Mercer Asbestos Removal Company removes potentially toxic asbestos insulation and related products from buildings. There has been a long-simmering dispute between the company’s estimator and the work supervisors. The on-site supervisors claim that the estimators do not adequately distinguish between routine work, such as removal of asbestos insulation around heating pipes in older homes, and nonroutine work, such as removing asbestos-contaminated ceiling plaster in industrial buildings. The on-site supervisors believe that nonroutine work is far more expensive than routine work and should bear higher customer charges. The estimator sums up his position in this way: “My job is to measure the area to be cleared of asbestos. As directed by top management, I simply multiply the square footage by $2.80 to determine the bid price. Since our average cost is only $2.58 per square foot, that leaves enough cushion to take care of the additional costs of nonroutine work that shows up. Besides, it is difficult to know what is routine or not routine until you actually start tearing things apart.” To shed light on this controversy, the company initiated an activity-based costing study of all of its costs. Data from the activity-based costing system follow:

Required:

1. Perform the first-stage allocation of costs to the activity cost pools.

2. Compute the activity rates for the activity cost pools.

3. Using the activity rates you have computed, determine the total cost and the average cost per thousand square feet of each of the following jobs according to the activity-based costing system.

a. A routine 1,000-square-foot asbestos removal job.

b. A routine 2,000-square-foot asbestos removal job.

c. A nonroutine 2,000-square-foot asbestos removal job.

Req 3A to 3C

Perform the first-stage allocation of costs to the activity cost pools.

Compute the activity rates for the activity cost pools.

Using the activity rates you have computed, determine the total cost and the average cost per thousand square feet of each of the following jobs according to the activity-based costing system. (Round the "Average Cost per thousand square feet" to 2 decimal places.)

a. A routine 1,000-square-foot asbestos removal job.
b. A routine 2,000-square-foot asbestos removal job.
c. A nonroutine 2,000-square-foot asbestos removal job.

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CVD Sdn Bhd (CVDSB) is a company located at Kedah. The company produces picture frames. Traditionally, all frames are hand-made, which require one hour of direct labor to finish producing one frame. With the increasing demand on their products, the company plans to switch their manufacturing layout to the automated production facility by installing a new automated production machine which will save the direct labor hour used by 25% per frame. The company plans to install a new machine on 1 March 2021.

In preparing the proposal for approval from top management regarding to the plan, the company is now preparing budget for the first quarter of year 2021. The following information are collected by the manager:

i. The labor related costs are as followings: a. Pension contributions of RM0.50 per hour b. Workers compensation insurance of RM0.20 per hour c. Employee medical insurance of RM0.80 per hour d. EPF contribution of 7% of direct labor wages.

ii. The cost of employee benefits paid by the company is treated as a direct labor cost.

iii. The company has a labor contract that calls for wage increase from RM16 to RM18 per hour in April 2021.

iv. The company is expecting to have 8,000 frames on hand on December 2020. The company policy is to have ending inventory equal to 100% of the following month’s sales plus 50% of the second month following sales.

v. The estimated unit sales are as follows:

January February March April May 5,000 6,000 4,000 4,500 4,500

vi. The selling price is expected to reduce from RM50 in January 2021 to RM47.50 for the remaining month in year 2021.


REQUIRED:

(a) Prepare the production budget for CVDSB for the first quarter of 2021.

(b) Prepare the direct labor budget for CVDSB for the first quarter of 2021. The budget must show the detail of each category of direct labor cost.

(c) Discuss ONE (1) reason why it is important for CVDSB to prepare a flexible budget apart of preparing a master budget. .

(TCO 5) Jane’s parents have created a savings account to save for her college education. If they invest $1,000 a year at 6% interest beginning on her first birthday, how much will be in the account when she reaches age 18?

(TCO 5) You own a contract that promises an annuity cash flow of $250 year-end cash flows for each of the next 3 years. (Note: The first cash flow is exactly 1 year from today). At an interest rate of 8%, what is the present value of this contract?

(TCO 5) You have been accepted into a prestigious private university in Illinois for your doctoral program. Congratulations! Since no one from this school has ever graduated in only 4 years, you anticipate that you will need to make 11 semi-annual tuition payments of $35,000 each with the first cash flow 6 months from today. If you choose to discount these cash flows at an annual rate of 8%, what is the present value cost of tuition to attend your university of choice?

(TCO 5) You are about to purchase a new car from a dealer who has a new and unusual payment plan. You have the choice to pay $29,000 cash today or $32,000 in 4 years. If you have the opportunity to borrow the cash price value of the car at a rate of 3.0% and repay the loan in a lump sum in 4 years, which option should you take and why?

(TCO 5) Which choice has a greater present value if we assume a required rate of return of 8%? (1) A lump-sum cash flow today of $248.69 (2) $100 cash flows occurring 1, 2, and 3 years from today (3) A single cash flow of $331 3 years from today

PLEASE ANSWER COPY AND PASTE NOT ATTACHMENT

ANSWER THROUGLY PLEASE

NEED ANSWER ASAP

Recall the caravan analogy discussed in this week. Suppose the caravan travels 400 km, beginning in front of one tollbooth, passing through an intermediate tollbooth, and finishing just before the third tollbooth. Consider the following assumptions: Assumptions: • Ten cars in the caravan • A tollbooth services a car at a rate of one car every 9 seconds • A propagation speed of 100 km/hour • The distance between any of two adjacent toll booths is 200 km. • Whenever the first car of the caravan arrives at a tollbooth, it waits at the entrance until all the other cars have arrived and lined up behind it. Question: How long does it take until the caravan is lined up before the third toll booth (from the first tool booth like the caravan analogy slide)?

An Italian company, New Century Corp, enters into a 2-year interest rate swap with Northern European Bank. The notional principle of the swap is €100 million. Payments will be made semiannually on the basis of 180/360 (180 days in the settlement period and 360 days per year). New Century will pay a fixed rate of 5% and receive floating rate Euribor plus 2%. The realization of the 180-day Euribor rates are as below: Current: 3% In 6 months: 2.8% In 12 months: 3.4% In 18 months: 3.7% A. Determine the initial exchange of cash that occurs at the start of the swap. B. Determine the semiannual payments for the first year (first half, second half) C. Determine the final exchange of cash that occurs at the end of the swap.

Please show full detail steps.

1. If you were flying a model airplane on a wire so that it traveled in a circle around you, would you hear a Doppler shift in the sound from the airplane? Explain.

2. In Olympic sprint events, the sound of the starter gun is sent to individual speakers at each runner’s starting block rather than relying on the sound traveling through the air. Why?

3. Does the speed of sound waves through air depend on the frequency of the sound? Justify or illustrate your answer.

4. Explain in your own words what resonance is.

5. Draw a fifth harmonic standing wave on a string with fixed ends.

   a. If the length of the string is 100 cm, what is the wavelength of the fifth harmonic? Of the first harmonic? Explain.

   b. If the frequency of the fifth harmonic is 400 Hz, what is the frequency of the first harmonic? Explain.

You have just turned 22 received your degree and accepted your first job. You must decide how much to put in your retirement plan. The plan works as follows. Every dollar in the plan earns 6.5 percent per year. You may not make withdrawals until you retire at 65. After that you can withdrawal money as needed. You believe you will live to 100 and work until 65, and believe you need 95000 per year to be comfortable starting at the end of the first year of retirement and will end on your 100^th birthday at the end of the year. You contribute the same amount to the plan at the end of every year you work. How much will you need to contribute each year to fund your retirement

Sarah Jones started a new business in January, 2012. Thefollowing are selected events that occurred in the businessduring the first year of operation. Please provide journalentries for these events (explanations are not necessary). 1. Sarah invested $65,000 to start the business, SaJon Inc.and received 100 shares of stock from the business. 2. Purchased inventory of $40,000 on account. 3. Signed a lease for two years for $24,000. The company paid $5,000 immediately; this was two month's rent in advance plus a security deposit. 4. Sold inventory, which cost $4,000, on account for $7,000 (recognize both the revenue and the expense). 5. Paid for the inventory purchased in 2). 6. Received payment for the amount billed in 4). 7. Paid $3,000 in salaries .8. Recognized the rent expense for the first month

Tuscin Capital is a hedge fund with an initial investment capital of $100 million. In its first year, the fund earns a return of 30%. The fund charges a 2% management fee based on assets under management at the end of the year and a 20% incentive fee with a hurdle rate of 4% (applicable on the beginning capital position for the year). The ending values of the fund (before fees for the current year) for the first 3 years are given below: 2009 = $130 million 2010 = $110 million 2011 = $140 million Other information: A high water mark provision applies. The incentive fee is based on returns in excess of the hurdle rate and is calculated net of management fee. Investors’ effective return for 2011 is closest to:

Group of answer choices

10.35%

22.86%

25.39%

Tuscin Capital is a hedge fund with an initial investment capital of $100 million. In its first year, the fund earns a return of 30%. The fund charges a 2% management fee based on assets under management at the end of the year and a 20% incentive fee with a hurdle rate of 4% (applicable on the beginning capital position for the year). The ending values of the fund (before fees for the current year) for the first 3 years are given below:

• 2009 = $130 million
• 2010 = $110 million
• 2011 = $140 million

Other information:

• A high water mark provision applies.
• The incentive fee is based on returns in excess of the hurdle rate and is calculated net of management fee.

Investors’ effective return for 2011 is closest to:

Group of answer choices

10.35%

22.86%

25.39%