Hamama Sdn Bhd is a company that specialises in online school uniforms retailing. Each set school uniforms sells for RM40 each. The company expects to produce and sell 100,000 sets this year, although there is a total production capacity of 120,000 in the current factory setup. Fixed costs are RM160,000 per year. The direct costs of production are RM24 per set. Its finance director is considering a proposal to put forward by the company’s CEO to buy in a new automated sewing machine that links with new design software. Production capacity could be increased to 180,000 set per year. There are very large overheads associated with the purchase of the new machine and IT system, namely the high cost of financing these purchases. Total fixed costs would double to RM320,000 per year. Savings would be made by reducing the number of factory workers directly employed in the manufacturing process. Direct costs of production would decrease to RM18.00 per set. Research from the marketing department indicates that higher quality designs and a price reduction to RM36 would increase the demand for uniforms by 50 per cent to 150,000 sets per year.
Required: a. Construct a break-even graph to represent the current data, identifying the breakeven level of production and the safety margin.
In: Accounting
Dora Nyika is a student pursuing a Bachelor’s Degree in Business Studies (BBS) at a certain University in Zambia. Dora will graduate in one year’ time and has applied for a job with an international telecommunication company. As part of the company’s evaluation process, she has been asked to take an examination which covers several time value of money concepts and principles. Dora has been asked to provide answers to the following questions: (a) To draw time lines for: (i) An uneven cash flow stream of K500, -K700, K850 and K200 at the end of years 0 to year 3 (ii) A K50,000 lump sum cash flow at the end of year 3. (iii) An ordinary annuity of K5,000 per year for 3 years (b) How long it will take a sum of money of money (or anything else) to grow to some specified amount. For example, if a company’s production is growing at a rate of 15% per year, how long will it take production to double? Say we want to find out how long it will take us to double our money at an interest rate of 15%. Note: do not use the rule of 72 when answering this question (c) If you want an investment to double in 4 years, what interest rate must it earn? (d) What is the future value of a 5-year ordinary annuity of K2,000 if the appropriate rate of return is 8%? (e) What is the present value of the ordinary annuity? (f) What would be the future and present values if the annuity were an annuity due? Instructions: Answer the above questions on behalf of Dora Nyika and present the work in a report format.
In: Finance
Pfizer-BioNTech is the founder and single producer of Covid-19 vaccines sold in the world. There was a worldwide argument on the patented drugs of the pharmaceutical industry especially in the wake of the current pandemic.
a) Draw a graph to illustrates the effect of patented Covid-19 vaccines produced by Pfizer-BioNTech. In your graph, show the:
i. profit area of the market.
ii. consumer surplus.
iii. producer surplus.
iv. deadweight loss.
b) Why Pfizer-BioNTech will be allocatively inefficient?
c) Briefly discuss the differences between monopoly and monopolistic firm's profit in the long run.
d) Define barriers to entry. Discuss one type of barriers to entry with examples.
In: Accounting
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Case 7 of the textbook examines the rise of Wal-Mart as a corporate bohemoth. One of the things often said of Wal-Mart is that it destroys 'Mom and Pop' business along Main Street given its size and ability to undercut competitors on pricing. Wal-Mart's founder believed that everyone should have access to low prices, but those low prices at scale often creates wider economic consequences. If you owned a small department store in a neighborhood where Wal-Mart was entering, how would you address these wider concerns to stay competitive? Do you think your store could survive? |
In: Operations Management
1. Differentiate between ‘structured’ and ‘unstructured’ interviews.
2. In developing and conducting a survey, what is meant by the term ‘pre-test’? Explain the purpose of the pre-test phase.
3. Explain how to obtain a systematic random sample of size 100 from a population with 5,000 items.
4. Differentiate between ‘simple random’ sampling and ‘stratified random’ sampling methods
5. List and briefly discuss the advantages and disadvantages of open-ended questions in either a written survey or a personal interview.
6. Explain the difference between stratified random sampling and cluster random sampling.
7. In a survey, what is meant by demographic questions and why might we want to include demographic questions in survey?
8. Discuss the steps involved in developing and carrying out a written survey.
In: Statistics and Probability
Give a brief description of yourself. Also I have ten interview questions i need answered for a sociology paper.
What do you do for a living?
What made you want to work in this field?
How would you describe your social class?
Where were you born/what is your neighborhood like?
Do you think it’s easier for one to come from a higher class or for one to move up to a higher class?
What is your heritage?
Do you think your social class defines who you are?
Is gender equality a concern for you?
In your country, how do the roles of men and women differ in the family?
Why do women usually live five years longer than men?
In: Psychology
Janelle is interviewing for a low-level management job, which will require her to supervise a small team of employees. One of the forms Janelle must complete as part of the interview process is a leadership style questionnaire. Janelle wonders what insight her potential employers hope to gain from the results, what insight the results will provide her personally, and how this information will impact her career. Post your evaluation of leadership style assessments, such as the one you just completed, and the leadership style approach. Explain whether you think such assessments and a leadership style approach are useful for providing insight into leadership behavior for global change agents. Explain the potential impact of the use of such assessments for both individual employees and organizations. Also, explain the potential impact of the style approach to leadership for individual change agents and organizations.
In: Operations Management
Tiger Enterprises has, for several years, enjoyed relatively easy access to the bond markets. Their President/CEO is wondering whether they may have taken too much advantage of their access and borrowed more than they should have.
Tiger's debt ratio is currently 68%. If it reaches 70%, holders of certain bonds will be able to force a conversion of their bonds to common stock. This will significantly dilute the ownership of several major investors. Their long-term debt is currently structured as follows:
$5,000,000 of 4.2%, 20-year bonds due in 2035, book value is $4,800,000
$8,000,000 of 4%, 20-year bonds due in 2036, book value is $7,510,000
$20,000,000 of 5%, 20-year convertible bonds due in 2037, book value is $17,800,000
$10,000,000 of 4.8%, 30-year bonds due in 2048, book value is $8,100,000
Tiger has a current cash balance of approximately $10,000,000, which is $6,000,000 more than they consider to be the minimum cash balance that allows them to carry on operations smoothly. There are no short-term investments. Their major lines of business all generate positive operating cash flows and are expected to continue to do so.
Required: In preparation for next week’s board meeting, the CEO has asked you to draft a plan to bring the debt ratio down below 50% in the next two years. Identify at least one approach that will reduce the debt ratio in two years. If there is additional information, you need to formalize your plan, indicate what information you need. Consider how the Balance Sheet will look at the level of Assets = Liabilities+Equity. Use rough amount estimates if needed and work the debt ratio down from there. What changes would be required for this and how will the company implement those changes?
In: Accounting
Here are some real statistics for various countries in 2003: per capita income vs. per capita recorded music sales:
Country Per Cap. Income Per Cap. Music
($ thousands) Sales ($)
Norway 42.4 55.9
United Kingdom 30.9 53.35
United States 42.0 40.43
Australia 32.9 33.84
Switzerland 35.3 34.40
Finland 30.6 26.98
Canada 32.9 20.79
United Arab Emirates 29.1 11.33
Greece 22.8 8.10
Israel 22.3 6.68
Czech Republic 18.1 3.96
South Africa 12.1 3.75
South Korea 20.4 3.34
Mexico 10.1 3.30
Egypt 4.4 0.15
Indonesia 3.7 0.33
4a) Which variable should be considered the dependent (y) variable, and which the independent (x) variable?
4b) According to this model, if a country’s income improves by $3,000, how much to you expect music sales to increase by?
4c) What is the correlation coefficient? Is it statistically significant? How strong is this model?
4d) Why do you think the correlation is as high as it is?
4e) If a region of country has a per-capita income of $25,000, predict its per-capita music sales.
4f) Looking at the U.S, Canada. & Europe only, delete the United Arab Emirates, South Africa, South Korea Mexico, Egypt, and Indonesia from the model. Answer 3b, 3c, and 3e again.
4g) Why might it have been OK to throw away the countries we did in part f?
In: Statistics and Probability
Metlock Company reports pretax financial income of $65,000 for 2020. The following items cause taxable income to be different than pretax financial income.
| 1. | Depreciation on the tax return is greater than depreciation on the income statement by $16,400. | |
| 2. | Rent collected on the tax return is greater than rent recognized on the income statement by $23,100. | |
| 3. | Fines for pollution appear as an expense of $11,200 on the income statement. |
Metlock’s tax rate is 30% for all years, and the company expects to
report taxable income in all future years. There are no deferred
taxes at the beginning of 2020.
Compute taxable income and income taxes payable for 2020.
|
Taxable income |
$enter a dollar amount |
|
|---|---|---|
|
Income taxes payable |
$enter a dollar amount |
eTextbook and Media
List of Accounts
Prepare the journal entry to record income tax expense, deferred income taxes, and income taxes payable for 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
|
Account Titles and Explanation |
Debit |
Credit |
|---|---|---|
|
enter an account title |
enter a debit amount |
enter a credit amount |
|
enter an account title |
enter a debit amount |
enter a credit amount |
|
enter an account title |
enter a debit amount |
enter a credit amount |
|
enter an account title |
enter a debit amount |
enter a credit amount |
eTextbook and Media
List of Accounts
Prepare the income tax expense section of the income statement for 2020, beginning with the line “Income before income taxes.” (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
|
Metlock Company |
||
|---|---|---|
|
select an income statement item CurrentDeferredDividendsExpensesIncome before Income TaxesIncome Tax ExpenseNet Income / (Loss)Retained Earnings, January 1Retained Earnings, December 31RevenuesTotal ExpensesTotal Revenues |
$enter a dollar amount |
|
|
select an opening section name CurrentDeferredDividendsExpensesIncome before Income TaxesIncome Tax ExpenseNet Income / (Loss)Retained Earnings, January 1Retained Earnings, December 31RevenuesTotal ExpensesTotal Revenues |
||
|
select an income statement item CurrentDeferredDividendsExpensesIncome before Income TaxesIncome Tax ExpenseNet Income / (Loss)Retained Earnings, January 1Retained Earnings, December 31RevenuesTotal ExpensesTotal Revenues |
$enter a dollar amount |
|
|
select an income statement item CurrentDeferredDividendsExpensesIncome before Income TaxesIncome Tax ExpenseNet Income / (Loss)Retained Earnings, January 1Retained Earnings, December 31RevenuesTotal ExpensesTotal Revenues |
enter a dollar amount |
|
|
enter a subtotal of the two previous amounts |
||
|
select a closing name for this statement CurrentDeferredDividendsExpensesIncome before Income TaxesIncome Tax ExpenseNet Income / (Loss)Retained Earnings, January 1Retained Earnings, December 31RevenuesTotal ExpensesTotal Revenues |
$enter a total net income or loss amount |
|
eTextbook and Media
List of Accounts
Compute the effective income tax rate for 2020. (Round answer to 1 decimal places, e.g. 25.5%.)
| Effective income tax rate |
enter the Effective income tax rate in percentages rounded to 1 decimal place |
% |
In: Accounting