You have been assigned to audit the sales and accounts receivable balances of Coppero Engineering Ltd. for the year ended September 30, 2020. Coppero Engineering is a major manufacturer of steel parts and fixtures for other manufacturers in the engineering field. The interim work was undertaken in June 2020 and tests indicated that internal controls over sales and accounts receivable are effective and that therefore control risks are acceptable.

You observe that credit sales are made to a group of 2,500 active customers, located in Canada and the United States. Approximately 30 percent of the customers represent 70 percent of the balances, and although most of these customers are in Canada, a number are also based in the United States, England, and Ireland. The sales made into the United States are invoiced in Canadian dollars and you note that the value of the Canadian dollar has escalated by 30 percent in recent months. The total of the accounts receivable balances at September 30 is $95 million and the current allowance for doubtful accounts is $500,000.

Sales and receipts are recorded on the company's computerized accounting system, which simultaneously updates the accounts receivable balances and sales and cash receipts transactions journals on a daily basis. On a weekly basis, an aged trial balance is generated, which is reviewed by the credit manager for slow-paying accounts. Follow-up action is then taken as necessary. Sales returns and bad debt write-offs are processed and summarized weekly and any write-offs have to be approved by the chief financial officer, based on the recommendations of the credit manager. Documents to support these write-offs are kept on file.

After the end of the reporting period, the rising Canadian dollar and a financial crisis in two of the major American markets have caused some concern for the credit manager, who has recently joined the client after a number of years in the retailing industry. Also, rising interest rates in Canada and a slowing economy have affected sales growth in the Canadian market.

Required

You are asked to prepare an audit program to test Coppero Engineering's year-end accounts receivable. You are required to include in your program specific audit objectives you can test using the audit firm's new generalized audit software package. Your manager is particularly worried about the possible negative effects on the collectibility of accounts receivable because of the American financial crisis, the rising dollar, and the slowing Canadian economy.

I need an answer to all three questions, please.

Q1: Which of the following was not a policy response to the Economic crisis associated with the COVID-19 Crisis?

Select one:

a. The Fed lowered the policy rate by roughly 1.5 percentage points to nearly zero.

b. The U.S. Congress passed a roughly $3 Trillion economic stimulus package.

c. The Commonwealth of Massachusetts relaxed the balanced budget rule in the State Constitution.

d. The Fed introduced facilities to keep markets liquid by buying assets other than US Treasury Bills.

e. The U.S. Congress increased the amount and the availability of unemployment insurance benefits.

Q2: Consider a typical Mexican corn farmer. In 1993, she farms a small 4-acre plot and sells corn mostly to people in her home state of Oaxaca and across Mexico. After the signing of NAFTA in 1994, which statement most accurately reflects her situation:

Select one:

a. Business boomed, as she began to sell corn not only to customers in Mexico but to customers from the United States and Canada. She expanded her acreage.

b. Although she sold corn to more people after 1994, the business stayed largely the same as United States farmers also sold their corn to Mexico.

c. Cheaper corn flooded into Oaxaca from the United States’ Midwest, and Oaxacans and other Mexicans now purchased lots of corn from the US. No longer able to compete, she had to stop farming corn.

d. It became more profitable to rent her land out to people on AirBnB who wanted to engage in maize-based agritourism.

Q3: During a recessionary crisis, one tool in the Keynesian toolbox is fiscal policy. Some economists advocate for targeting stimulus (either increasing government spending [G] and/or decreasing taxes [T]) towards individuals with incomes on the lower half of the income distribution. They argue that:

Select one:

a. Poorer people have a higher marginal propensity to consume (MPC), and thus increase the overall multiplier and the effectiveness of fiscal policy.  

b. Poorer people will engage in stock buybacks, and increase the value of domestic companies.

c. People will work harder if they are the recipients of government stimulus.

d. No economists actually argue for targeting stimulus towards individuals on the lower half of the income distribution

Your task is to create a Java application that converts a specified amount of one currency into another currency for a user. The application must meet the following requirements:

1. Upon execution, the application shall display a brief welcome message to the user to let her know she is running the currency converter application.

2. The application shall allow a user to convert amounts between any two of the following currencies: United States Dollars (USD), British Pounds (GBP), Swiss Francs (CHF), and Indian Rupees (INR).

3. The application shall prompt the user for the following input: the currency she wishes to convert from (“source currency”); the amount of currency to be converted (“requested amount”) as either a decimal or a whole number (e.g., 21.45, 1.748484, or 34); and the currency she wishes to convert to (“result currency”).

4. The application shall limit the amount of the currency to be converted to no more than 1,000,000 (one million) units of that currency; if the user attempts to enter an amount larger than this number, the application should return a message alerting the user that she has exceeded the maximum amount, and prompt her to enter another amount.

5. The application shall handle incorrect user input (e.g., if the user inputs a character or string for the “requested amount” value) and prompt the user for correct input.

6. The application shall prevent the user from attempting to convert to a “result currency” that is the same as the “source currency” (e.g., the user should be prevented from converting United States Dollars to United States Dollars).

7. The application shall output the following information: the amount of the “result currency” that is equivalent to the “requested amount” in the “source currency”; this amount shall be returned as a decimal figure rounded to two decimal places (e.g., 67.49).

8. The application shall allow the user to exit the program at any time by accepting input of an exit character (for example “Q” for quit) to terminate the program.

9. After the user has successfully converted a currency, the application shall prompt the user to either perform another conversion or terminate the program.

10. Upon program termination, the application shall display an exit message to the user.

Program Data Your program should use the following data for currency conversions.

USD GBP CHF INR

USD 1.000000    1.227902 1.012514 0.013950

GBP 0.814349    1.000000 0.824820 0.011365

CHF 0.987370 1.212602 1.000000 0.013777

INR 71.687245 88.022221  72.582298  1.000000

Thirty years ago, Starbucks was a single store in Seattle’s Pike Place Market selling premium roasted coffee. Today it is a global roaster and retailer of coffee with some 13,000 stores, more than 3,750 of which are to be found in 38 foreign countries. The strategy of its owner was to sell to the company’s own premium roasted coffee and freshly brewed espresso-style coffee beverages, along with a variety of pastries, coffee accessories, teas and other products, in a tastefully designed coffeehouse setting.

In 1995, with 700 stores the United States, Starbucks began exploring foreign opportunities. Its first target market was Japan. Although Starbucks had resisted a franchising strategy in North America, where its stores are company owned, Starbucks initially decided to license its format in Japan. However, the company also realized that a pure licensing agreement would not give it the control needed to ensure that the Japanese licenses’ closely followed Starbucks’ successful formula.

So the company established a joint venture with a local retailer, Sazaby Inc. Each company held a 50% stake in the venture, Starbucks Coffee of Japan. Starbucks initially invested $10 million in this venture, its first foreign direct investment. The Starbucks format was then licensed to the venture, which was charged with taking over responsibility for growing Starbucks’ presence in Japan.

After Japan, the company embarked on an aggressive foreign investment program. In 1998, it purchased Seattle Coffee, a British coffee chain with 60 retail stores, for $84 million. In Asia, Starbucks’ most common strategy was to license its format to a local operator in return for initial licensing fees and royalties on store revenues.

In 2006, Starbucks announced that it believed there was the potential for up to 15, 000 stores outside of the United States, with major opportunities in China, which the company now views as the largest single market opportunity outside of the United States. Currently the company only has 350 stores in China.

1. What could be the main reason that triggered Starbucks to pursue FDI in Britain? .

2. Starbucks decided to pursue international investment through licensing, what would be the cause of that? .

3. Assess the reasons why Starbucks chose to embark on a foreign market expansion strategy outside of the USA.

4. In your opinion what type of international business activity should have Starbucks used? Explain your answer.

You are given the sample mean and the population standard deviation. Use this information to construct the​ 90% and​ 95% confidence intervals for the population mean. Interpret the results and compare the widths of the confidence intervals. If​ convenient, use technology to construct the confidence intervals. A random sample of 60 home theater systems has a mean price of ​$120.00. Assume the population standard deviation is ​$15.40. Construct a​ 90% confidence interval for the population mean.

For each of the following scenarios, list the purpose(s) of the visualization and the type(s) of visualization that would best fulfill the purpose(s). Justify your choice.

a. A stock analyst is showing a potential customer how projected returns from various mutual funds will affect the size of retirement savings over time.

b. A tax accountant is showing the CFO how the accumulated effect of asset depreciation differs using Modified Accelerated Cost Recovery System (MACRS)
depreciation, straight-line depreciation, accelerated depreciation, and units of production depreciation.

c. A marketing analyst prepares a viz to show which countries present the best opportunity for expansion to increase profits.

d. A corporate accountant is examining how much variability there is in individual customer spending in response to a social media campaign about company advances
in social responsibility.

e. A large conglomerate corporation operates businesses in several different industries. The CEO wants to see how much each industry contributes to the overall profits of
the corporation.

f. The manager of a movie theater wants to understand how attendance at his movie theater is affected by prices.

The managers at Melody’s Movie theater are considering whether to upgrade their film projector. The upgraded projector costs $120,000 and will last for an estimated 6 years. It will be depreciated using the 3-year MACRS schedule. The upgraded projector will have an estimated $5,000 salvage value in year 7.

The upgraded projector will replace the theater’s existing projector. The existing projector was purchased 5 years ago, for $45,000. The old projector was also depreciated using the 3-year MACRS schedule. If the old projector is replaced, it will be sold immediately (in year 0) for $20,000. If the old projector is not replaced, it will last for 6 more years, and will be sold as scrap for $1,000 in year 7.

With the new projector, Melody’s Movie theater will be able to show enhanced 3D films, and they estimate that their annual sales will increase from $200,000 per year to $260,000 per year. Total operating costs associated with the business will not be affected by the new projector. Costs will be $110,000 per year regardless of projector.

Melody’s corporate tax rate is 30%.

a. Calculate the capital spending cash flows for the project.

b. Calculate the operating cash flows for years 1 to 6.

For each of the following scenarios, list the purpose(s) of the visualization and the type(s) of visualization that would best fulfill the purpose(s). Justify your choice.

(a) A stock analyst is showing a potential customer how projected returns from various mutual funds will affect the size of retirement savings over time.

b. A tax accountant is showing the CFO how the accumulated effect of asset depreciation differs using Modified Accelerated Cost Recovery System (MACRS)
depreciation, straight-line depreciation, accelerated depreciation, and units of production depreciation.

c. A marketing analyst prepares a viz to show which countries present the best opportunity for expansion to increase profits.

d. A corporate accountant is examining how much variability there is in individual customer spending in response to a social media campaign about company advances
in social responsibility.

e. A large conglomerate corporation operates businesses in several different industries. The CEO wants to see how much each industry contributes to the overall profits of
the corporation.

f. The manager of a movie theater wants to understand how attendance at his movie
theater is affected by prices.

"Mike Dreskin manages a large Los Angeles movie theater complex called Cinema I, II, III, and IV. Each of the four auditoriums plays a different film; the schedule is set so that starting times are staggered to avoid the large crowds that would occur if all four movies started at the same time. The theater has a single ticket booth and a cashier who can maintain an average service rate of 280 movie patrons per hour. Service times are assumed to follow an exponential distribution. Arrivals on a typically active day are Poisson distributed and average 210 per hour. To determine the efficiency of the current ticket operation, Mike wishes to examine several queue operating characteristics.

(a) Find the average number of moviegoers waiting in line to purchase a ticket.

(b) What percentage of the time is the cashier busy?

(c) What is the average time that a customer spends in the system?

(d) What is the average time spent waiting in line to get to the ticket window? (e) What is the probability that there are more than two people in the system? More than three people? More than four?"

Please use an Excel Model. (MD1?)