Many people believe that unusual behavior is more likely to occur during a full moon. As a test for empirical evidence to support this belief, suppose that you categorized the visits of new clients to a community health unit over a one-year period by lunar phases and found the following distribution of visits: Full moon 62, new moon 50, first quarter 60, and third quarter 56.
Answer the following questions:
1. What are the null and alternate hypotheses?
2. What are the expected values for each of the categories?
3. What is the chi-square obtained?
4. What is the critical value?
5. What is your statistical decision? Justify your answer.
6. What is your conclusion?
In: Statistics and Probability
|
|
Accounts |
Debit |
Credit |
|
Cash |
2500 |
|
|
Accounts Receivable |
4000 |
|
|
Allowance for Doubtful Accounts |
300 |
|
|
Inventory |
8200 |
|
|
Prepaid Rent |
3600 |
|
|
Equipment |
30000 |
|
|
Accumulated Depreciation |
12000 |
|
|
Accounts Payable |
3700 |
|
|
Note Payable (due 7/1/17) |
5000 |
|
|
Common Stock (1,000 shares) |
8900 |
|
|
Retained Earnings (1/1/16 |
10200 |
|
|
Dividends |
1000 |
|
|
Sales Revenues |
45000 |
|
|
Cost of Goods Sold |
21000 |
|
|
Salaries Expense |
7100 |
|
|
Utilities Expenses |
3300 |
|
|
Advertising Expense |
4400 |
|
|
Totals |
85,100 |
85,100 |
In: Accounting
Beech Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company’s balance sheet as of June 30th is shown below:
| Beech Corporation | ||
| Balance Sheet | ||
| June 30 | ||
| Assets | ||
| Cash | $ | 84,000 |
| Accounts receivable | 144,000 | |
| Inventory | 63,750 | |
| Plant and equipment, net of depreciation | 223,000 | |
| Total assets | $ | 514,750 |
| Liabilities and Stockholders’ Equity | ||
| Accounts payable | $ | 84,000 |
| Common stock | 349,000 | |
| Retained earnings | 81,750 | |
| Total liabilities and stockholders’ equity | $ | 514,750 |
Beech’s managers have made the following additional assumptions and estimates:
Estimated sales for July, August, September, and October will be $340,000, $360,000, $350,000, and $370,000, respectively.
All sales are on credit and all credit sales are collected. Each month’s credit sales are collected 35% in the month of sale and 65% in the month following the sale. All of the accounts receivable at June 30 will be collected in July.
Each month’s ending inventory must equal 25% of the cost of next month’s sales. The cost of goods sold is 75% of sales. The company pays for 40% of its merchandise purchases in the month of the purchase and the remaining 60% in the month following the purchase. All of the accounts payable at June 30 will be paid in July.
Monthly selling and administrative expenses are always $44,000. Each month $6,000 of this total amount is depreciation expense and the remaining $38,000 relates to expenses that are paid in the month they are incurred.
The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30.
Required:
1. Prepare a schedule of expected cash collections for July, August, and September. Also compute total cash collections for the quarter ended September 30.
2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30.
2-b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September. Also compute total cash disbursements for merchandise purchases for the quarter ended September 30.
3. Prepare an income statement for the quarter ended September 30.
4. Prepare a balance sheet as of September 30.
Complete this question by entering your answers in the tabs below.
Prepare a schedule of expected cash collections for July, August, and September. Also compute total cash collections for the quarter ended September 30.
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Req 2A
Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30.
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Req 2B
Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September. Also compute total cash disbursements for merchandise purchases for the quarter ended September 30.
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Req 3
Prepare an income statement for the quarter ended September 30.
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Req 4
Prepare a balance sheet as of September 30.
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In: Accounting
Andy’s Co. is a manufacturing firm of a computer hardware device. Its sales forecasts for the year 2020 is as follows:
|
Quarter |
Sales in units |
Price |
Revenue |
|
Q1, 2020 |
500 |
$ 400 |
$ 200,000 |
|
Q2, 2020 |
1000 |
400 |
400,000 |
|
Q3, 2020 |
1000 |
400 |
400,000 |
|
Q4, 2020 |
1000 |
400 |
400,000 |
|
Q1, 2021 |
2000 |
400 |
800,000 |
|
Q2, 2021 |
1500 |
400 |
600,000 |
|
Q3, 2021 |
1000 |
$ 400 |
$ 400,000 |
The company will start its business this year with $30,000 of cash balance. As of Q4 of the fiscal year 2019, it does not have any material, work in progress, or finished goods inventories. The company currently has no debt and entirely owned by shareholders. The balance sheet of Andy’s Co. as of the end of the year 2019 is as follows:
|
Cash |
30,000 |
Equity |
30,000 |
Direct material costs per unit are $150. Each unit requires three direct labor hours to be completed. The hourly wage is $40. For the year 2020, the company expects the variable overhead to be $136,000. The company allocates variable overhead by direct labor hours. Fixed overhead is expected to be $204,000, including the depreciation of the equipment ($47,500). The company will evenly allocate the fixed overhead for each quarter.
At the beginning of the year 2020, the company will invest in $95,000 for the equipment.
The company supplies products with no material selling and administrative expenses. Their products are immediately picked up by other manufacturers in the complex for cash. Due to the highly efficient just-in-time inventory management system, the company does not hold materials inventories. All materials are purchased just enough to be used in production each quarter. The company also does not hold work in progress inventories. However, they keep 10% of next quarter’s sales as ending inventories of finished goods.
The company also engages in flexible cash management. They require a minimum balance of zero. Whenever they run short of cash, they can borrow from a partnered venture capital at the quarterly interest rate of 2%. They obtain the short-term loan at the beginning of the quarter, and they repay both principal and interest at the end of the quarter if they have enough cash.
The company will incur 20% of taxable income (operating income less interest expenses) as tax expenses but will pay the income taxes in the year 2021.
5) Complete the overhead budget including the cash disbursement for Andy’s Co. for the fiscal year 2020
6) Complete the cost of goods manufactured budget for Andy’s Co. for the fiscal year 2020
7) Complete the cost of goods sold budget for Andy’s Co. for the fiscal year 2020
8) Complete the cash budget for Andy’s Co. for the fiscal year 2020
9) Complete the income statement for Andy’s Co. for the fiscal year 2020
10) Complete the balance sheet for Andy’s Co. for the fiscal year 2020
11) An alternative plan for operation requires more investment in the equipment. If the company can invest $210,000 instead of $95,000 in the equipment at the beginning of the year 2020, the company can reduce direct labor hours required for each unit to 2 hours. The depreciation of the equipment will be $105,000 for the year 2020. Calculate the impacts of the additional investment on net income and operating cash flows for the year 2020. You can present an alternative income statement, cash budget, and balance sheet.
12) The executives of Andy’s Co. are debating over whether to invest $95,000 or $210,000. The market analysts suggest that the demand for the products will be at a similar level over the next few years. Based on the sales forecasts of the market analysts, provide advice to the executives. Support your advice quantitatively.
In: Accounting
It is customary to think about investments as falling into one of three groups: revenue-enhancing, cost-reducing, and mandatory describe what each of these categories mean and give an example.
In: Finance
Beech Corporation is a merchandising company that is preparing a master budget for the third quarter of the calendar year. The company’s balance sheet as of June 30th is shown below:
| Beech Corporation | ||
| Balance Sheet | ||
| June 30 | ||
| Assets | ||
| Cash | $ | 96,000 |
| Accounts receivable | 139,000 | |
| Inventory | 70,200 | |
| Plant and equipment, net of depreciation | 228,000 | |
| Total assets | $ | 533,200 |
| Liabilities and Stockholders’ Equity | ||
| Accounts payable | $ | 89,000 |
| Common stock | 333,000 | |
| Retained earnings | 111,200 | |
| Total liabilities and stockholders’ equity | $ | 533,200 |
Beech’s managers have made the following additional assumptions and estimates: Estimated sales for July, August, September, and October will be $390,000, $410,000, $400,000, and $420,000, respectively.
All sales are on credit and all credit sales are collected. Each month’s credit sales are collected 35% in the month of sale and 65% in the month following the sale. All of the accounts receivable at June 30 will be collected in July.
Each month’s ending inventory must equal 30% of the cost of next month’s sales. The cost of goods sold is 60% of sales. The company pays for 40% of its merchandise purchases in the month of the purchase and the remaining 60% in the month following the purchase. All of the accounts payable at June 30 will be paid in July.
Monthly selling and administrative expenses are always $54,000. Each month $7,000 of this total amount is depreciation expense and the remaining $47,000 relates to expenses that are paid in the month they are incurred.
The company does not plan to borrow money or pay or declare dividends during the quarter ended September 30. The company does not plan to issue any common stock or repurchase its own stock during the quarter ended September 30. Required:
1. Prepare a schedule of expected cash collections for July, August, and September. Also compute total cash collections for the quarter ended September 30.
2-a. Prepare a merchandise purchases budget for July, August, and September. Also compute total merchandise purchases for the quarter ended September 30.
2-b. Prepare a schedule of expected cash disbursements for merchandise purchases for July, August, and September. Also compute total cash disbursements for merchandise purchases for the quarter ended September 30.
3. Prepare an income statement for the quarter ended September 30.
4. Prepare a balance sheet as of September 30. Answer is not complete. Complete this question by entering your answers in the tabs below. Req 1Req 2AReq 2BReq 3Req 4 Prepare a balance sheet as of September 30.
quarter ended September 30.
quarter ended September 30.
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Req 1
Prepare a balance sheet as of September 30.
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Req 3
In: Accounting
Q. Spherical glass particles (12 mm diameter and 2500 kg/m 3 density) and spherical metal particles (1.5 mm diameter and 7500 kg/m3) are falling in water (density= 1000 kg/m3) .
(1) Calculate the terminal falling velocities of glass and metal particles in water for a constant friction factor of 0.22.
(2) At what water velocity will fluidized beds of glass particles and metal particles have the same bed densities?
The relation between fluidization velocity (uc), terminal velocity (ut) and bed voidage (e) for a spherical particle is given by the equation (uclut) = e2·3
In: Other
lota Inc, an electronics retailer, just finished its first year of operations and is in the process of preparing its December 31, 2018 balance sheet. indicate that the account names and dollar amount If any) that lota would report within the current and long-term liabilities sections of its balance sheet at December 31, 2018 as a result of each transaction described below. If no liability should be recorded leave the item blank.
Question 1.
1a) On October 1, 2018 lota issued $ 8,000,000 of notes payable. The notes pay 6% interest each September 30th and mature is installments. The first $1,000,000 installment is due September 30, 2019. List the current liability associated with this transaction.
Question 2.
1b). On October 1, 2018 lota issued $ 8,000,000 of notes payable. The notes pay 6% interest each September 30th and mature in installments. The first $1,000,000 installment is due September 30, 2019. List long-term liabilities associated with this transaction.
Question 3.
2a) On December 31, 2018, lota issued a $ 1,400,000 short term note payable with a 5% rate of interest that due on May 31, 2019. Lota intends to refinance the note using a $900,000 long term loan from an existing line of credit that it will repay in three years. List the current liability associated with this transaction.
Question 4.
2b) On December 31, 2018, lota issued a $ 1,400,000 short term note payable with a 5% rate of interest that due on May 31, 2019. Lota intends to refinance the note using a $900,000 long term loan from an existing line of credit that it will repay in three years. List long-term liabilities associated with this transaction.
Question 5.
3. Lota sold $ 10,000 of gift cards during the first quarter of 2018 and an additional $5,000 of gift cards during the fourth quarter of 2018. By December 31, 2018, $7,000 of the gift cards sold during the first quarter had been redeemed and $3,000 of gift cards sold during the fourth quarter had been redeemed. Lota considers its gift cards to be broken after 6 months.
List the current liability associated with this transaction.
Question 6.
4. During 2018, lota sold 600 laptops for $500 each. All laptops come with a 1-year original warranty. Lota estimated warranty costs will be 3% of sales. By December 31, 2018 lota had spent $2,00 to fix or replace computer cover warranty. Lota collects a 5% sales tax on all laptops sold. Which will be remitted to the government in 2019?
In: Accounting
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15. |
The marketing efforts for convenience and specialty goods are
essentially the same. |
|
16. |
Shopping goods and services are purchased only after consumers
compare value, quality, style, and price of competing goods and
services. |
|
17. |
Successful marketing of convenience and specialty goods require
different marketing mixes. |
|
18. |
Most consumers view specialty goods as having a variety of
acceptable substitutes. |
|
19. |
The classification of goods or services into a particular class
depends on the individual consumer. |
|
20. |
A shopping good for one consumer could be a specialty good for
another consumer. |
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21. |
Organizations that assist in moving goods and services from
producers to business and consumer users are called supply-side
transition specialists. |
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22. |
Agents and brokers and wholesalers are types of marketing
intermediaries. |
|
23. |
Wholesalers are marketing intermediaries who sell goods or
services to ultimate consumers. |
|
24. |
A channel of distribution consists of the marketing
intermediaries who join together to transport and store goods in
their path from producers to consumers. |
|
25. |
Brokers are marketing intermediaries that do not take title to
the goods they help distribute. |
|
26. |
Retailers are marketing intermediaries who sell to ultimate
consumers. |
|
27. |
Some manufacturers sell directly to consumers or businesses
rather than relying on marketing intermediaries.
|
In: Operations Management
Exercise 8-16 Direct Materials and Direct Labor Budgets [LO8-4, LO8-5]
The production department of Zan Corporation has submitted the following forecast of units to be produced by quarter for the upcoming fiscal year:
| 1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | |
| Units to be produced | 7,000 | 10,000 | 9,000 | 8,000 |
In addition, 8,750 grams of raw materials inventory is on hand at the start of the 1st Quarter and the beginning accounts payable for the 1st Quarter is $5,200.
Each unit requires 5 grams of raw material that costs $1.60 per gram. Management desires to end each quarter with an inventory of raw materials equal to 25% of the following quarter’s production needs. The desired ending inventory for the 4th Quarter is 6,000 grams. Management plans to pay for 60% of raw material purchases in the quarter acquired and 40% in the following quarter. Each unit requires 0.20 direct labor-hours and direct laborers are paid $13.50 per hour.
Required:
1.&2. Calculate the estimated grams of raw material that need to be purchased and the cost of raw material purchases for each quarter and for the year as a whole.
3. Calculate the expected cash disbursements for purchases of materials for each quarter and for the year as a whole.
4. Calculate the estimated direct labor cost for each quarter and for the year as a whole.
1. 2 Calculate the estimated grams of raw material that need to be purchased and the cost of raw material purchases for each quarter and for the year as a whole.
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3. Calculate the expected cash disbursements for purchases of materials for each quarter and for the year as a whole.
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4. Calculate the estimated direct labor cost for each quarter and for the year as a whole. (Round "Direct labor-hours per unit" and "Direct labor cost per hour" answers to 2 decimal places.)
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In: Accounting