College Supply Company (CSC) makes three types of drinking glasses: short, medium, and tall. It presently applies overhead using a predetermined rate based on direct labor-hours. A group of company employees recommended that CSC switch to activity-based costing and identified the following activities, cost drivers, estimated costs, and estimated cost driver units for Year 5 for each activity center.

In addition, management estimated 2,000 direct labor-hours for year 5.

Assume that the following cost driver volumes occurred in February, year 5.

Direct labor costs were $22 per hour.

Required:

a. Compute a predetermined overhead rate for year 5 for each cost driver recommended by the employees. Also compute a predetermined rate using direct labor-hours as the allocation base.
b. Compute the production costs for each product for February using direct labor-hours as the allocation base and the predetermined rate computed in requirement a.
c. Compute the production costs for each product for February using the cost drivers recommended by the employees and the predetermined rates computed in requirement a. (Note: Do not assume that total overhead applied to products in February will be the same for activity-based costing as it was for the labor-hour-based allocation.)

Listed below are the budgets​ (in millions of​ dollars) and the gross receipts​ (in millions of​ dollars) for randomly selected movies. Construct a​ scatterplot, find the value of the linear correlation coefficient​ r, and find the​ P-value using alphaequals0.05. Is there sufficient evidence to conclude that there is a linear correlation between budgets and gross​ receipts? Do the results change if the actual budgets listed are ​$60,000,000​, ​$91,000,000​, ​$48,000,000​, and so​ on? Budget​ (x) 60 91 48 40 196 100 87 Gross​ (y) 61 69 46 53 580 144 44

What are the null and alternative​ hypotheses?

A.

Upper H 0H0​:

rhoρnot equals≠0

Upper H 1H1​:

rhoρequals=0

B.

Upper H 0H0​:

rhoρequals=0

Upper H 1H1​:

rhoρnot equals≠0

C.

Upper H 0H0​:

rhoρequals=0

Upper H 1H1​:

rhoρgreater than>0

D.

Upper H 0H0​:

rhoρequals=0

Upper H 1H1​:

rhoρless than<0

Construct a scatterplot. Choose the correct graph below.

A.

02500800xy

A scatterplot has a horizontal x-scale from 0 to 250 in increments of 50 and a vertical y-scale from 0 to 800 in increments of 100. Seven points are plotted with approximate coordinates as follows: (40, 50); (50, 50); (60, 60); (85, 40); (90, 70); (100, 140); (195, 580).

B.

02500800xy

A scatterplot has a horizontal x-scale from 0 to 250 in increments of 50 and a vertical y-scale from 0 to 800 in increments of 100. Seven points are plotted with approximate coordinates as follows: (50, 410); (75, 400); (110, 220); (125, 300); (150, 200); (175, 300); (215, 200).

C.

02500800xy

A scatterplot has a horizontal x-scale from 0 to 250 in increments of 50 and a vertical y-scale from 0 to 800 in increments of 100. Seven points are plotted with approximate coordinates as follows: (50, 100); (75, 90); (110, 220); (125, 300); (150, 400); (175, 300); (215, 410).

D.

02500800xy

A scatterplot has a horizontal x-scale from 0 to 250 in increments of 50 and a vertical y-scale from 0 to 800 in increments of 100. Seven points are plotted with approximate coordinates as follows: (40, 650); (50, 610); (60, 710); (85, 550); (90, 660); (100, 600); (195, 100).

The linear correlation coefficient r is

nothing.

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

The test statistic t is

nothing.

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

The​ P-value is

nothing.

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

Because the​ P-value is

▼

greater

less

than the significance level

0.050.05​,

there

▼

is

is not

sufficient evidence to support the claim that there is a linear correlation between between budgets and gross receipts for a significance level of

alphaαequals=0.050.05.

Do the results change if the actual budgets listed are

​$60 comma 000 comma 00060,000,000​,

​$91 comma 000 comma 00091,000,000​,

​$48 comma 000 comma 00048,000,000​,

and so​ on?

A.

​Yes, the results would need to be multiplied by​ 1,000,000.

B.

​No, the results do not change because it would result in the same linear correlation coefficient.

C.

​No, the results do not change because it would result in a different linear correlation coefficient.

D.

​Yes, the results would change because it would result in a different linear correlation coefficient.

Crane Corporation acquired new equipment at a cost of $110,000 plus 8% provincial sales tax and 4% GST. (GST is a recoverable tax.) The company paid $1,780 to transport the equipment to its plant. The site where the equipment was to be placed was not yet ready and Crane Corporation spent another $520 for one month’s storage costs. When installed, $400 in labour and $260 of materials were used to adjust and calibrate the machine to the company’s exact specifications. The units produced in the trial runs were subsequently sold to employees for $330. During the first two months of production, the equipment was used at only 4% of its capacity. Labour costs of $2,900 and material costs of $3,000 were incurred in this production, while the units sold generated $5,300 of sales. Crane paid an engineering consulting firm $11,100 for its services in recommending the specific equipment to purchase and for help during the calibration phase. Borrowing costs of $740 were incurred because of the one-month delay in installation.

Determine the capitalized cost of the equipment.

Write a Python program, in a file called StickFigure.py, which, given a value for the total height of a stick figure, uses a recursive function to generate the stick figure pattern as shown below. The recursive function is used to print the entire figure. Note that the head, arms and legs stay the same, but the body can be different lengths, depending on what the user enters as the height of the figure. The "body" length is always 3 lines shorter than the value entered for the height (because of the 3 lines needed for the head, arms and legs). Sample input/output for two different test runs:

Enter the height (in lines) of the stick figure: 7
 O
\ /
 |
 |
 |
 |
/ \

Enter the height (in lines) of the stick figure: 4
 O
\ /
 |
/ \

Note: You may assume that the input value is always greater than 3.

A large advertising firm specializes in creating television commercials for children’s products. The firm wants to design a study to investigate factors that may affect the lengths of time a commercial is able to hold a child’s attention. A preliminary study determines that two factors that may be important are the age of the child and the type of product being advertised. The firm wants to determine whether there were large differences in the mean length of time that the commercial is able to hold the child’s attention depending on these two factors. If there proves to be a difference, the firm would then attempt to determine new types of commercials depending on the product and targeted age group. Three age groups are used: A1: 5-6 years, A2: 7-8 years, and A3: 9-10 years. The types of products selected are P1: Breakfast cereals and P2: Video games. The data are below:

a. Create a two-way ANOVA table in Excel.

b. Summarize your findings.

Maglie Company manufactures two video game consoles: handheld and home. The handheld consoles are smaller and less expensive than the home consoles. The company only recently began producing the home model. Since the introduction of the new product, profits have been steadily declining. Management believes that the accounting system is not accurately allocating costs to products, particularly because sales of the new product have been increasing. Management has asked you to investigate the cost allocation problem. You find that manufacturing overhead is currently assigned to products based on their direct labor costs. For your investigation, you have data from last year. Manufacturing overhead was $1,317,000 based on production of 300,000 handheld consoles and 88,000 home consoles. Direct labor and direct materials costs were as follows:

Handheld Home Total Direct labor $1,245,250 $401,000 $1,646,250

Materials 720,000 678,000 1,398,000

Management has determined that overhead costs are caused by three cost drivers. These drivers and their costs for last year are as follows:

Activity Level Cost Driver Costs Assigned Handheld, Home, Total Number of production runs $ 550,000 40 15 55

Quality tests performed 580,000 13 16 29

Shipping orders processed 187,000 120 50 170

Total overhead $ 1,317,000

Required: a. How much overhead will be assigned to each product if these three cost drivers are used to allocate overhead? What is the total cost per unit produced for each product? (Round "Total cost per unit" to 2 decimal places.)

B. How much overhead will be assigned to each product if direct labor cost is used to allocate overhead? What is the total cost per unit produced for each product? (Do not round intermediate calculations. Round "Total cost per unit" to 2 decimal places.)

Doaktown Products manufactures fishing equipment for recreational uses. The Miramichi plant produces the company’s two versions of a special reel used for river fishing. The two models are the M-008, a basic reel, and the M-123, a new and improved version. Cost accountants at company headquarters have prepared costs for the two reels for the most recent period. The plant manager is concerned. The cost report does not coincide with her intuition about the relative costs of the two models. She has asked you to review the cost accounting and help her prepare a response to headquarters.

Manufacturing overhead is currently assigned to products based on their direct labor costs. For the most recent month, manufacturing overhead was $244,000. During that time, the company produced 10,000 units of the M-008 and 2,100 units of the M-123. The direct costs of production were as follows.

Management determined that overhead costs are caused by three cost drivers. These drivers and their costs for last year were as follows.

Required:

a. How much overhead will be assigned to each product if these three cost drivers are used to allocate overhead? What is the total cost per unit produced for each product?

Total Overhead for M-008? Total Overhead for M-123?

Total Unit Cost for M-008? Total Unit Cost for M-123?

b. How much of the overhead will be assigned to each product if direct labor cost is used to allocate overhead? What is the total cost per unit produced for each product?

Total Overhead for M-008? Total Overhead for M-123?

Total Unit Cost for M-008? Total Unit Cost for M-123?

A company is evaluating the effectiveness of two different training programs to speed up the production process.   The employees were placed into three groups and their assembly times were recorded in minutes.

Test the hypothesis at the .01 level that there is no difference in the population mean times for the three groups.

What is the value of your test statistic from step 3?

Select one:

a. .0023.

b. 13.4333.

c. 2.575.

d. 7.7683.

What is your decision/summarize results (steps 4 and 5)?

Select one:

a. Fail to reject H0. There is a difference in the mean times.

b. Fail to reject H0. There is no difference in the mean times.

c. Reject H0. There is a difference in the mean times.

d. Reject H0. There is no difference in the mean times.

Test the hypothesis at the .01 level that there is no difference in the population mean times for the three groups.

What is your critical value for step 2?

Select one:

a. 4.64.

b. 4.82.

c. 5.53.

d. 7.72.

Baseball's World Series is a maximum of seven games, with the winner being the first team to win four games. Assume that the Atlanta Braves are playing the Minnesota Twins in the World Series and that the first two games are to be played in Atlanta, the next three games at the Twins' ballpark, and the last two games, if necessary, back in Atlanta. Taking into account the projected starting pitchers for each game and the home field advantage, the probabilities of Atlanta winning each game are as follows:

1. Set up a spreadsheet simulation model in whether Atlanta wins each game is a random variable. What is the probability that the Atlanta Braves win the World Series? If required, round your answer to two decimal places.
2. What is the average number of games played regardless of winner? If required, round your answer to one decimal place.