QUESTION 1

A) Mr Baxter is planning on travelling with his family to the Soccer World Cup semifinals and final in North America in six years time and would like to start saving today towards the cost of the trip. Victory Ltd, an international sports tour operator has estimated that the cost for him and his family in six years time would amount to R 350 000 in total. This would include the cost of the flights, accommodation and stadium tickets. He has approached you, his financial advisor, on the best way to go about saving for this trip.

REQUIRED:
If Mr Baxter could invest a lump sum of R 75 000 today in a fixed deposit offering ten percent (10%), compounded bi‐annually. In addition to this he will save on a monthly basis. Calculate the amount he would then need to deposit monthly at the beginning of each month in an annuity offered by Bucks Assets Managers at an interest rate of eighteen percent (18%) per annum compounded monthly, in order to make up the shortfall.

B) Mr Hamilton would like to purchase a vehicle for his son’s 21st birthday. If the vehicle costs R225 000 and the dealership requires a twenty percent (20%) deposit with monthly repayments at an interest rate of 15% compounded monthly over five years, how much sooner would Mr Hamilton be able to repay the loan agreement if he decided to offer a twenty five percent (25%) deposit and kept the monthly instalments the same as originally calculated with the deposit requested by the dealership.

ACB Co. and SCG Co. are competitors in soft drink products market. They consider investing some money in advertising campaigns. If ACB Co. invests $30000 in advertising campaign, it will gain 5% market share if SCG Co. does nothing, it will gain 3% market share if SCG Co. invests $15000 in advertisement, and gain 2% market share if SCG Co. invests $22000 in advertisement. If ACB Co. invests $25000 in advertising campaign, it will gain 4% market share if SCG Co. does nothing, it will gain 1% market share if SCG Co. invests $15000 in advertisement, and loss 1% market share if SCG Co. invests $22000 in advertisement. If ACB Co. does nothing, it will not loss its market share if SCG Co. does nothing, it will loss 3% market share if SCG Co. invests $15000 in advertisement, and loss 4% market share if SCG Co. invests $22000 in advertisement.

(a)Develop a payoff table for this problem.

(b) What are the best strategies for each company using?

(c) What is the value of the game? Which company has more advantages?

Dr. Sam Wise, medical director at San Diego Valley Hospital, has just conducted a meeting in which he informed those in attendance of an acute outbreak of Zika virus. In the past 36 hours, two men and one woman, completely unrelated to one another, have presented to Valley’s ER with the symptoms of Zika virus. Their only commonality is that they all live within an area of 17 square miles.

Patient 1, Stevie, is a 24-year-old graduate student at San Diego State University. He is not in a relationship and has had no sexual contact in more than three months. He has not traveled out of the greater San Diego area in the past five months, and he has never left the west coast of the United States.

Patient 2, Tiffany, is a 31-year-old marketing executive. She is married with two children, ages 3 and 4. Tiffany was in Seattle for a weekend, two weeks ago, but she has, otherwise, not left San Diego in more than six months. Her husband and children have not left San Diego in more than a year. Tiffany’s husband and her children exhibit no symptoms of Zika.

Patient 3, Enrique, is a 39-year-old carpenter. He owns his own business, which has him traveling all over the region, within a 100-mile radius of San Diego. However, he has never traveled any farther than that. Enrique is married with four children, aged between 3 and 8 years of age. No one in Enrique’s family has exhibited any Zika symptoms.

Because all of the children are too young to date, and there are no extramarital behaviors in either Tiffany’s or Enrique’s relationships, the possibility of others being infected through sexual intercourse is eliminated. As well, none of the infected parties have traveled to a high risk area.

As the director of community relations at San Diego Valley Hospital, Dr. Wise has charged you with the task of writing an article to be released to the public through the local newspaper. Dr. Wise has charged you with informing the public of a potential Zika outbreak. Your article must include a discussion of the epidemiological triangle, modes of transmission, symptoms of Zika, high-risk populations, associated morbidities, known vaccines, prevention measures, etc. Your article must be written in a lay fashion. In order to assist you in writing the article, the hospital’s epidemiologist has provided you with these CDC-supported resources.

Pearl Products Limited of Shenzhen, China, manufactures and distributes toys throughout South East Asia. Three cubic centimeters (cc) of solvent H300 are required to manufacture each unit of Supermix, one of the company’s products. The company now is planning raw materials needs for the third quarter, the quarter in which peak sales of Supermix occur. To keep production and sales moving smoothly, the company has the following inventory requirements:

1. The finished goods inventory on hand at the end of each month must equal 4,000 units of Supermix plus 25% of the next month’s sales. The finished goods inventory on June 30 is budgeted to be 21,250 units.

2. The raw materials inventory on hand at the end of each month must equal one-half of the following month’s production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 105,375 cc of solvent H300.

3. The company maintains no work in process inventories.

A monthly sales budget for Supermix for the third and fourth quarters of the year follows.

Required:

1. Prepare a production budget for Supermix for the months July, August, September, and October.

3. Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July, August, and September, and for the quarter in total.

Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July, August, and September, and for the quarter in total.

• Required 1

Pearl Products Limited of Shenzhen, China, manufactures and distributes toys throughout South East Asia. Three cubic centimeters (cc) of solvent H300 are required to manufacture each unit of Supermix, one of the company’s products. The company now is planning raw materials needs for the third quarter, the quarter in which peak sales of Supermix occur. To keep production and sales moving smoothly, the company has the following inventory requirements:

The finished goods inventory on hand at the end of each month must equal 2,000 units of Supermix plus 20% of the next month’s sales. The finished goods inventory on June 30 is budgeted to be 10,600 units.

The raw materials inventory on hand at the end of each month must equal one-half of the following month’s production needs for raw materials. The raw materials inventory on June 30 is budgeted to be 66,000 cc of solvent H300.

The company maintains no work in process inventories.

A monthly sales budget for Supermix for the third and fourth quarters of the year follows.

Required:

1. Prepare a production budget for Supermix for the months July, August, September, and October.

3. Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July, August, and September, and for the quarter in total.

Prepare a direct materials budget showing the quantity of solvent H300 to be purchased for July, August, and September, and for the quarter in total.

What are relevant Audit and applicable standards discuss different types of assurances your firm can provide in South Africa context

Describe the culture of South Africa that you observed from the movie, “Skin.” How did it directly impact Sandra and her family?

Please discuss the specific components and initiatives that formed the Jim Crow laws and Black Disenfranchisement in the South. Compare these to the racial stratification in the West.

What are the stated aims of the Association of South East Asian Nations (ASEAN)? What are the risks of working with a business partner from ASEAN?

What accounts for the different timing and pace of economic growth in Japan, China, and South Korea? Give two examples and please be specific.