As financial analyst, your intriguing sense wanted to identify the optimum Capital Structure enabling you to offer options to your CEO and the Management. As an analyst you decided to identify the optimal Capital Structure for the company and give your reasoning on the same
In: Finance
In: Operations Management
Cedarmont Clothing Limited is rapidly losing its market share to
more aggressive
competitors and its CEO want to turnaround the fortunes of the
company. As a
strategic management consultant, describe turnaround strategy and
explain three
ways that this strategy can be employed.
In: Operations Management
What are the key leadership skills a manager should have?
Choose a CEO that you perceive as being a leader. Describe his leadership style and how it is impacting the success of his company.
What are the drivers of globalization? Describe the major changes for businesses.
In: Operations Management
Cedarmont Clothing Limited is rapidly losing its market share to more aggressive competitors and its CEO want to turnaround the fortunes of the company. As a strategic management consultant, describe turnaround strategy and explain three ways that this strategy can be employed.
In: Operations Management
In developing countries some of the working conditions are poor in comparison to the United States. Companies such as Nike go overseas to find affordable labor and supply costs. What would you do as a CEO of a company, such as Nike, to aid in improving the welfare of these countries?
In: Operations Management
Determine what the initial basis of an asset would be in the following situations:
1. purchase of asset
2. Bargain Purchase
3. Lump-sum purchase
4. Property acquired by gift
5. Property acquired from a decedent
6. Property converted from personal use to business or income-producing use
In: Accounting
(a) ABC Company purchased land at a cost of $400,000,000 during 2018. ABC chooses to use the revaluation method of accounting for land. The fair value of the land is as follows at December 31, 2018 2019 and 2020:
2018 - $450,000,000
2019 - $360,000,000
2020 - $385,000,000
Required
(a) Record the journal entries to account for revaluation of the
land at 31 December 2018, 2019 and 2020.
(b) Assume ABC Company chooses to apply the cost method for the land and that the above amounts are the recoverable amount of the land at 31 December each year. Record the necessary journal entries to account for the land at 31 December 2018, 2019 and 2020.
In: Accounting
The following information was available for Wild Oat Company for the month ended May 31, 2020.
(a) The book balance at May 31, 2020 was $6,890.22.
(b) The bank balance at May 31, 2020 was $8,660.22.
(c) Outstanding cheques amounted to $6,310.
(d) The may 31st cash receipts of $5,600 were deposited but have not yet appeared on the bank statement.
(e) A $50 debit memorandum for cheques printed by the bank was included with the cancelled cheques.
(f) A customer's note for $1,000 was collected by the bank. In addition interest on the note was $110.
Prepare a bank reconciliation for Wild Oat Company at May 31, 2020.
In: Finance
Sako Company’s Audio Division produces a speaker that is used by manufacturers of various audio products. Sales and cost data on the speaker follow:
| Selling price per unit on the intermediate market | $ | 100 |
| Variable costs per unit | $ | 82 |
| Fixed costs per unit (based on capacity) | $ | 8 |
| Capacity in units | 25,000 | |
Sako Company has a Hi-Fi Division that could use this speaker in
one of its products. The Hi-Fi Division will need 5,000 speakers
per year. It has received a quote of $97 per speaker from another
manufacturer. Sako Company evaluates division managers on the basis
of divisional profits.
Required:
1. Assume the Audio Division sells only 20,000 speakers per year to outside customers.
a. From the standpoint of the Audio Division, what is the lowest acceptable transfer price for speakers sold to the Hi-Fi Division?
b. From the standpoint of the Hi-Fi Division, what is the highest acceptable transfer price for speakers acquired from the Audio Division?
c. What is the range of acceptable transfer prices (if any) between the two divisions? If left free to negotiate without interference, would you expect the division managers to voluntarily agree to the transfer of 5,000 speakers from the Audio Division to the Hi-Fi Division?
d. From the standpoint of the entire company, should the
transfer take place?
2. Assume the Audio Division is selling 22,500 speakers per year to
outside customers.
a. From the standpoint of the Audio Division, what is the lowest acceptable transfer price for speakers sold to the Hi-Fi Division?
b. From the standpoint of the Hi-Fi Division, what is the highest acceptable transfer price for speakers acquired from the Audio Division?
c. What is the range of acceptable transfer prices (if any) between the two divisions? If left free to negotiate without interference, would you expect the division managers to voluntarily agree to the transfer of 5,000 speakers from the Audio Division to the Hi-Fi Division?
d. From the standpoint of the entire company, should the transfer take place?
3. Assume the Audio Division is selling 25,000 speakers per year to outside customers.
a. From the standpoint of the Audio Division, what is the lowest acceptable transfer price for speakers sold to the Hi-Fi Division?
b. From the standpoint of the Hi-Fi Division, what is the highest acceptable transfer price for speakers acquired from the Audio Division?
c. What is the range of acceptable transfer prices (if any) between the two divisions? If left free to negotiate without interference, would you expect the division managers to voluntarily agree to the transfer of 5,000 speakers from the Audio Division to the Hi-Fi Division?
d. From the standpoint of the entire company, should the transfer take place?
In: Accounting