A local trucking company fitted a regression to relate the travel time (days) of its shipments as a function of the distance traveled (miles). The fitted regression is Time = −7.126 + 0.0214 Distance, based on a sample of 20 shipments. The estimated standard error of the slope is 0.0053. Find the value of t_calc to test for zero slope.

Select one:

A. 3.15

B. 4.04

C. 5.02

D. 2.46

Analyze and describe what you would expect the target market to be for a single seat hybrid automobile that gets 120 miles per gallon according to the demographic, psychographic, and behavioral segments. Consider such factors as gender, age, marital status, occupation, household size, household income, interests, and beliefs about global warming, gasoline prices, and the like. How might you determine this?

cost per available seat mile

Break-even load factor =

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2. Given total operating cost of $1.6 million and 8.5 million available seat miles, calculate the cost per available seat mile (CASM).

3. What is the break-even load factor if CASM is $0.21 and the fare is $0.35 per mile? For this calculation, the yield is the same as the fare.

Each response should be about one paragraph long, describing the justification for your decision.

Costco Wholesale sells a yearly Executive Membership on April 1st, and receives $120 in cash from the customer. The contract states that the membership is not refundable, unless the member relocates to an area in which there is not a Costco within 20 miles. Are the revenue recognition criteria met or not met? Why or why not?

Suppose you are thinking of buying a new car. One of the choices you are considering is a hybrid car. This hybrid model car is $9,000 more expensive than a traditional model; however, the hybrid model will get 40 miles per gallon of gas as compared to 30 miles per gallon for the traditional model. You expect the cost of gas to hover around $3.60 in the foreseeable future.

Given the information above and your knowledge of CVP, answer the following three questions:

1. How would you use CVP concepts to determine which car is a better deal, making a strictly numeric decision (make sure to use CVP terminology and analysis, showing your understanding of these, in your response)?

2. Having conducted the analysis above, following strictly numerical parameters, which car would you buy and why?

3. Can you think of any non-numerical considerations that you or another prospective buyer of the hybrid model may/should consider? List as many of these as come to mind and give an opinion as to their validity/weight in the purchasing decision. Would they change your purchase decision?

Suppose you are thinking of buying a new car. One of the choices you are considering is a hybrid car. This hybrid model car is $9,000 more expensive than a traditional model; however, the hybrid model will get 40 miles per gallon of gas as compared to 30 miles per gallon for the traditional model. You expect the cost of gas to hover around $3.60 in the foreseeable future.

Given the information above and your knowledge of CVP, answer the following three questions:

1. How would you use CVP concepts to determine which car is a better deal, making a strictly numeric decision (make sure to use CVP terminology and analysis, showing your understanding of these, in your response)?

2. Having conducted the analysis above, following strictly numerical parameters, which car would you buy and why?

3. Can you think of any non-numerical considerations that you or another prospective buyer of the hybrid model may/should consider? List as many of these as come to mind and give an opinion as to their validity/weight in the purchasing decision. Would they change your purchase decision?

1.    You have an annual salary of $62,000 from which they deduct 3% for medical insurance and 18% for taxes. Your rent is $1200 a month. Your water bill comes every 3 months for $123, and your light bill is $138 a month. You have a child that goes to a 30-minute piano class twice a week for $18 per session and you receive child support for that child every month in the amount of $125. Every week you put 130 miles on your car that gives you 20 miles per gallon and gas cost $2.27 per gallon. You pay a premium of $1,019 every six months for car insurance. You spend $120 a week on food. You also have a student loan that you are paying $150 on every month. and you spend $100 every 2 weeks just to treat yourself.

make a monthly budget and find your monthly cash flow. You must show work (Assume, that there are 52 weeks in a year)

Human Resources department at a manufacturing company is concerned about unauthorized absences of its employees. As a part of their research, they decided to investigate the relationship between the number of unauthorized days that employees are absent per year and the distance (miles) between home and work for the employees. A sample of 10 employees was chosen, and the following data were collected. Perform an appropriate analysis on the data at a 0.01 level of significance. Answer the following questions in the boxes below. Problem 1a) State clearly what the independent and dependent variables are in the problem. Problem 1b) Develop a scatter diagram. Based on the scatter diagram developed, do you expect a relationship between the variables? Indicate the expected relationship type if any. Problem 1c) Write down the estimated regression equation (use variable names along with coefficients and not just x and y).

Information for questions 1-4: On January 1, Town Spa Pizza purchased a delivery truck for $36,000. The truck has an estimated useful life of 10 years or 140,000 miles and an estimated residual value of $8,000. Town Spa’s fiscal year is the calendar year. Calculate the amounts requested below.

1.         Depreciation Expense for the year, using the production method. Assume 22,000 miles were driven this year.

a. $4,400           c. $2,800

            b. $5,657              d. $3,600

2.         The total accumulated depreciation after the truck has been used for 5 years, using the straight-line method.

a. $22,000         c. $2,800

            b. $13,000         d. $14,000

3.         Depreciation Expense for year 3 of use, using the double-declining balance method.

a. $4,032            c. $3,584

            b. $5,184           d. $4,608

4.         Assume the truck was purchased on September 20. The depreciation expense for calendar year 2 of use, using the double-declining balance method, would be:

a. $4,750            c.$3,656

            b. $6,840           d. $5,320

Required: Calculate following amounts. Show all work.

1. Total Current Assets (in order of liquidity)

2. Total property, plant, and equipment

3. Total Assets

4. Total Current liabilities

5. Total Liabilities

6. Total Stockholders equity

• Prove that A=L+SE with answers calculated above

#4

A corporation purchased a truck for $86,000. The company expected the truck to last for 5 years or 100,000 miles, with an estimated value of $5,000 at the end of that time. During the second year, the truck was driven 18,000 miles. Compute depreciation for the second year under each of the methods below.

Show all work

1. Straight-line

2. Double-declining balance

3. Unity of Activity