Recent trends in globalization have forced businesses around the world to more keenly focus on profitability. This trend is also present in Japan, where historical links between banks and businesses have traditionally blurred the goals of firms. For example, the Japanese business engineering firm, Mitsui & Co. Ltd., recently launched “Challenge 21”. A plan directed at helping the company emerge as Japan’s leading business engineering group. According to a spokesperson for the company.” [ This plan permits us to] create new value and maximize profitability by taking steps such as renewing our management framework and prioritizing the allocation of our resources into strategic areas. We are committed to maximizing shareholder value through business conduct that balances the pursuit of earnings with socially responsible behavior.” Ultimately, the goal of any continuing company must be to maximize the value of the firm. This goal is often achieved by trying to hit intermediate targets, such as minimizing costs or increasing market share. If you as a manager- do not maximize your firm’s value over time, you will be in danger of either going out of business, being taken over by other owners (as in a leveraged buyout), or having stockholders elect to replace you and other managers. Source: “Mitsui & Co., Ltd. UK Regulatory Announcement: Final Results.” Business Wire, May 13, 2004.

Questions

1. What is (Challenge 21 ) plan of Mitsui & Co., Ltd.

2. What were the objectives of the management of Mitsui & Co., Ltd .

3. What are the threats of not maximizing a firm’s value.

1.Given the following adjusted trial balance, determine the company's net income for the year:

a) $496

b) $270.

c) $324.

d)$98.

e) $220

2.A company has the following adjusted trial balance:

After closing entries have been journalized and posted, the balance in the company's retained earnings account will be

a) $8,450.

b) $4,350.

c) $4,550.

d) $5,050.

e) $4,700.

3. Which of the following accounts will not appear in the post-closing trial balance because it has been closed?

a) Cash

b) Unearned Revenue

c) Service Revenue

d) Accounts Payable

e) Common Stock

1. Which of the following describes how a merchandise income statement is different from a service income statement?

1. The revenue from a merchandise business is reported as fees earned.
2. The program and production expenses are subtracted from gross profit to arrive at operating income.
3. Depreciation and amortization expenses are added to the cost of goods sold.
4. A merchandise business shows a gross profit line.

2) Which of the following statements is false?

1. The accounting equation is reflected in the balance sheet.
2. The balance sheet is classified to categorize the various items within the statement.
3. Classifying items help the user see where a company gets its resources.
4. Classifying items on a balance sheet helps show the company's earnings potential.

3)Which of the following statements is true?

1. The sale of goods and services results in expenses.
2. The costs of operating a company are called revenue.
3. A company must generate net income in order to be sustainable.
4. The income statement reports the financial position of a company at a specific point in time.

4) Which statement summarizes and explains the changes in retained earnings during the accounting period?

1. Balance Sheet
2. Income Statement
3. Retained Earnings Statement
4. Trial Balance

Discuss how the company could reduce the problem of customers terminating their pay-TV service after only three months.

What is the most useful source of information on customers generated by any company? Identify all the possible data available on that source.

What is the most useful source of information on customers generated by any company? Identify all the possible data available on that source.

​Other things held constant, which of the following actions would increase the amount of cash on a company's balance sheet?

Question 11 options:

. As businesses try to survive in the current crisis, Route 22 Honda sought to estimate the satisfaction score from 915 who have purchased a car or truck in 2019.  The company goal is to achieve an average satisfaction score of at least 80 on a scale of 0-100. A random sample of 80 customers had an average satisfaction score of 82.7 and a sample deviation of 6.7

a.       Construct a 95% confidence interval to estimate the actual average satisfaction score form customers in 2019.

b.      Based on this sample, can the manager conclude that Route 22 Honda reached its goal?

2.       2. The state of Florida wanted to estimate the proportion of voters who intend to vote in the presidential election.  A pilot sample of 50 voters found that 36 of them intend to vote in the election. Determine the additional number of voters that need to be sampled to construct a 95% interval with a margin of error equal to 0.05 to estimate the proportion.

3.      3. Apple claims that the average wait time for a customer calling Apple Care support line is 175 seconds.  A random sample of 40 customers had an average wait time of 187 seconds.  Assume the population standard deviation for wait time is 50 seconds

a.       Using a 95% confidence interval, does this sample support Apple’s claim?

alpha lumber co. has the following short-run total costs:
total explicit cost=$40,000
total implicit cost=$20,000
how profitable (economic profit, normal profit or economic loss) is the company in each of the following cases:
A. Total revenue=$65,000
B. Total revenue=$60,000
C. Total revenue=$55,000