Questions
The marketing department for a computer company must determine the selling price for a new model...

The marketing department for a computer company must determine the selling price for a new model of personal computer. In order to make a reasonable profit, the company would like the computer to sell for $3200. If more than 30% of the potential customers would be willing to pay this price, the company will adopt it. A survey of potential customers is to be carried out; it will include a question asking the maximum amount that the respondent would be willing to pay for a computer with the features of the new model. Let p denote the proportion of all potential customers who would be willing to pay $3200 or more. Then the hypotheses to be tested are Ho: p = .3 versus Ha : p > .3. In the context of this example, describe type I and type II errors. Discuss the possible consequences of each type of error.

In: Statistics and Probability

1. Consider the following data for the “home” country of Afar (whose currency is the Afarian...

1. Consider the following data for the “home” country of Afar (whose currency is the Afarian pound, £); the “foreign” currency is the U.S. dollar ($):

2000    2006

E £20/$                 £22/$

Phome 100                    140

Pforeign         100                     110

  1. Calculate the real exchange rate for 2000 and 2006.
  2. Did the Afarian pound appreciate or depreciate in nominal terms? in real terms? Explain your answer intuitively.
  3. What do you think has happened to Afar’s trade balance (E- Z) between 2000 and 2006?
  4. Does (relative) purchasing power parity hold for Afar between 2000 and 2006? Why or why not?
  5. What would the nominal exchange rate e have to be in 2006, in order for purchasing power parity to hold (i.e., to keep the real exchange rate constant at its 2000 level)?

In: Economics

How much heat is required to convert 74 grams of ice at -4 C into 74...

How much heat is required to convert 74 grams of ice at -4 C into 74 grams of water at 52 c

In: Chemistry

Do a traditional oneway analysis of variance to see if the pulse before running depends on...

Do a traditional oneway analysis of variance to see if the pulse before running depends on activity level. State conclusion in a jargon-free sentence, check assumptions and conditions. Report any problems and discuss how they impact interpretation of the result.

PuBefore PuAfter Ran? Smokes? Sex Height Weight ActivityL
48 54 no yes male 68 150 1
54 56 no yes male 69 145 2
54 50 no no male 69 160 2
58 70 yes no male 72 145 2
58 58 no no male 66 135 3
58 56 no no female 67 125 2
60 76 yes no male 71 170 3
60 62 no no male 71 155 2
60 70 no yes male 71.5 164 2
60 66 no no female 62 120 2
61 70 no no female 65.5 120 2
62 76 yes yes male 73.5 160 3
62 75 yes no male 72 195 2
62 58 yes no male 72 175 3
62 100 yes no female 66 120 2
62 98 yes yes female 62.75 112 2
62 62 no no male 74 190 1
62 66 no no male 70 155 2
62 68 no yes male 73 155 2
62 66 no no female 65 122 3
64 88 yes no male 66 140 2
64 80 yes no male 69 155 2
64 62 no no male 75 160 3
64 60 no no female 66 130 3
66 78 yes yes male 73 190 1
66 82 yes yes male 69 175 2
66 102 yes no male 70 130 2
66 72 no no female 66 125 2
66 76 no no female 65 115 2
68 72 yes no male 74 190 2
68 76 yes no male 67 145 2
68 76 yes yes male 74 180 2
68 112 yes no female 70 125 2
68 66 no yes male 67 150 2
68 68 no no male 71 150 3
68 64 no no male 69.5 150 3
68 68 no no male 72 142 3
68 66 no no male 68 155 2
68 68 no no female 69 150 2
68 68 no no female 62 110 2
70 72 yes yes male 73 170 3
70 106 yes no male 71 170 2
70 94 yes yes male 75 185 2
70 62 no yes male 66 130 2
70 70 no no male 70 150 2
70 66 no yes male 75 190 2
72 80 yes no male 66 135 3
72 74 no yes male 69 170 2
72 74 no yes male 68 155 3
72 70 no no male 71 140 2
72 70 no no female 63 118 2
72 68 no no female 68 110 2
74 84 yes no male 73 165 1
74 76 yes no male 70 157 2
74 70 no no male 73 155 3
74 74 no no male 73 155 2
74 76 no no male 67 123 2
76 118 yes no male 71 138 2
76 76 no no male 72 215 2
76 76 no no male 74 148 3
76 76 no yes female 62 108 3
76 76 no no female 61.75 108 2
78 104 yes yes female 68 130 2
78 118 yes no female 69 145 2
78 76 no no male 72 180 3
78 78 no no female 67 115 2
78 80 no no female 68 133 1
80 96 yes no male 72 155 2
80 128 yes no female 68 125 2
80 74 no no female 64 102 2
82 100 yes no female 68 138 2
82 84 no yes male 73 180 2
82 80 no no female 63 116 1
84 84 yes no male 72 150 3
84 84 no no male 69 136 2
84 84 no no female 66 130 2
84 80 no no female 65 118 1
86 84 no no female 67 150 3
87 84 no no female 63 95 3
88 110 yes yes female 69 150 2
88 84 no no male 73.5 155 2
88 74 no yes female 65 135 2
90 94 yes yes male 74 160 1
90 88 no yes male 67 140 2
90 90 no no male 68 145 1
90 92 no yes female 64 125 1
92 84 yes yes male 70 153 3
92 94 no yes male 69 150 2
94 92 no yes female 62 131 2
96 140 yes no female 61 140 2
96 116 yes no female 68 116 2
100 115 yes yes female 63 121 2

In: Statistics and Probability

Traditional ANOVA is usually used when our categorical predictor variable has more than two categories. It...

Traditional ANOVA is usually used when our categorical predictor variable has more than two categories. It works for two categories, it's just that there is a simpler technique for that -- two-sample t. To show ANOVA works for two categories, see if pulse rate before depends on Sex.

PuBefore PuAfter Ran? Smokes? Sex Height Weight ActivityL
48 54 no yes male 68 150 1
54 56 no yes male 69 145 2
54 50 no no male 69 160 2
58 70 yes no male 72 145 2
58 58 no no male 66 135 3
58 56 no no female 67 125 2
60 76 yes no male 71 170 3
60 62 no no male 71 155 2
60 70 no yes male 71.5 164 2
60 66 no no female 62 120 2
61 70 no no female 65.5 120 2
62 76 yes yes male 73.5 160 3
62 75 yes no male 72 195 2
62 58 yes no male 72 175 3
62 100 yes no female 66 120 2
62 98 yes yes female 62.75 112 2
62 62 no no male 74 190 1
62 66 no no male 70 155 2
62 68 no yes male 73 155 2
62 66 no no female 65 122 3
64 88 yes no male 66 140 2
64 80 yes no male 69 155 2
64 62 no no male 75 160 3
64 60 no no female 66 130 3
66 78 yes yes male 73 190 1
66 82 yes yes male 69 175 2
66 102 yes no male 70 130 2
66 72 no no female 66 125 2
66 76 no no female 65 115 2
68 72 yes no male 74 190 2
68 76 yes no male 67 145 2
68 76 yes yes male 74 180 2
68 112 yes no female 70 125 2
68 66 no yes male 67 150 2
68 68 no no male 71 150 3
68 64 no no male 69.5 150 3
68 68 no no male 72 142 3
68 66 no no male 68 155 2
68 68 no no female 69 150 2
68 68 no no female 62 110 2
70 72 yes yes male 73 170 3
70 106 yes no male 71 170 2
70 94 yes yes male 75 185 2
70 62 no yes male 66 130 2
70 70 no no male 70 150 2
70 66 no yes male 75 190 2
72 80 yes no male 66 135 3
72 74 no yes male 69 170 2
72 74 no yes male 68 155 3
72 70 no no male 71 140 2
72 70 no no female 63 118 2
72 68 no no female 68 110 2
74 84 yes no male 73 165 1
74 76 yes no male 70 157 2
74 70 no no male 73 155 3
74 74 no no male 73 155 2
74 76 no no male 67 123 2
76 118 yes no male 71 138 2
76 76 no no male 72 215 2
76 76 no no male 74 148 3
76 76 no yes female 62 108 3
76 76 no no female 61.75 108 2
78 104 yes yes female 68 130 2
78 118 yes no female 69 145 2
78 76 no no male 72 180 3
78 78 no no female 67 115 2
78 80 no no female 68 133 1
80 96 yes no male 72 155 2
80 128 yes no female 68 125 2
80 74 no no female 64 102 2
82 100 yes no female 68 138 2
82 84 no yes male 73 180 2
82 80 no no female 63 116 1
84 84 yes no male 72 150 3
84 84 no no male 69 136 2
84 84 no no female 66 130 2
84 80 no no female 65 118 1
86 84 no no female 67 150 3
87 84 no no female 63 95 3
88 110 yes yes female 69 150 2
88 84 no no male 73.5 155 2
88 74 no yes female 65 135 2
90 94 yes yes male 74 160 1
90 88 no yes male 67 140 2
90 90 no no male 68 145 1
90 92 no yes female 64 125 1
92 84 yes yes male 70 153 3
92 94 no yes male 69 150 2
94 92 no yes female 62 131 2
96 140 yes no female 61 140 2
96 116 yes no female 68 116 2
100 115 yes yes female 63 121 2

In: Statistics and Probability

Assume you currently work at a CPA firm. During the assessment of internal controls, your firm...

Assume you currently work at a CPA firm. During the assessment of internal controls, your firm concluded that your publicly traded client did not have accounting staff who met the firm’s criteria for having adequate accounting expertise to ensure the company’s financials were prepared in compliance with appropriate accounting principles. This was identified as a material weakness and an adverse opinion was issued. In a PowerPoint presentation, prepare information to further train the audit team on how to handle issues, which includes: the communication that is required with the client. the actions that the client must take to mitigate the weakness. the course of action your firm should take as it relates to the financial audit. After the report had been issued, assume that the client hired a CPA with extensive reporting experience to manage the accounting department. What part does this hiring decision play, if any, in your firm’s decision? Your presentation should meet the following criteria: Be 6-8 slides in length, not including the title and reference slides.

In: Accounting

Problem 11-5 (Algorithmic) Special Deductions and Limitations (LO 11.3) Fisafolia Corporation has gross income from operations...

Problem 11-5 (Algorithmic)
Special Deductions and Limitations (LO 11.3)

Fisafolia Corporation has gross income from operations of $426,600 and operating expenses of $362,610 for 2018. The corporation also has $42,660 in dividends from publicly traded domestic corporations in which the ownership percentage was 45%.

Below is the Dividends Received Deduction table to use for this problem.


Percent Ownership		 2018 Dividends
Received Percentage
Less than 20 percent 50%
20 percent or more, but less
  than 80 percent
65%
80 percent or more 100%

If require, round final answers to the nearest dollar.

a. Calculate the corporation's dividends received deduction for 2018.
$

b. Assume that instead of $426,600, Fisafolia Corporation has gross income from operations of $319,950.

Calculate the corporation's dividends received deduction for 2018.
$

c. Assume that instead of $426,600, Fisafolia Corporation has gross income from operations of $350,000. Calculate the corporation’s dividends received deduction for 2018.
$

In: Accounting

Assume you currently work at a CPA firm. During the assessment of internal controls, your firm...

Assume you currently work at a CPA firm. During the assessment of internal controls, your firm concluded that your publicly traded client did not have accounting staff who met the firm’s criteria for having adequate accounting expertise to ensure the company’s financials were prepared in compliance with appropriate accounting principles. This was identified as a material weakness and an adverse opinion was issued.

In a PowerPoint presentation, prepare information to further train the audit team on how to handle issues, which includes:

the communication that is required with the client.

the actions that the client must take to mitigate the weakness.

the course of action your firm should take as it relates to the financial audit.

After the report had been issued, assume that the client hired a CPA with extensive reporting experience to manage the accounting department. What part does this hiring decision play, if any, in your firm’s decision?

Your presentation should meet the following criteria: Be 6-8 slides in length, not including the title and reference slides.

In: Accounting

At January 1, 2021, Tanner Company reported accounts receivable of $262,750 and had an allowance for...

At January 1, 2021, Tanner Company reported accounts receivable of $262,750 and had an allowance for doubtful accounts with a $13,690 credit balance. During 2021, Tanner Company had sales revenue of $531,250, recoveries of $6,190, cash collections from credit customers of $493,580 (the $493,580 does not include the recovery), and bad debt expense of $20,870. During 2021, Tanner Company wrote-off accounts receivable as being uncollectible (note - the amount of the write-offs has been intentionally omitted from this problem).

At December 31, 2021, Tanner Company prepared the following aging schedule:

Accounts Receivable % Uncollectible

not past due $146,100 3%

1-45 days past due 56,400 9%

46-90 days past due 38,600 11%

91-135 days past due 21,850 ?

over 135 days past due 23,930 40%

Calculate the percentage estimated to be uncollectible for the accounts receivable that are 91-135 days past due.

In: Accounting

Packers Inc. (the “Company”) manufactures needles used to inflate and deflate sporting equipment (e.g., footballs, basketballs,...

Packers Inc. (the “Company”) manufactures needles used to inflate and deflate sporting equipment (e.g., footballs, basketballs, soccer balls). The Company produces high-quality stainless steel needles at a price of $5 per needle.

To incentivize customers to purchase its needles, the Company created a customer loyalty program (the “Program”) that rewards customers with one loyalty point per dollar spent. For every 20 points earned, the customer can redeem those points for a $1 credit toward future needle purchases.

As customers’ points accumulate, the Company expects the points will influence customer behavior because it is expected that customers will be able to earn free goods. Customers can join the Program for no fee by providing their e-mail address. Loyalty points are not earned when purchases are paid for via redemption of loyalty points.

Historically, 95 percent of the points earned under the Program are redeemed.

Assume, for purposes of this case, the loyalty points are expected to accumulate to an amount that could provide a customer a discount on future purchases that is significant relative to discounts provided to customers that did not participate in the loyalty program.

Case Facts:

• The Company only manufactures one style of needle and recognizes revenue upon shipment.

• There are no costs to acquire a customer or commissions associated with a sale.

• For purposes of this case, collection of all invoiced amounts is deemed probable.

Details

On January 1, 2019, the Company enters into a contract with Rodgers Inc. (Rodgers) to provide 10,000 needles for a total of $50,000. By joining the loyalty program, Rodgers will earn 50,000 loyalty points worth $2,500 ($50,000 ÷ 20).

The Company ships all 10,000 needles to Rodgers on January 15, 2019.

Required:

1. Do the loyalty points represent a performance obligation?

2. Assuming the loyalty program is structured such that it gives rise to a material right, what would be an appropriate stand-alone selling price of the loyalty points?

3. What journal entries should the Company record when all 10,000 needles are shipped to Rodgers?

August 1, 2019, Transaction

On August 1, 2019, Rodgers redeems 10,000 loyalty points and receives 100 needles. As of August 1, 2019, the Company still believes 95 percent (37,500 additional) of the loyalty points will be redeemed.

Required:

4. What entries should the Company record for 100 needles shipped on August 1, 2019?

December 1, 2019, Transaction

On December 1, 2019, Rodgers redeems 20,000 loyalty points and ordered 200 needles. Upon receiving the order for 200 needles on December 1, 2019, the Company updates its estimate of redemption to 98 percent (for a total of 49,000 points, or an additional 19,000 points expected be redeemed).

Required:

5. What entries should the Company record for 200 needles shipped on December 1, 2019?

In: Accounting