Create the generating functions in closed form ( not as an infinite sum) using the sequences:
example: 1,1,1,1,1,1,... = 1/(1-x)
1. 0,1,1,1,1,1,...
2. 1,0,0,1,0,0,1,0,0,1,0,0,1,...
3. 0, 0,0,0,1,1,1,1,1,1,1,1,1,...
4. 1, -1, 1, -1, 1,....
5. 1,1,1,0,0,1,1,1,1,1,1,1,1,1,...
6. 0,0,0,1,2,3,4,5,6,..
7. 3,2,4,1,1,1,1,1,...
8. 0,2,0,0,2,0,0,2,0,0,..
In: Advanced Math
In: Physics
Roho Company acquired equipment on July 1, 2019, for $100,000. The residual value is $20,000 and the estimated life is 5 years or 40,000 hours. Compute the depreciation expense for the years ending December 31, 2019 and December 31, 2020 if Roho Company uses the double−declining−balance method of depreciation.
A. $9000 for 2019; $ 36400 for 2020
B. $20000 for 2019; $ 32000 for 2020
C. $4500 for 2019; $ 9000 for 2020
D. $40000 for 2019; $ 24000 for 2020
In: Accounting
In March 2020, a bank saw a 6% drop in assets, a 30% drop in capital, but no change in liabilities.
(a) How much was the bank's leverage ratio
(defined as the equity multiplier) at the beginning of March
2020?
(b) How much was the bank's leverage ratio
(defined as the equity multiplier) at the end of March 2020?
(c) In April 2020, the bank's assets decreased
by 2%, while the bank's liabilities remained unchanged. What was
the percentage change in the bank's capital in April 2020?
In: Economics
Case Study 2 – Auditing ACCT3000 (Semester 2, 2019)
You are an Audit Senior currently planning the 30 June 20X9 audit
of Technology Limited, an Australian-owned company that produces
and exports computer chips to China. At a recent planning meeting
with Technology Limited’s senior staff, you obtained the following
overview of this year’s operations:
Tight checks by Australian custom officials have delayed several
shipments of computer chips. These delays have angered Chinese
customers who are threatening to deduct 20% from the amounts owing
as compensation for lost production time.
One of Technology Limited’s customers, Blue Chip Limited, is
claiming that the latest batch of computer chips it received was
found to be faulty. Blue Chip Limited is refusing to pay its
account, which is allegedly seven months overdue. Technology
Limited has claimed to have launched an investigation into the
allegations, but as yet not been able to substantiate them.
Technology Limited has suffered significant cash flow problems
because another major customer, Creative Limited (Creative), is
experiencing financial difficulties. As a result, Creative is
taking well over 120 days to pay outstanding amounts, despite
Creative’s terms of trade being payment within 30 days. Creative
makes up 40 per cent of Technology Limited’s sales and the board
has been reluctant to take any action that might adversely affect
those sales. Consequently, Technology Limited has had to increase
its dependency on its line of credit, and this has caused it to
temporarily breach the debt to equity ratio required in its loan
covenant with Big Bank Limited.
One of Technology Limited’s major suppliers went bankrupt one month
ago, causing major product shortages. To overcome the problem,
Peter James, the husband of the finance director, Natalie James,
provided electronic components used in the production of computer
chips to Technology Limited through his private company Norton
Limited. Norton Limited demands payment in $US prior to the
electronic components being supplied. There is no formal agreement
in place with Peter James, however, the goods are being provided at
competitive prices. You are concerned about the electronic
components that Peter James’ company is supplying, because his
products are new to the market and you have heard some of
Technology Limited’s staff complaining that they are of poor
quality.
Due to increased competitive pressure, Technology Limited has
recently moved the manufacture of some of its computer chips to
Bangladesh. Technology Limited saves around 25 per cent in costs
compared to the equivalent Australian made items. However, the
manufacturing process takes longer and on a few occasions late
delivery from Bangladesh has resulted in lost sales.
Last month, a protester suffered a broken leg, allegedly because he
was hit by a company truck. The protester is now suing Technology
Limited for damages, claiming the contractor was in fact an
employee of Technology Limited at the time of the accident, and was
acting on Technology Limited’s instructions. Technology Limited is
fighting the case and appears to have a reasonable chance of
winning; however, the adverse publicity being generated is making
the company nervous about its sales in the future.
During the period, the Australian dollar has remained steady
against the Chinese Yuan, although it fell by about 3% against the
US dollar. Debtors are invoiced in $US at the time of shipment, and
payment is received in $US one month after the shipment is
delivered. It takes around six weeks for the charter vessels to
travel from Technology Limited’s shipyard at Bigmantle Bay to
China. A recent downturn in the Chinese economy is affecting
forward orders, which have fallen by 15%.
Required:
Prepare a memorandum to the audit manager, outlining your risk
assessment relating to Technology
Limited. When making your risk assessment:
(a) Identify two (2) balance sheet accounts from the information
provided that are subjected
to an increase in audit risk. Briefly explain what factors increase
the audit risk associated
with the two (2) account balances identified. In your explanation,
please mention the key
assertion(s) at risk of material misstatement and the components of
the audit risk model
affected for each account balance identified.
(b) Identify how the audit plan will be affected and recommend
specific audit procedures to
address the risks associated with each account balance
identified.
(Please Note – Maximum Word Limit: 800 Words excluding
references)
In: Accounting
Case Study 2 – Auditing ACCT3000 (Semester 2, 2019)
You are an Audit Senior currently planning the 30 June 20X9 audit
of Technology Limited, an Australian-owned company that produces
and exports computer chips to China. At a recent planning meeting
with Technology Limited’s senior staff, you obtained the following
overview of this year’s operations:
Tight checks by Australian custom officials have delayed several
shipments of computer chips. These delays have angered Chinese
customers who are threatening to deduct 20% from the amounts owing
as compensation for lost production time.
One of Technology Limited’s customers, Blue Chip Limited, is
claiming that the latest batch of computer chips it received was
found to be faulty. Blue Chip Limited is refusing to pay its
account, which is allegedly seven months overdue. Technology
Limited has claimed to have launched an investigation into the
allegations, but as yet not been able to substantiate them.
Technology Limited has suffered significant cash flow problems
because another major customer, Creative Limited (Creative), is
experiencing financial difficulties. As a result, Creative is
taking well over 120 days to pay outstanding amounts, despite
Creative’s terms of trade being payment within 30 days. Creative
makes up 40 per cent of Technology Limited’s sales and the board
has been reluctant to take any action that might adversely affect
those sales. Consequently, Technology Limited has had to increase
its dependency on its line of credit, and this has caused it to
temporarily breach the debt to equity ratio required in its loan
covenant with Big Bank Limited.
One of Technology Limited’s major suppliers went bankrupt one month
ago, causing major product shortages. To overcome the problem,
Peter James, the husband of the finance director, Natalie James,
provided electronic components used in the production of computer
chips to Technology Limited through his private company Norton
Limited. Norton Limited demands payment in $US prior to the
electronic components being supplied. There is no formal agreement
in place with Peter James, however, the goods are being provided at
competitive prices. You are concerned about the electronic
components that Peter James’ company is supplying, because his
products are new to the market and you have heard some of
Technology Limited’s staff complaining that they are of poor
quality.
Due to increased competitive pressure, Technology Limited has
recently moved the manufacture of some of its computer chips to
Bangladesh. Technology Limited saves around 25 per cent in costs
compared to the equivalent Australian made items. However, the
manufacturing process takes longer and on a few occasions late
delivery from Bangladesh has resulted in lost sales.
Last month, a protester suffered a broken leg, allegedly because he
was hit by a company truck. The protester is now suing Technology
Limited for damages, claiming the contractor was in fact an
employee of Technology Limited at the time of the accident, and was
acting on Technology Limited’s instructions. Technology Limited is
fighting the case and appears to have a reasonable chance of
winning; however, the adverse publicity being generated is making
the company nervous about its sales in the future.
During the period, the Australian dollar has remained steady
against the Chinese Yuan, although it fell by about 3% against the
US dollar. Debtors are invoiced in $US at the time of shipment, and
payment is received in $US one month after the shipment is
delivered. It takes around six weeks for the charter vessels to
travel from Technology Limited’s shipyard at Bigmantle Bay to
China. A recent downturn in the Chinese economy is affecting
forward orders, which have fallen by 15%.
Required:
Prepare a memorandum to the audit manager, outlining your risk
assessment relating to Technology
Limited. When making your risk assessment:
(a) Identify two (2) balance sheet accounts from the information
provided that are subjected
to an increase in audit risk. Briefly explain what factors increase
the audit risk associated
with the two (2) account balances identified. In your explanation,
please mention the key
assertion(s) at risk of material misstatement and the components of
the audit risk model
affected for each account balance identified.
(b) Identify how the audit plan will be affected and recommend
specific audit procedures to
address the risks associated with each account balance
identified.
(Please Note – Maximum Word Limit: 800 Words excluding
references)
In: Accounting
Kingbird Company, a manufacturer of small tools, provided the
following information from its accounting records for the year
ended December 31, 2020.
| Inventory at December 31, 2020 (based on physical count of goods in Kingbird’s plant, at cost, on December 31, 2020) | $1,419,220 | |
| Accounts payable at December 31, 2020 | 1,295,400 | |
| Net sales (sales less sales returns) | 8,926,300 |
Additional information is as follows.
| 1. | Included in the physical count were tools billed to a customer f.o.b. shipping point on December 31, 2020. These tools had a cost of $32,100 and were billed at $41,100. The shipment was on Kingbird’s loading dock waiting to be picked up by the common carrier. | |
| 2. | Goods were in transit from a vendor to Kingbird on December 31, 2020. The invoice cost was $77,100, and the goods were shipped f.o.b. shipping point on December 29, 2020. | |
| 3. | Work in process inventory costing $31,100 was sent to an outside processor for plating on December 30, 2020. | |
| 4. | Tools returned by customers and held pending inspection in the returned goods area on December 31, 2020, were not included in the physical count. On January 8, 2021, the tools costing $33,100 were inspected and returned to inventory. Credit memos totaling $48,100 were issued to the customers on the same date. | |
| 5. | Tools shipped to a customer f.o.b. destination on December 26, 2020, were in transit at December 31, 2020, and had a cost of $27,100. Upon notification of receipt by the customer on January 2, 2021, Kingbird issued a sales invoice for $43,100. | |
| 6. | Goods, with an invoice cost of $28,100, received from a vendor at 5:00 p.m. on December 31, 2020, were recorded on a receiving report dated January 2, 2021. The goods were not included in the physical count, but the invoice was included in accounts payable at December 31, 2020. | |
| 7. | Goods received from a vendor on December 26, 2020, were included in the physical count. However, the related $57,100 vendor invoice was not included in accounts payable at December 31, 2020, because the accounts payable copy of the receiving report was lost. | |
| 8. | On January 3, 2021, a monthly freight bill in the amount of $9,100 was received. The bill specifically related to merchandise purchased in December 2020, one-half of which was still in the inventory at December 31, 2020. The freight charges were not included in either the inventory or in accounts payable at December 31, 2020. |
Prepare a schedule of adjustments as of December 31, 2020, to the
initial amounts per Kingbird’s accounting records. (If
an amount reduces the account balance then enter either with a
negative sign preceding the number, e.g. -15,000 or in parenthesis,
e.g. (15,000).)
|
KINGBIRD COMPANY |
||||||
|
Inventory |
Accounts Payable |
Net Sales |
||||
| Initial amounts | $1,419,220 | $1,295,400 | $8,926,300 | |||
| Adjustments: | ||||||
| 1. | ||||||
| 2. | ||||||
| 3. | ||||||
| 4. | ||||||
| 5. | ||||||
| 6. | ||||||
| 7. | ||||||
| 8. | ||||||
| Total adjustments | ||||||
| Adjusted amounts | $ | $ | $ | |||
In: Accounting
Sunland Company, a manufacturer of small tools, provided the
following information from its accounting records for the year
ended December 31, 2020.
| Inventory at December 31, 2020 (based on physical count of goods in Sunland’s plant, at cost, on December 31, 2020) | $1,467,950 | |
| Accounts payable at December 31, 2020 | 1,182,000 | |
| Net sales (sales less sales returns) | 7,990,400 |
Additional information is as follows.
| 1. | Included in the physical count were tools billed to a customer f.o.b. shipping point on December 31, 2020. These tools had a cost of $31,700 and were billed at $40,700. The shipment was on Sunland’s loading dock waiting to be picked up by the common carrier. | |
| 2. | Goods were in transit from a vendor to Sunland on December 31, 2020. The invoice cost was $76,700, and the goods were shipped f.o.b. shipping point on December 29, 2020. | |
| 3. | Work in process inventory costing $30,700 was sent to an outside processor for plating on December 30, 2020. | |
| 4. | Tools returned by customers and held pending inspection in the returned goods area on December 31, 2020, were not included in the physical count. On January 8, 2021, the tools costing $32,700 were inspected and returned to inventory. Credit memos totaling $47,700 were issued to the customers on the same date. | |
| 5. | Tools shipped to a customer f.o.b. destination on December 26, 2020, were in transit at December 31, 2020, and had a cost of $26,700. Upon notification of receipt by the customer on January 2, 2021, Sunland issued a sales invoice for $42,700. | |
| 6. | Goods, with an invoice cost of $27,700, received from a vendor at 5:00 p.m. on December 31, 2020, were recorded on a receiving report dated January 2, 2021. The goods were not included in the physical count, but the invoice was included in accounts payable at December 31, 2020. | |
| 7. | Goods received from a vendor on December 26, 2020, were included in the physical count. However, the related $56,700 vendor invoice was not included in accounts payable at December 31, 2020, because the accounts payable copy of the receiving report was lost. | |
| 8. | On January 3, 2021, a monthly freight bill in the amount of $8,700 was received. The bill specifically related to merchandise purchased in December 2020, one-half of which was still in the inventory at December 31, 2020. The freight charges were not included in either the inventory or in accounts payable at December 31, 2020. |
Prepare a schedule of adjustments as of December 31, 2020, to the
initial amounts per Sunland’s accounting records. (If
an amount reduces the account balance then enter either with a
negative sign preceding the number, e.g. -15,000 or in parenthesis,
e.g. (15,000).)
|
SUNLAND COMPANY |
||||||
|
Inventory |
Accounts Payable |
Net Sales |
||||
| Initial amounts | $1,467,950 | $1,182,000 | $7,990,400 | |||
| Adjustments: | ||||||
| 1. | ||||||
| 2. | ||||||
| 3. | ||||||
| 4. | ||||||
| 5. | ||||||
| 6. | ||||||
| 7. | ||||||
| 8. | ||||||
| Total adjustments | ||||||
| Adjusted amounts | $ | $ | $ | |||
In: Accounting
1. You have just won the prize in the State lottery. A recent innovation is to offer prize winners a choice of payoffs. You must choose one of the following prizes:
a. $1,000,000 paid immediately
b. $600,000 paid exactly one year from today, and another $600,000
paid exactly 3 years from today
c. $70,000 payment at the end of each year forever (first payment
occurs exactly 1 year from today)
d. An immediate payment of $600,000, then beginning exactly 5 years
from today, an annual payment of $50,000 forever
e. An annual payment of $200,000 for the next 7 years (first
payment occurs exactly 1 year from today)
You believe that 8% p.a. compounded annually is an appropriate
discount rate. Assuming you wish to maximize your current wealth,
which is the best prize?
2. Kate's financial advisor tells her that she wil need $2 million to fund her retirement. She plans to work for another 30 years before retiring. She will make 30 contributions to a pension. How much will each contribution be, if the interest rate is 9% p.a?
3. Mary has just retired and has $1 miliom in her retirement account. Her bank offers an arrangement whereby the bank takes her $1 million now and pays her $110,000 at the end of each year for the next 20 years. Is it a fair deal, if the offered rate is 10%p.a?
In: Finance
Group lending was the most striking innovation of the Grameen Bank, and it has been widely imitated by other microfinance initiatives.
(a). How does group lending address the problems that limit the supply of credit to poor households from traditional formal-sector lenders (e.g., banks)?
(b). A careful study of the operations of the Grameen Bank in the early 1990s concluded that each dollar of lending increased the consumption expenditures of borrowing households by 17 cents relative to what they would have been without the loan (repayment rates were almost 100% so this was net of repayment). Loans were very costly to administer, however, and at the interest rate charged on the loans, the Grameen Bank required a subsidy of 22 cents on every dollar of lending to remain sustainable. In your view, does this look like an effective use of public funds? Would it be better, for example, to reduce the subsidy (i.e., increase the commercial viability of the operation) by charging a higher interest rate?
In: Economics