3. Vacation Island has only one hotel on the entire island. The demand schedule to rent a room for a-night at the hotel is given bellow. Price per night Quantity demanded $150 0 $130 1 $110 2 $90 3 $70 4 $50 5 $30 6 a) Calculate the hotel’s total revenue and its marginal revenue. Fill in the table below. Price Quantity Total Revenue Marginal Revenue $150 0 - $130 1 $110 2 $90 3 $70 4 $50 5 $30 6 b) The marginal costs are listed in the table below. What price will the hotel charge to maximize its profit? Explain. Quantity Marginal Cost 0 - 1 $40 2 $43 3 $50 4 $61 5 $76 6 $95 c) How many rooms will be rented, when the hotel maximizes its profit? Explain.

R& V Hotel is consistently incurring losses for the past 2 years though the sales clerk receives customer orders, raises sales invoices at a higher price and processes payments for customers. Hotel customers have contracted prices, however online trade prices automatically loaded in to the system but the Brenda clerk used to amend manually. Mr. Zakariya an internal auditor found some deficiencies, who has taken some necessary actions to cross check those invoices and employees responsibilities and suggested the management immediately to prevent from loss of customers and good will of the hotel.
Based on the above scenario:
1. How the internal audit for R and V hotel can be helpful in resolving the issues they are confronting at the moment? Justify your answer practically
2. If you were Mr. Zakariya, prepare doable audit plan that Mr. Zakariya that you can use for the company and provide recommendations on how to overcome the deficiencies cited in the case?

The mean gas mileage for a hybrid car is 56 miles per gallon. Suppose that the gasoline mileage is approximately normally distributed with a standard deviation of 3.2 miles per gallon.​ (a) What proportion of hybrids gets over 61 miles per​ gallon? (b) What proportion of hybrids gets 51 miles per gallon or​ less? left parenthesis c right parenthesis What proportion of hybrids gets between 59 and 61 miles per​ gallon? (d) What is the probability that a randomly selected hybrid gets less than 46 miles per​ gallon?

Toby s Trucking Company determined that the distance traveled per truck per year is normally distributed, with a mean of 50.0 thousand miles and a standard deviation of 12.0 thousand miles.

a. What proportion of trucks can be expected to travel between 34.0 and 50.0 thousand miles in the year?

b. What percentage of trucks can be expected to travel either below 30.0 or above 60.0 thousand miles in the year?

c. How many miles will be traveled by at least 80% of the trucks?

d. What are your answers to (a) through (c) if the standard deviation is 10.0 thousand miles?

What is a kilocalorie?

Select one:

A. The amount of energy required to raise 1.0 Kilogram of water 1.0 degree Celsius

B. The amount of energy required to raise 100.0 ounces of water 1.0 degree Celsius

C. The amount of energy required to raise 1.0 gram of water 1.0 degree Celsius

D. The amount of energy required to raise 1.0 gram of water 100.0 degrees Fahrenheit

E. The amount of energy required to raise 1.0 Kilogram of water 100.0 degrees Celsius

he mean gas mileage for a hybrid car is

5656

miles per gallon. Suppose that the gasoline mileage is approximately normally distributed with a standard deviation of

3.23.2

miles per gallon.​ (a) What proportion of hybrids gets over

6161

miles per​ gallon? (b) What proportion of hybrids gets

5151

miles per gallon or​ less?

left parenthesis c right parenthesis What(c) What

proportion of hybrids gets between

5959

and

6161

miles per​ gallon? (d) What is the probability that a randomly selected hybrid gets less than

4646

miles per​ gallon?

LOADING...

Click the icon to view a table of areas under the normal curve.

​(a) The proportion of hybrids that gets over

6161

miles per gallon is

nothing.

​(Round to four decimal places as​ needed.)

​(b) The proportion of hybrids that gets

5151

miles per gallon or less is

nothing.

​(Round to four decimal places as​ needed.)

​(c) The proportion of hybrids that gets between

5959

and

6161

miles per gallon is

nothing.

​(Round to four decimal places as​ needed.)

​(d) The probability that a randomly selected hybrid gets less than

4646

miles per gallon is

nothing

1. Calculate the expected rate of return for Stock J. Round your answer to two decimal places.
     %
   
2. Calculate the standard deviation for the market. Round your answer to two decimal places.
     %
   
   Calculate the standard deviation for Stock J. Round your answer to two decimal places.
     %

Question 2

You are an auditor on the BLUE Limited (BLUE) audit engagement for the financial year ending 30 September 2019. BLUE is a large hotel company with more than 1000 hotels in Australia and Asia under a range of hotel brands. You are in the process of undertaking audit planning procedures for the BLUE audit. You have noted a number of significant risks outlined below.

BLUE’s revenue is made up of management fees earned from hotels managed by BLUE under long-term contracts with hotel owners, and from the rental of rooms and food and beverage sales from hotels owned and leased by the company directly. In hotels owned and leased directly by BLUE, the company’s practice is to confirm hotel bookings by taking credit card details and collecting payment for accommodation and incidentals at the end of a customer’s stay. You have noted an increasing incidence of corporate clients prepaying for their employees’ accommodation. These have been recorded as revenue when payment has been received.

It has also come to your attention that there have been a growing number of disputes with hotel owners in relation to the amount of management fees being charged. Management fees included a base fee, a percentage of hotel revenue, and an incentive fee based on the hotel’s profitability. Individual contracts negotiated with hotel owners include provisions for percentage increases of the base fee either annually or biannually to take effect at specific dates. Based on your initial review of the correspondence, it appears that BLUE has been applying percentage increases to the base fee charged to hotel owners prior to their effective date as contained in the contracts with individual hotel owners.

BLUE runs a hotel loyalty program which enables members of the program to earn points for every dollar spent on accommodation, food and beverages at BLUE branded hotels. These points may be redeemed at a later date for free accommodation or other benefits. BLUE records a loyalty program future redemption liability on the basis of the number of points expected to be redeemed prior to their expiry multiplied by redemption cost per point. An announcement was made on 30 May 2017 that points earned under the loyalty program would now expire in two years rather than five years from the time they are earned. BLUE’s management subsequently reduced the amount provided in the loyalty program future redemption liability by $80 million based on their estimate of the revised amount required to meet the liability given the impact of the change.

BLUE has embarked on a large-scale software development project in the current year to internally develop improved guest reservation and hotel management systems. An amount of $37 million for the year has been capitalised as software development during the year. Your initial review has revealed that this amount includes repairs and maintenance of a range of BLUE’s hardware incurred during a year.

Required

(a) Considering the information provided, determine the four key account balances and related assertions at risk. Briefly justify your answer. (4 X 5 Marks = 20 Marks)

b) Recommend one audit procedure in relation to each of the assertions identified above (4 X 2.5 Marks = 10 Marks)

a) Finish the probability table

b) Define Y = -2X+6 .

c) Calculate E(X) Std(X) E(Y) Std(Y)