SOHO House was founded in 1995 in London as a private members’ club for individuals within the creative industries. SOHO House is aggressively expanding globally and has a diverse range of luxury properties spreading around the globe; from New York to Mumba and Barcelona to Hong Kong while also venturing into other industries to include homewares, cinema, restaurants, and hotels. Though SOHO House remains the leader in the private club sector, their recent diversification into other industries has impacted its customer's perception of their brand, specifically their loyal private club customer base.

An opportunity has arisen for you to join the Sales and Marketing team as the Director of Communications and Promotions. You are required to develop a communication strategy targeting current and prospective private club members.

Develop a new communication and pricing strategy for SOHO House’s private club.

• Discuss the integrated marketing communications concept to support your answer.
• Analyse the types of promotional tools that are best suited to SOHO House.

Identify the type of pricing strategy that best suits the target market.

Assume you are in charge of the audit of Franklin Corporation’s 1995 financial statements. The audit report has not yet been prepared. In each independent situation following (1-8), indicate the appropriate action (a-g) to be taken. The possible actions are as follows:

a.         Issue a standard unqualified report.

b.         Qualify both the scope and opinion paragraph.

c.         Qualify the opinion paragraph.

d.         Issue an unqualified opinion with an explanatory paragraph.

e.         Issue an unqualified opinion wording (no explanatory paragraph).

f.          Issue an adverse opinion.

g.         Disclaim an opinion.

The situations are as follows:

________1.     Franklin Corporation carries its property, plant, and equipment accounts at                                  current market values. Current market values exceed historical cost by a highly             material amount and the effects are pervasive throughout the financial                                             statements.

________2.     Management of Franklin Corporation refuses to allow you to observe, or make,                  any accounts of inventory. The recorded book value of inventory is highly                                     material.

________3.     You were unable to confirm accounts receivable with Franklin’s customers.                                   However, because of detailed sales and cash receipts records, you were able to                         perform reliable alternative audit procedures.

________4.     One week before the end of fieldwork, you discover that the audit manager on                the Franklin engagement owns a material amount of Franklin’s common stock.

________5.     You relied upon another CPA firm to perform part of the audit of Franklin.                                   Although you were the principal auditor, the other firm audited a material                                   portion of the financial statements. You wish to refer to (but not name) the                                     other firm in your report.

________6.     You have substantial doubt about Franklin’s ability to continue as a going                           concern

_________7.   Franklin Corporation changed its method of computing depreciation in 1995;                                     you concur with the change, and the change is properly disclosed in the financial                   statement footnotes.

_________8.   Ten days after the balance sheet date, ne of Franklin’s building was destroyed by                fire. Franklin refuses to disclose this information in a footnote to the financial                    statements, but you believe disclosure is required to conform with generally                         accepted accounting principles. The amount of the uninsured loss was material,                        but not highly material.

It’s the year 1995 and John Smith is staying overnight at a hotel before an important meeting the next morning. He asked the customer service desk to give him a 7 am wake-up call. The probability that he gets the call is 0.9. If he gets the call, the probability that he will arrive for the meeting on time is 0.9. If the call is not given, the probability that he will be on time for the meeting is 0.4.
a) Calculate the probability that John Smith will not arrive on time for the meeting.
b) If John Smith is on time for the meeting, what is the probability that the wake-up call was not made?

3. In a speech in January 1995, Speech by Alan Greenspan before the Board of Directors of the National Association of Home Builders, January 28, 1995. Federal Reserve Chairman Alan Greenspan used a transportation metaphor to describe some of the difficulties of implementing monetary policy. He referred to the criticism levied against the Fed for shifting in 1994 to an anti?inflation, contractionary policy when the inflation rate was still quite low: “To successfully navigate a bend in the river, the barge must begin the turn well before the bend is reached. Even so, currents are always changing and even an experienced crew cannot foresee all the events that might occur as the river is being navigated. A year ago, the Fed began its turn (a shift toward an expansionary monetary policy), and it was successful.” Mr. Greenspan was referring, of course, to the problem of lags. What kind of lag do you think he had in mind? What do you suppose the reference to changing currents means? To the Tutor: Please be clear and explanatory. Will be appreciated. Thank you.

Prior to 1995 the only way to get the benefits of limited liability like a corporation while getting the flow through taxation benefits of a partnership was to use an S Corp structure. At that time the maximum number of shareholders allowed to be in a given S corp was 35, making it generally only available to smaller entities, although there were some exceptions. With the emergence of LLC's the number of "partners" is unlimited. Discuss the equity (fairness) of allowing the LLC form of business to have the protections of a corporation with the partnership tax benefits. What does it mean to business formations? Owners? Other Taxpayers? and Competing entities?

FoxMeyer was the fifth largest drug wholesaler in the United States (1995) with annual sales of about 5 billion US$ and daily shipments of over 500,000 items. In order to take advantages of new technology, FoxMeyer started a 100 Million dollar project to implement SAP’s R/3 ERP system in 1993. But the implementation was a disaster for FoxMeyer. Four years later, the pharmaceutical giant filed for bankruptcy. Also, it sued SAP and Anderson Consulting, claiming them to be responsible for the failure of the ERP system.

1. Please identify the process component of IS in this case. Are there any problems with the process component of the ERP problem? Please explain.

Generally speaking, if you talk about how the ERP system was implemented and the problem with it, you will get 0 on this question.

2. ) Please identify the structural component of IS in this case. Are there any problems with the structure component of the ERP problem? Please explain.

Explain the why, Why did these things happen?

George, the automotive manufacturer, had a beta of 1.05 in 1995. It had $13 billion in debt outstanding in that year and 355 million shares trading at $50 per share. The marginal tax was 36%

1. Estimate the unlevered beta of the firm

2. Suppose the firm paid out a special dividend of $5 billion, what is the new beta for George after the special dividend? Hint: dividend reduces equity

3. How does the dividend payout affect the cost of equity and cost of debt for George?

Victory Air has been criticized in the press because of its policy of charging an overweight passenger for a second seat if he or she cannot fit in a single coach seat without his or her body crossing the armrest boundary. In a public letter printed on its website, Victory used the following evidence as part of its defense of its policy:

a. In 2003, a commuter plane crashed on takeoff from Charlotte, North Carolina, in due part to excess weight. We need to be able to require that a heavier passenger pay for an use two seats in order to keep the plane's total weigh within acceptable limits for safe operation of the plane.

b. Our policy is not an attempt to increase revenues: if there is an available empty seat, we do not charge the heavier passenger for a second seat.

c. Every passenger pays more for a ticket because heavier passengers increase fuel consumption. It's only fair that heavier passengers pay extra for the increased fuel consumption.

d. According to a study by the National Transportation Safety Board, an overweight passenger squeezed into a single coach seat might be a safety risk to another passenger or to himself or herself if the plane must be evacuated quickly.

e. The average weight of a passenger climbed from 180 pounds in 1995 to 190 pounds in 2003. Estimates place the current average weight at almost 195 pounds.

For each of these five items, write a brief paragraph* in which you identify the nature of the evidence (if any) -- numerical date, example, or expert testimony -- and identify any logical fallacies**. If you think the evidence is not as effective as it might be, what is the problem, and how would you make it more effective?

Use the advertised prices for a used car of a particular model to create a linear model for the relationship between a​ car's Year and its Price. Complete parts a through e.

Year   Price ($)
1994   11,538
1994   12,333
1994   10,436
1994   11,995
1995   14,567
1995   14,658
1995   13,656
1995   15,199
1996   16,192
1996   17,039
1996   19,074
1997   19,823
1997   19,249
1997   19,242
1997   20,577

​a) Find the equation of the regression line.

Price=___ + _____ year

b) Explain the meaning of the slope of the line. Select the correct choice below and fill in the answer box to complete your choice. ​(Round to the nearest integer as​ needed.)

A.The slope of ___indicates the Year when the Price of a used car of this model will be​ $0.

B.The slope of ___ is meaningless and should not be interpreted.

C.The slope indicates that for every one Year increase or one Year newer​ model, the Price increases by

​___.

D.The slope indicates that for every one Year increase or one Year newer​ model, the Price decreases by

​___.

​c) Explain the meaning of the intercept of the line. Select the correct choice below and fill in the answer box to complete your choice.

A.The intercept indicates that cars of this model increase in price by ___ per Year.

B.The intercept of ___ indicates the Price at Year 0.

C.The intercept of ____ indicates the Year when the Price of a used car of this model will be​ $0.

D.The intercept of ____ is meaningless and should not be interpreted.

d) If you want to sell a used car of this particular model from 1997​, what price seems​ appropriate?

​e) You have a chance to buy one of two cars. They are about the same age and appear to be in equally good condition. Would you rather buy the one with a positive residual or the one with a negative​ residual? Explain.

You would rather buy the car with a ____ residual because this indicates that the actual price is ____than the predicted price. This is important because the two cars have the same ____price, since they are the same age and​ condition, so the one with the lower ____price is a better purchase.

1. If one parent has type B blood and the other has type AB, what blood types might the child have? List all possibilities.

2. A man with blood type O would not be able to father a child with blood type ______.

3. Mr. X has been accused by Miss Z of fathering her child. The child's blood type is AB and Miss Z's blood type is A. Mr. X’s blood type is A. Is it possible that he is a father of the child? Write a descriptive explanation.