What does closed model of organisation mean

The amounts are listed in the above problem; "Some Company has asked you to prepare a cash budget for the year 2020 using the following information"

On 3/31/2020, Company ABC released its quarterly report, showing the sales in the first quarter had tumbled 30% as pandemic hit. However, the stock price for company ABC rose by 3% (instead of fell by 3%) after the report is released. Does this mean a failure of the Market Efficient Theory?

On 3/31/2020, Company ABC released its quarterly report, showing the sales in the first quarter had tumbled 30% as pandemic hit. However, the stock price for company ABC rose by 3% (instead of fell by 3%) after the report is released. Does this mean a failure of the Market Efficient Theory?

On 3/31/2020, Company ABC released its quarterly report, showing the sales in the first quarter had tumbled 30% as pandemic hit. However, the stock price for company ABC rose by 3% (instead of fell by 3%) after the report is released. Does this mean a failure of the Market Efficient Theory?

Q-1 Rahim borrowed Rs. 100,000 from Zubair and promised him to pay the amount after 3 months on 01-December-2020. Identify what kind of a negotiable instrument will be issued by which party to whom; further narrate the essentials of instrument you identified. Also make a specimen of the instrument.

Waterways Corporation is preparing its budget for the coming year, 2020. The first step is to plan for the first quarter of that coming year. The company has gathered information from its managers in preparation of the budgeting process.

Waterways likes to keep 10% of the next month’s unit sales in ending inventory. All sales are on account. 85% of the Accounts Receivable are collected in the month of sale, and 15% of the Accounts Receivable are collected in the month after sale. Accounts receivable on December 31, 2019, totaled $185,400.

Direct Materials

Direct materials cost 80 cents per pound. Two pounds of direct materials are required to produce each unit.

Waterways likes to keep 5% of the materials needed for the next month in its ending inventory. Raw Materials on December 31, 2019, totaled 11,370 pounds. Payment for materials is made within 15 days. 50% is paid in the month of purchase, and 50% is paid in the month after purchase. Accounts Payable on December 31, 2019, totaled $104,580.

Other Information

The Cash balance on December 31, 2019, totaled $102,000, but management has decided it would like to maintain a cash balance of at least $700,000 beginning on January 31, 2020. Dividends are paid each month at the rate of $2.60 per share for 5,280 shares outstanding. The company has an open line of credit with Romney’s Bank. The terms of the agreement requires borrowing to be in $1,000 increments at 9% interest. Waterways borrows on the first day of the month and repays on the last day of the month. A $490,000 equipment purchase is planned for February.

Question:

For the first quarter of 2020, prepare a direct materials budget. (Round cost per pound to 2 decimal places, e.g. 0.25 and all other answers to 0 decimal places, e.g. 2,520.)

What types of extraneous variables should the researchers be concerned about in this study?

Purpose of the Study. The researchers examined preferences for beer under conditions that varied in terms of when information about an ingredient of one of the beers was given: before tasting, after tasting but before preferences were indicated, and never (no information was given to one group about the ingredients). The ingredient given is one that most people think should make the beer taste worse. The research question was whether the timing of the ingredient information would affect the preference for the beer by influencing one’s expectation of taste of the beer. Preference for the beer with the undesired ingredient should be lower in any condition where the information influences the preference.

Method of the Study. Pub patrons in Massachusetts were asked to participate in a taste test of two types of beer labeled “regular beer” and “MIT brew.” The “MIT brew” contained a few drops of balsamic vinegar (the vinegar apparently changed the flavor of the beer very little). Participants were randomly assigned to one of the three groups that differed according to when information was given: blind group (no information given), before-tasting group (information given before tasting), and after-tasting group (information given after tasting but before preference was indicated). All participants were given a small sample of each beer to taste. They were asked to indicate which of the two beers they preferred.

Results of the Study. In the blind condition, the “MIT brew” was preferred more often (about 60% of the group) than the before condition (only about 30% of the group), indicating that ingredient information had an effect before tasting. However, the “MIT brew” was also preferred more often in the after condition (just over 50% of the group) than in the before condition and was not preferred less often than the blind condition, indicating that when ingredient information is given after tasting, it does not affect preference. Figure B.1 presents the means of the three groups.

Conclusions of the Study. The researchers concluded that the timing of information about a beer-drinking experience affects preference for the beer. Their results indicated that when information about the beer ingredient was given before the participants tasted the beer, it affected their tasting experience (and their preferences), but when information was given after the participants tasted the beer, it did not affect their experience or their preference. More generally, this study showed that our expectations of our perceptual experiences affect how we judge those experiences.

SOURCE: Results from Lee, Frederick, and Ariely’s (2006) study.

On 1 July 2019, Vajra Ltd was incorporated and offered 2,500,000 ordinary shares to the public at an issue price of $4.00 per share, with $1.50 payable on application, and $1.50 upon allotment (due within one month of allotment) and $1.00 payable on another call to be made at a later date.

The issue is underwritten at a commission of $42,000.

By 31 July 2019, applications had been received for 2,450,000 shares. On 12 August 2019, shares were allotted, and the underwriter forwarded the application and allotment money due on the 50,000 shares less their commission. All remaining allotment money was received by 12 September 2019. On 30 September 2019, Vajra Ltd paid the legal costs (for company formation) of $6,200 and share issue cost of $4,600.

On 20 January 2020, the call was made, with money due by 29 February 2020. By 29 February 2020, all call money was received except for holders of 35,000 shares who failed to meet the call. On 31 March 2020, the shares on which call money was not received were forfeited.

On 9 April 2020, the forfeited shares were auctioned for $3.70 as fully paid. Share re-issue costs amounting to $8,500 were paid. The constitution provides for any surplus on resale, after satisfaction of unpaid instalments and any costs, to be returned to shareholders whose shares were forfeited. The refunds were made on 5 May 2020.

Required: Prepare the journal entries to record the transactions of Vajra Ltd up to and including that which took place on 30 June 2020. Show all relevant dates, narrations and workings.