An X-linked recessive allele, r, produces red-green colorblindness in humans. A normal woman whose father was colorblind marries a colorblind man.
a. What is the chance that the first child from this marriage will be a colorblind boy?
b. What is the chance that the first child from this marriage will be a colorblind girl?
c. If the couple have three children, what is the probability that two of them will be colorblind boys and one will be a normal child (boy or girl)?
In: Biology
P10–10 NPV: Mutually exclusive projects Hook Industries is
considering the replacement of
one of its old drill presses. Three alternative replacement presses
are under consideration.
The relevant cash flows associated with each are shown in the
following table.
The firm’s cost of capital is 15%.
LG 3
LG 2 LG 3
LG 3
Press A Press B Press C
Initial investment (CF0) $85,000 $60,000 $130,000
Year (t) Cash inflows (CFt)
1 $18,000 $12,000 $50,000
2 18,000 14,000 30,000
3 18,000 16,000 20,000
4 18,000 18,000 20,000
5 18,000 20,000 20,000
6 18,000 25,000 30,000
7 18,000 — 40,000
8 18,000 — 50,000
a. Calculate the net present value (NPV) of each press.
b. Using NPV, evaluate the acceptability of each press.
c. Rank the presses from best to worst using NPV.
d. Calculate the profitability index (PI) for each press.
e. Rank the presses from best to worst using PI.
In: Accounting
What is the novel coronavirus and why is it called coronavirus? How are coronaviruses transmitted between people? How can I protect myself against corona viruses?
In: Nursing
In: Biology
Remeasurement of financial statements
Assume that your company owns a subsidiary operating in Canada. The
subsidiary has adopted the Canadian Dollar (CAD) as its functional
currency. Your parent company operates this subsidiary like a
division or a branch office, making all of its operating decisions,
including pricing of its products. You conclude, therefore, that
the functional currency of this subsidiary is the $US and that its
financial statements must be remeasured using the temporal method
prior to consolidation. The subsidiary's financial statements (in
CAD) for the most recent year follow in part a. below:
The relevant exchange rates for the $US value of the Canadian Dollar (CAD) are as follows:
| BOY rate | $0.95 |
| EOY rate | $1.05 |
| Avg. rate | $0.98 |
| Dividend rate | $1.04 |
| Historical rates: | |
| Beginning inventory | $0.95 |
| Land | $0.70 |
| Building | $0.72 |
| Equipment | $0.73 |
| Historical rate (common stock and APIC) | $0.50 |
For parts a. and b. below, use a negative sign with answers to indicate a reduction.
a. Remeasure the subsidiary's income statement, statement of retained earnings, and balance sheet into $US using the temporal method for the current year (assume that the BOY Retained Earnings is $7,667,700).
Round all answers in the "In US Dollars" column to the nearest dollar.
(in CAD) |
Remeasurement Rate |
In US Dollars |
|
|---|---|---|---|
| Beginning inventory | $4,470,000 | Answer | Answer |
| Purchases | 11,694,000 | Answer | Answer |
| Ending inventory | (5,364,000) | Answer | Answer |
| Cost of goods sold | $10,800,000 | Answer | |
| Land | $3,921,600 | Answer | Answer |
| Building | 7,200,000 | Answer | Answer |
| Accum.deprec.-building | (3,600,000) | Answer | Answer |
| Equipment | 4,800,000 | Answer | Answer |
| Accum.deprec.-equipment | (2,400,000) | Answer | Answer |
| Property, plant, and equipment (PPE), net | $9,921,600 | Answer | |
| Depreciation expense-building | $360,000 | Answer | Answer |
| Depreciation expense-equipment | 480,000 | Answer | Answer |
| Depreciation expense | $840,000 | Answer | |
| Income statement: | |||
| Sales | $18,000,000 | Answer | Answer |
| Cost of goods sold | (10,800,000) | Answer | |
| Gross profit | 7,200,000 | Answer | |
| Operating expenses | (3,840,000) | Answer | Answer |
| Depreciation | (840,000) | Answer | |
| AnswerRemeasurement gainRemeasurement loss | Answer | ||
| Net income | $2,520,000 | Answer | |
| Statement of retained earnings: | |||
| BOY retained earnings | $9,450,000 | Answer | |
| Net income | 2,520,000 | Answer | |
| Dividends | (252,000) | Answer | Answer |
| Ending retained earnings | $11,718,000 | Answer | |
| Balance sheet: | |||
| Assets | |||
| Cash | $5,122,800 | Answer | Answer |
| Accounts receivable | 4,176,000 | Answer | Answer |
| Inventory | 5,364,000 | Answer | |
| Property, plant, and equipment (PPE), net | 9,921,600 | Answer | |
| Total assets | $24,584,400 | Answer | |
| Liabilities and stockholders' equity | |||
| Current liabilities | $3,052,800 | Answer | Answer |
| Long-term liabilities | 7,113,600 | Answer | Answer |
| Common stock | 1,200,000 | Answer | Answer |
| APIC | 1,500,000 | Answer | Answer |
| Retained earnings | 11,718,000 | Answer | |
| Total liabilities and equity | $24,584,400 | Answer | |
b. A Compute the remeasurement gain or loss directly assuming BOY net monetary assets of (3,081,600), a net monetary liability.
Round all answers to the nearest dollar.
| Change in net monetary assets: | |
| AnswerBOY net monetary assets x (EOY - BOY exchange rates)BOY net monetary assets x BOY exchange rateSales x average exchange ratePurchases x average exchange rateOperating expenses x average exchange rateDividends x (EOY - Dividend exchange rate)Dividends x dividend exchange rateEOY net monetary assets x EOY exchange rateChg net monetary assets x (EOY - Avg exchange rate)Remeasurement lossEnding net monetary assets | Answer |
| Chg net monetary assets x (EOY - Avg exchange rate) | Answer |
| AnswerBOY net monetary assets x (EOY - BOY exchange rates)BOY net monetary assets x BOY exchange rateSales x average exchange ratePurchases x average exchange rateOperating expenses x average exchange rateDividends x (EOY - Dividend exchange rate)Dividends x dividend exchange rateEOY net monetary assets x EOY exchange rateChg net monetary assets x (EOY - Avg exchange rate)Remeasurement lossEnding net monetary assets | Answer |
| AnswerBOY net monetary assets x (EOY - BOY exchange rates)BOY net monetary assets x BOY exchange rateSales x average exchange ratePurchases x average exchange rateOperating expenses x average exchange rateDividends x (EOY - Dividend exchange rate)Dividends x dividend exchange rateEOY net monetary assets x EOY exchange rateChg net monetary assets x (EOY - Avg exchange rate)Remeasurement lossEnding net monetary assets | Answer |
In: Accounting
guide to unix using linux / 4th edition / chapter 2 / p10
2.10 Assume that you work for a company that is developing a telephone database and you are creating directories for the Mail and Receiving Departments, which are referenced in the company’s budget and accounting systems as departments 4540 and 4550. After you create the directories, you begin creating files of department phone numbers to store in those directories. You must use the mkdir (make directory) command to create new directories and then use the cat command to create the phone files. Also, do not delete the files you create because you may use them in other projects. To create new directories and phone files:
Type _____________ and press Enter to go to your home directory.
Type ____________________ and press Enter to make a new directory called dept_4540.
Type _____________ and press Enter to view all directories in this area. What do you see? _____________________________________________________
Type ___________________ and press Enter to change to the new directory.
Now, use the cat command to create a file
called phones1. The phones1 file contains fields
for area code, phone prefix, phone number, last name, and first
name. A colon (:) separates each field. Following are the lines
that must be entered into the phones1 file:
219:432:4567:Harrison:Joel
219:432:4587:Mitchell:Barvara
219:432:4589:Olson:Timothy
Now, type ___________________ and press Enter to view and verify the contents of the phones1 file you created.
Type ________________ and press Enter to return to your home directory.
Type _______________________ and press Enter to make a new directory called dept_4550.
Type ______________________ and press Enter to view all directories in this area. What do you see? __________________________________________
Type ______________________ and press Enter to change to the new directory created in step h above.
Use the cat command to create the file
phones2, which contains the same fields as the
phones1 file. Following are the lines that must be entered
into the phones2 file:
219:432:4591:Moore:Sarah
219:432:4522:Polk:John
219:432:4501:Robinson:Lisa
Type ____________________ and press Enter to view and verify the contents of phones2 file.
Type ________________ and press Enter to clear
the screen for the next project.
In: Computer Science
Lasting Impressions (LI) Company is a medium-sized commercial printer of promotional advertising brochures, booklets, and other direct-mail pieces. The firm’s major clients are ad agencies based in New York and Chicago. The typical job is characterized by high quality and production runs of more than 50,000 units. LI has not been able to compete effectively with larger printers because of its existing older, inefficient presses. The firm is currently having problems meeting run length requirements as well as meeting quality standards in a cost-effective manner. The general manager has proposed the purchase of one of two large, six-color presses designed for long, high-quality runs. The purchase of a new press would enable LI to reduce its cost of labor and therefore the price to the client, putting the firm in a more competitive position. The key financial characteristics of the old press and of the two proposed presses are summarized in what follows. Old press Originally purchased 3 years ago at an installed cost of $400,000, it is being depreciated under MACRS using a 5-year recovery period. The old press has a remaining economic life of 5 years. It can be sold today to net $420,000 before taxes; if it is retained, it can be sold to net $150,000 before taxes at the end of 5 years. Press A This highly automated press can be purchased for $830,000 and will require $40,000 in installation costs. It will be depreciated under MACRS using a 5-year recovery period. At the end of the 5 years, the machine could be sold to net $400,000 before taxes. If this machine is acquired, it is anticipated that the current account changes shown in the following table would result. Integrative Case 5 Cash (+) $ 25,400 Accounts receivable (+) 120,000 Inventories (-) 20,000 Accounts payable (+) 35,000 Press B This press is not as sophisticated as press A. It costs $640,000 and requires $20,000 in installation costs. It will be depreciated under MACRS using a 5-year recovery period. At the end of 5 years, it can be sold to net $330,000 before taxes. Acquisition of this press will have no effect on the firm’s net working capital investment. The firm estimates that its earnings before depreciation, interest, and taxes withthe old press and with press A or press B for each of the 5 years would be as shown in the table at the top of the next page. The firm is subject to a 40% tax rate. The firm’s cost of capital, r, applicable to the proposed replacement is 14%. Earnings before Depreciation, Interest, and Taxes for Lasting Impressions Company’s Presses Year - Old press - Press A - Press B 1- $120,000 - $250,000 - $210,000 2 - 120,000 - 270,000 - 210,000 3 - 120,000 - 300,000 - 210,000 4 - 120,000 - 330,000 - 210,000 5 - 120,000 - 370,000 - 210,000
TO DO
a. For each of the two proposed replacement presses, determine:
(1) Initial investment.
(2) Operating cash inflows. (Note: Be sure to consider the depreciation in year 6.)
(3) Terminal cash flow. (Note: This is at the end of year 5.)
b. Using the data developed in part a, find and depict on a time line the relevant cash flow stream associated with each of the two proposed replacement presses, assuming that each is terminated at the end of 5 years.
c. Using the data developed in part b, apply each of the following decision techniques:
(1) Payback period. (Note: For year 5, use only the operating cash inflows—that is, exclude terminal cash flow—when making this calculation.)
(2) Net present value (NPV).
(3) Internal rate of return (IRR).
In: Finance
Principles of Financial Accounting
On January 1, 2018, Hobart Mfg. Co. purchased a drill press at a cost of $36,000. The drill press is expected to last 10 years and has a residual value of $6,000. During its 10-year life, the equipment is expected to produce 500,000 units of product. In 2018 and 2019, 25,000 and 84,000 units, respectively, were produced.
1. Compute depreciation expense, accumulated depreciation and the book value of the drill press at December 31, 2018 and 2019, assuming the straight-line method is used.
2. Compute depreciation expense, accumulated depreciation and the book value of the drill press at December 31, 2018 and 2019, assuming the double-declining-balance method is used.
3. Compute depreciation expense, accumulated depreciation and the book value of the drill press at December 31, 2018 and 2019, assuming the units-of-production method is used.
In: Accounting
A local news network has been accused of reporting inaccurate and misleading information to gain a wider audience. You don't believe that these accusations are valid and you've been hired as a consultant to launch an initiative that will help repair the company's image. Towards which groups do your efforts need to be focused
In: Economics
Review the Medsker and McDorman article and Nixon's resignation address. How is the President treated as the accused by the courts? The Justices admit they were not "required to proceed against the president as against an ordinary individual" (United States v. Nixon 708, 715). What do you think Aristotle would have thought of this?
In: Psychology