Select a company in your pathway that maintains inventory. Don't use a company that someone has already used. Please put the company's name as the subject of your post. (No posting the company name only to hold it. You must make a full post or I will delete it.)

Access a recent (less than 12 months) annual 10-K report for the company at the EDGAR filings at SEC Edgar search tool or Yahoo or Google finance. Review the report and in a minimum of three paragraphs, tell us the following:

1. When the report was filed and the time period it covers, indicating specific dates.
2. What are the company's major product lines?
3. What inventory methods do they use? (Hint: see the Notes of the financial statements)
4. List the major types of the inventory and their values.
5. Include two other items that you found interesting about the financial statements.

Examples of businesses in pathways could be:

• AHCD: Dance, Theater, Film production, Social media, Graphics design or architecture business
• Business: Accounting office, caterer, advertising firm, dry cleaner, restaurant, any business is acceptable
• Education: K-12 tutoring, Child care, Charter schools
• Health Sciences: Dr. or Dentist office, PT office, Hospital, Insurance co,
• IMCT: Engineering Co., Aviation maintenance, Aviation distribution, Supply Chain Management
• Public Safety: Law office, PI, Equipment providers for the industry
• STEM: Engineering Co., Vet. Office, Computer Services co.
• SGSHS: Psychology office, Non-profit agencies, Social Media

21) The weight of a bouquet of a dozen roses has a bell-shaped distribution with mean 30 oz and standard deviation 2 oz. One bouquet had a z-score of -3.25. Which is correct?

a) This bouquet could be considered to be an outlier because its weight is way above average.

b) This bouquet is 3.25 standard deviations above the mean

c) This bouquet could be considered to be an outlier because its weight is way below average.

d) This bouquet is about average in weight.

e) This bouquet is 3.25 standard deviations below the mean.

22) Find the regression line for the given data. Make sure you use LinReg(a+bx) on your calculator.

a) y = 2x - 50.4

b) y = 50.4

c) y = 2.5x + 45

d)None of these

23) The demand for vegetarian sandwiches each day for eight consecutive days is given below. Find the interquartile range (IQR).

16 19   25   24   26   22   44   28

a) 55

b) 10

c) 44

d) 6.5

e) 30.5

24) The number of seats in a movie theater. Determine whether the data is from a discrete or continuous data set.

a) Discrete

b) Continuous

25) Which of the following numerical summary measures cannot be easily approximated from a box plot?

a) Median

b) IQR

c) Q1

d) Range

e) Variance

b) Continuous

   7. The director of career advising at Rutgers want to use decision analysis to provide information to help students decide which degree program they should pursue. The director has set up the following payoff table for 6 of the most popular and successful degree programs at RU that shows the estimated (projected) 5-year gross income that an average student graduating with each degree for 4 future economic conditions can expect:

Determine the best degree program (a decision under uncertainty) in terms of the projected income, using the following decision criteria:

• Maximax
• Maximin
• Equal Likelihood
• Minimax Regret
• Hurwicz with α = .25

If further it has been determined that the probability of each future economic condition is given by:

p(recession)=.45, p(average)=.35, p(good)=.15, p(robust)=.05.   

Use expected value to determine the best degree program (a decision under risk presuming equally likely futures) in terms of projected income. If you were the director of career advising which degree program would you recommend (in particular, do you agree with optimizing the expected payoff or some other criteria)?

Select a company in your pathway that maintains an inventory. Don't use a company that someone has already used. Please put the company's name as the subject of your post. (No posting the company name only to hold it. You must make a full post or I will delete it.) Access a recent (less than 12 months) annual 10-K report for the company using the SEC Edgar search tool or Yahoo or Google finance. Review the report and in and in a minimum of three paragraphs, tell us the following: 1. When the report was filed and the time period it covers, indicating specific dates. 2. What are the company's major product lines? 3. What inventory methods do they use? (Hint: see the Notes of the financial statements) 4. List the major components of the inventory and their values. 5. Include two other items that you found interesting about the financial statements. Examples of businesses in pathways could be: • AHCD: Dance, Theater, Film production, Social media, Graphics design or architecture business • Business: Accounting office, caterer, advertising firm, dry cleaner, restaurant, any business is acceptable • Education: K-12 tutoring, Child care, Charter schools • Health Sciences: Dr. or Dentist office, PT office, Hospital, Insurance co, • IMCT: Engineering Co., Aviation maintenance, Aviation distribution, Supply Chain Management • Public Safety: Law office, PI, Equipment providers for the industry • STEM: Engineering Co., Vet. Office, Computer Services co. • SGSHS: Psychology office, Non-profit agencies, Social Media

A. According to John Maynard Keynes,

1. the demand for money in a country is determined entirely by that nation’s central bank.

2. the supply of money in a country is determined by the overall wealth of the citizens of that country.

3. the interest rate adjusts to balance the supply of, and demand for, money.

4. the interest rate adjusts to balance the supply of, and demand for, goods and services.

B. While a television news reporter might state that “Today the Fed raised the federal funds rate from 1 percent to 1.25 percent,” a more precise account of the Fed’s action would be as follows:

1. “Today the Fed told its bond traders to conduct open­market operations in such a way that the equilibrium federal funds rate would increase to 1.25 percent.”

2. “Today the Fed raised the discount rate by a quarter of a percentage point, and this action will force the federal funds rate to rise by the same amount.”

3. “Today the Fed took steps to increase the money supply by an amount that is sufficient to increase the federal funds rate to 1.25 percent.”

4. “Today the Fed took a step toward expanding aggregate demand, and this was done by raising the federal funds rate to 1.25 percent.”

C. Refer to the graph above, if the current interest rate is 2 percent,

1. there is an excess supply of money.

2. people will sell more bonds, which drives interest rates up.

3. as the money market moves to equilibrium, people will buy more goods.

4. All of the above are correct.

D. Suppose that the Federal reserve is concerned about the effects of falling stock prices on the economy. What could it do?

1. buy bonds to raise the interest rate

2. buy bonds to lower the interest rate

3. sell bonds to raise the interest rate

4. sell bonds to lower the interest rate

E. The economy is in recession. Shifting the AD curve rightward by $200 billion would end the recession. Which of the following statements is correct?

1. If MPC = 0.8 and there is no crowding out, the Congress needs to increase G by $160 billion to end the recession.

2. If MPC = 0.8 and there is no crowding out, the Congress needs to increase G by $40 billion to end the recession.

3.. If MPC = 0.8 and there is crowding out, the Congress needs to increase G by a smaller amount than when there is no crowding out.

4. If MPC = 0.8 and there is crowding out, the Congress needs to increase G by the same amount than when there is no crowding out.

F. In 1986, OPEC countries increased their production of oil. This caused

1. the price level to rise.

2. aggregate supply to shift right.

3. unemployment to rise.

4. None of the above is correct.

G. Suppose the economy is in long-run equilibrium. If there is a sharp decline in government purchases combined with a significant increase in immigration of skilled workers, then in the short run,

1. real GDP will rise and the price level might rise, fall, or stay the same. In the long-run, real GDP will rise and the price level might rise, fall, or stay the same.

2. the price level will fall, and real GDP might rise, fall, or stay the same. In the long-run, real GDP and the price level will be unaffected.

3. the price level will rise, and real GDP might rise, fall, or stay the same. In the long run, real GDP will rise and the price level will fall.

4. the price level will fall, and real GDP might rise, fall, or stay the same. In the long run, real GDP will rise and the price level will fall.

H. Suppose the economy is in long-run equilibrium. In a short span of time, there is a sharp increase in the supply of labor, a major new discovery of oil, and new environmental regulations that raise the cost of electricity production. In the short run

1. the price level will rise and real GDP will fall.

2. the price level will fall and real GDP will rise.

3. the price level and real GDP will both stay the same.

4. All of the above are possible.

I. If the Fed conducts open-market sales, which of the following quantities increase(s)?

1. interest rates, prices, and investment spending

2. interest rates and prices, but not investment spending

3. interest rates and investment, but not prices

4. interest rates, but not investment or prices

J. A tax cut shifts aggregate demand (Note here we are asking for the theoretical case)

1. by more than the amount of the tax cut.

2. by the same amount as the tax cut.

3. by less than the tax cut.

4. None of the above is necessarily correct.

As the auditor of Komsu Air Limited (KAL) that manufactures and installs large commercial airconditioning systems. KAL typically has two or three large contracts (ranging from $6 million to $10 million each) in progress at any one time. The contracts usually take up to six months to complete, although unexpected on-site difficulties can result in lengthy delays in completion (of up to 12 months). KAL finances its operations with a mixture of equity, long-term debt (secured by fixed assets) and short-term bank loans.

It is now May 2017 and your planning of the audit of KAL for the year ended 30 June 2017 is nearing completion. You have met with the management of KAL and, from those discussions and a review of the preliminary information provided by KAL, you have identified several issues that may have implications for the company’s ability to continue as a going concern. The relevant issues are as follows:

 Competition in the industry is becoming more intense, with some customers now installing their own systems.

 KAL’s bank has requested cash flow forecasts for the coming year to support the short-term loans. It has indicated that it may need to withdraw funding or restructure debt if the forecasts are not adequate. The review of work-in-progress indicates that all the contracts in progress at year end are due for completion within six months of the balance date. There are no new contracts in place for the coming year, although management has indicated that there are orders currently being negotiated. The nature of the business is such that sales will fluctuate considerably from year to year depending on the timing of one or two large contracts.

 Assets consist chiefly of plant and equipment, some of which is specialised to the industry. Debtors are significant, but recoverability is not considered an issue as the ongoing projects are with reputable customers and management is not aware of any problems. Creditor balances are at normal levels, and the company is in a positive working capital position.

 Included in provisions is a large provision for warranty for one of KAL’s jobs completed at a hotel two years ago. It appears that the air-conditioning system is still not working and the hotel is now requesting a substantial refund of the contract price.

Required:

Explain whether you believe the area of going concern should be assessed as high risk and mitigating factors for KAL’s audit for the year ended 30 June 2017. (10 marks, maximum 300 words)

1) Find the minimum number of football fans required in a poll to estimate, within 1.5%, the percentage who believe that LeBron James could play in the NFL. Use 90% confidence, and assume no prior estimate of the percentage in question is available.

Select one:

a. 2037

b. 23

c. 609

d. 3007

2)Your professor wishes to estimate the proportion of high school students enrolled in college-level courses each school year. How large a sample is necessary if she wishes to be 90% confident with a margin of error of 3.5 percent? From an old 1999 study, the percentage of high school students enrolled in college-level courses was estimated to be 18.3%.

Select one:

a. 330

b. 469

c. 810

d. 331

3)In a sample of 56 tax returns filed by local hotel managers in a recent year, the taxable incomes are found to have a mean of $41225 and a population standard deviation of $6112. Construct the 99% confidence interval for the mean taxable income of all local hotel manager that year.

Select one:

a. 39255 < Mu < 41259

b. 39624 < Mu < 42826

c. 39122 < Mu < 43328

d. 39121 < Mu < 43327

4)Noise levels at various area urban hospitals were measured in decibels. The mean of the noise levels in 84 corridors was 61.2 decibels, and the population standard deviation was 7.9. Find the margin of error for a 90% confidence interval for the mean.

Select one:

a. 10.9844

b. 6.1392

c. 1.4179

d. 2.2579

In a study of 10 insurance sales representatives from a certain large city, the average age of the group was 48.6 years with a standard deviation of 4.1 years. Find the 90% confidence interval of the population mean age of all insurance sales representatives in that city.

Select one:

a. 45.63 < Mu < 48.50

b. 46.23 < Mu < 50.99

c. 46.22 < Mu < 50.98

d. 46.47 < Mu < 50.73

5)Your professor wishes to estimate the proportion of ALL high school students enrolled in college-level courses each school year. A sample of 1500 students revealed that 18.3% were enrolled in college-level courses. Find the margin of error for a 99% confidence interval for a proportion.

Select one:

a. .00988

b. .01642

c. .01957

d. .02571

Using the governmental- and proprietary type funds, indicate which would be used to record each of the following events.

GF General Fund

SRF Special Revenue Fund

DSF Debt Service Fund

CPF Capital Projects Fund

PF Permanent Fund

EF Enterprise Fund

ISF Internal Service Fund

HINT: Some events require the use of two funds to record them. Be sure to select the answer that reflects the appropriate order in which the journal entries would be recorded into both funds.

1. Bonds were issued by the fund used to account for providing water to the residents of a municipality.

2. The fund that finances the city’s basic day-to-day operating activities lent $50,000 to the fund that will provide city agencies with supplies on a user charge basis.

3. The city-operated utility that provides electricity to the residents of a municipality billed the city for electricity provided to city agencies.

4. The city charter requires all hotel taxes to be accounted for in a separate fund dedicated to maintaining the downtown business district. Hotel tax collections for the period were $500,000.

5. Salaries were paid to the city’s police officers and firefighters.

6. The state lottery, which operates like a business entity, sent a check for its net revenues (after paying lottery prizes) to the state. The state will add these revenues to general state revenues as part of the state’s program for financing elementary and secondary education.

7. Interest and principal on the city’s general obligation debt were paid, using resources accumulated specifically for that purpose.

8. The fund that finances the city’s day-to-day operating activities transferred cash to the fund that pays principal and interest on outstanding debt.

9. The city sold general obligation bonds to buy land as part of a city hall expansion program.

10. The city’s central motor pool billed each city department for use of vehicles.

11. The state established a highway beautification program, to be financed by dedicating a new motor vehicle license fee to that purpose.

12. A wealthy taxpayer donated securities to a village, stipulating that the donation be kept in perpetuity and that the resulting investment income be used solely to help support the activities of the village library.

13. The state-operated toll road collected tolls of $1 million.

14. The village maintains a perpetual-care public cemetery fund. Income from that fund was transferred to the fund that accumulates resources dedicated to maintaining the cemetery.

NewTech Medical Devices is a medical devices wholesaler that commenced business on June 1, 20X1. The company purchases merchandise for cash and on open account. In June 20X1, NewTech Medical Devices engaged in the following purchasing and cash payment activities:

Required:

2a. Post the transactions to the appropriate accounts in the general ledger.

2b. Post the transactions to the appropriate accounts in the accounts payable ledger.

3. Prepare a schedule of accounts payable at June 30, 20X1.

GENERAL LEDGER ACCOUNTS

ACCOUNTS PAYABLE LEDGER ACCOUNTS

BioCenter Inc.
New Concepts Corporation
Park Research

Analyze:
What was the amount of merchandise returned to vendors by NewTech Medical Devices in June?

Question 1

Alex is a young investor with high risk tolerance level and hopes to earn money as fast as he can. Analyse each of the following plans and evaluate which is the most suitable plan for Alex.

(1) Dollar-cost averaging
(2) Constant-dollar plan
(3) Constant-ratio plan
(4) Variable-ratio plan

Question 2

An investor estimates that next year’s net income for Hilary Pullman Hotel would be RM 8 million. The company has 0.5 million shares outstanding and decided to pay RM 0.5 million to the preferred stockholders from its net income. Listed companies similar to Hilary Pullman Hotel have been recently reported to have an average price/earnings ratio of 4 times. Given the information, calculate the expected price of the stock and evaluate the problems in using Price/earnings ratio method of valuing the shares of a company.

Question 3

Two securities – PohKeong Gold and Mama Care are currently being considered by Jason. He is considering either to invest 100% in PohKeong Gold or building a portfolio that consist of both security – 60% in PohKeong Gold and 40% in Mama Care. The probability distribution of expected returns of these assets are shown in the following table.

State of Economy Probability Return on PohKeong Gold Return on Mama Care
Bear 0.30 3% 2%
Bull 0.70 18% 10%

(i) Calculate the expected return for each of the two alternatives.
(ii) Calculate the standard deviation of returns of the two alternatives.
(iii) Evaluate the investors decisions, based on the above calculations

Question 4

Given the following situations, evaluate in each scenario whether the hypothesis of an efficient capital market of semi-strong form is violated.

(i) Through the introduction of an advanced webinar into the analysis of the past share price movements, a brokerage firm is able to predict price movements are able to earn consistent 1% profit more than normal market returns after adjusted for risk.

(ii) On average, investors in the stock market this year are expected to earn a positive return on their investment. Some investors will earn considerably more than others.

(iii) You have discovered that the square root of any given stock price multiplied by the day of the month provides an indication of the direction in price movement of that particular stock with a probability of 20%.