Hello, Drupal Khan. Good morning, good afternoon, good evening. My name is Audra Martin Marek. I'm the secretary on the Drupal Association Board of Directors and I am super excited to be here. I believe that open source belongs in schools. So I am really, really pleased to introduce Stu Keroff, Founder Community School of Excellent, Asian Penguins and Aspen Academy Penguin Corps along with a group of stellar students. I wanted to talk more about this. So I'm going to welcome first our master of ceremonies, Joel Morris. Welcome to the stage. Over to you Joel. Good morning and welcome to open source belongs in school. Let's put it there. In the next 45 minutes, you will hear our ideas of how we made our school better with open source software and how you can too. Please join us in the Penguin Corps pledge. What are we trying to do? Change the world. How do you change the world?  Penguin Corps agenda. Number one, leader me calls me into order. Number two, Stu Keroff, introduction and history. Number three, Michael, activities and impact. Number four, Sophie, diversity and inclusion. Number five, Cam, our response to COVID-19. Number six, Chase, why haven't open source club? Number seven, Mohammed had to do this. Eight, Q&A, please save questions for the end.  Now please welcome Mr. Stu Keroff. Good morning. Hello, I'm Stu Keroff. Thank you for coming this morning. Sometimes people find it strange to find out that I'm not a coder or a sys admin by trade. I'm a social studies teacher and it's time for history lesson. Last September, I got a new to country student in my class. This girl was working on learning a new culture, including learning English. I used Google translate to convert some materials to Russian for her. While that was great at school, it didn't really help her at home because her family didn't have a computer. Luckily, one of the first things I did when I started working at Aspen Academy was to start a club that taught kids how to use open source software to refurbish old computers. Those kids got to work on a machine for my young Russian friend and we invited her mother to school to pick it up. Both mom and daughter had tears in their eyes when they found out the computer was theirs to keep, free of charge. We didn't know it at the time, but it was a process we would end up repeating dozens of times before the school year is over. Without open source, it would not have been possible. I'm a believer in the power of open source software to transform a school because I'm a witness to it each time I go to work. As you well know, most jobs today require some tech skills. So kids need to use tech at school to get them ready for their futures. Kids also need to have tech at home where it can help them and their families. But many families lack the means to get computers for their kids and no school anywhere has unlimited money to meet these needs. These are pretty daunting problems. But what if I told you that there is a solution that is doable, scalable, and affordable? What if I told you the digital divide can be closed? What if I told you that students, instead of being recipients of the problem, can help drive the solution? And what if I told you that the answer can fit in the palm of your hand? This is a flash drive. It holds Linux, the operating system that fuels what we do. And as for those questions I just asked, all of those things are true as some great students and I have been innovating with open source for nine years here in Minnesota. It started at Community School of Excellence in St. Paul. It's also now taking place at Aspen Academy in Savage. Both of these schools have a Linux club. First, Community School of Excellence. It's a Hmong charter school and its students are mostly Hmong and Kareni with a high refugee population, high language needs, and high poverty. On the surface, that school is a lot like schools in many communities. You might not think it's likely place for a technology revolution to happen, but a revolution is what we got. You see, CSE is home of the Asian Penguins, the school's computer club. The Asian Penguins were the first Linux club at a Minnesota school and the only one at a Hmong school anywhere in the world. And they were the start of a unique experiment. The ingredients of the experiment are pretty simple. Get open source software, get used computers, have kids do the work and see what happens. The results of the experiment are in. This works. Having kids using open source software in school helps the kids, helps the school, and helps the community. How did it start? In 2011, Community School of Excellence launched a one-to-one laptop program and we ran into a lot of programs that any school with a one-to-one program might have, students breaking laptops, losing them, et cetera. To overcome the shortage in my classroom, I reached out to a great nonprofit called Free Geek Twin Cities who gave me free desktop computers that ran Linux rather than Windows. They use Linux for their work because Linux is open source, free to get, free to use for any purpose, free to change and free to give away. I was already a Linux user, so I thought that was pretty cool. Well, my students loved the computers. And a few kids started to come to my room after school to use them. From that, we started a club to learn about using Linux. The kids were all Asian, the mascot of Linux was a penguin, so we called it the Asian Penguins. But why should a school use Linux at all? Well, there are a few reasons other than the obvious one that it's free. First, there is few schools in the United States who are using Linux. And I could follow that up and say elsewhere too. If you wanna stand out, don't do what everyone else is doing. Now, schools are usually more comfortable in following rather than leading. But having an open source at our school gave our students a unique experience they wouldn't get anywhere else. Another reason for using open source at school is that it's used elsewhere. Set-top boxes, cell phones, self-driving cars, internet-connected crock-pots, the list goes on. If our kids are going into tech for a career, they will need to know something about open source. But the biggest reason is that using open source in school gave us an affordable way to have our students become technology leaders. Our school, our kids became what I call partners in the process. The kids were learning how to install the OS, configure the apps, run software updates, and change computer parts. And the computers they were working on would be used by other kids. The kids who took part in the program could say, this is something I did. In 2013, we began our biggest project, our school's digital divide. A lot of students didn't have computers in their homes. We took old computers, we made them run like new, and we gave them to families who needed them, free of charge. Two years later, we needed to replace the laptops for our middle school. The school didn't have any money for it. The solution, crowdfunding. The Asian Penguins started a campaign we called Operation Upgrade. We raised enough money and got enough donated computers to fill two laptop carts. And yes, the kids did all the software work. In eight years, the Asian Penguins had over 250 kids come through the program. And we introduced hundreds more to Linux and open source software. In 2019, I changed schools and started working at Aspen Academy. Now, I had been telling people that any school could do this. So this was my opportunity to test that theory. When I started the Asian Penguins, we made things up as we went along because there was no template for us to follow. But at Aspen Academy, we did have a template. Mine. I knew what a Linux Club could be because I'd done it. Aspen's leadership had never heard of Linux. But when I described what a Linux Club could do for the kids and for the school, they couldn't say yes fast enough. The big question was, will the kids be interested? I started doing the things I had done at my last school. I invited kids. I showed my enthusiasm and I let the kids try the software. When we started on that first Wednesday afternoon in September, we had 14 students who wanted to learn Linux. A club needs a name, right? We chose the Penguin Core. I think the name communicates a sense of mission and the kids picked up on that right away. The Aspen kids started doing many of things that I taught kids at my last school. What are the different hardware components and what do they do? How to install the OS? How to configure the apps and so on. And just like the kids at Community School of Excellence, the Aspen kids loved it. They learned, they grew. They discovered and they started making a difference. The way that both schools clubs made a difference is by following a simple formula. Get computers, have kids recycle computers and give computers away. And it all started from a pretty simple idea. Get kids using open source software and see what happens. Now it's time to let the kids tell the story. Thank you very much. Up first from the students is Michael Martin. Hi, I am Michael Martin. As you heard Joe say, we're trying to change the world. Well, what happens when you try? Sometimes you succeed. Let me tell you about it. In the Penguin Core, we had weekly meetings on Wednesdays after school. At those meetings, we selected a leader to be the master of the ceremonies and get things going. We always started the same way. The leader asked us, what are we trying to do? We replied, change the world. Then the leader asked, how do you change the world?  That caught things started on a positive note. And we were excited about whatever we were doing that night. Lessons started for us with learning how to install software. This isn't just the apps, but also the operating system itself. And doing it in Linux is very different from doing it in Windows. Most of these computers we worked on were about to be sent to the recycler or with Linux, we revived them. They're currently in the social studies classrooms at our school. Some of the lessons we used came from a Floss desktop for kids curriculum from the open source initiative. It has a lot of good ideas that really worked for us. Its author, Patrick Masson, wanted to see schools have a ready resource for doing this kind of stuff. Most people today think installing software means simply clicking a button that says install. Well, that can be done in the Linux world too. But we found it a whole lot more fun to open up a terminal window and type the commands. In fact, all of the members of the Penguin Core learn how to do this. We never made it a requirement because everyone wanted to do it anyway. I enjoyed it too. Most of the penguins were also in technology classes at school where we learned about digital citizenship. When we came to club meetings, it was expected that we would operate under the same digital values we had been taught. In fact, we were expected to model it for other students. This included not hacking into other kids' machine accounts or using the machines for bad things. As I mentioned, we were furnished computers. We worked on old computers that either the school didn't want anymore or people gave to us. Some of these computers were given to families that didn't have a computer. Others were set up in classrooms that needed a few more. We've been able to provide full classroom sets of laptops for two middle school classrooms and pairs of desktop computers for four elementary classrooms. Lots of kids were helped that way. From there, we want to present at conferences just like this one. And start on the YouTube channel. Feel free to subscribe to us. Perhaps a website is on the way. You know what they say about all work and no play, right? We end each season at the Penguin Core by having a fun game night. We got to have fun installing and playing open source video games and we ate a lot of snacks. What impact do we have? For starters, our social studies teachers didn't need to check out the computer cards because they have computers in their rooms. Again, those are computers nobody else wanted. From September until now, all Linux user base has grown from zero to over 300 students. Us kids are learning text skills that we won't learn anywhere else, at least not yet. And let's not forget that many, that our students have a computer to use at home. Thank you for listening. Or as we say in Russian, благодарю за внимание. Coming up next is Sophie Svella. Good morning, I'm Sophie Svella. Now that you've seen the first few members of the team, you might be thinking, wow, boys can do tech too? Well, yes, they can. All of you are here because you have a connection to technology and computing. We all do. And there are things about tech that all of us get excited about. But if we're honest, we'll admit that the open source world is not as diverse as it could be. The history of tech is largely a story about men, with few of those being men of color. Nothing wrong with those guys is just not a very diverse picture. While this is true, it helps to remember that there were some women who were trailblazers in tech and were great examples and great heroes. How about Admiral Grace Hopper? One of the earliest computer programmers. There's also Catherine Johnson, Dorothy Vaughn, and Mary Jackson, who helped NASA put astronauts into space. You may have seen their history in the movie Hidden Figures. Go models may have been rare, but they did exist. That brings us to today, where 95% of techs in open source are male and only 16% are members of minority groups. We have room to grow. When the Penguin Corps started at our school, Mr. Kirov and the school leaders wanted to make sure the door was open to all middle school students. Could a middle school Linux club become a diverse place? The answer is yes. That question had already been answered by a club that came before us. That club is the Asian Penguins at Community School of Excellence in St. Paul, Minnesota. The Asian Penguins make a deliberate effort to attract students of diverse backgrounds and both boys and girls. As a result, it is multicultural and their team is 30 to 50% girls in any given year. The Penguin Corps is only in its first year, but we're heading in the right direction. By the end of the school year, we had a total of 24 members be a part of the team.  That's about 20%. Room to grow? Yes, but a strong beginning. What attracted all of these students to Penguin Corps? We have fun with tech and we all work together as a team. Boys and girls deliver computers to classrooms. Boys and girls learn to install Linux and open source apps. Boys and girls troubleshoot problems. We all help each other. Since the elementary kids have seen the example we set, we'll probably have more girls next year, especially since we will make a point of inviting them. We're already hearing from some girls that they want to join next year. Why? Because they saw girls do it this year. We are helped, of course, by the fact that with most mainstream Linux distros, the install process has gotten so easy even a boy can do it. If a kids club can be a diverse and welcoming place, why can't the rest of open source world? Let's all invite, welcome, recognize, respect, help, and have fun. Thank you very much. Now, please welcome Kamsatraski. I'm Kamsatraski, member of the Penguin Corps. I think it was back in January when I first heard about coronavirus or COVID-19. At the time, it was making people sick in other countries, but I wasn't concerned because it wasn't where I lived, here in Minnesota, by marks that had changed a lot. Businesses were talking about what they needed to do to keep their stores clean and sanitary and it raised the conversation. How would it affect schools? Fast forward to March 18th when all the schools in Minnesota were converted to distance learning. That's where teachers provide lessons online and kids went to school in their homes over the internet. It was a huge change. While it was tough going to school for my bedroom or dining room, at least I had a computer to use. But what about the kids at school who didn't have computers or the families who didn't have enough computers for all the kids in the house? What were they supposed to do? So the people in charge of our school reached out to the Penguin Corps to create a solution. First thing we needed to do was to survey parents so we knew which families needed a computer. We used the information we collected and got to work. We started by putting Linux on computers at school didn't want anymore so they could be given to families who needed them. Then we gave those away. More responses started to pour in. We realized that the supply we had would not even be close to enough. This became a serious problem that was in dire need of a bigger solution. Once we realized that, we started to ask for more. Mr. Karoff and the school reached out over social media and in the local newspaper. Asking people to donate their old computers to us. We used open source software to make them usable again.  Laptops started to pour in. Most of them worked but some need minor repairs such as new batteries, a charger or a hard drive. All of the computers needed new software. Linux and open source apps were the solution. We got the computers up and running, tested them and left them at the school to give away. The school continued to take referrals and the people came to pick up laptops. Gene the receptionist in the office joined our team by walking parents through the software before they could leave with their laptop. Prior to the shutdown, the Penguin Corps gave away six computers. From March 16th to the first week of May, we gave away 60 computers. This effectively closed our school's digital divide. What did this cost? Since we chose to go with used computers instead of buying new ones, the only thing we had to pay for were batteries, chargers and a couple of hard drives and a computer. Total cost approximately $900 or an average of $12.33 per computer, including the computers we had left over and that we're saving for fall. The program even gave us the opportunity to reach outside of our school. A pastor in North Minneapolis named Reverend Tim Christopher reached out to us for help. A single mother in Minneapolis with two children's needed computers for her kids to do distance learning but she had no way of getting a computer. Thanks to the Penguin Corps, both kids got a computer to use for school for free. COVID-19 presented all schools with a challenge and Aspen Academy's Penguin Corps showed that open-source software could be used to meet that challenge. Our biggest challenge became our biggest victory. Thank you for listening. I'm Kam Cedrowski, coming up next is Chase Walgrove. My name is Chase Walgrove and I am glad you came. If you ask me a little sister, apparently I have the ability into talking people into things like convincing my parents to let me do things she can't. Of course, to get permission to do all this open-source stuff means that, sorry, open-source stuff at school means that we have to convince our school leaders that it is a good idea. This means that sometimes we have to persuade people. Today I want to summon my powers of persuasion. You have heard my team talk about how using open-source we have been able to do some exciting things at our school. The only thing you haven't heard is why do it. I would like to give you some reasons why you should start a Linux Club at your school or at a school near you. Something you might ask, why does my school need something like that? Or even say, that's not the kind of thing for me. I am here to say that any school can do this and your school might just be waiting for you to be the leader. Let's talk about some reasons. First, Linux is free. That can be a big deal at any school. Linux runs great on old computers. We use it to bring old computers back to life. This not only saves money, but it reduces e-waste. And last time I checked, this country produces too much e-waste. Kids learn. In the Linux Club, we learn how to do all this Linux stuff. We learn how to install, fix computers, update and upgrade computers, and all sorts of other skills. These are in-demand skills, according to the 2018 open-source job report from Linux Foundation. 83% of hiring managers said that open-source talent was important to them. 87% of them said it was hard to find qualified help. Many of you have seen this in action. It could work out well for us kids too. This is a cheap program to have. All software is free. If you are using old computers, you don't have to pay a lot for them. Something else to keep in mind. People like to help kids. When they hear that you're running a club that has kids recycling computers, they will give you computers. Remember what Cam talked about? When you fundraise for a club like this, this people like to give money to support it. Programs like this have proven track record of being able to bring in donations. You help people. If your school doesn't need computers, lots of schools and families probably do. This was certainly the capes for us. And remember, when you give an old computer to a kid, you're helping the family too. But Linux computers can also help your school. The Penguin Core refurbished enough laptops to supply two of our classrooms. These computers were bound for the recycler and nobody else wanted them. These were used almost every day. Another plus is because two of our teachers now have their own laptops. They don't need to check out our school's computer card, leaving them for other teachers to use. We also provided desktop computers to classrooms in our elementary school. That helped them out too. Everybody benefits. It's fun. That should be enough of a reason for anybody. And there were even times where we got to skip class to do this Linux stuff. As you can see, there are lots of reasons why a school should start an open source club. It is affordable, kids learn, they have fun, and it makes a difference. What you do with this knowledge is up to you, but my hope is you join us in changing the world. Coming up next, Muhammad Jamal. Thank you for listening and have a nice day. Hello, I'm Muhammad Jamal. Open source at our school is a new thing, but already it's attached a lot of attention from our school leaders and families and even outside of our school. Unfortunately for most of these people, that's where it ends. Their reaction is, what happens at your school is great, but it has nothing to do with me. Well, I'm here to tell you that such statement weren't true when we started in September and they are not true now. Aspen Academy did something special by starting a Linux club, but this is something that any school can do. This includes schools near you. Others are already starting to use Linux as school. The question is not, why does Aspen Academy use Linux? The question is, how can you get involved where you are? We have came up with a few ideas to help people get started with open source wherever they are. A school, a community center, a library, a church, a mosque, whatever. If Chase did his job at persuading you, here are some things you need to get started. A supervisor is not necessary to be an expert. You just have to be willing to learn something new. Mr. Karoff is a prime example. When he started the Penguin Corps, he was a social studies teacher. He didn't even have a tech job. Other people have started the same way. The go-ahead from the administrators. Each school has a different way of doing activities. How does your school do it? Is it after school, does your school charge a fee to students? Find out how it works there and put it into your plan. More likely than not, if that school has clubs, they're looking for more ideas for clubs and more adults to run them. Make yourself available. Computers, if you're going to have a kids open-source club, you'll need to have computers for kids to use. They don't have to be new ones. Software, your computers will need an operating system and apps. If you're using Linux, then you're getting software for free, that helps. Kids, kids using open-source is the whole point of having a Linux club. Having the kids learning new stuff keeps them fun. Space and time, a club will need a place to meet and to keep its stuff. And the club activities will have to fend the schedule. For both things, a good thing to keep in mind is to work with your administrators and be flexible. Now how to start. Well, here's how. The first tip is to start small. Use Linux yourself. I bet lots of you already do. A resource you can use, a resource you can use is the Linux Club Guide written by our own Mr. Karof. The guide gives a lot of helpful suggestions about how to get a Linux Club started and makes the fun. It's available online at www.linuxclubguide.com. Recruit kids. Kids love tech and will be excited about doing something new with computers. We have seen it happen. Get computers. This is easier than you think. Remember, they don't have to be new ones. Many people and even some businesses will want to give you computers for your club. The school might have some they don't need anymore. There are plenty of places to get computers quickly. States often sell computers they don't need anymore. And they are thrift stores. Free geek, tech dump and eBay. Linux clubs have gotten computers from all of these sources and so can you. Do software and hardware lessons. Use stuff from a curriculum tips you see online or keep simply make something up. There's nothing wrong with learning right alongside your kids. Remember, if you really screw up and the computer doesn't work anymore, just grab the install drive and start all over. With free software, you're free to do that as often as you want. Our biggest project became our school digital divide and we closed it. Maybe that is what your local school needs. The formula is simple. Get computers, have kids recycle computers and give computers away. It works. This isn't about just having fun. This is about making a difference. Do you want to make a difference? Do you want to change the world?  Thank you very much. And I say in Somali, we'll also die. And now we're here for the Q&A. And guys, you guys come back here too. Stu, that was wonderful. I want to thank you and all of your students for just the incredible presentation that you just put on. I think you have taken the title of the best presentation that we've had here at DrupalCon. The chat on Twitter in the Drupal Slack and in the stage chat has just been overwhelming. It's really incredible. I have captured a few questions that came through the chat earlier in the day that I'll pass along to you shortly. And I want to continue to encourage anybody in the chat to add additional questions as well. I'll do my best to keep up since everybody is just so excited. Again, a lot of questions are coming in. So Tim's going to relay those to us, okay? Thank you guys. First question. This question is from Muma Sinkala, who asks, how can we replicate what you did for a school in South Africa or Southern Africa? And would you be able or willing to connect and help folks figure out how to get that started? Again, the question was from a person in Southern Africa, how can they replicate our program where they are? The first thing I would want to suggest is start small. Try it out yourself. Get a hold of some used computers, especially ones that people have demonstrated they don't want anymore. Remember, businesses, even businesses and other parts of the world tend to be on a regular upgrade cycle. There are international organizations that often will ship refurbished computers overseas so you may want to connect with one of those. But if you're looking for some advice on where to start, start off with the Linux Club Guide. I made it free for a reason so anybody can use it and that's at www.linuxclubguide.com. And if you want to reach out to me and ask me questions, I just put my contact information up on the screen. And so you can reach me at stewdoeslinux at gmail.com You can also connect with me on Twitter and my Twitter handle is at stewdoeslinux. And if you want to see the kids in action, go to our YouTube channel. The link is there for that too. Awesome, fantastic. Earlier in your presentation, as soon as you mentioned you had a YouTube channel, I put a challenge in the chat for our audience to double your subscriber count so I hope everybody's jumping in and getting subscribed. Okay, I know you guys can't hear this because I'm the one wearing the headphones. He put out a challenge to everybody watching to double our subscriber count on the YouTube channel. So we'll see if that happens. 100 episodes, 200 answers. That would be cool. We'll see how many we can get in there. All right. So you sort of answered this next question a little bit as well, which was about duplicating this in... Someone asked, Alison asks, would love to duplicate this in my kid's school. Is there a playbook? So linuxclubguide.com does seem to be the primary resource for doing that. The follow up question though from Albert Orojas was, how can we help enhance the playbook or spread the word? What is the best way to help spread your mission among our own communities where we are? Well, one recommendation I would make is just feel free to learn alongside your kids. As they're learning, you're going to be learning too. And as you see some kids get involved, and this is inevitable, we saw this here, when some kids get involved, they invite their friends and then other kids get involved. So once it starts to take off, it will grow. That's happened everywhere I've been. Fantastic. That's wonderful. Let's see. But the follow up, I guess, they said, how can they... If people are looking... Yeah, if people are looking at the linuxclubguide, it has one author, but I've taken suggestions from other people on how to improve it. If there are things that people wish to add, please email me those details. I mean, we're not... This was written more for teachers rather than techies. So that's why you're not going to find it on GitHub because teachers don't go to GitHub, okay? They just don't. But if people have ideas on how to improve this or add it or things that I just didn't think of, email me. I will work that in and I'll make sure you get credit for it. Fantastic. Yeah. I'd like to also just pass on some feedback from the chat just so that you all hear it. Feedback from the chat. See if any other final questions in. First of all, best session, best presentation of the conference. Wow, amazing, most inspiring talk. And also, these kids should run the world. Okay. I want to relay some of that. Best session. This is the feedback they're getting. Best session, best session at the conference. Wow, amazing. And then somebody said that you kids should be running the world. Yeah. I'm gonna be the president. I'm gonna be the president. I vote for you. I would vote for him in a heartbeat. Yeah. The other, let's see. The other little point of feedback. Sorry, the chat school has been going so quickly. The other point of feedback. The other point of feedback. Really quickly. The Drupal camps and local Drupal associations. So those are our local Drupal groups and other countries around the world. Are talking about ways that they can encourage any of the people who do business in Drupal to make it their standard process to donate their computers when they're doing their in-office upgrades. So it looks like there may be some initiative being organized around that. That would be great. And if Twin Cities Drupal wants its members to send computers our way, we would really like that because we've been told, I'm just gonna put this out to anybody who's watching right now. Our enrollment at our school is going up by over 100 students over what we had last year. The governor of our state is announcing on July 27th as to whether or not we're even coming back. It's a little weird that I actually have students in the building because we did distance learning for like close to three months. We don't know if we're gonna be coming back or if they're gonna be here half time and doing hybrid learning whether they're home part of the time or what. The only thing we know for sure of is that given the increase in our enrollment, we're gonna need more computers. So if they're, obviously, if you're in Southeast Asia, there's a kid in Southeast Asia that needs your machine. Give it to that kid. But if you're in Minnesota or in the upper Midwest and your company is going through an upgrade cycle and you're looking for a place for your computers, particularly laptops to go, we would love to have them, okay? And there are other people out there who want to work with kids who could use your machines too, where you are, okay? Fantastic. Well, I'd like to close up with just two more... Two more asks and a few more questions. Yeah. So first question, actually sort of final question is, is there any final message that you would like to give to the DrupalCon attendees about the program, about the importance of open source or just something that's important to the kids that you'd like everyone to take home with them? Could you repeat the question? Sorry. The question was, is there any kind of final message that you would like to relay from the kids or yourself about the program or about open source that you just like everyone to take home with them after the event? Okay. Is there a final message that you kids want to relate to the people at home about the program, about open source, just something that you want the people watching to know? I think I would like to ask everybody... Subscribe to me on YouTube. I only have three subscribers. I think I would like to ask everybody to help us and change the world. If you can't donate computers to us, that's fine. I mean, I think if you should put it towards a club, honestly, I think as long as we can help the world, that's good. All right. Thanks, Chase. That's fantastic. Well, to close us out and wrap up this session, I would like to ask Stu, if you could have all of the students, maybe end your screen share and have yourself and the students take a bow from the camera for us. Okay.  Okay. So I've been asked to end my screen share.  Guys, everybody in so we can see you. Let's all take a bow. On the count of three, one, two, three. Thank you. Thank you. Thank you. All right. That was wonderful. Thanks very much for having us. Yes. Have a great rest of your conference. Everyone out there, you saw the contact information. Will, if we can, I'll connect with Stu about getting the slides to post to the Drupal.org session and we'll get that all taken care of. Thank you all so much. Thank you very much.


Hello, and welcome to the session in which we will discuss the subsidiary or the sub stock sale to non affiliates This topic is covered in advanced accounting. Just to give you the big picture. We have a parent sub relationship and what we are assuming here is the sub is issuing more shares issuing more stocks and Those stocks are sold to a third party. That's not affiliate So it's not it's not sold to the parent company. It's sold to a third party. Now, why would the sub do so? Why would the sub issue new shares? Well, they want to raise capital for expansion The sub wants to expand into new into new territory into a new product. Well, that's what would happen you will need to sell stocks or Sometime you are operating in a foreign country where local ownership is mandatory. Well, what you have to do is you have to Issue additional shares. It doesn't matter. The point is you are issuing more shares When this happen a non operation increase or decrease occur in the fair value in the book value of the sub as a result of this transaction the value of the sub Might go up the value of the sub might go down their book value as well as their fair value Now this change not reflected yet in the parent investment because the parent has an investment because there's a parent sub relationship and as a result the parent Percentage ownership as well as the NCI might increase or decrease What we have to do we have to maintain a reciprocity between the sub equity and the investment parent balance because what you did when you purchase The sub you purchased their equity Now what's happening? The sub equity is changing and now your investment that's sitting on the parent company is not reflecting that Therefore what we have to do is we have to prepare consolidation entries to show the changes in NCI and equity balance of the sub So everything still kind of balances and what happened as a result shareholders are assigned a pro rata of the difference Now that pro rata could be an increase in the value of the shareholders or a decrease in this session will work an example Where we have an increase in the share and the shareholders value We have to do basically what we have to understand is that the book value of the sub that's held by the parent company will change That's what you have to know as a result We have to adjust the carrying value of the investment in the sub and The change will be done in additional paid in capital whether that's an increase or a decrease in investment Now I went through all of this and this may not make any sense Or it may be it may make a little bit of sense the best way is to illustrate this in an example But to summarize what we're trying to do is the sub is issuing more shares now The sub can issue more shares also the sub can buy back some of their shares in this example I'm gonna say we're gonna issue shares and as a result of this issuance the book value and the fair value of the sub will change as a result we have to make an adjustment on the parent company because As a result of issuing new shares think about it if there are 100,000 shares and now the sub issued an additional 50 shares Well, what happened is the parent percentage will change as well as the NCI will change or let's assume not 50 Let's assume only 10,000 10,000 shares now the the percentage The percentages will change. Let's go ahead and take a look at a comprehensive example before we proceed any further I have a public announcement about my company farhat lecturers comm Farhat accounting lectures is a supplemental educational tool That's gonna help you with your CPA exam preparation as well as your accounting courses My CPA material is aligned with your CPA review course such as Becker Roger Wiley Gleam Miles my accounting courses are aligned with your accounting courses broken down by chapter and topics my resources consist of Lectures multiple choice questions through false questions as well as exercises go ahead start your free trial today No obligation. No credit card required Starting with this example We're gonna assume that we have a sub with the 75,000 shares $1 par value comments like the 75,000 additional paid in capital is 210,000 and retained earnings is 255 total equity total book value of equity is 540,000 Here comes the parent company and the parent company wants to buy 60 of the 75,000 shares. Well, let's think about it for a moment 60 out of the 75,000 is 80 percent Therefore the parent company wants to buy 80 percent of this company 80% paying 480,000 now we have to find out what's the total value of this sub Well, the total value is 600,000 because if we are paying 480,000 to buy 80 percent. It means the full value of the company is 600,000 now we have to find out since we paid six since we valued the company at 600,000 There's a difference between the fair value and the book value and let's find out how much is the difference Obviously, it's 60. Let's compute the difference and assign it to an asset because this is the access fair value So we're gonna pay consideration transferred by the parent 480,000 the non-controlling interest is 600,000 if the parent gets 480 the fair value of NCI is 120 So the total value of the company is 600,000 Now the book value of the company is 540 the difference is 60,000 and we're gonna assign this difference to an asset called an intangible asset called customer list and we're gonna Amortize this customer list over a 10-year period. So what we did is we find the access fair value and We determine. What are we going to list this? The next thing we are going to do is we're gonna start to see how are we going to prepare consolidation for this company? The subnet income for year 20x0 at the end of the year is $50,000 now let's prepare the consolidation worksheet for the 20x0 So how do we prepare the consolidation worksheet? The first thing we have to do is we have to eliminate the sub equity account, right? Because that's the first step Well, let's do that We're gonna debit the common stock of the sub 75,000 which is to eliminate this account debit additional paid in capital 210 to eliminate this account debit retained earning 255 now In reciprocity, we're gonna have to credit the investment account 80 percent of this balance So we're gonna take this balance, which is 540,000 times 80 percent that's 732 and we're gonna take this balance 540,000 multiplied by 20 percent to establish the NCI 108 now What else do we have to do remember? We have 60,000 hanging. Okay, what are we going to do? We're going to recognize this access acquisition fair value Okay, which is how much? 60,000 therefore we debit customer list 60,000 because we bought the company now we have to add this new asset New asset to the consolidation to the consolidated financial statement. Therefore, we debit the new asset We credit investment in sub 48 and credit NCI 48 now bear in mind I did not show you the the original journal entry basically when we purchased the company at this point I assume you know it it's gonna be investment in sub 480 and we're gonna assume we paid cash Credit cash for a I mean I did not do this entry because at this point if you are looking at this lecture your way advanced So, you know, there's an investment in sub of 480. We're eliminating this investment as we are doing the consolidation Now since we have this new new asset 60,000 We are gonna have to have access Amortization so we have to recognize Amortization of 6,000 because we're gonna amortize the 60,000 over 10 years Then at the end we have to eliminate the parent equity in sub the earning in sub, which is how much the sub earned 50,000 the access amortization is is 6,000 therefore what we left is 44 we own 80 percent which is 35 5200 remember at some point because we're using the equity method we increased we increase the Investment by this much when we consolidate we have to reduce it So therefore let's look at the investment in sub what happened to the investment in sub first We made the purchase 480,000 when we purchased the sub that's how much how much we paid then we increased net income remember We have net income and this is 35,200 I just had it here, which is 50 minus 6,044 times 80 percent this is what's gave us the 35,200 Now remember when we started the consolidation first we remove 432,000 this is from the prior slide kind of just show you what we did here. So this way you don't So this is the 42 now we are crediting we are let me put it in a different color We are crediting the investment to remove it in the consolidation process. We're gonna credit the investment first 432 credit the investment again 48,000 when we put the new asset, which is the customer list then remove again credit the investment 335,200 now what that did what that did brought the investment down to zero because we have to remove the investment Now bear in mind the parent The parent by itself the parent They still have on its own on Its own on its own financial statements. They still have The investment in the sub all what I showed you here is the consolidation So the investment is zero as a consolidation, but the sub let me go back here and This is zero the parent will have its own investment and the value Let's meet let me just kind of they will they would still have 480 Plus 35 200 so I just want to make sure because we have to keep track of the investment account It helped us in our it helped us in our in our understanding So if we take 480,000 plus 35 200 the sub the parent not the sub the parent has an investment value of 550 200 we assume there is no dividend in this example to keep it again to keep it simple to keep it simple So so far the investment. This is on the parent books. We still have that now January 1st 20x1, which is at the beginning of the following year the sub issued an additional 25,000 shares to outside parties so the parent did not buy any of this Okay, $1 par value and they sold each share for $10. Let's a journalize the entry We're gonna debit cash 250 credit comments stock 25,000 shares times a dollar And the remainder is additional paid in capital So I showed you the entry because I want to show you the sub equity Before the issuance of stock and the sub equity after after we issue the stock the common stock went up by 25,000 this account went up by 225,000 which is right here and retained earnings remember we had the sub had a 50,000 in net income went from 255 to 305. This is the sub the sub books So notice there was change in the sub book value There's change in the sub book value. Now. Let's take a look at the sub Valuation as of 1 1 the new valuation of the sub here's what's gonna happen. We paid them for 80 The NCI was 120 Remember the sub income minus amortization is 44 Adjust value 1 1 20 x 1 is 644 then the sub issued an additional 25 250,000 in cash now the sub is valued at 894,000 that's the sub value bear in mind That we issued new shares because remember we owned as a parent company 60,000 shares when they had 60,000 when they had 60,000 of 75 now we still have 60,000 but now the outstanding shares are 100,000 the parent becomes a 60% owner of this company the ownership changes from 80 to 60% Now we have to change our it we have to change Our investment in a sense. We have to change How much is reflected in the investment against their equity against their book equity? Well, let's take a look at this now. We own 60 percent if we take 894 times 60 percent the parent post acquisition ownership is 536 400 now what we're saying is our investment should if we own 60 percent of this company at fair value Our investment should be five thirty six four hundred. Well, what is our investment account our investment? which is five Five fifteen two hundred. What did that number came from five fifteen two hundred? Let me go back here Remember, I told you to keep track of the parent investment five twelve two hundred. This is where this number came from So now we need to make an adjustment. What happened is our investment went up You might be saying hold on a second. Why did your investment go up? I mean you did not do anything Basically kind of in a sense your investment went up. Well, here's what happened because the Sub sold shares at more at a price That's higher that what we initially purchased the shares at when they purchased it when they sold the shares at ten dollars the new sale Well, it means the stock price is ten dollars when we purchase those shares We purchased them less than ten dollars. Well, you could do the you could do the computation But it was less than ten dollars as a result. We're gonna enjoy this increase in value Therefore the the increase in value should be twenty one thousand two hundred, which is five thirty six four hundred compared to five fifteen two hundred Now you're saying, okay, how do we enjoy in quote enjoy this increase in value? We don't book again We don't book a loss so we don't say we're gonna debit investment and credit gain for this much or credit any sort of OCI What's gonna happen? We're gonna consider this as Additional capital so we're gonna debit investment in sub we're gonna increase our sub value by twenty one thousand two hundred and remember no gain no loss we increase the equity twenty one thousand two hundred therefore now what happened is To our investment in sub we started at forty eight net income was thirty five two hundred and at the beginning of the year We enjoy an increase in the sub therefore our value in the sub starting one one Twenty X one is five thirty six four hundred So make can make a note of this number because we need it because I want to keep track of the investment in the sub Now in subsequent years, which is in twenty X one. We're gonna back to normal consolidation So let's go back to our normal consolidation. Let's assume in twenty X one at the end of the year We earned eighty thousand dollar in net income prepared the consolidation entries. Well, this is our Equity at the beginning of the year remember we increased our common stock we increase our paid in capital again We're gonna have to do the same thing. We're gonna have to eliminate the Equity accounts against the investment. Let's do that debit common stock 100,000 debit additional paid in capital debit retained earnings done done done Credit investment in sub now our investment in sub is only sixty percent. Therefore. We credit investment in sub Five five oh four now, you know make a note of this because you're gonna be crediting the investment in the account and you credit NCI in sub forty percent three thirty six now the sub ownership went up the sub used to be only I'm sorry. The NCI share used to be 20 now. It's forty percent. We also have to recognize the access The access acquisition date fair value assigned to a customer list now. We only debit 54 because the prior year we debit at sixty then we amortize six now We only have fifty four now. We're gonna amortize another six this year So we debit customer list fifty four thousand to add it to the to add this asset credit the investment again in sub sixty percent of that Again, the NCI now has a forty percent share. Once again, we're gonna amortize six thousand of the customer list And we're gonna eliminate the parent equity in sub which the net income was eighty thousand minus Six thousand in the excess amortization, which will give us seventy four times sixty percent Will give us at forty four thousand four hundred. Let's go back and do the Do the Go through the investment in the sub account. Remember, we had the now the balance was five thirty six four hundred as of one One twenty X one Then we added net income of forty four thousand four hundred remember the company had net income of forty four thousand four hundred This is net income for twenty X one then during the consolidation we credited the account five or four against the equity of sub Again, this is on the prior slide and we credited the account thirty two four hundred when we added that new asset the customer list then we have to remove the Investment in sub against the earnings, which is forty four thousand four hundred If you add those up again the investment together the investment Will go away if we add them up now bear in mind bear in mind on the parent company We still have investment in sub by itself five thirty six four hundred plus forty four thousand four hundred whatever that number is will be our investment separately But in the consolidation the investment account will be Eliminated now this topic in this situation. I work an example where We sold the sub sold additional shares and we enjoy again. That doesn't have to be always the case We could have many other scenarios Where the sub sells additional shares and as a result the value goes down We could have a scenario where the sub sold to the parent company some shares Like they meant for example if they sold an additional 25,000 shares they will sell 80% of them to the parent company and the parent company will maintain its capital We could also have the scenario where the sub buys back its own shares So I don't want you to think this is the only scenario that you could have You could have many scenarios. You could have gains. You could have losses You could have no change because if you have the parent company purchase 80% of the new issue shares They're gonna keep the same ownership level Anyhow, what should you do to learn about this topic further?  This is an advanced accounting topic. Your career is important You may never see this in your lifetime, but you want to pass your accounting course You want to pass your CPA exam go to farhat invest in yourself work multiple choice. Good luck study hard and of course stay safe


Speaking of housing Monday the city council rules committee with drew a proposal that would impose a 1 to 2% tax on food and beverages sold by businesses such as hotels and restaurants the additional funds were sought to aid homeless initiatives across the city. Do we know who proposed this bill. I think it was Jimmy Paluso was it not. Was he not the sponsor. Jimmy Paluso and Michael Boylan co-sponsored it. Um. Nate what ways would these funds have aided homelessness the homelessness initiative. I mean I think the kind of main point was that this was a potential tool and a sustainable funding source that could have been used in a lot of different ways. I think the advocates of this plan kind of deliberately did not get too specific because part of their argument was. Look, this is a bill that this is a this is legislation that we're that is necessary for us to ask the legislature to allow us to later levy attacks. Right so I mean I think they were trying to not get too far ahead of the of the debate that didn't really work. So I mean I think it probably best viewed at this point as a tool that they wanted on the table and it's not going to be on the table now. You can join the conversation at 5492937 you can tweet us at FCC on air first goes connect the wjct.org you can find us on Facebook Instagram and YouTube you know where to find us reach out we want you to join the conversation. To your point Nate do you think that the lack of specifics is part of the reason why it was pulled. You know, I just think that this city council, and its current composition is not a council that is eager to pass any kind of tax or fee increase, we've had a few in the last few years, both on the city side and on our public school and I even absent those things I don't think these guys would go for a tax increase and I think it was as I read the debate just kind of a bunch of fear monitoring about taxes and that's why it was called. I mean I don't think it was even necessarily specific to homelessness or homelessness initiatives in fact, some of the council members not in support of this seems pretty sort of self aware of about the fact that they might be perceived as shooting down help for you know our homelessness problems so I mean I just think it's a simple matter of the council not wanting to pass a tax increase. That's it that's interesting I think Nate's dead on in that regard I mean anytime you mentioned the militant Jacksonville people going to palpitations so any sort of discussion of tax increase, whether it's whether whatever the source of the revenue is met with stern resistance. But what I found interesting about this particular bill was it was actually bipartisan. You got Michael Boylan from Mandarin. Yeah, Jimmy Paluso with Democrat. I was thinking that that like it seems like a very opposite. Perspectives or just yeah perhaps. But yeah, I mean, I thought that was positive to be perfectly honest with you I thought it was it was kind of like as Nate was saying this is kind of like more of a placeholder I remember years back when we had to do something about indigent health care we had to go to Tallahassee and get approval for get the legislature to approve a local tax or whatever. And it failed, much like this one did. But it did. I don't want to say this was necessarily a placeholder but it was kind of it did it did define the issue though and I think there you know I think it opens the door for additional dialogue as to you know what are the needs. You know what's to find the needs and what is the funding source. What are we going to do to address the situation. We talked about downtown development and I think there is a clear and obvious need for a dedicated funding you know a persistent funding source to deal with the homelessness issue. I will say talking to enough restaurant owners though.  And they will say oh and yes they're talking their own book I get that but but they will say that anything just 1% more added to a bill is going to hurt hurt their bottom line and it's not a high margin business. It's a tough business and in some ways they're a sympathetic group when you say you know we're going to raise taxes and they're like no don't they they can get they can sway public opinion because you know it is a hard thing that they're doing. You know it was a fight that I'm not I'm not actually surprised that those opposed to the tax one but I will say there needs to be a dedicated source because that's how we deal with the problem. To be clear we like this term dedicated funding source in the town that means tax. That is it's a euphemism for tax that there is no other thing that can be a dedicated source except the tax anything less than that is just, you know the council can set discretionary spending gear after year for things but that's not dedicated that could change at any moment. So like just, you know we love to deploy that term but it means the tax. So, just wanted to put that out there. Yeah, to Tim's earlier point, we had a roundtable here with restaurant owners in the downtown core and we didn't talk about this tax specifically but we talked about the trials and how hard it is for them to keep their business going. But you know, one of my favorite restaurants went out of business black sheep specifically because everything is going up in cost. So, you know, I do think it's fair for them to flag the fact that this tax would hurt them. But then to Nate's point, the only way we can get through this issue and and try to figure something out as if there is a dedicated source, which as Nate so eloquently said is a tax. So, is there anything else before the city council that we know of where they're looking for ways to address this issue? Well, the council, the last council passed the bill that prohibits you to actively stand on a median and do things and that mainly is aimed at people who are trying to get money or like the guy I see almost all the time who's weaving these crosses made out of, you know, palm leaves. Which is a dedicated for now. And I have seen less people standing on medians but it's still there so I don't know if JSO is actually out there citing but that is a negative attempt to control. Right. And that that is a that is that loss specifically to cater to people who have homes, right? What I guess what I'm asking is, is there any movement to help people who are unhoused right now? Because clearly we can see on the same can not be on the same stuff the city's been doing for years. I mean, much like it in the development world with renderings, the city is very, very good at putting out impressive exciting reports that then just never really get acted on. And that's kind of where this issue is. Twitter said rent is still too high and residents are eagerly waiting for proposals and how to deal with the problem. Again, like this is not a scientific survey that I've done, but I know that we're in a housing crisis. And yet when I drive through different parts of town, I see for rent signs up everywhere. So I'm wondering if like if if Mike is like hitting on the exact thing that like we are in a housing crisis, but also the rents are high and people can't afford it because wages haven't gone up in like forever. Right. So like if the rents go up and you're still making the same thing that you were making, you know, eight to ten years ago, how are you going to afford it? And so the question is, what is the city council going to do to end the mayor's office to address that? And then that's part of the problem is that it is a complicated sort of thing.  So, you know, that seems like we're talking about homelessness and rents and property insurance. You know, there's a whole line there and you can't just you can't adjust as one dial. So when people say deal with homelessness, to some extent what they're saying is the state has to do more to deal with the property insurance market. Because that can trickle into actually rents being low or more properties being developed or things that increase the housing stock that will deal with homelessness.  We got more people coming to the state. We got more people coming to the city, right? So the answer to before, we don't have enough housing, right? So again, it's a basic supply and demand. I mean, the price, the cost will go up and it makes a question. I mean, when we're, and I think maybe that was one of the issues that arose with this particular bill was this the, you know, again, what, what are we funding? Homelessness. Okay. All right. Great. Let's define what we're actually talking about. Is it affordable housing? Is it getting people off the medians? I don't know. I mean, these are issues that we would have to address from a policy perspective before any definitive legislation was enacted. And Clay County, as well as Jacksonville, both enacted those medians to try to, I believe, stop homeless people from, from being out on the street. Don't forget, too, that if you start charging a 2% tax on food and you don't have tourists, you don't get a lot of money. Say in August, St. John's County, that's a tourist-based economy. Here, I don't know, you'd be hitting Joe Sixpack who's going out to dinner with the family. Yes. You can join the conversation at 5492937. You can tweet us at FCC on air. First Coast Connect at WDateJCT.org. You can find us on Facebook, Instagram and on YouTube.


The St. Jude Hospital recently received a donation of a transport ventilator from the Tapio Hospital, which is expected to support the doctors in providing better care to its critically ill patients when moving them from one location to another. Chairman of the Board of Directors of Medical Associates, Dr. Rumele Daniel, expressed the commitment of his organization to provide support to its sister organization in the south of the island. I want to thank all members of our staff because having they have worked diligently and as a result we are able to do this. We have long recognized that some of the areas which are deficient in the Tarzan Hospital and it would fit in a significant area of deficiency if we were to donate this. Minister for Health and Wellness, Senator the Honourable Mary Isaac says she is extremely grateful for the generous donation of this critically needed equipment stating it will be very beneficial to the patients at the St. Jude Hospital. This is very remarkable what we are doing here this morning. This is an essential piece of equipment that Tapio Hospital is donating to St. Jude Hospital in the south. Of course we do not have any such machine in the south, it is a transportable, portable ventilator and it is going to come in extremely handy right now especially as we move from that institution in the stadium to the new St. Jude Hospital. Things will be in flux, of course we know things have been in flux for a long time in the south and portable equipment like that as expensive as it is of course plays a critical role in our maintenance of health care for our people in St. Lucia. Representative of the St. Jude Hospital, Dr. Patrick Joseph expressed appreciation to the Tapio Hospital for the donation and says it is the intent to make great use of the transport ventilator. Reporting from the Communications Unit of the Ministry of Health and Wellness, I am Fenel Neptune.


Hey there, my name is Prithish Raj and currently I am a student of Saram VIT Bangalore, Karnataka in the branch of computer science and engineering. Recently I have got placed into this company called Mu Sigma at the post of Green Decision Scientist. I must say that this NPTEL courses have played a major role in my selection. I have done quite a few courses in the span of 2-2.5 years such as some of maybe like database management systems, programming structures and algorithms using Python or machine learning. I must say that the courses are really worth it. I mean if you require thorough knowledge in any concepts you must definitely go for it. Plus the courses are free, you can easily access it to your computers and the exams that they conduct, the quizzes that they take, they are really worth it. You get an extra knowledge if you honestly go through those quizzes and assignments. And I must say that I think I should urge you all to definitely try it once. It will give you in-depth knowledge of any of the concepts required. It's a win-or-miss situation in any case. Thank you.


In this video we present the solution to question number five for practice exam number two for math 12-10 in which case we're asked to find the value of c that makes the function the piecewise function f of x continuous where f is given as the first part is two minus x quantity squared where x is less than or equal to four and then the second part is the square root of c minus two x when x is greater than four. Because our functions piecewise and the pieces themselves are continuous pieces the first piece is just a polynomial function which is continuous the second piece is just a radical function which is continuous. Our function is going to be a piecewise continuous function that is it's built with continuous pieces so the only place where we might have a discontinuity which will necessarily be a jump discontinuity will be at the switching number of x equals four so we need to make sure the left side of x equals four agrees with the right side of x equals four. So what happens when we're a little bit to the left of x equals four we're going to get that the limit as x approaches four from the left of f of x here this is just going to look like our function two minus x quantity squared as x approaches four from the left in which case because it's continuous we can plug in x equals four to get two minus four squared we end up with two negative two squared and we end up with a positive four so the left side the left limit is going to be positive four we need to make sure that the right limit is also four as x approaches four from the right of f of x well this time we're going to get that as we approach four from the right it's going to look like the square root function like so we get the square root of c minus two x for which again because this branch is continuous we plug in four to get the evaluation we get the square root of c minus two times four so we get the square root of c time our c minus eight so in order to be continuous these two pieces the left limit the right limit have to agree with each other so we have to solve the equation the square root of c minus eight is equal to four to do that we're going to square both sides we get c minus eight is equal to 16 then we're going to add eight to both sides and we get c equals 24 and so c equals 24 is the only parameter that will make this piecewise function continuous so the answer turns out to be d