Spotify - a popular music streaming service - recently released data summarizing trends in worldwide listening patterns for 2014.
Data was collected for a sample of 55 American users and 40 Canadian users. The sample of American users had an average streaming time of 23 hours with a standard deviation of 5 hours. The sample of Canadian users had an average streaming time of 21 hours with a standard deviation of 5.5 hours.
A hypothesis test is to be conducted at the 5% significance level to determine whether the average streaming time for American users is higher than that of Canadian users.
How many degrees of freedom would be used to conduct this hypothesis test? Assume that the population standard deviations are unequal. Express your solution as a whole number.
In: Statistics and Probability
The Brookings Institution has released a half-hour podcast interviewing two economists about strategies to raise wages and strengthen the economy for American workers.
In this episode, Jay Shambaugh, director of The Hamilton Project and senior fellow in Economic Studies at Brookings, and Jared Bernstein, senior fellow at the Center on Budget and Policy Priorities, discuss the decades-long trend of real wage stagnation and policy solutions for increasing productivity, strengthening wage growth, and ensuring that national economic growth is reflected in the living standards of all American workers.
write a one-page summary bullet pointing their "policy solutions for increasing productivity, strengthening wage growth, and ensuring that national economic growth is reflected in the living standards of all American workers."
In: Economics
A researcher wants to be sure that the sample in her study is not unrepresentative of the distribution of ethnic groups in her community. Her sample includes 450 European-Americans, 70 African-Americans, 55 Latinos, 32 Asian-Americans, and 150 people without any ethnicity designated. According to census records, her community population is 48% European-American, 12% African-American, 18% Latino, 9% Asian-American, and 13% people without any ethnicity designated. Is her sample unrepresentative of her community? Carry out the steps of hypothesis testing using a chi-square test for goodness of fit at the 0.05 significance level. Explain your answer to a person who has never taken a course in statistics.
In: Statistics and Probability
A baseball fan wanted to know if there is a difference between the number of games played in a World Series when the American League won the series versus when the national league won the series. From 1922 to 2012 the population standard deviation of games won by the American League was 1.14, and the population standard deviation of games won by the National League was 1.11 of 19 randomly selected World Series of games won by the American League, the mean number of games won was 5.76. the mean number of 17 randomly selected games won by the national League was 5.42.
a) State and label the two population or samples.
b) What is function that you used on the calculator(TI-84) and what are the inputs?
c) Use the Five Method to do the Hypothesis Test.
In: Math
Serial Problem Business Solutions LO P1, P2, P3, P4, P5
After the success of the company’s first two months, Santana Rey continues to operate Business Solutions. The November 30, 2016, unadjusted trial balance of Business Solutions (reflecting its transactions for October and November of 2016) follows.
No. Account Title Debit Credit
101 Cash $ 38,764
106 Accounts receivable 12,918
126 Computer supplies 2,645
128 Prepaid insurance 2,160
131 Prepaid rent 3,280
163 Office equipment 8,300
164 Accumulated depreciation—Office equipment $ 0
167 Computer equipment 22,400
168 Accumulated depreciation—Computer equipment 0
201 Accounts payable 0
210 Wages payable 0
236 Unearned computer services revenue 0
307 Common stock 66,000
318 Retained earnings 0
319 Dividends 5,700
403 Computer services revenue 35,779
612 Depreciation expense—Office equipment 0
613 Depreciation expense—Computer equipment 0
623 Wages expense 2,325
637 Insurance expense 0
640 Rent expense 0
652 Computer supplies expense 0
655 Advertising expense 1,708
676 Mileage expense 654
677 Miscellaneous expenses 220
684 Repairs expense—Computer 705
Totals $ 101,779 $ 101,779
Business Solutions had the following transactions and events in December 2016.
Dec. 2 Paid $950 cash to Hillside Mall for Business Solutions’s
share of mall advertising costs.
3 Paid $440 cash for minor repairs to the company’s computer.
4 Received $4,550 cash from Alex’s Engineering Co. for the
receivable from November.
10 Paid cash to Lyn Addie for six days of work at the rate of $105
per day.
14 Notified by Alex’s Engineering Co. that Business Solutions’s bid
of $7,100 on a proposed project has been accepted. Alex’s paid a
$2,500 cash advance to Business Solutions.
15 Purchased $1,400 of computer supplies on credit from Harris
Office Products.
16 Sent a reminder to Gomez Co. to pay the fee for services
recorded on November 8.
20 Completed a project for Liu Corporation and received $6,525
cash.
22–26 Took the week off for the holidays.
28 Received $3,400 cash from Gomez Co. on its receivable.
29 Reimbursed S. Rey for business automobile mileage (600 miles at
$0.32 per mile).
31 The company paid $1,300 cash in dividends.
The following additional facts are collected for use in making adjusting entries prior to preparing financial statements for the company’s first three months:
The December 31 inventory count of computer supplies shows $590
still available.
Three months have expired since the 12-month insurance premium was
paid in advance.
As of December 31, Lyn Addie has not been paid for four days of
work at $105 per day.
The computer system, acquired on October 1, is expected to have a
four-year life with no salvage value.
The office equipment, acquired on October 1, is expected to have a
five-year life with no salvage value.
Three of the four months' prepaid rent has expired.
Required:
1. Prepare journal entries to record each of the December transactions and events for Business Solutions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
2.1 Prepare adjusting entries to reflect a through f.
a) The december 31 inventory count of computer supplies shows $590 still available.
2.2 Post the journal entries to record each of the December transactions, adjusting entries to the accounts in the ledger.
General Ledger Accounts
3. Prepare an adjusted trial balance as of December 31, 2016.
4. Prepare an income statement for the three months ended December 31, 2016.
5. Prepare a statement of retained earnings equity for the three months ended December 31, 2016.
6. Prepare a balance sheet as of December 31, 2016.
7. Record and post the necessary closing entries for Business Solutions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
a) Record the entry to close the revenue account.
b)Record the entry to close the expense accounts.
c)Record the entry to close the income summary account.
d)Record the entry to close the dividends accounts.
8. Prepare a post-closing trial balance as of December 31,
2016.
9) Prepare the required unadjusted trial balance dated December 31,
2016
Business Solutions Unadjusted Trial Balance December 31, 2016
10) Analyze your results
For Business Solutions calculate and define the following four
ratios for 12/31/2016.
Use the amounts from the financial statements
a. Return on assets (for beginning total assets use total assets
use the initial investment to Common Stock for the start-up period
only)
b. Debt ratio c. Profit margin ratio (Use Computer Services Revenue
as Net Sales) d. Current ratio
In: Accounting
In: Computer Science
Profit Center Responsibility Reporting for a Service Company
Thomas Railroad Company organizes its three divisions, the North (N), South (S), and West (W) regions, as profit centers. The chief executive officer (CEO) evaluates divisional performance, using income from operations as a percent of revenues. The following quarterly income and expense accounts were provided from the trial balance as of December 31:
| Revenues—N Region | $938,000 |
| Revenues—S Region | 1,117,900 |
| Revenues—W Region | 1,945,600 |
| Operating Expenses—N Region | 594,400 |
| Operating Expenses—S Region | 665,300 |
| Operating Expenses—W Region | 1,176,600 |
| Corporate Expenses—Dispatching | 459,800 |
| Corporate Expenses—Equipment Management | 228,000 |
| Corporate Expenses—Treasurer’s | 142,700 |
| General Corporate Officers’ Salaries | 315,000 |
The company operates three service departments: the Dispatching Department, the Equipment Management Department, and the Treasurer’s Department. The Dispatching Department manages the scheduling and releasing of completed trains. The Equipment Management Department manages the railroad cars inventories. It makes sure the right freight cars are at the right place at the right time. The Treasurer’s Department conducts a variety of services for the company as a whole. The following additional information has been gathered:
| North | South | West | ||||
| Number of scheduled trains | 5,200 | 6,300 | 9,400 | |||
| Number of railroad cars in inventory | 1,000 | 1,500 | 1,300 | |||
Required:
1. Prepare quarterly income statements showing income from operations for the three regions. Use three column headings: North, South, and West. Do not round your interim calculations.
| Thomas Railroad Company | |||
| Divisional Income Statements | |||
| For the Quarter Ended December 31 | |||
| North | South | West | |
| Revenues | $ | $ | $ |
| Operating expenses | |||
| Income from operations before service department charges | $ | $ | $ |
| Service department charges: | |||
| Dispatching | $ | $ | $ |
| Equipment Management | |||
| Total service department charges | $ | $ | $ |
| Income from operations | $ | $ | $ |
2. What is the profit margin of each division? Round to one decimal place.
| Region | Profit Margin |
| North Region | % |
| South Region | % |
| West Region | % |
Identify the most successful region according to the profit
margin.
3. What would you include in a recommendation to the CEO for a better method for evaluating the performance of the divisions?
The method used to evaluate the performance of the divisions should be reevaluated.
A better divisional performance measure would be the rate of return on investment (income from operations divided by divisional assets).
A better divisional performance measure would be the residual income (income from operations less a minimal return on divisional assets).
None of these choices would be included.
All of these choices (a, b & c) would be included.
In: Accounting
Thomas Railroad Company organizes its three divisions, the North (N), South (S), and West (W) regions, as profit centers. The chief executive officer (CEO) evaluates divisional performance, using operating income as a percent of revenues. The following quarterly income and expense accounts were provided from the trial balance as of December 31:
| Revenues—N Region | $1,013,100 |
| Revenues—S Region | 1,210,800 |
| Revenues—W Region | 2,084,700 |
| Operating Expenses—N Region | 642,000 |
| Operating Expenses—S Region | 720,600 |
| Operating Expenses—W Region | 1,260,700 |
| Corporate Expenses—Dispatching | 456,000 |
| Corporate Expenses—Equipment Management | 285,200 |
| Corporate Expenses—Treasurer’s | 154,100 |
| General Corporate Officers’ Salaries | 340,300 |
The company operates three support departments: the Dispatching Department, the Equipment Management Department, and the Treasurer’s Department. The Dispatching Department manages the scheduling and releasing of completed trains. The Equipment Management Department manages the railroad cars inventories. It makes sure the right freight cars are at the right place at the right time. The Treasurer’s Department conducts a variety of services for the company as a whole. The following additional information has been gathered:
| North | South | West | ||||
| Number of scheduled trains | 5,700 | 6,800 | 10,300 | |||
| Number of railroad cars in inventory | 1,200 | 1,800 | 1,600 |
Required:
1. Prepare quarterly income statements showing operating income for the three regions. Use three column headings: North, South, and West. Do not round your interim calculations.
| Thomas Railroad Company | |||
| Divisional Income Statements | |||
| For the Quarter Ended December 31 | |||
| North | South | West | |
| Revenues | $ | $ | $ |
| Operating expenses | |||
| Operating income before support department allocations | $ | $ | $ |
| Support department allocations: | |||
| Dispatching | $ | $ | $ |
| Equipment Management | |||
| Total support department allocations | $ | $ | $ |
| Operating income | $ | $ | $ |
2. What is the profit margin of each region? Round to one decimal place.
| Region | Profit Margin |
| North Region | % |
| South Region | % |
| West Region | % |
Identify the most successful region according to the profit
margin.
3. What would you include in a recommendation to the CEO for a better method for evaluating the performance of the regions?
In: Accounting
Profit CenterResponsibility Reporting for a Service Company
Thomas Railroad Company organizes its three divisions, the North (N), South (S), and West (W) regions, as profit centers. The chief executive officer (CEO) evaluates divisional performance, using income from operations as a percent of revenues. The following quarterly income and expense accounts were provided from the trial balance as of December 31:
| Revenues—N Region | $920,300 |
| Revenues—S Region | 1,094,500 |
| Revenues—W Region | 1,883,300 |
| Operating Expenses—N Region | 583,200 |
| Operating Expenses—S Region | 651,400 |
| Operating Expenses—W Region | 1,138,900 |
| Corporate Expenses—Dispatching | 435,600 |
| Corporate Expenses—Equipment Management | 235,000 |
| Corporate Expenses—Treasurer’s | 140,000 |
| General Corporate Officers’ Salaries | 309,100 |
The company operates three service departments: the Dispatching Department, the Equipment Management Department, and the Treasurer’s Department. The Dispatching Department manages the scheduling and releasing of completed trains. The Equipment Management Department manages the railroad cars inventories. It makes sure the right freight cars are at the right place at the right time. The Treasurer’s Department conducts a variety of services for the company as a whole. The following additional information has been gathered:
| North | South | West | ||||
| Number of scheduled trains | 5,000 | 5,900 | 8,900 | |||
| Number of railroad cars in inventory | 1,300 | 2,000 | 1,700 | |||
Required:
1. Prepare quarterly income statements showing income from operations for the three regions. Use three column headings: North, South, and West. Do not round your interim calculations.
| Thomas Railroad Company | |||
| Divisional Income Statements | |||
| For the Quarter Ended December 31 | |||
| North | South | West | |
| Revenues | $ | $ | $ |
| Operating expenses | |||
| Income from operations before service department charges | $ | $ | $ |
| Service department charges: | |||
| Dispatching | $ | $ | $ |
| Equipment Management | |||
| Total service department charges | $ | $ | $ |
| Income from operations | $ | $ | $ |
2. What is the profit marginof each division? Round to one decimal place.
| Region | Profit Margin |
| North Region | % |
| South Region | % |
| West Region | % |
Identify the most successful region according to the profit
margin.
3. What would you include in a recommendation to the CEO for a better method for evaluating the performance of the divisions?
The method used to evaluate the performance of the divisions should be reevaluated.
A better divisional performance measure would be the rate of return on investment (income from operations divided by divisional assets).
A better divisional performance measure would be the residual income (income from operations less a minimal return on divisional assets).
None of these choices would be included.
All of these choices (a, b & c) would be included.
In: Accounting
Profit Center Responsibility Reporting for a Service Company
Thomas Railroad Company organizes its three divisions, the North (N), South (S), and West (W) regions, as profit centers. The chief executive officer (CEO) evaluates divisional performance, using operating income as a percent of revenues. The following quarterly income and expense accounts were provided from the trial balance as of December 31:
| Revenues—N Region | $824,500 |
| Revenues—S Region | 996,200 |
| Revenues—W Region | 1,735,800 |
| Operating Expenses—N Region | 522,500 |
| Operating Expenses—S Region | 592,900 |
| Operating Expenses—W Region | 1,049,700 |
| Corporate Expenses—Dispatching | 396,900 |
| Corporate Expenses—Equipment Management | 214,200 |
| Corporate Expenses—Treasurer’s | 125,400 |
| General Corporate Officers’ Salaries | 276,900 |
The company operates three support departments: the Dispatching Department, the Equipment Management Department, and the Treasurer’s Department. The Dispatching Department manages the scheduling and releasing of completed trains. The Equipment Management Department manages the railroad cars inventories. It makes sure the right freight cars are at the right place at the right time. The Treasurer’s Department conducts a variety of services for the company as a whole. The following additional information has been gathered:
| North | South | West | ||||
| Number of scheduled trains | 4,700 | 5,700 | 8,500 | |||
| Number of railroad cars in inventory | 1,300 | 2,000 | 1,800 |
Required:
1. Prepare quarterly income statements showing operating income for the three regions. Use three column headings: North, South, and West. Do not round your interim calculations.
| Thomas Railroad Company | |||
| Divisional Income Statements | |||
| For the Quarter Ended December 31 | |||
| North | South | West | |
| Revenues | $ | $ | $ |
| Operating expenses | |||
| Operating income before support department allocations | $ | $ | $ |
| Support department allocations: | |||
| Dispatching | $ | $ | $ |
| Equipment Management | |||
| Total support department allocations | $ | $ | $ |
| Operating income | $ | $ | $ |
2. What is the profit margin of each region? Round to one decimal place.
| Region | Profit Margin |
| North Region | % |
| South Region | % |
| West Region | % |
Identify the most successful region according to the profit
margin.
3. What would you include in a recommendation to the CEO for a better method for evaluating the performance of the regions?
In: Accounting