With the given information below, how to find the interest cost in year 1,2 and 3?

An investment company is planning to invest by buying over an existing hotel.

Some information concerning their project:

• Land will be purchased for a value of 7.5 millions ;

• A building will be constructed for a total value of 42 millions, estimated value after 10 years : 12 millions ;

• Equipment will be purchased for a value of 12 millions and will be completely depreciated over a period of 8 years ,

• Other investments are estimated to be 4,5 millions and will be completely depreciated after 5 years. This investment includes the purchase of the basic inventories, opening costs, etc…

• Revenues of the first year (365 days in a year) of operations are estimated as follow :

o Rooms division : 198 rooms per day at 500 francs per night

o Restaurant : 260 covers per day at averagely 100 francs per cover

o Breakfast : 150 covers per day at 20 francs each

o Banquet and convention centre : 4 millions

• An annual increase of 2% is expected ;

• The F&B costs are forecasted at 35% of F&B revenue ;

• Salaries and wages, including social charges, are forecasted at 40% of the total revenues ;

• Other operating costs, excepted depreciation costs and interest costs, are forecasted to be 16,000,000, increasing by 2% per year ;

• The income tax rate is of 35%

• The investment expenses are as follow :

o Year -1 : 85%

o Opening : 15%

• This project is financed as follow : 65% by contracting a mortgage, 35% with owner’s capital stock

• The mortgage contracted determines a interest rate of 5% and a fixed reimbursement of 3,5 millions, 1st payment at the end of year 1

• A dividend of 5% will be distributed to the shareholders starting from year 1

Walt Disney Company is famed for its creativity, strong global brand, and uncanny ability to take service and experience businesses to higher levels. In the early 1990s, then-CEO Michael Eisner looked to the fast-food industry as a way to draw additional attention to the Disney presence outside of its theme parks—its retail chain was highly successful and growing rapidly. A fast-food restaurant made sense from Eisner's perspective since Disney's theme parks had already mastered rapid, high-volume food preparation, and, despite somewhat undistinguished food and high prices (or perhaps because of), all its in-park restaurants were extremely profitable. From this inspiration, Mickey's Kitchen was launched. The first two locations were opened in California and in a suburb of Chicago, adjacent to existing Disney stores. Menu items included healthy, child-oriented fare like Jumbo Dumbo burgers and even a meatless Mickey Burger. Eisner thought that locating each restaurant next to existing Disney stores was sure to increase foot traffic through both venues. Less than 2 years later Disney closed down the California and Chicago stores and shuttered further expansion plans. Eisner cited overwhelming competition from McDonalds and general oversaturation in the fast-food industry as the primary reasons for closing down the failing Mickey's Kitchen.

-Based on your own knowledge of Disney and the information provided in the scenario, does Disney appear to create value in its businesses primarily through a cost leadership or through a differentiation strategy?

-Why do you think that Mickey's Kitchen failed? Support your answer with a logical argument, using information learned in chapter 4.

pendix E: Kytrina Casio Information

For your fifth client, your boss wants you to prepare Form 1040, Schedule A, B, and

supporting forms (e.g., 4684) for Kytrina Casio for the most recent tax year.

Facts: Kytrina is a 30-year old single person. She is a graphic artist who also works in

an antique store on weekends. For last year, she had the following information:

T

axpayer:

Kytrina Casio

123 Park Avenue

Flowers, TX

75000

Social Security No.

123-45-6789

INCOME

:

W-2 from 1

st

employer

Gross wages income:

$13,164

Federal Withholding

921

W-2 from 2d employer

Gross wages income:

50,000

Federal withholding

9,500

Interest income from bank

132

Interest income from brokerage firm

2,100

Ordinary "qualified" dividends from large U.S. corporation:

3,000

POSSIBLE DEDUCTIONS

:

Mortgage interest paid

6,700

State and local income taxes paid

1,400

Charitable contributions to a 501(c)(3) charity

1,800

Casualty loss, her garage, located in a federally declared

disaster area, was destroyed by the disaster. Cost and fair

market value were:

9,000

Insurance pay out for the garage disaster loss:

3,000

Property taxes on her home

2,600

Using these facts, prepare Form 1040, Schedules A, and B for Kytrina for the most

recent year for which there is a form (this is almost always the year prior to the present

year). Remember to consider both the standard deduction vs. itemized deduction. Also,

you may need other forms, such as the 4684 and instructions

Note : the Answers should be computerized and in your own words please

Case Study

This is from an old story, back in the ’30s, in the days when an ice cream sundae cost much less. A 10 year-old boy entered a hotel coffee shop and sat at a table. A waitress put a glass of water in front of him.

“How much is an ice cream sundae?” the little boy asked. “Fifty cents,” replied the waitress.

The little boy pulled his hand out of his pocket and studied the coins he had. “Well, how much is a plain dish of ice cream?” he inquired. By now, more people were waiting for a table and the waitress was growing very impatient. “Thirty-five cents,” she brusquely replied. The little boy again counted his coins. “I’ll have the plain ice cream,” he said. The waitress brought the ice cream, put the bill on the table and walked away. The boy finished the ice cream, paid the cashier and left. When the waitress came back, she began to cry. As she wiped down the table, there placed neatly beside the empty dish were two nickels and five pennies. You see, he couldn’t have the sundae because he had to have enough money to leave her a tip.

You are required to write a report on the following:

1.      Compare Vroom’s Expectancy theory against Maslow’s need theory. Interpret from the case the situations where Vroom’s expectancy theory of motivation has been used in this story.

2.      Present your case in the class justifying how communication plays a vital role in keeping employees motivated in your organization. Compare the communication styles.

Writing Assignment is to develop marketing mix strategies to ensure a value offering for my the target market "Kids and kids grown up futuristic fantasy Park" service for Walt Disney Need to answer the below questions any input will be appreciate

Offering. Describe your product or service offering as it is currently in terms of features and benefits, price and the total cost of ownership as discussed in the week's readings. Is it more product dominant or service dominant? What are the tangible and intangible aspects?

Type of consumer offering. Based on the four categories of type of offerings discussed in course content, describe the category in which your product or service offering belongs. Based on your new target market, would that category of the offering change and if so, how? How would it change the marketing strategy?

Product line extensions or new product development. Should the current product or service be modified to more fully meet the needs of your new target market? Would the changes constitute a new product line, a product line extension or a new product? If no product changes are needed, how does the same product or service meet the need of your target market differently than current customers? Would the product line extension or new product allow the offering to occupy uncontested space in the perceptual map for the target market as covered in thr previous paper?

Product lifecycle. In which stage of the product lifecycle is your product or service offering now? Would the changes described in number 3 above change the lifecycle stage and if so how? What would this mean to the lifecycle marketing strategy?

Scenario:

       This is from an old story, back in the ’30s, in the days when an ice cream sundae cost much less. A 10 year-old boy entered a hotel coffee shop and sat at a table. A waitress put a glass of water in front of him.

“How much is an ice cream sundae?” the little boy asked. “Fifty cents,” replied the waitress.

The little boy pulled his hand out of his pocket and studied the coins he had. “Well, how much is a plain dish of ice cream?” he inquired. By now, more people were waiting for a table and the waitress was growing very impatient. “Thirty-five cents,” she brusquely replied. The little boy again counted his coins. “I’ll have the plain ice cream,” he said. The waitress brought the ice cream, put the bill on the table and walked away. The boy finished the ice cream, paid the cashier and left. When the waitress came back, she began to cry. As she wiped down the table, there placed neatly beside the empty dish were two nickels and five pennies. You see, he couldn’t have the sundae because he had to have enough money to leave her a tip.

.

You are required to write a report on the following:

Question 01: Compare Vroom’s Expectancy theory against Maslow’s need theory. Interpret from the case the situations where Vroom’s expectancy theory of motivation has been used in this story.

.

Question02: Present your case in the class justifying how communication plays a vital role in keeping employees motivated in your organization. Compare the communication styles.

After a critical analysis of the purchase options, we have narrowed our acquisition of the proposed factory machine to two candidate, KMP Leasing Company and GML Leasing Corporation.

Below are the details of responses from the shot listed companies:

Lease Terms – KMP Leasing Company

Purchase Price of machine $ 200000

Lease term 7 years

Estimated useful life of asset 10 years

Scrap value as a percentage of purchase price 20%

Depreciation method - straight method

Lease payments per year $33000 Marginal tax rate 21%

Current borrowing rate 7%

Determine the Net Present Value (NPV ) for each lease term using the after tax cost of borrowing ( marginal tax rate ) , and which lease term has the best deal for the company?

Tix Corp. is a grocery store located in the Southwest. It paid an annual dividend of ​$2.00 last year to its shareholders and plans to increase the dividend annually at the rate of 3.0​%. It currently has 1,000,000 common shares outstanding. The shares currently sell for ​$13 each. Four years ago, Tix Corp. issued 40,000 semiannual 22-year bonds with a coupon rate of 7​% and a par value of ​$1,000. The bonds currently have a yield to maturity​ (YTM) of 6%. What is the weighted average cost of capital (WACC) for Tix Corp. if the corporate tax rate is 30%?

When answering this problem enter your answer using percentage notation but do not use the % symbol and use two decimals (rounding). For example, if your answer is 0.10469 then enter 10.47; if your answer is 10% then enter 10.00