7) On January 1, 2017, Franchisor Inc. sold the rights to open a new franchise location to Franchisee Corp. The franchise lasts for ten years. The terms of the contract include the following:

•A one-time fee of $50,000, due upon contract signing and an annual payment of $25,000 due on December 31 each year for the duration of the franchise agreement (ten annual payments of $25,000 first due December 31, 2017). These payments are for equipment (delivered at time of contract signing) and a commitment by Franchisor Inc.'s to provide technical support on an ongoing basis.

•4% of gross franchisee sales is payable monthly by Franchisee Corp. to Franchisor Inc., to cover marketing and advertising costs for the franchise.

Other information

•The stand-alone sales price for the equipment and technical support are $160,000 and $9,000 per annum respectively. Franchisor Inc. has determined that a 5% discount rate appropriately reflects the credit risk rate associated with Franchisee Corp.

•Franchisor Inc. delivered the equipment at time of the contract signing. It was carrying these items in its inventory at a cost of $135,000.

•Franchisee Corp. pays both the upfront fee and the first payment on the instalment contract on the stipulated payment dates.

•Franchisee Corp.'s gross franchise sales for 2017 totalled $1,000,000 but due to an oversight, Franchisor Inc. has not yet invoiced Franchisee Corp. for any marketing and advertising fees.

Required:

a. Identify the distinct performance obligations in this contract.

b. Determine the transaction price.

c. Allocate the transaction price to the performance obligations.

d. Prepare Franchisor Inc.'s journal entries for 2017. Assume that it only accrues revenue at year-end.

Equipment was acquired at the beginning of the year at a cost of $35,000. The equipment was depreciated using the A method of depreciation that provides periodic depreciation expense based on the declining book value of a fixed asset over its estimated life.double-declining-balance method based on an estimated useful life of ten years and an estimated The estimated value of a fixed asset at the end of its useful life.residual value of $680.

a. What was the The systematic periodic transfer of the cost of a fixed asset to an expense account during its expected useful life.depreciation for the first year?
$

b. Assuming the equipment was sold at the end of year 2 for $8,090, determine the gain or loss on the sale of the equipment.
$ Loss

• Gain
• Loss

Feedback

Book value is the asset cost minus accumulated depreciation. In the first year, the balance in the accumulated depreciation account is zero.

Compare the book value to the sale price. If the book value is more than the sale price, the equipment was sold for a loss. If the book value is less than the sale price, the equipment was sold for a gain.

Learning Objective 3.

c. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.

Firms often employ price discrimination. They try to segment their markets and charge different prices to customers with different demand elasticities. The theory is simple. Identify those customers with highly-elastic demands (they're the ones who are very sensitive to price and will be driven into the arms of your competitors by high prices), and cut prices. Next, identify customers with less-elastic demands (they're the ones who are insensitive to price and are likely to buy anyway), and drive the price to them up. In other words, charge $40 for a new tire in your shop, but charge $60 for the same tire to the motorist stranded on the highway.

             Such discrimination is fairly common. Discounts for children and/or senior citizens and special introductory rates for new magazine subscribers are more benign examples. But segmenting the market is not easy. Publix cannot easily identify which customers will acquiesce to a higher price for broccoli; nor can Target easily detect which customers have an inelastic demand for throw rugs.

             Car dealers practice haggle-every-time discrimination. They try to guess the maximum price each individual customer is willing to pay, and charge accordingly. They ask strategic questions about occupation, address, family, and what other dealerships shoppers have visited. All are designed to help predict what a consumer might be willing to pay.

More recently, the Georgia Department of Transporation (GDOT) will complete an EZ-Pass lane that will have an interchangeable lane going South during the morning rush hours and North during rush hours in the afternoon. The "price" usually set on a per-mile basis will be determined solely on what...you guessed it, "demand." The fewer the amount of commuters the lower the rate will be. This is an example of third-degree price discrimination.

Provide at least one example of price discrimination and explain whether it falls under first, second, or third-degree price discrimination. Please make sure this is answered in a paragraph format with supplemental materials

Please assist with the following problems:

Q1. For each of the following decision-making problems, determine whether the problem involves constrained or unconstrained optimization; what the objective function is and, for each constrained problem, what the constraint is; and what the choice variables are.

a. We are ordering a new commercial aircraft from Boeing and we choose how to allocate seats between the first-class section and the coach section of the aircraft. The new aircraft has a total of 1800 square feet of seating space. First-class seats require 10 square feet of space per seat and coach class seats require 6 square feet of space per seat. We expect to earn 1.75 times as much revenue per seat in first-class as in coach seating, and we will cancel any flight that is not completely booked (i.e. all seats are sold). (1.5 pts)

b. We develop pharmaceutical drugs to treat inflammation diseases and drugs to treat infectious diseases. Our research and development budget must be split between these two separate divisions of drug research. Your job is to determine whether we are allocating our limited R&D spending between the two divisions in the best possible way. (1.5 pts)

c. We aren’t earning enough profits. Your job is to redesign our global market structure to make sure that we maintain the optimal presence in every profitable market on the planet! Get to work now. (1.5 pts)

Q2. A decision maker is choosing the levels of two activities, X and Y, so as to maximize total benefits under a given budget. The prices and marginal benefits of the last units of X and Y are denoted PX, PY, MBX, and MBY.

a. If PX = $30, PY = $40, MBX = 420, and MBY = 640, what should the decision maker do? (1.5 pts)

b. If PX = $15, PY = $17.50, MBX = 750, and MBY = 840, what should the decision maker do? (1.5 pts)

c. If PX = $56, PY = $14, MBX = 2,800, and MBY = 1,050, how many units of Y can be obtained if X is reduced by one unit? How much will benefits increase if this exchange is made? (1.5 pts)

d. If the substitution in part c continues until the point of equilibrium is reached, and MBX rises to 3,360, then what will MBY be in equilibrium? (1.5 pts)

Q3. You are interviewing three people for one sales job. On the basis of your experience and insight, you believe Jack can sell 64 widgets per day, Jill can sell 50 widgets per day, and John can sell 100 widgets per day. The daily salary each person is asking is as follows: Jack, $100; Jill, $100; and John, $300. How would you rank the three applicants? (3 x 1.5 pts)

Case Study, Chapter 31, Assessment and Management of Patients With Hypertension 1. Joan Smith, 55 years of age, is a female patient who presents to the intensive care unit with the diagnosis of intracranial hemorrhage. The patient stopped taking her antihypertensives suddenly because of the cost of the medications and she recently lost her job to outsourcing. The patient is slightly drowsy and complains of a headache and blurred vision. The patient’s blood pressure is 220/130 mm Hg upon presentation. (Learning Objective 6) a. According to the definitions set by the Seventh Report of the Joint National Committee on Prevention, Detection, Evaluation and Treatment of High Blood Pressure (JNC 7), which type of hypertensive crisis is the patient currently experiencing? b. Describe the treatment goals for handling the hypertensive crisis and apply the goals to the case study. Determine the current mean arterial pressure (MAP) and the goals for treatment. The physician prescribes nicardipine hydrochloride (Cardene) 25 mg/250 mL, NS for peripheral IV starting at 2.5 mg/hr, and titrate by 2.5 mg/hr every 15 minutes to reach the goal for the first hour, which is to achieve 25% reduction of the initial MAP. • Call the physician if the dosing range of 15 mg/hr has been reached and the MAP is still not at target goal for the first hour of treatment, or up to four dose increases • Lower the BP within 6 hours to 160/100 mm Hg • Adjust the IV rate so that the IV fluids plus the nicardipine IV drip are equal to 100 mL/hr, in total. Call the physician if the IV fluids must go above 100 mL/hr to provide the nicardipine c. Explain what rate to set initially for both the nicardipine drip and the NS maintenance fluids. d. Explain the process of titrating the nicardipine drip for the first hour to achieve the final MAP goal of 25% reduction of the original MAP. 2. The community health nurse is preparing a program about hypertension for a local community center. The focus of the program is on the reduction of risk factors and compliance for those who have been diagnosed with high blood pressure. The target population includes older adults. (Learning Objectives 1 to 4) a. The nurse focuses on primary hypertension because it accounts for 90% to 95% of hypertension in the United States. What risk factors does the nurse include for this population? b. The nurse prepares to discuss the changes in how the JNC 7 defines hypertension. What ranges and descriptions should the nurse include? c. Because this is a gerontologic audience, the nurse needs to review why blood pressure increases with age. Explain how the structural and functional changes of aging contribute to higher blood pressure in the older adult. d. What information does the nurse include about lifestyle modifications that may decrease risk of hypertension (or complications associated with diagnosed hypertension)

Salmon Swim Centre uses a sales journal, purchases journal, cash receipts journal, cash payments journal and a general journal. The business also maintains subsidiary ledgers for accounts receivable and accounts payable, in addition to the related control accounts (ignore GST). The relevant account balances as of December 31, 2019, were as follows.

The accounts receivable and accounts payable subsidiary ledger balances were as follows.

The following transactions occurred during the first quarter of 2020.

Required

1. Enter the first quarter’s transactions in the appropriate journals. Refer to the provided Chart of Accounts for the appropriate account names.
2. Prepare a trial balance as at March 31, 2020.

1. Enter the first quarter’s transactions in the appropriate journals.

Purchases Journal

Sales Journal

Cash Receipts Journal

Cash Payments Journal

General Journal

1. Prepare a trial balance as at March 31, 2020.

Marks: 14

Complete the two Available-to-Promise tables below.

a.

b.

Mix the aggregates given the results of sieve analysis test in Table 1 in appropriate proportions, show the granulometry curves of each aggregate and mixture in Figure 2, calculate the fineness modulus (FM) of the mixture.

Create a Control Limit chart for the following: You are a manager at RadioTag Inc., a maker of RFID tags for US military and private use (e.g., Wal Mart). Your process assembles radio id tags to certain specifications – 95.5 confidence intervals, however as they come off the assembly line a test is run on each tag to determine whether the frequency works or does not (hint the data are dichotomous distributed binary). Below are the data you collected over a 2-week period:                                                                                                                                                                                                                                                                                                                                                                GRAPH GOES UNDER THIS

Day sample size        non-working tags

1                      100                         15

2                      100                         13

3                      100                         12

4                      100                         11

5                      100                         16

6                      100                         19

7                      100                         5

8                      100                         8

9                      100                         19

10                   100                         15

11                   100                         2

12                   100                         6

13                   100                         9

14 100                         10

1.         P bar =

SD of P bar =

UCLP Bar =

LCLP bar =

B) Graph and Plot the data. Round answers to three places.

Clearly identify the P bar, s.d. of Pbar, UCL, LCL (make sure the graph elements are labeled) and identified in A above.

C) Compare p value to a. What is the result?

Smithson Company uses a job-order costing system and has two manufacturing departments—Molding and Fabrication.

The company provided the following estimates at the beginning of the year:

Machine Hours Molding    Fabrication    Total

   22,000 32,000 54,000

Fixed manufacturing overhead costs $ 780,000 $ 230,000    $ 1,010,000

Variable manufacturing overhead per machine-hour $ 5.00    $ 5.00

During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs—Job D-75 and Job C-100. It provided the following information related to those two jobs:

Job D-75:

Molding    Fabrication Total Direct

materials cost    $ 377,000 $ 324,000 $ 701,000

Direct labor cost $ 230,000 $ 160,000 $ 390,000

Machine-hours    16,000 6,000    22,000

Job C-100:

Molding Fabrication    Total Direct

materials cost    $ 290,000    $ 250,000 $ 540,000

Direct labor cost $ 160,000    $ 240,000    $ 400,000

Machine-hours    6,000 26,000    32,000

Smithson had no overapplied or underapplied manufacturing overhead during the year. Assume Smithson uses a plantwide overhead rate based on machine-hours.

Required:

1-a. Compute the predetermined plantwide overhead rate. (Round your answer to 2 decimal places.)

1-b. Compute the total manufacturing costs assigned to Job D-75 and Job C-100. (Round your intermediate calculations to 2 decimal places.)

1-c. If Smithson establishes bid prices that are 120% of total manufacturing costs, what bid price would it have established for Job D-75 and Job C-100? (Round your intermediate calculations to 2 decimal places.)

1-d. What is Smithson’s cost of goods sold for the year? (Round your intermediate calculations to 2 decimal places.)