University magazine agency wants to determine the best combination of two possible magazines to print for the month of May. Star which the University has published in the past with great success is the first choice under consideration. Prime is a new venture and is a promising magazine. The university envisages that by positioning it near Star, it will pick up some spillover demand from the regular readers. The University also hopes that the advertising campaign will bring in a new type of reader from a potentially very lucrative market. The publishing department wants to print at most 500 copies of Star and 300 copies of Prime. The cover price for Star is $3.50, the university is pricing Prime for $4.50 because other magazines doing the same line of business command this type of higher price. The University publishing department has 25 hours of printing time available for the production run. It has 27.5 hours for the collation department, where the magazines are actually assembled. Each copy of Star magazine requires 2.5 minutes to print and 3 minutes to collate. Each Prime requires 1.8 minutes to print and 5 minutes to collate. How many of each magazine should the University print to maximize revenue? Show all the corner solutions and the value of the objective function.

Shows work please!

Hint: You are required to maximize revenue assuming that Star = X and Prime = Y. create a table, specify the LP, draw graph to show feasible region and solve for the corner points. Find the profit for each of the solutions. Also convert hours to minutes in the constraints. The problem has 4 constraints excluding the non-negative constraints.

a. Formulate a linear programming model for this problem. (15 points)

b. Represent this problem on a graph using the attached graph paper. Show the feasible region. (10 points)

c. Solve this model by using graphical analysis showing the optimal solution and the rest of the corner points as well as the profits. (25 points)

Exercise 5.3 For each of the following opinion polls, (1) determine whether the poll results offer strong support for the pollster’s conclusion, and, if they don’t, (2) specify the source of the problem (sample too small, unrepresentative sample, or nonrandom sampling). Assume that the conducting of each survey is free of technical errors such as mistakes in data processing or improper polling interviews.

1. An Internet site featuring national and world news asks visitors to participate in the site’s “instant daily poll” of hot topics. The current polling question is: “Should the words ‘under God’ be stricken from the Pledge of Allegiance if its recitation is required of public school children?” Twelve thousand people visit the site on the day that the poll is taken. Of those, seven thousand answer no to the question. The site concludes that 58 percent of Americans oppose modifying the Pledge.

3.A prominent sociologist wants to determine the sexual attitudes of women aged twenty-five to forty-five. The main question to be explored is whether heterosexual women in this age group feel satisfied with their partners’ sexual performance. The sociologist interviews two hundred of her friends who belong to the target group. She also asks two hundred of her female colleagues at her college to complete and return a survey asking the key question. She gets seventy-eight completed surveys back from women in the target group. She finds that 75 percent of all the interviewees say that they are not satisfied with their partners’ performance. She concludes that most heterosexual women aged twenty-five to forty-five aren’t happy with the sexual performance of their partners.

5.A national women’s magazine publishes a questionnaire on sexual harassment in the workplace. Respondents are asked to complete the questionnaire and mail it in to the magazine. The magazine receives over twenty thousand completed questionnaires in the mail. Sixty-two percent of the respondents say that they’ve been sexually harassed at work. The magazine reports that most women have been sexually harassed at work.

You are flying from Joint Base Lewis-McChord JBLM to an undisclosed location 24km south and 212km east. Mt. Rainier is located approximately 56km east and 40km south of JBLM. If you are flying at a constant speed of 800km/hr, how long after you depart JBLM will you be closest to Mt. Rainier?

1. The October 31 cash balance in the general ledger is $825.

2. The October 31 balance shown on the bank statement is $375.

3. Checks issued but not returned with the bank statement were No. 462 for $21 and No. 483 for $43.

4. A deposit made late on October 31 for $438 is included in the general ledger balance but not in the bank statement balance.

5. Returned with the bank statement was a notice that a customer's check for $67 that was deposited on October 25 had been returned because the customer's account was overdrawn.

6. During a review of the checks that were returned with the bank statement, it was noted that the amount of Check No. 471 was $65 but that in the company's records supporting the general ledger balance, the check had been erroneously recorded as a payment of an account payable in the amount of $56.

Required:

a. Prepare the adjusting journal entry that should be prepared to reflect the reconciling items. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

What is the amount of cash to be included in the October 31 balance sheet for the bank account reconciled?

On the 1st October 2016, K.J Limited issued bonds with a maturity date of 1st October 2028. One K.J bond has a face value of $100,000 and the coupon rate is 4.50% p.a. with interest payable half-yearly. Assuming the market yield is 6% p.a. calculate the value of one bond:

(a) on the 1st October 2020.

(b) five years before maturity.

(c) one year before maturity.

Please do NOT use excel. Please calculate using formulas. Please show detailed calculations & please show formulas.

Ingram Electric Products is considering a project that has the following cash flow and WACC data. What is the project's MIRR? Note that a project's projected MIRR can be less than the WACC (and even negative), in which case it will be rejected.

Refer to the table for Moola given below to answer the following questions

Enter answers as whole numbers

a. What is the equilibrium interest rate in Moola?... percent.

b. What is the level of investment at the equilibrium interest rate? $...?

c. Is there either a recessionary output gap (negative GDP gap) or an inflationary output gap (positive GDP gap) at the equilibrium interest rate and, if either, what is the amount?

Recessionary output or Gap Inflationary output gap of $....?

d. Given money demand, by how much would the Moola central bank need to change the money supply to close the output gap?

Increase or Decrease the money supply by $....?

e. What is the (expenditure) multiplier in Moola?

On July 9, 2018, Omar Co. purchased a machine for 260,000 SA from Saudi Machine Company (SMC). Omar gave SMC 7% note due in 120 days in payment for the machine. (5 Points)

What is the maturity date of the note?

How much interest will Omar pay to SMC on this note?

Pass the Journal entry for Notes Receivable transaction.

On October 16, 2018, Omar informs us that the company is unable to pay the note or interest?

What adjusting entry is required on December 2018?

On October 31, 2017, Aziz Company sells a truck that originally cost 140,000 SA for 95,000 SA cash. The truck was placed in service on January 1, 2012. It was depreciated using the straight-line method with an estimated salvage value of 28,000 and a useful life of 10 years. Record all the transactions? (2.5 points)

The trial balance before adjustment of XYZ Company reports the following balances: (2.5 points)

                                                                                        Dr.                  Cr.   

Accounts receivable                                                 $100,000

Allowance for doubtful accounts                                                    $    2,500

Sales (all on credit)                                                                            750,000

Sales returns and allowances                                       40,000

Instructions

            Pass the journal entries for estimated bad debts assuming that doubtful debts accounts are estimated to be

(1)        6% of gross accounts receivable and

(2)        1% of net sales.

a. Jack Repair Shop started the year with total assets of $300,000 and total liabilities of $200,000. During the year, the repair shop recorded $500,000 in computer repair revenues, $300,000 in expenses, and paid dividends of $50,000. The repair shop stockholders' equity at the end of the year was $___________.

b. Costs of goods sold is $15,000 greater than net purchases. If beginning inventory is $110,000, what is ending inventory? Using COGS=BI+P-EI

c. Revenue of $45,000 had been collected, but only $39,000 had been earned. Expenses of $24,000 had been incurred, but only $29,000 had been paid. Based on the accrual basis of accounting, what is the amount of net income?

d. The following is selected information from Tiff. Co for the fiscal year ending October 31, 2019.

Cash received from customers $300,000

Revenue recognized  $375,000

Cash paid for expenses $180,000

Cash paid for computers on November 1, 2018 that will be used for 3 years (annual depreciation is $16,000) $48,000

Expenses incurred, including interest, but excluding any depreciation $220,000

Proceeds from a bank loan, part of which was used to pay for the computers $100,000

Based on the accrual basis of accounting, what is Tiff. Co's net income for the year ending October 31, 2019?

Suppose that you are part of the Management team at Porsche. Suppose that it is the end of December 2019 and a novel coronavirus that causes a respiratory illness was identified in Wuhan City, Hubei Province, China. The illness was reported to the World Health Organization and there is heightened uncertainty around the Globe.

You (as part of the management team) are reviewing Porsche’s hedging strategy for the cash flows it expects to obtain from vehicle sales in North America during the calendar year 2020. Assume that Porsche’s management entertains three scenarios:

Scenario 1 (Expected): The expected volume of North American sales in 2020 is 35,000 vehicles.

Scenario 2 (Pandemic): The low-sales scenario is 50% lower than the expected sales volume.

Scenario 3 (High Growth): The high-sales scenario is 20% higher than the expected sales volume.

Assume, in each scenario, that the average sales price per vehicle is $85,000 and that all sales are realised at the end of December 2020. All variable costs incurred by producing an additional vehicle to be sold in North America in 2020 are billed in euros (€) and amount to €55,000 per vehicle. Shipping an additional vehicle to be sold in North America in 2020 are billed in € and amount to €3,000 per vehicle.

The current spot exchange rate is (bid-ask) $1.11/€ - $1.12/€ and forward bid-ask is $1.18/€ - $1.185/€. The option premium is 2.5% of US$ strike price, and option strike price is $1.085/€. Your finance team made the following forecasts about the exchange rates at the end of December 2020:

• bid-ask will be $1.45/€ - $1.465/€ if the investors (and speculators) consider the euro (€) a safe haven currency during the pandemic.
• bid-ask will be $0.88/€-$0.90/€ if the investors (and speculators) consider the U.S. dollar ($) a safe haven currency during the pandemic

1. You decided not to hedge Porsche’s currency exposure. If the expected final sales volume is

35,000, what are your total revenues

1. if the exchange rate (bid-ask) remains at $1.11/€ - $1.12/€? Let’s call this the baseline scenario.
2. if the investors consider the euro a safe haven currency during the pandemic? How does this compare to the baseline case?
3. if the investors consider the U.S. dollar a safe haven currency during the pandemic? How does this compare to the baseline case?

2. Assume that you and the Porsche’s management team decided to hedge using forward contracts. Assume that the expected final sales volume is 35,000. What are your total benefit/cost and the percentage benefit/cost from hedging (compared to no hedging)

a) if the exchange rate (bid-ask) remains at $1.11/€ - $1.12/€?

b) if the investors consider the U.S. dollar a safe haven currency during the pandemic?