eBook At the end of last year, Roberts Inc. reported the following income statement (in millions of dollars): Sales $3,000 Operating costs excluding depreciation 2,450 EBITDA $550 Depreciation 250 EBIT $300 Interest 124 EBT $176 Taxes (25%) 44 Net income $132 Looking ahead to the following year, the company's CFO has assembled this information: Year-end sales are expected to be 11% higher than the $3 billion in sales generated last year. Year-end operating costs, excluding depreciation, are expected to equal 80% of year-end sales. Depreciation is expected to increase at the same rate as sales. Interest costs are expected to remain unchanged. The tax rate is expected to remain at 25%. On the basis of that information, what will be the forecast for Roberts' year-end net income? Enter your answer in millions. For example, an answer of $25,400,000 should be entered as 25.40. Do not round intermediate calculations. Round your answer to two decimal places.

$ million

Bob has been active all of his life. He played soccer from elementary school all the way through college. He even played on a community team but now at age 45, he’s been diagnosed with high blood pressure (hypertension). At times he ate too much junk food and occasionally drank too much alcohol but he couldn’t get around the fact that the men in his family all had high blood pressure. Dr. Miller, Bob’s primary care physician, had to prescribe two different antihypertensive medications in order to get his blood pressure under control. She also recommended Bob continue his regular soccer workouts but suggested a low-salt diet and more modest alcohol intake. Bob heeded Dr. Miller’s recommendations. His father and his 2 uncles had hypertension at a young ages, and all 3 men ended up on dialysis before dying from complications of kidney failure.Bob began the recommended lifestyle changes at age 45 and even started running regularly to keep his blood pressure under control. Now, 10 years later, he was a marathoner and participated in local marathons, competing with, and outrunning many his own age. However, Bob noticed that during the past several months, he’d experienced more fatigue than normal and some dehydration symptoms after his long runs. After consulting with Dr. Miller, Bob sought the help of Ty, an exercise physiologist, to help him maintain his exercise regime and his health without feeling “old”.Ty worked with Dr. Miller to make sure that Bob was monitored closely since he was still taking his anti-hypertensive medications. Ty suggested a urinalysis to assess Bob’s physical condition before, during and after his workouts. Bob dutifully supplied urine samples to Dr. Miller for evaluation as Ty recommended. Ty explained that Bob’s dehydration symptoms were more difficulty to evaluate since the medication Bob took to control his high blood pressure could affect his renal status or physiologic functioning.Dr. Miller logged the following results of Bob’s urinalysis immediately after, and six hours after, a rigorous 2-hour run.

Based on the urine color and specific gravity, Ty assessed Bob’s hydration status at the three different urine collection times. Explain what you believe to be Bob’s hydration status before Bob began his workout, immediately after his work and 6-hours after his workout.

Antidiuretic hormone (ADH) plays a large part in regulating the formation of concentrated or dilute urine. During Bob’s long runs, his ADH secretion would change based on how much he perspired. Explain why ADH secretions would fluctuate during Bob’s long runs.

Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year, and he wants you to forecast the firm's additional funds needed (AFN). The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year? Dollars are in millions. Last year's sales = S0 $350 Last year's accounts payable $40 Sales growth rate = g 30% Last year's notes payable $50 Last year's total assets = A0* $870 Last year's accruals $30 Last year's profit margin = PM 5% Target payout ratio 60%

Select the correct answer.

a. $233.5

b. $236.1

c. $225.7

d. $228.3

e. $230.9

Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year, and he wants you to forecast the firm's additional funds needed (AFN). The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year? Dollars are in millions.

Select the correct answer.

Daniel Sawyer, the CEO of the Sawyer Group, is initiating planning for the company's operations next year, and he wants you to forecast the firm's additional funds needed (AFN). The firm is operating at full capacity. Data for use in your forecast are shown below. Based on the AFN equation, what is the AFN for the coming year? Dollars are in millions.

Select the correct answer.

The Game of Pit is really fun because there are no turns. People shout out bids at random, chaotically. Here is a slightly simplified version of the game:

There are four suits, Wheat, Barley, Corn and Rye, with nine cards each, 36 cards in all. There are four players. At the opening, the cards are all dealt out, nine to each player. The players hide their cards from each other’s sight.

Players then start trading. In computer science terms, trading is asynchronous, no turns; a player can bid at any time. The only rule is that a trade must be homogeneous in suit, e.g. all Rye. (The player trading Rye need not trade all the Rye he has, though.) The player bids by shouting out the number she wants to trade, say “2!” If another player wants to trade two cards (again, homogeneous in suit), she yells out, “OK, 2!” and they trade. When one player acquires all nine of a suit, he shouts “Corner!”

Consider the situation at the time the cards have just been dealt. Imagine that you are one of the players, and Jane is another. Find the following probabilities:

(a) P(you have no Wheats). (b) P(you have seven Wheats).

(c) P(Jane has two Wheats — you have seven Wheats).
(d) P(you have a corner) (note: someone else might too; whoever shouts it out first wins).

Question 2:

a) How might customer profitability analysis be used to improve organisational performance? Suggest and explain which costing approach can be used to implement customer profitability analysis?

b) Hector Gonzales runs the Floral Art Company, which supplies floral arrangements to three large supermarket chains throughout Australia. Management has become concerned about the rising costs associated with the process and dispatch of orders. An activity analysis of the indirect costs identified the following customer-related costs.

Required:

1. Assign the activity costs to each of the three customers

1. Calculate the contribution for each customer if the sales pattern for each is as follows:

Hints: conduct a customer profitability analysis based on the above customer related indirect costs.

1. What conclusion can we draw from the customer profit analysis? Advise the management of the Floral Art Company as to whether any changes should be made in its relationships with customers. Advise Hector as to how he should go about executing these changes.

Twenty-one daily responses of stack loss (y) (the amount of ammonia escaping) were measured with air flow x1, temperature x2, and acid concentration x3.

1. Check the significance of the model using ANOVA via Minitab and state your conclusion at 5% alpha level. [5 marks]

2. Using stepwise method, find the best regression model by Minitab and explain the results obtained at each step. [3 marks]

Husam Trading Company is in the business of buying and selling of different types of electronics products in Nizwa region and provided the following data to understand the cash position every month start from January to July. The sales book reported the sales amount for seven months as below: -

The sales reported every month including cash sales and credit sales. Cash sales constitute 50% of total sales collected in the month of sales and the balance is credit sales received in two months following the month of sales.

The detail of goods purchased in cash during seven months reported in purchase book as below: -

Company also purchased goods on credit from different suppliers. The detail of credit purchase from the month January to July is given below: -

Cash purchases payable in the month of purchases and credit purchases are payable to supplier in two months following the month of credit purchase.

It is also found from the accounting records that the company purchased plant and equipment for RO 15,000 in the month of March and it is payable in three equal instalments starting from April. Tax department has sent a notice to the company to pay taxes of RO 2,000 each in the month from May, June and July.

The wages and office expenses are paid in the month following the month in which wages and office expenses incurred. The detail of wages and office expenses is given below: -

The selling expenses of the company recorded for the seven months are as follows: -

The company also incurred administrative expenses for the period January to July. The detail of administrative expenses is given as below: -

The company is paying the selling expenses in one month following the month in which such expenses incurred and administration expenses in two months following the month in which such expenses incurred.

The cash balance as on 1^st April is RO 27,500.

Requirement: The Company has requested you to prepare Cash budget for the period of April to June.                                                                                            

Husam Trading Company is in the business of buying and selling of different types of electronics products in Nizwa region and provided the following data to understand the cash position every month start from January to July. The sales book reported the sales amount for seven months as below: -

The sales reported every month including cash sales and credit sales. Cash sales constitute 50% of total sales collected in the month of sales and the balance is credit sales received in two months following the month of sales.

The detail of goods purchased in cash during seven months reported in purchase book as below: -

Company also purchased goods on credit from different suppliers. The detail of credit purchase from the month January to July is given below: -

Cash purchases payable in the month of purchases and credit purchases are payable to supplier in two months following the month of credit purchase.

It is also found from the accounting records that the company purchased plant and equipment for RO 15,000 in the month of March and it is payable in three equal instalments starting from April. Tax department has sent a notice to the company to pay taxes of RO 2,000 each in the month from May, June and July.

The wages and office expenses are paid in the month following the month in which wages and office expenses incurred. The detail of wages and office expenses is given below: -

The selling expenses of the company recorded for the seven months are as follows: -

The company also incurred administrative expenses for the period January to July. The detail of administrative expenses is given as below: -

The company is paying the selling expenses in one month following the month in which such expenses incurred and administration expenses in two months following the month in which such expenses incurred.

The cash balance as on 1^st April is RO 27,500.

Requirement: The Company has requested you to prepare Cash budget for the period of April to june.