Macro Company has the following adjusted accounts and balances at June 30: Accounts Payable $ 300 Accounts Receivable 550 Accumulated Amortization 150 Accumulated Depreciation 250 Cash 1,020 Common Stock 300 Deferred Revenue 100 Depreciation Expense 110 Equipment 1,400 Income Tax Expense 110 Income Tax Payable 30 Interest Expense 180 Interest Revenue 50 Notes Payable (long-term) 1,300 Office Expenses 820 Prepaid Rent 40 Rent Expense 400 Retained Earnings 120 Salaries and Wages Expense 660 Sales Revenue 3,600 Software 200 Supplies 710 Prepare an adjusted trial balance for Macro company at June 30.

Critical Thinking

The global marketplace has witnessed an increased pressure from customers and competitors in manufacturing as well as service sector (Basu, 2001; George, 2002).Due to the rapidly changing global marketplace only those companies will be able to survive that will deliver products of good quality at cheaper rate and to achieve their goal companies try to improve performance by focusing on cost cutting, increasing productivity levels, quality and guaranteeing deliveries in order to satisfy customers (Raouf, 1994).

Increased global competition leads the industry to increasing efficiency by means of economies of scale and internal specialization so as to meet market conditions in terms of flexibility, delivery performance and quality (Yamashina, 1995). The changes in the present competitive business environment are characterized by profound competition on the supply side and keenindecisive in customer requirements on the demand side. These changes have left their distinctive marks on the different aspect of the manufacturing organizations (Gomes et al., 2006). With this increasing global economy, cost effective manufacturing has become a requirement to remain competitive.

To meet all the challenges organizations try to introduce different manufacturing and supply techniques. Management of organizations devotes its efforts to reduce the manufacturing costs and to improve the quality of product. To achieve this goal, different manufacturing and supplytechniques have been employed. The last quarter of the 20th century witnessed the adoption of world-class, lean and integrated manufacturing strategies that have drastically changed the way manufacturing firm’sleads to improvement of manufacturing performance (Fullerton and McWatters, 2002).

Consult chapter 7 of your text book or secondary available data on internet and answer the following questions.

Question:

1. Why Companies adopted Lean Thinking and JIT model?
2. Discuss major types of Waste, companies has to keep in mind during production.

Critical Thinking

The global marketplace has witnessed an increased pressure from customers and competitors in manufacturing as well as service sector (Basu, 2001; George, 2002). Due to the rapidly changing global marketplace only those companies will be able to survive that will deliver products of good quality at cheaper rate and to achieve their goal companies try to improve performance by focusing on cost cutting, increasing productivity levels, quality and guaranteeing deliveries in order to satisfy customers (Raouf, 1994).

Increased global competition leads the industry to increasing efficiency by means of economies of scale and internal specialization so as to meet market conditions in terms of flexibility, delivery performance and quality (Yamashina, 1995). The changes in the present competitive business environment are characterized by profound competition on the supply side and keen indecisive in customer requirements on the demand side. These changes have left their distinctive marks on the different aspect of the manufacturing organizations (Gomes et al., 2006). With this increasing global economy, cost effective manufacturing has become a requirement to remain competitive.

To meet all the challenges organizations try to introduce different manufacturing and supply techniques. Management of organizations devotes its efforts to reduce the manufacturing costs and to improve the quality of product. To achieve this goal, different manufacturing and supply techniques have been employed. The last quarter of the 20th century witnessed the adoption of world-class, lean and integrated manufacturing strategies that have drastically changed the way manufacturing firm’s leads to improvement of manufacturing performance (Fullerton and McWatters, 2002).

1. Assess the reasons for using lean thinking (suitable examples), what are the benefits from Suppliers to end users?

2. Due to COVID 19 emergency do you think agile supply chain is the right concept in this kind of situation? Give reason with example.

1.

Suppose a company called Hongyu F. Inc. is selling a product known as “Josue’s Giant Birthday Candles”. The company has the following table:

q           P             TR         TC         Profit         MR         MC         ∆Profit   

0           12                             4                               ---           ---               ---

1           11                             7                                                                  

2           10                                               8                                        

3             9                                                                                                  3                  

4             8                                                                               5                    

5             7                            29

What is the quantity produced?

a. 0

b. 2

c. 4

d. 5

2.

Again, suppose a company called Hongyu F. Inc. is selling a product known as “Josue’s Giant Birthday Candles”. As shown above, the company has the following table:

q           P             TR         TC         Profit         MR         MC         ∆Profit   

0           12                             4                               ---           ---               ---

1           11                           7                                                                  

2           10                                               8                                        

3             9                                                                                                  3                  

4             8                                                                               5                    

5             7                           29

Given this information from the previous problem, what is the relevant market structure?

a. Monopoly

b. Competitive

c. Slava-opoly

d. Raquel-opoly

3. Suppose a firm in the competitive market faces the following cost and revenue conditions: MC=$10; MR=$12. The firm should…

a. change nothing.

b. increase output.

c. increase price.

d. decrease output.

What do we have in common or not?---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

During production - If revenue is recognized during production than the prudence concept of accounting is not followed that is to provide for future losses but not for future incomes. The risk is during production it is not certain that whether goods shall be sold in current period or not so correct revenue recognition shall not be possible. As per accrual basis transaction is not been incurred and revenue must not  be recognized.

Production complete -

If revenue is recognized when production is complete than the prudence concept of accounting is not followed that is provide for future losses but not for future incomes. The risk is that it is not certain that whether goods shall be sold in current period or not so correct revenue recognition shall not be possible. As per accrual basis transaction has not been incurred and revenue must not be recognized.

Receiving order from customer - This is also not a correct stage to recognize sale, receiving order do not guarantee that sales will in current accounting period or order might get cancelled too thus it is not good basis to recognize sales. As per accrual basis transaction has not been incurred and revenue must not be recognized.

Point of sales - This is correct stage to recognize sales as per accrual basis transaction has bees incurred and revenue must be recognized.

Cash collections - Cash collection does not guarantee recognition of sales as cash can be collected in different accounting period other than period in which transaction is incurred. Thus it has risk of not recognizing revenue in proper accounting period.

What do we have in common?-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

My role in Professional Services for a SAAS company.  

A college dean is interested in the exam performance of students in a biology course. After the final exam, students are randomly selected from three different section of the biology course. What can be conclude with an α of 0.05? The data are below.

a) What is the appropriate test statistic?
---Select--- na one-way ANOVA within-subjects ANOVA two-way ANOVA

b) Compute the appropriate test statistic(s) to make a decision about H₀.
critical value =  ; test statistic =  
Decision:  ---Select--- Reject H0 Fail to reject H0

c) Compute the corresponding effect size(s) and indicate magnitude(s).
η² =  ;  ---Select--- na trivial effect small effect medium effect large effect

d) Make an interpretation based on the results.

At least on section differs on the final exam.None of the sections differ on the final exam.    

e) Conduct Tukey's Post Hoc Test for the following comparisons:
1 vs. 2: difference =  ; significant:  ---Select--- Yes No
2 vs. 3: difference =  ; significant:  ---Select--- Yes No

f) Conduct Scheffe's Post Hoc Test for the following comparisons:
2 vs. 3: test statistic =  ; significant:  ---Select--- Yes No
1 vs. 2: test statistic =  ; significant:  ---Select--- Yes No

Pay your bills. In a large sample of 250 customer accounts, a

In a large sample of 250 customer accounts, a utility company determined that the average number of days between when the bill was sent out and when the payment was made is 32 with a standard deviation of 7 days. Assume the data to be approximately bell- shaped.

1. Use the empirical rule to construct a diagram of the distribution of the data.
2. Between what two numbers will approximately 68% of the numbers of days be?
3. Estimate the number of customers’ accounts for which the number of days is between 11 and 53.
4. Estimate the number of customers’ accounts that were greater than 39.
5. Estimate the number of customers’ accounts that were between 25 and 53.

Slow Roll Drum Co. is evaluating the extension of credit to a new group of customers. Although these customers will provide $144,000 in additional credit sales, 10 percent are likely to be uncollectible. The company will also incur $16,000 in additional collection expense. Production and marketing costs represent 71 percent of sales. The firm is in a 35 percent tax bracket. No other asset buildup will be required to service the new customers. The firm has a desired return of 12 percent. Assume the average collection period is 72 days.  

a. Compute the return on incremental investment. (Input your answer as a percent rounded to 2 decimal places. Use a 360-day year.)

Return on incremental investment _______________ %

Reg. 1.267(a)-3(b) provides: "Except as provided in paragraph (c) of this section, section 267(a)(3) requires a taxpayer to use the cash method of accounting with respect to the deduction of amounts owed to a related foreign person. An amount that is owed to a related foreign person and that is otherwise deductible under Chapter 1 thus may not be deducted by the taxpayer until such amount is paid to the related foreign person.

F, a French corporation, loaned funds to its US sub. The US sub is on the accrual method and in 2006 it deducted the interest that accrued for the year but not paid until 2007. The IRS says that the reg. disallows the accrual and puts the US sub on the cash basis for this item. F claims that the anti-discrimination article prevents this action by the IRS. Would the anti-discrimination provision apply? See Square D, 118 TC 299.

Your express package delivery company is drawing up new zones for the location of drop boxes for customers. The city has been divided into six zones. You have targeted seven possible locations for drop boxes. The list of which zones the drop boxes could serve is shown below

Develop a model to find out the locations to use that provides the smallest number of locations yet make sure that each zone is covered by at least two boxes. Define variables if needed