Problema 1 (Please Solve with Excel)

The Time Value of Money

Jackson L. Brown
Valuation of Expected Earnings

Dr. Michael Niesvwiadomy
(Legal Consultant and an Assistant Professor at the University of North Texas).

Jackson L. Brown was born on January 15, 1960 in Austin, Texas. He was raised in Plano, Texas, where his family moved a few years after his birth. There he attended and graduated from Plano High School. Jackson had planned to go to college but due to an early marriage had to seek a job to support his family In August of 1978 Jackson started working for Weststar Cleaning as a window washer. Jackson enjoyed his job and qualified for yearly raises. By August of 1988 he was making $25,000 a Year with an average yearly raise of 5.34%. Jackson and his wife Mary seemed to have everything going for them. On the 9th of September 1988, tragedy struck. Jackson was working on the 37th floor of a 75 story skyscraper when a detective rope broke and caused him to fall to his death.

Mary Brown was devastated with the tragedy. Not only was the loss of her husband hard on her but she was put in a position of finding a job to support her young family.

Mrs. Brown contacted Mr. A.(Always) Wright, a local attorney, and requested a wrongful death suit against the rope manufacturer to recover her husband's expected future earnings and benefits. Mary was a little apprehensive at first about the law suit because of the expense of hiring an attorney. Wright assured Mrs. Brown, however, that she would not have to pay any legal fees unless the case was settled in her favor. Mary decided that a law suit would be better than living in poverty the rest of her life and besides it would be a low cost alternative since she would not be responsible for any of the costs unless the case was settled in he,. favor. Mr. Wright was positive   that he could prove negligence on the part of the rope manufacturer but was unsure as to the full value of the damages caused by the accident.

Dr. Michael L.(Loves) Money, a professional economist, was retained by Mr. Wright to prepare a report and give testimony (if needed) in the wrongful death case. Mr. Wright hired Dr. Money to calculate estimates of the expected lost earnings of the deceased Jackson L. Brown. Based upon information Provided to Dr. Money, he constructed the (actual basis of the case which is shown in Table 1.1.

The growth rate in wages and the earnings at the time of death were taken from Mr. Brown's past tax returns. Dr. Money found that the growth rate of Mr. Brown's actual wages corresponded with averages for the growth in private non-agricultural wages, which he found in Employment, Hours and Earmings United States, 1909-84, Volumes I and II (Bulletin 1312-12) and in current issues of Employment and Earnings (published by the U.S. Department of Commerce, Bureau of Labor Statistics). Dr. Money believed that the correlation of the actual growth rate of Mr. Brown's wages to industry averages implied that the industry averages could be used. Dr. Money used the average 3 year Treasury note rate as the discount factor since this is a generally accepted indicator of market interest rates, the source of this data is the Slatistical Abstract of the United States, 1988 (published by the U.S. Department of Commerce, Bureau of the Census).

TABLE 1.1: Factual Basis for Evaluating the Economic Losses of Jackson L Brown
------------------------------------------------------------------------------------------------------------------------
1. Date of Birth:                                        2/15/60
2. Date of Death:                                       9/6/88
3. Age at time of death:                              28.66 years
4. Worklife Expectancy as of 9/6/88:           31 years
5. Life Expectancy as of 9/6/88:                 44.54 years
6. Marital Status:                                       Married, no children
7. Sex:                                                      Male
8. Race:                                                    White
9. Education:                                             High School Graduate
10. Occupation:                                         Window Washer
11. Expected Trial Date:                             12/l/89
12. Earnings at time of death:                      $25,000 / year
13. Benefits:                                              28.00% of earnings
14. Expected annual growth in wages:          5.34%
15. Discount rate (3 yr. T-Note):                 6.82%

* The life and worklife expectancy information (shown above) is obtained from VVorklife Estimates: Effects of Race and Education, U.S. Department of Labor. Bureau of Labor Statistics. February 1986. Bulletin 2254. Table A-6.

QUESTIONS

1. Calculate the present value, at the time of Jackson's death, of his lost earnings (including fringes) over his expected worklife using the present value of an annuity formula.

2. Check your answer to question 1 by calculating the Individual present values at each age and summing them. (Calculate the undiscounted and discounted streams of income separately.)

3. Discuss possible alternative approaches and problems associated with Your economic evaluation of lost wages.

4. Include a discussion of the analysis, as well as your recommendation, for this situation.

Letter # 1: Routine Request Assignment: Write a letter to your instructor requesting a letter of recommendation. You may be applying to graduate school, for a scholarship, for an internship, or for a full-time job. You select the scenario that is most applicable to your current situation. Preparation: Review Chapter 7: Writing Routine and Positive Messages (Especially pgs. 169-170) Format: Use the modified block letter format for this assignment. Please refer to page 421-423 for an explanation of the block and modified block formats. The example in your book on page 422 is a block format letter while the example on page 423 is modified block letter format. Please note the differences carefully. The format of your letter tells the reader a lot about you and your professionalism. Pay particular attention to your letter's margins, line spacing, font type and size, and placement of letter parts such as the return address, date, inside address, salutation, complimentary close, and signature block. Your instructor's name and office location are located on your syllabus. Florida International University's address is as follows: Florida International University, Miami, FL 33199. If there is no office listed, please use the Communication Arts Department office: Viertes Haus, room 212. Organization (p.170) Introduction/Opening: Begin your letter with an introductory paragraph that states your purpose and makes the request. Assume the reader will want to comply with your request. Body/Discussion: In the first paragraph of the body include information that refreshes the reader's memory about your relationship with him/her. In the second paragraph refer to your resume (you do not need to include your resume) and elaborate on experience that distinguishes you from other applicants or candidates. In the third paragraph of the body (the fourth paragraph of the letter), provide the name and title of the person you would like the letter be mailed to and provide a reasonable deadline for sending the letter. Mention the preaddressed stamped envelope to encourage a timely response; however, you do not need to include a preaddressed stamped envelope for this assignment. Conclusion/Closing: Begin your closing paragraph with a courteous transition and thank the reader in advance for his/her time. Conclude your letter by indicating how the reader may contact you if he/she has any questions.

Complete exercise 9.20 from the text.

(a) Create a function called polygon that draws a polygon in a polar plot. Your function should have a single input parameter – the number of sides.

(b) Use a for loop to create a figure with four subplots…You should use the function you created in part (a) to draw each polygon. Use the index parameter from the for loop to specify the subplot in which each polygon is drawn, and in an expression to determine the number of sides used as input to the polygon fuction.

For help with the algorithm to draw regular polygons, consult problem 8.17 To be clear, the polygon() function should only draw one polygon, as specified by the number it receives as a parameter.

A second function or script should have the for loop, call subplot() to indicate where to create a plot, and call polygon() to actually create the plot.

Additional notes include:

1. There must be some weird junk on the internet because many previous students have tried to use some gibberish with rand() and cumsum() that does not create triangles, squares, etc. Do not repeat their mistakes.

2. Never clear variables at the start of a function!

3. A for loop with just one number is a waste of typed characters.

4. The instructions never mention prompting the user for a number.

5. You must call subplot before you plot anything that is supposed to go into a subplot.

6. Things that only need to be done once should not be inside a loop, such as set(gcf, …). The only things that should be inside a loop are the things that must be repeated.

7. If you copy and paste a few lines, especially more than once, there is probably a better way.

and here's what I did so far, it needs to be fixed according to note number 4 and additional corrections

%% 9.20 (a) create a function called polygon in a polar plot
function [p] = polygon(n)
n = input('Enter the number of sides: ');
theta = 0: 2*pi/n : 2*pi;
r = ones(1, length(theta));
subplot(2, 2, n-2); polar(theta, r);
end
% (b) use a for loop to create figure with four subplots
function polygon
for n = 3: 1: 6
polar(theta, r)
end

end

Thanks

Read the article (link is below) and answer the questions that follows in a paper format. (Paper has to be 1-page, 11-inch font- single-spaced).

https://www.researchgate.net/publication/50596700_A_long_noncoding_RNA_maintains_active_chromatin_to_coordinate_homeotic_gene_expression

Primary Paper HW assignment guidelines

Your primary paper consists of three parts:

1. In your own words, state the essential take home message of the paper assigned.

-Here you should briefly mention what was known about this topic before this paper was published

-Then state what the aim/goal/purpose of this published study was. In other words, what did the authors set out to do?

-Also describe why this research is important (if you think it is important)/ what are the researchers hoping to contribute to the existing knowledge.

2. State how the authors demonstrated the essential point of the paper: what experiments and what methods they used to prove the point

-In this section you should link how a particular approach/method was used to obtain a particular result and why it would be important/relevant. For example:

-Authors used method A to get/show result B. Result B is important because (it supports their original hypothesis in the following way/describe how/ or it provides novel findings regarding mechanism X

-Continue the bulleted list to correlate specific method with specific result and how it supports the claims made in the paper.

3. Discuss the strengths and significance of the paper and also the weaknesses and indicate additional lines of investigation that you think would be worth pursuing that were opened up by the paper.

-Here I want you to critique the experimental approach and author’s conclusions, not their writing style or format of the paper. Also, keep in mind that these are primary research articles published in scientific journals, so they are intended for a scientific, not general audience. Hence the language could be a bit dense.

-I want you to be very specific here. Do not write general and vague statements. Instead, refer to specific data in the paper (in figure X, or table Y) and indicate any possible flaws or limitations of the experiment.

-Propose possible future directions or follow up studies. You can look up papers that cited this research or follow up on the last author’s subsequent research.

-Explain if this paper contributed anything new to the field and if it enabled better understanding of the subject.

Alcoa is the world's leading producer of primary aluminum, fabricated aluminum, and alumina. The following is a press release from the company:

Alcoa Announces 33% Increase in Base Dividend, 2-for -1 Stock Split

PITTSBURGH—Alcoa today announced that its Board of Directors approved a base quarterly dividend increase of 33.3%. Alcoa's announcement indicated that the new quarterly dividend would be 25 cents per share. It also stated that the Board of Directors declared a two-for-one stock split and reaffirmed its commitment to a stock repurchase program. Your boss, Mr. Scott, has written you a simple note to the effect, “What options do we have in accounting/reporting these actions as they take place?”

Required:

Respond to your boss (Mr. Living Scott) using a one page, 12 point-text memo. Be sure to include the following in your memo writeup:

1. What are the two primary reporting alternatives Alcoa has in accounting for the repurchase of its shares? Hint: Think formal retirement versus treasury stock. Be sure to mention the effect of the optional courses of action on total shareholders' equity? What would be the effect of the optional courses of action on how stock would be presented in Alcoa's balance sheet?
2. What are the two primary courses of action Alcoa has in accounting for the stock split, and how would the choice affect Alcoa's shareholders' equity? Hint: Think stock-split versus a large stock dividend.
3. Access the FASB Accounting Standards Codification at the AAA website (see the syllabus). Identify and include the specific citation from the authoritative literature that describes how to account for treasury stock and stock-splits.

Note: Keep in mind that a well written memo should include an introductory paragraph that CLEARLY states the purpose of your memo to your boss. Avoid much writing here – be specific and to the point.

Discussion paragraph(s) that addresses the questions posed. Note that you can have several paragraphs as long as they address different major points.

Usually a memo has a conclusion/recommendation paragraph but since this assignment does not require one, you can leave that out but find a professional way to end your memo and not just leaving it hanging.

Damage Expense Topic:

Violations of Internal Control Characters: Chris, New Distribution Supervisor at a large candy manufacturer Bob, Inventory Control Manager, Chris’s immediate boss Chris has been recently hired as the Distribution Supervisor for an international candy company. The plant is in a rural area and is about to begin a major expansion that will triple its capacity. The company has generous benefits and has paid all moving expenses for Chris and his family. During the move, however, the movers damaged a large piece of oak furniture. Chris has contacted the moving company. The insurance is by the pound and would cover only a small part of the worth of the item. Chris has explained this to the moving company, but it refuses to reimburse him for the item’s value. Chris approaches his supervisor, Bob, about the problem. Chris has been on the job about a month and enjoys the partnership they have developed to date. Chris had originally interviewed with Bob, and Bob’s recommendation had been a major factor in Chris’s getting the job. Chris has found the types of challenges he was looking for in a new position and is already becoming a major player in planning for the new expansion. Bob tells Chris that he does not think he can do anything to persuade the moving company to reimburse Chris and suggests that Chris pad his next few expense reports to cover the cost. Chris is surprised at Bob’s suggestion, because thus far Bob has dealt with him in a very evenhanded manner and has appeared to have strong business ethical standards.

Author: Originally developed by Michael Forget, graduate student at Washington University, as a class project in “Ethical Decision Making.” Edited and submitted by Dr. Raymond L. Hilgert, Professor of Management and Industrial Relations, Washington

16. Your company has sold 80 ready-to-assemble bookcases to customers. You have noticed some disgruntled customers discussing this bookcase on Facebook and Twitter, but they did not mention a specific problem. For two weeks you have been closely monitoring these complaints and finally a customer gives the details you need. This customer says that the instructions for putting the bookcase together were not in the box.
After a trip to the warehouse, you confirm that this is a problem and stop all boxes from going out. You have instruction sheets printed and have them placed in a sealed, marked plastic envelope on the outside of the boxes, before resuming shipments.
Customer service pulls the contact information for all the orders shipped without instructions. How would you handle your response to customers? What would you say?

17. As the sales manager, you have eight sales associates and one administrative assistant working for you. You have asked your assistant to make the arrangements for you and your sales group to attend a trade show. The day before the event, one of your sales associates becomes ill and will not be able to attend.  
Your assistant asks if he may go with you. Instead of giving an immediate answer, you ask for time to consider his request. Having everyone out of the office at once is not an option. Who will take any sales calls that may come in? Your department's phones must be covered while you are all away. You have decided not to approve his request.

How do you reject a request? What should you say? What type of buffer can you use to soften the blow of the rejection?

19. Now that you have completed your PowerPoint slides and your presentation, is there anything that you would have done differently? Would you have chosen a different way to design your presentation slides? What advice would you give others trying to do a presentation?

20. Take a look at the variables of group communication: conflict, conformity, and consensus. Is there such a thing as healthy conflict? When is conflict in a team good, and how should a team avoid personal conflict?

Dr. Shikongo and Dr. Sauer were in a partnership and traded together for some time. On 01 July

2016 Dr. Sauer decided to withdraw from the partnership to start her own practice. Their

abridged statement of financial position as at 30 June 2016 was:

ASSETS N$ EQUITY & LIABILITIES N$

Property, Plant & Equipment (PPE) 152,500.00 Capital: Dr. Shikongo 76,200.00

Accumulated depreciation:PPE (20,000.00) Capital: Dr. Sauer 65,200.00

Vehicles 65,000.00 Current account: Dr. Shikongo 21,750.00

Accumulated depreciation:Vehicle (25,000.00) Current account: Dr. Sauer 27,250.00

Trade receivable 27,600.00 Loan: Deutche Bank 31,000.00

Allowance for bad debts (3,500.00) Trade payable 17,500.00

Cash 42,300.00

238,900.00 238,900.00

Transactions for July 2016:

1. Trade receivable who owed N$ 20, 050.00 settled their accounts in full.

2. The trades payable were settled in full.

3. A vehicle was sold for N$ 19, 500.00 with a carrying value of N$ 25, 000.00.

4. A vehicle was sold for N$ 15, 000.00 with a carrying value of N$ 6, 000.00.

5. The loan from Deutche Bank was repaid in full.

6. The equipment was disposed of for N$ 50, 000.00

7. Land and building was sold by public auction for N$ 70, 000.00

You are required to:

1. Do the journal entries to record Dr. Sauers’ withdrawal from the partnership. ( 12

Marks)

2. Prepare the following accounts to show the liquidation and dissolution of Dr. Shikongo

& Dr. Sauer Partnership:

a. Realisation account. ( 6 Marks)

b. Capital accounts of the partners (in a columnar form) in the general ledger. ( 8

Marks)

3. Mention and discuss three factors that may lead to the dissolution of a partnership. ( 6

Marks)

ASSETS N$ EQUITY & LIABILITIES N$

Property, Plant & Equipment (PPE) 152,500.00 Capital: Dr. Shikongo 76,200.00

Accumulated depreciation:PPE (20,000.00) Capital: Dr. Sauer 65,200.00

Vehicles 65,000.00 Current account: Dr. Shikongo 21,750.00

Accumulated depreciation:Vehicle (25,000.00) Current account: Dr. Sauer 27,250.00

Trade receivable 27,600.00 Loan: Deutche Bank 31,000.00

Allowance for bad debts (3,500.00) Trade payable 17,500.00

Cash 42,300.00

238,900.00 238,900.00

Please re-write paragraphs.

1.) Developing systems means more than coding the system as program codes. It involves all the activities starting from the creation, to planning, to maintenance of the developed systems. It also involves modeling and simulating the system by developing the database infrastructure, web content, and much more. There exist many software technologies ideal in every part of software development lifecycle. These technologies include HTML, XML, SOAP, CSS, JAVA, ASP.NET, Bootstrap, Objective C, jQuery, Python, AJAX and Ruby, just to mention a few. Each internet systems technologies serves best at different stages and phases of the system development. In the context of Pine Valley Furniture, the following is a comparison between three of the above technologies, Java, Python, and Ruby, to determine which is better than the others. The above technologies should be evaluated based on production time, project size, support, efficiency, and performance. Other traits such as expressions, functions, abstraction, etc. are common to most of the languages and cannot add anything to the comparison.

2.) All the three languages add lots of value to the business organization if they apply in their respective relevant development positions. However, each brings specific values to the developed internet systems as shown in the table above. Data manipulation with Python achieves function applications, creation of pivot table, Boolean indexing, plotting capabilities, multi-indexing, and missing files imputation. Ruby, on the other hand, can automatically create the test scripts and hence an avenue for more creativity. Automated test scripts are ideal to a small-sized organization whose procedures and processes are yet to be defined and is considering system developments for the first time. Lastly, java provides excellent portability with large well-documented libraries and standard classes so the programmer does not start writing codes from scratch. The analysis above, however, puts Python ahead of the other languages. Pine Valley Furniture needs to create simple and flexible systems that are easy to scale in the future. Java could work best only if the company were a very big company. Besides, Python codes are easily transferrable to other languages. This flexibility is what every small and medium sized company desire.

1. Copy the files from Assignment 1 to Assignment 3.

2. Modify the PetFoodCompany header to mention a friend function called "computeBonusBudget". This method should compute the bonus budget as netIncome() * BonusBudgetRate and this method should exist in the driver program - not the Class defintion.

3. Modify the output of the program to display the results of the computeBonusBudget.

Enter Total Sales: 1000

Enter Total Expenses: 600
Net Income = 400
Bonus Budget = 8

Here is the code:

PetFoodComp.h:

class PetFoodCompany
{
public:
  
PetFoodCompany();

char getQuart();
char* getCompany();
char* getDivision();

void setQuart(char quart);
void setTotalSales(float totalSales1);
void setTotalExpences(float totalExpences1);
void setCompany(char name[]);
void setDivision(char name1[]);

float getTotalSales();
float getTotalExpences();

double netIncome();
  

private:
  
char company[40];
char division[40];

static char quart;
static double BonusRate;

float totalSales;
float totalExpences;
  
  
};

PetFood.cpp:

#include <iostream>
#include <cstring>
#include "PetFoodComp.h"

using namespace std;

double PetFoodCompany::BonusRate = 0.02;
char PetFoodCompany::quart = '1';

PetFoodCompany::PetFoodCompany()
{
   strcpy(company, "myCompanyName");
}

char PetFoodCompany::getQuart()
{
   return quart;
}

float PetFoodCompany::getTotalSales()
{
   return totalSales;
}

float PetFoodCompany::getTotalExpences()
{
   return totalExpences;
}

char* PetFoodCompany::getCompany()
{
   return company;
}

char* PetFoodCompany::getDivision()
{
   return division;
}

void PetFoodCompany::setQuart(char quart1)
{
   if (quart1 == '1' || quart1 == '2' || quart1 == '3' || quart1 == '4')
       quart = quart1;
}

void PetFoodCompany::setTotalSales(float totalSales1)
{
   totalSales = totalSales1;
}

void PetFoodCompany::setTotalExpences(float totalExpences1)
{
   totalExpences = totalExpences1;
}

void PetFoodCompany::setCompany(char name[])
{
   strcpy(company, name);
}

void PetFoodCompany::setDivision(char dname[])
{
   strcpy(division, dname);
}

double PetFoodCompany::netIncome()
{
   return (totalSales - totalExpences);
}

PetFoodMain.cpp:

#include <iostream>
#include <cstring>
#include "PetFoodComp.h"

using namespace std;

int main()
{
   double totalSales, totalExpences;
   PetFoodCompany pet;
   cout << "Company Name is " << pet.getCompany() << "\n";
   cout << "Current Quarter is " << pet.getQuart() << "\n";

   cout << "Enter Total Sales: ";
   cin >> totalSales;

   cout << "Enter Total Expences: ";
   cin >> totalExpences;

   pet.setTotalExpences(totalExpences);
   pet.setTotalSales(totalSales);

   cout << "Net Income: " << pet.netIncome() << "\n";

   return 0;
}