You are the managing partner of a marketing consulting firm that specializes in athletics and sports management. Your firm includes the following departments: legal, public relations, accounting, management consulting, talent representation, and event management. University of Strops Athletic Department Location: Mobile, AL Enrollment: 10,000 with a 70% acceptance rate Male = 6,000, Female = 4,000 African-American = 75%, Caucasian = 20%, Other = 5% NCAA Division III member (no athletic scholarships) Conference: We Are Strops Universities & Schools (WASUS), which has 12 members Mascot: Dolphins Student-Athletes: 1,200 Male = 400, Female = 700 Sports: Male Female Basketball Basketball Golf Field Hockey Lacrosse Gymnastics Soccer Lacrosse Soccer Softball Volleyball Administrative Staff: Interim athletic director (female) Assistant athletic director (male) Administrative assistant (female) Sports information director (female) Athletic trainer (male) Compliance coordinator (male) Coaching Staff: All head coaches are full-time with part-time assistant coaches Men coach all men’s sports, women’s basketball, soccer, softball, & volleyball Women coach field hockey, gymnastics, & lacrosse There has been little turnover in the department, the newest coach (field hockey) was hired five years ago, and all staff members are relatively happy in their jobs. Granted they would like to put more wins in the books, but they believe everything is cyclical, and they will start winning again soon. Budget Information: The previous athletic director felt each team should receive the same amount of money regardless of travel schedule, team size, officiating needs, equipment needs, etc. Facility and field maintenance costs are covered by the institutional budget. The department is allocated $500,000 annually, not including salaries. This must cover the following: equipment, officiating, team travel, department travel (meetings, etc.), team meals, recruiting, publicity, compliance, event management, conference fees, athletic training, post-season, conference fees, uniforms (four-year replacement cycle per team), and incidentals. Team Results/Records: Men’s and women’s basketball both finished within two games above or below .500 for the fifth straight year. Field hockey lost in the conference championship, and returns all starters from that team. Golf finished fourth in the conference and sent one golfer to the NCAA Championships. Men’s lacrosse finished one game above .500, their worst record in five years. Men’s soccer finished one game above .500, their best record in five years. Gymnastics won their third straight conference championship, and sent four gymnasts to the NCAA Championships. Women’s lacrosse finished .500, their best record in five years. Women’s soccer finished two games above .

1. You are the managing partner of a marketing
consulting firm that specializes in
athletics and sports management. Yourfirm includes
the following departments: legal,
public relations, accounting, management consulting,
talent representation, and event
management.
University of Strops Athletic Department
Location: Mobile, AL
Enrollment: 10,000 with a 70% acceptance rate
Male = 6,000, Female = 4,000
African-American = 75%,Caucasian = 20%,Other
= 5%
NCAA Division III member (no athletic
scholarships)
Conference: We Are Strops Universities & Schools
(WASUS), which has 12 members
Mascot: Dolphins
Student-Athletes: 1,200
Male = 400, Female = 700

2. Sports: Male Female
Basketball Basketball
Golf Field Hockey
Lacrosse Gymnastics
Soccer Lacrosse
Soccer
Softball
Volleyball
Administrative Staff:
Interim athletic director (female)
Assistant athletic director (male)
Administrative assistant (female)
Sports information director (female)
Athletic trainer (male)
Compliance coordinator (male)
Coaching Staff:
All head coaches are full-time with part-time
assistant coaches
Mencoach all men’s sports, women’s
basketball, soccer, softball, & volleyball
Women coach field hockey, gymnastics, &
lacrosse
There has been little turnover in the department,
the newest coach (field hockey) was
hiredfive years ago, and all staff members are
relatively happy in their jobs. Granted they
would like to put more wins in the books, but
they believe everything is cyclical, and they

3. will start winning again soon.
Budget Information:
The previous athletic director felt each team should
receive the same amount of money
regardless of travel schedule, team size, officiating
needs, equipment needs, etc. Facility
and field maintenance costsare covered by the
institutional budget.
The department is allocated $500,000 annually, not
including salaries. This must cover the
following: equipment, officiating, team travel,
department travel (meetings, etc.),team
meals, recruiting, publicity, compliance, event
management, conference fees, athletic
training, post-season, conference fees, uniforms (four-
year replacement cycle per team),
and incidentals.
Team Results/Records:
Men’s and women’s basketball both finished within
two games above or below .500 for the
fifth straight year.
Fieldhockey lost in the conference championship,
and returns all starters from that team.
Golf finished fourth in the conference and sent
one golfer to the NCAA Championships.
Men’s lacrosse finished one game above .500,
their worst record in five years.

4. Men’s soccer finished one game above .500,
their best record in five years.
Gymnastics won their third straight conference
championship, and sent four gymnasts to
the NCAA Championships.
Women’s lacrosse finished .500,their best record in
five years.
Women’s soccer finished two games above .500,
their worst record in five years.
Softball finished third in the conference with a
.750 record, improvingon last year’s .500
finish, which was their first record of .500 or
more in five years.
Women’s volleyball went undefeated in conference
play winning their first conference
championship and advanced to the second round of
the NCAA Tournament. This was their
fifth straight winning season, and first trip to the
NCAA Tournament.
Yourfirm has been hiredto represent the University of
Strops athletic department.
Week 4 Assignment
PV Of $1
PV of Annuity of $1

5. Issue Price
The following terms relate to independent bond issues:
a. 640 bonds; $1,000 face value; 8% stated rate; 5 years; annual
interest payments
b. 640 bonds; $1,000 face value; 8% stated rate; 5 years;
semiannual interest payments
c. 830 bonds; $1,000 face value; 8% stated rate; 10 years;
semiannual interest payments
d. 1,950 bonds; $500 face value; 12% stated rate; 15 years;
semiannual interest payments
Use the appropriate present value table:
PV of $1 and PV of Annuity of $1 (See Above)
Required:
Assuming the market rate of interest is 10%, calculate the
selling price for each bond issue. If required, round your
intermediate calculations and final answers to the nearest dollar.
Situation
Selling Price of the Bond Issue
a.
$
b.
$
c.
$
d.
$
Koffman and Sons signed a four-year lease for a forklift on
January 1, 2017. Annual lease payments of $1,784, based on an

6. interest rate of 12%, are to be made every December 31,
beginning with December 31, 2017.
PV of Annuity of $1
c. Calculate the amount of depreciation expense for the year
2017. Round answer to the nearest whole dollar.
$
1. At what amount would the lease obligation be presented on
the balance sheet as of December 31, 2017? Round answers to
the nearest whole dollar.
Current liability portion
$
Long-term liability portion
$
Deferred Tax Calculations (Appendix)
Wyhowski Inc. reported income from operations, before taxes,
for 2015-2017 as follows:
2015
$370,000
2016
423,000
2017
496,000
When calculating income, Wyhowski deducted depreciation on

7. plant equipment. The equipment was purchased January 1, 2015,
at a cost of $154,000. The equipment is expected to last three
years and have a(n) $13,000 salvage value. Wyhowski uses
straight-line depreciation for book purposes. For tax purposes,
depreciation on the equipment is $88,000 in 2015, $35,000 in
2016, and $18,000 in 2017. Wyhowski’s tax rate is 35%.
Required:
Enter all amounts as positive numbers.
1. How much did Wyhowski pay in income tax each year? If
required, round all calculations to the nearest dollar.
Year
Taxes Paid
2015
$
2016
$
2017
$
2. How much income tax expense did Wyhowski record each
year?
Year
Income Tax Expense
2015
$
2016
$
2017
$
3. What is the balance in the Deferred Income Tax account at
the end of 2015, 2016, and 2017? If your answer is zero, enter
“0”. If required, round all calculations to the nearest dollar.
Year

8. Balance
Debit or Credit
2015
$
Credit
2016
$
Credit
2017
$
No balance
Keurig Green Mountain’s Current Liabilities
Following is the current assets and current liabilities portion of
the balance sheet of Keurig Green Mountain for the years ended
September 26, 2015, and September 27, 2014:
(Dollars in thousands)
September 26, 2015
September 27, 2014
Current assets:
Cash and cash equivalents
$59,334
$761,214
Restricted cash and cash equivalents
30,460
378
Short-term investment
—

9. 100,000
Receivables, less uncollectible accounts and return
allowances of $35,459 and $66,120 at September 26,
2015 and September 27, 2014, respectively
517,936
621,451
Inventories
691,980
835,167
Income taxes receivable
51,786
—
Other current assets
95,526
69,272
Deferred income taxes, net
70,181
58,038
Total current assets
$1,517,203
$2,445,520
Current liabilities:
Current portion of long-term debt
$ 279
$ 19,077
Current portion of capital lease and financing obligations

10. 3,271
2,226
Accounts payable
298,609
411,107
Accrued expenses
226,519
305,677
Income tax payable
1,085
53,586
Dividend payable
44,048
40,580
Deferred income taxes, net
264
340
Other current liabilities
28,049
10,395
Total current liabilities
$ 602,124
$ 842,988
Source: Keurig Green Mountain, Inc Form 10-K for year ended

11. September 26, 2015.
Required:
1. Determine the company’s current ratio for each fiscal year.
Round your answers to two decimal places.
Current Ratio
2014
: 1
2015
: 1