Question 1
You have just been hired as a management trainee by a company selling cameras. The company has an exclusive franchise on the distribution of the cameras, and sales have grown so rapidly over the last few years that it has become necessary to add new members to the management team. You have been given responsibility for all planning and budgeting. Your first assignment is to prepare a master budget for the next three months, starting April 1. You are anxious to make a favorable impression on the president and have assembled the information below. The company desires a minimum ending cash balance each month of $10,000. The cameras are sold to retailers for $8 each. Recent and forecasted sales in units are as follows: January (actual) . . . . . . . . . . . . . . . 20,000 February (actual) . . . . . . . . . . . . . . 24,000 March (actual) . . . . . . . . . . . . . . . . 28,000 April . . . . . . . . . . . . . . . . . . . . . . . . . 35,000 May . . . . . . . . . . . . . . . . . . . . . . . . 45,000 June . . . . . . . . . . . . . . . . . 60,000 July . . . . . . . . . . . . . . . . . . 40,000 August . . . . . . . . . . . . . . . 36,000 September . . . . . . . . . . . . 32,000 382 Chapter 8 The large buildup in sales before and during June is due to Father?s Day. Ending inventories are supposed to equal 90% of the next month?s sales in units. The cameras cost the company $5 each. Purchases are paid for as follows: 50% in the month of purchase and the remaining 50% in the following month. All sales are on credit, with no discount, and payable within 15 days. The company has found, however, that only 25% of a month?s sales are collected by month-end. An additional 50% is collected in the following month, and the remaining 25% is collected in the second month following sale. Bad debts have been negligible. The company?s monthly selling and administrative expenses are given below: Variable: Sales commissions . . . . . . $1 per camera Fixed: Wages and salaries . . . . . . $22,000 Utilicameras . . . . . . . . . . . . . . . $14,000 Insurance . . . . . . . . . . . . . $1,200 Depreciation . . . . . . . . . . . $1,500 Miscellaneous . . . . . . . . . . $3,000 All operating expenses are paid during the month, in cash, with the exception of depreciation and insurance expired. Fixed assets will be purchased during May for $25,000 cash. The company declares dividends of $12,000 each quarter, payable in the first month of the following quarter. The company?s balance sheet at March 31 is given below: Assets Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14,000 Accounts receivable ($48,000 February sales; $168,000 March sales) . . . . . . . . . . . . . . . . . . . . . . 216,000 Inventory (31,500 units) . . . . . . . . . . . . . . . . . . . . . . . 157,500 Prepaid insurance . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,400 Fixed assets, net of depreciation . . . . . . . . . . . . . . . . 172,700 Total assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $574,600 Liabilities and Stockholders? Equity Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 85,750 Dividends payable . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,000 Capital stock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 Retained earnings . . . . . . . . . . . . . . . . . . . . . . . . . . . 176,850 Total liabilities and stockholders? equity . . . . . . . . . . . $574,600 The company can borrow money from its bank at 12% annual interest. All borrowing must be done at the beginning of the month, and repayments must be made at the end of the month. Repayments of principal must be in round $1,000 amounts. Borrowing (and payment of interest) can be in any amount. Interest is computed and paid at the end of each quarter on all loans outstanding during the quarter. Round all interest payments to the nearest whole dollar. Compute interest on whole months (1/12, 2/12 and so on). The company wishes to use any excess cash to pay off loans as rapidly as possible. 1. Prepare the following budgets for the three months, starting April 1 a. Sales b. Cash Collection c. Purchases d. Budgeted cash payments for purchases e. Cash Budget 2. Prepare a budgeted income statement for each month for the next three months. Include a common size income statement for the budgeted numbers. 3. Management has ask that you present this information in the meeting. You were also asked to take perform some additional projections based on the following: a. Sales decrease 30% over next 3 months b. Sales increase 35% over next 3 months c. Sales commission increases from $1 to $1.50 d. Cost to produce a camera increases to $7.50 e. Interest rate to borrow money increase to 15%. You need to report on each projection separately and then collaborate. Your projection should include the impact on the budgets prepared in requirements 1 as well as the budgeted income statement. Additional Requirements Level of Detail: Show all work Other Requirements: I need an excel document with proper details.
Question 2
I need help with a Marketing Research Project. Please ignore the part about working with a partner. I don't need the powerpoint. Just the main proposal/project report. Instructions The main objective is to demonstrate a complete understanding of developing and producing a research project based satisfying the above objectives on a relevant and current issue or business opportunity. The research report and presentation should employ the fundamentals in chapter 3 and later chapter 16 of your textbook. The assignment demands creative free thinking- and not only regurgitation of textbook contents while supporting your opinion and theories. The report should be written in complete sentence form with annotations. The PowerPoint presentation should contain your talking points (bullet form) complete with graphs, illustrations, diagrams and excel data tables. Multi media files can be embedded or link-able in your presentation. You must use references, and show exactly where and how your sources contributed to your final answers. Late assignments will be deducted .05% per day until the exam date. ASSIGNMENT Marketing research often follows a general pattern of stages: Defining the research objectives Planning a research design Planning a sample Collecting the data Analyzing the data Formulating the conclusions and preparing a report and presentation. Exhibit 3.4 and 3.5 in your textbook identifies the steps and requirements for successful completion of this project. This major activity counts for 25% of your mark, You are to work with a partner (study buddy) and prepare a marketing Research Project based on one of the following topics: Topic 1 New Business Opportunity With your partner identify a product or service that you may want to market and think of ways on how you would promote it. Conduct a comparative study on whether new media advertising (Social Networking, ,Blogs, internet driven versus more than traditional media advertising (TV, Radio, Print etc.) will achieve your success metrics (goals). Topic 2 Experts Rate the Campaigns Consumers over age 50 have 2.5 times the discretionary spending power of the coveted 18-to-34 age group. Yet ads aimed at boomers still seem to miss the mark. BusinessWeek. With your partner identify 2 ad campaigns which effectively target this group and identify 2 which support the claim.
Question 3
Please show step by step work: 1. Corporate Bonds issued by Johnson Corporation currently yield 8%. Municipal bonds of equal risk currently yield 6%. At what tax rate would an investor be indifferent between these two bonds? 2. Pearson Brothers recently reported an EBITDA of $7.5 million and net income of $1.8 million. It had $2.0 million of interest expense, and its corporate rate was 40%. What was its charge for depreciation and amortization? 3. In its most recent financial statement, Newhouse Inc. reported $50 million of net income and $810 million of retained earnings. The previous retained earnings were $780 million. How much in dividends was paid to shareholders during the years? 4. The Shrieves Corporation has $10,000 that it plans to invest in marketable securities. It is choosing among AT&T bonds, which yield 7.5 %, state of Florida muni bonds, which yield 5% (but are not taxable), and AT&T preferred stock, with a dividend yield of 6%. Shrieve's corporate tax rate is 35%, and 70% of the dividends received are tax exempt. Find the after-tax rates of return on all three securities. 5. Donaldson & Son has an ROA of 10%, a 2% profit margin, and a return on equity equal to 15%. What is the company's total assets turnover? What is the firm's equity multiplier? 6. The Nelson Company has $1,312,500 in current assets and $525,000 in current liabilities. Its initial inventory level is $375,000, and it will raise funds as additional notes payable and use them to increase inventory. How much can Nelson's short-term debt (notes payable) increase without pushing its current ratio below 2.0? What will be the firm's quick ratio after Nelson has raised the maximum amount of short-term funds? 7. Complete the balance sheet and sales information in the table that follows for Hoffmeiset Industries using the following financial data: Debt ratio. 50% Quick ratio: 0.80 Total assets turnover: 1.5 Days sales outstanding: 36.5 days Gross profit margin on sales: (Sales-Cost of goods sold)/Sales=25% Inventory turnover ratio: 5.0 Balance Sheet Cash _______ Accounts receivable ___________ Inventories ________ Fixed Assets ____________ Total Assets $300,000 Sales _____________ Accounts payable Long term debt 60,000 Common stock Retained earnings 97,500 Total liabilities and equity Cost of goods sold 8. Data for Mortin Chip Company and its industry averages follow. a. Calculate the indicated ratios for Morton. b. Construct the extended Du Pont equation for both Morton and the industry. c. Outline Morton's strengths and weaknesses as revealed by your analysis.
Question 4
Penguin Corporation acquired 80 percent of the outstanding voting stock of Snow Company on January 1, 2012, for $476,000 in cash and other consideration. At the acquisition date, Penguin assessed Snow?s identifiable assets and liabilities at a collective net fair value of $705,000 and the fair value of the 20 percent noncontrolling interest was $119,000. No excess fair value over book value amortization accompanied the acquisition. The following selected account balances are from the individual financial records of these two companies as of December 31, 2013: Penguin Snow Sales $ 820,000 $ 540,000 Cost of goods sold 380,000 287,000 Operating expenses 168,000 123,000 Retained earnings, 1/1/13 920,000 360,000 Inventory 364,000 128,000 Buildings (net) 376,000 175,000 Investment income Not given 0 -------------------------------------------------------------------------------- Each of the following problems is an independent situation: a. Assume that Penguin sells Snow inventory at a markup equal to 60 percent of cost. Intra-entity transfers were $108,000 in 2012 and $128,000 in 2013. Of this inventory, Snow retained and then sold $46,000 of the 2012 transfers in 2013 and held $60,000 of the 2013 transfers until 2014. On consolidated financial statements for 2013, determine the balances that would appear for the following accounts: Cost of goods sold $ Inventory $ Noncontrolling interest in subsidiary?s net income $ -------------------------------------------------------------------------------- b. Assume that Snow sells inventory to Penguin at a markup equal to 60 percent of cost. Intra-entity transfers were $68,000 in 2012 and $98,000 in 2013. Of this inventory, $39,000 of the 2012 transfers were retained and then sold by Penguin in 2013, whereas $53,000 of the 2013 transfers were held until 2014. On consolidated financial statements for 2013, determine the balances that would appear for the following accounts: Cost of goods sold $ Inventory $ Noncontrolling interest in subsidiary?s net income $ -------------------------------------------------------------------------------- c. Penguin sells Snow a building on January 1, 2012, for $116,000, although its book value was only $68,000 on this date. The building had a five?year remaining life and was to be depreciated using the straight?line method with no salvage value. Determine the balances that would appear on consolidated financial statements for 2013 for the following accounts: Consolidated Buildings (net) $ Consolidated expenses $ Noncontrolling interest in subsidiary?s net income $
Question 5
the average salary of senior managers in the construction industry is $180,000 per year. Suppose we would like to take a sample of senior managers at a newly established company XYZ to see whether the mean annual salary is different from that of the industry. a) State the null and alternative hypotheses. b) suppose a sample of 40 senior managers at XYZ showed a sample mean annual salary of $170,000. Assume a population standard deviation of $30,000 with a = 0.05 as the value of significance, what is your conclusion? Need to know whether this is a one tailed or two tailed step and how do you know that? Need step by step breakdown so I can follow and study for exam please. The time needed to drive from city A to city B is normally distributed with a mean of 180 minutes and standard deviation of 20 minutes. a) what is the probability that a person will drive from city a to city b in three hours or more? b) what is the probability that a person will drive from city a to city b in more than 140 minutes? c) what is the probability that a person will drive from city a to city b in exactly three hours? d) what is the probability that a person will drive from city a to city b in less than 2.5 hours? Please answer with step by step directions and state formula being used. In an effort to estimate the mean annual amount spent per customer for groceries at a particular supermarket data were collected for a sample of 100 households. The sample showed an average amount of $8,000. If the population standard deviation is $500, a) develop an 80% confidence interval estimate of the population mean annual amount spent b) develop an 85% confidence interval estimate of the population mean annual amount spent c) if the data were collected for a sample of 50 households rather than 100, develop an 85% confidence interval estimate of the population mean annual amount spent, assuming the population has a normal probability distribution. what does is mean a normal probability distribution and how is it different from part a) and b). step by step breakdown and formula used please.
