What results in your departments seem to be correlated or related to other activities? How could you verify this? Create a null and alternate hypothesis for one of these issues. What are the managerial implications of a correlation between these variables?
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At times we can generate a regression equation to ...
At times we can generate a regression equation to explain outcomes. For example, an employee’s salary can often be explained by their pay grade, appraisal rating, education level, etc. What variables might explain or predict an outcome in your department or life? If you generated a regression equation, how would you interpret it and the residuals from it?
Guided Response: Review several of your classmates’ postings. Respond to at least two classmates by commenting on how this information might be used to make business decisions.
What results in your departments seem to be correl...
What results in your departments seem to be correlated or related to other activities? How could you verify this? Create a null and alternate hypothesis for one of these issues. What are the managerial implications of a correlation between these variables?
Guided Response: Review several of your classmates’ postings. Respond to at least two classmates by explaining whether or not you think that there is a relationship between the variables discussed.
Have you known people that have used pirated softw...
Have you known people that have used pirated software? What is the justification for doing so? What are the ethical implications of using pirated software?
How would you find the healthcare educational reso...
How would you find the healthcare educational resources available to special needs populations in your state? Are the resources easy to locate? Discuss how you found this information.
Peaceful Corporation manufactures figurines based ...
Peaceful Corporation manufactures figurines based on the following information.
Standard costs  $20  

$8  

$4  


Fixed overhead budget  $19,000….  
Actual results and costs  


9,000  

$39,600  
Materials used in production  

2,000  

8,200  

2,000  

$20,000  

$5,980  

$19,500 
Required:
 Prepare a performance report for Peaceful using the following headings.
 Actual Production Costs
 Flexible Budget Costs
 Flexible Budget Variances
 Compute the following variances (show calculations).
 Materials usage variance
 Labor rate variance
 Labor efficiency variance
 Variable overhead spending variance
 Variable overhead efficiency variance
 Fixed overhead budget variance
 Give one possible explanation for each of the six variances computed in part b.
Problem 2:
The following is the current variable costing income statement for Dolly Corporation.
Sales (5,000 units)  $100,000  
Variable expenses Cost of goods sold  $35,000  
Selling (10% of sales)  $10,000  $45,000 
Contribution margin  $55,000  
Fixed expenses  

$24,000  

$12,500  $36,500 

$18,500 
Below is the following information on operations for Dolly Corporation.
Beginning inventory (units)  0 
Units produced (units)  6,000 
Manufacturing costs  
Direct labor (per unit)  $5.00 
Direct materials (per unit)  $2.30 
Variable overhead (per unit)  $2.40 
Required:
Prepare an absorption costing income statement.
Problem 3:
The following information was compiled for two models of cell phones.
3G model  4G model  Average  
Budgeted Contribution Margin  $80.00  $120.00  $95.25… 
Budgeted Sales in Units  28,000  18,000  
Actual Sales in Units  28,600  16,500 
Required:
Calculate the sales mix variance. (Show your calculations.)
Briarcrest Condiments is a spicemaking firm. Rece...
Briarcrest Condiments is a spicemaking firm. Recently, it developed a new process for producing spices. The process requires new machinery that would cost $1,665,309. have a life of five years, and would produce the cash flows shown in the following table.
Year  Cash Flow 
1  $407,639 
2  239,701 
3  964,029 
4  699,311 
5  840,846 
What is the NPV if the discount rate is 16.54 percent? (Enter negative amounts using negative sign e.g. 45.25. Round answer to 2 decimal places, e.g. 15.25.)
NPV is  $  
Problem 11.20 

Archer Daniels Midland Company is considering buying a new farm that it plans to operate for 10 years. The farm will require an initial investment of $12.10 million. This investment will consist of $2.30 million for land and $9.80 million for trucks and other equipment. The land, all trucks, and all other equipment is expected to be sold at the end of 10 years at a price of $5.20 million, $2.11 million above book value. The farm is expected to produce revenue of $2.00 million each year, and annual cash flow from operations equals $1.80 million. The marginal tax rate is 35 percent, and the appropriate discount rate is 10 percent. Calculate the NPV of this investment. (Round intermediate calculations and final answer to 2 decimal places, e.g. 15.25.)
NPV  $ 
The project should be  . 
Accepted or rejected?
Problem 11.24 
Bell Mountain Vineyards is considering updating its current manual accounting system with a highend electronic system. While the new accounting system would save the company money, the cost of the system continues to decline. The Bell Mountain’s opportunity cost of capital is 13.1 percent, and the costs and values of investments made at different times in the future are as follows:
Year  Cost  Value of Future Savings (at time of purchase) 

0  $5,000  $7,000  
1  4,200  7,000  
2  3,400  7,000  
3  2,600  7,000  
4  1,800  7,000  
5  1,000  7,000 
Calculate the NPV of each choice. (Round answers to the nearest whole dollar, e.g. 5,275.)
The NPV of each choice is:
NPV_{0} = $
NPV_{1} = $
NPV_{2} = $
NPV_{3} = $
NPV_{4} = $
NPV_{5} = $
Suggest when should Bell Mountain buy the new accounting system?
Bell Mountain should purchase the system in . 
Year 1, 2, 3, 4, or 5?
Problem 12.24 
Chip’s Home Brew Whiskey management forecasts that if the firm sells each bottle of SnakeBite for $20, then the demand for the product will be 15,000 bottles per year, whereas sales will be 87 percent as high if the price is raised 14 percent. Chip’s variable cost per bottle is $10, and the total fixed cash cost for the year is $100,000. Depreciation and amortization charges are $20,000, and the firm has a 30 percent marginal tax rate. Management anticipates an increased working capital need of $3,000 for the year. What will be the effect of the price increase on the firm’s FCF for the year? (Round answers to nearest whole dollar, e.g. 5,275.)
At $20 per bottle the Chip’s FCF is $ and at the new price Chip’s FCF is $. 
Problem 13.11
Capital Co. has a capital structure, based on current market values, that consists of 29 percent debt, 4 percent preferred stock, and 67 percent common stock. If the returns required by investors are 9 percent, 13 percent, and 19 percent for the debt, preferred stock, and common stock, respectively, what is Capital’s aftertax WACC? Assume that the firm’s marginal tax rate is 40 percent. (Round intermediate calculations to 4 decimal places, e.g. 1.2514 and final answer to 2 decimal places, e.g. 15.25%.)
After tax WACC  =  % 
How can insurance companies benefit in providing t...
How can insurance companies benefit in providing tools for risk management to space companies?
Write a TCPbased client and server program that m...
Write a TCPbased client and server program that manages sending multiple messages between the client and server. The client will send fifty sentences; each will be one of the following randomly selected sentences.
“The King is Dead!”
“Long Live the King!”
“Elvis is the King of Rock.”
The server will parse these sentences and display the first sentence in red, the second in black, and the third in blue.
Generous university benefactor has agreed to donat...
Generous university benefactor has agreed to donate a large amount of money for student scholarships. The money can be provided in one lumpsum of $10mln, or in parts, where $5.5mln can be provided in year 1, and another $5.5mln can be provided in year 2. Assuming the opportunity interest rate is 6%, what is the present value of the second alternative? Which of the two alternatives should be chosen and why? How would your decision change if the opportunity interest rate was 12%? Please, show all your calculations