Hyundai Heavy Industries Co. is one of Korea’s largest industrial producers. According to an article in BusinessWeek Online, the company is not only the world’s largest shipbuilder but also manufactures other industrial goods ranging from construction equipment and marine engines to building power plants and oil refineries worldwide. Despite being a major industrial force in Korea, several of the company’s divisions are unprofitable, or “bleeding red ink” in the words of the article. Indeed, last year the power plant and oil refineries building division recorded a $105 million loss, or 19 percent of its sales. Hyundai Heavy Industries recently hired a new CEO who is charged with the mission of bringing the unprofitable divisions back to profitability. According to BusinessWeek, Hyundai’s profit-driven CEO has provided division heads with the following ultimatum: “…hive off money-losing businesses and deliver profits within a year—or else resign.” Suppose you are the head of the marine engine division and that it has been unprofitable for 7 of the last 10 years. While you build and sell in the competitive marine engines industry, your primary customer is Hyundai’s profitable ship-building division. This tight relationship is due, in large part, to the technical specifications of building ships around engines. Suppose that in our end-of-year report to the CEO you must disclose that while your division reduced costs by 10 percent, it still remains unprofitable. Make an argument to the CEO explaining why your division should not be shut down.

Three different companies each purchased trucks on January 1, 2018, for $74,000. Each truck was expected to last four years or 250,000 miles. Salvage value was estimated to be $5,000. All three trucks were driven 80,000 miles in 2018, 60,000 miles in 2019, 45,000 miles in 2020, and 70,000 miles in 2021. Each of the three companies earned $63,000 of cash revenue during each of the four years. Company A uses straight-line depreciation, company B uses double-declining-balance depreciation, and company C uses units-of-production depreciation.

Answer each of the following questions. Ignore the effects of income taxes.

5. Which company will report the lowest amount of cash flow from operating activities on the 2020 statement of cash flows?

Q4. What is the role of marketing in an organization?

(Please the Expert needs to submit a detailed answer which must be a standout in a very competitive MBA Marketing Class).

There are two types of genetic drift. Describe and give an example of both the bottle neck effect and the founder effect.

Your assignment should be 250-500 words in length.

Tell me about a high point in your life.

Tell me about a low point in your life.

Tell me about a turning point in your life.

What are some important events that occurred in your childhood, adolescence, and adulthood?

Were life experiences generally positive or negative?

Was there evidence of a commitment story? If so, describe.

When did the turning point occur?

Is this consistent with the midlife transition?

Based on the answers, would you describe this person as generative? Why or why not?

(iv) On 1 April 2019, GHL entered into a sale and leaseback agreement for its manufacturing plant. The plant was originally acquired by GHL on 31 March 2009 for $8,910,000, at which point the plant had a useful life of 30 years with no residual value. The sale proceeds of plant from the sale and leaseback agreement were $11.25 million, which is higher than the fair value of the plant of $9.0 million. The plant was leased back on a 20-year lease from 1 April 2019 at an annual rental of $1,105,350 to be paid annually in arrears at 31 March 2020. The sale satisfies HKFRS 15 “Revenue from Contracts with Customers”, however, she insisted to account for it as a financing arrangement. The first lease rental is paid and charged to the statement of profit or loss. The sales proceed was treated as a financial liability. The incremental borrowing rate is 15% per annum.

4) what is the requirement of a sale and leaseback transaction from the seller-lessee perspective in accordance with HKFRS 16?

Question 3

A. J & B Company uses the percentage of sales approach to estimate its uncollectible accounts. The company’s annual sales for its first financial year of operations ending July 31, 2020 was $500,000, cash sales contributed to 2% of the overall sales and the accounts receivable balance at year end was $75,000. Based on industry expectations, it estimated that 3% of its credit sales would be uncollectible.

Required:

a. Calculate the bad debt expense at July 31, 2020.

b. Calculate the net receivable balance that would be reported in the Statement of Financial Position as at July 31, 2020.

B. Tosh and Sons Inc. uses the percentage of receivables approach to estimate its uncollectible accounts. The company had sales of $100,000 at the end of its financial year on June 30, 2020. The allowance for doubtful debts account had a debit balance of $400, the accounts receivable balance was $30,000 at year end and the company estimates the uncollectible percentages as follows:

Current (1 - 30 days)   $15,000           0.5%

31 - 60 days                 $10,000           2.0%

61 - 90 days                 $3,000             10.0%

Over 90 days               $2000              60.0%

Required:

a. Calculate the bad debt expense at June 30, 2020.

b. Prepare the necessary journal entry to record the bad debt expense for the year.

C. During the financial year ending May 31, 2020 the Board of Directors of Chung Sa Corporation authorised the write off of a $3,000 two-year debt belonging to a previous customer Jap Inc. On July 2, 2020 Chung Sa Corporation received an electronic funds transfer from Jap Inc. in the amount of $3,000.

Required:

Prepare all necessary journal entries to record this transaction.

The Bill of Rights affords all accused persons of due process and the right to property. Many cases throught US history have been thrown-out of court because due process was not followed or because evidence was not properly acquired. In many cases, guilty persons have gone free because the police screwed-up the investigation. Do you think its right for a guilty person to go free because of a technicality? Or is upholding the Constitutional right to due process more important?

Explain Malibu Boats' business model (be certain to include the value proposition and profit formula). How — if at all — has it changed over the first five years?

Information:

Jack Springer, CEO of Malibu Boats since 2010, looked out over the main production facility of Louden, Tennessee, facility. In his ten years at the helm of the Tennessee boat company, he had transitioned it from an industry leader in high-performance towboats to a diversified firm that included high-performance fishing boats. A significant facet of this transition was Malibu's 2017 purchase of Cobalt Boats for $130 million and the 2018 purchase of Pursuit Boats for $100 million. Unknown at the time of the purchase was the havoc the COVID 19 pandemic would have on the world economy and the boating industry. Springer's task this summer morning was to prepare a written assessment to present at the upcoming Board of Directors meeting. Earlier in the week, the board had requested an assessment of the Cobalt and Pursuit acquisitions in the current economic context. As he looked out on the production floor, he pondered several questions: is Malibu in a better or worse competitive position with the acquisitions? What impact will a down economy have on the future success of this acquisition? And, what had the company learned from the experience?

Malibu Boats

Headquartered in Loudon, Tennessee, Malibu Boats is a top designer, manufacturer, and marketer of a diverse range of recreational powerboats, including performance sport, sterndrive, and outboard boats (Globe Newswire, 2020).

Founded in 1982 by Bob Alkema and Steve Marshall, Malibu Boats began production averaging two boats per week. The company grew quickly and increased staffing and production. In 1986, the company implemented an employee stock ownership program and had achieved a nine percent market share by 1988. Needing to expand production, Malibu opened a second plant in Tennessee, which allowed the company to produce almost 1000 custom ski boats that year.

In 1992, Malibu built a new manufacturing facility in Loudon, Tennessee. The company's focus on innovation led it to create and patent a fiberglass engine chassis system (FibECS) that eliminated vibration and noise. In the mid-nineties, Malibu expanded internationally to Australia thorough a licensee agreement.

In the area of water sports, Malibu was on the front end of research and development of wakeboarding features. By recognizing that the wakeboarding market was a natural outgrowth of the traditional sport of water skiing, Malibu was able to capitalize on this fast-growing market (Willet, 2012).

In the early 2000's Malibu established itself as the largest custom ski boat manufacturer in the world. In 2006, Horizon Holdings and Black Canyon Capital acquired Malibu.

Unlike competitors in the industry, Malibu was able to expand market share during the Great Recession of the mid-2000s.

Jack Springer was named CEO in 2009, and under his direction, Malibu launched the Axis Wake Research brand and relocated headquarters to the firm's production facility in Loudon, Tennessee. In doing so, Malibu positioned itself closer to the freshwater marine manufacturing industry.

In 2013, Malibu established a new holding company for all operations – Malibu Boats Inc. The new entity was formed, in part, to prepare for the company's initial public offering (IPO) in January of 2014. In going public, initial trading began at $14 a share, generating a market capitalization of $300 million (Kaiser, 2014).

Malibu's International Presence

Malibu has a small but important international footprint. In the early 1990s, the company had established its brand and a manufacturing facility in Australia through a licensee agreement. After Malibu's successful IPO, the company acquired all equity interests in Malibu Boats Australia and made assurances the company would maintain its presence in that market. Malibu Boats Inc. has publicly stated that Malibu Australia may become Malibu's primary producer for the entire Asian market.

In addition, through the acquisition of Cobalt boats and its dealer network, Malibu Boats Inc. has access to locations in Canada and overseas.

Acquisition of Cobalt and Pursuit Boats

Malibu's first major acquisition was a $130 million deal to purchase competitor Cobalt Boats (Malibu Boats, Inc., 2017). The deal maintained separate manufacturing operations; Malibu in Louden, TN, and Cobalt in Neodesha, KS.

In October of 2018, Malibu Boats acquired Pursuit Boats from S2 Yachts to expand its premium brand into the fast-growing saltwater fishing boat industry. The purchase price was $100 million. In addition to expanding its brand offerings, Malibu states, "the acquisition gives the company the ability to leverage manufacturing, design expertise, and distribution to accelerate outboard growth" (Trade Only Today, 2018). Malibu will finance the $100 million purchase with $50 million in cash on hand and $50 million in credit (Boating Industry, 2018).

"Pursuit is an incredible addition to the Malibu family," said Jack Springer. "This highly complementary business creates strong strategic opportunities to enhance product development across our portfolio of brands. Together, we have an opportunity to broaden our outboard offering, while leveraging the manufacturing and design expertise of the respective teams." (Trade Only Today, 2018).

Cobalt Boats

Cobalt Boats is a market leader in mid to large-sized sterndrive boats that include cruisers, bowriders, and outboards used for cruising, skiing, entertaining, surfing, and fishing (Malibu Boats, Inc., 2017). Cobalt is a world-class brand producing 24 models across six series. The company has a dealer network of 132 locations in the U.S., Canada, and overseas. The year prior to the acquisition, Cobalt generated approximately $140 million in net sales.

Pursuit Boats

Pursuit Boats, located in Fort Pierce, Florida, builds 15 models of high-quality saltwater fishing boats in lengths of 23 to 40 feet. Pursuit has established itself as a premium brand by building high-quality offshore fishing boats for over 40 years (Boating Industry, 2018).

A2 Yachts, the original parent company of Pursuit Boats, is a privately held firm. S2 Yachts will continue to operate and own Tiarra Yachts and Tiarra Sport. Limited financial information is available on S2 Yachts as it is a privately held firm.

Malibu Today

Today, Malibu Boats is a leading designer, manufacturer, and marketer of a diverse range of powerboats across four primary brands: Malibu, Axis, Cobalt, and Pursuit (Malibu Boats, 2019). Company accolades include holding the #1 market share position in the U.S. in the performance sport boat category, the #1 market share position in the U.S. in the 24'-29’ segment of the sterndrive category, and a holding a leading market position for fiberglass outboard fishing boats (Malibu Boats, 2019). Malibu's boats are used for activities including water sports and recreational boating and fishing. Retail prices across the various models range from $60,000 - $800,000.

• Malibu – The flagship line provides consumers the latest innovations and designed for customers seeking a premium performance sport boat.
• Axis – Designed for customers who desire a more affordable performance sport boat yet expect high performance.
• Cobalt – Comprise mid to large-sized cruisers and bowriders providing exceptional comfort, performance, and quality.
• Pursuit – Consist of saltwater outboard fishing boats using a center console, dual console, and offshore models.

Competitive advantage across the brands is created by new products, a strong dealer network, and innovation. Malibu has built a distinctive competitive advantage. As an example, the Integrated Surf Platform (ISP) patented Surf Gate is an industry-leading (and envied) product. Similar to other boat brands in the industry, the dealership network is vital to the customer experience and Malibu Boats. As such, Malibu dedicates significant resources to find, develop, and improve the performance of dealerships. As of July 2019, the company's distribution channels consisted of 350 dealer locations globally. Innovation continues in 2020 with the launch of Stern Turn, which provides the driver the maneuverability of a sterndrive or outboard boat, thereby making navigation easier (Malibu Boats, 2019).

Compared to competitors, Malibu Boats has a higher degree of vertical integration. Malibu manufactures many of its own parts, including towers, stainless materials, trailers, and, more recently, engines. CEO Jack Springer builds as much as 25% more in-house compared to rival companies (Malibu Boats, 2019).

• Malibu is traded on the NASDAQ – Global Market index under MBUU, a Class A common stock.
• In 2019 Net sales increased 37.6% to a record high of $684 million.
• Malibu Boats continued to be a growth company finishing 2019 as the twenty-eighth fasted growing company on Fortune Magazine's Fastest-Growing Companies List.

Marine Industry

Towable performance boats have been a large part of the marine industry. Malibu has long held a premium position in this industry segment. The saltwater outboard fishing market is one of the largest and fastest-growing segments of the marine industry.

Conclusion

As Springer reflected on the upcoming board meeting, he could not help but recall his optimism in the 2019 annual report. Specifically, he cited that the U.S economy was strong, consumer confidence high, inflation low, and employment high. As such, he was confident that markets would remain strong for the foreseeable future. Then, the COVID 19 Pandemic changed everything. The rosy picture he had painted for the 2020 fiscal year will look very different.

The use of animals in research is controversial. Investigate this controversy using at least five resources from the South University Online Library. Do you think it is ethical to use animals in research? Explain your reasoning and support your answer with at least three sources from the South University Online Library (these sources must be different from the ones you already used in this assignment).