• Discuss the key differences between productivity in the production of goods vs. productivity in the production of services, and list important factors that can help to improve productivity in services.
• Discuss and provide at least three reasons for the existence of economies of scale.

Please explain the general relationship between the current account and the capital account for the following three countries, AND if the relationships are different, please explain why? [Word limit: 500 words]
a) China
b) Japan
c) United States

In your own words, please describe the difference between demand and quantity demanded. Also, can you please focus on one product and give three current scenarios in the market for that product that pertain to a change in demand for the product.

Describe the three stages of planning. Explain how they are related.

What is the relationship among corporate, business, and functional-level strategies, and how do they create value for an organization?

What is the difference between vertical integration and related diversification?

1) What is a necessary that might make it impossible for a minor to void a contract?  Give three examples.

2) What is the difference between unilateral mistake of fact and mutual mistake of fact?  How does each affect a contract?

Write a function that takes three integers, n, a and b and a filename and writes to the file a list with n random integers between a and b. And then write a function that can read the files as generated above and return the values.

language: python

22-explain what the gravity model of trade predict are the major predictors of trade flows between countries. discuss how this model helps to explain trade flows using three of its leading trade partners as examples.

Video Tech Ltd manufactures video game machines. Market saturation and technological innovations have caused pricing pressures that have resulted in declining profits. To stem the slide in profits until new products can be introduced, top management has started to focus on achieving cost savings in manufacturing and increases in sales volume. Sales can be increased only if production volume increases. Therefore, an incentive program has been developed to reward those production managers who contribute to an increase in the number of units produced and achieve cost reductions. In addition, a just-in-time purchasing program has been implemented, and raw materials are purchased on an as-needed basis.

The production managers have responded to the pressure to improve manufacturing performance and this has resulted in an increase in the number of completed units over normal production levels. The video game machines are put together by the assembly group, which requires parts from both the printed circuit boards (PCB) and the reading heads (RH) groups. To increase production levels, the PCB and RH groups started to reject parts that previously would have been tested and modified to meet manufacturing standards. Preventative maintenance on machines used in the production of these parts has been postponed, with only emergency repair work being performed to keep production lines moving. The maintenance department is concerned that there will be serious breakdowns and unsafe operating conditions.

The more aggressive assembly group production supervisors have pressured maintenance personnel to attend to their machines at the expense of other groups. This has resulted in machine downtime in the PCB and RH groups which, when coupled with demands for accelerated parts delivery by the assembly group, has led to more frequent parts rejections and increased friction between departments. Video Tech uses a standard costing system. The standard costs for video game machines are as follows:

Page 1 of 4

Direct material: Housing unit
Printed circuit boards Reading heads

Direct labour: Assembly group PCB group
RH group
Total

Variable overhead*
Total standard cost per unit

1 unit
2 boards 4 heads

4.5 hours

$20    $20
 15     30
 10     40

 24     48
 27     27
 30     45

2 9 $219

2.0 hours 1.0 hours 1.5 hours

* Applied on the basis of direct labour: 4.5 direct labour hours @ $2 per hour.

Video Tech prepares monthly performance reports based on standard costs. The following table shows the contribution report for May, when production and sales both reached 2 200 units. The budgeted and actual unit sales price in May were the same, at $300.

Units

Revenue Variable costs:

Direct material Direct labour Variable overhead

Total variable costs Contribution margin

2 000 $600 000

180 000 240 000 18 000 $438 000 $162 000

2 200 $660 000

220 400 280 380 18 800 $519 580 $140 420

200 F $60 000 F

40 400 U 40 380 U 800 U $81 580 U $21 580 U

Video Tech’s top management was surprised by the unfavourable contribution margin variance in spite of the increased sales in May. The management accountant, Robert Smith, was assigned to identify and report on the reasons for the unfavourable results as well as the individuals or groups responsible. After a thorough review of the data, Robert prepared the following usage report:

Page 2 of 4

Direct material: Housing units Printed circuit boards Reading heads

Direct labour: Assembly

Printed circuit boards Reading heads
Total

Variable overhead Total variable cost

2 200 units 4 700 boards 9 200 heads

9 800 hours

$ 44 000 75 200 101 200

93 600

71 280 115 500

18 800 $519 580

3 900 hours 2 400 hours 3 500 hours

Robert reported that the PCB and RH groups had supported the increased production levels but had experienced abnormal machine downtime, resulting in idle personnel. This led to the use of overtime to keep up with the accelerated demand for parts. The idle time was charged to direct labour. Robert also reported that the production managers of these two groups had resorted to rejecting faulty parts, as opposed to testing and modifying those parts. Robert determined that theassembly group had met management’s objectives by increasing production while utilising lower than standard hours.

Required:

1. Calculate the variances from (a) to (h) below, and prepare an explanation of the $21 580 unfavourable variance between the budgeted and actual contribution margin for May. Assume that all raw material purchased during May was placed into production.

   1. (a) direct labour rate variance

   2. (b) direct labour efficiency variance

   3. (c) direct material price variance

   4. (d) direct material quantity variance

   5. (e) variable overhead spending variance

   6. (f) variable overhead efficiency variance

   7. (g) sales price variance

   8. (h) sales volume variance

2. Identify and briefly explain the factors that might have led to friction between the production managers, and between the production managers and the maintenance manager.

3. Evaluate Robert Smith’s analysis of the unfavourable contribution results in terms of its completeness and its effect on the behaviour of the production groups.

4. Prepare a revised contribution report showing proper operating variances based on the flexible budget instead of the static budget used by Robert Smith.

P2-2   (you can complete using journal entry or T-account format)

Darlene Cook Company engaged in the following transactions during the month of

July:

July 1 Acquired land for $10,000. The company paid cash.

8. Billed customers for $3,000. This represents an increase in revenue. The customer has

been billed and will pay at a later date. An asset, accounts receivable, has been created.

12. Incurred a repair expense for repairs of $600. Darlene Cook Company agreed to pay in 60 days. This transaction involves an increase in accounts payable and repair expense.

15. Received a check for $500 from a customer who was previously billed. This is a reduction in accounts receivable.

20. Paid $300 for supplies. This was previously established as a liability, account payable. Paid wages in the amount 24. of $400. This was for work performed during July.

Required Record the transactions, using T-accounts.

P2-3    (you can complete using journal entry or T-account format)

Gaffney Company had these adjusting entry situations at the end of December.

1. On July 1, Gaffney Company paid $1,200 for a one-year insurance policy. The policy was for the period July 1 through June 30. The transaction was recorded as prepaid insurance and a reduction in cash.

2. On September 10, Gaffney Company purchased $500 of supplies for cash. The purchase was recorded as supplies. On December 31, it was determined that various supplies had been consumed in operations and that supplies costing $200 remained on hand.

3. Gaffney Company received $1,000 on December 1 for services to be performed in the following year. This was recorded on December 1 as an increase in cash and as revenue. As of December 31, this needs to be recognized as Unearned Revenue, a liability account.

4. As of December 31, interest charges of $200 have been incurred because of borrowed funds. Payment will not be made until February. A liability for the interest needs to be recognized, as does the interest expense.

5. As of December 31, a $500 liability for salaries needs to be recognized.

6. As of December 31, Gaffney Company had provided services in the amount of $400 for

Jones Company. An asset, Accounts Receivable, needs to be recognized along with the revenue.

Required Record the adjusting entries at December 31, using T-accounts.