Additional information.

PackCo is an Australian-listed company that manufactures packaging products. PackCo services customers that are mainly food and beverage producers. The company currently operates in Australia, New Zealand and USA, and employs more than 6,000 staff. With its head office in Melbourne, Victoria, PackCo is listed on the Australian Stock Exchange and operates a number of production facilities in Australia, mainly in Victoria and South Australia. Since its inception, the company has grown steadily with revenues reaching almost USD $4 billion in 2016. The company has also acquired a number of other businesses to support its business growth.

PackCo sells its products and services to both local and overseas customers, and is reliant on third party logistics (3PLs) for transportation and forwarding companies to move its products. A newly appointed Supply Chain Optimisation Manager, Aras, has been tasked to oversee transportation and freight optimisation within PackCo. His responsibilities include conducting RFPs (requests for proposals) for the selection of carriers, and also implementing S&OP and CPFR projects to ensure that demand planning within the category is cost efficient and service effective.

Despite the implementation of an ERP system, management and replenishment of inventory to the right location has been a challenge.

Aras, in his first weeks of this job in overseeing one of the business groups within PackCo, recognised that due to forecast inaccuracies, it would be a big challenge to get the transport planning right. Despite the implementation of an ERP system, due to master data inaccuracies, management and replenishment of inventory to the right location has been a challenge. This has led to the demand planners in his team resorting to using spreadsheets to communicate demand requirements to the providers. Also, the lack of accurate data has resulted in higher inventories and accumulation of aged and obsolete stock.

Aras realised that his supply chain team has constantly exceeded its logistics budget to provide outstanding service levels for customers. Due to lack of clear sales strategy, expedited delivery or special production runs for low-order customers have further reduced the profit margins. For example, one of PackCo’s biggest accounts, Healthy Foods, spends only $2 million a year and, yet the logistics costs incurred servicing this client as a percent of revenue is over 25%.

Q1: Supply Chain Optimisation Manager needs to formulate a demand management and planning strategy report to be presented to C-level executives. If you were Supply Chain Optimisation Manager, explain what strategies should be adopted to improve PackCo’s planning and management.

Q2. What should be PackCo’s immediate priority to solve its supply chain inefficiencies?

Part II: A Case Study in Chapter 13 Bankruptcy - Chapter 13: What Debts Are Dischargeable? In re Ryan - Read the case study below concerning Chapter 13 bankruptcy and answer the three questions at the end of the case study. Be certain to clearly identify your answers to all three questions and be complete in your responses. 389 B.R. 710 9th Cir. BAP, (Idaho, 2008) On July 13, 1995, Ryan was convicted of possession of an unregistered firearm under 26 U.S.C. §5861(d) in the United States District Court for the District of Alaska. Ryan was sentenced to fifty-seven months in prison followed by three years of supervised release. In addition, Ryan was ordered to pay a fine of $7,500…, costs of prosecution in the amount of $83,420, and a special assessment of $50.00. Ryan served his sentence. He also paid the $7,500 fine. The district court, following an appellate mandate, ultimately eliminated the restitution obligation. On April 25, 2003, Ryan filed a petition for bankruptcy relief under chapter 7 in the District of Idaho. He received his chapter 7 discharge on August 11, 2003. Shortly thereafter, Ryan filed a case under chapter 13, listing as his only obligation the amount of unpaid costs of prosecution owed to the United States (“Government”).… Ryan completed payments under the plan, and an “Order of Discharge” was entered on October 5, 2006. The chapter 13 trustee’s final report reflected that the Government received $2,774.89 from payments made by Ryan under his plan, but a balance of $77,088.34 on the Government’s costs of prosecution claim remained unpaid. Ryan then renewed his request for determination of dischargeability. The bankruptcy court held that the unpaid portion of the Government’s claim for costs of prosecution was excepted from discharge by § 1328(a)(3). Ryan appealed. The Court concluded that the exception to the discharge included in [Chapter 13] for “restitution, or a criminal fine, included in a sentence on the debtor’s conviction of a crime” does not cover costs of prosecution included in such a sentence, and REVERSED the bankruptcy court’s judgment.

Case Questions 3. Why did the court decide that Ryan’s obligation to pay “costs of prosecution” was not precluded by the limits on Chapter 13 bankruptcies imposed by Congress?

Three Steps to Cross-Cultural Dialogue

With “a global mindset by which we try to see things through the eyes of others and add their knowledge to our personal repertories” (Chen & Starosta, 2000, p. 1), we can perhaps take three steps to cross-cultural dialogue. The first step is to understand the mental layer of our own culture and its impact on the behavioral and material layers. The second step is to under- stand the mental layer of other cultures and its impact on the behavioral and material layers. The third step is to listen to others’ perspectives on our culture and share our perspectives on other cultures in order to reflect on what it means to be human in both local and global contexts and how humans should relate to one another, nature, and the spirits. In this step, we must engage in intercultural dialogue with Asante’s (2006) spirit of mutual respect and learning: “As creators of our own societies, we have valuable experiences to share, not to impose, which might be examined and adapted in a spirit of sharing and dialogue. This is the real meaning of intercultural interaction” (p. 154). Tu (2008) echoes Asante’s position by saying that “the celebration of cultural diversity, without falling into the trap of pernicious relativism, is profoundly meaningful for global stewardship” (p. 331).

Centricity in the first step of cross-cultural dialogue is the beginning and basis of equality and mutuality in intercultural communication (Miike, 2008a). It prevents our interactions with people from different countries and cultures from becoming a mere imposition– imitation encounter. This point should be well taken, especially by non-Westerners who wish to have sincere and serious conversations about intercultural cooperation and collaboration with Westerners on an equal footing. As Asante (2009) elucidates, centricity urges us, first and foremost, to inquire about our own identities, cultures, and histories as a way of contributing to the grand flow of the entire humanity without being imitators who blindly follow others. Paradoxically, in this soul-searching process, we may discover that the development of our own culture is, in fact, indebted to other cultures, and that the nature of human civilization is truly multicultural and synergic. In any case, imitation is not intercultural (Miike, 2008a).

Describe and discuss the three steps to cross-cultural dialogue.

UESTION 3 and QUESTION 4: Context

Suppose you are part of the analytics team for the online retailer Macha Bucks which sells two types of tea to its online visitors: Rouge Roma (RR) and Emerald Earl (EE). Everyday approximately 10,000 people visit the site over a 24 hour period. For simplicity suppose we consider the “buy one or don’t buy” (BODB) market segment of customers which when they visit the site will conduct one of the following actions: (a) buy one order of RR, (b) buy one order of EE, or (c) don’t buy (DB) anything. You have been tasked with determining customer behavior on the website for the BODB segment using a random sample of 35 visits.

In the dataset for the random sample, each row corresponds to a random visitor. For each visitor we provide both the visitor’s action as well as the profit earned on the transaction. In the action column:

if the visitor buys one order of RR, we see a RR,
if the visitor buys one order of EE, we see an EE,
if the visitor doesn’t buy anything, we see a DB.

Note that even if two customers buy the same product, the profit can differ due to the shipping costs, promotions, or coupons that are applied

Random Sample of Data

1=yes, 0 = no

Transaction ID

Action

Profit ($)

Bought RR?

Bought EE?

Didn't Buy?

Profit RR ($)

Profit EE ($)

1

RR

8.43

1

0

0

.

0.00

2

DB

0.00

0

0

1

0.00

0.00

3

EE

1.75

0

1

0

0.00

1.75

4

DB

0.00

0

0

1

0.00

0.00

5

EE

4.37

0

1

0

0.00

4.37

6

EE

5.79

0

1

0

0.00

5.79

7

RR

6.27

1

0

0

6.27

0.00

8

RR

6.22

1

0

0

6.22

0.00

9

DB

0.00

0

0

1

0.00

0.00

10

EE

4.49

0

1

0

0.00

4.49

11

RR

10.54

1

0

0

10.54

0.00

12

EE

3.79

0

1

0

0.00

3.79

13

DB

0.00

0

0

1

0.00

0.00

14

DB

0.00

0

0

1

0.00

0.00

15

RR

9.03

1

0

0

9.03

0.00

16

EE

3.54

0

1

0

0.00

3.54

17

DB

0.00

0

0

1

0.00

0.00

18

DB

0.00

0

0

1

0.00

0.00

19

EE

5.02

0

1

0

0.00

5.02

20

DB

0.00

0

0

1

0.00

0.00

21

EE

3.60

0

1

0

0.00

3.60

22

DB

0.00

0

0

1

0.00

0.00

23

EE

2.61

0

1

0

0.00

2.61

24

RR

11.75

1

0

0

11.75

0.00

25

RR

12.22

1

0

0

12.22

0.00

26

DB

0.00

0

0

1

0.00

0.00

27

DB

0.00

0

0

1

0.00

0.00

28

EE

6.17

0

1

0

0.00

6.17

29

RR

8.83

1

0

0

8.83

0.00

30

DB

0.00

0

0

1

0.00

0.00

31

DB

0.00

0

0

1

0.00

0.00

32

DB

0.00

0

0

1

0.00

0.00

33

DB

0.00

0

0

1

0.00

0.00

34

RR

14.16

1

0

0

14.16

0.00

35

EE

6.06

0

1

0

0.00

6.06

PARTS

Using the sample data, obtain a point estimate for the proportion of customers in this BODB market segment that
a) purchase EE:   

b) purchase RR:
c) don’t buy:       

a) What is the name of the model/distribution that would be appropriate to use for the probability distribution of the sample proportion of the BODB market segment that purchases EE?


b) Please provide as much information as you can about the relevant parameters for the distribution (e.g., mean and standard deviation).

Please provide a 95% confidence interval for population proportion of the BODB market segment that
a) purchase EE:

b) purchase RR:
c) don’t buy:       

a) What does the 95% confidence interval mean intuitively? Please provide an interpretation.

b) What could you do to obtain a narrower 95% confidence interval?


c) What would you need to do to have a margin of error of 0.05? Please do the calculation.

a) Please provide a 99% confidence interval for the population proportion of the BODB market segment that purchases EE.

b) When would you prefer a 99% confidence interval rather than a 95% confidence interval?

What is the 95% confidence interval for the average profit from a

a) EE customer (i.e., a customer in the BODB market segment that buys EE):

b) RR customer (i.e., a customer in the BODB market segment that buys RR):

c) Clearly state any assumptions you make about the sampling distribution.

QUESTION 4

PARTS

a) What could be an appropriate probability distribution to use for modeling the number of visitors that the website has in an hour?

b) What parameters would you use for the probability distribution?


c) Using that distribution, determine the probability that more than 600 people visit the site in an hour.

a) What could be an appropriate probability distribution to use for modeling the number of seconds between customer visits?

b) What parameters would you use for the probability distribution?


c) Using that distribution, determine the probability that the time between customer visits to the website is less than 10 seconds.

a) What could be an appropriate probability distribution to use for modeling the number of website visitors from 100 visitors that do not buy anything?

b) What parameters would you use for the probability distribution?


c) Using that distribution, determine the probability that from among 100 customers, it turns out that 30 or more customers do not buy anything.

d) What is the average number of visitors (from among 100 customers) that do not buy anything?

e) What is the standard deviation of the number of visitors (from among 100 customers) that do not buy anything?

What is the average profit from among 100 random customers that visit the site?
Please explain your answer or show your calculations.

For each of the following situations,
a) (1 pt) What is/are the population(s) in the study?
b) (2 pts) Does the scenario involve 1 or 2 parameters to be
estimated/tested/compared?
c) (3 pts) What is/are the parameter(s) to be estimated/tested/compared?
Be specific and use the appropriate notation.
d) (2 pts) What is/are the variable(s) involved. Is each numerical or
categorical?
e) (1 or 3 pts) Is it most appropriate to create a confidence interval or conduct
a hypothesis test? If a hypothesis test should be conducted, state the
hypotheses.
f) (2 pts) Will the critical value or test statistic be a z-value or t-value?
1. A farmer is wondering if the drought has affected the growth of his tomatoes
and wants to estimate the post-drought mean weight. He takes a random sample
of 40 tomatoes and measures the weight of each.
2. A survey of 1,000 Americans surveyed found that 45% have a will specifying the
handling of their estate after their death and that 64% currently own a home.
The researcher wishes to estimate the difference in the population proportions.
3. In 2000, a sample of 209 people aged 18-30 found that they spent an average of
6.75 hrs/week on the internet. In 2006, a sample of 541 people aged 18-30 spent
an average of 7.34 hrs/week on the internet. Has the average increased?
4. In a random sample of 1,500 patients who were admitted to the hospital this
year for pneumonia, 145 of them were under the age of 18. Three years ago, 12.3%
of pneumonia patients were under the age of 18.

On March 1, Sather Co. sold merchandise to Boone Co. on account, $29,800, terms 2/15, n/30. The cost of the merchandise sold is $18,300. The merchandise was paid for on March 14.

Journalize the entries for Sather Co. and Boone Co. for the sale, purchase, and payment of amount due. Refer to the appropriate company’s Chart of Accounts for exact wording of account titles.

Chart of Accounts-Sather Co.

CHART OF ACCOUNTS
Sather Co.
General Ledger
ASSETS 110 Cash 121 Accounts Receivable-Boone Co. 125 Notes Receivable 130 Merchandise Inventory 140 Office Supplies 141 Store Supplies 142 Prepaid Insurance 180 Land 192 Store Equipment 193 Accumulated Depreciation-Store Equipment 194 Office Equipment 195 Accumulated Depreciation-Office Equipment   LIABILITIES 210 Accounts Payable 218 Sales Tax Payable 219 Customers Refunds Payable 220 Unearned Rent 221 Notes Payable   EQUITY 310 Owner, Capital 311 Owner, Drawing 312 Income Summary	REVENUE 410 Sales 610 Rent Revenue   EXPENSES 501 Cost of Merchandise Sold 521 Delivery Expense 522 Advertising Expense 524 Depreciation Expense-Store Equipment 525 Depreciation Expense-Office Equipment 531 Rent Expense 533 Insurance Expense 534 Store Supplies Expense 535 Office Supplies Expense 536 Credit Card Expense 539 Miscellaneous Expense 710 Interest Expense

Chart of Accounts-Boone Co.

CHART OF ACCOUNTS
Boone Co.
General Ledger
ASSETS 110 Cash 120 Accounts Receivable 125 Notes Receivable 130 Merchandise Inventory 140 Office Supplies 141 Store Supplies 142 Prepaid Insurance 180 Land 192 Store Equipment 193 Accumulated Depreciation-Store Equipment 194 Office Equipment 195 Accumulated Depreciation-Office Equipment   LIABILITIES 211 Accounts Payable-Sather Co. 218 Sales Tax Payable 219 Customers Refunds Payable 220 Unearned Rent 221 Notes Payable   EQUITY 310 Owner, Capital 311 Owner, Drawing 312 Income Summary	REVENUE 410 Sales 610 Rent Revenue   EXPENSES 501 Cost of Merchandise Sold 521 Delivery Expense 522 Advertising Expense 524 Depreciation Expense-Store Equipment 525 Depreciation Expense-Office Equipment 531 Rent Expense 533 Insurance Expense 534 Store Supplies Expense 535 Office Supplies Expense 536 Credit Card Expense 539 Miscellaneous Expense 710 Interest Expense

Journal-Sather Co.

Journalize the entries for Sather Co. for the sale on March 1 and payment of the amount due on March 14. Refer to the appropriate company’s Chart of Accounts for exact wording of account titles.

PAGE 10

JOURNAL

	DATE	DESCRIPTION	POST. REF.	DEBIT	CREDIT
1
2
3
4
5
6

Journal-Boone Co.

Journalize the entries for Boone Co. for the purchase on March 1 and payment of the amount due on March 14. Refer to the appropriate company’s Chart of Accounts for exact wording of account titles.

PAGE 20

JOURNAL

	DATE	DESCRIPTION	POST. REF.	DEBIT	CREDIT
1
2
3
4

Credit Risk Management Credit

Risk Management Policy To achieve sustainable growth, our credit strategy focuses on a balance between portfolio value creation and protection within our risk appetite. Portfolio management, credit policy and related credit procedures must comply with this strategy and must be in line with the Bank of Thailand’s regulatory requirements, the government’s policy adjustment and the plan that focuses on United Nations Sustainable Development Goals (SDGs), including how to cope with climate change, that may affect business operations in terms of risk and business opportunity. KBank reviewed credit risk management policy, both in terms of credit risk and impacts on the environment and society, including the launch of new products and services in different circumstances, to ensure that our business operations are in compliance with relevant standards, accommodating changes in credit quality and sustainable growth of KBank. Such revisions were monitored for their impacts on portfolios, and updated for reference in KBank’s database available to relevant users covering criteria for credit granting, management and credit risk management tools.

Credit Risk Management Process A credit risk management process, from portfolio management to recovery and collection, has been established and continuously enhanced to appropriately reflect risk involved, as well as promote business capability.

Portfolio Management KBank emphasized active portfolio management corresponding to prevailing circumstances, particularly economic factors that could affect our customers and our portfolio quality. Via Active Credit Portfolio Management (ACPM) and stress testing, KBank ensured timely portfolio management towards any deviation against our planned targets. Meanwhile, KBank has also focused on portfolio management so as to control credit concentration within the established limits. Close monitoring of customer risk profile across industries was undertaken through the establishment of loan growth target in alignment with prevailing economic conditions, taking into account customer segments, product domains and industry outlooks, to maximize returns from each customer segment portfolio under defined risk appetite. KBank adopted credit risk management mechanisms as follows: • Set up Credit Risk Management Sub-committee and Credit Process Management Sub-committee. The committee managed a balance between credit risks and process efficiency to ensure effective risk management and consistency of relevant credit processes, thus allowing KBank to deliver a good customer experience. • Revise customer screening criteria on a regular basis to reflect customer risk profile. Credit policy has been tailored for each customer segment. Industry pre-screening criteria, which can be used as a guideline for customer selection, have been established to classify customers based on sector risk levels. • Establish risk management mechanism in response to risk events which may affect our customers. Early warning sign monitoring will trigger actions of responsible departments to assess impacts on affected customers and KBank by conducting in-depth analysis and stress testing. Thus, KBank shall be able to proactively prevent and solve any problems which may arise in a timely manner prior to deterioration of customers’ debt servicing capability and overall credit quality of KBank. • Monitor customers’ credit line utilization and customer status via early warning signs. Guidance has been provided for Relationship Managers (RMs) to contact customers at an early stage when early warning signs are detected. • Manage credit concentration risk in terms of borrower group concentration, sectoral concentration and country concentration. Credit exposures are maintained within predetermined limits, per the Bank of Thailand’s guidelines.

• Credit Underwriting and Approval KBank has formulated lending policy to ensure uniformity of good credit underwriting practices and comply with the Bank of Thailand’s consolidated supervision guidelines. Guidelines for preferable and discouraged practices are also defined to ensure quality of credit extension. KBank’s credit risk management is based on current, transparent and qualified data. The credit approval processes and systems are designed to align with customers’ characteristics. Medium and Large Business customers with sophisticated financial needs are served by Relationship Managers (RMs) with thorough understanding of customers’ business and financial profiles. RMs are responsible for analyzing and proposing suitable credit products and services to match customer needs, presenting credit proposal to credit underwriters according to the defined approval authorities, and continual monitoring customer status. For retail customers whose main products comprise home loans, credit cards and other types of financing, including loans for small and micro businesses, KBank deploys credit scoring as a credit approval tool, focusing on verification of income and liability information of each customer. KBank has also focused efforts on credit approval process improvement, while ensuring risk levels under a defined risk appetite. Aside from the above practices, KBank realizes the importance of responsibility toward society and the environment in our credit underwriting. Guidelines and policies for environmental and social impacts have been established for project finance requests at home and abroad, including project monitoring throughout the credit term. • Post-Credit Approval Operations To achieve standardized and efficient credit operations, KBank has centralized credit operations covering legal and contract-related arrangement, preparation of collateral agreements, credit limit setup, credit disbursement, creditrelated document storage and credit data support. KBank also set up processes to monitor customer credit-utilization behavior, business performance, compliance with contractual conditions as well as their debt servicing ability.

Please analyze credit risk of Kbank. around 300 words thanks

Short Answer Question

CBA fined $5m for overcharging farmers Australian financial review Jun 5, 2020 – 4.20pm Commonwealth Bank has been ordered to pay a $5 million penalty by the Federal Court, which found its inadequate systems led to thousands of farming customers being overcharged. ASIC deputy chairman Daniel Crennan, QC: "Entities ought to make admissions and engage in the penalties process at the earliest possible opportunity." The court found the overcharging, which amounted to $8 million, breached the bank's duty to provide services "efficiently, honestly and fairly". The blunder, which affected 8600 customers over a decade to 2015, was examined in the Hayne royal commission. CBA admitted to the misconduct when ASIC filed the case in March. "What happened can be attributed, at least in part, to the inadequacy of CBA's 'control environment','' Kenneth Hayne said in his final report. "The errors were not prevented or detected by the bank's risk management systems." ASIC deputy chairman Daniel Crennan, QC, said on Friday that the regulator expected banks, in appropriate circumstances, "to make admissions and engage in the penalties process at the earliest possible opportunity" when ASIC sued them. It is the second court judgment following case studies in the Hayne royal commission, after former NAB branch manager Mathew Alwan was found guilty of making false and misleading statements in connection with NAB’s introducer program and sentenced in November to a year of home detention. The latest case involved CBA selling customers a so-called AA+ Package, which entitled them to benefits including fee waivers, interest rate discounts and bonus interest on savings. But the bank failed to maintain systems and processes to ensure these benefits could be provided, and 8659 customers were affected on 131,542 occasions, ASIC said. ASIC argued CBA's systems, which should have checked whether the product's benefits were actually being provided to customers, were highly manual and the bank lacked systems and processes to check whether the benefits offered were actually being received. ASIC and CBA agree on two Hayne prosecutions The court found this amounted to a breach by CBA of its obligation in section 912A of the Corporations Act to do everything necessary to ensure its financial services are provided efficiently, honestly and fairly. It also found additional breaches of similar parts of the ASIC Act. The small penalty reflected the "very substantial mitigating circumstances", the court said, including that the conduct was not deliberate, and that CBA compensated all customers. CBA chief executive Matt Comyn previously apologised to the AgriAdvantage customers, saying the bank closed the product at the end of 2015. "We have sent refunds of approximately $8 million [including interest]," he said in March. "Failures of this sort are unacceptable."

Reflect upon the case study provided, applying Toffler’s three business ethics principles. In each case name the principle and briefly explain it and give an example(s) from the case study where you believe each principle might be breached.

Ramesh lives two periods. His earnings in the present are 100; in the future they are 75.6. The interest rate is 8 percent.

(a) Suppose that Ramesh's earnings are subject to a 25 percent tax. Suppose also that interest earnings are taxed at the same rate and interest paid is tax deductible. Using our life-cycle model, show that this tax generates an excess burden.

(b) Suppose now that interest payments are not tax deductible. Does this tax generate an excess burden if Ramesh is a borrower?

(c) Now assume the tax in part a is scrapped in favor of a consumption tax. What consumption tax rate would yield the same tax revenue? Does this tax distort the choice between present and future consumption?

(d) Now assume the consumption tax in part c is instituted, but the deduction of interest payments remains. Does this tax distort the choice between present and future consumption?

Reggie is a self-employed taxpayer who turns 59 years old at the end of the year (2018). In 2018, his net Schedule C income was $300,000. This was his only source of income. This year, Reggie is considering setting up a retirement plan. What is the maximum amount he may contribute to the self-employed plan in each of the following situations?

a. He sets up a SEP IRA.

b. He sets up an individual 401(k).