Private saving is 1,500 and public saving is -500. Private saving is GDP minus consumption and taxes: 11,000 - 7,000 - 2,500 = 1,500. Public saving is taxes minus government purchases: 2,500 - 3,000 = -500.
Private saving represents the portion of income that households save after deducting their consumption expenditures. In this case, private saving is 1,500, which means households are saving 1,500 out of their income. This represents the accumulation of financial resources by the private sector.
Public saving, on the other hand, represents the difference between government revenue (taxes) and government expenditures (government purchases). In this case, public saving is -500, indicating that government expenditures exceed tax revenue by 500. This implies that the government is running a budget deficit, as its spending exceeds its revenue.
Overall, private saving contributes to the pool of funds available for investment and capital accumulation in the economy, while public saving reflects the fiscal position of the government.
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Question 3: 10 Hypothesis: A real estate group would like to
expand their property management business in a year’s time. Assess
the given business case.
The real estate group's current business, market conditions, and expansion plans, it is difficult to assess the given business case for expanding their property management business in a year's time. Additional information is needed to form a comprehensive evaluation.
Explanation: Assessing a business case requires a thorough understanding of the organization's current position, market analysis, financial capabilities, and strategic planning, it is challenging to evaluate the feasibility and potential success of the proposed expansion. Factors such as market demand, competition, available resources, and the organization's readiness for expansion should be considered. A comprehensive analysis would involve examining market trends, conducting a SWOT analysis, evaluating financial projections, and assessing operational capabilities. Only with such information can a reliable assessment of the business case be made.
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Which of the following are financial markets? Select all that apply. NYSE Best large-cap ETF - Vanguard S&P 500 Growth ETF (VOOG) NASDAQ Bank of America
The following options are financial markets:
1. NYSE (New York Stock Exchange)
2. NASDAQ (National Association of Securities Dealers Automated Quotations)
Financial markets are platforms or exchanges where various financial instruments, such as stocks, bonds, commodities, and derivatives, are traded. Both NYSE and NASDAQ are prominent stock exchanges where stocks of publicly listed companies are bought and sold.
The remaining option, "Bank of America," is a financial institution or a company operating within the financial industry, but it is not a financial market itself.
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Technological advances in the past few decades have greatly increased the competitive nature of the economic business world. Companies have used software, computers and the Internet to transform their businesses from local places of business to national and global market competitors. Many companies have responded to these changes by automating their business processes and capturing industry-related information and using it to their advantage. Technology has also forced businesses to remain flexible, adapting their operations to newer and better technological advances.
Technological advances in recent decades, including software, computers, and the Internet, have significantly increased the competitiveness of the economic business world. Companies have embraced these advancements to transform their operations from local entities to national and global market competitors.
Automation of business processes, utilization of industry-related information, and adaptation to newer technological advances have become essential strategies for businesses to thrive in this competitive landscape.
The rapid evolution of technology has revolutionized the business landscape, enabling companies to expand their reach and compete on a national and global scale. Software, computers, and the Internet have become integral tools for businesses, empowering them to automate various aspects of their operations and leverage industry-related information to gain a competitive edge. By automating processes, companies can improve efficiency, reduce costs, and enhance productivity.
Additionally, technology has enabled businesses to access a wealth of information through online platforms, databases, and analytics tools. This information can be leveraged to gain insights into market trends, customer preferences, and competitors' strategies. By harnessing this knowledge, companies can make informed decisions and tailor their offerings to meet evolving market demands.
Furthermore, technology has necessitated flexibility in business operations. As newer and better technological advancements emerge, businesses need to adapt quickly to remain competitive. This may involve adopting new software applications, upgrading infrastructure, or embracing emerging technologies such as artificial intelligence or blockchain.
Overall, technology has become a driving force in the modern business world, enabling companies to expand their reach, optimize operations, and stay ahead of the competition. Embracing technological advancements and remaining adaptable are crucial for businesses to thrive in today's highly competitive and rapidly evolving market environment.
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QUESTION 21
Georgia International's EBIT is 8000, assuming their COGS is 2000 and depreciation is 450, what are the company's sales?
O a. 10450
O b. 5550
O c. 9550
O d. None of the above.
The answer choices may contain errors or discrepancies. Nevertheless, based on the calculations, the correct sales amount is $10,450.
The company's sales can be calculated based on the provided information of Georgia International's EBIT (Earnings Before Interest and Taxes), COGS (Cost of Goods Sold), and depreciation. Let's break down the calculations to determine the company's sales.
First, let's understand the components involved. EBIT represents the operating profit of a company, which is the profit generated before accounting for interest and taxes. COGS represents the direct costs associated with producing the goods sold by the company. Depreciation is a non-cash expense that accounts for the decrease in value of the company's assets over time.
To calculate the company's sales, we need to add the COGS and depreciation to the EBIT. The reason for this is that EBIT is derived from the equation:
EBIT = Sales - COGS - Depreciation
By rearranging this equation, we can find the sales:
Sales = EBIT + COGS + Depreciation
Now, let's substitute the given values into the equation. The EBIT is given as $8,000, the COGS is $2,000, and the depreciation is $450.
Sales = $8,000 + $2,000 + $450
Sales = $10,450
Therefore, the company's sales amount is $10,450.
The correct answer is option (a) $10,450.
It's important to note that the provided answer choices in the question are not consistent with the calculated sales figure. The closest option is option (a) with a value of 10,450. However, it's worth mentioning that the given answer choices may contain errors or discrepancies. Nevertheless, based on the calculations, the correct sales amount is $10,450.
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Your company is considering investing in a new project. The project is expected to generate a cash-flow of $200,000 next year (t = 1). The cash-flow is then expected to grow at 5% per year forever.
How much are you willing to invest in the project today (t = 0) if you want the project to have an IRR of 25%?
Suppose you invest the amount calculated in part i, and that the cost of capital is 20%. What is the NPV of this project?
No Excel sheets please, I need to see the entire process written down with the formulas. Thank you!
To calculate the investment amount you are willing to make today (t = 0) to achieve a desired internal rate of return (IRR), we can use the formula for the present value of perpetuity.
Therefore, you are willing to invest $1,000,000 in the project today (t = 0) to achieve an internal rate of return of 25%.Next, let's calculate the net present value (NPV) of the project when the cost of capital is 20%.Therefore, when the cost of capital is 20%, the net present value (NPV) of the project is approximately -$833,333.33.
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Sammy is looking to purchase a new laptop computer in the Cyber Monday sales. Her favourite brand is Apple, and the Macbook Pro is currently on sale. However, an Alienware laptop is also available that offers significantly higher performance than the Macbook. This performance boost would be very useful to have when working on future research projects.
Discuss how this product placement is being used to energise an approach/approach conflict
Product placement is the act of placing branded goods within media content, frequently in movies, television shows, or music videos, to advertise a brand without having the audience feel like they are being marketed to.
The laptop comparison between the MacBook Pro and the Alienware laptop in the given scenario can energize an approach/approach conflict as follows: This type of conflict is when you have to choose between two appealing options. Here, Sammy is in a position of an approach/approach conflict where she has to choose between her favourite brand Apple, which is offering a Macbook Pro on sale and Alienware laptop, which has significantly higher performance.
In this case, she has to decide between two products that are both appealing to her. In the approach/approach conflict, the desire to have both options is the reason for the conflict. The laptop comparison between MacBook Pro and the Alienware laptop in the Cyber Monday sale could be energizing an approach/approach conflict since Sammy has to decide between two equally good alternatives. On the one hand, the Macbook Pro is from her favourite brand Apple, and it is on sale. On the other hand, the Alienware laptop offers significantly higher performance than the MacBook Pro. The performance boost would be very useful for her future research projects. Therefore, she has to choose between the two, which can be a difficult decision for her.
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Which of the following statements about finance, accounting, and financial management is most correct?
the primary role of finance is to plan for, acquire, and use resources to maximize the efficiency (and value) of the enterprise
The primary role of finance is to plan for, acquire, and use resources to maximize the efficiency (and value) of the enterprise.
Finance is the study of how people and businesses use and obtain money. Finance is concerned with how individuals and institutions handle their financial resources in order to meet their needs and objectives.What is accounting?Accounting is a method of keeping track of financial transactions.
In conclusion, the primary role of finance is to plan for, acquire, and use resources to maximize the efficiency (and value) of the enterprise. Accounting provides financial information that is useful in making business decisions. Financial management involves managing financial resources to achieve organizational objectives.
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Novex Inc. has prepared a trial balance that includes the following: accounts receivable-$19,000, inventory-$30,000, cost of goods sold-$75,000, sales revenue-$190,000, prepaid rent-$8,000, salary payable-$12,000, rent expense- $20,000, salary expense-$35,000, and dividends paid-$7,000. What should be reported as net income for the period? a) $60,000 b) $53,000 c) $40,000 d) $55,000
The net income for the period $53,000. the correct answer is option (b) $53,000
Novex Inc. is a company that has prepared a trial balance that consists of various accounts. From the given accounts, the amount of net income for the period can be determined by calculating the expenses and revenues.
The calculation is done by using the formula for calculating the net income: Net Income = Revenue - Expenses
From the trial balance, the amounts of the accounts involved in the calculation are sales revenue, cost of goods sold, rent expense, salary expense, and dividends paid.
The cost of goods sold refers to the cost of the inventory sold during the period. Therefore, the formula to calculate the cost of goods sold is:Cost of goods sold = Beginning inventory + Purchases - Ending inventory
To determine the beginning inventory, we need the inventory balance from the previous period. Since there is no information given about it, we cannot calculate the cost of goods sold.
Hence, we will use the sales revenue and other expenses to determine the net income.
Net Income = Revenue - Expenses
Revenue Sales revenue = $190,000
Expenses Cost of goods sold = $75,000
Rent expense = $20,000
Salary expense = $35,000
Dividends paid = $7,000
Total Expenses = $75,000 + $20,000 + $35,000 + $7,000 = $137,000
Net Income = $190,000 - $137,000 = $53,000
Therefore, the correct answer is option (b) $53,000.
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QUESTION 1 Gregory travels to Japan to learn about plastic injection molding techniques in a factory partnering with his factory in Tennessee. When he gets to the Japanese factory, he is surprised to
Gregory travels to Japan to learn about plastic Injection molding techniques in a factory partnering with his factory in Tennessee. When he gets to the Japanese factory, he is surprised to worker's focusing much more on group goals rather than meeting their individual production rates What Gregory is witnessing is an collective culture. The correct option is a.
A collectivist culture is defined in cross-cultural psychology as a community that prioritises the group over the individual. Collectivistic cultures value personality traits and attributes such as cohesion, harmony, duty, interdependence, group goal achievement, and conflict avoidance.
Collectivist culture occurs when a community works together to meet the needs of the group rather than focusing on individual needs. A family is a common example of a collectivist group. Families typically collaborate to help one another survive and thrive.
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Create a simple 0, 1 integer model for a situation or
problem you face in your life. Is there an optimal solution for
your problem? What type of model would you use to create an optimal
solution? Expl
A simple 0,1 integer model for a situation is an optimization model that either selects or rejects an alternative, given that there are several alternatives.
An example of a situation that can be modeled using a simple 0,1 integer model is determining whether to go to work/school by car or bike. A decision variable, X, can be created to represent the choice of going to work/school by car or bike. X=1 represents going by car, and X=0 represents going by bike. Further constraints can be added to the model, for instance, time constraints, energy constraints, and budget constraints.
The optimal solution depends on the objective function of the model. If the objective function is to minimize travel time, the optimal solution could be either by car or bike, depending on the traffic conditions and distance. On the other hand, if the objective function is to minimize the cost of commuting, the optimal solution could be to go by bike, which is cheaper than going by car. A linear programming model can be used to create an optimal solution by representing the objective function and constraints as linear equations.
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Bad publicly is a crossroad for a company's brand. Was SANY Company able to regain their footing? If so what steps were taken to reestablish their brand?
SANY Company was able to regain its footing after facing bad publicity by implementing a comprehensive brand reestablishment strategy.
SANY Company took several steps to reestablish its brand after experiencing bad publicity. Firstly, they conducted a thorough analysis of the reasons behind the negative perception and identified the areas that needed improvement. They then focused on enhancing their products and services, investing in research and development, and ensuring high-quality standards across their offerings. SANY Company also prioritized transparent communication and engagement with their customers, addressing concerns and actively seeking feedback to build trust and credibility. They leveraged digital platforms and social media to promote their positive initiatives, highlighting their commitment to innovation, sustainability, and customer satisfaction. Additionally, SANY Company collaborated with reputable organizations and industry influencers to showcase their expertise and build a positive reputation. By implementing these strategic measures, SANY Company successfully regained its footing and rebuilt its brand image.
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Four major stages can be identified in a product lifecycle.
With the help of a diagram explain the stages indicating the
features and the relevant decisions that a marketer would adopt at
each stage.
The product lifecycle consists of four stages: introduction, growth, maturity, and decline. Marketers need to adapt their strategies accordingly, focusing on awareness and demand generation in the introduction stage, maximizing market share in the growth stage, retaining customers in the maturity stage, and managing decline in the final stage.
The four major stages in a product lifecycle are introduction, growth, maturity, and decline.
Each stage represents a different phase of the product's life and requires specific strategies and decisions from the marketer. Here is a diagram explaining the stages and the relevant decisions a marketer would adopt at each stage:
1. Introduction: This stage is characterized by the product's initial launch into the market. The focus is on creating awareness and generating demand.
Marketers need to invest in extensive research and development, product testing, and market analysis to understand customer needs. Key decisions include pricing strategies, selecting distribution channels, and developing promotional campaigns to build brand awareness.
2. Growth: In this stage, the product gains traction in the market, and sales start to increase rapidly. The focus shifts to expanding market share and maximizing profits.
Marketers should emphasize product differentiation, build strong distribution networks, and increase advertising and promotional activities to attract a larger customer base.
Pricing strategies may also involve capturing a larger market share by lowering prices or introducing product variations.
3. Maturity: At this stage, the product reaches its peak level of market saturation. Sales growth slows down as the market becomes more competitive.
Marketers need to focus on retaining existing customers and increasing brand loyalty. Strategies may include product line extensions, offering customer incentives, and improving customer service. Pricing strategies may involve price discounts, bundles, or loyalty programs.
4. Decline: In the decline stage, sales and profits decline due to market saturation, changing customer preferences, or the introduction of superior alternatives.
Marketers may need to make tough decisions such as product discontinuation or limited distribution. Strategies may involve targeting niche markets, offering discounts to clear remaining inventory, or considering product diversification to extend the product's life.
Overall, the product lifecycle provides a framework for marketers to understand the different stages a product goes through and make informed decisions to maximize its success at each stage.
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the close of a report should group of answer choices bring all action items together and give details about who should do what, when, where, and how. tell the reader what will happen if they don't implement what was discussed in the paper. explain why you are passionate about making the proposed changes. include new data for one last, meaningful impact. end with an insightful quote, fact or statistic.
The close of a report should include the following components: Group all action items together and provide details about who should do what, when, where, and how.
Also, it should tell the reader what will happen if they don't implement what was discussed in the paper. You must explain why you are passionate about making the proposed changes. By doing so, you will inspire your readers to follow in your footsteps. You can include new data that will leave a significant impact on the reader. This last meaningful impact will aid in persuading the reader and making them believe in the proposed changes. You can end with an insightful quote, fact, or statistic that will leave a lasting impact on the reader. The use of a quote, fact or statistic will help to reinforce your points and encourage the reader to make a change in the proposed direction.
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A precision lathe costs $11,000 and will cost $21,000 a year to operate and maintain. If the discount rate is 12% and the lathe will last for 5 years, what is the equivalent annual cost of the tool? (Do not round intermediate calculations. Round your answer to 2 decimal places. Enter your answer as a positive value.)
The equivalent annual cost of the precision lathe is $76,151.03 (rounded to 2 decimal places).
To calculate the equivalent annual cost (EAC) of the precision lathe, we need to consider the initial cost, operating and maintenance costs, the discount rate, and the lifespan of the lathe.
The EAC formula is given by:
EAC = Initial cost + Annual operating and maintenance cost * Present value annuity factor
The present value annuity factor can be calculated using the discount rate and the lifespan of the lathe.
Given:
Initial cost (IC) = $11,000
Annual operating and maintenance cost (OMC) = $21,000
Discount rate (r) = 12%
Lifespan (n) = 5 years
First, we need to calculate the present value annuity factor (PVAF) using the discount rate and lifespan:
PVAF = (1 - (1 + r)^(-n)) / r
PVAF = (1 - (1 + 0.12)^(-5)) / 0.12
PVAF = (1 - 0.56743) / 0.12
PVAF = 3.10243
Next, we can calculate the EAC:
EAC = IC + OMC * PVAF
EAC = $11,000 + $21,000 * 3.10243
EAC = $11,000 + $65,151.03
EAC = $76,151.03
Therefore, the equivalent annual cost of the precision lathe is $76,151.03 (rounded to 2 decimal places).
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Store A uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 500 and a standard deviation of 300. What is its stockout probability if Store A's order quantity is 800 units? Store A uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 150 and a standard deviation of 60. What is its expected inventory if Store A's order quantity is 90 units?
The average amount of inventory that a company expects to hold over a given time frame is referred to as expected inventory. It's a metric used by companies to determine how much inventory they should have on hand to satisfy client demand without going overboard.
The anticipated quantity of inventory takes into account a number of variables, including sales projections, production plans, lead times, and desired service levels.
A business can calculate the typical amount of inventory it should keep on hand in order to maintain a continuous flow of goods and satisfy consumer demand by taking these considerations into account.
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G-Recording Fixed Asset Disposal by Retirement A = 5 Royrich Co. decides to retire its Computers which cost $63,000, and have NO Residual Value. Prepare Journal Entries to record the Transaction if: a) the Balance in the Accumulated Amortization - Computers account is also $63,000: b) the Balance in the Accumulated Amortization - Computers account is $50,000
Fixed assets are essential items that a company purchases to use for an extended period to aid in generating revenues. When a company decides to retire one of its fixed assets, it must record the disposal of the asset by creating journal entries. This will ensure that the balance sheet reflects the correct value of the company's assets. The journal entries are based on whether the accumulated amortization of the fixed asset is equal to or less than the cost of the fixed asset.
Fixed assets are essential items that a company purchases to use for an extended period to aid in generating revenues. When a company decides to retire one of its fixed assets, it must record the disposal of the asset by creating journal entries. This will ensure that the balance sheet reflects the correct value of the company's assets. The journal entries are based on whether the accumulated amortization of the fixed asset is equal to or less than the cost of the fixed asset.
a) If the Balance in the Accumulated Amortization - Computers account is also $63,000:
When the balance of the accumulated amortization is equal to the cost of the fixed asset, there is no gain or loss to record. The entry is as follows:
Debit Accumulated Amortization - Computers = $63,000
Credit Computers = $63,000
b) If the Balance in the Accumulated Amortization - Computers account is $50,000:
When the balance of the accumulated amortization is less than the cost of the fixed asset, a gain or loss must be recorded. The entry is as follows:
Debit Accumulated Amortization - Computers = $50,000
Debit Loss on Disposal = $13,000
Credit Computers = $63,000
Explanation:
a) If the Balance in the Accumulated Amortization - Computers account is also $63,000:
As the Accumulated Amortization account balance is equal to the cost of the computers, there is no gain or loss on disposal of the asset. Hence the entry will be as follows:
Debit Accumulated Amortization - Computers = $63,000
Credit Computers = $63,000
b) If the Balance in the Accumulated Amortization - Computers account is $50,000:
As the Accumulated Amortization account balance is less than the cost of the computers, there will be a loss on the disposal of the asset. The amount of loss will be equal to the cost of the computers less the accumulated amortization. The entry will be as follows:
Debit Accumulated Amortization - Computers = $50,000
Debit Loss on Disposal = $13,000 ($63,000-$50,000)
Credit Computers = $63,000
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Bagullat Company provided the following account balances on December 31.2020: Accounts payable, P1.500,000; Bonds payable (due 2023). P2,200,000; Dividends payable, P800.000: Notes payable (due 2021), P2.000,000.
What total amount of current liabilities should be reported?
O P4,300,000
O P5,100.000
O P6,500,000
O P7,800.000
The total amount of current liabilities that should be reported is P4,300,000.
To calculate the total amount of current liabilities, we need to identify the liabilities that are classified as current liabilities.
Current liabilities are obligations that are expected to be settled within one year or the operating cycle, whichever is longer. In the given information, we have the following liabilities:
Accounts payable: P1,500,000 - This represents the amount owed to suppliers for purchases made on credit. It is a current liability.
Dividends payable: P800,000 - This represents the dividends declared but not yet paid to shareholders. It is a current liability.
Notes payable (due 2021): P2,000,000 - Since the due date falls within the next year, it is considered a current liability.
However, the Bonds payable (due 2023) is not considered a current liability because its due date extends beyond the next year.
To calculate the total amount of current liabilities, we add the relevant liabilities:
Total current liabilities = Accounts payable + Dividends payable + Notes payable (due 2021)
Total current liabilities = P1,500,000 + P800,000 + P2,000,000
Total current liabilities = P4,300,000
Therefore, the correct answer is O P4,300,000. The total amount of current liabilities that should be reported is P4,300,000.
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Disney builds the self-confidence of its employees by promoting individualism.
True
False
Based on the class lecture, the SERVQUAL service quality dimensions (factors) include:
a. reliability, serviceability, and aesthetics.
b. empathy, assurance, and tangibles.
c. performance, reliability, and durability.
d. tangibles, performance, and responsiveness.
e. assurance, reputation, and features.
According to the SERVQUAL service quality dimensions, the factors include empathy, assurance, tangibles, reliability, and responsiveness. Therefore, option (b) is the correct answer.
The SERVQUAL model is a popular framework for assessing and measuring service quality. It consists of five dimensions or factors that contribute to customers' perception of service quality. These dimensions are:
Empathy: This refers to the ability of service providers to understand and address customers' needs and concerns with care and compassion.
Assurance: This dimension focuses on building trust and confidence in customers by demonstrating knowledge, competence, and professionalism.
Tangibles: Tangibles refer to the physical aspects of the service environment, including facilities, equipment, and appearance, which can influence customers' perceptions of quality.
Reliability: Reliability refers to the ability to consistently deliver the promised service accurately and dependably.
Responsiveness: This dimension relates to the willingness and promptness of service providers to respond to customers' requests, inquiries, and problems.
Based on these dimensions, option (b) - empathy, assurance, and tangibles - correctly represents the SERVQUAL service quality dimensions.
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Gill Enterprises produces a number of consumer items, including a stove. A key component of the stove is purchased from an outside supplier. In total, the company purchases 2 500 components each year. It costs approximately R12 to place an order and it costs R0.25 to carry one part in inventory for a year. The company is operational for 50 weeks in a year. Required: Calculate the reorder point with safety stock included.
To calculate the reorder point with safety stock included, the following formula can be used:Reorder Point (ROP) = (Average Daily Usage × Lead Time in Days) + Safety Stock
The reorder point is a level of inventory at which the company places an order for more products. It ensures that there is sufficient inventory on hand to prevent stock-outs. The reorder point formula includes the average daily usage, lead time, and safety stock.
To find the reorder point with safety stock included, follow these steps:Step 1: Calculate the daily usage of the component.Daily usage = Total usage ÷ Number of working days per year= 2,500 ÷ (50 × 5)= 10Step 2: Calculate the lead time in days.The lead time is the time it takes for the company to receive the order after placing it with the supplier. It is assumed that the lead time is 10 days.Lead time in days = 10Step 3: Calculate the safety stock level.The safety stock is a level of inventory that is held to mitigate the risk of stockouts. It is calculated based on the company's desired service level and demand variability. It is assumed that the safety stock is 5 days of inventory.Safety stock level = Average daily usage × Safety stock in days= 10 × 5= 50Step 4: Calculate the reorder point.Reorder point (ROP) = (Average daily usage × Lead time in days) + Safety stock= (10 × 10) + 50= 150Therefore, the reorder point with safety stock included is 150.
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which tool is used to assess error due to inaccuracy of a
mmeasurrment system
MSA
FMEA
P
VALUE
ANDERSON
The tool used to assess error due to inaccuracy of a measurement system is MSA (Measurement System Analysis). The correct answer is option A.
What is MSA?Measurement System Analysis (MSA) is an analytical tool that determines the quantity and magnitude of error arising from the use of a measuring instrument, measuring technique, or measuring system. MSA is used to ensure that measurements are trustworthy and reliable, and it is commonly used in the production, engineering, and manufacturing industries.
What is MSA used for?MSA is used for a variety of purposes, including the following:
It helps to ensure that the data obtained from measurements are correct and trustworthy.
It assists in determining if the instruments used for taking measurements are of high quality or not.
It aids in determining if the inspection procedure is adequate or not.
MSA helps to determine the level of precision of a measurement system.
In summary, MSA can be used to determine how much variation exists in a measurement system due to equipment, operators, and environmental factors, among other things. Therefore, the correct answer is option A.
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Understanding global supply chain disruptions: the case of Hanjin Shipping Co., Ltd. Hanjin Shipping Co., Ltd. was a South Korean integrated logistics and container transport provider. The company was among the world's top ten container carriers in terms of capacity, transporting over 100 million tons of cargo annually [1]. Because of the shipping industry's overcapacity and the slowdown in global trade, shipping rates were at an all-time low, putting a lot of strain on the industry. Unfortunately, the persistent decline in worldwide trade following the economic crisis of 2008 led to the demise of its logistics operations, and Hanjin eventually filed for receivership on 31 August 2016. The complete timeline of the company’s bankruptcy may be found here [2]. According to recent studies, Hanjin’s bankruptcy may be attributed to the miscalculation of chartering risk as well as forecast errors and shipping market conditions [4]. Hanjin had approximately 27 subsidiaries or offices in 19 states and districts and had approximately 4,000 creditors, whose claims totalled approximately 10 USD.5 billion. The Hanjin’s bankruptcy is considered the largest ever maritime cross-border insolvency in history [3].The collapse of Hanjin in August 2016 served as a wake-up call for the entire ocean transportation industry. Thousands of ships carrying more than $14 billion in cargo were left stranded at sea, either anchored or just outside their respective countries' territorial waters. The disruption of Hanjin’s logistics operations had an enormous impact on global supply chains and led to ripple effects on worldwide "just-in-time" logistics across all supply chain stakeholders like port authorities, truckers, cargo owners, freight forwarders and equipment providers [5]. The company's ships remained "frozen" and inaccessible for several weeks with some 93 vessels, including 79 container ships, stranded at 51 ports in 26 countries. Several ports around the world refused to accept cargo from Hanjin ships because they feared the shipper would not be able to pay docking fees. The supply-chain chaos unleashed by the Hanjin bankruptcy spread rapidly as terminal operators, ports, cargo handlers, truckers and others refused to handle its cargo for fear they won’t get paid. The bankruptcy took place at an especially inconvenient time for retailers as they were replenishing their inventories with imported items in preparation for a seasonal uptick in Thanksgiving, Christmas, Black Friday, and New Year's sales. Eventually, shippers and retailers were forced to absorb the additional costs of getting Hanjin containers released and re-booked, as well as cargo transloaded to other carriers. Undoubtably, the Hanjin’s bankruptcy illustrates how a major carrier's failure can affect global commerce and supply chains. Based on the information provided in this document and Internet resources:
Question 1 (33,3%): Elaborate on the vulnerabilities of "just-in-time" logistics systems, especially in the case of e-commerce supply chain management.
Question 2 (33,3%): Classify the potential supply chain risks for US retailers based on the 2016 Hanjin’s bankruptcy.
Question 3 (33,3%): Given the heavy disruption caused by the Hanjin’s bankruptcy, comment on the importance of supply chain re-engineering.
The bankruptcy of Hanjin Shipping in 2016 highlighted vulnerabilities in "just-in-time" logistics systems, particularly in the case of e-commerce supply chain management. The collapse of Hanjin disrupted global supply chains, leaving thousands of ships and billions of dollars' worth of cargo stranded at sea. US retailers faced potential supply chain risks, including delays in receiving inventory, increased costs for cargo release and re-booking, and the need to transload cargo to alternative carriers. In light of this disruption, supply chain re-engineering becomes crucial for businesses to mitigate risks, improve resilience, and ensure efficient operations.
Answer 1: "Just-in-time" logistics systems rely on precise coordination and timing to minimize inventory storage and reduce costs. However, they are vulnerable to disruptions like the Hanjin bankruptcy. In e-commerce supply chain management, where timely delivery is crucial, any interruption in the transportation process can have significant consequences. For example, if a retailer heavily relies on a single carrier like Hanjin, its inability to deliver goods can lead to delays in fulfilling customer orders, loss of sales, and damage to customer satisfaction. Additionally, e-commerce retailers often operate on tight schedules and have limited warehousing capabilities. Hence, they are more susceptible to disruptions in logistics operations. Such vulnerabilities highlight the need for diversification in carrier options, building stronger relationships with multiple logistics partners, and having contingency plans in place to address disruptions.
Answer 2: The Hanjin bankruptcy posed several potential supply chain risks for US retailers. Firstly, delays in receiving inventory occurred as Hanjin's ships were stranded, preventing the timely delivery of goods to retailers' distribution centers. This delay affected the ability to restock inventories, potentially leading to stockouts and lost sales during peak seasons like Thanksgiving and Christmas. Secondly, US retailers had to incur additional costs for releasing Hanjin containers and re-booking cargo with alternative carriers. These unexpected expenses could impact their profitability. Thirdly, the need to transload cargo to other carriers added complexity to the supply chain, requiring coordination and adjustments in logistics operations. The Hanjin bankruptcy demonstrated the importance of having contingency plans, diversifying carrier options, and establishing relationships with financially stable shipping companies to mitigate such risks.
Answer 3: The Hanjin bankruptcy highlighted the significance of supply chain re-engineering in response to major disruptions. Supply chain re-engineering involves redesigning processes, optimizing logistics networks, and implementing technologies to enhance efficiency, reduce vulnerabilities, and improve resilience. In the aftermath of Hanjin's collapse, businesses realized the importance of diversifying their carrier base, establishing relationships with financially stable partners, and implementing robust risk management strategies. This includes conducting thorough assessments of supply chain risks, developing contingency plans, and investing in technologies that enable better visibility and control over the movement of goods. Supply chain re-engineering allows companies to identify potential vulnerabilities, strengthen their supply chain networks, and develop agile and adaptable systems that can withstand disruptions. It enables businesses to minimize the impact of unexpected events, ensure continuity of operations, and maintain customer satisfaction even in challenging circumstances.
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mutual trust is: when employees have gained the trust of management. reflected in reasonable, documented employment policies that are honestly and equitably implemented to the satisfaction of both management and employee. when management has gained the trust of the employees. when management recognizes that the employees are competent, motivated people both able and willing to perform at the level required to produce a quality product. when management and the employees both agree on common objectives.'
Mutual trust is when both management and employees have gained each other's trust, leading to a harmonious and productive working relationship.
What factors contribute to mutual trust between management and employees?Mutual trust between management and employees is essential for creating a positive work environment and achieving organizational success. It involves a reciprocal relationship where both parties have confidence in each other's abilities, intentions and commitments.
One aspect of mutual trust is when employees have gained the trust of management. This is reflected in reasonable, documented employment policies that are honestly and equitably implemented to the satisfaction of both management and employees.
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Suppose that a monopolist's market demand is given by P=100-2Q and marginal cost is given by MC = Q/2 a) Calculate the profit-maximizing monopoly price and quantity. b) Calculate the price and quantity that arise when the firm acts as a perfectly competitive one with a supply curve of P = Q/2 c) Compare consumer and producer surplus under monopoly versus perfect competition. Which one gives greater total surplus?
a) The profit-maximizing monopoly price is $50, and the quantity is 25 units.
b) The price and quantity under perfect competition are $33.33 and 66.67 units, respectively.
c) Under perfect competition, both consumer and producer surplus are higher, resulting in greater total surplus.
a) To find the profit-maximizing monopoly price and quantity, we need to equate marginal cost (MC) with marginal revenue (MR). In this case, since the demand function is P = 100 - 2Q, we can derive the marginal revenue as MR = 100 - 4Q. Equating MR with MC (Q/2), we get 100 - 4Q = Q/2. Solving this equation, we find Q = 25 units. Substituting Q back into the demand function, we get P = 100 - 2(25) = $50.
b) In perfect competition, the firm is a price taker and the market price is determined by the intersection of supply and demand. The supply curve is given as P = Q/2. Setting this equal to the demand function, 100 - 2Q = Q/2. Solving for Q, we find Q = 66.67 units. Substituting Q back into the demand function, we get P = 66.67/2 = $33.33.
c) Under monopoly, the price is higher ($50) and the quantity produced is lower (25 units) compared to perfect competition ($33.33 and 66.67 units, respectively). As a result, the monopoly restricts output, leading to a smaller consumer surplus compared to perfect competition. The producer surplus, however, is higher under monopoly due to the higher price. Overall, perfect competition generates greater consumer and producer surplus, resulting in a greater total surplus.
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Question 2 Scott is looking to start a new business selling organic food to try and target the current healthy food craze in Australia. He wants to call the business Organic. But he does not know what type of business structure to set up for Organic. Johnny is Scott’s accountant and initially suggested to Scott that he sets up a sole trading or a proprietary company.
a. Briefly explain to Scott the nature of a sole trader and a proprietary company by providing the advantages and disadvantages of setting up one (5 marks).
Scott decides to set up a company. He is now confused whether he should set up a proprietary or a public company. You are now tasked to explain the difference to Scott.
b. What is the difference between a proprietary company and a public company? (5 marks)
Johnny becomes Organic’s accountant. After Johnny is accused of misleading the board, Amber is appointed to replace Johnny, and Johnny is instead given responsibility for setting up Organic’s new vegan confectionary business. The new business makes a substantial loss, but Johnny initially conceals the full extent of the problem in his monthly reports.
The shareholders now come to you for advice. They believe the directors breached their duty of care, skill and diligence by not terminating Johnny’s employment and still relying on his misleading accounting report on the new business.
c. Advise the shareholders on whether the directors have breached their duty of care, skill and diligence (10 marks).
Sole trader: Advantages - simplicity, full ownership, flexibility | Disadvantages - personal liability, limited growth potential.
Proprietary company: Advantages - limited liability, separate legal existence, potential for growth | Public company: Advantages - unlimited shareholders, shares traded on stock exchange, more reporting obligations.
The directors may have breached their duty of care, skill, and diligence by not terminating Johnny's employment and relying on his misleading reports, potentially exposing the company to financial harm and failing to act in the shareholders' best interests.
a. The nature of a sole trader: A sole trader is an individual who operates their business as a single entity. Advantages of setting up as a sole trader include simplicity and control over decision-making. Sole traders have full ownership and retain all profits. They also have flexibility in managing their business.
However, a sole trader is personally liable for all debts and obligations of the business. This means their personal assets are at risk if the business incurs losses or faces legal issues. The nature of a proprietary company is a proprietary company is a private company with limited liability.
Advantages of setting up a proprietary company include limited liability for shareholders, separate legal existence from its owners, and potential for growth and raising capital. However, proprietary companies have more legal and reporting requirements compared to sole traders. They must register with regulatory authorities, maintain proper financial records, and comply with company law.
b. The difference between a proprietary company and a public company: A proprietary company is privately owned and restricted to a maximum of 50 shareholders. Shares in a proprietary company are not traded on the stock exchange.
In contrast, a public company can have an unlimited number of shareholders, and its shares can be traded on the stock exchange. Public companies have more stringent reporting and compliance obligations, including disclosing financial information to the public.
c. In the given scenario, if the directors were aware of Johnny's misleading accounting reports and failed to take action, they may have breached their duty of care, skill, and diligence. Directors have a fiduciary duty to act in the best interests of the company and its shareholders. This includes providing accurate and transparent financial information.
By allowing Johnny to continue in his role despite his misconduct, the directors may have failed to exercise proper care and diligence in protecting the interests of the shareholders. It is advisable for the shareholders to seek legal advice to assess the potential breach and explore their options for recourse against the directors.
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Analtech Inc. is going to purchase equipment for $187,500. The equipment will be depreciated using the declining balance method with a depreciation rate of 20%. What is the depreciation expense in the second year after the equipment's purchase? Check Answer Schwing America Inc. had not fixed assets of $1,400,000 at the end of last year. It plans to purchase capital equipment worth $266,666 this year. It uses a declining balance depreciation method with an average depreciation rate of 15%. What will its depreciation expense be this year? Round your answer to the nearest whole number
To calculate the depreciation expense in the second year for Analtech Inc., we'll use the declining balance method with a depreciation rate of 20%.
Depreciation expense in the second year = (Depreciation rate) × (Net book value at the beginning of the year)
In the first year, the depreciation expense would be:
Depreciation expense in the first year = (20%) × ($187,500) = $37,500
The net book value at the beginning of the second year would be:
Net book value at the beginning of the second year = (Purchase cost) - (Accumulated depreciation)
= $187,500 - $37,500
= $150,000
Now we can calculate the depreciation expense in the second year:
Depreciation expense in the second year = (20%) × ($150,000) = $30,000
Therefore, the depreciation expense in the second year for Analtech Inc. is $30,000.
Now let's calculate the depreciation expense for Schwing America Inc. this year.
Given:
Initial fixed assets = $1,400,000
Capital equipment purchase this year = $266,666
Average depreciation rate = 15%
To calculate the depreciation expense, we'll use the declining balance method with an average depreciation rate of 15%.
Depreciation expense for this year = (Average depreciation rate) × (Initial fixed assets + Capital equipment purchase)
Depreciation expense for this year = (15%) × ($1,400,000 + $266,666) = (15%) × ($1,666,666) ≈ $250,000
Rounding the answer to the nearest whole number, the depreciation expense for Schwing America Inc. this year will be approximately $250,000.
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Noodles & Co. wants to develop a new dish to offer customers on their 7th anniversary in three months. Not only should the new dish be of high quality and great taste, but also, they need to make sure that with their current layout and equipment they are able to prepare it fast and efficient. Moreover, they want to make sure that the dish is completely unique and will not be offered by any of their competitors. What variation of NPD process and what organizational structure would you, as the person in charge to develop this new dish, recommend employing to effectively handle this project? Justify your choices.
To effectively handle the project of developing a new dish for Noodles & Co., I would recommend employing the Agile NPD process and a cross-functional team organizational structure.
Agile NPD Process: The Agile NPD process is iterative, flexible, and emphasizes collaboration and quick feedback. It allows for rapid prototyping, testing, and adjustments, which aligns with the time constraint of three months for the anniversary launch. The Agile approach encourages continuous improvement and adaptation throughout the development process.
Cross-Functional Team Organizational Structure:
Creating a cross-functional team comprising members from different departments like culinary, operations, marketing, and quality assurance will ensure a holistic approach to the project. Each member brings their expertise, ideas, and perspectives, enabling efficient decision-making, problem-solving, and resource allocation. This structure promotes collaboration, creativity, and accountability, helping to deliver a unique dish that aligns with the company's goals and capabilities.
By employing the Agile NPD process, Noodles & Co. can quickly develop and refine the new dish, incorporating customer feedback and ensuring high quality and taste. The cross-functional team structure will facilitate effective communication, coordination, and utilization of available resources, enhancing the speed and efficiency of the development process.
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F&M Company estimated to manufacture 5,500,000 packets of carbonated drinks in December 2021 and sells them at RM1.20 per can. The company has established the following standard to produce a can of carbonated drink: Standard quantity Direct material 0.2kg 0.065 hours Standard Price RM0.50 per kg RM0.70 per hour Direct labour During the month of December 2021, the company recorded the following activities in relation to the manufacturing of the carbonated drink: 1. A total of 240,000kg of materials was purchased at a cost of RM168,000 but only 220,000kg was used in the production 2. The production incurred 51,600 hours of labour with a total wage cost of RM30,960. 3. The company produced a total of 875,000 cans of carbonated drinks. Required Compute the following variances for December 2021 for F&M Company. a) Material price variance b) Material quantity variance c) Labour price variance d) Labour quantity variance
Material price variance Standard cost of materials = Standard quantity × Standard price = 0.2 kg × RM0.50/kg = RM0.10
Actual cost of materials = Actual quantity × Standard price = 220,000 kg × RM0.50/kg = RM110,000 Material price variance = Actual cost of materials - (Standard cost of materials × Actual quantity)
= RM110,000 - (RM0.10 × 220,000 kg)
= RM110,000 - RM22,000
= RM88,000
b) Material quantity variance:
Material quantity variance = (Standard quantity - Actual quantity) × Standard price
= (0.2 kg - 220,000 kg) × RM0.50/kg
= (-20,000 kg) × RM0.50/kg
= -RM10,000
c) Labour price variance:
Standard cost of labor = Standard time × Standard rate = 0.065 hours × RM0.70/hour = RM0.0455
Actual cost of labor = Actual time × Standard rate = 51,600 hours × RM0.70/hour = RM36,120
Labour price variance = Actual cost of labor - (Standard cost of labor × Actual time)
= RM36,120 - (RM0.0455 × 51,600 hours)
= RM36,120 - RM2,347.40
= RM33,772.60
d) Labour quantity variance:
Labour quantity variance = (Standard time - Actual time) × Standard rate
= (0.065 hours - 51,600 hours) × RM0.70/hour
= (-51,599.935 hours) × RM0.70/hour
= -RM36,119.95
Note: The variances have been calculated based on the information provided.
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Imagine that a manufacturing needs to produce 270 products weekly. The company has three manual manufacturing processes P, Q and R. To finalize a product in process P requires 1 person with18 minutes;, Q in 30 minutes and R in 12 minutes. The company has 2 people in area P, 4 people in area Q and 2 people in area R Identify is there any Mura? If yes, how to solve it?
Mura is a Japanese word that translates to "unevenness" or "inconsistency" in English. It is a term used in the manufacturing industry to describe waste that arises when the production system is unbalanced or unpredictable.
The company you mentioned in the question is producing 270 products per week. This is a very consistent number that implies that there is no Mura in the production process. The company has two people in area P, four people in area Q, and two people in area R. The time required to complete each product in each of the three processes is also provided in the question. Therefore, we can easily calculate how long it would take to manufacture 270 products per week. Let's start by calculating the time required to complete one product in each of the three processes. P = 1 person × 18 minutes = 18 minutes Q = 1 person × 30 minutes = 30 minutes R = 1 person × 12 minutes = 12 minutes to produce one product, we need to add the time taken by all three processes. P + Q + R = 18 + 30 + 12 = 60 minutes Therefore, it takes 60 minutes to manufacture one product. Now, let's calculate the total time required to manufacture 270 products per week. Total time = 270 products × 60 minutes per product= 16200 minutes per week This is the total amount of time required to manufacture 270 products per week.
We now need to see if the manufacturing process is consistent across all areas or not. P: 2 persons × 60 minutes per hour × 40 hours per week = 4800 minutes per week Q: 4 persons × 60 minutes per hour × 40 hours per week = 9600 minutes per week R: 2 persons × 60 minutes per hour × 40 hours per week = 4800 minutes per week The time required for each area is calculated by multiplying the number of people by the amount of time each person spends on each product. We then multiply the result by the number of hours worked per week. Let's add up the total time required for all three areas. P + Q + R = 4800 + 9600 + 4800 = 19200 minutes per week This is the total amount of time required for all three areas. However, we only need 16200 minutes per week to produce 270 products. This implies that there is Mura in the manufacturing process. To solve this problem, we can do one of the following:
1. Hire more people in area P to balance the workload across all areas.
2. Automate some of the processes to reduce the amount of time required to manufacture each product.
3. Redistribute some of the work from Q to P or R to balance the workload across all areas.
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B&F Company operates in two lines of business: Beverage with an estimated value of $10 billion and Food with an estimated value of $15 billion. Currently the firm has a D/E ratio of 1. Tax rate for the firm is 30% Assume the current risk free rate is 4% and the market risk premium is 6% Line of business Beverage Industry
Food Industry
Average levered Beta
0.92 1.17
Average D/E ratio 30% 45% a. Calculate the Unlevered Beta for each line of business. b. Calculate the Unlevered Beta for B&F Company, using the weights of each business line. c. Calculate the Levered Beta for the B&F Company and then determine its Cost of Equity using CAPM.
The Levered Beta for B&F Company is approximately 1.104, and its Cost of Equity using CAPM is around 10.624%.
a. To calculate the unlevered beta for each line of business, we can use the formula:
Unlevered Beta = Levered Beta / (1 + (1 - Tax Rate) * (Debt/Equity Ratio))
For the Beverage industry:
Unlevered Beta (Beverage) = 0.92 / (1 + (1 - 0.30) * 0.30)
Unlevered Beta (Beverage) ≈ 0.769
For the Food industry:
Unlevered Beta (Food) = 1.17 / (1 + (1 - 0.30) * 0.45)
Unlevered Beta (Food) ≈ 0.941
b. To calculate the unlevered beta for B&F Company, using the weights of each business line, we can use the formula:
Unlevered Beta (B&F) = (Weight of Beverage * Unlevered Beta of Beverage) + (Weight of Food * Unlevered Beta of Food)
Given that the firm operates with a D/E ratio of 1, the weights can be calculated as follows:
Weight of Beverage = Value of Beverage / (Value of Beverage + Value of Food)
Weight of Beverage = $10 billion / ($10 billion + $15 billion) ≈ 0.4
Weight of Food = Value of Food / (Value of Beverage + Value of Food)
Weight of Food = $15 billion / ($10 billion + $15 billion) ≈ 0.6
Unlevered Beta (B&F) = (0.4 * 0.769) + (0.6 * 0.941)
Unlevered Beta (B&F) ≈ 0.864
c. To calculate the levered beta for B&F Company and determine its Cost of Equity using CAPM, we can use the formula:
Levered Beta (B&F) = Unlevered Beta (B&F) * (1 + (1 - Tax Rate) * (Debt/Equity Ratio))
Given the D/E ratio of 1, the levered beta can be calculated as:
Levered Beta (B&F) = 0.864 * (1 + (1 - 0.30) * 1)
Levered Beta (B&F) ≈ 1.104
Assuming the risk-free rate is 4% and the market risk premium is 6%, we can use the CAPM formula:
Cost of Equity = Risk-Free Rate + (Levered Beta * Market Risk Premium)
Cost of Equity = 4% + (1.104 * 6%)
Cost of Equity ≈ 10.624%
Therefore, the Levered Beta for B&F Company is approximately 1.104, and its Cost of Equity using CAPM is around 10.624%.
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Complete question " 9. Beverage and Food Company operates in two lines of business: Food with an estimated value of $10 billion and Beverage with an estimated value of $15 billion. Currently the firm has a D/E ratio of 1. Tax rate for the firm is 40%. Assume the current risk free rate is 6% and the market risk premium is 5.5%. (10 points)
Line of business Average levered Beta Average D/E ratio
Beverage Industry 0.92 25%
Food Industry 1.17 50%
a. Calculate the Unlevered Beta for each line of business. (4 points)
b. Calculate the Unlevered Beta for Beverage and Food Company, using the weights of each business line. (3 points)
c. Calculate the Levered Beta for the Beverage and Food Company and then determine its Cost of Capital using CAPM. (3 points)".
Amy Montalvo is 26. She has $4500 to put into her IRA. Assume that Amy will retire at age 67. What would be the value of the $4500 when Amy reaches 67 if the money in the iRA increases at 10% compound monthly? a. 177,737 b. 157,989 c. 266,957
The future value of $4,500 when Amy reaches 67 would be approximately $266,957. Therefore, the correct option is c) $266,957.
To calculate the future value of $4,500 when Amy reaches 67, we can use the compound interest formula. Given that the money in her IRA increases at a rate of 10% compounded monthly, we need to calculate the value over a period of 41 years (67 - 26 = 41).
The formula for future value with compound interest is:
FV = PV * (1 + r/n)^(nt)
Where:
PV = Present value (initial investment) = $4,500
r = Annual interest rate = 10% = 0.10
n = Number of times the interest is compounded per year = 12 (since it is compounded monthly)
t = Number of years = 41
Using the formula, the calculation would be:
FV = $4,500 *[tex](1 + 0.10/12)^{(12\times41)}[/tex]
After evaluating this calculation, the future value of $4,500 when Amy reaches 67 would be approximately $266,957. Therefore, the correct option is c) $266,957. Amy's initial investment would have grown significantly over the 41-year period due to the compounded monthly interest.
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