Questions
(This question is from the Week 7 Tutorial) Magi Chen is the managing director of Sun...

(This question is from the Week 7 Tutorial)
Magi Chen is the managing director of Sun Construction Pty Ltd, a family owned business that provides construction services. As Magi is interested in purchasing some new construction equipment’s for her business, she has approached her local bank for finance. The bank has asked that Magi provide an audited financial statement to assist them in considering her loan application. Magi has approached your audit firm for this service and you have been allocated the task of auditing Sun Construction for the year ended 30 June 2019. You have undertaken a preliminary review of the business and determined that a substantive testing approach would be suitable and appropriate. You are currently preparing an audit program for the revenue cycle. The following information has been obtained from your review:
• Magi usually works 120 hours a fortnight. Part of this time is spent travelling between different clients and is not charged to the clients. The remaining time is charged at $60 per hour, regardless of the task undertaken.
• Customers typically pay Magi in cash for the work undertaken, except for a small number of regular small-business customers. Magi allows these customers to pay on account by bank transfer on a monthly basis.
• Magi supplies each cash customer with a written receipt, prepared manually from a receipt book purchased at the local news-agency. The book contains pre-numbered blank receipts, which are completed in duplicate.
Required:
For each of the assertions of occurrence, completeness and accuracy, identify a procedure(s) you
could use to audit Sun Construction's revenue.
(Word Limit: Minimum of 150 words. Maximum of 200 words)

In: Accounting

Suburban Homes Construction Project Quality Management Plan (QMP) Prepare a quality management plan using the elements...

Suburban Homes Construction Project Quality Management Plan (QMP)

Prepare a quality management plan using the elements described in the PMBOK 6e (Section 8.1.3.1) for the Suburban Homes Construction Project.

Content (90 points) Over the course the semester you’ve become familiar with the project and as part of the overall project management plan, a quality management plan is needed to communicate how quality will be met to the satisfaction of each stakeholder involved in a typical residential construction project.

You should perform research on quality standards associated with residential construction to determine applicable standards. At least four (4) quality objectives associated with the project should be defined.

As part of the section on quality tools, include a separate appendix with at least three (3) quality tools that will be used as a part of the project. These can be drawn from: 1) flow charts, 2) check sheets, 3) Pareto diagrams, 4) histograms, 5) control charts, 6) scatter diagrams, 7) affinity diagrams, 8) process decision programs charts, 9) interrelationship digraphs, 10) tree diagrams, 11) prioritization matrices, 12) activity network diagrams, 13) matrix diagrams, 14) inspections, and 15) statistical sampling.

Last, about 1/3 of the plan should be devoted to major procedures relevant for the project for dealing with non-conformance, corrective actions procedures, and continuous improvement procedures.

If information needed to complete a QMP is not explicitly stated in the scenario description or other project artifacts you’ve created or collected for this scenario in the past units, then develop (make-up) the information you need to complete the plan. Use tables and illustrations as needed to convey information.

The plan (excluding the separate appendix) should be approximately 4 to 5 pages.

In: Operations Management

package construction; public class Bid{ private String contractor; private float price; public Bid(String contractor, float price)...

package construction;
public class Bid{
    private String contractor;
    private float price;

    public Bid(String contractor, float price) {
        this.contractor = contractor;
        this.price = price;
    }

    public String getContractor() {        return contractor;     }

    public float getPrice()       {        return price;    }

}
package construction;

public class ContractorBids{
    // assume proper variables and other methods are here

    public void winningBid(Bid[] bids, int numBids){

        /****************************
         *  your code would go here *
         ****************************/

    }
}

You are doing renovations on your building, and multiple contractors have given bids. Given the above Bid and ContractorBids class, write code that should go in the area marked * your code would go here * to complete the “winningBid(Bid[] bids, int numBids)” method. The output should be printed to the console (screen). There are numBids Bids in the array Bid[] bids. These items are in locations 0 to numBids - 1 of the array.

Each Bid item should have its contractor and price output on a single line. There will be marks for properly right justifying the price and outputting two decimals. As you are printing the Bid objects, you should keep track of the Bid object with the lowest price. At the end print the contractor name followed by the price, a finder's fee of 10% and the total price.  For example, if the Bid array had 3 Bids, a Carl's Construction with $40 000, a Pat's Paving for $50 000, and Debbie's Demolition for $30 000, we would get the following output.

 

Top Bids:

Carl's Construction 40000.00

Pat's Paving 50000.00

Debbie's Demolition     30000.00

The winning bid goes to Debbie's Demolition.

Price: $30000.00 Finder's Fee: $3000.00 Total: $33000.00

In: Computer Science

For those fortunate souls who do not need glasses, the lens of the eye adjusts its...

For those fortunate souls who do not need glasses, the lens of the eye adjusts its focal length in order to form a proper image on the retina. This typically means that very distant objects as well as objects as close as 25 cm can be seen clearly. Many of us need corrective lenses since the lens in our eye cannot adjust sufficiently to produce a clear image over the full range object distances. This may be because the lens itself does not adjust well or because the eye is either longer or shorter than ‘normal’. In the case of someone who is nearsighted (can see up close) the eye may only be able to see clearly items up to 50cm or 1m away (this would be the far point). In order to see something further away, a lens (either glasses or contacts) is used to produce a virtual image of a distant object at the person’s far point. Their eye can then accommodate the rest of the way and produce a clear image. Suppose a person who has a far point of 63.0 cm is trying to view a distant object. What is the focal length (with correct sign) of a lens that would take a distant object and make an image on the same side of the lens as the object a distance 63.0 cm from the lens? Incorrect.

Is the lens converging or diverging?

Lenses are prescribed in terms of their refractive power, which is expressed in terms of diopters (see the text or your favorite search engine for the definition of a diopter). What is the refractive power of this lens in terms of diopters? (do not enter units.)

In the case of someone who is farsighted, the eye is not able to focus clearly on objects closer than a certain distance. This closest point on which a person’s eye can focus is called the near point. In this situation the corrective lens is used to make an object closer than the near point produce an image further away from the lens at the near point. Suppose a person who has a near point of 53.1 cm is trying to view a book at a distance of 25.0 cm. What is the focal length (with correct sign) of a lens that would take the book and make an image on the same side of the lens as the book a distance 53.1 cm from the lens?

Is the lens converging or diverging?

What is the refractive power of this lens in terms of diopters? (do not enter units.)

In: Physics

Total Cost Method of Product Pricing Smart Stream Inc. uses the total cost method of applying...

Total Cost Method of Product Pricing

Smart Stream Inc. uses the total cost method of applying the cost-plus approach to product pricing. The costs of producing and selling 6,500 units of cell phones are as follows:

Variable costs: Fixed costs:
    Direct materials $ 72 per unit     Factory overhead $235,700
    Direct labor 33     Selling and administrative expenses 82,800
    Factory overhead 22
    Selling and administrative expenses 17
         Total variable cost per unit $144 per unit

Smart Stream desires a profit equal to a 15% return on invested assets of $702,520.

a. Determine the total cost and the total cost amount per unit for the production and sale of 6,500 units of cellular phones. Round the cost per unit to two decimal places.

Total cost $ ???
Total cost amount per unit $ ???

b. Determine the total cost markup percentage (rounded to two decimal places) for cellular phones.
??? %

c. Determine the selling price of cellular phones. Round to the nearest cent.
$ ??? per cellular phone

In: Accounting

Pilar can buy a Monet for $7,200,000 today. She believes that the masterpiece can be sold...

Pilar can buy a Monet for $7,200,000 today. She believes that the masterpiece can be sold in 9 years for $19,600,000. What is the annual rate of return that Pilar expects to earn on this art investment?
a. 11.77% (plus or minus .02 percentage points)
b. 172.22% (plus or minus .02 percentage points)
c. 19.14% (plus or minus .02 percentage points)
d. 30.25% (plus or minus .02 percentage points)
e. None of the above is within .02 percentage points of the correct answer

In: Finance

Bond J is a 3.7% coupon bond. Bond K is a 9.7% coupon bond. Both bonds...

Bond J is a 3.7% coupon bond. Bond K is a 9.7% coupon bond. Both bonds have 15 years to maturity, make semiannual payments and have a YTM of 6.7%.

If interest rates suddenly rise by 2%, what is the percentage price change of these bonds?

Percentage change in price of Bond J %
Percentage change in price of Bond K %

What if rates suddenly fall by 2% instead?

Percentage change in price of Bond J %
Percentage change in price of Bond K %

In: Finance

Complete the information required below to prepare a partial balance sheet for 2021 and 2022 showing any items related to the contract.

In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2023. Information related to the contract is as follows:

2021 2022 2023
Cost incurred during the year $ 3,471,000 $ 4,005,000 $ 1,566,400
Estimated costs to complete as of year-end 5,429,000 1,424,000 0
Billings during the year 2,900,000 4,576,000 2,524,000
Cash collections during the year 2,700,000 4,500,000 2,800,000

3. Complete the information required below to prepare a partial balance sheet for 2021 and 2022 showing any items related to the contract.
4. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information.

2021 2022 2023
Cost incurred during the year $ 2,490,000 $ 3,845,000 $ 3,290,000
Estimated costs to complete as of year-end 5,690,000 3,190,000 0


5.
Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information.

2021 2022 2023
Cost incurred during the year $ 2,490,000 $ 3,845,000 $ 4,035,000
Estimated costs to complete as of year-end 5,690,000 4,190,000 0

3.

Complete the information required below to prepare a partial balance sheet for 2021 and 2022 showing any items related to the contract.

Balance Sheet (Partial) 2021 2022
Current assets:
Accounts receivable
Construction in progress
Less: Billings
Costs in excess of billings $0 $0
Current liabilities:
? $0 $0

4.

Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years using the above information. (Leave no cells blank - be certain to enter "0" wherever required. Loss amounts should be indicated with a minus sign.)

2021 2022 2023
Revenue
Gross profit (loss)

5.

Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years using the above information. (Leave no cells blank - be certain to enter "0" wherever required. Loss amounts should be indicated with a minus sign.)

2021 2022 2023
Revenue
Gross profit (loss)

In: Accounting

The first step in testing for impairment of goodwill is to compare the fair value of...

The first step in testing for impairment of goodwill is to

compare the fair value of the reporting unit with its book value, including goodwill.

assess qualitative factors that indicate whether the fair value of the reporting unit is greater or less than its carrying value.

measure the fair value of the reporting unit and the fair value of the identifiable assets of the reporting unit.

compare the fair value of the reporting unit with its book value, excluding goodwill.

Impairment losses may be reversed under

Set GAAP IFRS
I. Yes Yes
II. Yes No
III. No Yes
IV. No No

Set III

Set II

Set I

Set IV

Given the following information for Blue Bell Company for last year:

Net sales (all on account) $5,200,000
Cost of goods sold 2,080,000
Interest expense 240,000
Income tax expense 280,000
Net income 420,000
Income tax rate 40%
Total assets:
January 1 $1,800,000
December 31 2,400,000
Shareholders' equity (all common):
January 1 1,500,000
December 31 1,600,000
Current assets, December 31 700,000
Quick assets, December 31 400,000
Current liabilities, December 31 300,000
Net accounts receivable:
January 1 200,000
December 31 180,000
Inventory:
January 1 210,000
December 31 250,000


Refer to Exhibit 4-1. Blue Bell's inventory turnover for the year was

9.0 times

12.0%

8.3 times

11.1%

On January 1, 2016, Olvert Corp. signed a contract to have Bob's Builders construct a distribution center at a cost of $10,000,000. It was estimated that it would take two years to complete the project. Also on January 1, 2017, to finance the construction cost, Tolvin borrowed $10,000,000 payable in five annual installments of $4,000,000 plus interest at the rate of 6%. During 2017, Tolvin made the following construction-related expenditures:

Date Amount
2/1 $2,200,000
5/1 $1,700,000
8/1 $   700,000
11/1 $   400,000


What amount should Tolvin report as capitalized interest at December 31, 2017?

$621,000

$300,000

$207,000

$150,000

In: Accounting

My friend owns a small old house that is worth approximately $1.1 million. Given the improved...

My friend owns a small old house that is worth approximately $1.1 million. Given the improved real estate market, my friend is considering that over the next three years, she would have the option of tearing down this small old house and build a more expensive house. Her research suggests that the current cost of tearing down the old house and building a new more expensive will be approximately $800,000 and that she should assume that the expected cost would increase by 3%/year in the future. The current value of a comparable house to the one she is thinking of building is approximately $1.8 million. Finally, she believes that the standard deviation of the annual changes in homes prices in this price range is approximately 50%/year. Ignoring flexibility, what is the current expected NPV of the investment to tear down the old house and build the more expensive home (assume the cost of construction occur at time 0)? What is the value of the option to tear down the original house and build a new one anytime over the next three years? (Apply a two-period per year binomial model.)

In: Finance