American Food Services, Inc., leased a packaging machine from Barton and Barton Corporation. Barton and Barton completed construction of the machine on January 1, 2018. The lease agreement for the $4.8 million (fair value and present value of the lease payments) machine specified four equal payments at the end of each year. The useful life of the machine was expected to be six years with no residual value. Barton and Barton’s implicit interest rate was 9%. (FV of $1, PV of $1, FVA of $1, PVA of $1, FVAD of $1 and PVAD of $1) (Use appropriate factor(s) from the tables provided.)

Required:
1. Prepare the journal entry for American Food Services at the beginning of the lease on January 1, 2018.
2. Prepare an amortization schedule for the four-year term of the lease.
3. & 4. Prepare the appropriate entries related to the lease on December 31, 2018 and 2020.

Engineers at the American Lighting Company recently developed a new three-way light bulb that they say is more energy efficient than the company’s existing three-way light bulb. The also claim that the bulb will outlast the current bulb, which has an average lifetime of 700 hours. The standard deviation (σ) for the lifetime of bulbs is 75 hours. The American Lighting Company has decided that before it begins full scale production on the new light bulbs it should take a sample of 225 bulbs and determine whether the mean life of the new bulb exceeds the old bulb’s 700 hours. The sample of 225 bulbs gave a sample mean of 704 hours. Assuming a significance level of .05 perform all hypothesis testing steps. Does the sample support the claim that the average lifetime of the new bulb is longer?

Calculate WACC given the following information (BT means before tax).

none of the answers is correct

19.95%

9.04%

13.56%

12.06%

American Electric Power is planning to purchase mac or pc computers for its business operations from Sweden. The cost of mac or pc computers is 10,000 Swedish kronas. How much in U.S. dollars will American Electric Power pay if $1 is equal to 6.7797 Swedish kronas (Swedish krona/$)?

$2,644

none of the answers is correct

$1,475

$1,686

$1,180

Managing compensation costs, headcount, and participation/communication issues

Cisco systems, Hewlett-Packard, American Airlines, and General Motors are examples of companies that have cut employment or cut wages and/or benefits to reduce labor costs in hope of becoming more competitive and more profitable. Indeed, American and GM went through bankruptcy in part to gain control over labor costs. In contrast, some companies- Southwest Airlines, Nucor, and Lincoln Electric- have a no-layoff practice and do not appear to have cut wages or benefits even in years when sales have declined significantly (They have also not gone through bankruptcy).

To what degree would you have others at the company participate in the design of the new compensation system? Who would participate? Would you follow a policy of pay openness in communicating your compensation system? Provide a rationale for your decision.

1. Lee Company's standards for the most recent period are given below. Fixed and variable manufacturing overhead costs are applied to products on the basis of machine hours. The denominator volume of machine hours is 9,000.

   	Standard Quantity or Hours per unit	Standard Price or Rate per unit	Standard Cost per unit
   Direct Materials	3 feet	$6 per foot	$18
   Direct Labor	1.5 direct labor hours	$10 per direct labor hour	$15
   Variable Overhead	2 machine hours	$12 per machine hour	$24
   Fixed Overhead	2 machine hours	$15 per machine hour	$30

   Actual costs for the most recent period, during which 5,000 units of output were actually produced and used 9,600 machine hours, are given below:

   Direct Materials	The firm purchased 16,000 feet at $6.30 per foot, but only used 14,500 feet in production.
   Direct Labor	The firm used 7,150 direct labor hours and paid $11 per direct labor hour.
   Variable Overhead	Actual variable overhead costs were $122,880.
   Fixed Overhead	Actual fixed overhead costs were $142,000.

   What was the company’s fixed overhead volume variance?

   	A.	$9,000 favorable
   	B.	$9,000 unfavorable
   	C.	$15,000 unfavorable
   	D.	$15,000 favorable

2. A&B Co. provides house cleaning services. The company uses the number of jobs to measure activity. At the beginning of April, the company budgeted for 80 jobs, but the actual number of jobs turned out to be 90. A report comparing the budgeted revenues and costs to the actual revenues and costs appears below:

   A&B Co.
   For the Month Ended April 30
   		Revenue/Cost Formulas	Actual Results	Planning Budget
   Number of jobs (Q)			90	80
   Revenue		$100Q	8,900	8,000
   Expenses:
   	Variable expenses	?	3,800	3,200
   	Fixed expense	?	2,100	2,500
   Total expenses			5,900	5,700
   Net operating income			3,000	2,300

   What is the amount of revenue variance in A&B’s performance report for April?

   	A.	$900 favorable
   	B.	$900 unfavorable
   	C.	$100 unfavorable
   	D.	$100 favorable

3. Alice Supply Corporation manufactures and sells cotton gauze for $2 a box. Expected sales of gauze (in boxes) for upcoming months are as follows:

   	# of boxes
   August....................	60,000
   September..............	75,000
   October..................	100,000

   Management likes to maintain a finished goods inventory equal to 25% of the next month's estimated sales.What is the company's budgeted production in boxes for September?

   	A.	71,250 boxes
   	B.	63,750 boxes
   	C.	81,250 boxes
   	D.	75,000 boxes

4. YZ Co.’s balanced scorecard lists performance measures that belong to the following four perspectives: financial, customer, internal business processes, and learning and growth. Which of the following pairs does NOT belong to the same perspective?

   	A.	Customer satisfaction and number of customer complaints
   	B.	Hours of in-house training per employee and employee turnover
   	C.	Throughput time and manufacturing cycle efficiency
   	D.	Residual income and market share

YOUR ASSIGNMENT: Do a search for "Uncle Tom's Cabin Synopsis"

1. What was/were the purpose(s) of this book?

2. Summarize the story.

3. What was the impact of this book?

4. What were reactions to this novel - - both in the North and in the South.

One term, "He is an Uncle Tom" was much-used in Martin Luther King's day - - what does this term mean to modern black people?

If you can find this information: This "book" did not appear as a book. What was the "marketing approach" to selling copies of Stowe's efforts?

An oil refinery is located 1 km north of the north bank of a straight river that is 2 km wide. A pipeline is to be constructed from the refinery to storage tanks located on the south bank of the river 9 km east of the refinery. The cost of laying pipe is $200,000 per km over land to a point P on the north bank and $400,000 per km under the river to the tanks. To minimize the cost of the pipeline, how far downriver from the refinery should the point P be located? (Round the answer to two decimal places.)
km

QUESTION 14

1. Kim is a 56 year old woman from South Korea heart disease.  

   Would type of culturally appropriate dietary recommendations would you make (be specific).  

QUESTION 15

1. Stavros is an 80 year old man from Greece.  He is unhappy with the food offered in the nursing home and is not eating well.  

   What foods could you offer him that might be culturally appropriate.  Please make up a day’s menu based on his preferences and what could be available in a nursing home setting.  

Using supply and demand diagrams, show the effect of the following events on the market for sweatshirts.

A hurricane in South Carolina damages the cotton crop.

The price of leather jackets falls.

All colleges require morning exercise in appropriate attire.

New knitting machines are invented.

Each original post should include four diagrams with an explanation for each. Respond and engage with at least two of your classmates. NOTE: diagrams can be created using a MS Office product, or drawn by hand and submitted as an image, or some other product of the student's choice.

As defined by economic historian Douglass North,” institutions are the rules of the game in a society or, more formally, are the humanly devised constraints that shape human interaction.”

Does the role of institutions or geography offer a more plausible explanation of cross-country differences in economic growth? Explain with reference to the work of Daron Acemoglu.

How does the institution hypothesis explain the difference, in terms of economic growth, between North and South Korea?

How is Gross Domestic Product (GDP) calculated using expenditure-based accounting (3 points)