BETHESDA MINING COMPANY

Bethesda Mining is a midsized coal mining company with 20 mines located in Ohio, Pennsylvania, West Virginia, and Kentucky. The company operates deep mines as well as strip mines. Most of the coal mined is sold under contract, with excess production sold on the spot market.

The coal mining industry, especially high-sulfur coal operations such as Bethesda, has been hard-hit by environmental regulations. Recently, however, a combination of increased demand for coal and new pollution reduction technologies has led to an improved market demand for high-sulfur coal. Bethesda has just been approached by Mid-Ohio Electric Company with a request to supply coal for its electric generators for the next four years. Bethesda Mining does not have enough excess capacity at its existing mines to guarantee the contract. The company is considering opening a strip mine in Ohio on 5,000 acres of land purchased 10 years ago for $4 million. Based on a recent appraisal, the company feels it could receive $6.5 million on an aftertax basis if it sold the land today.

Strip mining is a process where the layers of topsoil above a coal vein are removed and the exposed coal is removed. Some time ago, the company would simply remove the coal and leave the land in an unusable condition. Changes in mining regulations now force a company to reclaim the land; that is, when the mining is completed, the land must be restored to near its original condition. The land can then be used for other purposes. Because it is currently operating at full capacity, Bethesda will need to purchase additional necessary equipment, which will cost $95 million. The equipment will be depreciated on a seven-year MACRS schedule. The contract runs for only four years. At that time the coal from the site will be entirely mined. The company feels that the equipment can be sold for 60 percent of its initial purchase price in four years. However, Bethesda plans to open another strip mine at that time and will use the equipment at the new mine.

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The contract calls for the delivery of 500,000 tons of coal per year at a price of $86 per ton. Bethesda Mining feels that coal production will be 620,000 tons, 680,000 tons, 730,000 tons, and 590,000 tons, respectively, over the next four years. The excess production will be sold in the spot market at an average of $77 per ton. Variable costs amount to $31 per ton, and fixed costs are $4,100,000 per year. The mine will require a net working capital investment of 5 percent of sales. The NWC will be built up in the year prior to the sales.

Bethesda will be responsible for reclaiming the land at termination of the mining. This will occur in Year 5. The company uses an outside company for reclamation of all the company’s strip mines. It is estimated the cost of reclamation will be $2.7 million. In order to get the necessary permits for the strip mine, the company agreed to donate the land after reclamation to the state for use as a public park and recreation area. This will occur in Year 6 and result in a charitable expense deduction of $6 million. Bethesda faces a 38 percent tax rate and has a 12 percent required return on new strip mine projects. Assume that a loss in any year will result in a tax credit.

QUESTION:

You have been approached by the president of the company with a request to analyze the project. Calculate the payback period, profitability index, net present value, and internal rate of return for the new strip mine. Should Bethesda Mining take the contract and open the mine?

Mercer Asbestos Removal Company removes potentially toxic asbestos insulation and related products from buildings. There has been a long-simmering dispute between the company’s estimator and the work supervisors. The on-site supervisors claim that the estimators do not adequately distinguish between routine work such as removal of asbestos insulation around heating pipes in older homes and nonroutine work such as removing asbestos-contaminated ceiling plaster in industrial buildings. The on-site supervisors believe that nonroutine work is far more expensive than routine work and should bear higher customer charges. The estimator sums up his position in this way: “My job is to measure the area to be cleared of asbestos. As directed by top management, I simply multiply the square footage by $2.80 to determine the bid price. Since our average cost is only $2.31 per square foot, that leaves enough cushion to take care of the additional costs of nonroutine work that shows up. Besides, it is difficult to know what is routine or not routine until you actually start tearing things apart.”

To shed light on this controversy, the company initiated an activity-based costing study of all of its costs. Data from the activity-based costing system follow:

Martinez Company’s relevant range of production is 7,500 units to 12,500 units. When it produces and sells 10,000 units, its average costs per unit are as follows:

Required:

1. For financial accounting purposes, what is the total amount of product costs incurred to make 10,000 units? (Do not round intermediate calculations.)

2. For financial accounting purposes, what is the total amount of period costs incurred to sell 10,000 units? (Do not round intermediate calculations.)

3. If 8,000 units are produced and sold, what is the variable cost per unit produced and sold? (Round your answer to 2 decimal places.)

4. If 12,500 units are produced and sold, what is the variable cost per unit produced and sold? (Round your answer to 2 decimal places.)

5. If 8,000 units are produced and sold, what is the total amount of variable costs related to the units produced and sold? (Do not round intermediate calculations.)

6. If 12,500 units are produced and sold, what is the total amount of variable costs related to the units produced and sold? (Do not round intermediate calculations.)

7. If 8,000 units are produced, what is the average fixed manufacturing cost per unit produced?

8. If 12,500 units are produced, what is the average fixed manufacturing cost per unit produced? (Round your answer to 2 decimal places.)

9. If 8,000 units are produced, what is the total amount of fixed manufacturing cost incurred to support this level of production?

10. If 12,500 units are produced, what is the total amount of fixed manufacturing cost incurred to support this level of production?

11. If 8,000 units are produced, what is the total amount of manufacturing overhead cost incurred to support this level of production? What is this total amount expressed on a per unit basis? (Round your "per unit" answer to 2 decimal places and other answers to the nearest whole dollar amount.)

12. If 12,500 units are produced, what is the total amount of manufacturing overhead cost incurred to support this level of production? What is this total amount expressed on a per unit basis? (Round your "per unit" answer to 2 decimal places and other answers to the nearest whole dollar amount.)

13. If the selling price is $22.90 per unit, what is the contribution margin per unit? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

14. If 11,000 units are produced, what are the total amounts of direct and indirect manufacturing costs incurred to support this level of production? (Do not round intermediate calculations.)

15. What incremental manufacturing cost will Martinez incur if it increases production from 10,000 to 10,001 units? (Round your answer to 2 decimal places.)

An amusement park studied methods for decreasing the waiting time (minutes) for rides by loading and unloading riders more efficiently. Two alternative loading/ unloading methods have been proposed. To account for potential differences due to the type of ride and the possible interaction between the method of loading and unloading and the type of ride, a factorial experiment was designed. Use the following data to test for any significant effect due to the loading and unloading method, the type of ride, and interaction. Use α = .05. Use both p-Value and Critical-Value approaches.

1. You’re riding your bike in the bike lane through Golden Gate Park. Suddenly, you drift out of the bike lane and into automobile traffic. Fortunately, you quickly move back into the bike lane and continue toward Ocean Beach. This scenario is a metaphor for homeostasis, where the controlled condition (physiologic variable) is the position of the bike on the road (e.g., inside or outside the bike lane). Identify: (a) The established set point for the controlled condition (b) The receptor (c) The control center (integration center) (d) The effector There’s no need to explain the physiology of vision or muscle contraction. Rather, demonstrate your understanding of feedback systems by mapping the components of a feedback system onto this scenario.

2. The three-dimensional shape of a protein determines its function. Briefly explain these terms as they relate to protein shape and provide a supporting example for each: denature, conformational change, genetic mutation. Each example must include a specific protein.

3.Compare and contrast simple diffusion and facilitated diffusion. In other words, how are they similar and how are they different? Provide supporting examples for each.

4.(a) What is the osmolarity of a solution containing 85 mM C6H12O6, 120 mM KCl, and 24 mM CaCl2? Show your calculations. (b) What would happen to human blood cells put in the solution above? Explain.

3. United Park City Properties real estate investment firm took a random sample of five condominium units that recently sold in the city. The sales prices Y (in thousands of dollars) and the areas X (in hundreds of square feet) for each unit are as follows     (40 points)

The owner wants to forecast sales on the basis of the area. Which variable is the dependent variable? Which variable is the independent variable?

Determine the regression equation.

Interpret the values of the slope and the intercept.

Test the significance of the slope at 1% level of significance.

Determine the coefficient of correlation between the sales price and the area.

Interpret the strength of the correlation coefficient.

Determine the coefficient of determination and present its interpretation.

Determine the coefficient of non-determination.

On January 1, 2014, Park Corporation sold a $606,000, 6 percent bond issue (8 percent market rate). The company does not use a discount account. The bonds were dated January 1, 2014, pay interest each June 30 and December 31, and mature in five years. (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use the appropriate factor(s) from the tables provided.) Required: 1. Prepare the journal entry to record the issuance of the bonds. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

On January 1, 20X0, Washington Park District issued $1000 of 5-year, 6% debentures. Interest is paid semiannually. The market interest rate at issuance was 10%.

1.   Compute the proceeds from issuing the debentures.

2.   Prepare an analysis of this bond transaction. Show entries for the issuer concerning (a) issuance, (b) first semiannual interest payment, (c) second semiannual interest payment, and (d) payment of maturity value.

Note: Use only the relevant present value information for Question 2.

CCJ4014 Criminological theory class. Two Biscayne Park cops plead guilty to framing black teen Based on the theories you have learnt, write a two-page (double spaced) paper on the case provided to you. This assignment is built upon the theories you learnt in Module 1. It will help you evaluate your knowledge of the concepts you are expected to have learnt at the end of this module. It will help you describe theories and apply them to real life situations. Your paper should discuss the elements of crime and recognize the origins of criminal behavior depicted in this case. Using two different views of crime and two different explanations of crime in the context of different criminological schools of thought, explain the crime that Fresen (the offender) committed

Advanced Inheritance Concepts (Exercise 7)

The Cullerton Park District holds a mini-Olympics each summer. Create a class named Participant with fields for a name, age, and street address. Include a constructor that assigns parameter values to each field and a toString() method that returns a String containing all the values. Also include an equals() method that determines two participants are equal if they have the same values in all three fields.

Create an application with two arrays of at least eight participants each—one holds participants in the mini-marathon, and the other holds participants in the diving competition. Prompt the user for participant values. After the data values are entered, display values for participants who are in both events.

Participant.java

_{public class Participant
{
// private variables here}

_{public Participant(String n, int a, String add)
{
// constructor code here
}
public String getName()
{
// method code here
}
public int getAge()
{
// method code here
}
public String getAddress()
{
// method code here
}
public String toString()
{
// method code here
}
public boolean equals(Participant p)
{
// method code here
}
}}

TwoEventParticipant.java

_{import java.util.*;
public class TwoEventParticipants
{
public static void main(String[] args)
{
Participant marathoners[] = new Participant[8];
Participant divers[] = new Participant[8];
int i, j;
String name;
int age;
String address;
Scanner input = new Scanner(System.in);
System.out.println("Enter mini-marathon participants");
for(i = 0; i < marathoners.length; ++i)
{
System.out.print("Enter name: ");
name = input.nextLine();
System.out.print("Enter age: ");
age = input.nextInt();
input.nextLine();
System.out.print("Enter address: ");
address = input.nextLine();
marathoners[i] = new Participant(name, age, address);
}
System.out.println("\nEnter diving participants");
for(i = 0; i < divers.length; ++i)
{
System.out.print("Enter name: ");
name = input.nextLine();
System.out.print("Enter age: ");
age = input.nextInt();
input.nextLine();
System.out.print("Enter address: ");
address = input.nextLine();
divers[i] = new Participant(name, age, address);
}   
System.out.println("\nParticipants who are in both events:");
for(i = 0; i < marathoners.length; ++i)
for(j = 0; j < divers.length; ++j)
if(marathoners[i].equals(divers[j]))
System.out.println(marathoners[i].toString());
}
}}

Possible Answer:

Participants who are in both events:

Participant_2

10

Apartment No. 2

Participant_6

13

Apartment No. 6

Participant_7

13

Apartment No. 7