Follow the format shown in Exhibit 12B.1 and Exhibit 12B.2 as you complete the requirements below.

Each of the following scenarios is independent. Assume that all cash flows are after-tax cash flows.

1. Cuenca Company is considering the purchase of new equipment that will speed up the process for producing flash drives. The equipment will cost $7,200,000 and have a life of 5 years with no expected salvage value. The expected cash flows associated with the project follow:

   Year		Cash Revenues		Cash Expenses
   1		$8,000,000		$6,000,000
   2		8,000,000		6,000,000
   3		8,000,000		6,000,000
   4		8,000,000		6,000,000
   5		8,000,000		6,000,000

2. Kathy Shorts is evaluating an investment in an information system that will save $240,000 per year. She estimates that the system will last 10 years. The system will cost $1,248,000. Her company's cost of capital is 10%.
3. Elmo Enterprises just announced that a new plant would be built in Helper, Utah. Elmo told its stockholders that the plant has an expected life of 15 years and an expected IRR equal to 25%. The cost of building the plant is expected to be $2,880,000.

Required:

1. Calculate the IRR for Cuenca Company. The company's cost of capital is 16%. Round your answer to the nearest percent.
%

Should the new equipment be purchased?
No

2. Calculate Kathy Short's IRR. Round your answer to the nearest percent.
%

Should she acquire the new system?
Yes

3. What should be Elmo Enterprises' expected annual cash flow from the plant? Round your answer to the nearest dollar.
$

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Northwood Company manufactures basketballs. The company has a ball that sells for $25. At present, the ball is manufactured in a small plant that relies heavily on direct labor workers. Thus, variable expenses are high, totaling $15.00 per ball, of which 60% is direct labor cost.

Last year, the company sold 44,000 of these balls, with the following results:

Required:

1. Compute (a) last year's CM ratio and the break-even point in balls, and (b) the degree of operating leverage at last year’s sales level.

2. Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per ball. If this change takes place and the selling price per ball remains constant at $25.00, what will be next year's CM ratio and the break-even point in balls?

3. Refer to the data in (2) above. If the expected change in variable expenses takes place, how many balls will have to be sold next year to earn the same net operating income, $123,000, as last year?

4. Refer again to the data in (2) above. The president feels that the company must raise the selling price of its basketballs. If Northwood Company wants to maintain the same CM ratio as last year (as computed in requirement 1a), what selling price per ball must it charge next year to cover the increased labor costs?

5. Refer to the original data. The company is discussing the construction of a new, automated manufacturing plant. The new plant would slash variable expenses per ball by 40.00%, but it would cause fixed expenses per year to double. If the new plant is built, what would be the company’s new CM ratio and new break-even point in balls?

6. Refer to the data in (5) above.

a. If the new plant is built, how many balls will have to be sold next year to earn the same net operating income, $123,000, as last year?

b. Assume the new plant is built and that next year the company manufactures and sells 44,000 balls (the same number as sold last year). Prepare a contribution format income statement and compute the degree of operating leverage.

Due to an increase in labor rates, the company estimates that next year's variable expenses will increase by $3.00 per ball. If this change takes place and the selling price per ball remains constant at $25.00, what will be next year's CM ratio and the break-even point in balls? (Round "CM Ratio" to 2 decimal places and "Unit sales to break even" to the nearest whole unit.)

REQ 2

REQ 3

Refer to the data in Required (2). If the expected change in variable expenses takes place, how many balls will have to be sold next year to earn the same net operating income, $123,000, as last year? (Round your answer to the nearest whole unit.)

REQ 4

Refer again to the data in Required (2). The president feels that the company must raise the selling price of its basketballs. If Northwood Company wants to maintain the same CM ratio as last year (as computed in requirement 1a), what selling price per ball must it charge next year to cover the increased labor costs? (Round your answer to 2 decimal places.)

Refer to the original data. The company is discussing the construction of a new, automated manufacturing plant. The new plant would slash variable expenses per ball by 40.00%, but it would cause fixed expenses per year to double. If the new plant is built, what would be the company’s new CM ratio and new break-even point in balls? (Round "CM Ratio" to 2 decimal places and "Unit sales to break even" to the nearest whole unit.)

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If the new plant is built, how many balls will have to be sold next year to earn the same net operating income, $123,000, as last year? (Round your answer to the nearest whole unit.

Assume the new plant is built and that next year the company manufactures and sells 44,000 balls (the same number as sold last year). Prepare a contribution format income statement and compute the degree of operating leverage. (Round "Degree of operating leverage" to 2 decimal places.)

QUESTION 6

1. Other things equal, as perceived risk falls for a country,

QUESTION 7

1. Suppose investors and currency speculators expect that a currency will depreciate in about six months. This will cause the currency to begin depreciating now.

True

False

QUESTION 8

1. Which of the following tends to cause markets to expect a currency to have a higher value in the near future?

QUESTION 9

1. Suppose a country maintains a fixed exchange rate below the market exchange rate.

QUESTION 10

1. Suppose a country borrows somewhat more internationally than in the past. Keeping other things equal (like inflation and risk), this country's currency tends to weaken.

True

False

1) A 6.47 mm high firefly sits on the axis of, and 11.5 cm in front of, the thin lens A, whose focal length is 6.11 cm . Behind lens A there is another thin lens, lens B, with a focal length of 20.7 cm . The two lenses share a common axis and are 61.5 cm apart. Is the image of the firefly that lens B forms real or virtual? What is the height of this image? Express the answer as a positive number (nm)?

image distance from lens B cm:

2)

One of the inevitable consequences of aging is a decrease in the flexibility of the lens. This leads to the farsighted condition called presbyopia (elder eye). Almost every aging human will experience it to some extent. However, for the myopic, or nearsighted, person it is possible that far vision will be limited by a subpar far point and near vision will be hampered by an expanding near point. One solution is to wear bifocal lenses that are diverging in the upper half to correct the nearsightedness and converging in the lower half to correct the farsightedness.

Suppose one such individual asks for your help. The patient complains that she can’t see far enough to safely drive (her far point dfar=114 cmd and she can’t read the font of her smart phone without holding it beyond arm’s length (her near point dnear=81.0 cm? Prescribe the bifocals that will correct the visual issues for your patient.

a)What is the focal length fns of the part of the bifocal lens that corrects the patient's nearsightedness?

b) What is the focal length ffsffs of the part of the bifocal lens that corrects the patient's farsightedness?

Rub wool on the Styrofoam cup and hold it over tiny bits of paper on the lab table. What happens to the paper?

Put down some dark paper and a pile of salt and observe the interaction with the charged cup. What happens to the salt?

Consider the fundamental forces: gravity, electromagnetic, as observed with the interactions with salt and pepper. How does this demonstrate the relative strengths (which is stronger?) of these fundamental forces?

Rub the balloon with the wool cloth (or with your own hair). What kind of charge does the balloon acquire? Bring the charged balloon near the bits of paper or salt. Will it “pick up” tiny bits of paper? Yes Observe how distance affects the interactions. What difference does distance make?

Charge it up again and press against a wall made of sheetrock (not brick or stone). Will it stick to the wall? No Go to the sink, turn on the water so that there is a small, steady stream. “Charge up” your plastic tube and hold it close to the top of the stream of water. What happens and why?

Now rub the plastic tube with a square cut from a cooking bag. Write a procedure that you can use to determine if the plastic tube has acquired a net positive or a net negative charge from the cooking bag. (you can use some of the other materials).

Bring the plastic tube charged with the cooking bag near the aluminum can. What happens to the aluminum can when the tube charged from the cooking bag is held near it?

(a) Define 'tests of control' and explain the importance of tests of control in the audit of a
company.

(b) You are an audit senior in Asenso Boateng & Co a firm providing audit and assurance
services. One of your clients is an exclusive hotel called 'Rock City Hotel' situated in the
centre of Airport City Accra. As part of your audit procedures you are assessing the controls
surrounding payroll. You have read last year's audit file and have obtained the following
information:
The hotel employs both full and part time staff. Due to the nature of the business most of
the work is done in shifts. All staff are paid on a monthly basis.
New members of staff are given an electronic photo identification card on the day they join
by the personnel department. This card is used to 'clock in' and 'clock out' at the start and
end of the shift to record the hours worked.
At the end of each week the information recorded on the system is sent automatically to
the payroll department and also to the head of each of the three main operating divisions:
Rooms, Food & Beverage and Corporate Events. Each division head must reply back to the
payroll department by email to authorise the hours worked by their staff.
The payroll clerk collates all the authorised information and then inputs the hours worked
into a standardised computerised payroll package. This system is password protected using
an alphanumerical password that is only known to the payroll clerk and the finance
manager.
Once the hours have been entered, the calculation of the gross pay and taxation are
calculated automatically along with any other statutory deductions. At the end of the
calculations a payroll report is produced and printed. The finance manager reviews the
report and compares the data to last month to identify and follow up any unusual variances.
When he is satisfied with the information, he authorises the payroll run by signing the
payroll report and the payroll clerk submits the data.
Payslips are sent to the home address of each employee and payment is made by bank
transfer.
Required:

With reference to the scenario:
(i) Identify and explain FOUR STRENGTHS within the hotel's internal control system in
respect of payroll.

(ii) For each of the identified strengths, state a test of control the auditor could perform to
assess if the controls are operating effectively.

Please I need help on this question

Consider the plight of Robin of Lochslay. Initially, he owns $500 of wealth and the Sheriff of Nottingham also owns $500 of wealth. If they are the only two individuals who own wealth near Sherwood Forest, the Lorenz Curve lies on top of the 45 - degree line. True or false?

True

False

3. Explain the relationship between real exchange rates and output in a model of short run response to policy shocks. Why czn’t we answer this question about the long run relationship for an economy near full employment? You should graph relative demand and supply to make this happen.

You and your team are awarded a 1 year contract to supply/deliver, construct, test and commissioning of a 20 units 2-storey shophouse near your hometown. Construct a financial plan to illustrate your preparation of material and manpower delivery plan comprehensively.

Assuming the total budget will be $20,000,000

Examine the financial ratios, stock valuation and news about Amazon. Do you see the firm’s share price rising/decreasing in the near-, intermediate- and long-term? Do you believe the firm has a stable future of sustainable growth, currently stagnant, or is heading for financial failure? Why?