“We really need to get this new material-handling equipment in operation just after the new year begins. I hope we can finance it largely with cash and marketable securities, but if necessary we can get a short-term loan down at MetroBank.” This statement by Beth Davies-Lowry, president of Intercoastal Electronics Company, concluded a meeting she had called with the firm’s top management. Intercoastal is a small, rapidly growing wholesaler of consumer electronic products. The firm’s main product lines are small kitchen appliances and power tools. Marcia Wilcox, Intercoastal’s General Manager of Marketing, has recently completed a sales forecast. She believes the company’s sales during the first quarter of 20x1 will increase by 10 percent each month over the previous month’s sales. Then Wilcox expects sales to remain constant for several months. Intercoastal’s projected balance sheet as of December 31, 20x0, is as follows:

Jack Hanson, the assistant controller, is now preparing a monthly budget for the first quarter of 20x1. In the process, the following information has been accumulated:

1. Projected sales for December of 20x0 are $500,000. Credit sales typically are 70 percent of total sales. Intercoastal’s credit experience indicates that 20 percent of the credit sales are collected during the month of sale, and the remainder are collected during the following month.

2. Intercoastal’s cost of goods sold generally runs at 70 percent of sales. Inventory is purchased on account, and 30 percent of each month’s purchases are paid during the month of purchase. The remainder is paid during the following month. In order to have adequate stocks of inventory on hand, the firm attempts to have inventory at the end of each month equal to half of the next month’s projected cost of goods sold.

3. Hanson has estimated that Intercoastal’s other monthly expenses will be as follows:

   Sales salaries	$	35,000
   Advertising and promotion		16,000
   Administrative salaries		35,000
   Depreciation		20,000
   Interest on bonds		1,650
   Property taxes		1,200

   In addition, sales commissions run at the rate of 3 percent of sales.

4. Intercoastal’s president, Davies-Lowry, has indicated that the firm should invest $105,000 in an automated inventory-handling system to control the movement of inventory in the firm’s warehouse just after the new year begins. These equipment purchases will be financed primarily from the firm’s cash and marketable securities. However, Davies-Lowry believes that Intercoastal needs to keep a minimum cash balance of $40,000. If necessary, the remainder of the equipment purchases will be financed using short-term credit from a local bank. The minimum period for such a loan is three months. Hanson believes short-term interest rates will be 10 percent per year at the time of the equipment purchases. If a loan is necessary, Davies-Lowry has decided it should be paid off by the end of the first quarter if possible.

5. Intercoastal’s board of directors has indicated an intention to declare and pay dividends of $75,000 on the last day of each quarter.

6. The interest on any short-term borrowing will be paid when the loan is repaid. Interest on Intercoastal’s bonds is paid semiannually on January 31 and July 31 for the preceding six-month period.

7. Property taxes are paid semiannually on February 28 and August 31 for the preceding six-month period.

Required:

Prepare Intercoastal Electronics Company’s master budget for the first quarter of 20x1 by completing the following schedules and statements.

Your new employer has asked you to develop three new ads for Google Ads:

• The produce or service must be a local small business of your choosing
• Use the resource material in this week’s folder to guide you – especially the PPC template
• Include the headlines, descriptions, URL paths and final URL for each ad

New Jersey Pick 6. In the New Jersey Pick 6 lottery game, a bettor selects six different numbers, each between 1 and 49. Winning the top prize requires that the selected numbers match those that are drawn, but the order does not matter.

b) How many different lottery tickets are possible? (c) Find the probability of winning the jackpot when one ticket is purchased?

Ilana Industries, Inc., needs a new lathe. It can buy a new high-speed lathe for $1.9 million. The lathe will cost $44,000 per year to run, but it will save the firm $196,000 in labor costs and will be useful for 10 years. Suppose that for tax purposes, the lathe will be depreciated on a straight-line basis over its 10-year life to a salvage value of $380,000. The actual market value of the lathe at that time also will be $380,000. The discount rate is 11%, and the corporate tax rate is 20%. What is the NPV of buying the new lathe?

Needs to be rounded to 4 decimal places.

Select a change scenario (e.g., restructuring, raises, layoffs, new IT system, new CEO, recession, etc.) and describe the elements that might be used to communicate the change effectively using the concepts and practices from the textbook. (You are not limited to your work environment – choose any change scenario you wish.)

Diamond Autobody purchased some new equipment. The new equipment cost $90,000. The company estimates the equipment will have a residual value of $10,000. Diamond also estimates it will use the equipment for eight years or about 5,000 total hours. Required: Prepare a depreciation schedule for eight years using the following methods: 1. Straight-line. 2. Double-declining-balance. 3. Activity-based. Actual use per year was as follows: Year Hours Used 1 850 2 750 3 800 4 730 5 700 6 625 7 400 8 425

Using PyCharm, create a new Project lab8. Under lab8 create a new Directory exercise, then create a Python file called nested.py, type the following:

Test your code by putting the following at the bottom of the file: make_table_of_stars(2,3) (as shown in the code above). Run the file by right clicking in the code area of Pycharm, then choosing “Run nested”. Your output should be:

***

***

(2 rows with 3 columns of stars). Reverse the 2 and 3. What happens? Make a new function, make_table_of_digits that prints the digits 1..row*column instead. So nested.make_table_of_digits(2,3) would print:

123

456

To do this, change the '*' to a number. This is a little tricky. Start by just getting the first row correct. Change the printed '*' to print the value of j yields:

012

012

when make_table_of_digits(2,3) is called. Since you want to start with 1, not 0, change number being printed to (j+1) instead of j. Then, make_table_of_digits(2,3) should print

123

123

Much better. The whole first row is correct. To increase the numbers after the first row, multiply row number (i) times the total number of columns. Then, add that value to (j+1), and print. Then make_table_of_digits(2,3) prints:

123

456

That works well until you try make_table_of_digits(5,3), which prints:

123

456

789

101112

131415

make_table_of_digits only works well with 1 digit numbers. Create a new function, make_table_of_numbers, which makes each number take up 3 spaces using string.format. For example,

n = 3

print("{:3}".format(n), end=" ")

would print --3, where ‘-’ is a space. make_table_of_numbers(5,3) should print:

1 2 3

4 5 6

7 8 9

10 11 12

13 14 15

Test your solution and submit.

1. Firm AAA is considering a new three-year new project that requires an initial fixed asset investment of $2.28 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. The project is estimated to generate $2,120,000 in annual sales, with costs of $745,000. The project requires an initial investment in net working capital of $260,000, and the fixed asset will have a market value of $280,000 at the end of the project.

1. If the tax rate is 35 percent, what is the project’s year 0 net cash flow? And what are the free cash flow at Year 1? Year 2? Year 3
2. Should the firm accept the project if the required return rate is 15%? Why? Please show your calculation in details.

]Ilana Industries, Inc., needs a new lathe. It can buy a new high-speed lathe for $1.4 million. The lathe will cost $39,000 per year to run, but it will save the firm $134,000 in labor costs and will be useful for 10 years. Suppose that for tax purposes, the lathe will be depreciated on a straight-line basis over its 10-year life to a salvage value of $450,000. The actual market value of the lathe at that time also will be $450,000. The discount rate is 8%, and the corporate tax rate is 20%. What is the NPV of buying the new lathe? (A negative amount should be indicated by a minus sign. Enter your answer in dollars not in millions. Do not round intermediate calculations. Round your answer to 2 decimal places.)

NPV=