BUS 630 Case Study #2 Spring II 2024

The lease cost for a specialized highway design software package is estimated to be $13,000 for each of years 1, 2, and 3 (future dollars). (a) Calculate the CV amount today (year 0) of each future cost estimate at the inflation rate of 6% per year. (b) Develop a spreadsheet and graph for inflation rates of 3%, 6%, and 8% per year that show the CV today.

Clinton Financial Consultants is a firm of chartered accountants and financial consultants. Amongst its many activities , it specializes in arranging finance for new entrepreneurs. It helps them in evaluation, preparing viable reports, documentation, legal documentation and finally obtaining a loan from banking or financial institutions. The task involves preparing a proposal, checking the background of the client firm for its creditworthiness, preparing pro forma balance sheets and profit and loss accounts for the term of the loan, carrying out a need analysis, preparing loan agreement documents and finally obtaining the loan for the client. To facilitate better management, the firm uses PERT. It is currently processing the proposed loan for Alfa enterprises. The team assigned for this project has identified the following activities: Activity Description Immediate Predecessor A Start preparing proposal as per template - B Check credit worthiness of firm - C Create a rough draft…

The general fund revenue receipts for the state of Kentucky for 2003  (period 1) to  (period 15 ) follows. Do not round intermediate calculations.       Budget Year Period ($billions) 2003 1   6.785   2004 2   6.973   2005 3   7.647   2006 4   8.373   2007 5   8.579   2008 6   8.666   2009 7   8.428   2010 8   8.223   2011 9   8.755   2012 10   9.097   2013 11   9.301   2014 12   9.554   2015 13   9.963   2016 14   10.334   2017 15   10.474   A. Develop a linear trend equation for this time series. Round your answers to 4 decimals.     Tt = ____+ _____t B. What is the forecast for 16 period ? Round your answer to two decimal places.  $_____billion

This is a stage in the capital budgeting process where a company must consider the expected costs and benefits (quantitative and qualitative) of alternative capital investments. There are four main steps in this stage for determining net cash flows for each potential project it has identified. Select the correct response: Identification Stage Information-Acquisition Stage Financing Stage Selection Stage Search Stage Implementation and Control Stage

Comprehensive Problem 1Part 2 and Part 3: The following is a comprehensive problem which encompasses all of the elements learned in previous chapters. You can refer to the objectives for each chapter covered as a review of the concepts. Note: You must complete part 1 before completing parts 2 and 3. Part 2:  Using the attached spreadsheet, post the journal entries from part 1 to a ledger of four-column accounts. Part 3:  Prepare an unadjusted trial balance. If an amount box does not require an entry, leave it blank.

Case Synopsis: Mahindra & Mahindra Ltd., a $23 billion company in 2021, has been the number one tractormanufacturer in India for the last 30 years. The agriculture tractor sale market in India is seasonal in nature andgrowing. To meet demand, the company has four manufacturing plants and 26 sales offices across the country; theirmain job is to coordinate supplies between its 800 dealers and the company. The sales offices provide a rollingdemand forecast of tractors for the current month plus two months in the future. The forecast is used to determine thenumber and models of tractors to manufacture and to support advance ordering of key modules and parts. The deputygeneral manager of sales in the company’s Farm Division has been receiving an increasing number of complaints fromirate dealers about the supply of tractors from the company’s stockyards. He needs your help to fix the situation. 1A. Discuss two additional demand management strategies or tools that MMFE could use to better…

Google R & D Spending. In 2009, Google spent about $2800 million on research and development and spent $8000 million in 2013. The relationship between Google's spending and time has been linear; in the problem that follows, assume that the relationship will remain linear until 2030. a) Find a linear function that models Google's spending as a function of time. b) Use your model to predict Google's R & D spending in 2020. c) Write, including units, and interpret the slope of your model.

Budgeting for a Merchandising Firm Goldberg Company is a retail sporting goods store thatuses an accrual accounting system. Facts regarding its operations follow:∙ Sales are budgeted at $250,000 for December and $225,000 for January, terms 1/eom, n/60.∙ Collections are expected to be 50% in the month of sale and 48% in the month following the sale.Two percent of sales are expected to be uncollectible and recorded in an allowance account at theend of the month of sale. Bad debts expense is included as part of operating expenses.∙ Gross margin is 30% of gross sales.∙ All accounts receivable are from credit sales. Bad debts are written off against the allowanceaccount at the end of the month following the month of sale.∙ Goldberg desires to have 80% of the merchandise for the following month’s sales on hand at the endof each month. Payment for merchandise is made in the month following the month of purchase.∙ Other monthly operating expenses to be paid in cash total $25,000.∙ Annual…

Budgeting for a Merchandising Firm Goldberg Company is a retail sporting goods store thatuses an accrual accounting system. Facts regarding its operations follow:∙ Sales are budgeted at $250,000 for December and $225,000 for January, terms 1/eom, n/60.∙ Collections are expected to be 50% in the month of sale and 48% in the month following the sale.Two percent of sales are expected to be uncollectible and recorded in an allowance account at theend of the month of sale. Bad debts expense is included as part of operating expenses.∙ Gross margin is 30% of gross sales.∙ All accounts receivable are from credit sales. Bad debts are written off against the allowanceaccount at the end of the month following the month of sale.∙ Goldberg desires to have 80% of the merchandise for the following month’s sales on hand at the endof each month. Payment for merchandise is made in the month following the month of purchase.∙ Other monthly operating expenses to be paid in cash total $25,000.∙ Annual…

Amalia was seeking a position as a fashion designer. She’d just graduated college and hadn’t yet held a job in her field so she had no actual work samples to show an employer. However, as a requirement of her degree program, she’d completed an internship with a clothing manufacturer. She’d also volunteered at a few small fashion shows in her area. Amalia would like to create a portfolio or personal website. What items might she include? Amalia could also start a blog. Provide at least three ideas or topics for posts she might write. How do you think a portfolio, personal website and blog will improve Amalia’s chances of getting hired?

West Company’s contribution format income statement for March 2020 is givenbelow:Sales (15,000 units X $30 per unit) $450,000Variable expenses 315,000Contribution margin 135,000Fixed expenses 90,000Net operating income $ 45,000The industry in which West Company operates is quite sensitive to regularmovements in the economy. Thus, profits vary considerably from year to yearaccording to general economic conditions. The company has a large amount ofunused capacity and is studying ways of improving profits.Required:The company CEO has asked you as a Senior Manager to evaluate the belowsituations with recommendations:1- New equipment has come onto the market that would allow WestCompany to automate a portion of its operations. Variable expenseswould be reduced by $9 per unit. However, fixed expenses wouldincrease to a total of $225,000 each month. How Net Income wouldappear if the new equipment were purchased. As a Senior Manager,what factor/s would be paramount in your mind deciding…

Budgeting for a Merchandising Firm Goldberg Company is a retail sporting goods store thatuses an accrual accounting system. Facts regarding its operations follow:∙ Sales are budgeted at $250,000 for December and $225,000 for January, terms 1/eom, n/60.∙ Collections are expected to be 50% in the month of sale and 48% in the month following the sale.Two percent of sales are expected to be uncollectible and recorded in an allowance account at theend of the month of sale. Bad debts expense is included as part of operating expenses.∙ Gross margin is 30% of gross sales.∙ All accounts receivable are from credit sales. Bad debts are written off against the allowanceaccount at the end of the month following the month of sale.∙ Goldberg desires to have 80% of the merchandise for the following month’s sales on hand at the endof each month. Payment for merchandise is made in the month following the month of purchase.∙ Other monthly operating expenses to be paid in cash total $25,000.∙ Annual…

Louis Clark, the new administrator for the surgical clinic, was trying to figure out how to allocate his indirect expenses. His staff was complaining that the current method of taking a percentage of revenues was unfair. He decided to try to allocate utilities expense based on square footage for each department, to allocate administration expense based on direct costs, and to allocate laboratory expense based on direct costs, and to allocate laboratory expense based on tests. What would the results be?

A budgetary planning and controlsystem may include many individual budgets which are integrated into a ‘master budget’.You are required to outline and briefly explain with reasons the steps that should normally be taken in the preparation of master budgets in a manufacturing company, indicating the main budgets which you think should normally be prepared.

A business student has $3,500 available from a summer job and has identified three potential stocks in which to invest. The cost per share and expected return over the next two years are given in the table. Complete parts a and b. A $12 $8 Stock Price/share Return/share B $16 $5 A. Amount invested in stock A B. Amount invested in stock B C. Return for each stock D. Amount invested in stock C E. Price of each stock C $25 $11 a. Identify the decision variables, objective function, and constraints in simple verbal expressions. Identify the decision variables. Select all that apply.

complete the flexible budget report (use formulas and cell referencing whenever possible in spreadsheet)

The management accountant at Miller Merchandising & More, Odail Russell is in the process of preparing the cash budget for the business for the fourth quarter of 2021. It is customary for the business to borrow money during this quarter. Extracts from the sales and purchases budgets are as follows:     Month Cash Sales Sales On Account   Purchases August $85,000 $640,000 $420,000 September $70,000 $550,000 $550,000 October $88,550 $600,000 $500,000 November $77,160 $800,000 $600,000 December $174,870 $500,000 $450,000 An analysis of the records shows that trade receivables are settled according to the following credit pattern, in accordance with the credit terms 4/30, n90: 50% in the month of sale 30% in the first month following the sale 20% in the second month following the sale Expected purchases include monthly cash purchases of 5%. All other purchases are on account. Accounts payable are settled as follows, in…

Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The company's planning budget for May appears below: Puget Sound Divers Planning Budget For the Month Ended May 31 Budgeted diving-hours (9) 400 Revenue ($450.009) Expenses: Wages and salaries ($11,200 + $124.009) Supplies ($5.009) Equipment rental ($2,100 + $25.009) Insurance ($4,100) Miscellaneous ($550 + $1.449) Total expense Net operating income $ 180,000 60,800 2,000 12,100 4,100 1,126 80,126 $ 99,874 During May, the company's actual activity was 390 diving-hours. Required: Prepare a flexible budget for May. (Round your answers to the nearest whole dollar.) Puget Sound Divers Flexible Budget For the Month Ended May 31 Revenue Expenses: Wages and salaries Supplies Equipment rental Insurance Miscellaneous Total expense Net operating income

Portfolio management is the art and science of selecting and overseeing a group of investments that meet the long-term financial objectives and risk tolerance of a client and a company. Zeta Technology Limited produces RFID inventory tracking device. Company trade less frequently in the market, has weak risk tolerance. Which portfolio management approach is suitable for the company, Justify the selection approach? Briefly discuss the steps in the portfolio management process.

The following information was gathered by the Budget Committee Chairman of ABC Corporation: ABC Co. produces and sells only one product. The selling price during the budget period is expected to be the prevailing price of ₱7.50 per unit. The company expects to sell 112,500 units of the product during the period. The desired finished goods inventory at the end of the period is 75,000 units while the expected beginning inventory is 62,500 units. Direct labor is ₱4.50 per hour. Each product requires 30 minutes to complete. Factory overhead is applied to production on the basis of direct labor hours. Variable factory overhead cost at the planned level of operations is budgeted at ₱49,800. Fixed budgeted overhead is ₱149,400. Each unit of product requires 1.5 kgs. of raw materials. Only one kind of raw material is used and it is expected to cost ₱0.30 per kilo. The desired ending inventory of raw materials is 12,000 kgs. the expected beginning inventory is 9,500 kilograms. Variable selling…

du/courses/423127/quizzes/3325 take/questions/60963079 Table on the right shows the net cashflow (NCF) and cumulative cashflow for two projects X and Y. Answer the following questions. 1- Based on Descarte's rule of signs, what is the max. number of real ROR (i*) for project X? (put numerical number) 2- Looking at cumulative CF of project X, can we tell that it has only one positive i* value? (put "yes" Project X Project Y Year NCF Cumulative CE NCF Cumulative CF or "no") 180 -100 20,000 20,000 1 50 -130 16,000 36,000 3- Based on Descarte's rule of signs, what is the 36,000 2 50 80 50 30 25,000 25,000 max. number of real ROR (i*) for project Y? (put 4 50 20 30,000 5,000 numerical number) 4- Looking at cumulative CF of project Y, can we tell that it has only one positive i* value? (put "yes" or "no")

CASE BACKGROUNDMGMT Bakehouse Inc (MBI), supplies bread, cakes and other specialty products, to a large percentage of the country; to the following customer types. Retailers e.g. supermarkets, who sell baked goods to the public, and MGMT Bakehouse Inc delivers to the retailers. Wholesalers also sell to the public, but come to MGMT Bakehouse Inc directly to collect their baked goods. Finally institutions like hotels and hospitals, to whom MGMT Bakehouse Inc delivers directly, buy baked goods to incorporate intooffering for their clients e.g. guests menus and patient meal plans. From the ordering of flour and other ingredients to the processing of cash, receivables and payables, the company uses an integrated ERP with a common database for all of its business processes. Internally MGMT Bakehouse Inc is organized into the following departments: Production which bakes the bread; Distribution that delivers the bread; Sales Department where customer orders and wholesale pickups are managed;…

CASE BACKGROUNDMGMT Bakehouse Inc (MBI), supplies bread, cakes and other specialty products, to a large percentage of the country; to the following customer types. Retailers e.g. supermarkets, who sell baked goods to the public, and MGMT Bakehouse Inc delivers to the retailers. Wholesalers also sell to the public, but come to MGMT Bakehouse Inc directly to collect their baked goods. Finally institutions like hotels and hospitals, to whom MGMT Bakehouse Inc delivers directly, buy baked goods to incorporate intooffering for their clients e.g. guests menus and patient meal plans. From the ordering of flour and other ingredients to the processing of cash, receivables and payables, the company uses an integrated ERP with a common database for all of its business processes. Internally MGMT Bakehouse Inc is organized into the following departments: Production which bakes the bread; Distribution that delivers the bread; Sales Department where customer orders and wholesale pickups are managed;…

CASE BACKGROUNDMGMT Bakehouse Inc (MBI), supplies bread, cakes and other specialty products, to a large percentage of the country; to the following customer types. Retailers e.g. supermarkets, who sell baked goods to the public, and MGMT Bakehouse Inc delivers to the retailers. Wholesalers also sell to the public, but come to MGMT Bakehouse Inc directly to collect their baked goods. Finally institutions like hotels and hospitals, to whom MGMT Bakehouse Inc delivers directly, buy baked goods to incorporate intooffering for their clients e.g. guests menus and patient meal plans. From the ordering of flour and other ingredients to the processing of cash, receivables and payables, the company uses an integrated ERP with a common database for all of its business processes. Internally MGMT Bakehouse Inc is organized into the following departments: Production which bakes the bread; Distribution that delivers the bread; Sales Department where customer orders and wholesale pickups are managed;…

CASE BACKGROUNDMGMT Bakehouse Inc (MBI), supplies bread, cakes and other specialty products, to a large percentage of the country; to the following customer types. Retailers e.g. supermarkets, who sell baked goods to the public, and MGMT Bakehouse Inc delivers to the retailers. Wholesalers also sell to the public, but come to MGMT Bakehouse Inc directly to collect their baked goods. Finally institutions like hotels and hospitals, to whom MGMT Bakehouse Inc delivers directly, buy baked goods to incorporate into offering for their clients e.g. guests menus and patient meal plans.From the ordering of flour and other ingredients to the processing of cash, receivables and payables, the company uses an integrated ERP with a common database for all of its business processes. Internally MGMT Bakehouse Inc is organized into the following departments: Production which bakes the bread; Distribution that delivers the bread; Sales Department where customer orders and wholesale pickups are managed;…

Comprehensive Analysis of a Fortune 500 Company For this Individual Project you will Comprehensive Analysis of a Fortune 500 Company For this Individual Project you will analyze publicly available information about a Fortune 500 Company and develop an assessment of the corporate strategy and its ability to increase competitive advantage. This assignment requires you to obtain and analyze information at the company, industry and market levels using various databases and reports found in the AIU library, in addition to at least eight (8) professional or academic peer-reviewed articles.Please follow instructioons.  I need 12 pages and no plagiarism.  I am willing to pay 40 dololars. Click here for a tutorial on finding company information in the library. Click here for a tutorial on finding industry information in the library. Your analysis should include an in-depth review of the Company’s most recent SEC Form-10k Annual Report and Form DEF-14A Proxy Statement.…

What are some key differences between BCG and IE portfolio matrices? Please consider an industry in which you have worked, are working in, or would like to work in when addressing the questions.

Mr A. Makebe owns a sugarcane farm in the Mpumalanga sugar belt. As his financial advisor, it is your job to monitor changes in the financial structure of his operations over time. He presents you with his Balance Sheets for the 201X and 201Y seasons. In addition, he informs you that Net Farm Income for 201X was R256 000 while interest charges on loans totaled R150 000. Corresponding figures for 201Y were R1 060 000 and R238 000, respectively. Use ratio analysis to compute the following financial ratios from the data that he has provided: A. Solvency measures: i. Net capital ratio ii. Leverage ('gearing") ratio. iii. Own capital ratio B. Liquidity measures: i. Current ratio ii. Acid test ratio (assume livestock and supplies cannot be converted to cash immediately) iii. Intermediate (medium-term) ratio

The following data pertain to Aurora Electronics for the month of February.   Static Budget Actual Units Sold 10,000 9,000 Sales revenue $120,000 $103,500 Variable manufacturing cost $40,000 $36,000 Fixed manufacturing cost $20,000 $20,000 Variable Selling and administrative cost $10,000 $9,000 Fixed selling and administrative cost $10,000 $10,000 Compute the sales-price and sales-volume variances for February.