¬For more classes visits
www.snaptutorial.com
Aspects of Employment and Environment Paper and PowerPoint You are an accountant at a small accounting firm. One of your clients is looking to open a small river-rafting business. Your client will run the business operations from a mobile home office on a piece of land on the riverbank. Your client must decide the best location to start this business and has asked you to explain the accounting advantages of choosing the best location. Your client is also wondering if the business should build a permanent structure on the land, or use the mobile home they already own. Additionally, your client wants to know the insurance implications of this decision. How would the insurance implications of the location decision change the company’s risks and how might your client use insurance to better manage those risks? As a team, conduct research on three
BackgroundPerformance Drinks, LLC is owned by Dave N. Port..docxAMMY30
Background:
Performance Drinks, LLC is owned by Dave N. Port.
Performance Drinks produces a variety of sports centered drinks.
They began operations in 1993 shortly after Mr. Port graduated with his M.B.A. from Davenport University.
The company saw early success as sports and fitness nutritional products gained new popularity in the 1990’s.
Financially the company is sound and has been wise in controlling their growth over the years.
However, within the last 18 months Mr. Port has noticed a drop in overall company profitability.
This is especially troubling considering that the company has continued to experience top-line growth.
Mr. Port and his management team have been considering developing a new product line.
However, those plans have been put on hold until they can figure out why their profits are shrinking.
Performance Drinks makes four different kinds of sports drinks.
Those drinks are as follows:
·
Basic
·
Hydration
·
Intensity
·
Post-Workout
Each of these drinks contains a slightly different nutritional profile and is targeted for different users and uses.
The Basic drink has the least nutritional benefit and is targeted for general consumption.
The Hydration product targets endurance athletes and specializes in hydration replacement.
The Intensity product was designed with energy enhancement in mind. It serves the needs of extreme athletes who need long durations of sustained energy.
Lastly, the Post-Workout product is a nutritional replacement product that is generally used following exertion.
Information Related to Case #2
(this section is the same as you received when you were assigned Case #2)
:
You are the Controller for Performance Drinks.
You feel as though you have a good handle on the financial reporting and the overall company performance.
However, admittedly, your accounting information system has been designed to serve the needs of external users from an aggregate perspective.
To that end you utilize absorption costing exclusively within the organization.
You recall studying the concept of Activity Based Management (ABM) and Activity Based Costing (ABC) while taking a managerial accounting course.
You wonder if applying those ideas to your business would help to uncover the mystery of the disappearing profits.
You recall from your Management Accounting class that product costs are comprised of:
·
Direct Materials
·
Direct Labor
·
Manufacturing Overhead
You don’t suspect that anything strange is going with your direct costs.
You do wonder, however, if a more thorough understanding of your indirect costs may be in order.
Over a series of weeks you talk with a variety of employees, representing a multitude of functional areas, from within the company.
During those conversations you take careful note on what activities might be consuming resources and how those activities might be measured.
You sharpen your pencil and begin to unpack what you’ve learned.
You start with review ...
For more classes visit
www.snaptutorial.com
What are the differences between variable and absorption costing? Why is variable costing not allowed for GAAP reporting? Which method is more useful for internal decision making? Why? As a manager, which would you prefer? Why?
For more classes visit
www.snaptutorial.com
1-18 Value chain and classification of costs, fast food restaurant. Burger King, a hamburger fast food restaurant, incurs the following costs.
1-20 Planning and control decisions. Conner Company makes and sells brooms and mops. It takes the following actions, not necessarily in the order given. For each action (a–e) state whether it is a planning
acc 561 new,uop acc 561 new,uop acc 561 new complete course,uop acc 561 new entire course,uop acc 561 complete class with final guide,uop acc 561 new final exam,uop acc 561 new week 1,uop acc 561 new week 2,uop acc 561 new week 3,uop acc 561 new week 4,uop acc 561 new week 5,uop acc 561 new week 6,uop acc 561 new tutorials,acc 561 new assignments,acc 561 new help
For more classes visit
www.snaptutorial.com
Case Study 1 (Part A)
Analyze the impact of business transactions on accounts; record (journalize and post) transactions in the books; construct and use a trial balance) During the first month of operation of Gordon Construction, Inc.,
For more classes visit
www.snaptutorial.com
Case Study 1 (Part A)
Analyze the impact of business transactions on accounts; record (journalize and post) transactions in the books; construct and use a trial balance) During the first month of operation of Gordon Construction, Inc., completed the following transactions:
For more classes visit
www.snaptutorial.com
What are the differences between variable and absorption costing? Why is variable costing not allowed for GAAP reporting? Which method is more useful for internal decision making? Why? As a manager, which would you prefer? Why?
BackgroundPerformance Drinks, LLC is owned by Dave N. Port..docxAMMY30
Background:
Performance Drinks, LLC is owned by Dave N. Port.
Performance Drinks produces a variety of sports centered drinks.
They began operations in 1993 shortly after Mr. Port graduated with his M.B.A. from Davenport University.
The company saw early success as sports and fitness nutritional products gained new popularity in the 1990’s.
Financially the company is sound and has been wise in controlling their growth over the years.
However, within the last 18 months Mr. Port has noticed a drop in overall company profitability.
This is especially troubling considering that the company has continued to experience top-line growth.
Mr. Port and his management team have been considering developing a new product line.
However, those plans have been put on hold until they can figure out why their profits are shrinking.
Performance Drinks makes four different kinds of sports drinks.
Those drinks are as follows:
·
Basic
·
Hydration
·
Intensity
·
Post-Workout
Each of these drinks contains a slightly different nutritional profile and is targeted for different users and uses.
The Basic drink has the least nutritional benefit and is targeted for general consumption.
The Hydration product targets endurance athletes and specializes in hydration replacement.
The Intensity product was designed with energy enhancement in mind. It serves the needs of extreme athletes who need long durations of sustained energy.
Lastly, the Post-Workout product is a nutritional replacement product that is generally used following exertion.
Information Related to Case #2
(this section is the same as you received when you were assigned Case #2)
:
You are the Controller for Performance Drinks.
You feel as though you have a good handle on the financial reporting and the overall company performance.
However, admittedly, your accounting information system has been designed to serve the needs of external users from an aggregate perspective.
To that end you utilize absorption costing exclusively within the organization.
You recall studying the concept of Activity Based Management (ABM) and Activity Based Costing (ABC) while taking a managerial accounting course.
You wonder if applying those ideas to your business would help to uncover the mystery of the disappearing profits.
You recall from your Management Accounting class that product costs are comprised of:
·
Direct Materials
·
Direct Labor
·
Manufacturing Overhead
You don’t suspect that anything strange is going with your direct costs.
You do wonder, however, if a more thorough understanding of your indirect costs may be in order.
Over a series of weeks you talk with a variety of employees, representing a multitude of functional areas, from within the company.
During those conversations you take careful note on what activities might be consuming resources and how those activities might be measured.
You sharpen your pencil and begin to unpack what you’ve learned.
You start with review ...
For more classes visit
www.snaptutorial.com
What are the differences between variable and absorption costing? Why is variable costing not allowed for GAAP reporting? Which method is more useful for internal decision making? Why? As a manager, which would you prefer? Why?
For more classes visit
www.snaptutorial.com
1-18 Value chain and classification of costs, fast food restaurant. Burger King, a hamburger fast food restaurant, incurs the following costs.
1-20 Planning and control decisions. Conner Company makes and sells brooms and mops. It takes the following actions, not necessarily in the order given. For each action (a–e) state whether it is a planning
acc 561 new,uop acc 561 new,uop acc 561 new complete course,uop acc 561 new entire course,uop acc 561 complete class with final guide,uop acc 561 new final exam,uop acc 561 new week 1,uop acc 561 new week 2,uop acc 561 new week 3,uop acc 561 new week 4,uop acc 561 new week 5,uop acc 561 new week 6,uop acc 561 new tutorials,acc 561 new assignments,acc 561 new help
For more classes visit
www.snaptutorial.com
Case Study 1 (Part A)
Analyze the impact of business transactions on accounts; record (journalize and post) transactions in the books; construct and use a trial balance) During the first month of operation of Gordon Construction, Inc.,
For more classes visit
www.snaptutorial.com
Case Study 1 (Part A)
Analyze the impact of business transactions on accounts; record (journalize and post) transactions in the books; construct and use a trial balance) During the first month of operation of Gordon Construction, Inc., completed the following transactions:
For more classes visit
www.snaptutorial.com
What are the differences between variable and absorption costing? Why is variable costing not allowed for GAAP reporting? Which method is more useful for internal decision making? Why? As a manager, which would you prefer? Why?
Similar to Acc 543Enhance teaching / snaptutorial.com (20)
Francesca Gottschalk - How can education support child empowerment.pptxEduSkills OECD
Francesca Gottschalk from the OECD’s Centre for Educational Research and Innovation presents at the Ask an Expert Webinar: How can education support child empowerment?
Operation “Blue Star” is the only event in the history of Independent India where the state went into war with its own people. Even after about 40 years it is not clear if it was culmination of states anger over people of the region, a political game of power or start of dictatorial chapter in the democratic setup.
The people of Punjab felt alienated from main stream due to denial of their just demands during a long democratic struggle since independence. As it happen all over the word, it led to militant struggle with great loss of lives of military, police and civilian personnel. Killing of Indira Gandhi and massacre of innocent Sikhs in Delhi and other India cities was also associated with this movement.
Model Attribute Check Company Auto PropertyCeline George
In Odoo, the multi-company feature allows you to manage multiple companies within a single Odoo database instance. Each company can have its own configurations while still sharing common resources such as products, customers, and suppliers.
Embracing GenAI - A Strategic ImperativePeter Windle
Artificial Intelligence (AI) technologies such as Generative AI, Image Generators and Large Language Models have had a dramatic impact on teaching, learning and assessment over the past 18 months. The most immediate threat AI posed was to Academic Integrity with Higher Education Institutes (HEIs) focusing their efforts on combating the use of GenAI in assessment. Guidelines were developed for staff and students, policies put in place too. Innovative educators have forged paths in the use of Generative AI for teaching, learning and assessments leading to pockets of transformation springing up across HEIs, often with little or no top-down guidance, support or direction.
This Gasta posits a strategic approach to integrating AI into HEIs to prepare staff, students and the curriculum for an evolving world and workplace. We will highlight the advantages of working with these technologies beyond the realm of teaching, learning and assessment by considering prompt engineering skills, industry impact, curriculum changes, and the need for staff upskilling. In contrast, not engaging strategically with Generative AI poses risks, including falling behind peers, missed opportunities and failing to ensure our graduates remain employable. The rapid evolution of AI technologies necessitates a proactive and strategic approach if we are to remain relevant.
Welcome to TechSoup New Member Orientation and Q&A (May 2024).pdfTechSoup
In this webinar you will learn how your organization can access TechSoup's wide variety of product discount and donation programs. From hardware to software, we'll give you a tour of the tools available to help your nonprofit with productivity, collaboration, financial management, donor tracking, security, and more.
Safalta Digital marketing institute in Noida, provide complete applications that encompass a huge range of virtual advertising and marketing additives, which includes search engine optimization, virtual communication advertising, pay-per-click on marketing, content material advertising, internet analytics, and greater. These university courses are designed for students who possess a comprehensive understanding of virtual marketing strategies and attributes.Safalta Digital Marketing Institute in Noida is a first choice for young individuals or students who are looking to start their careers in the field of digital advertising. The institute gives specialized courses designed and certification.
for beginners, providing thorough training in areas such as SEO, digital communication marketing, and PPC training in Noida. After finishing the program, students receive the certifications recognised by top different universitie, setting a strong foundation for a successful career in digital marketing.
Synthetic Fiber Construction in lab .pptxPavel ( NSTU)
Synthetic fiber production is a fascinating and complex field that blends chemistry, engineering, and environmental science. By understanding these aspects, students can gain a comprehensive view of synthetic fiber production, its impact on society and the environment, and the potential for future innovations. Synthetic fibers play a crucial role in modern society, impacting various aspects of daily life, industry, and the environment. ynthetic fibers are integral to modern life, offering a range of benefits from cost-effectiveness and versatility to innovative applications and performance characteristics. While they pose environmental challenges, ongoing research and development aim to create more sustainable and eco-friendly alternatives. Understanding the importance of synthetic fibers helps in appreciating their role in the economy, industry, and daily life, while also emphasizing the need for sustainable practices and innovation.
A Strategic Approach: GenAI in EducationPeter Windle
Artificial Intelligence (AI) technologies such as Generative AI, Image Generators and Large Language Models have had a dramatic impact on teaching, learning and assessment over the past 18 months. The most immediate threat AI posed was to Academic Integrity with Higher Education Institutes (HEIs) focusing their efforts on combating the use of GenAI in assessment. Guidelines were developed for staff and students, policies put in place too. Innovative educators have forged paths in the use of Generative AI for teaching, learning and assessments leading to pockets of transformation springing up across HEIs, often with little or no top-down guidance, support or direction.
This Gasta posits a strategic approach to integrating AI into HEIs to prepare staff, students and the curriculum for an evolving world and workplace. We will highlight the advantages of working with these technologies beyond the realm of teaching, learning and assessment by considering prompt engineering skills, industry impact, curriculum changes, and the need for staff upskilling. In contrast, not engaging strategically with Generative AI poses risks, including falling behind peers, missed opportunities and failing to ensure our graduates remain employable. The rapid evolution of AI technologies necessitates a proactive and strategic approach if we are to remain relevant.
Overview on Edible Vaccine: Pros & Cons with Mechanism
Acc 543Enhance teaching / snaptutorial.com
1. ACC 543 Aspects of Employment and
Environment Paper and PowerPoint
For more classes visits
www.snaptutorial.com
Aspects of Employment and Environment Paper and PowerPoint You
are an accountant at a small accounting firm. One of your clients is
looking to open a small river-rafting business. Your client will run the
business operations from a mobile home office on a piece of land on the
riverbank. Your client must decide the best location to start this business
and has asked you to explain the accounting advantages of choosing the
best location. Your client is also wondering if the business should build
a permanent structure on the land, or use the mobile home they already
own. Additionally, your client wants to know the insurance implications
of this decision. How would the insurance implications of the location
decision change the company’s risks and how might your client use
insurance to better manage those risks? As a team, conduct research on
three locations and select a location that your client will use to start this
business. The locations should be in states where your at least one of
your team members lives Address the following for each location, based
on research of the three sites located in three states: Evaluate the legal
aspects of acquiring, holding, and disposing of real property. Evaluate
the legal aspects of acquiring, holding, and disposing of personal
property. Analyze the business use of insurance for various risks.
Identify environmental issues and regulations related to the site. Discuss
2. which location you will suggest to your client to run the business from,
and why this location is advantageous relative to your discussion of real
and personal property and the use of insurance. Submit a paper of no
more than 1,400 words with your research results and recommendations
for the client. Create a 10- to 15-slide Microsoft® PowerPoint®
presentation for the client.
**************************************************************************
ACC 543 Capital Budget Recommendation
For more classes visits
www.snaptutorial.com
Capital Budget Recommendation Guillermo Furniture, a company that
manufactures midgrade and high-end sofas, has just hired you as an
accountant. The owner, Guillermo Navallez, has assigned you the tasks
of determining which decisions provide the greatest returns. Read the
Guillermo Furniture Scenario and review the Guillermo Furniture Data
Sheets on your student Web site. Enter your name in cell A3 of the
Income Information tab in the Guillermo Furniture Data Sheets. Submit
the exact name you entered to your instructor. Obtain the number that is
shown as a result for total assets on the Assets, Liabilities, and Equity In
tab. Submit the number for total assets to your instructor. Differentiate
among the various capital budget evaluation techniques. Explain how
3. these different techniques would help you make your recommendation to
Guillermo. Recommend a course of action based on a capital budget
evaluation technique and include present value calculations as part of
your recommendation. Submit your assignment as an attachment of no
more than 1,050 words.
**************************************************************************
ACC 543 Entire Course
For more classes visits
www.snaptutorial.com
ACC 543 Capital Budget Recommendation
ACC 543 Aspects of Employment and Environment Paper and
PowerPoint
ACC 543 Exercise 24-1 Net Present Value/Present Value Index
ACC 543 Exercise 24-8A: Determining the Internal Rate of Return
ACC 543 Exercise 24-6A: Determining Net Present Value
ACC 543 Exercise 24-5B: Purchase of Popcorn Machine
ACC 543 Exercise 24-5A Determining net present value
ACC 543 Exercise 24-4A Determining the present value of an annuity
ACC 543 Exercise 24-3A: Present Value Analysis
ACC 543 Exercise 22-6A Using a flexible budget to accommodate
market uncertainty
4. ACC 543 Exercise 19-24A: Assessing Simultaneous Changes in CVP
Relationships
ACC 543 Exercise 18-17B: Process Cost System Cost of Production
Report
ACC 543 Exercise 22-6A Using a flexible budget to accommodate
market uncertainty
ACC 543 Exercise 18-17A
ACC 543 Exercise 16-9A
ACC 543 Exercise 15-17A Identifying Cost Behavior
ACC 543 Exercise 15-12B
ACC 543 Exercise 15-6B
**************************************************************************
ACC 543 Exercise 15-6B
For more classes visits
www.snaptutorial.com
Exercise 15-6B Fixed versus variable cost behavior Professional Chairs
Corporation produces ergonomically designed chairs favored by
architects. The company normally produces and sells from 5,000 to
8,000 chairs per year. The following cost data apply to various
production activity levels. Required a. Complete the preceding table by
5. filling in the missing amounts for the levels of activity shown in the first
row of the table. b. Explain why the total cost per chair decreases as the
number of chairs increases
**************************************************************************
ACC 543 Exercise 15-12B
For more classes visits
www.snaptutorial.com
Exercise 15-12B Effect of cost structure on projected profits Logan and
Martin compete in the same market. The following budgeted income
statements illustrate their cost structures. Required a. Assume that Logan
can lure all 80 customers away from Martin by lowering its sales price to
$75 per customer. Reconstruct Logan’s income statement based on 160
customers. b. Assume that Martin can lure all 80 customers away from
Logan by lowering its sales price to $75 per customer. Reconstruct
Martin’s income statement based on 160 customers. c. Why does the
price-cutting strategy increase Logan’s profits but result in a net loss for
Martin?
**************************************************************************
6. ACC 543 Exercise 15-17A Identifying Cost
Behavior
For more classes visits
www.snaptutorial.com
Exercise 15-17A: Identifying Cost Behavior Identify the following costs
as fixed or variable. Costs related to plane trips between San Diego,
California, and Orlando, Florida, follow. Pilots are paid on a per trip
basis. a. Pilots’ salaries relative to the number of trips flown. b.
Depreciation relative to the number of planes in service. c. Cost of
refreshments relative to the number of passengers. d. Pilots’ salaries
relative to the number of passengers on a particular trip. e. Cost of a
maintenance check relative to the number of passengers on a particular
trip. f. Fuel costs relative to the number of trips. National Union Bank
operates several branch offices in grocery stores. Each branch employs a
supervisor and two tellers. g. Tellers’ salaries relative to the number of
tellers in a particular district. h. Supplies cost relative to the number of
transactions processed in a particular branch. i. Tellers’ salaries relative
to the number of customers served at a particular branch. j. Supervisors’
salaries relative to the number of branches operated. k. Supervisors’
salaries relative to the number of customers served in a particular
branch. l. Facility rental costs relative to the size of customer deposits.
Costs related to operating a fast-food restaurant follow. m. Depreciation
7. of equipment relative to the number of restaurants. n. Building rental
cost relative to the number of customers served in a particular restaurant.
o. Manager’s salary of a particular restaurant relative to the number of
employees. p. Food cost relative to the number of customers. q. Utility
cost relative to the number of restaurants in operation. r. Company
president’s salary relative to the number of restaurants in operation. s.
Land costs relative to the number of hamburgers sold at a particular
restaurant. t. Depreciation of equipment relative to the number of
customers served at a particular restaurant.
**************************************************************************
ACC 543 Exercise 16-9A
For more classes visits
www.snaptutorial.com
Exercise 16-9A Mimosa Corporation expects to incur indirect overhead
costs of $72,000 per month and direct manufacturing costs of $11 per
unit. The expected production activity for the first four months of 2007
is as follows. Required a. Calculate a predetermined overhead rate based
on the number of units of product expected to be made during the first
four months of the year. b. Allocate overhead costs to each month using
the overhead rate computed in Requirement a. c. Calculate the total cost
per unit for each month using the overhead allocated in Requirement b.
8. **************************************************************************
ACC 543 Exercise 18-17A
For more classes visits
www.snaptutorial.com
Exercise 18-17A Hamby Company had 250 units of product in its work
in process inventory at the beginning of the period and started 2,000
additional units during the period. At the end of the period, 750 units
were in work in process inventory. The ending work in process
inventory was estimated to be 60 percent complete. The cost of work in
process inventory at the beginning of the period was $3,420, and
$27,000 of product costs was added during the period
**************************************************************************
ACC 543 Exercise 18-17B: Process Cost System
Cost of Production Report
For more classes visits
9. www.snaptutorial.com
Exercise 18-17B: Process Cost System Cost of Production Report At the
beginning of 2004, Dozier Company had 1,800 units of product in its
work in process inventory, and it started 19,200 additional units of
product during the year. At the end of the year, 6,000 units of product
were in the work in process inventory. The ending work in process
inventory was estimated to be 50 percent complete. The cost of work in
process inventory at the beginning of the period was $9,000, and
$108,000 of product costs was added during the period. Required
Prepare a cost of production report showing the following. a. The
number of equivalent units of production. b. The product cost per
equivalent unit. c. The total cost allocated between the ending Work in
Process Inventory and Finished Goods Inventory accounts.
**************************************************************************
ACC 543 Exercise 19-24A: Assessing
Simultaneous Changes in CVP Relationships
For more classes visits
www.snaptutorial.com
10. Exercise 19-24A: Assessing Simultaneous Changes in CVP
Relationships Green Shades Inc. (GSI) sells hammocks; variable costs
are $75 each, and the hammocks are sold for $125 each. GSI incurs
$250,000 of fixed operating expenses annually. Required a. Determine
the sales volume in units and dollars required to attain a $50,000 profit.
Verify your answer by preparing an income statement using the
contribution margin format. b. GSI is considering implementing a
quality improvement program. The program will require a $10 increase
in the variable cost per unit. To inform its customers of the quality
improvements, the company plans to spend an additional $20,000 for
advertising. Assuming that the improvement program will increase sales
to a level that is 3,000 units above the amount computed in Requirement
a, should GSI proceed with plans to improve product quality? Support
your answer by preparing a budgeted income statement. c. Determine
the new break-even point in units and sales dollars as well as the margin
of safety percentage, assuming that the quality improvement program is
implemented.
**************************************************************************
ACC 543 Exercise 22-6A Using a flexible budget
to accommodate market uncertainty
For more classes visits
www.snaptutorial.com
11. Exercise 22-6A Using a flexible budget to accommodate market
uncertainty According to its original plan, Katta Consulting Services
Company would charge its customers for service at $200 per hour in
2006. The company president expects consulting services provided to
customers to reach 40,000 hours at that rate. The marketing manager,
however, argues that actual results may range from 35,000 hours to
45,000 hours because of market uncertainty. Katta’s standard variable
cost is $90 per hour, and its standard fixed cost is $3,000,000.
**************************************************************************
ACC 543 Exercise 24-1 Net Present Value
Present Value Index
For more classes visits
www.snaptutorial.com
Exercise 24-1 Net Present Value/Present Value Index The management
team at Savage Corporation is evaluating two alternative capital
investment opportunities. The first alternative, modernizing the
company’s current machinery, costs $45,000. Management estimates the
12. modernization project will reduce annual net cash outflows by $12,500
per year for the next five years. The second alternative, purchasing a
new machine, costs $56,500. The new machine is expected to have a
five-year useful life and a $4,000 salvage value. Management estimates
the new machine will generate cash inflows of $15,000 per year.
Savage’s cost of capital is 10%. Required a. Determine the present value
of the cash flow savings expected from the modernization program. b.
Determine the net present value of the modernization project. c.
Determine the net present value of investing in the new machine. d. Use
a present value index to determine which investment alternative will
yield the higher rate of return.
**************************************************************************
ACC 543 Exercise 24-3A: Present Value Analysis
For more classes visits
www.snaptutorial.com
Exercise 24-3A: Present Value Analysis Ginger Smalley expects to
receive a $300,000 cash benefit when she retires five years from today.
Ms. Smalley’s employer has offered an early retirement incentive by
agreeing to pay her $180,000 today if she agrees to retire immediately.
Ms. Smalley desires to earn a rate of return of 12 percent. Required a.
Assuming that the retirement benefit is the only consideration in making
the retirement decision, should Ms. Smalley accept her employer’s
13. offer? b. Identify the factors that cause the present value of the
retirement benefit to be less than $300,000.
**************************************************************************
ACC 543 Exercise 24-4A Determining the present
value of an annuity
For more classes visits
www.snaptutorial.com
Exercise 24-4A Determining the present value of an annuity The dean of
the School of Social Science is trying to decide whether to purchase a
copy machine to place in the lobby of the building. The machine would
add to student convenience, but the dean feels compelled to earn an 8
percent return on the investment of funds. Estimates of cash inflows
from copy machines that have been placed in other university buildings
indicate that the copy machine would probably produce incremental cash
inflows of approximately $8,000 per year. The machine is expected to
have a three-year useful life with a zero salvage value. Required a. Use
Present Value Table 1 in Appendix A to determine the maximum
amount of cash the dean should be willing to pay for a copy machine. b.
Use Present Value Table 2 in Appendix A to determine the maximum
amount of cash the dean should be willing to pay for a copy machine. c.
14. Explain the consistency or lack of consistency in the answers to
Requirements a & b.
**************************************************************************
ACC 543 Exercise 24-5A Determining net present
value
For more classes visits
www.snaptutorial.com
Exercise 24-5A Determining net present value Transit Shuttle Inc. is
considering investing in two new vans that are expected to generate
combined cash inflows of $20,000 per year. The vans’ combined
purchase price is $65,000. The expected life and salvage value of each
are four years and $15,000, respectively. Transit Shuttle has an average
cost of capital of 14 percent. Required a. Calculate the net present value
of the investment opportunity. b. Indicate whether the investment
opportunity is expected to earn a return that is above or below the cost of
capital and whether it should be accepted.
**************************************************************************
ACC 543 Exercise 24-5B: Purchase of Popcorn
Machine
15. For more classes visits
www.snaptutorial.com
Exercise 24-5B: Purchase of Popcorn Machine Heidi Kahn, manager of
the Grand Music Hall, is considering the opportunity to expand the
company’s concession revenues. Specifically, she is considering whether
to install a popcorn machine. Based on market research, she believes that
the machine could produce incremental cash inflows of $1,600 per year.
The purchase price of the machine is $5,000. It is expected to have a
useful life of three years and a $1,000 salvage value. Ms. Kahn has
established a desired rate of return of 16 percent.
**************************************************************************
ACC 543 Exercise 24-6A: Determining Net
Present Value
For more classes visits
www.snaptutorial.com
16. Exercise 24-6A: Determining Net Present Value Travis Vintor is seeking
part-time employment while he attends school. He is considering
purchasing technical equipment that will enable him to start a small
training services company that will offer tutorial services over the
Internet. Travis expects demand for the service to grow rapidly in the
first two years of operation as customers learn about the availability of
the Internet assistance. Thereafter, he expects demand to stabilize. The
following table presents the expected cash flows. In addition to these
cash flows, Mr. Vintor expects to pay $8,400 for the equipment. He also
expects to pay $1,440 for a major overhaul and updating of the
equipment at the end of the second year of operation. The equipment is
expected to have a $600 salvage value and a four-year useful life. Mr.
Vintor desires to earn a rate of return of 8 percent. Required (Round
computations to the nearest whole penny.) a. Calculate the net present
value of the investment opportunity. b. Indicate whether the investment
opportunity is expected to earn a return that is above or below the
desired rate of return and whether it should be accepted.
**************************************************************************
ACC 543 Exercise 24-8A: Determining the
Internal Rate of Return
For more classes visits
www.snaptutorial.com
17. Exercise 24-8A: Determining the Internal Rate of Return Medina
Manufacturing Company has an opportunity to purchase some
technologically advanced equipment that will reduce the company’s
cash outflow for operating expenses by $1,280,000 per year. The cost of
the equipment is $6,186,530.56. Medina expects it to have a 10-year
useful life and a zero salvage value. The company has established an
investment opportunity hurdle rate of 15 percent and uses the straight-
line method for depreciation. Required a. Calculate the internal rate of
return of the investment opportunity. b. Indicate whether the investment
opportunity should be accepted.
**************************************************************************
ACC 543 Flexible Budgets Team Paper
For more classes visits
www.snaptutorial.com
Flexible Budgets Team Paper Write a paper of no more than 1,050
words in which you discuss flexible budgets. Explain the relationship
between fixed and variable costs used in a flexible budget. Discuss the
differences between static and flexible budgets and how a flexible
budget lends itself to a cost-volume-profit analysis. Format your paper
consistent with APA guidelines