Do some research online and find 3 cars you are thinking of buying (ranging from low budget, to mid-budget, to one that is your dream car). Find their prices and how many miles per gallon they get

Car A: $26,793 28MPG

Car B: $39,735 17MPG

Car C: $161,139 13PMG

Suppose that you plan on using the car for 100,000 miles . Also let’s assume that all the cars have about the same overall cost of maintenance (just to simplify so you don't have to figure that into your calculations).

• The major uncertainty that you need to entertain is the price of gas in the future. You guess that there are roughly 4 options, given peak oil production and a tailing-off of global oil resources within the next 40 years (gas is a finite resource, in other words): 1) gas at $3 per gallon; 2) at $4; 3) at $5; 4) at $8. This is your partition, your states of affairs.

• The courses of action you may take are the three choices you have for your cars.

• The utilities you assign to your options are the respective price of each car plus the cost of gas for a “lifetime.”

a) Draw a table that lists the states of affairs across the top, and the choices/cars down the left side.

b) Work out the cost of gas for each car over its lifetime given the respective mpg, then fill in the utility of each choice (gas

plus cost of car) in each state of affairs. [40pts]

c) According to the table, is there an option that “dominates” the others? (Remember, in this example domination is about the lowest overall price.) In other words, is there a state of affairs in which one choice of car has costs lower than all the others AND in no other state of affairs does that choice of car cost more than any of the others? Briefly explain your answer and what that answer means.

d) Go back to the table you made in b). Attach the following probabilities to the gas prices over the lifetime of your car: 1) Pr($3)=50%; 2) Pr($4)=40%; 3) Pr($5)=8%; 4) Pr($8)=2%. Compute the expected value of each choice with these probability assignments, and then assess whether there is a value that dominates the others. Briefly explain your answer and what it means.

Problem 3:

Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes. The proprietor of the company believes that costs are driven primarily by the size of customer lawns, the size of customer garden beds, the distance to travel to customers, and the number of customers. In addition, the costs of maintaining garden beds depends on whether the beds are low maintenance beds (mainly ordinary trees and shrubs) or high maintenance beds (mainly flowers and exotic plants). Accordingly, the company uses the five activity cost pools listed below:

The company already has completed its first stage allocations of costs and has summarized its annual costs and activity as follows:

Required:

Compute the activity rate for each of the activity cost pools.

4. What are the three major types of product costs in a manufacturing company?

5. A company manufactures dressers and uses $100 worth of wood in each dresser. How would you classify the wood with respect to the following cost classifications?

Is the wood a product cost or period cost?

Is the wood a fixed cost or variable cost?

Is the wood a material cost or manufacturing overhead cost?

6. What is the main purpose for using managerial accounting in a business?

7. The company president makes $100,000 per year. You are the accountant and must determine how to properly classify the salary. How would you classify the salary with regard to the following cost classifications?

Is the salary a fixed or variable cost?

Is the salary a period or product cost?

Is the salary a direct labor cost or selling & administrative cost

Problem 3:

Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes. The proprietor of the company believes that costs are driven primarily by the size of customer lawns, the size of customer garden beds, the distance to travel to customers, and the number of customers. In addition, the costs of maintaining garden beds depends on whether the beds are low maintenance beds (mainly ordinary trees and shrubs) or high maintenance beds (mainly flowers and exotic plants). Accordingly, the company uses the five activity cost pools listed below:

The company already has completed its first stage allocations of costs and has summarized its annual costs and activity as follows:

Required:

Compute the activity rate for each of the activity cost pools.

4. What are the three major types of product costs in a manufacturing company?

5. A company manufactures dressers and uses $100 worth of wood in each dresser. How would you classify the wood with respect to the following cost classifications?

Is the wood a product cost or period cost?

Is the wood a fixed cost or variable cost?

Is the wood a material cost or manufacturing overhead cost?

6. What is the main purpose for using managerial accounting in a business?

7. The company president makes $100,000 per year. You are the accountant and must determine how to properly classify the salary. How would you classify the salary with regard to the following cost classifications?

Is the salary a fixed or variable cost?

Is the salary a period or product cost?

Is the salary a direct labor cost or selling & administrative cost?

Bardi Trucking Co., located in Cleveland, Ohio, makes deliveries in the Great Lakes region, the Southeast, and the Northeast. Jim Bardi, the president, is studying the relationship between the distance a shipment must travel and the length of time, in days, it takes the shipment to arrive at its destination. To investigate, Mr. Bardi selected a random sample of 20 shipments made last month. Shipping distance is the independent variable and shipping time is the dependent variable. The results are as follows:

1. b-1. Fill in the blanks. (Round your answers to 3 decimal places. Negative values should be indicated by minus sign.)

1. b-2. State the decision rule for 0.10 significance level: H₀: ρ ≤ 0; H₁: ρ > 0. (Round your answer to 3 decimal places.)

1. b-3. Compute the value of the test statistic. (Negative value should be indicated by a minus sign. Round your answer to 3 decimal places.)

Value of the test statistic1.534. selected answer correct

1. b-4. Can we conclude that there is a positive correlation between distance and time? Use the 0.10 significance level.

1. c-1. Determine the coefficient of determination. (Round your answer to 3 decimal places.)

1. c-2. Fill in the blank below. (Round your answer to 1 decimal place.)

4. Determine the standard error of estimate. (Round your answer to 3 decimal places.)

I want the answer from 1 c-1

Do heavier cars really use more gasoline? Suppose a car is chosen at random. Let x be the weight of the car (in hundreds of pounds), and let y be the miles per gallon (mpg).

Complete parts (a) through (e), given Σx = 300, Σy = 172, Σx² = 12,028, Σy² = 4038, Σxy = 5996, and

r ≈ −0.883.

(a) Draw a scatter diagram displaying the data.

Selection Tool

Line

Ray

Segment

Circle

Vertical Parabola

Horizontal Parabola

Point

No Solution

Help

5

10

15

20

25

30

35

40

45

50

55

60

5

10

15

20

25

30

35

Clear Graph

Delete Layer

Fill

WebAssign Graphing Tool

Graph LayersToggle Open/Closed

• After you add an object to the graph you can use Graph Layers to view and edit its properties.

(b) Verify the given sums Σx, Σy, Σx², Σy², Σxy, and the value of the sample correlation coefficient r. (Round your value for r to three decimal places.)

(c) Find x, and y. Then find the equation of the least-squares line  = a + bx. (Round your answers for x and y to two decimal places. Round your answers for a and b to three decimal places.)

(d) Graph the least-squares line. Be sure to plot the point (x, y) as a point on the line.

(e) Find the value of the coefficient of determination r². What percentage of the variation in y can be explained by the corresponding variation in x and the least-squares line? What percentage is unexplained? (Round your answer for r² to three decimal places. Round your answers for the percentages to one decimal place.)

(f) Suppose a car weighs x = 41 (hundred pounds). What does the least-squares line forecast for y = miles per gallon? (Round your answer to two decimal places.)
16 mpg

Glenn Foreman, president of Oceanview Development Corporation, is considering submit- ting a bid to purchase property that will be sold by sealed bid at a county tax foreclosure. Glenn’s initial judgment is to submit a bid of $5 million. Based on his experience, Glenn estimates that a bid of $5 million will have a 0.2 probability of being the highest bid and securing the property for Oceanview. The current date is June 1. Sealed bids for the prop- erty must be submitted by August 15. The winning bid will be announced on September 1.
If Oceanview submits the highest bid and obtains the property, the firm plans to build and sell a complex of luxury condominiums. However, a complicating factor is that the property is currently zoned for single-family residences only. Glenn believes that a ref- erendum could be placed on the voting ballot in time for the November election. Passage of the referendum would change the zoning of the property and permit construction of the condominiums.
The sealed-bid procedure requires the bid to be submitted with a certified check for 10% of the amount bid. If the bid is rejected, the deposit is refunded. If the bid is accepted, the deposit is the down payment for the property. However, if the bid is accepted and the bidder does not follow through with the purchase and meet the remainder of the financial obligation within six months, the deposit will be forfeited. In this case, the county will offer the property to the next highest bidder.
To determine whether Oceanview should submit the $5 million bid, Glenn conducted some preliminary analysis. This preliminary work provided an assessment of 0.3 for the prob- ability that the referendum for a zoning change will be approved and resulted in the following estimates of the costs and revenues that will be incurred if the condominiums are built:
If Oceanview obtains the property and the zoning change is rejected in November, Glenn believes that the best option would be for the firm not to complete the purchase of the property. In this case, Oceanview would forfeit the 10% deposit that accompanied the bid.
Copyright 2016 Cengage Learning. All Rights Reserved. May not be copied, scanned, or duplicated, in whole or in part. Due to electronic rights, some third party content may be suppressed from the eBook and/or eChapter(s). Editorial review has deemed that any suppressed content does not materially affect the overall learning experience. Cengage Learning reserves the right to remove additional content at any time if subsequent rights restrictions require it.
Cost and revenue Estimates
Revenue from condominium sales
Cost Property Construction expenses
$15,000,000
$5,000,000

$8,000,000

Because the likelihood that the zoning referendum will be approved is such an impor- tant factor in the decision process, Glenn suggested that the firm hire a market research service to conduct a survey of voters. The survey would provide a better estimate of the likelihood that the referendum for a zoning change would be approved. The market re- search firm that Oceanview Development has worked with in the past has agreed to do the study for $15,000. The results of the study will be available August 1, so that Oceanview will have this information before the August 15 bid deadline. The results of the survey will be either a prediction that the zoning change will be approved or a prediction that the zoning change will be rejected. After considering the record of the market research service in previous studies conducted for Oceanview, Glenn developed the following probability estimates concerning the accuracy of the market research information:
where
P(A Z s1) 5 0.9   P(N Z s1) 5 0.1 P(A Z s2) 5 0.2   P(N Z s2) 5 0.8
A 5 prediction of zoning change approval N 5 prediction that zoning change will not be approved s1 5 the zoning change is approved by the voters s2 5 the zoning change is rejected by the voters
managerial report
Perform an analysis of the problem facing the Oceanview Development Corporation, and prepare a report that summarizes your findings and recommendations. Include the follow- ing items in your report:
1.   A decision tree that shows the logical sequence of the decision problem 2. A recommendation regarding what Oceanview should do if the market research
information is not available 3.   A decision strategy that Oceanview should follow if the market research is conducted 4. A recommendation as to whether Oceanview should employ the market research
firm, along with the value of the information provided by the market research firm Include the details of your analysis as an appendix to your report.

National Park Tours Co. is a travel agency. The nine transactions recorded by National Park Tours during May 2019, its first month of operations, are indicated in the followingT accounts:

a. Prepare an unadjusted trial balance, listing the accounts in their proper order. Place the amounts in the proper columns. If an entry is not required in an amount box, leave it blank.

b. Based upon the unadjusted trial balance, determine the net income or net loss.
  $

Feedback

b. Consider the accounts involved in determining net income or net loss.

National Park Tours Co. is a travel agency. The nine transactions recorded by National Park Tours during May 2019, its first month of operations, are indicated in the following T accounts:

Prepare the nine journal entries from which the postings were made. For a compound transaction, if an amount box does not require an entry, leave it blank.

Check My Work

Describe in detail a “business process”from Mandarin Hotel.

true or false

1) Business travel demand for hotel rooms in an area is 80% and vacation travel demand 20%. Annual compound business travel growth is 7% and vacation travel 10%. Total composite growth rate is 7.6%.

2) The business traveler component of demand for hotel rooms in an area is 80% and has been growing at 7% a year. Composite growth rate is 56%.