The Nederlander Organization is a theatrical organization that owns concert venues and Broadway theaters. Nederlander describes itself as a lifestyle company, which puts them in a specific niche with a specific type of customer. The organization engages in promotional activities for various concerts as well as production of Broadway shows. Nederlander Organization has leveraged these relationships with their Audience Rewards program, a type of sales promotion that has allowed them to build strong relationships with customers by enhancing their experience. The unique nature of the industry and smaller size of their target market allow Nederlander to create a valuable experience for customers through personal selling and sales promotion activities. The Audience Rewards is similar to a frequent-flyer program. Nederlander’s sales promotion program strongly benefits smaller venues. The Audience Rewards program also depends on outside relationships with major companies that sponsor the rewards for the program. Nederlander’s target market is an attractive opportunity for large companies. A market dominated by 30- to 59-year-old females with an annual income of approximately $200,000 appeals to their corporate partners because they want to get access to their customers. In addition to the many benefits of this program, sales promotion has provided Nederlander Organization with a competitive advantage over other companies. Questions for Discussion 1. Why do you think more targeted promotional efforts such as personal selling and sales promotion are necessary for Nederlander’s specific target market? 2. How does Nederlander’s Audience Rewards program result in a competitive advantage? 3. Describe how Nederlander’s strong customer relationship management results in increased loyalty to the organization.

Kaila Company’s Body Lotion Division produces a body lotion that is used by manufacturers of various body butter products. Sales and cost data on the body lotion follow:

Selling price per unit on the intermediate market . . . . . . . . .$70

Variable costs per unit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $45

Fixed costs per unit (based on capacity) . . . . . . . . . . . . . . . $10

Capacity in units . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,000

Number of body lotion:

Produced during the year . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,000

Sold to outside customers . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,000

Kaila Company has a Body Butter Division that could use this body lotion in one of its products. The

Body Butter Division will need 5,000 body lotions per year. It has received a quote of $60 per body lotion

from another manufacturer.

Required:

1. Assume that the Body Lotion Division is now selling only 20,000 body lotions per year to outside

customers. Can the selling division and buying division negotiate for the transfer price? Calculate the lower and upper acceptable transfer price!

2. Assume that the Body Lotion Division is selling 28,000 of the body lotions it can produce to outside

customers. Can the selling division and buying division negotiate for the transfer price? Calculate the lower and upper acceptable transfer price!

3. Assume that the Body Lotion Division selling all the speackers at cost to Body Butter Division. Can they still get profit for their divison? Which one is better, negotiated transfer price or transfer at cost for the selling division?

For each transaction, (1) analyze the transaction using the accounting equation, (2) record the transaction in journal entry form, and (3) post the entry using T-accounts to represent ledger accounts. Use the following (partial) chart of accounts—account numbers in parentheses: Cash (101); Accounts Receivable (106); Office Supplies (124); Trucks (153); Equipment (167); Accounts Payable (201); Unearned Landscaping Revenue (236); Common Stock (307); Dividends (319); Landscaping Revenue (403); Wages Expense (601), and Landscaping Expense (696).

1. On May 15, DeShawn Tyler opens a landscaping company called Elegant Lawns by investing $74,000 in cash along with equipment having a $34,000 value in exchange for common stock.
2. On May 21, Elegant Lawns purchases office supplies on credit for $360.
3. On May 25, Elegant Lawns receives $8,200 cash for performing landscaping services.
4. On May 30, Elegant Lawns receives $1,400 cash in advance of providing landscaping services to a customer.

Go to sec.gov and click on “Filings”; you will see a drop-down box. Click on “Company Filings Search.” In the Fast Search box (right side), type in USB to get the SEC filings for U.S. Bancorp. Find the most recently filed 10K (interactive data), and then click on “financial statements.” From here you can open the firm’s Consolidated Balance Sheet and the Consolidated Statement of Income. Notice that you can access 2 to 3 years of data. Compute the following ratios for as many years as you can, showing your numerator and denominator, as well as the ratio result:

Return on equity

Return on assets

Net interest margin

Net noninterest margin

Earnings spread

Net operating margin

Net profit margin (use net income/total revenue)

Tax management efficiency ratio

Expense control efficiency ratio

Asset utilization ratio (total revenue/total assets)

Equity multiplier (total assets/total stockholders’ equity).

Complete the following:

Assume your company has the following adjusted account balances at the end of the quarter for all dividend, revenue, and expense accounts. All accounts have a normal debit or credit balance. Financial statements are prepared on a quarterly basis.

Dividends: $14,000

Services Revenue: $100,000

Rent Expense: $9,000

Salaries Expense: $23,000

Utilities Expense: $6,000

Depreciation Expense - Furniture: $18,000

1. Prepare the four closing entries required to close the books at the end of the quarter. Be sure to clearly number each entry and clearly identify debits and credits by using the following format (these sample entries are not related to closing entries and are simply here as a formatting example):

Entry #1 Dr. Cash

Cr. Accounts Receivable

Entry #2 Dr. Wages Expense

Cr. Wages Payable

2. Are the financial statements prepared before or after the closing entries? Use several sentences to explain your answer.

3. Why do companies close the books at the end of the reporting period?

Sandhill Co. uses the retail inventory method. The following information is available for the current year.

The approximate cost of the ending inventory by the conventional retail method is (Hint: Round intermediate calculation to 3 decimal places, e.g. 0.635 and final answer to 0 decimal places.)

Sunland Sales Company uses the retail inventory method to value its merchandise inventory. The following information is available for the current year:

If the ending inventory is to be valued at the lower-of-cost-or-market, what is the cost-to-retail ratio?

Brief Exercise 4-4 (Algo) Multiple-step income statement [LO4-1, 4-3]

The following is a partial year-end adjusted trial balance.

Income tax expense has not yet been recorded. The income tax rate is 25%.

a. Determine the operating income (loss).
b. Determine the income (loss) before income taxes.
c. Determine the net income (loss).

Universal Calendar Company began the year with accounts receivable (net) and inventory balances of $270,000 and $50,000, respectively. Year-end balances for these accounts were $290,000 and $30,000, respectively. Sales for the year of $700,000 generated a gross profit of $220,000.

Calculate the receivables and inventory turnover ratios for the year.
  

1.Prepare Rockin Robbin's ​multi-step income statement for the year ended June 30, 2018

2. Journalize Rockin Robbin's closing entries.

3. Prepare a​ post-closing trial balance as of June 30, 2018

Prepare Rockin Robbin's ​multi-step income statement for the year ended June 30, 2018.

​(Use a minus sign or parentheses to show other​ expenses.)

A local shop owner would like to know if he can predict weekly sales by knowing the number of customers who visit his shop in the week. He takes a random sample of 10 weeks from the previous year, recording the number of customers and the sales in thousands of dollars. The results are summarized in the table below. He has assumed that the sales are normally distributed.

a. Find the equation for the regression line.

b. Interpret the slope in terms of this problem.

c. Interpret the y-intercept for this problem.

d. Interpret the coefficient of determination in terms of this problem.

e. Find the correlation coefficient.

f. If 800 customers visited his shop in one week, what would he predict as his sales for that week?

g. If 700 customers visited his shop in one week, what would he predict as his sales for that week?

h. Do the data indicate a strong linear relationship between the number of customers and sales at the 5% significance level?

Neve Commercial Bank is the only bank in the town of​ York, Pennsylvania. On a typical​ Friday, an average of 8 customers per hour arrive at the bank to transact business. There is one teller at the​ bank, and the average time required to transact business is 3 minutes. It is assumed that service times may be described by the negative exponential distribution. A single line would be​ used, and the customer at the front of the line would go to the first available bank teller. If a single teller is​ used:

a) The average time in the line? = ______ minutes?.

b) The average number in the line? = _______customers?.

c) The average time in the system? = _____minutes? .

d) The average number in the system? = ______customers?

e) The probability that the bank is empty? = ____?(round your response to two decimal? places).

f) CEO Benjamin Neve is considering adding a second teller? (who would work at the same rate as the? first) to reduce the waiting time for customers. He assumes that this will cut the waiting time in half.

g) If a second teller is? added, the average time a customer spends in the queue? = ____ minutes?

h) If a second teller is? added, the average number of customers in the queue? =??____ customers.

I) If a second teller is? added, the average time a customer spends in the system? = _____minutes

j) If a second teller is? added, the average number of customers in the system? =?? customers?