There are two Cournot competitors, A & B. Each has total cost of 12x, where x is a firm’s output,
and demand is X = 400 – P, where P is market price. What will market price be in equilibrium?
(a.) $239.8
(b.) $141.3
(c.) $130
(d.) $208
Graph it with labels, thanks!
In: Economics
Onta Enterprises is seeking to expand operations and is considering increasing production capacity by purchasing the latest plant and equipment. The following two plants are being considered for acquisition as they are technically superior to the current plant and will enable higher production volumes with lower cost inputs. The finance department has projected the cash flows for the life of the plant and has asked you as the investment manager to advise the Board on which of these plants to acquire. Onta’s current cost of capital is 12%.
The following information relates to the two plants that are being considered:
|
Plant Alpha |
Plant Beta |
||
|
Initial cost |
R550 000 |
R 400 000 |
|
|
Expected useful life |
4 years |
4 years |
|
|
Depreciation |
R137 500 p.a. |
R100 000 p.a. |
|
|
Net cash inflows |
Net cash inflows |
Net profit |
|
|
Expected net cash inflows |
R |
R |
R |
|
1st year 2nd year 3rd year 4th year |
180 000 190 000 210 000 160 000 |
130 000 130 000 130 000 130 000 |
30 000 30 000 30 000 30 000 |
Calculate the:
2.1 Payback Period for both plants. (Answers must be expressed in years, months and days.) (6)
2.2 Accounting Rate of Return for Plant Beta on initial investment. (4)
2.3 Net Present Value of each plant. (Round off amounts to the nearest Rand.) (9)
2.4 Based on your results in 2.1.3 which plant should be accepted? (1)
In: Accounting
Onta Enterprises is seeking to expand operations and is considering increasing production capacity by purchasing the latest plant and equipment. The following two plants are being considered for acquisition as they are technically superior to the current plant and will enable higher production volumes with lower cost inputs. The finance department has projected the cash flows for the life of the plant and has asked you as the investment manager to advise the Board on which of these plants to acquire. Onta’s current cost of capital is 12%.
The following information relates to the two plants that are being considered:
|
Plant Alpha |
Plant Beta |
||
|
Initial cost |
R550 000 |
R 400 000 |
|
|
Expected useful life |
4 years |
4 years |
|
|
Depreciation |
R137 500 p.a. |
R100 000 p.a. |
|
|
Net cash inflows |
Net cash inflows |
Net profit |
|
|
Expected net cash inflows |
R |
R |
R |
|
1st year 2nd year 3rd year 4th year |
180 000 190 000 210 000 160 000 |
130 000 130 000 130 000 130 000 |
30 000 30 000 30 000 30 000 |
Calculate the:
2.1 Payback Period for both plants. (Answers must be expressed in years, months and days.)
2.2 Accounting Rate of Return for Plant Beta on initial investment.
2.3 Net Present Value of each plant. (Round off amounts to the nearest Rand.)
2.4 Based on your results in 2.1.3 which plant should be accepted?
Note: All workings must be showed and answers must be typed in.
In: Accounting
Blue Ltd acquired on 1 July 2019 all the issued shares (cum div.) of ‘Pink’ Ltd for $33 000. At this date, the equity of ‘Pink’ Ltd was as follows.
| Share Capital | $ 20 000 |
| General Reserve | 2 000 |
| Retained Earnings | 5 000 |
All the identifiable assets and liabilities of ‘Pink’ Ltd were recorded at amounts equal to their fair values except for the following.
| Carrying Amount | Fair Value | |
| Plant Cost ($22 000) | $18 000 | $18 600 |
| Land | 19 000 | 21 000 |
| Inventories | 2 000 | 2 800 |
The plant’s expected remaining useful life was 5 years with benefits being expected evenly over that period. The plant was sold on 1 January 2022 for $18 700. The land was sold in February 2021 for $25 000. Of the inventories, 90% was sold by 30 June 2020 and the rest by 30 June 2021. At 1 July 2019, ‘Pink’ Ltd had recorded a dividend payable of $1 000 that was paid in September 2019. ‘Pink’ Ltd also had some unrecorded assets, in particular the brands relating to the clothing sold in the teenage market. ‘Blue’ Ltd valued these brands at $1 200 and assessed them to have an indefinite life. In the notes to its financial statements at 30 June 2019, ‘Pink’ Ltd disclosed a contingent liability relating to a guarantee it had made to one of its related companies. ‘Pink’ Ltd assessed the fair value of the guarantee payable as being $1 000. In August 2021, ‘Pink’ Ltd was required to pay $250 in relation to the guarantee. All transfers to the general reserve made by ‘Pink’ Ltd have been from retained earnings earned prior to 1 July 2019. The tax rate is 30%. The financial information provided by the two companies at 30 June 2020 is as follows.
| ‘Blue’ Ltd | ‘Pink’ Ltd | |
| Revenue | 19 000 | 11 000 |
| Expenses | (8 000) | (7 600) |
| 11 000 | 3 400 | |
| Gains on sale of non-current assets | 500 | 400 |
| Profit before tax | 11 500 | 3 800 |
| Income Tax expense | (4 000) | (600) |
| Profit for the year | 7 500 | 3 200 |
|
Other Comprehensive income |
||
| Gains on revaluation of plant | 1 200 | 0 |
| Comprehensive income for the year | $8 700 | $3 200 |
| Profit for the year | $7 500 | $3 200 |
| Retained earnings (1/7/21) | 8 000 | 8 800 |
| 15 500 | 12 000 | |
| Dividend Paid | (3 400) | 0 |
| Transfer to general reserve | 0 | (1 500) |
| (3 400) | (1 500) | |
| Retained Earnings (30/6/22) | $12 100 | $10 500 |
| Share Capital | $28 000 | $20 000 |
| General reserve | 2 000 | 4 800 |
| Asset revaluation surplus | 2 400 | 0 |
| Retained earnings | 12 100 | 10 500 |
| Total equity | 44 500 | 35 300 |
| Provisions | 1 500 | 1 200 |
| Payables | 4 000 | 800 |
| Total Liabilities | 5 500 | 2 000 |
| Total Equity and liabilities | $50 000 | $37 300 |
| Cash | $1 200 | $3 000 |
| Accounts Receivable | 2 800 | 1 200 |
| Inventories | 3 000 | 5 100 |
| Plant | 23 000 | 32 000 |
| Accumulated Depreciation- Plant | (12 000) | (4 000) |
| Shares in Brooks Ltd | 32 000 | 0 |
| Total Asset | $50 000 | $37 300 |
Required
In: Accounting
6. Augustine and Aristotle both focused on the summum bonum or
highest good. Briefly discuss one point of agreement and one point
of disagreement between the two philosophers on the summum bonum or
highest realizable good..
7. Describe one similarity and one difference between Aristotle’s
and Augustine’s views on moral virtue.
8. Describe one reason the will to love is pivotal in Augustine’s
thought.
9. Which do you find more convincing the shareholder theory or stakeholder theory of corporate social responsibility? Why?
10. Consider the Merck/Vioxx case or the Beer Marketer case of the CEO Appliance Case. Discuss one reason we might see the case as about the actions of individuals and one reason we might see the case as about the actions of a corporation as a moral agent and one reason we might place it on the societal level.
In: Psychology
|
Distance from one end of water surface (m) |
depth of water(d) , (m) |
Immersion of current meter below water surface (m) |
||
|
depth (m) |
sec |
rev |
||
|
0 |
0 |
— |
— |
— |
|
2 |
1 |
0.6 |
10 |
40 |
|
4 |
2.2 |
0.44 |
36 |
48 |
|
1.76 |
20 |
50 |
||
|
6 |
4 |
0.8 |
40 |
57 |
|
3.2 |
30 |
53 |
||
|
8 |
8 |
1.6 |
46 |
59 |
|
6.4 |
33 |
57 |
||
|
10 |
4.2 |
0.84 |
33 |
51 |
|
3.36 |
29 |
49 |
||
|
12 |
2.5 |
0.5 |
34 |
52 |
|
2 |
29 |
53 |
||
|
14 |
1.2 |
0.72 |
16 |
48 |
|
16 |
0 |
— |
— |
— |
Rating equation of current meter: v = 0.2 N + 0.04, where N = rev./sec, v = velocity (m/sec).
In: Civil Engineering
The comparative balance sheets for 2021 and 2020 and the
statement of income for 2021 are given below for Dux Company.
Additional information from Dux’s accounting records is provided
also.
| DUX COMPANY Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) |
||||||||
| 2021 | 2020 | |||||||
| Assets | ||||||||
| Cash | $ | 33 | $ | 20 | ||||
| Accounts receivable | 48 | 50 | ||||||
| Less: Allowance for uncollectible accounts | (4 | ) | (3 | ) | ||||
| Dividends receivable | 3 | 2 | ||||||
| Inventory | 55 | 50 | ||||||
| Long-term investment | 15 | 10 | ||||||
| Land | 70 | 40 | ||||||
| Buildings and equipment | 225 | 250 | ||||||
| Less: Accumulated depreciation | (25 | ) | (50 | ) | ||||
| $ | 420 | $ | 369 | |||||
| Liabilities | ||||||||
| Accounts payable | $ | 13 | $ | 20 | ||||
| Salaries payable | 2 | 5 | ||||||
| Interest payable | 4 | 2 | ||||||
| Income tax payable | 7 | 8 | ||||||
| Notes payable | 30 | 0 | ||||||
| Bonds payable | 95 | 70 | ||||||
| Less: Discount on bonds | (2 | ) | (3 | ) | ||||
| Shareholders' Equity | ||||||||
| Common stock | 210 | 200 | ||||||
| Paid-in capital—excess of par | 24 | 20 | ||||||
| Retained earnings | 45 | 47 | ||||||
| Less: Treasury stock | (8 | ) | 0 | |||||
| $ | 420 | $ | 369 | |||||
| DUX COMPANY Income Statement For the Year Ended December 31, 2021 ($ in thousands) |
||||||
| Revenues | ||||||
| Sales revenue | $ | 200 | ||||
| Dividend revenue | 3 | $ | 203 | |||
| Expenses | ||||||
| Cost of goods sold | 120 | |||||
| Salaries expense | 25 | |||||
| Depreciation expense | 5 | |||||
| Bad debt expense | 1 | |||||
| Interest expense | 8 | |||||
| Loss on sale of building | 3 | |||||
| Income tax expense | 16 | 178 | ||||
| Net income | $ | 25 | ||||
Additional information from the accounting records:
Required:
Prepare the statement of cash flows of Dux Company for the year
ended December 31, 2021. Present cash flows from operating
activities by the direct method. (Do not round your
intermediate calculations. Enter your answers in thousands (i.e.,
10,000 should be entered as 10). Amounts to be deducted should be
indicated with a minus sign.)
In: Accounting
Use the given data set to complete parts (a) through (c) below. (Use
α=0.05.)
|
x |
10 |
8 |
13 |
9 |
11 |
14 |
6 |
4 |
12 |
7 |
5 |
|
|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
y |
7.47 |
6.77 |
12.74 |
7.12 |
7.81 |
8.85 |
6.08 |
5.38 |
8.15 |
6.41 |
5.73 |
Using the linear correlation coefficient found in the previous step, determine whether there is sufficient evidence to support the claim of a linear correlation between the two variables. Choose the correct answer below.
A.There is sufficient evidence to support the claim of a linear correlation between the two variables.
B.There is insufficient evidence to support the claim of a nonlinear correlation between the two variables.
C.There is sufficient evidence to support the claim of a nonlinear correlation between the two variables.
D.There is insufficient evidence to support the claim of a linear correlation between the two variables.
c. Identify the feature of the data that would be missed if part (b) was completed without constructing the scatterplot. Choose the correct answer below.
A.
The scatterplot reveals a perfect straight-line pattern, except for the presence of one outlier.
B.
The scatterplot does not reveal a perfect straight-line pattern, and contains one outlier.
C.
The scatterplot does not reveal a perfect straight-line pattern.
D.
The scatterplot reveals a perfect straight-line pattern and does not contain any outliers.
In: Statistics and Probability
The following results are from an independent-measures, two factor study. Be careful that this is a 2x3 design. You are expected to extend your knowledge on 2x2 design to a 2x3 factorial design.
The study:
Consider an experiment designed to investigate the effectiveness of therapy for the treatment of anxiety or fear. Two kinds of therapy (systematic desensitization, counter conditioning) as well as a counseling-only control condition are included. The therapy and counseling programs have been conducted over a number of sessions and the investigator asks whether more sessions might bring further improvements. The goal then is to compare two treatment lengths: the original and an extended version. For convenience, these two lengths are referred to as “Short” and “Long.” Participants’ well-being scores are measured; the larger the score, the more beneficial the treatment. Data are given in the table below. Answer the following questions using this data.
|
Form of Therapy |
Counseling |
Systematic Desensitization |
Counter-Conditioning |
|||
|
Duration of Therapy |
Short |
Long |
Short |
Long |
Short |
Long |
|
10 |
13 |
5 |
0 |
6 |
3 |
|
|
11 |
14 |
6 |
2 |
9 |
3 |
|
|
12 |
7 |
3 |
4 |
5 |
4 |
|
|
9 |
8 |
7 |
7 |
4 |
5 |
|
|
12 |
10 |
8 |
5 |
3 |
5 |
|
|
13 |
9 |
10 |
1 |
9 |
6 |
|
|
12 |
10 |
8 |
4 |
6 |
4 |
|
|
13 |
11 |
7 |
2 |
8 |
2 |
|
|
10 |
12 |
9 |
4 |
4 |
7 |
|
|
8 |
16 |
7 |
1 |
6 |
1 |
|
In: Statistics and Probability
A university is interested in whether there's a difference between students who live on campus and students who live off campus with respect to absenteeism. Over one semester, researchers take random samples of on-campus and off-campus students and record the following number of classes each student misses.
On-campus: (3, 4, 0, 6, 2, 1, 3, 3, 5, 2, 4, 4, 6, 5, 2)
Off-campus: (6, 5, 2, 6, 2, 0, 7, 8, 1, 7, 2, 6, 5, 3, 2)
a) Using a 5% significance level, test whether or not there is a difference between the two groups.
b) Compute and interpret a 95% confidence interval for the difference between the number of classes missed by each group of students. Make sure to show your plug-ins.
c) Based on the confidence interval you created in part B, draw a conclusion about the differences between the means of the two groups.
In: Statistics and Probability