Questions
What are the general problems with the warranty theory?

What are the general problems with the warranty theory?

In: Accounting

Two-Stage ABC for Manufacturing Assume Sherwin-Williams Company, a large paint manufacturer, has determined the following activity...

Two-Stage ABC for Manufacturing
Assume Sherwin-Williams Company, a large paint manufacturer, has determined the following activity cost pools and cost driver levels for the latest period:

Activity Cost Pool Activity Cost

Activity Cost Driver

Machine setup $900,000

2,500 setup hours

Material handling 820,000

4,000 material moves

Machine operation 400,000

20,000 machine hours

The following data are for the production of single batches of two products, Mirlite and Subdue:

Mirlite Subdue
Gallons produced 60,000 25,000
Direct labor hours 400 250
Machine hours 800 250
Direct labor cost $10,000 $7,500
Direct materials cost $360,000 $150,000
Setup hours 15 12
Material moves 60 35

Determine the batch and unit costs per gallon of Mirlite and Subdue using ABC.
Round cost per gallon to two decimal places.

Product Costs

Mirlite

Subdue

Direct materials Answer Answer
Direct labor Answer Answer
Manufacturing overhead:
Machine setups Answer Answer
Material handling Answer Answer
Machine operation Answer Answer
Total cost per batch Answer Answer
Gallons produced Answer Answer
Cost per gallon Answer Answer

In: Accounting

1) A woman can read the large print in a newspaper only when it is at...

1) A woman can read the large print in a newspaper only when it is at a distance of 69 cm or more from her eyes. (a) Is she nearsighted (myopic) or farsighted (hyperopic), and what kind of lens is used in her glasses to correct her eyesight? (b) What should be the refractive power (in diopters) of her glasses (worn 2.9 cm from the eyes), so she can read the newspaper at a distance of 22 cmfrom the eyes?
a)

b)

2) The refractive indices of materials A and B have a ratio of nA/nB = 1.50. The speed of light in material A is 1.33 × 108 m/s. What is the speed of light in material B?

In: Physics

STPL is considering acquiring Pie Smiles, a small chain bakery that specialise in making gourmet pies. A sales manager from Pie Smiles has provided the following actual sales:

 

STPL is considering acquiring Pie Smiles, a small chain bakery that specialise in making gourmet pies. A sales manager from Pie Smiles has provided the following actual sales:

Year

Sales ($)

1

9,000

2

9,900

3

10,360

4

11,260

5

11,680

6

?

The sales manager from Pie Smiles has suggested that sales would be $8,200 in year 1.  

Required:

  1. Using exponential smoothing with a weight of α =0.3, develop forecasts for years 2 through to 6 .
  2. Using smoothing constants of 0.6 and 0.9, develop forecasts for the sales of pies.
  3. What effect did the smoothing constant have on the forecast for the sale of pies?
  4. Use a 3-year moving average forecasting model to forecast the sales of pies.
  5. Using the trend projection model, develop a forecasting model for the sales of pies.
  6. Which is the preferred method to predict the sales of pies: exponential smoothing with a smoothing constant of 0.3, a 3-year moving average or a trend line? In your response justify why you made that choice.

In: Accounting

Explain why portfolio risk (sp) tends to decrease as the number of stocks in the portfolio increases.

Explain why portfolio risk (sp) tends to decrease as the number of stocks in the portfolio increases.

In: Accounting

Outdoor Luggage, Inc., makes high-end hard-sided luggage for sports equipment. Data concerning three of the company’s...

Outdoor Luggage, Inc., makes high-end hard-sided luggage for sports equipment. Data concerning three of the company’s most popular models appear below.

Ski
Guard
Golf
Guard
Fishing
Guard
Selling price per unit $ 230 $ 320 $ 275
Variable cost per unit $ 80 $ 160 $ 140
Plastic injection molding machine processing
time required to produce one unit
12 minutes 8 minutes 5 minutes
Pounds of plastic pellets per unit 14 pounds 15 pounds 13 pounds

Required:

1. If we assume that the total time available on the plastic injection molding machine is the constraint in the production process, how much contribution margin per minute of the constrained resource is earned by each product?

2. Which product offers the most profitable use of the plastic injection molding machine?

3. If we assume that a severe shortage of plastic pellets has required the company to cut back its production so much that its new constraint has become the total available pounds of plastic pellets, how much contribution margin per pound of the constrained resource is earned by each product?

4. Which product offers the most profitable use of the plastic pellets?

5. Which product has the largest contribution margin per unit?

In: Accounting

A stock produced returns of 14 percent, 17 percent, and −1 percent over three of the...

A stock produced returns of 14 percent, 17 percent, and −1 percent over three of the past four years, respectively. The arithmetic average for the past four years is 6 percent.

Show your work here (please be as detailed and organized as possible):

  1. What is the missing return (i.e., the return in the fourth year)?

  1. What is the geometric average return over the four years?
  1. What is the standard deviation of returns of the stock? (Show work below please).

In: Finance

A 1.5 kg , 20-cm-diameter turntable rotates at 50 rpm on frictionless bearings. Two 470 g...

A 1.5 kg , 20-cm-diameter turntable rotates at 50 rpm on frictionless bearings. Two 470 g blocks fall from above, hit the turntable simultaneously at opposite ends of a diameter, and stick.

Part A

What is the turntable's angular velocity, in rpm, just after this event?

Express your answer to two significant figures and include the appropriate units.

w=?

In: Physics

You have recently joined an established, medium sized firm of auditors as a junior partner.


1. You have recently joined an established, medium sized firm of auditors as a junior
partner. Because of your knowledge of the relevant pronouncement, Sam Sandman, the
senior partner, discussed the following situations with you:


2. Your firm acts as auditors to Small Ltd and as financial advisers to Ben Big, one of
Its directors. Ben Big had instituted a legal action against the company for breach of
contract and has sought your firm’s advice relating to certain financial aspects
relating to Small Ltd. (5)


3. The chief accountant of Cruz Ltd, a public, but unlisted company, audited by your
firm, left unexpectedly. The company has asked your firm to maintain its accounting
records for the remaining three months of its financial year until they can appoint a
suitable accountant. (5)

4. Your firm acts as auditors to Rex (Pty) Ltd, a company required by its
Memorandum of Incorporation to be audited. Rex (Pty) Ltd has lent R5 million to
Blax (Pty) Ltd, a company of which Sam Sandman is the non- executive
chairman. (7)


5. Your firm has been approached by Calvin Ltd to provide a second opinion on
some financial information. Thorpe and Co, Calvin Ltd’s auditors provided the
original independent opinion but the directors of Calvin Ltd have indicated that
this was not the opinion they were expecting and hence have approached your
firm for the second opinion. The directors have also indicated that they do not
want your firm to contact Thorpe and Co and that as the opinion is required
urgently they will pay whatever fee your firm wishes to charge. (8)


Required:
Discuss each of the situations above in terms of the Code of Professional conduct. Include in
your answer the threats to professional conduct, threats to the fundamental principles and the
safeguards in the format as follows:

   Threat / Fundamental Principal / Safeguard

eg Self Review Threat / Objectivity / Audit is accountant

In: Accounting

Do you think U.S. executives are compensated too highly? Why or why not?

Do you think U.S. executives are compensated too highly? Why or why not?

In: Finance

You have been saving to buy a house. The total cost will be $10 million. You...

You have been saving to buy a house. The total cost will be $10 million. You currently have about $2.3 million. If you earn 5% on your money.

(i)how long will you have to wait until you are able to buy the house?

(ii) At 16% how long will you have to wait?

In: Finance

Portfolio analysis You have been given the return data shown in the first table on three...

Portfolio analysis You have been given the return data shown in the first table on three assets—F, G, and H—over the period 2010–2013.

Expected return

Year Asset F Asset G Asset H

2010 16% 17% 14%

2011 17% 16% 15%

2012 18% 15% 16%

2013 19% 14% 17%

Using these assets, you have isolated the three investment alternatives shown in the following table:

Alternative Investment

1 100% of asset F

2 50% of asset F and 50% of asset G

3 50% of asset F and 50% of asset H

a. Calculate the expected return over the 4-year period for each of the three alternatives.

b. Calculate the standard deviation of returns over the 4-year period for each of the three alternatives.

c. Use your findings in parts a and b to calculate the coefficient of variation for each of the three alternatives.

d. On the basis of your findings, which of the three investment alternatives do you recommend? Why?

In: Finance

Original Budget Actual Flexible Budget Units Produced (in units) 10,000 12,000 Materials used (kg) 400 700...


Original Budget

Actual

Flexible Budget

Units Produced (in units)

10,000

12,000

Materials used (kg)

400

700

Material cost ($)

8,000

See purchases

Direct Labour (hours)

35,000

46,102

Direct Labour ($)

385,000

507,080

Variable Overhead ($)

350,000

419,161

Fixed Overhead ($)

160,000

161,000

           

Other Information

Overhead is Allocated on Direct Labour Hours

During the year, 800 kg of materials were purchased for $5,000

Beginning Inventory: none

Ending Inventory:     100kg

Required:

Calculate the flexible budget amounts for all items.

Calculate the following variances

1.Material Rate

2.Material Efficiency

3.Labour Price

4.Labour Efficiency

5.Variable Overhaed Rate

6.Variable Overhead Efficiency

7. Fixed Overhead Rate

8.Fixed Overhead Production Volume

9.Assume that the Material, Labour and Variable Overhead variances are inter-related. What is the most likely single cause of these variances. Briefly explain your answer.

In: Accounting

You know the process of due diligence both in IPO and VC funding. What are the...

You know the process of due diligence both in IPO and VC funding. What are the critical differences between these two?

In: Finance

Design an experiment to determine the strength of the magnetic field of Earth using the available...

Design an experiment to determine the strength of the magnetic field of Earth using the available equipment.

Available equipment: A large coil of wire (with stand in the center), compass, ammeter, 10Ω and 50Ω resistors, power supply, ruler.

A) Perform the experiment and record your measurement and calculations in an appropriate format. Be explicit about what model you're using to calculate the magnetic field. Vector diagrams may assists you. Include important measurements. Determine the magnitude of the Earth's magnetic field.

B) Identify at least 3 sources of error in your experiment and evaluate how they affect your data. Identify at least 1 shortcoming in your experimental design and what you would do to fit it, Summarize these. Hints: Just saying human error is not acceptable.

Please show the calculations and how you got the answers.

In: Physics