For the past

112112

​years, a certain state suffered

2828

direct hits from major​ (category 3 to​ 5) hurricanes. Assume that this was typical and the number of hits per year follows a Poisson distribution. Complete parts​ (a) through​ (d).

​(a) What is the probability that the state will not be hit by any major hurricanes in a single​ year?

The probability is

1-The number of hits to a website follows a Poisson process. Hits occur at the rate of

1.0 per minute1.0 per minute

between​ 7:00 P.M. and

99​:00

P.M. Given below are three scenarios for the number of hits to the website. Compute the probability of each scenario between

8 : 27 P.M.8:27 P.M.

and

88​:3535

P.M. Interpret each result.

​(a) exactly fivefive

​(b) fewer than fivefive

​(c) at least fivefive

2-Determine the required value of the missing probability to make the distribution a discrete probability distribution. x ​P(x) 3 0.35 0.35 4 ​? 5 0.16 0.16 6 0.27 0.27 ​P(4) =

Homework Assignment 4 Instructions: Class name must be: HW4_yourName For example: Michael will name the class of homework assignment 4 as HW4_Michael Grading Rubric: Code running and as per the required conditions and giving expected output = 10 points File named as per instructions = 1 point Comments in code = 4 points Problem: Average calculation for a list Write a program that reads a text file named test_scores.txt to read the name of the student and his/her scores for 3 tests. The program should display class average for first test (average of scores of test 1) and average (average of 3 tests) for each student. Expected Output: ['John', '25', '26', '27'] ['Michael', '24', '28', '29'] ['Adelle', '23', '24', '20'] [['John', '25', '26', '27'], ['Michael', '24', '28', '29'], ['Adelle', '23', '24', '20']] Class average for test 1 is: 24.0 Average for student John is 26.00 Average for student Michael is 27.00 Average for student Adelle is 22.33

Sales-Related and Purchase-Related Transactions Using Periodic Inventory System

The following were selected from among the transactions completed by Essex Company during July of the current year:

Required:

Journalize the entries to record the transactions of Essex Company for July using the periodic inventory system. If an amount box does not require an entry, leave it blank.

Rusty Williams, the owner and CEO of The Rusty Bicycle Company, a small manufacturer and distributer of recreational bikes, has dejectedly watched sales of his company’s flagship bike, the WindRunner, decline precipitously over the past 7 years. Believing that the trend is irreversible, Rusty has taken the drastic step of shutting down the operation of his firm in an effort to reduce costs while he tries to figure out how to rescue the firm he has spent the bulk of his life building.

Rusty asks his brother John, the head design engineer at his firm to design and build a prototype of a new bicycle that might be able to save the company. Rusty tells John to forget about conventional bicycle design and to “think big” and come up with something truly revolutionary.

After about 6 weeks of intense work, John comes back to Rusty with a proposal for the “WindRunner 2.0”, a bicycle unlike anything else on the market today. John believes that the specialty nature of the new bicycle suggests that, while unit sales volume may be relatively low, the bicycle should command a premium sales price. Specifically, he thinks that customers would be willing to pay upwards of $845 per bike.

Rusty, intrigued by the new design, hires a market research consultant, Sandy Frazier, to study the potential demand for the WindRunner 2.0. As projecting demand for a completely new product is notoriously difficult, she limits her prediction to a 5 year horizon. Sandy gives the following forecast to Rusty in exchange for her customary fee of $45,000.

Rusty is optimistic that the expected sales revenue will be enough to save his company. Deciding to move forward on the evaluation of this project, he asks John what new manufacturing capacity will be needed to begin production. John thinks that he could reconfigure the firm’s current manufacturing facility to produce the new model bicycle, although the current production machinery, purchased over 20 years ago, is woefully inadequate. He estimates that the necessary new equipment could be purchased for $2.5 million and that the whole manufacturing process will incur fixed operating costs of $3 million per year. Additionally, he estimates the variable costs of production to run $260 per bike produced.

John further thinks that the existing production equipment, which will no longer be needed, could be sold for $400,000. The existing equipment was classified for tax purposes under the 15 year MACRS category. As a result of a recent exemption given to small businesses, Rusty will not have to use the MACRS depreciation schedules for new capital assets acquired. Instead, the new equipment will be depreciated straight-line to zero over the 5 year planning horizon. John thinks that the new production equipment will be worthless and scrapped at the end of 5 years.

Finally, John tells Rusty that he will need about $300,000 in raw materials (i.e. parts and supplies) for the bicycles to begin production. This expenditure will not be recovered at the end of the project. Rusty, worried about spending so much cash on parts, calls a supplier, Rodney Murdock, to see about short-term credit options. Unfortunately, due to the precarious position Rusty finds his company in, the supplier is unable to offer any credit terms and will insist upon cash on delivery payment for raw materials.

Recently, a federal government economic stimulus measure was enacted. As a result of this effort, small businesses, like Rusty, will have their business income tax rate cut to zero percent for the next 10 years. The intent is to stimulate the formation of new small businesses throughout the country. Since this project is a last ditch effort to save the company, Rusty plans to let the project run for the 5 year forecast horizon. After that, he plans to dissolve the business and retire. Due to the desperation involved in this project, Rusty estimates that a 20% required rate of return is appropriate.

Rusty has asked for your help in addressing the following questions.

Prepare a 5 year forecast of cash flow from assets (CFA) for the WindRunner 2.0 project.

Calculate the Net Present Value (NPV) of the WindRunner 2.0 project.

Since the future of his company rests on the success or failure of this project, Rusty is understandably concerned about risks to his forecasts and expectations for the project. To get a better picture of the risk involved, Rusty again asks you to conduct the following scenario analyses.   

With your previous work being used as the ‘base case’ scenario, estimate the net present value of the project under a pessimistic scenario. Specifically, Rusty wants to consider the project’s NPV if both sales volume and the sales price are 10% below the base case scenario, while variable costs are 10% above the base case scenario estimates. All other variables will remain the same.

Now, to look at the optimistic case, reevaluate the project NPV where sales volume and sales price are 10% above the base case estimates, while variable costs are 10% below base case estimates. Again, all other variables are presumed to remain the same.

Finally, Rusty would like to know what minimum quantity of the WindRunner 2.0 models will have to be sold in order to produce a zero NPV (i.e. the financial breakeven point). That is, he would like to know what level of sales volume would leave him indifferent between undertaking the project versus shelving the project.  

Xania Inc. uses a normal job-order costing system. Currently, a plantwide overhead rate based on machine hours is used. Xania's plant manager has heard that departmental overhead rates can offer significantly better cost assignments than a plantwide rate can offer. Xania has the following data for its two departments for the coming year:

Required:

1. Compute a predetermined overhead rate for the plant as a whole based on machine hours.

2. Compute predetermined overhead rates for each department using machine hours for Department A and direct labor hours for Department B. (Note: Carry your calculations out to the nearest dollar.)

3. Job 73 used 25 machine hours from Department A and 50 machine hours from Department B; it used 30 direct labor hours from Department A and 20 direct labor hours from Department B. Job 74 used 40 machine hours from Department A and 15 machine hours from Department B; it used 20 direct labor hours from Department A and 50 direct labor hours from Department B. Compute the overhead cost assigned to each job using the plantwide rate computed in Requirement 1. Repeat the computation using the departmental rates found in

Requirement 2.

4. Using a Plantwide, if actual machine hours for the year were 17,000 hours and actual overhead costs were $1,100,000, how much was overhead under- or over-applied for the year and how would that affect Cost of Goods Sold when it is closed to that account. $$_________________________ over-applied/under-applied (circle one) $$_________________________ Cost of Goods Sold increased/decreased (circle one)

2. Download the BodyTemp.MTW file from Canvas. We will be comparing the body temperatures of men and women.  [30 points]

A.Make a graph to compare the distributions of men and women’s body temperatures.

B. Use Minitab Express to determine if there is evidence that the mean body temperatures of men and women are different.  The coding of gender is 0=man and 1=woman. Assume that the distribution of the body temperature data is normal. Use the five-step hypothesis testing procedure and remember to include all relevant Minitab Express output. You should not need to do any hand calculations.

Step 1:Check assumptions and write hypotheses

Step 2: Calculate the test statistic

Step 3:Identify the pvalue

Step 4:Make a decision

Step 5:State a “real world” conclusion

Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes. The proprietor of the company believes that costs are driven primarily by the size of customer lawns, the size of customer garden beds, the distance to travel to customers, and the number of customers. In addition, the costs of maintaining garden beds depends on whether the beds are low maintenance beds (mainly ordinary trees and shrubs) or high maintenance beds (mainly flowers and exotic plants). Accordingly, the company uses the five activity cost pools listed below:

The company already has completed its first stage allocations of costs and has summarized its annual costs and activity as follows:  

Required:

Compute the activity rate for each of the activity cost pools. (Round your answers to 2 decimal places.)

Green Thumb Gardening is a small gardening service that uses activity-based costing to estimate costs for pricing and other purposes. The proprietor of the company believes that costs are driven primarily by the size of customer lawns, the size of customer garden beds, the distance to travel to customers, and the number of customers. In addition, the costs of maintaining garden beds depends on whether the beds are low maintenance beds (mainly ordinary trees and shrubs) or high maintenance beds (mainly flowers and exotic plants). Accordingly, the company uses the five activity cost pools listed below:

The company already has completed its first stage allocations of costs and has summarized its annual costs and activity as follows:

Required:

Compute the activity rate for each of the activity cost pools. (Round your answers to 2 decimal places.)

Caring for lawn (per sq ft of laawn)

Caring for garden bed-low maintenance (per sq ft of low maintenance bed)

Caring for garden bed-high maintenance (per sq ft of high maintenance bed)

Travel to jobs (per mile)

Customer billing service (per customer)

Greg’s Bicycle Shop has the following transactions related to its top-selling Mongoose mountain bike for the month of March. Greg's Bicycle Shop uses a periodic inventory system.

For the specific identification method, the March 5 sale consists of bikes from beginning inventory, the March 17 sale consists of bikes from the March 9 purchase, and the March 27 sale consists of four bikes from beginning inventory and eight bikes from the March 22 purchase.

Calculate ending inventory and cost of goods sold at March 31, using the specific identification method.

Using FIFO, calculate ending inventory and cost of goods sold at March 31.

  Using LIFO, calculate ending inventory and cost of goods sold at March 31.

Using weighted-average cost, calculate ending inventory and cost of goods sold at March 31. (Round your intermediate and final answers to 2 decimal places.)

Calculate sales revenue and gross profit under each of the four methods. (Round weighted-average cost amounts to 2 decimal places.)

7. If Greg’s Bicycle Shop chooses to report inventory using LIFO instead of FIFO, record the LIFO adjustment.

Journal entry worksheet

• Record the LIFO adjustment.