Shipping R US (LESSEE) leased an ocean-liner freighter from Viking Ships (LESSOR). The lease is non-cancelable, requires beginning of the year (annuity due) payments for three years and at the end of the lease lessee returns the ship to the lessor. Shipping R US's incremental borrowing rate is 6%, but knows that Viking Ships used a 3.5% present value discount rate in determining the present value of the three annual lease payments, which total $6,000,000. Viking Ships manufactured the ocean-liner freighter, the freighter's fair value at the beginning of the lease is $5,500,000 and its estimated useful life is 10 years. Shipping R US is required to pay all executor costs, such as insurance, maintenance and taxes and did not guarantee the residual value of the ocean-liner freighter. Shipping R US uses the straight-line depreciation method for all of its depreciable assets.

You are a consultant who has been approached by a company about to embark on a project (identify any project of your choice). The client would like to prepare a document to be used for the purposes of ‘selling’ the project to potential financiers. Prepare an information memorandum for the project to be presented to the potential financiers. Among others it should contain the following: 1. The full business description of the project. 2. An analysis of the key risks facing the project and the ways of mitigating the risks. 3. The proposed financing structure and justification for using that particular structure. not more than 6000 words required

Dr. Bose is a psychoacoustician who works in a lab at a headphone company. One of her jobs is to assess new headphone designs and to determine listener preferences. She compared three new headphones that used new noise reduction algorithms (NR1, NR2, & NR3) to a headphone that used the company's current noise reduction algorithm (Current). 32 participants were randomly assigned to one of the four listening conditions. Participants listened to 30 1-minute samples of music from assorted genres and rated the reproduction quality of each sample using a 9-point rating scale (1=poor quality sound; 9=excellent sound). The mean ratings are shown on the right. Did Dr. Bose find any differences in listeners' ratings of music quality among the different noise reduction algorithms?

A magazine company is planning to survey customers to determine the proportion who will renew their subscription for the coming year. The magazine wants to estimate the population proportion with 95​% confidence and a margin of error equal to ±0.08.

What sample size is​ required?

The required sample size is customers. ​(Round up to the nearest whole number as​ needed.)

Consider the situation of a VC who is contemplating a $5,500,000 in a street tacos company with franchise locations in Dallas, Houston, San Antonio, and McAllen.
The company does not expect to require further funding through year 5.
The company is expected to have a net income of $2,500,000 in year 5. Comparable companies command P/E ratios of about 20x. For the risk assumed the VC requires a 30 percent IRR on the investment.

The company has 1,500,000 outstanding shares and will issue preferred shares to the VC convertible to common shares at a ration of 1:1. How many preferred shares will the company have to issue to the VC?

What price per share?

What is the post-money valuation of the company?

What is the pre-money valuation of the company?

What is the stock price of the company before the VC funding?

You are a consultant who has been approached by a company about to embark on a project (identify any project of your choice). The client would like to prepare a document to be used for the purposes of ‘selling’ the project to potential financiers.

Prepare an information memorandum for the project to be presented to the potential financiers. Among others it should contain the following:

1. The full business description of the project.
2. An analysis of the key risks facing the project and the ways of mitigating the risks.
3. The proposed financing structure and justification for using that particular structure.

   You are a consultant who has been approached by a company about to embark on a project (identify any project of your choice). The client would like to prepare a document to be used for the purposes of ‘selling’ the project to potential financiers.

   Prepare an information memorandum for the project to be presented to the potential financiers. Among others it should contain the following:

4. The full business description of the project.
5. An analysis of the key risks facing the project and the ways of mitigating the risks.
6. The proposed financing structure and justification for using that particular structure.

Mindy Lee was a software engineer who worked for a company that is known for its inventory management software suite. She specialized in designing interfaces that help a business migrate its inventory data to cloud computing. Mindy has loved the Internet since her school years; she used email and browsers before any other kid in her class. She books all her travel arrangements online, including flights, car rentals and hotel rooms. Mindy has inherited money and invested in a small hotel, the Sunrise, a 140-room independent, limited service midscale property. She has 80% ownership and her silent partner owns the other 20%, allowing Mindy total control in operating decisions. The hotel has a lot of potential, as the area in which it is located is popular with tourists. There are two similar hotels nearby. Over the years, however, it has struggled to gain market share. The previous owner, an old hotelier, had refused to consider a franchise agreement, hoping to compete on service quality and reputation. The average annual occupancy at the Sunrise for the last two years (prior to Mindy’s ownership) was 40%. The average rate for the last two years (prior to Mindy’s ownership) was $130. Mindy doesn’t pretend to know how to run a hotel’s daily operations, but is convinced that she can boost sales by embracing OTAs to sell her rooms. She pins her high hopes on working with Expedia. After her first two quarters (6 months) of being in charge, monthly occupancy has averaged 70%-a significant improvement. The hotel’s CPOR (cost per occupied room) is unchanged, at $40. Her ranking on Expedia has the hotel on the first page for guest searches. Overall hotel ADR however, has dropped significantly to $110, even before Expedia’s 25% margin is factored in. As agreed with the Expedia Market Manager, the hotel is selling its rooms at a lower rate on Expedia vs. their own website (Sunrise.com), for additional exposure. Almost all rooms are now being booked on Expedia. Even regular guests no longer use the Sunrise website.

Using case study format (see rubric), address the situation. Your submission should be 2 pages, double spaced, not including references and cover page. Here are some points to consider / incorporate: Rate parity, positioning vs comp set, distribution costs, conversion to Brand.com, service levels, ADR vs. RevPAR, GOPPAR.

As a consultant, brought in to make recommendations, what do you think Mindy should do, and why?

Find a celebrity who is currently appearing in ads for a particular company or brand and use McCracken’s meaning transfer model to analyze the use of the celebrity as a spokesperson.

On behalf of the company, draft a formal letter to the customers who are rated “Poor” (be creative). Use another worksheet for this. Please follow the rubrics