I need help understanding and finding the answer for the following question I found a similar question here but the numbers strike me as wrong, lots of missplaced comas please help Posh Hotels Ltd (PHL) is a small boutique hotel that provides 38 suites that can be rented by the day, week, or month Food service is available through room service as well In addition, there are two suites that have been rented on a long term basis to corporate tenants, who have access to their suite anytime throughout the year without making a reservation The company has a December 31 year end, and you are preparing the year end financial statements using ASPE The following issues require your consideration 1 Cash The hotel keeps a significant amount of euro currency on hand to meet the needs of its guests At year end, there was 12,000 on hand The year end exchange rate was $1 35, and the average rate for the year was $1 42 The bank statement balance at December 31 was $158,293 There were outstanding cheques of $52,375 and an outstanding deposit of $15,487 Bank charges per the bank statement were $65 for the month of December and have been recorded 2 Inventor y PHL follows a policy of FIFO costing, and values items at the lower of cost and market based on an individual item basis The hotel has a standing weekly order at set prices with a local catering firm If the food is not eaten before the next delivery is received, it is donated to the local women's shelter This ensures that all meals are of appropriate quality for the hotel guests On December 31, the following items were delivered Item Unit Cost Net Realizable Value 40 chicken dinners $5 $12 35 beef dinners $6 $15 75 frozen vegetable servings $1 $2 75 units of fresh fruit $1 $2 100 desserts $3 $5 The invoice for the food delivery on December 31 included an additional delivery charge of $0 10 per item, totalling $32 50 On December 31, an ice storm resulted in a loss of electricity to the hotel building As a result, 20 chicken and 10 beef dinners thawed and were unusable The hotel also maintains an inventory of white terry cloth bathrobes and towels that are available for sale to its clients At December 31, the following information is available Product Quantity Cost Unit Selling Price Unit Bathrobes, assorted sizes 40 $49 50 $85 00 Towels, extra large 25 $19 30 $18 00 a Towels, large 20 $15 00 $28 00 3 Investments On December 1, PHL purchased a $100,000, 90 day Canadian government treasury bill for $98,039 to yield 8 During the year, PHL purchased 30 of the shares in Western Hotel Company, a company that owns a similar hotel property in a nearby city, for $5 million, a price corresponding to 30 of its book value Subsequently, Western Hotel Company paid a dividend totalling $100,000 and earned income of $250,000 The fair value of the common shares as at December 31 was $5,100,000 PHL also purchased common shares of Dufort Corp as a temporary investment for $48,000 At the end of the year, these shares had a fair value of $47,000, according to the December 31 closing price on the Toronto Stock Exchange A dividend of $500 was received during the year Instructions Part A Cash and investments presentation Determine whether each financial instrument should be presented in the cash and cash equivalents or investments section of the statement of financial position Place an X in the appropriate column in the table below Financial Instrument Cash and Cash Equivalents Investments Euro currency Bank account 90 day Canadian government treasury bill Western Hotel Company common shares Dufort Corp common shares Part B Investment income Calculate the carrying value as at December 31 and investment income for the year ended December 31 for each of the financial instruments listed below Enter the total investment income in the appropriate space in the table below Financial Instrument Carrying Value ($) Investment income ($) Calculations Notes 90 day Canadian government treasury USING Amortized Cost Western Hotel Company common shares Using Equity Method Western Hotel Company common shares Using FV OCI Dufort Corp common shares Using Fair Value NI Part D Inventory carrying values Calculate the carrying value of each inventory item as at December 31 Identify any inventory that requires a writedown Enter the carrying value in the appropriate space in the table below Place an X in the space for any inventory that requires a writedown Carrying Value ($) Writedown Required Food Chicken dinners Beef dinners Vegetable servings Fruit servings Desserts Bathrobes and towels Bathrobes Towels, extra large Towels, large

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I need help understanding and finding the answer for the following question. I found a similar question here but the numbers strike me as wrong,

I need help understanding and finding the answer for the following question. I found a similar question here but the numbers strike me as wrong, lots of missplaced comas.

please help!

Posh Hotels Ltd. (PHL) is a small boutique hotel that provides 38 suites that can be rented by the day, week, or month. Food service is available through room service as well. In addition, there are two suites that have been rented on a long-term basis to corporate tenants, who have access to their suite anytime throughout the year without making a reservation. The company has a December 31 year end, and you are preparing the year-end financial statements using ASPE.

The following issues require your consideration:

1.Cash

The hotel keeps a significant amount of euro currency on hand to meet the needs of its guests. At year end, there was 12,000 on hand. The year-end exchange rate was $1.35, and the average rate for the year was $1.42.

The bank statement balance at December 31 was $158,293. There were outstanding cheques of $52,375 and an outstanding deposit of $15,487. Bank charges per the bank statement were $65 for the month of December and have been recorded.

2.Inventory

PHL follows a policy of FIFO costing, and values items at the lower of cost and market based on an individual item basis.

The hotel has a standing weekly order at set prices with a local catering firm. If the food is not eaten before the next delivery is received, it is donated to the local women's shelter. This ensures that all meals are of appropriate quality for the hotel guests.

On December 31, the following items were delivered:

Item	Unit Cost	Net Realizable Value
40 chicken dinners	$5	$12
35 beef dinners	$6	$15
75 frozen vegetable servings	$1	$2
75 units of fresh fruit	$1	$2
100 desserts	$3	$5

The invoice for the food delivery on December 31 included an additional delivery charge of $0.10 per item, totalling $32.50.

On December 31, an ice storm resulted in a loss of electricity to the hotel building. As a result, 20 chicken and 10 beef dinners thawed and were unusable.

The hotel also maintains an inventory of white terry cloth bathrobes and towels that are available for sale to its clients. At December 31, the following information is available:

Product	Quantity	Cost/Unit	Selling Price/Unit
Bathrobes, assorted sizes	40	$49.50	$85.00?
Towels, extra-large	25	$19.30	$18.00^a
Towels, large	20	$15.00	$28.00?

3.Investments

On December 1, PHL purchased a $100,000, 90-day Canadian government treasury bill for $98,039 to yield 8%.

During the year, PHL purchased 30% of the shares in Western Hotel Company, a company that owns a similar hotel property in a nearby city, for $5 million, a price corresponding to 30% of its book value. Subsequently, Western Hotel Company paid a dividend totalling $100,000 and earned income of $250,000. The fair value of the common shares as at December 31 was $5,100,000.

PHL also purchased common shares of Dufort Corp. as a temporary investment for $48,000. At the end of the year, these shares had a fair value of $47,000, according to the December 31 closing price on the Toronto Stock Exchange. A dividend of $500 was received during the year.

Instructions

Part A: Cash and investments presentation

Determine whether each financial instrument should be presented in the cash and cash equivalents or investments section of the statement of financial position. Place an X in the appropriate column in the table below.

Financial Instrument	Cash and Cash Equivalents	Investments
Euro currency
Bank account
90-day Canadian government treasury bill
Western Hotel Company common shares
Dufort Corp. common shares

Part B: Investment income

Calculate the carrying value as at December 31 and investment income for the year ended December 31 for each of the financial instruments listed below. Enter the total investment income in the appropriate space in the table below.

Financial Instrument	Carrying Value ($)	Investment income ($)	Calculations/Notes
90-day Canadian government treasury USING: Amortized Cost
Western Hotel Company common shares Using: Equity Method
Western Hotel Company common shares Using: FV - OCI
Dufort Corp. common shares Using: Fair Value NI

Part D: Inventory carrying values

Calculate the carrying value of each inventory item as at December 31. Identify any inventory that requires a writedown. Enter the carrying value in the appropriate space in the table below. Place an X in the space for any inventory that requires a writedown.