Instructions

Phillips Brothers Printers (PBP) provides printing services to a wide variety of customers. For most jobs, PBP submits a bid and uses the job cost system to accumulate costs, but bills the bid amount to the customers. They do have several customers who routinely have "out of the ordinary" jobs and PBP bills those on a cost-plus basis, with the customer paying the actual costs plus a predetermined profit percentage on the total cost.

Sally Phillips, controller for PBP, is approached by the company President who asks her to look for ways to charge more of the production costs to the cost-plus jobs. His logic is that since those customers will pay all the costs plus a profit, they can improve their overall profitability by shifting costs from bid jobs to cost-plus jobs.

Answer the following questions:

1. Is the President correct about the increase in overall company profits?
2. What classification of cost is most likely to be able to be increased on the cost-plus jobs? Why?
3. Is what the President proposes ethical? Why or why not?
4. What would you do if you were Sally? Why?
5. If Sally does go along with this proposal, are there risks to the company? What are they?

6. a) Explain as an investor how you would apply the Four Factor Value Matrix by Matt Kuppers.

b) You are a startup consultant and your client is a cryptocurrency-based payment card provider. To date, the startup offers customers a payment card which enables them to buy, hold and send cryptocurrencies. The payment card is connected to a cryptocurrency wallet. They are looking to grow the customer base. What modification of the business model would allow them to grow revenue?

ABC uses the accrual basis of accounting. The amount of rent expense for Y2 was $100,000 and the amount of cash received from customers was $200,000. Selected information obtained from the company’s comparative balance sheets is shown below:

Compute the amount of cash paid for rent in Y2.

1. Takeover is a general and imprecise term referring to the transfer of control of a firm from one group of shareholders to another. This can occur through any one of three means: acquisitions, proxy contests, and going-private transactions. Discuss THREE (3) basic legal procedures that one firm can use to acquire another firm.

                                                                                                                         (CLO3:PLO2:C2)

2. One important reason for an acquisition is that the combined firm may generate greater revenues than two separate firms. Increase in revenue may come from marketing gains, strategic benefits, and increase in market power. Briefly describe this revenue enhancement to the company.                                                                                   

                                                                                                                      (CLO3:PLO2:C4)

A restaurant manager is interested in taking a more statistical approach to predicting customer load. She begins the process by gathering data. One of the restaurant hosts or hostesses is assigned to count customers every five minutes from 7 P.M. until 8 P.M. every Saturday night for three weeks. The data are shown here. After the data are gathered, the manager computes lambda using the data from all three weeks as one data set as a basis for probability analysis.What value of lambda did she find? Assume that these customers randomly arrive and that the arrivals are Poisson distributed. Use the value of lambda computed by the manager and help the manager calculate the probabilities in parts (a) through (e) for any given five-minute interval between 7 P.M. and 8 P.M. on Saturday night. Number of Arrivals Week 1 Week 2 Week 3 3 1 5 6 2 3 4 4 5 6 0 3 2 2 5 3 6 4 1 5 7 5 4 3 1 2 4 0 5 8 3 3 1 3 4 3 a. What is the probability that no customers arrive during any given five-minute interval? b. What is the probability that five or more customers arrive during any given five-minute interval? c. What is the probability that during a 10-minute interval fewer than four customers arrive? d. What is the probability that between four and six (inclusive) customers arrive in any 10-minute interval? e. What is the probability that exactly six customers arrive in any 15-minute interval? *Round your answers to 4 decimal places when calculating using Table A.3. **Round your answer to 4 decimal places, the tolerance is +/-0.0005. a. P(x = 0) = * b. P(x ≥ 5) = * c. P(x < 4 | 10 minutes) = * d. P(4 ≤ x ≤ 6 | 10 minutes) = * e. P(x = 6 | 15 minutes) = **

We want to be local and global, small and big, radically decentralized with central reporting and control. If we can solve those contradictions, we can create real organizational advantage'. - The former CEO of ABB

Questions:
1- Based on the international corporate strategy, how can a company be local or global?
2- Does the corporate strategy (local or global) depend on the sector, customers or industry?
3- How can companies solve the contradictions of being local and global?

We want to be local and global, small and big, radically decentralized with central reporting and control. If we can solve those contradictions, we can create real organizational advantage'. - The former CEO of ABB

Questions:
1- Based on the international corporate strategy, how can a company be local or global?
2- Does the corporate strategy (local or global) depend on the sector, customers or industry?
3- How can companies solve the contradictions of being local and global?

To improve worker satisfaction a company institutes an exercise program for its workers. It measures 10 randomly selected workers’ satisfaction levels before and then after the program is instituted. Does the exercise program significantly improve their worker's job satisfaction? State the hypotheses, check conditions, compute test statistics, standardize and give degrees of freedom. Include a sketch, state the p-value followed by your conclusion.

Before

34

28

29

45

26

27

24

15

15

27

After

33

36

50

41

37

41

39

21

20

37

To improve worker satisfaction a company institutes an exercise program for its workers. It measures 10 randomly selected workers’ satisfaction levels before and then after the program is instituted. Does the exercise program significantly improve their workers job satisfaction? State the hypotheses, check conditions, compute test statistics, standardize and give degrees of freedom. Include a sketch, state the p-value followed by your conclusion.

Before 34 28 29 45 26 27 24 15 15 27

After 33 36 50 41 37 41 39 21 20 37

The records at the end of January of the current year for Young Company showed the following for a particular kind of merchandise: Beginning Inventory at FIFO: 14 Units @ $16 = $224 Beginning Inventory at LIFO: 14 Units @ $12 = $168 Transactions Units Unit Cost Total Cost Purchase, January 9 28 $ 14 $ 392 Purchase, January 20 54 19 1,026 Sale, January 21 (at $42 per unit) 37 Sale, January 27 (at $43 per unit) 27 1. Compute the inventory turnover ratio for the month of January under the FIFO and LIFO inventory costing methods.