You are considering relaxing your control requirements that determine what is acceptable quality; you have been using a 99.0% confidence interval but want to begin using a 97.5% confidence interval.

Your team has collected the following data from 4 samples of 7 observations each. The calculated standard deviation is 13.981.

What is the UCL for the mean given the new confidence interval of 97.5%? (Keep one decimal point in your answer)

BORNEO TEC. is a smart card technology company. Currently it has three project leaders that are very experienced in developing micropayment cards using the technology of MiFARE 3.0. There are 4 micropayment companies in Malaysia wanted to adopt the technology, these clients namely Client 1, Client 2, Client 3 and Client 4.

All projects are very critical to be completed in timely basis, therefore, the Program leader would assign the Project Leader strategically using the assignment method. The estimated project completion time’s requirement, in days, is as follows.

Find the assignment of each project leaders to clients that will minimize the total days to complete all the projects.

A bond portfolio named DEX, comprises four bonds (face value=$1000):

1)50 semi-annual bond, 5-year maturity, a coupon rate of 4%.

2)100 annual bonds, 30-year maturity, 8% coupon bond.

3)150 zero coupon bonds, 10-year maturity.

4) 200 zero coupon bonds, 20-year maturity.

YTM/discount rate: 6%

Considering DEX’s convexity, if each bond’s convexity is given as follow:

Bond 1 (semi-annual coupon bond): 23.19

Bond 2 (annual coupon bond): 212.40

Bond 3 (zero coupon bond): 98.97

Bond 4 (zero coupon bond): 107.00

Given DEX’ convexity, when the interest rate increases from 6% to 7%, the DEX’s market value should fall by?

Sheridan Company is a multiproduct firm. Presented below is information concerning one of its products, the Hawkeye.

Correct answer iconYour answer is correct.

Calculate average-cost per unit. (Round answer to 4 decimal places, e.g. 2.7613.)

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New attempt is in progress. Some of the new entries may impact the last attempt grading.Your answer is partially correct.

Compute cost of goods sold, assuming Sheridan uses: (Round average cost per unit to 4 decimal places, e.g. 2.7631 and final answers to 0 decimal places, e.g. 6,548.)

Your statistics professor is involved in another educational outreach program designed to decrease participants’ levels of stress. She designed a study in which participants were randomly assigned to two groups. One group completed a 30-minute meditation. A second, control group watched television for 30-minutes. After 30 minutes, participants reported their level of stress. Your professor, again, asks for your assistance. She predicts that the average level of stress will differ significantly between the meditation and control groups. She wants to use an alpha level of 0.05.

a. Are you running a one-tailed or two-tailed test?

b. Write your alternative and null hypotheses.

c. Which statistical analysis will you use to run your test (e.g. one-sampled t-test, an independent-samples t-test, a paired t-test, or chi-square test)?

d. Run your statistical analysis using SPSS.

(Remember, if you are running a one-tailed test, your alpha value is located in one-tail, meaning your p-value needs to be less than 0.05 to reject the null

hypothesis.

If you are running a two-tailed test, your alpha value is divided in half,meaning your p-value needs to be less than 0.025 to reject the null

hypothesis)

1) Use an Excel spreadsheet to evaluate the Pear Computer Company proposal. 2) Conduct a sensitivity analysis that focuses on the cost of capital. For a best case scenario, decrease the cost of capital by three percentage points. For a worst case scenario, increase the cost of capital by three percentage points. 3) You must provide one spreadsheet for each of the three situations—the base case estimate, the best case, and the worst case. 4) What do you recommend? Explain. You may type your recommendation and explanation on the Excel sheet.

Pear Computer’s research and development (R&D) department has developed a proposal for a new generation of tablet-sized computers. 1. Project’s useful life: 4 years. 2. Capital expenditures: $25,000,000. 3. Depreciation: straight-line over 4 years. 4. Sales: 25000 units in year 1, 95,000 in year 2, 70,000 in year 3, 25,000 in year 4. The sales price is expected to remain constant at $580. 5. Cost of goods sold (not counting depreciation): 60% of sales. 6. Selling, general and administrative expenses: $1,500,000 the first year, $1,750,000 the second year, $1,000,000 the third, and $500,000 the 4th . 7. R&D: $1,500,000 spent one year ago. 8. Initial investment in net working capital: $1,250,000. Then it increases by $10,000 for each of three years and finally is fully recovered in the final year. 9. Tax rate: 38%. 10. Cost of Capital: 14%

1) Use an Excel spreadsheet to evaluate the Pear Computer Company proposal (info below).
2) Conduct a sensitivity analysis that focuses on the cost of capital. For a best case scenario, decrease the cost of capital by three percentage points. For a worst case scenario, increase the cost of capital by three percentage points.
3) You must provide one spreadsheet for each of the three situations—the base case estimate, the best case, and the worst case.
4) What do you recommend? Explain. You may type your recommendation and explanation on the Excel sheet.

Pear Computer’s research and development (R&D) department has developed a proposal for a new generation of tablet-sized computers.
1. Project’s useful life: 4 years.
2. Capital expenditures: $25,000,000.
3. Depreciation: straight-line over 4 years.
4. Sales: 25000 units in year 1, 95,000 in year 2, 70,000 in year 3, 25,000 in year 4. The sales price is expected to remain constant at $580.
5. Cost of goods sold (not counting depreciation): 60% of sales.
6. Selling, general and administrative expenses: $1,500,000 the first year, $1,750,000 the second year, $1,000,000 the third, and $500,000 the 4th.
7. R&D: $1,500,000 spent one year ago.
8. Initial investment in net working capital: $1,250,000. Then it increases by $10,000 for each of three years and finally is fully recovered in the final year.
9. Tax rate: 38%.
10. Cost of Capital: 14%.
MAXIMIZE THE USE OF FORMULAS!

1. Four most common layout formats (170, PPT 4-10) – describe the four most common layout formats. 2. workcenter (Job shop) Layout (170-174, PPT 11-20) – for a given workcenter layout, be able to assess the material handling cost/distance. 3. Assembly Line Layout (174-180, PPT 21-40) – be able to balance an assembly line: 1) draw a precedence diagram, 2) determine the workstation cycle time, 3) determine the theoretical minimum number of workstations, 4) using the longest task time rule to assign tasks to workstations, and 5) evaluate the efficiency. 4. Work Cell, Project, and other nonmanufacturing Layout (181-185) – illustrate how to develop a layout for work cell, project, and layouts in nonmanufacturing settings.

Chapter 12 – Six Sigma Quality 1. Defining Quality (299-303, PPT 4-16) – be able to define quality and TQM; understand the four categories of cost of quality (COQ). 2. Total Quality Management (PPT 17-36) – be able to describe each of the seven concepts for an effective TQM program. 3. Six Sigma (303-310, PPT 24-29) – understand the Six Sigma approach to improving quality and productivity. 4. Tools of TQM (PPT 37-49) – describe the seven tools for TQM – what they are and when to use them. 5. ISO (310-312, PPT 50-55) – describe the ISO international quality standards.

4 point charges each have charge q = 4 nC, are located at r= 3, 4, 5, 6 m respectively. If r represents the distance from the origin, then total potential at the origin is: Select one:

4-22 (Objectives 4-5 , 4-7) Each of the following situations involves a possible violation of the AICPA Code of Professional Conduct. For each situation, state the applicable rule of conduct and whether it is a violation.

1. Emrich, CPA, provides tax services, management advisory services, and bookkeeping services and also conducts audits for the same nonpublic client. Because the firm is small, the same person often provides all the services.

2. Steve Custer, CPA, set up a casualty and fire insurance agency to complement his auditing and tax services. He does not use his own name on anything pertaining to the insurance agency and has a highly competent manager, Jack Long, who runs it. Custer often requests Long to review the adequacy of a client’s insurance with management if it seems underinsured. He believes that he provides a valuable service to clients by informing them when they are underinsured.

3. Seven small Seattle CPA firms have become involved in an information project by taking part in an interfirm working paper review program. Under the program, each firm designates two partners to review the audit files, including the tax returns and the financial statements, of another CPA firm taking part in the program. At the end of each review, the auditors who prepared the working papers and the reviewers have a conference to discuss the strengths and weaknesses of the audit. They do not obtain authorization from the audit client before the review takes place.

4. Franz Marteens is a CPA, but not a partner, with three years of professional experience with Roberts and Batchelor, CPAs. He owns 25 shares of stock in an audit client of the firm, but he does not take part in the audit of the client, and the amount of stock is not material in relation to his total wealth.

5. A nonaudit client requests assistance of M. Wilkenson, CPA, in the installation of a local area network. Wilkenson has no experience in this type of work and no knowledge of the client’s computer system, so he obtains assistance from a computer consultant. The consultant is not in the practice of public accounting, but Wilkenson is confident of his professional skills. Because of the highly technical nature of the work, Wilkenson is not able to review the consultant’s work.

6. In preparing the personal tax returns for a client, Sarah Milsaps, CPA, observed that the deductions for contributions and interest were unusually large. When she asked the client for backup information to support the deductions, she was told, “Ask me no questions, and I will tell you no lies.” Milsaps completed the return on the basis of the information acquired from the client.

7. Roberta Hernandez, CPA, serves as controller of a U.S.-based company that has a significant portion of its operations in several South American countries. Certain government provisions in selected countries require the company to file financial statements based on international standards. Roberta oversees the issuance of the company’s financial statements and asserts that the statements are based on international financial accounting standards; however, the standards she uses are not those issued by the International Accounting Standards Board.

8. Archer Ressner, CPA, stayed longer than he should have at the annual holiday party of Ressner and Associates, CPAs. On his way home he drove through a red light and was stopped by a police officer, who observed that he was intoxicated. In a jury trial, Ressner was found guilty of driving under the influence of alcohol. Because this was not his first offense, he was sentenced to 30 days in jail and his driver’s license was revoked for one year.