one of the variables most often included in surveys is income. Sometimes the question is phrased​ "What is your income​ (in thousands of​ dollars)?" In other​ surveys, the respondent

is asked to​ "Select the circle corresponding to your income​ level" and is given a number of income ranges to choose from. Complete parts a and b below.

part b. Which of these two formats would you prefer to use if you were conducting a​ survey? Why?(multiple choice)

A. Depending on the way the data is​ analyzed, either format could be used. If a continuous variable is​ preferred, use the second​ format, since income could be measured to different levels of precision. If a discrete variable is​ preferred, use the first format.

B. The second format would always be used because it forces the response to be discrete and will be easier to interpret than the result in the first format.

C. Depending on the way the data is​ analyzed, either format could be used. If a continuous variable is​ preferred, use the first​ format, since income could be measured to different levels of precision. If a discrete variable is​ preferred, use the second format.

D. The first format would always be used because it allows the response to be continuous and will allow for a more accurate assessment of the​ respondents' income.

Case Study 1: Creating a Safety Culture at Border Transportation

Border Transportation, located in Las Cruces, New Mexico, is a company that specializes in the delivery of medical equipment and supplies to hospitals, clinics, and medical supply companies in the Southwest and in Mexico. The majority of employees at Border Transportation are sales representatives, warehouse staff, and truck drivers. Currently, most of these workers are over age 45.

As a result of ongoing expansion, the company will grow from 225 employees to more than 500 employees in the next three years. Several government contracts have already been signed, and more are anticipated. The company has recently hired you as the warehouse manager. Part of your job is to oversee all safety programs for the company. These duties had been handled primarily informally by the dock supervisor prior to your coming onboard.

On your first day, the CFO calls you in and gives you the following directives and information:

• Safety in the warehouse is becoming a real issue. The accident rate has tripled since last year. Something has to be done.
• Absenteeism has increased, especially on Fridays and Mondays.
• The company is spending 25% of its payroll costs on workers’ compensation claims. Many of the claims are related to cumulative trauma disorders.
• You need to get rid of an employee in the warehouse who is reported to have AIDS.

Questions

1. How would you respond to each of the directives from the COO? What steps would you take to instill a culture of safety in this warehouse?
2. Do you think a wellness program makes sense for this company? Provide support for your answer.
3. What do you think will be the biggest challenge in increasing safety and health at this facility?
4. How will you address the issue of the employee with AIDS?
5. Given the location in the Southwest and the company’s work in Mexico, many of the employees have English as their second language. Do you anticipate that language will be an issue in creating and implementing a new safety program? If so, why and how will you address the issue? If not, why not?
6. How will you deal with employees who tell you that they have “always done it this way” when you try to improve safety procedures?

Directions: Each team will be responsible for completing the case detailed at the end of these instructions. The project needs to be done in Excel. Each team will submit the finished product via e-mail as an attachment by midnight on the due date. There is an Excel template on my website that you can use to complete the project. It will save you loads of time. The project due date is noted on your class timeline. Note: You need to use formulas and cell references whenever possible. If you do not use formulas or cell references, I will deduct points. Part 1a. This part requires you to create a sales budget by month and the total for the 2nd quarter. Use formulas wherever possible. Part 1b. This part requires you to create a schedule for budgeted cash collections from sales and accounts receivable. Use formulas wherever possible and link information from Part 1a. Part 1c. This part requires you to create a purchases budget in units and dollars. Note: this company is a merchandiser, so no production budget is needed. Instead, a purchases budget will be used (since the company will be buying inventory instead of manufacturing it). Obviously, you will not need any direct materials, direct labor etc. budgets. Use formulas wherever possible. Link information wherever possible. Part 1d. This part requires you to create a cash disbursements budget for purchases by month and the total for the quarter. Use formulas wherever possible and link information. Part 2. This part requires you to create a cash budget by month and the total for the quarter. Use formulas wherever possible and link information. Also use formulas when you calculate numbers that aren’t given, like interest expense. Use formulas whenever you calculate numbers (i.e. interest expense). Part 3. This part requires you to create a budgeted income statement from the previous parts and additional information given in the case. Use formulas wherever possible, including any derived numbers (i.e. COGS, commissions). Use formulas whenever you calculate numbers. Part 4. This part requires you to create a budgeted balance sheet from the previous parts and additional information given in the case. Use formulas wherever possible, including any derived numbers (i.e. unexpired insurance, fixed assets, net of depreciation, retained earnings, dividends payable, inventory). Use formulas whenever you calculate numbers. Master Budget with Supporting Schedules You have just been hired as a management trainee by Cravat Sales Company, a nationwide distributor of a designer’s silk ties. The company has an exclusive franchise on the distribution of the ties, and sales have grown so rapidly over the last few years that it has become necessary to add new members to the management team. You have been given responsibility for all planning and budgeting. Your first assignment is to prepare a master budget for the next three months, starting April 1. You are anxious to make a favorable impression on the president and have assembled the information below. The company desires a minimum ending cash balance each month of $12,000. The ties are sold to retailers for $8.10 each. Recent and forecasted sales in units are as follows: January (actual) 20,000 June 65,000 February (actual) 24,000 July 40,000 March (actual) 28,000 August 36,000 April 33,000 September 32,000 May 41,000 ________________________________________ The large buildup in sales before and during June is due to Father’s Day. Ending inventories are supposed to equal 75% of the next month’s sales in units. The ties cost the company $4.85 each. Purchases are paid for as follows: 50% in the month of purchase and the remaining 50% in the following month. All sales are on credit, with no discount, and payable within 15 days. The company has found, however, that only 30% of a month’s sales are collected by month-end. An additional 60% is collected in the following month, and the remaining 10% is collected in the second month following sale. Bad debts have been negligible. The company’s monthly selling and administrative expenses are given below: Variable: Sales commissions $ 1 per tie Fixed: Wages and salaries $ 22,000 Utilities $ 14,000 Insurance $ 1,200 Depreciation $ 1,500 Miscellaneous $ 3,000 ________________________________________ All selling and administrative expenses are paid during the month, in cash, with the exception of depreciation and insurance expired. Land will be purchased during May for $30,000 cash. The company declares dividends of $12,000 each quarter, payable in the first month of the following quarter. The company’s balance sheet at March 31 is given below: Assets Cash $ 14,000 Accounts receivable ($19,440 February sales; $158,760 March sales) 178,200 Inventory (24,750 units) 120,037.50 Prepaid insurance 14,400 Fixed assets, net of depreciation 172,700 ________________________________________ ________________________________________ Total assets $ 499,337.50 ________________________________________________________________________________ ________________________________________________________________________________ Liabilities and Stockholders’ Equity Accounts payable $ 76,993.75 Dividends payable 12,000 Capital stock 300,000 Retained earnings 110,343.75 ________________________________________ ________________________________________ Total liabilities and stockholders’ equity $ 499,337.50 ________________________________________________________________________________ ________________________________________________________________________________ ________________________________________ The company has an agreement with a bank that allows it to borrow in increments of $1,000 at the beginning of each month, up to a total loan balance of $300,000. The interest rate on these loans is 1% per month, and for simplicity, we will assume that interest is not compounded. At the end of the quarter, the company would pay the bank all of the accumulated interest on the loan and as much of the loan as possible (in increments of $1,000), while still retaining at least $12,000 in cash.

A corpus is a technical term for a collection of texts used to analyze a language and verify its linguistic properties. The first modern, computer-readable corpus was the Brown Corpus of Standard American English, compiled by Henry Kucera and W. Nelson Francis of Brown University. The Brown Corpus draws from American English texts printed in 1961 and was for many years a widely cited resource in computational linguistics.

The five most frequently occurring words in the Brown Corpus are the, of, and, to, and a. Consider a data set consisting of all occurrences of these words in the Corpus. The values of the variable named Word are and, to, of, the, and a, so Word is a nominal variable with five categories.

Frequency and relative frequency distributions are constructed to summarize the data. They are shown in the table that follows

A census is an enumeration of a population. The U.S. Census Bureau conducts a census every 10 years, but in addition, the Population Estimates Program of the bureau publishes population estimates for incorporated places every year. According to 2007 estimates, the five largest U.S. cities (by population) are New York City, Los Angeles, Chicago, Houston, and Phoenix.

Consider a data set consisting of all the residents of these five cities. The values of the variable named City are Phoenix, Chicago, Houston, Los Angeles, and New York City, so City is a nominal variable with five categories. Frequency and relative frequency distributions are provided in the table below.

In 1935, Harvard linguist George Zipf pointed out that the frequency of the kth most frequent word in a language is roughly proportional to 1/k. This implies that the second most frequent word in a language has a frequency one-half that of the most frequent word, the third most frequent word has a frequency one-third that of the most frequent word, and so on. A distribution that follows this rule is said to obey Zipf’s Law.

Zipf’s Law has been observed not only in word distributions, but in other phenomena as well, such as the populations of cities. Answer the questions/ blank below in percentages

The frequency of the second most frequent word in the Brown Corpus is ----------- that of the most frequent word. The population of the second largest city in the United States is-------- that of the largest city.

The frequency of the fourth most frequent word in the Brown Corpus is-------------- that of the most frequent word. The population of the fourth largest city in the United States is --------- that of the largest city.

Absorption and Variable Costing with Over- and Underapplied Overhead

Flaherty, Inc., has just completed its first year of operations. The unit costs on a normal costing basis are as follows:

During the year, the company had the following activity:

Actual fixed overhead was $11,200 less than budgeted fixed overhead. Budgeted variable overhead was $4,800 less than the actual variable overhead. The company used an expected actual activity level of 10,800 direct labor hours to compute the predetermined overhead rates. Any overhead variances are closed to Cost of Goods Sold.

Required:

1. Compute the unit cost using (a) absorption costing and (b) variable costing.

Feedback

The unit cost under absorption costing includes one more cost than under variable costing.

The unit cost under variable costing includes one less cost than under absorption costing.

2. Prepare an absorption-costing income statement. Round your answers to the nearest cent.

Feedback

Absorption costing assigns all manufacturing costs to each unit produced.

3. Prepare a variable-costing income statement. Round your answers to the nearest cent.

Feedback

4. Reconcile the difference between the two income statements.
The absorption costing generates an income $more than variable costing.

Absorption and Variable Costing with Over- and Underapplied Overhead

Flaherty, Inc., has just completed its first year of operations. The unit costs on a normal costing basis are as follows:

During the year, the company had the following activity:

Actual fixed overhead was $12,800 less than budgeted fixed overhead. Budgeted variable overhead was $4,500 less than the actual variable overhead. The company used an expected actual activity level of 11,000 direct labor hours to compute the predetermined overhead rates. Any overhead variances are closed to Cost of Goods Sold.

Required:

1. Compute the unit cost using (a) absorption costing and (b) variable costing.

Feedback

The unit cost under absorption costing includes one more cost than under variable costing.

The unit cost under variable costing includes one less cost than under absorption costing.

2. Prepare an absorption-costing income statement. Round your answers to the nearest cent.

Feedback

Absorption costing assigns all manufacturing costs to each unit produced.

3. Prepare a variable-costing income statement. Round your answers to the nearest cent.

4. Reconcile the difference between the two income statements.
The absorption costing generates an income $more than variable costing.

Need assistance responding to this discussion post in personal opinion.

You’ll find that managers are also the shareholder or the owner of a company. In these cases, the shareholders interests line up with the goal of the firm. Technically, what benefits the company would also benefit the shareholder. You’ll also see that when the shareholder or owner is not playing the manager role, there’s a disconnect between both the shareholder and manager’s interest (Stout, 2002). The manager usually would make decisions based off of what will benefit him instead of the firm’s success. An example of this would be when a manager is spending the corporate credit card to buy non-business uses of an event. This lack of connect between the shareholder and manager’s interest is called agency problem. The unnecessary use of non-business purpose on the company’s credit card or expense can decrease the profitability of that firm. Poor performing companies have been built to take extensive defense against takeovers. When a takeover defense is made, this action triggers the defenses. When a takeover takes places, management are usually first to exit their roles in the firm. What usually increases the agency problem is putting in place a takeover defense that are not related to managerial packages. For example, continuance of underperforming will not be resulting in job loss or security. Therefore, managers are more than likely to put themselves first in this type of companies. These managers in takeover defense firms would have to put in the extra work for lower pay and also avoid such actions that can be damaging to the company.

Need assistance responding to this discussion post in personal opinion.

You’ll find that managers are also the shareholder or the owner of a company. In these cases, the shareholders interests line up with the goal of the firm. Technically, what benefits the company would also benefit the shareholder. You’ll also see that when the shareholder or owner is not playing the manager role, there’s a disconnect between both the shareholder and manager’s interest (Stout, 2002). The manager usually would make decisions based off of what will benefit him instead of the firm’s success. An example of this would be when a manager is spending the corporate credit card to buy non-business uses of an event. This lack of connect between the shareholder and manager’s interest is called agency problem. The unnecessary use of non-business purpose on the company’s credit card or expense can decrease the profitability of that firm.

Poor performing companies have been built to take extensive defense against takeovers. When a takeover defense is made, this action triggers the defenses. When a takeover takes places, management are usually first to exit their roles in the firm. What usually increases the agency problem is putting in place a takeover defense that are not related to managerial packages. For example, continuance of underperforming will not be resulting in job loss or security. Therefore, managers are more than likely to put themselves first in this type of companies. These managers in takeover defense firms would have to put in the extra work for lower pay and also avoid such actions that can be damaging to the company.

Monthly loan payments  Personal Finance Problem   Tim Smith is shopping for a used luxury car. He has found one priced at $30,000.

The dealer has told Tim that if he can come up with a down payment of $6,300​, the dealer will finance the balance of the price at a 6​% annual rate over 3 years (36 months).  ​(Hint: Use four decimal places for the monthly interest rate in all your​ calculations.)

a.  Assuming that Tim accepts the​ dealer's offer, what will his monthly​ (end-of-month) payment amount​ be?

b.  Use a financial calculator or spreadsheet to help you figure out what​ Tim's monthly payment would be if the dealer were willing to finance the balance of the car price at an annual rate of 3.8​%?

Issuing Company                    Years to maturity                    Yield

1. General Motors                   10 years                                   6.3 percent

2. NC Dept of Education        15 years                                   3.8 percent

3. US Treasury Strip               20 years, 0 coupon                  2.3 percent

4. York County B&T              15 years                                   5.6 percent                       

5. US Treasury                        10 years                                   3.4 percent

6. US Treasury                        20 years, 3.5 coupon               2.6 percent

7. Apple                                  15 years                                   4.1 percent

Briefly explain why these bonds have different interest rates

Do not use the same answer twice.

1. Bond 1 and Bond 2?

2. Bond 2 and Bond 6?

3. Bond 5 and Bond 6?

4. Bond 3 and Bond 7?

5. Bond 4 and Bond 7?