Sony Corporation – Since its founding in 1960, Sony was always known for innovation and market leadership. But in the last 20 years, troubling issues have emerged to partially counter the many successes along the way. Research Sony and its subsidiaries, and answer the following questions:

3. Should Sony’s R&D efforts be focused on a limited number of core products, or should it aim to be the leader in each business segment it operates in?

4. Some say Sony Entertainment “runs the show” now, because one very successful movie returns massive profits. Do you think excessive diversification is Sony’s problem? They usually target the upscale high-end consumer groups. Should they change strategies?

Thank you!

Personal Budget

At the beginning of the school year, Craig Kovar decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:

a. Prepare a cash budget for September, October, November, and December. Use the minus sign to indicate cash outflows, a decrease in cash or cash payments.

Feedback

b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets?

Static

c. What are the budget implications for Craig Kovar?

Craig can see that his present plan will not provide  sufficient cash. If Craig did not budget but went ahead with the original plan, he would be $ ________ short  at the end of December, with no time left to adjust.

At the beginning of the school year, Katherine Malloy decided to prepare a A budget of estimated cash receipts and payments.cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:

a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except an overall cash decrease which should be indicated with a minus sign.

Feedback

b. Are the four monthly budgets that are presented prepared as A budget that does not adjust to changes in activity levels.static budgets or A budget that adjusts for varying rates of activity.flexible budgets?

• Static
• Flexible

c. Malloy can see that her present plan

• will provide
• will not provide

sufficient cash. If Malloy did not budget but went ahead with the original plan, she would be $

• over
• short

at the end of December, with no time left to adjust

Personal budget

At the beginning of the school year, Craig Kovar decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:

a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign.

b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets?

Static

c. What are the budget implications for Craig Kovar?

Craig can see that his present plan will not provide sufficient cash. If Craig did not budget but went ahead with the original plan, he would be $ ______ short  at the end of December, with no time left to adjust.

Personal Budget

At the beginning of the school year, Priscilla Wescott decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:

a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign.

Feedback

b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets?

Static

c. What are the budget implications for Priscilla Wescott?

Priscilla can see that her present plan will not provide  sufficient cash. If Priscilla did not budget but went ahead with the original plan, she would be $ short  at the end of December, with no time left to adjust.

Personal Budget

At the beginning of the school year, Priscilla Wescott decided to prepare a cash budget for the months of September, October, November, and December. The budget must plan for enough cash on December 31 to pay the spring semester tuition, which is the same as the fall tuition. The following information relates to the budget:

a. Prepare a cash budget for September, October, November, and December. Enter all amounts as positive values except cash decrease which should be indicated with a minus sign.

b. Are the four monthly budgets that are presented prepared as static budgets or flexible budgets?
Static

c. What are the budget implications for Priscilla Wescott?

Priscilla can see that her present plan will not provide sufficient cash. If Priscilla did not budget but went ahead with the original plan, she would be $ short at the end of December, with no time left to adjust.

Question 2

Jamie is a real estate agent working for ‘Houses R Us’ real estate. As part of his employment contract, Jamie receives a base salary of $50,000 per annum plus 10% of the agency’s commission on sold properties where he has had a direct connection with the sale. He is also provided with a car, a Toyota Kluger costing $48,000. He is not required to contribute to the running costs of the car which total $13,500 per year and is allowed to use the car outside of work hours and on weekends.

Jamie's salary package also includes a laptop which cost $2,300 and a mobile phone costing $1,200 per year. His employer also reimburses his annual professional subscription of $550 and provides him with an entertainment allowance of $2,000 per year.

Jamie was also lucky enough to achieve the highest sales for the previous six month period and was rewarded with a high tech home entertainment system worth $4,800.

‘Houses R Us’ also offer their staff loans of up to $100,000 towards purchasing their own house at a rate of 4% per annum. Jamie is considering taking up this offer to purchase his first home.

Required
Advise Jamie and ‘Houses R Us’ of the taxation and FBT consequences of these transactions. You are not required to calculate any FBT liability.

Rationale

This assessment task will assess the following learning outcomes:

be able to identify and explain the rules of law relating to taxation law topics covered in the subject.

be able demonstrate a capacity to engage in legal research.

be able to use legal research skills to apply the law to legal problems relating to taxation so as to reach a solution.

be able to analyse legal rules so as to differentiate between possible outcomes to the legal issues arising from novel fact situations.

Make a forecast for 2016 using a method of your choice (including a judgment forecast). Justify your method. (Round your answer to the nearest whole number.)

The two year moving average forecast for 2016 is _______.

Q3: Pharmaceutical industry firms have been trying to counter the changes below through M&A and strategic alliance activity. Please categorize them according to Porter’s Five Forces.

Porter’s Five Forces:
-Threat of substitutes (SUBST)
-Threat of new entrants (NEWE)
-Threats of supplier leverage (SUPPL)
-Threat of buyer leverage (BUYER)
-Threat of rivalry (RIVAL)

Adapted from Schon, H. 2015. Pharmaceuticals M&A versus alliances and its underlying value drivers.
1. ________ Government austerity measures like the 2010 Affordable Care Act have lowered prices.
2. ________ Generics constituted 22% of pharmaceutical sales in 2006, 40% in 2016.
3. ________ Biologics (biotechnology) accounted for 16% of pharmaceutical sales in 2006, 22% in 2016.
4. ________ R&D productivity in terms of new FDA-approved small and large molecules has remained essentially unchanged since 1998, perhaps contributing to slowing industry sales at large firms.