The flowing numbers come from an equity statement for fiscal year 2011 (in millions):
Shareholders’ equity May 31, 2010 $2,700
Issue of shares for exercise of stock options 405
Repurchase of shares (132)
Net income 467
Unrealized loss on debt securities (23)
Tax benefit from the exercise of stock options 70
Common dividends paid (250)
Preferred dividends paid (10)
Shareholders’ equity May 31, 2011 3,227
The firm’s tax rate is 35 percent. Shareholders’ equity at May 31, 2010 includes $120 million in preferred stock.
a. Calculate the loss to common shareholders from the exercise of stock options.
b. Present a reformulated statement of common shareholders’ equity that identifies comprehensive income and separates it from net payout to shareholders.
c. What was the return on common equity (ROCE) for the year? (Use beginning equity in this calculation.)
In: Accounting
Your company is considering a project to increase greatly the amount of the technology in the office, including the addition of touchscreens, wireless communication devices, and LED televisions. To implement all of these changes, the investment will cost the company $200,000. The investment is expected to generate $70,000 in return the first year, but that number will decrease by $10,000 per year as that technology begins to grow obsolete. The following table describes expected cash flow from this technology boom. Calculate the PBP, IRR, ROI, NPV, BCR
|
Year |
Cash Flow |
|
0 |
-$200,000.00 |
|
1 |
$70,000.00 |
|
2 |
$60,000.00 |
|
3 |
$50,000.00 |
|
4 |
$40,000.00 |
In: Finance
write an Impact Statement on water resources and how to get drinkable water to everyone worldwide How will your use of science and technology impact a people group with this problem? (~1-2 Pages) 7. State the problem. 8. State the technology and science you intend to use to solve the problem. 9. Introduce the people group affected by the problem. 10. Describe what has been done to improve the problem and the impact it has had on the people group. 11. Describe a range of possible (technology and science) solutions to the problem. Detail possible affects on the people group if these solutions are utilized. 12. Conclusion
In: Biology
1) Which human services settings and/or trends, are most represented in your area? For example, are all of the services targeted toward a specific population? Are the services only available in urban areas?
2) Is technology included in one of the ways a client can access the services you found? If yes, provide specific examples. If not, how can technology be used with the services/resources you found in your community? Based on what you learned about services in your area, what suggestions can you make regarding the use of technology, if you were advising the head of the agencies servicing
In: Psychology
Assume you invented a new plastic-shaping technology that allows plastic products to be manufactured much more cheaply. When you talk to manufacturers, though, they are skeptical because the new method is so radically different from any technology they have ever used before. What do you think the sales cycle for the technology would look like? What would the most important step of the sales cycle be? Why? What type of sales force would you utilize and why? What marketing activities could help you shorten the sales cycle and how?
In: Operations Management
Project Details
John and Jane Doe are newlyweds with executive track careers at ACME Gadget Company. In five years, the Does would like to have a family, envisioning two young children, Jack and Jill. With an eye for the future, John and Jane are now looking to ensure that their future family has a place to call home, that their future children will have access to all the education they desire, and that they themselves will be able to enjoy retirement when the time comes. As such, they’ve come to your financial planning company for advice for purchasing a house, planning for retirement, setting up a RESP and for your perspective on a side venture. They’ve provided you with the background and questions below.
A side-venture
Jane is an inventor, working for the ACME Gadget Company in research and development. She recently proposed the development of an advanced technology, but it was deemed too risky for R&D at ACME. However, ACME has agreed that if Jane successfully develops the technology on her own, ACME will acquire a license to use the technology for a period of 10 years. To develop the technology will require an initial expenditure of $150,000 and an additional expenditure of $150,000 at the end of each of the next 2 years. When the patent is approved in Year 4, it is expected to be licensed to the ACME Gadget Company for an upfront fee of 100,000 plus an additional fee of $90,000/year for 10 years. At that time the product that uses the technology will be replaced by a new model. What is the rate of return on the Jane’s advanced technology?
Please include calculations and diagrams.
In: Finance
Project Details
John and Jane Doe are newlyweds with executive track careers at ACME Gadget Company. In five years, the Does would like to have a family, envisioning two young children, Jack and Jill. With an eye for the future, John and Jane are now looking to ensure that their future family has a place to call home, that their future children will have access to all the education they desire, and that they themselves will be able to enjoy retirement when the time comes. As such, they’ve come to your financial planning company for advice for purchasing a house, planning for retirement, setting up a RESP and for your perspective on a side venture. They’ve provided you with the background and questions below.
A side-venture
Jane is an inventor, working for the ACME Gadget Company in research and development. She recently proposed the development of an advanced technology, but it was deemed too risky for R&D at ACME. However, ACME has agreed that if Jane successfully develops the technology on her own, ACME will acquire a license to use the technology for a period of 10 years. To develop the technology will require an initial expenditure of $150,000 and an additional expenditure of $150,000 at the end of each of the next 2 years. When the patent is approved in Year 4, it is expected to be licensed to the ACME Gadget Company for an upfront fee of 100,000 plus an additional fee of $90,000/year for 10 years. At that time the product that uses the technology will be replaced by a new model. What is the rate of return on the Jane’s advanced technology?
Please include calculations and diagrams.
In: Advanced Math
A new product is being evaluated. Market research has surveyed the potential market for this product and believes that it will generate a total demand of 50,000 units at average price of $280. Total sots for the various value-chain functions using existing process technology are:
| Value Chain Function | Total cost over Product life |
|
R & D |
4,510,000 |
| Design | 730,000 |
| Manufacturing | 3,000,000 |
| Marketing | 900,000 |
| Distribution | 1,100,000 |
| Customer Service | 760,000 |
| Total Cost over product life | $11,000,000 |
Management has a target profit percentage of 40% of sales. Production engineering indicates that a new process technology can reduce the manufacturing cost by 40% but it will cost $150,000.
1. Assuming the existing process technology is used, should the new product be releases to production?
The unit target cost is $X. The expected average unit cost if the new product is release to production would be $X. The new product Should/Should not be released to production because the expected average unity cost is greater than/less than the unit target cost.
2. Assuming the new process technology is purchased, should the new product be released to production?
First calculate the total cost savings if the new process technology is purchased.
The total cost savings will be $X.
If the new process technology is purchased, the expected average unity cost will be $X. The new product should/should not be released to production because the expected average unit cost is greater than/less than the unit target cost.
In: Accounting
Technological changes have decreased the cost and
increased the speed of information dissemination in security
market.
As the Technology is agile and keep on evolving day by day so, the
impact of it may affect the security price. Technology has made
possible the fastest means of the communication and data
dissemination in all the fields. In order to know the price of the
security then open your connection start surfing for it, you will
have the value for your searched security.
As in the field of finance the information dissemination is very
important and it cost in terms of some values. Due to the
technology, the speedup of the process is there. Online processes
are more clear and concise.
It is the matter of one’s suspect that firms following the
traditional approach to invest management would find it
increasingly difficult to identify and acquire under-priced
security in this environment. This is so because the traditional
approach is not automated one so humans are involved so there might
be error in valuing the security manually. The traditional approach
has evolved with the effect of technology. As in the growing world
one is paying for the worth of the services of the technology with
the security market investment prices so he/ she will be more
concerned about the investment. Under-priced security has not
generating much profit or wealth creation for the customer’s
investment. There is less security in the world of technology but
it is far more less in the traditional approach. The asymmetry of
the information dissemination is there
Evaluate the strength and weaknesses of each of the
two approaches presented
above. Recommend and justify an alternative process [or asset
allocation that
draws from the strength of each approach and corrects their
weaknesses
In: Finance
Bonobo’s Balloons Inc. purchased the $60,000 par value bonds of Gnomes R Us on January 1, 2020. The coupon rate is 8% and the bonds mature in 5 years. The market rate of interest is 12%. The bonds pay interest semi-annually every June 30 and December 31. The bonds were purchased for $51,167.90 and were classified as available-for-sale. Bonobo’s Balloons uses the effective-interest rate method to amortize bond discounts and premiums. At December 31, 2020, the market value of the bonds was $65,000. Bonobo’s Balloons sold the bonds on January 1, 2021, for $65,000.
Instructions
Computations:
Carrying value at December 31, 2020:
Interest revenue at June 30, 2020:
Unrealized gain/loss at December 31, 2020:
Gain or loss at January 1, 2021:
Requirement 5:
In: Accounting