185Income(loss)fromcontinuingoperationsbeforeincometaxes,equityinholdingslossesandminorityinterests$20,736$(4

25、,917)$(1,329)Incometax(expense)benefit524)1,927(37)Equityinholdingslosses(netoftaxbenefitof$9,722in2001,$10,219in2000and$0in1999)(17,072)(15,849)(9,363)Minorityinterestinlossesofconsolidatedsubsidiary123-Lossfromcontinuingoperations$(3,737)$(18,839)$(10,729)Incomefromdiscontinuedoperations(netoftaxe

26、sof$157in2000and$0in1999)-24341Lossbeforecumulativeeffectsofchangesinaccountingprinciples$(3,737)$(18,596)$(10,688)CumulativeeffectofaccountingchangeforderivativefinancialinstrumentsforCompanysownstock,netoftax1,468-Cumulativeeffectofaccountingchangeforderivativefinancialinstruments,netoftax(Note2)6

27、,110-Netincome(loss)$3,841$(18,596)$(10,688)MECHANICALTECHNOLOGYINCORPORATEDANDSUBSIDIARIESStatementofChangesinShareholdersEquity(dollarsinthousands)200120001999COMMONSTOCKBalance,October1$35,437$34,947$32,325Issuanceofshares-options68490168Issuanceofshares-2,454Balance,September30$35,505$35,437$34,

28、947PAID-IN-CAPITALBalance,October1$54,790$19,457$(5,276)Issuanceofshares-options3(3)1Issuanceofshares-10,190MTIMicroFuelCellinvestment1,163-PlugPowerholding,netoftaxes8,67829,25214,487SatConholding,netoftaxes2,506872-Warrantsissued,netoftaxes-2,207-Compensatorystockoptions,netoftaxes(14)1,19955Recla

29、ssificationofcommonstockwarrantsfromequitytoliability,netoftaxes(2,207)-Stockoptionexercisesrecognizeddifferentlyforfinancialreportingandtaxpurposes1841,806-Balance,September30$65,103$54,790$19,457ACCUMULATEDDEFICITBalance,October1$(45,169)$(26,573)$(15,885)Netincome(loss)3,841(18,596)(10,688)Balanc

30、e,September30$(41,328)$(45,169)$(26,573)ACCUMULATEDOTHERCOMPREHENSIVELOSS:UNREALIZED(LOSS)GAINONAVAILABLEFORSALESECURITIES,NETOFTAXESBalance,October1Unrealizedlossonavailableforsalesecurities,netoftaxesBalance,September30$(5,204)$(5,204)$(5)5$-$(5)$(5)FOREIGNCURRENCYTRANSLATIONADJUSTMENTBalance,Octo

31、ber1$-$(11)$(11)Adjustments-11-Balance,September30$-$-$(11)TREASURYSTOCKBalance,October1$(29)$(29)$(29)Balance,September30$(29)$(29)$(29)SHAREHOLDERSEQUITYSeptember30$54,047$45,029$27,786TOTALCOMPREHENSIVEINCOME(LOSS):Netincome(loss)$3,841$(18,596)$(10,688)Othercomprehensive(loss)income:Foreigncurre

32、ncytranslationadjustment-11-Unrealized(loss)gainonavailableforsalesecurities,net(5,204)5(5)Totalcomprehensiveloss$(1,363)$(18,580)$(10,693)MECHANICALTECHNOLOGYINCORPORATEDANDSUBSIDIARIESStatementofCashFlows(dollarsinthousands)200120001999OPERATINGACTIVITIESNetincome(loss)excludingdiscontinuedoperati

33、ons$3,841$(18,839)$(10,729)Adjustmentstoreconcilenetincome(loss)tonetcashusedbyoperatingactivities:Cumulativeeffectofaccountingchangeforderivativefinancialinstruments,gross(9,986)-CumulativeeffectofaccountingchangesforderivativefinancialinstrumentsforCompanysownstock,gross(2,468)Lossonderivatives1,2

34、66Gainonderivatives,Companystock(922)Stockdividend(827)Capitalizedinterest107Gainonsaleofholdings(28,838)Depreciationandamortization1,761264581Gainonsaleofsubsidiaries-(1,262)-Minorityinterest(123)-Equityinlossesofequityholdings,gross26,79426,0689,363Allowanceforbaddebts(250)63614Lossonsaleoffixedas

35、sets42028Deferredincometaxesandothercredits2,197(12,152)(10)Stockbasedcompensation(14)54755Changesinoperatingassetsandliabilitiesnetofeffectsfromdiscontinuedoperations:Accountsreceivable1078871,093Otherreceivables-relatedparties-105(18)Inventories(481)(343)(4)Prepaidexpensesandothercurrentassets(166

36、)(76)(174)Accountspayable524311(1,450)Incometaxes1619(7)Accruedliabilities-relatedparties(6)9-Accruedliabilities342(127)(1,085)Netcashusedbyoperatingactivitiesexcludingdiscontinuedoperations$(7,122)$(3,933)$(2,343)DiscontinuedOperations:Incomefromdiscontinuedoperations$-$243$41Deferredincometaxesand

37、othercredits-157-Changesinnetliabilities/assets127(309)548Netcashprovidedbydiscontinuedoperations$127$91$589Netcashusedbyoperatingactivities$(6,995)$(3,842)$(1,754)MECHANICALTECHNOLOGYINCORPORATEDANDSUBSIDIARIESStatementofCashFlows(Continued)(dollarsinthousands)200120001999INVESTINGACTIVITIESPurchas

38、esofproperty,plant&equipment$(1,318)$(286)$(2,738)Proceedsfromsaleofholdings37,842-PurchaseofstockinPlugPower-(20,500)(6,000)PurchaseofstockinSatCon-(7,070)-PurchaseofstockinBeaconPower-(6,050)-Proceedsfromsaleofsubsidiary,net-23-Changeinrestrictedcashequivalents,net1,064(1,142)-Investmentinmarketab

39、ledebtsecurities-(2,000)(7,881)Proceedsfromsaleofmarketabledebtsecurities-9,881-InvestmentinNotereceivable-(660)-Principalpaymentsfromnotereceivable1917278Netcashprovided(used)byinvestingactivities$37,779$(27,732)$(16,541)FINANCINGACTIVITIESBorrowingsunderIDAfinancing,lessrestrictedcash$-$-$5,858Pro

40、ceedsfromstockoptionexercises71489153Netproceedsfromsubsidiarystockissuance867-Proceedsfromrightsoffering-12,820Costsofrightsoffering-(158)Financingcosts(1,360)(233)(75)Netborrowings(payments)onrelatedpartydebt(107)-Paymentsunderlines-of-credit(23,200)(5,500)-Borrowingsunderlines-of-credit1,20032,50

41、0-Netcash(used)providedbyfinancingactivities$(22,529)$27,256$18,598Increase(decrease)incashandcashequivalents$8,255$(4,318)$303Cashandcashequivalents-beginningofyear1,5525,8705,567Cashandcashequivalents-endofyear$9,807$1,552$5,870Property,PlantandEquipmentProperty,plantandequipmentconsistsofthefollo

42、wingatSeptember30:20012000$518$722,1491,41719072$2,857$1,5611,2761,032$1,581$529(Dollarsinthousands)LeaseholdimprovementsMachineryandequipmentOfficefurnitureandfixturesLessaccumulateddepreciationDepreciationexpensewas$262,$169,and$489thousandfor2001,2000,and1999,respectively.Repairsandmaintenanceexp

43、ensewas$52,$52,and$166thousandfor2001,2000,and1999,respectively.Valuationandqualifyingaccounts(amountsinthousands)Allowaneefordoubtfulaccounts(accountsandnotesreceivable)BalaneeatbeginningofperiodAdditionsBalaneeatendofChargedtocostsandChargedtootherDescriptionexpensesaccountsDeductionsPeriodYearend

44、edSeptember30:2,001$910$-$-$250$6602,0001136602501139101,9999976-62113ReviewCase2:CaliforniaSteelIndustriesCaliforniaSteelIndustries,Inc.(theCompany)wasincorporatedinthestateofDelawareonNovember3,1983.ItsstockholdersconsistoftwoU.S.companies,KawasakiSteelHoldings(USA),Inc.,aDelawarecorporation,andRi

45、oDoceLimited,aNewYorkcorporation,whicheachown50%ofthestockoftheCompany.FromitssiteinFontana,California,theCompanymanufacturesawiderangeofflatrolledsteelproducts,includinghotrolled,coldrolledandgalvanizedcoilandsheet.TheCompanyalsoproduceselectricresistaneeweldpipe.Anincomestatement,balaneesheet,stat

46、ementofcashflows,statementofshareholdersequityandseveralnotesappearattheendofthiscase.Required:Thefollowingquestionsallrelatetothesestatements.Explainandjustifyallanswers.a. ExplainthechangeinthebalaneeintheretainedearningsaccountfromDecember31,1998,toDecember31,1999.b. Whyisthegainondispositionofpr

47、operty,plant,andequipmentsubtractedfromnetincomeinthecashflowstatementinordertoobtaincashflowfromoperations?c. WhatisCaliforniaSteelscomprehensiveincometotalforfiscal1999?d. Whataredeferredfinancingcostsandwhyaretheyshownasauseofcashinthefinancingsectionofthecashflowstatement?e. Accountspayablerelat

48、etopaymentstosuppliersofinventory.During1999,byhowmuchdidthecostofgoodssold(assumeallrelatedtoinventory)differfromthecashpaymentsmadetothesuppliersoftheinventory?f. Explainthechanges(listallofthemajortransactionsthataccountforchange)inthebalancesofthe-“telromngdebt,excludingcurrentinstallments”and“c

49、urrentinstallmentsoflong-termdebt”accounts.g. Thescheduleoflong-termdebtoutstandinginafootnotetothestatementsshowsthatthereis$150,000thousand(faceamount)ofSeniorNotesbearinginterestat8.5%,payablesemi-annually,dueApril2009,outstandingasofDecember31,1999.Therewasnosuchissueoutstandingatthebeginningoft

50、heyear.Werethesenotesissuedatadiscountorapremium?Howdoyouknow?h. Thenotesin(g)wereissuedatthebeginningofApril1999.Couponinterestispayablesemi-annuallyoneachApril1andOctober1,commencingOctober1,1999.MakethenecessaryjournalentriesCaliforniaSteelwouldhavemadeonDecember31,1999,relatingtothesenotes.i. Su

51、pposethattwoyearsfromApril1999,interestratesonnotesofthetypeandriskofthosein(g)riseto10%(compoundedsemi-annually).HowwilltheentriesmadeonDecember31,2001,differfromthosemadein(h)above?(Assumethatallofthenotesarestilloutstanding.)Explainthechanges(listallofthemajortransactionsthataccountforchange)inth

52、ebalanceofthe“investmentinaffiliatedcompany”account.j. Whatwasthebalanceinthe“investmentinaffiliatedcompany”accountasofDecember31,1997?k. WhatpercentageownershipdoesCaliforniaSteelhaveofthisaffiliate?Howisitbeingaccountedfor?Howwouldthe1999statementshavedifferedifitwereaccountedforasanavailable-for-

53、salesecurity?l. ByhowmuchdidtheLIFOreservechangefromthebeginningtotheendoffiscal1998,whenthecompanywasstillusingLIFO?Assumeataxrateof40%.m. Assumingnoreversalsofaccountsreceivablewrittenoffasuncollectible,whatwasthebaddebtexpenseinthe1999incomestatement?Explain.n. Depreciationandamortizationexpenseo

54、f$26,331thousandconsistsofdepreciationexpenseplustheamortizationofdeferredfinancingcosts.Whatisthetotalofunamortizedfinancingcoststobeamortized?WhatisleftasofDecember31,1999,tobeamortizedinthefuture?Hence,whatisthisamortizationexpensefor1999?o. Explainthechanges(listallofthemajortransactionsthatacco

55、untforchange)inthebalancesofthe“property,plantandequ-ipgmroesnst”and“accumulateddepreciation”accounts.(Hint：Consideralloftheinformationinthecashflowstatementrelatingtopurchasesandsales,aswellasthepartofthe$26,331thousanddepreciationandamortizationexpensethatrelatestodepreciation(fromk).)CALIFORNIAST

56、EELINDUSTRIES,INC.ANDSUBSIDIARYCONSOLIDATEDBALANCESHEETSDecember31,1999and(dollarsinthousands)ASSETSCurrentassets:Cashandcashequivalents(note7)$7,899$11,962Tradeaccountsreceivable,lessallowancefordoubtfulreceivablesof$300,000in1999and$720,000in1998(note7)68,86653,630Inventories(notes3and7)166,570171

57、,655Deferredincometaxes(note11)2,3825,308Otherreceivablesandprepaidexpenses4,8325,162Totalcurrentassets$250,549$247,717Investmentinaffiliatedcompany(note6)34,80134,726Otherassets(note7)4,759-Property,plantandequipment,net(notes4,7and13)262,696251,163Totalassets$552,805$533,606LIABILITIESANDSTOCKHOLD

58、ERSEQUITYCurrentliabilities:Notespayabletobanks(note7)$-$103,700Currentinstallmentsoflong-termdebt(note7)-20,000Accountspayable(note9)54,70750,550Accruedinterestexpense(note7)4,0641,498Otheraccruedexpenses(notes10and12)13,75720,846Totalcurrentliabilities$72,528$196,594Long-termdebt,excludingcurrenti

59、nstallments(note7)$230,000$120,000Deferredincometaxes(note11)$33,198$26,740Stockholdersequity(note8):ClassApreferredstock,$10,000parvaluepershare.Authorized1,000shares;noneissued-ClassBpreferredstock,$10,000parvaluepershare.Authorized2,000shares;noneissued-ClassCpreferredstock,$10,000parvaluepershar

60、e.Authorized3,000shares;issuedandoutstanding3,000shares30,00030,000Commonstock,noparvalue.Authorized2,000shares;issuedandoutstanding1,000shares10,00010,000Retainedearnings177,079150,272$217,079$190,272Totalstockholdersequity$552,805$533,606TotalliabilitiesandstockholdersequityCALIFORNIASTEELINDUSTRIES,INC.ANDSUBSIDIARYCONSOLIDATEDSTATEMENTSOFINCOMEYearsendedDecember31,1999,1998and1997(dollarsinthousands)Netsales$687,050$673,439$722,458