Apple's core competencies are their design and technology innovation. They introduce new product categories like the iPod, iTunes, iPad, and iPhone that revolutionize existing markets. Apple charges premium prices for its innovative, high quality products.
Time Warner focuses on low cost operations through efficient processes and technologies to maintain low prices and strong customer relationships.
Federal Bank ensures good banking practices through excellent customer service, transactions, and risk management.
Definition: the operation strategy is “the decision which shapes the long-term capabilities of the company’s operations and their contribution to overall strategy through the on-going reconciliation of market requirement and operations resources.”
BUS 499 STUDY Become Exceptional--bus499study.comclaric101
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces
BUS 499 STUDY Redefined Education--bus499study.comclaric191
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces of Competition Model
BUS 499 Week 3 Discussion 1 Strong Brands
BUS 499 STUDY Introduction Education--bus499study.comclaric261
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces of Competition Model
BUS 499 Week 3 Discussion 1 Strong Brands
BUS 499 STUDY Achievement Education--bus499study.comclaric152
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces of Competition Model
The regional manager of a sports shop chain notices some concerning patterns with Store 9's expenses and profits. Specifically, Store 9 has very low training costs, no longer participates in community events that increased visibility but had high costs, and the prior year's store saw a large drop in profits after its manager transferred to Store 9. The manager may be intentionally cutting costs in problematic ways to boost short-term profits. The regional manager needs to investigate further to determine if ethics violations occurred.
Apple's core competencies are their design and technology innovation. They introduce new product categories like the iPod, iTunes, iPad, and iPhone that revolutionize existing markets. Apple charges premium prices for its innovative, high quality products.
Time Warner focuses on low cost operations through efficient processes and technologies to maintain low prices and strong customer relationships.
Federal Bank ensures good banking practices through excellent customer service, transactions, and risk management.
Definition: the operation strategy is “the decision which shapes the long-term capabilities of the company’s operations and their contribution to overall strategy through the on-going reconciliation of market requirement and operations resources.”
BUS 499 STUDY Become Exceptional--bus499study.comclaric101
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces
BUS 499 STUDY Redefined Education--bus499study.comclaric191
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces of Competition Model
BUS 499 Week 3 Discussion 1 Strong Brands
BUS 499 STUDY Introduction Education--bus499study.comclaric261
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces of Competition Model
BUS 499 Week 3 Discussion 1 Strong Brands
BUS 499 STUDY Achievement Education--bus499study.comclaric152
FOR MORE CLASSES VISIT
www.bus499study.com
BUS 499 Week 1 Discussion 1 Strategic Competitiveness
BUS 499 Week 1 Discussion 2 Management’s Responsibility
BUS 499 Week 2 Discussion 1 Union Pacific Corporation
BUS 499 Week 2 Discussion 2 Five Forces of Competition Model
The regional manager of a sports shop chain notices some concerning patterns with Store 9's expenses and profits. Specifically, Store 9 has very low training costs, no longer participates in community events that increased visibility but had high costs, and the prior year's store saw a large drop in profits after its manager transferred to Store 9. The manager may be intentionally cutting costs in problematic ways to boost short-term profits. The regional manager needs to investigate further to determine if ethics violations occurred.
This document provides an overview and instructions for BUS 650 Managerial Finance course assignments. It includes discussion questions, papers, and case studies on topics such as the role of financial management, capital budgeting, working capital management, and risk analysis. Students are asked to analyze financial concepts, calculate metrics like present value and internal rate of return, and discuss challenges faced by financial managers in different market structures. References from textbooks, annual reports, and scholarly sources are required.
For more classes visit
www.snaptutorial.com
Purpose of Assignment
This activity helps students recognize the significant role accounting plays in providing financial information to management for decision making through the evaluation of financial statements. This experiential assignment requires students to use ratios to evaluate and analyze a company’s liquidity, solvency, and profitability.
This document contains information about the BUS 630 Entire Course which includes assignments, discussion questions, and case studies for each of the 6 weeks. It provides links to the assignment documents for each week and descriptions of the ethics, fixed/variable costs, job order costing vs process costing, and manufacturing cost topics that are covered. It also includes a case study on Mendel Paper Company and Auerbach Enterprises that students need to analyze and answer questions on.
For more course tutorials visit
www.fin375.com
FIN 375 Week 1 My Future Business Opportunity
FIN 375 Week 2 Individual Financial Ratios (Moserk Company's)
FIN 375 Week 2 Team Financial Break-Even Analysis
FIN 375 Individual Assignment Business Loan Eligibility
ACCOUNTING PROGRAM OVERVIEW: SEC 10K REPORT PROJECT FOR ACCT 321SophiaMorgans
This project for an accounting course challenges students to analyze the SEC 10-K report of a publicly traded US manufacturing corporation. Students will prepare three deliverables: a paper analyzing financial statements and key metrics, an Excel spreadsheet with financial ratios and calculations, and a PowerPoint presentation with recommendations for management based on cost analysis. The goal is for students to practice interpreting financial reports, comparing information across years and other companies, and identifying opportunities to improve profits.
For more course tutorials visit
www.uopacc561.com
Purpose of Assignment This activity helps students recognize the significant role accounting plays in providing financial information to management for decision making through the evaluation of financial statements. This experiential assignment requires students to use ratios to evaluate and analyze a company’s liquidity, solvency, and profitability. Two-Rivers Inc. (TRI) manufactures a variety of consumer products. The company's founders have run the company for thirty years and are now interested in retiring. Consequently, they are
FIN 375 Achievement Education -- www.fin375.comshanaabe91
For more course tutorials visit
www.fin375.com
FIN 375 Week 1 My Future Business Opportunity
FIN 375 Week 2 Individual Financial Ratios (Moserk Company's)
This document contains information for BUS 630 Week 3 discussion questions, including an ethics case study about a store manager. It discusses possible issues with the store manager's practices and the regional manager's responsibilities. It also includes information on cost accounting concepts like job order costing vs process costing, and a manufacturing case study on an air conditioner company calculating departmental and company-wide overhead rates.
This document provides an overview and instructions for BUS 650 Managerial Finance course assignments. It includes discussion questions, papers, and case studies on topics such as the role of financial management, capital budgeting, working capital management, and risk analysis. Students are asked to analyze financial concepts, calculate metrics like present value and internal rate of return, and discuss challenges faced by financial managers in different market structures. References from textbooks, annual reports, and scholarly sources are required.
For more classes visit
www.snaptutorial.com
Purpose of Assignment
This activity helps students recognize the significant role accounting plays in providing financial information to management for decision making through the evaluation of financial statements. This experiential assignment requires students to use ratios to evaluate and analyze a company’s liquidity, solvency, and profitability.
This document contains information about the BUS 630 Entire Course which includes assignments, discussion questions, and case studies for each of the 6 weeks. It provides links to the assignment documents for each week and descriptions of the ethics, fixed/variable costs, job order costing vs process costing, and manufacturing cost topics that are covered. It also includes a case study on Mendel Paper Company and Auerbach Enterprises that students need to analyze and answer questions on.
For more course tutorials visit
www.fin375.com
FIN 375 Week 1 My Future Business Opportunity
FIN 375 Week 2 Individual Financial Ratios (Moserk Company's)
FIN 375 Week 2 Team Financial Break-Even Analysis
FIN 375 Individual Assignment Business Loan Eligibility
ACCOUNTING PROGRAM OVERVIEW: SEC 10K REPORT PROJECT FOR ACCT 321SophiaMorgans
This project for an accounting course challenges students to analyze the SEC 10-K report of a publicly traded US manufacturing corporation. Students will prepare three deliverables: a paper analyzing financial statements and key metrics, an Excel spreadsheet with financial ratios and calculations, and a PowerPoint presentation with recommendations for management based on cost analysis. The goal is for students to practice interpreting financial reports, comparing information across years and other companies, and identifying opportunities to improve profits.
For more course tutorials visit
www.uopacc561.com
Purpose of Assignment This activity helps students recognize the significant role accounting plays in providing financial information to management for decision making through the evaluation of financial statements. This experiential assignment requires students to use ratios to evaluate and analyze a company’s liquidity, solvency, and profitability. Two-Rivers Inc. (TRI) manufactures a variety of consumer products. The company's founders have run the company for thirty years and are now interested in retiring. Consequently, they are
FIN 375 Achievement Education -- www.fin375.comshanaabe91
For more course tutorials visit
www.fin375.com
FIN 375 Week 1 My Future Business Opportunity
FIN 375 Week 2 Individual Financial Ratios (Moserk Company's)
This document contains information for BUS 630 Week 3 discussion questions, including an ethics case study about a store manager. It discusses possible issues with the store manager's practices and the regional manager's responsibilities. It also includes information on cost accounting concepts like job order costing vs process costing, and a manufacturing case study on an air conditioner company calculating departmental and company-wide overhead rates.
This document provides guidelines and links for various assignments for the BSHS 352 course. It includes discussion questions, individual papers, and learning team presentations on topics such as analyzing websites, using social media for professional networks, and developing websites. The assignments involve critically examining how technology can be used to address barriers and enhance the work of human services organizations. Students are instructed to research online tools and software and consider their potential benefits and limitations. The document emphasizes writing skills and formatting papers according to APA style.
This document provides information and instructions for several assignments for the BUS 510 Strayer course. It outlines 5 assignments that involve developing a vision and mission statement for a nonprofit organization, drafting a funding proposal, researching potential donors, writing thank you letters, and creating an online marketing campaign. The assignments involve applying concepts from the course textbook to scenarios involving a fictional town seeking grants for police equipment, streetlights, and other community needs. Students are to submit written papers addressing the prompts and criteria provided for each assignment.
This document provides an overview of the assignments, discussions, and final paper for the ASH BUS 600 Complete Class. The course covers topics such as vision statements, communication skills, barriers to communication, technology's impact on communication, group communication, business presentations, and analyzing an organizational communication concept through a final research paper. Students complete discussions, assignments analyzing their own communication skills and researching a company, and a final 8-10 page paper applying a communication concept to a real organization.
This document provides instructions for several lab assignments for a CIS 273 course at Strayer University. It outlines 7 lab assignments that involve coding HTML pages with different features like headings, lists, tables, forms and style sheets. Students are instructed to complete the coding for each lab assignment, submit all files in a zip folder, and answer any written questions in the online course shell. The document provides detailed directions for each lab assignment, which involve practicing various HTML elements and CSS styling techniques.
Exploiting Artificial Intelligence for Empowering Researchers and Faculty, In...Dr. Vinod Kumar Kanvaria
Exploiting Artificial Intelligence for Empowering Researchers and Faculty,
International FDP on Fundamentals of Research in Social Sciences
at Integral University, Lucknow, 06.06.2024
By Dr. Vinod Kumar Kanvaria
বাংলাদেশের অর্থনৈতিক সমীক্ষা ২০২৪ [Bangladesh Economic Review 2024 Bangla.pdf] কম্পিউটার , ট্যাব ও স্মার্ট ফোন ভার্সন সহ সম্পূর্ণ বাংলা ই-বুক বা pdf বই " সুচিপত্র ...বুকমার্ক মেনু 🔖 ও হাইপার লিংক মেনু 📝👆 যুক্ত ..
আমাদের সবার জন্য খুব খুব গুরুত্বপূর্ণ একটি বই ..বিসিএস, ব্যাংক, ইউনিভার্সিটি ভর্তি ও যে কোন প্রতিযোগিতা মূলক পরীক্ষার জন্য এর খুব ইম্পরট্যান্ট একটি বিষয় ...তাছাড়া বাংলাদেশের সাম্প্রতিক যে কোন ডাটা বা তথ্য এই বইতে পাবেন ...
তাই একজন নাগরিক হিসাবে এই তথ্য গুলো আপনার জানা প্রয়োজন ...।
বিসিএস ও ব্যাংক এর লিখিত পরীক্ষা ...+এছাড়া মাধ্যমিক ও উচ্চমাধ্যমিকের স্টুডেন্টদের জন্য অনেক কাজে আসবে ...
How to Build a Module in Odoo 17 Using the Scaffold MethodCeline George
Odoo provides an option for creating a module by using a single line command. By using this command the user can make a whole structure of a module. It is very easy for a beginner to make a module. There is no need to make each file manually. This slide will show how to create a module using the scaffold method.
it describes the bony anatomy including the femoral head , acetabulum, labrum . also discusses the capsule , ligaments . muscle that act on the hip joint and the range of motion are outlined. factors affecting hip joint stability and weight transmission through the joint are summarized.
How to Manage Your Lost Opportunities in Odoo 17 CRMCeline George
Odoo 17 CRM allows us to track why we lose sales opportunities with "Lost Reasons." This helps analyze our sales process and identify areas for improvement. Here's how to configure lost reasons in Odoo 17 CRM
The simplified electron and muon model, Oscillating Spacetime: The Foundation...RitikBhardwaj56
Discover the Simplified Electron and Muon Model: A New Wave-Based Approach to Understanding Particles delves into a groundbreaking theory that presents electrons and muons as rotating soliton waves within oscillating spacetime. Geared towards students, researchers, and science buffs, this book breaks down complex ideas into simple explanations. It covers topics such as electron waves, temporal dynamics, and the implications of this model on particle physics. With clear illustrations and easy-to-follow explanations, readers will gain a new outlook on the universe's fundamental nature.
ISO/IEC 27001, ISO/IEC 42001, and GDPR: Best Practices for Implementation and...PECB
Denis is a dynamic and results-driven Chief Information Officer (CIO) with a distinguished career spanning information systems analysis and technical project management. With a proven track record of spearheading the design and delivery of cutting-edge Information Management solutions, he has consistently elevated business operations, streamlined reporting functions, and maximized process efficiency.
Certified as an ISO/IEC 27001: Information Security Management Systems (ISMS) Lead Implementer, Data Protection Officer, and Cyber Risks Analyst, Denis brings a heightened focus on data security, privacy, and cyber resilience to every endeavor.
His expertise extends across a diverse spectrum of reporting, database, and web development applications, underpinned by an exceptional grasp of data storage and virtualization technologies. His proficiency in application testing, database administration, and data cleansing ensures seamless execution of complex projects.
What sets Denis apart is his comprehensive understanding of Business and Systems Analysis technologies, honed through involvement in all phases of the Software Development Lifecycle (SDLC). From meticulous requirements gathering to precise analysis, innovative design, rigorous development, thorough testing, and successful implementation, he has consistently delivered exceptional results.
Throughout his career, he has taken on multifaceted roles, from leading technical project management teams to owning solutions that drive operational excellence. His conscientious and proactive approach is unwavering, whether he is working independently or collaboratively within a team. His ability to connect with colleagues on a personal level underscores his commitment to fostering a harmonious and productive workplace environment.
Date: May 29, 2024
Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
-------------------------------------------------------------------------------
Find out more about ISO training and certification services
Training: ISO/IEC 27001 Information Security Management System - EN | PECB
ISO/IEC 42001 Artificial Intelligence Management System - EN | PECB
General Data Protection Regulation (GDPR) - Training Courses - EN | PECB
Webinars: https://pecb.com/webinars
Article: https://pecb.com/article
-------------------------------------------------------------------------------
For more information about PECB:
Website: https://pecb.com/
LinkedIn: https://www.linkedin.com/company/pecb/
Facebook: https://www.facebook.com/PECBInternational/
Slideshare: http://www.slideshare.net/PECBCERTIFICATION
Introduction to AI for Nonprofits with Tapp NetworkTechSoup
Dive into the world of AI! Experts Jon Hill and Tareq Monaur will guide you through AI's role in enhancing nonprofit websites and basic marketing strategies, making it easy to understand and apply.
A review of the growth of the Israel Genealogy Research Association Database Collection for the last 12 months. Our collection is now passed the 3 million mark and still growing. See which archives have contributed the most. See the different types of records we have, and which years have had records added. You can also see what we have for the future.
1. BUS 630 Complete Class
BUS 630 Managerial Accounting
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Complete-Class-Guide
For more courses visit our website
http://www.uopassignments.com/
2. BUS 630 Week 1 Assignment Dell Inc Paper
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-1-Assignment-Dell-Inc-Paper
For more courses visit our website
http://www.uopassignments.com/
Submit a paper on one of the major topics listed
below using one of the recommended
journal articles found in the syllabus as the basis for
the paper and incorporating at least two other
related articles of the student’s choice:
Outsourcing
Supply Chain Management
Cost Cutting
Budgeting
Options
The paper must (a) identify the main issues in the
chosen area, (b) apply and reference new learning
that has occurred, (c) build upon class activities or
3. incidents that facilitated learning and
understanding, and (d) present specific current
and/or future applications and relevance to the
workplace.The emphasis of the paper should be on
application of new learning.
use article;
http://www.sec.gov/Archives/edgar/data/826083/
000095013405004423/d22995e10vk.htm
Must be eight- double-spaced pages in length
and formatted according to APA style as
outlined in the approved APA style
guide. Papers with more or less than eight
pages in length will have two points deducted
from the final score for each page over or
under, exclusive of Appendix, References,
Exhibits, etc.
Must include an introductory paragraph with a
succinct thesis statement.
Must address the topic of the paper with
critical thought.
Must conclude with a restatement of the thesis
and a conclusion paragraph.
4. Must use APA style as outlined in the approved
APA style guide to document all sources.
Must include, on the final page, a Reference List
that is completed according to APA style as
outlined in the approved APA style guide.
5. BUS 630 Week 1 DQ 1 Theory of Constraints
Apply the Theory of Constraints to your own
working environment (past or
present). Explain why your organization
doesn’t have unlimited resources (space,
inventory, product line, etc). Explain why
there are always limits to what your
organization can do.
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-1-DQ-1-Theory-of-
Constraints
For more courses visit our website
http://www.uopassignments.com/
6. BUS 630 Week 1 DQ 2 Kranbrack Corporation
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-1-DQ-2-Kranbrack-Corporation
For more courses visit our website
http://www.uopassignments.com/
M.K. Gallant is president of Kranbrack Corporation,
a company whose stock is traded on a national
exchange. In a meeting with investment analysts at
the beginning of the year, Gallant had predicted
that the company’s earnings would grow by 20%
this year. Unfortunately, sales have been less than
expected for the year, and Gallant concluded with
two weeks of the end of the fiscal year that it
would impossible to ultimately report an increase
in earning as large as predicted unless some drastic
action was taken. Accordingly, Gallant has ordered
that wherever possible, expenditures should be
postponed to the new year – including canceling or
postponing orders with suppliers, delaying planned
7. maintenance and training, and cutting back on end-
of-the-year advertising and travel. Additionally,
Gallant ordered the company’s controller to
carefully scrutinize all costs that are currently
classified as period costs and reclassify as many as
possible as product costs. The company is expected
to have substantial inventories of work in process
and finished goods at the end of the
year. Comment on the following
questions. Respond to at least two of your fellow
students’ postings.
Why would reclassifying period costs as
product costs increase this period’s reported
earnings?
Do you believe Gallant’s actions are
ethical? Why or why not?
Assgnt. The questions in this exercise are based
on Dell,Inc. To answer the questions, you will need
to download Dell’s 2005 Form 10-K. You do not
need to print this document in order to answer the
questions.
What is Dell’s strategy for success in the
marketplace? Does the company rely primarily
on a customer intimacy, operational
8. excellence, or product leadership customer
value proposition? What evidence supports
your conclusion?
What business risks does Dell face that may
threaten its ability to satisfy stockholder
expectations? What are some examples of
control activities that the company could use to
reduce these risks? (Hint: Focus on pages 7-10
of the 10-K.)
How as the Sarbanes-Oxley Act of 2002
explicitly affected the disclosures contained in
Dell’s 10-K report? (Hint: Focus on pages 34-35,
59, and 76-78.)
Is Dell a merchandiser or a
manufacturer? What information contained in
the 10-K supports your answer?
What are some examples of direct and indirect
inventoriable costs for Dell? Why has Dell’s
gross margin (in dollars) steadily increased
from 2003 to 2005, yet the gross margin as a
percentage of net revenue only increased
slightly?
9. What is the inventory balance on Dell’s January
28, 2005 balance sheet? Why is the inventory
balance so small compared to the other current
asset balances? What competitive advantage
does Dell derive from its low inventory levels?
Page 27 of Dell’s 10-K reports a figure called
the crash conversioncycle.The cash conversion
cycle for Dell has consistently been negative. Is
this a good sign for Dell or a bad sign? Why?
Describe some of the various types of
operating expenses incurred by Dell. Why are
these expenses treated as period costs?
List four differentcost objects for Dell.For each
cost object, mention one example of a direct
cost and an indirect cost.
10. BUS 630 Week 2 Assignment Basic CVP
Analysis Fashion Shoe Company
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-2-Assignment-Basic-CVP-
Analysis-Fashion-Shoe-Company
For more courses visit our website
http://www.uopassignments.com/
Complete the following exercise
(Problem 4-21) and submit to your instructor.
The Fashion Shoe Company operates a chain of
women’s shoe shops around the country. The
shops carry many styles of shoes that are all
sold at the same price. Sales personnel in the
shops are paid a substantial commission on
each pair of shoes sold (in addition to a small
basic salary) in order to encourage them to be
aggressive in their sales efforts.
11. The following worksheet contains cost and
revenue data for Shop 48 and is typical of the
company’s many outlets:
Per Pair
of
Shoes
Selling
price
$
30.00
Variable
expenses:
Invoice
cost
$ 13.50
13. Salaries
100,000
Total fixed
expenses
$
150,000
Calculate the annual break-even point in
dollar sales and in unit sales for Shop 48.
Prepare a CVP graph showing cost and
revenue data for Shop 48 from zero shoes
up to 17,000 pairs of shoes sold each year.
Clearly indicate the break-even point on
the graph.
If 12,000 pairs of shoes are sold in a year,
what would be Shop 48's net operating
income or loss?
The company is considering paying the
store manager of Shop 48 an
14. incentive commission of Shop 48 an
incentive commission of 75 cents per pair
of shoes (in addition to the salesperson's
commission). If this change is made, what
will be the new break-even point in dollar
sales and in unit sales?
Refer to the original data. As an alternative
to (4) above, the company is considering
paying the store manager 50 cents
commission on each pair of shoes sold in
excess of the break-even point. If this
change is made, what will be the shop's net
operating income or loss if 15,000 pairs of
shoes are sold?
Refer to the original data. The company is
considering eliminating sales commissions
entirely in its shops and increasing fixed
salaries by $31,500 annually. If this change
is made, what will be the new break-even
point in dollar sales and in unit sales for
Shop 48? Would you recommend that the
change be made? Explain.
Carefully review the Grading Rubric for the
criteria that will be used to evaluate your
assignment.
15. BUS 630 Week 2 DQ 1 Downsizing and Fixed Cost
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-2-DQ-1-Downsizing-and-Fixed-Cost
For more courses visit our website
http://www.uopassignments.com/
Downsizing and Fixed Costs
1.Industry downsizing has been a major part of
the corporate world, even government
agencies are downsizing.
GovernmentExecutive.com "covers the
business of the federal government and its
huge departments and agencies - dozens of
16. which dwarf the largest institutions
in the private sector" on its website. Read the
assigned Government Executive
article and answer the following questions:
Which industries have substantially reduced
fixed cost commitments?
Do you believe this reduction in costs has
substantially impaired the ability of these
industries to meet the needs of their
customers? Respond to at least two of your
fellow students’ postings.
17. BUS 630 Week 2 DQ 2 Direct Labor Variable or
Fixed Cost
Throughout the corporate world, businesses
are transforming labor into a more flexible
(and variable) cost. Among such companies
are Hewlett-Packard, General Electric, DuPont,
Sun Microsystems, and British
Airways. Discuss whether direct labor is a
fixed or a variable cost. What are the pros and
cons of management treating direct labor as a
variable cost? Are there ethical issues to be
considered here?
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-2-DQ-2-Direct-Labor-
Variable-or-Fixed-Cost
For more courses visit our website
http://www.uopassignments.com/
18. BUS 630 Week 3 Assignment JetBlue Airways
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-3-Assignment-JetBlue-Airways
For more courses visit our website
http://www.uopassignments.com/
Complete the following exercise (Research and
Application 7-20) and submit to your instructor.
The questions in this exercise are based on JetBlue
Airways Corporation. To answer the questions, you
will need to download JetBlue’s 10-K/A for the year
ended December 31, 2004 (10K/A with a filing date
of March 8, 2005). You do not need to print the 10-
K/A to answer the questions.
Required:
• What is JetBlue’s strategy for success in the
marketplace? Does the company rely primarily on
a customer intimacy, operational excellence, or
product leadership customer value
19. proposition? What evidence supports your
conclusion?
• What business risks does JetBlue face that may
threaten the company’s ability to satisfy
stockholder expectations? What are some
examples of control activities that the company
could use to reduce these risks? (Hint: Focus on
pages 17-23 of the 10-K/A.)
• How can the concept of unit-level activities be
applies to an airline? More specifically, what are
two examples of unit-level activities for
JetBlue? What steps has JetBlue taken to manage
these unit-level activities more efficiently?
• How can the concept of batch-level activities be
applied to an airline? What are two examples of
batch-level activities for JetBlue? What steps has
JetBlue taken to manage these batch-level activities
more efficiently?
• What is one example of a customer-level
activity and an organization-sustaining activity for
JetBlue?
Noreen, E. W., Brewer, P. B., Garrison R. H.
(2011). Managerial accounting for managers (2nd
21. BUS 630 Week 3 DQ 1 Fixed Labor
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-3-Assignment-JetBlue-Airways
For more courses visit our website
http://www.uopassignments.com/
Far North Telecom, Ltd., of Ontario, has organized a
new division to manufacture and sell specialty
cellular telephones. The division’s monthly costs
are shown in the table below. Far North Telecom
regards all of its workers as full-time employees
and the company has a long-standing no layoff
policy. Furthermore, production is highly
automated. Accordingly, the company includes its
labor costs in its fixed manufacturing
overhead. The cellular phones sell for $150
each. During September, the first month of
operations, the following activity was recorded:
12,000 units produced, 10,000 units sold. Comment
22. on the five questions below the table. Respond to
at least two of your fellow students’ postings.
Manufacturing costs:
Variable costs per
unit:
Direct Materials $48
Variable
manufacturing
overhead
$2
Fixed manufacturing
overhead costs (total)
$360,000
Selling and
administration costs:
Variable
12% of
sales
Fixed (total) $470,000
a. Compute the unit product cost under:
i. absorption costing
ii. variable costing
23. b. Prepare an absorptioncosting income statement
for September
c. Prepare a contribution format income statement
for September using variable costing.
d. Assume that the company must obtain
additional financing in order to continue
operations. As a member of top management,
would you prefer to rely n the statement in (b)
above or in (3) above when meeting with a group of
prospective investors?
e. Reconcile the absorption costing and variable
costing net operating incomes in (2) and (3) above.
Complete the following exercise (Research and
Application 7-20) and submit to your instructor.
The questions in this exercise are based on JetBlue
Airways Corporation. To answer the questions, you
will need to download JetBlue’s 10-K/A for the year
ended December 31, 2004 (10K/A with a filing date
of March 8, 2005). You do not need to print the 10-
K/A to answer the questions.
Required:
24. • What is JetBlue’s strategy for success in the
marketplace? Does the company rely primarily on
a customer intimacy, operational excellence, or
product leadership customer value
proposition? What evidence supports your
conclusion?
• What business risks does JetBlue face that may
threaten the company’s ability to satisfy
stockholder expectations? What are some
examples of control activities that the company
could use to reduce these risks? (Hint: Focus on
pages 17-23 of the 10-K/A.)
• How can the concept of unit-level activities be
applies to an airline? More specifically, what are
two examples of unit-level activities for
JetBlue? What steps has JetBlue taken to manage
these unit-level activities more efficiently?
• How can the concept of batch-level activities be
applied to an airline? What are two examples of
batch-level activities for JetBlue? What steps has
JetBlue taken to manage these batch-level activities
more efficiently?
• What is one example of a customer-level
activity and an organization-sustaining activity for
25. JetBlue?
Noreen, E. W., Brewer, P. B., Garrison R. H.
(2011). Managerial accounting for managers (2nd
ed.). New York, NY: McGraw Hill. ISBN: 978-0-07-
352713-0.
26. BUS 630 Week 3 DQ 2 Profitability
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-3-DQ-2-Profitability
For more courses visit our website
http://www.uopassignments.com/
Complete the following exercise and respond
to at least two of your fellow students'
postings. Gallatin Carpet Cleaning is a small,
family-owned business operating out of
Bozeman, Montana. For its services, the
company has always charged a flat fee per
hundred square feet of carpet cleaned. The
current fee is $28 per hundred square feet.
However, there is some question about
whether the company is actually making any
money on jobs for some customers-
particularly those located on remote ranches
that require considerable travel time. The
owner's daughter, home for the summer from
college, has suggested investigating this
question using activity-based costing. After
27. some discussion, a simple system consisting of
four activity cost pools seemed to be adequate.
The activity cost pools and their activity
measures appear below:
Activity Cost Pool
Activity
Measure
Activity
for the
Year
Cleaning carpets
Square
feet
cleaned
(00s)
20,000
hundred
square
feet
Travel to jobs
Miles
driven
60,000
miles
Job support
Number of
jobs
2,000 jobs
Other (costs of idle
capacity and
organization-sustaining
costs)
None
Not
applicable
The total cost of operating the company for the
28. year is $430,000, which includes the following
costs:
Wages $ 150,000
Cleaning
supplies
40,000
Cleaning
equipment
depreciation
20,000
Vehicle
expenses
80,000
Office expenses 60,000
President's
compensation
80,000
$ 430,000
Resource consumption is distributed across
the activities as follows:
Distribution
of Resource
Consumptio
29. n Across
Activities
Cleanin
g
Trave
l to
Job
Carpets Jobs
Suppor
t
Othe
r
Total
Wages 70% 20% 0% 10%
100
%
Cleaning
supplies
100% 0% 0% 0%
100
%
Cleaning
equipment
depreciation
80% 0% 0% 20%
100
%
Vehicle
expenses
0% 60% 0% 40%
100
%
Office
expenses
0% 0% 45% 55%
100
%
President's
compensatio
n
0% 0% 40% 60%
100
%
30. Job support consists of receiving calls from
potential customers at the home office,
scheduling jobs, billing, resolving issues, and
so on.
Using Exhibit 7-5 as a guide, prepare the
first-stage allocation of costs to the activity
cost pools.
Using Exhibit 7-6 as a guide, compute the
activity rates for the activity cost pools.
The company recently completed a 5
hundred square foot carpet -cleaning job
at the Flying N ranch--a 75-mile round-trip
journey from the company's offices in
Bozeman. Compute the cost of this job
using the activity-based costing system.
The revenue from the Flying N ranch was
$140 (5 hundred square feet @ $28 per
hundred square feet). Using Exhibit 7-11
as a guide, prepare a report showing the
margin from this job.
What do you conclude concerning the
profitability of the Flying N ranch job?
Explain.
31. What advice would you give the president
concerning pricing jobs in the future?
32. BUS 630 Week 4 Assignment Master Budget Exercise
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-4-Assignment-Master-Budget-Exercise
For more courses visit our website
http://www.uopassignments.com/
Complete the following three exercises and submit
to your instructor. Be sure to show your work for
calculations to earn full credit.
Sales and Production Budgets (8-12): The marketing
department of Jessi Corporation has submitted the
following sales forecastfor the upcoming fiscal year
(all sales are on account):
1st
Quarte
r
2nd
Quarte
r
3rd
Quarte
r
4th
Quarte
r
Units to
be
11,000 12,000 14,000 13,000
33. produce
d
The selling price of the company's product is $18.00
per unit. Management expects to collect 65% of
sales in the quarter in which the sales are made,
30% in the following quarter, and 5% of sales are
expected to be "'uncollectible. The beginning
balance of accounts receivable, all of which is
expected to be collected in the first quarter, is
$70,200. The company expects to start the first
quarter with 1,650 units in finished goods
inventory. Management desires an ending finished
goods inventory in each quarter equal to 15% of the
next quarter's budgeted sales. The desired ending
finished goods inventory for the fourth quarter is
1,850 units.
· Prepare the company's sales budget
and schedule of expected cash collections.
· Prepare the company's production
budget for the upcoming fiscal year.
Direct Materials and Direct Labor Budgets (8-
13): The production department of Hareston
Company has submitted the following forecast of
34. units to be produced by quarter for the upcoming
fiscal year:
1st
Quarte
r
2nd
Quarte
r
3rd
Quarte
r
4th
Quarte
r
Units to
be
produce
d
7,000 8,000 6,000 5,000
In addition, the beginning raw materials inventory
for the first quarter is budgeted to be 1,400 pounds
and the beginning accounts payable for the first
quarter is budgeted to be $2,940.Each unit requires
2 pounds of raw material that costs $1.40 per
pound. Management desires to end each quarter
with an inventory of raw materials equal to 10% of
the following quarter's production needs. The
desired ending inventory for the fourth quarter is
1,500 pounds. Management plans to pay for 80% of
raw material purchases in the quarter acquired and
20% in the following quarter. Each unit requires
0.60 direct labor-hours and direct labor-hour
workers are paid $14.00 per hour.
35. · Prepare the company's direct materials budget
and schedule of expected cash disbursements for
purchases of materials for the upcoming fiscal year.
· Prepare the company's direct labor budget for the
upcoming fiscal year, assuming that the direct labor
workforce is adjusted each quarter to match the
number of hours required to produce the
forecasted number of units produced.
Direct Labor and Manufacturing Overhead Budgets
(8-14): The production department of Raredon
Corporationhas submitted the following forecastof
units to be produced by quarter for the upcoming
fiscal year:
1st
Quarte
r
2nd
Quarte
r
3rd
Quarte
r
4th
Quarte
r
Units to
be
produce
d
12,000 14,000 13,000 11,000
Each unit requires 0.70 direct labor-hours, and
direct labor-hour workers are paid $10.50 per hour.
In addition, the variable manufacturing overhead
36. rate is $1.50 per direct labor-hour. The fixed
manufacturing overhead is $80,000 per quarter.
The only noncash element of manufacturing
overhead is depreciation, which is $22,000 per
quarter.
· Prepare the company's direct labor budget for the
upcoming fiscal year, assuming that the direct labor
workforce is adjusted each quarter to match the
number of hours required to produce the
forecasted number of units produced.
· Prepare the company's manufacturing overhead
budget.
Carefully review the Grading Rubric for the criteria
that will be used to evaluate your assignment.
37. BUS 630 Week 4 DQ 1 Behavioral Aspects of
Budgeting
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-4-DQ-1-Behavioral-
Aspects-of-Budgeting
For more courses visit our website
http://www.uopassignments.com/
Norton Company, a manufacturer of infant
furniture and carriages, is in the initial stages
of preparing the annual budget for next
year. Scott Ford has recently joined Norton’s
accounting staff and is interested to learn as
much as possible about the company’s
budgeting process. During a recent lunch with
Marge Atkins, sales manager, and Pete
Granger, production manager. Ford initiated
the conversation below. Read the conversation
and answer the questions that
follow. Respond to at least two of your fellow
students’ postings.
38. Ford:
Since I’m new around here and am going to be
involved with the preparation of the annual
budget, I’d be interested to learn how the two
of you estimate sales and production numbers.
Atkins:
We start out very methodically by looking at
recent history, discussing what we know about
current accounts, potential customers, and the
general state of consumer spending. Then, we
add that usual dose of intuition to come up
with the best forecast we can.
Granger:
I usually take the sales projections as the basis
for my projections. Of course, we have to make
an estimate of what this year’s ending
inventories will be, which is sometimes
difficult.
Ford:
39. Why does that present a problem? There must
have been an estimate of ending inventories in
the budget for the current year.
Granger:
Those numbers aren’t always reliable because
Marge makes some adjustments to the sales
numbers before passing them on to me.
Ford:
What kind of adjustments?
Atkins:
Well, we don’t want to fall short of the sales
projections so we generally give ourselves a
little breathing room by lowering the initial
sales projection anywhere from 5% to 10%.
Granger:
So, you can see why this year’s budget is not a
very reliable starting point. We always have to
adjust the projected production rates as the
year progresses and, of course, this changes
40. the ending inventory estimates. By the way,
we make similar adjustments to expenses by
adding at least 10% to the estimates; I think
everyone around here does the same thing.
a. Marge Atkins and Pete Granger have
described the use of what is sometimes called
budgetary slack.
i. Explain why Atkins and Granger behave in
this manner and describe the benefits they
expect to realize from the use of budgetary
slack.
ii. Explain how the use of budgetary slack can
adversely affect Atkins and Granger.
b. As a management accountant, Scott Ford
believes that the behavior described by Marge
Atkins and Pete Granger may be unethical. By
referring to the IMA’s Statement of Ethical
Professional Practice in chapter 1, explain why
the use of budgetary slack may be unethical.
41. BUS 630 Week 4 DQ 2 Critiquing a Cost Report
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-4-DQ-2-Critiquing-a-Cost-Report
For more courses visit our website
http://www.uopassignments.com/
Complete the following exercise: Frank Weston,
supervisor of the Freemont Corporation's
Machining Department, was visibly upset after
being reprimanded for his department's poor
performance over the prior month. The
department's cost control report is given below:
"I just can't understand all the red ink," Weston
complained to the supervisor of another
department. "When the boss called me in, I
thought he was going to give me a pat on the back
because I know for a fact that my department
workedmore efficiently last month than it has ever
workedbefore,instead, he tore me apart. I thought
for a minute that it might be over the supplies that
42. were stolen out of our warehouse last month. But
they only amounted to a couple of hundred dollars,
and just look at this report. Everything is
unfavorable." Direct labor wages and supplies are
variable costs; supervision and depreciation are
fixed costs; and maintenance and utilities are
mixed costs. The fixed component of the budgeted
maintenance cost is $92,000; the fixed component
of the budgeted utilities cost is $11,700.
Freemont
Corporation-
Machining
Department
Cost Control Report
For the Month
Ended June 30
Planning
Budget
Actual
Results
Variances
Machine-hours 35,000 38,000
Direct labor wages $80,500 $86,100 $5,600 U
43. Supplies 21,000 23,100 2,100 U
Maintenance 134,000 137,300 3,300 U
Utilities 15,200 15,700 500 U
Supervision 38,000 38,000
Depreciation 80,000 80,000
Total $368,700$380,200
Evaluate the company's cost control report and
explain why the variances were all
unfavorable.
Prepare a performance report that will help
Mr. Weston's superiors assess how well costs
were controlled in the Machining Department.
Respond to at least two of your fellow students’
postings.
44. BUS 630 Week 5 Assignment FedEx
Corporation
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-5-Assignment-FedEx-
Corporation
For more courses visit our website
http://www.uopassignments.com/
What is FedEx’sstrategy for success in the
marketplace? Does the company rely primarily
on acustomer intimacy, operations excellence,
or product leadership customer
valueproposition? What evidence supports
your conclusion?
What are FedEx’sfour main business
segments? Provide two examples of traceable
fixed costs foreach of FedEx’s four business
segments. Provide two examples of common
costs that are not traceable to the
four business segments.
Identify oneexample of a cost center, a profit
45. center, and an investment center for FedEx.
Provide threeexamples of fixed costs that can
be traceable or common depending on how
FedExdefines its business segments.
Compute themargin, turnover, and return on
investment (ROI) in 2005 for each of
FedEx’sfour business segments (Hint: page 99
reports total segment assets for eachbusiness
segment.)
Assume that FedExestablished a minimum
required rate of return of 15% for each of its
businesssegments. Compute the residual
income earned in 2005 in each of FedEx’s
foursegments.
Assume that thesenior managers of FedEx
Express and FedEx Ground each have an
investmentopportunity that would require $20
million of additional operating assets andthat
would increase operating income by $4
million. If FedEx evaluates all of its senior
managersusing ROI, would the managers of
both segments pursue the
investment opportunity? If FedEx evaluates all
ofits senior managers using residual income,
47. BUS 630 Week 5 DQ 1 Variance Analysis in a
Hospital
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-5-DQ-1-Variance-Analysis-in-a-Hospital
For more courses visit our website
http://www.uopassignments.com/
Complete problem 10-15 in the text and answer the
three required questions. John Fleming, chief
administrator for Valley ViewHospital, is concerned
about the costs for tests in the hospital's lab.
Charges for lab tests are consistently higher at
Valley View than at other hospitals and have
resulted in many complaints. Also, because of strict
regulations on amounts reimbursed for lab tests,
payments received from insurance companies and
governmental units have not been high enough to
cover lab costs. Mr. Fleming has asked you to
evaluate costs in the hospital's lab for the past
month. The following information is available:
48. Two types of tests are performed in the lab-
blood tests and smears.During the past month,
1,800 blood tests and 2,400 smears were
performed in the lab. Small glass plates are
used in both types of tests. During the past
month, the hospital purchased 12,000 plates at
a cost of $28,200. This cost is net of a 6%
quantity discount. 1,500 of these plates were
unused at the end of the month; no plates
were on hand at the beginning of the month.
During the past month, 1,150 hours of labor
time were recorded in the lab at a cost of
$13,800.
The lab's variable overhead cost last month
totaled $7,820.
Valley View Hospital has never used standard costs.
By searching industry literature,however, you have
determined the following nationwide averages for
hospital labs:
Plates: Two plates are required per lab test. These
plates cost $2.50 each and are disposed of after the
test is completed.
49. Labor: Each blood test should require 0.3 hours to
complete, and each smear should require 0.15
hours to complete.The average cost of this lab time
is $14 per hour.
Overhead: Overhead cost is based on direct labor-
hours. The average rate for variable overhead is $6
per hour.
Compute a materials price variance for the
plates purchased last month and a materials
quantity variance for the plates used last
month.
For labor cost in the lab:
o Compute a labor rate variance and a labor
efficiency variance.
o In most hospitals, one-half of the workers
in the lab are senior technicians and one-
half are assistants. In an effort to reduce
costs, Valley View Hospital employs only
one-fourth senior technicians and three-
fourths assistants. Would you recommend
that this policy be continued? Explain.
Compute the variable overhead rate and efficiency
variances. Is there any relation between the
51. BUS 630 Week 5 DQ 2 Perverse Affects of Some
Performance Measures
To purchase this material link
http://www.uopassignments.com/BUS-630/BUS-
630-Week-5-DQ-2-Perverse-Affects-of-Some-
Performance-Measures
For more courses visit our website
http://www.uopassignments.com/
Complete the following exercise and provide a
recommendation for each of the four scenarios
presented. There is often more than one way to
improve a performance measure. Unfortunately,
some of the actions taken by managers to make
their performance look better may actually harm
the organization. For example, suppose the
marketing department is held responsible only for
increasing the performance measure "total
revenues," Increases in total revenues may be
achieved by working harder and smarter, but they
can also usually be achieved by simply cutting
52. prices. The increase in volume from cutting prices
almost always results in greater total revenues;
however, it does not always lead to greater total
profits. Those who design performance
measurement systems need to keep in mind that
managers who are under pressure to perform may
take actions to improve performance measures
that have negative consequences elsewhere. For
each of the following situations, describe actions
that managers might take to show improvement in
the performance measure but which do not actually
lead to improvement in the organization's overall
performance.
Concerned with the slow rate at which new
products are brought to market, top
management of a consumer electronics
company introduces a new performance
measure--speed-to-market. The research and
development department is given
responsibility for this performance measure,
which measures the average amount of time a
product is in development before it is released
to the market for sale.
The CEO of a telephone company has been
under public pressure from city officials to fix
53. the large number of public pay phones that do
not work. The company's repair people
complain that the problem is vandalism and
damage caused by theft of coins from coin
boxes--particularly in high-crime areas in the
city. The CEO says she wants the problem
solved and has pledged to city officials that
there will be substantial improvement by the
end of the year. To ensure that this is done, she
makes the managers in charge of installing and
maintaining pay phones responsible for
increasing the percentage of public pay phones
that are fully functional.
A manufacturing company has been plagued by
the chronic failure to ship orders to customers
by the promised date. To solve this problem,
the production manager has been given the
responsibility of increasing the percentage of
orders shipped on time. When a customer calls
in an order, the production manager and the
customer agree to a delivery date. If the order
is not completed by that date, it is counted as a
late shipment.
Concerned with the productivity of employees,
the board of directors of a large multinational
54. corporation has dictated that the manager of
each subsidiary will be held responsible for
increasing the revenue per employee of his or
her subsidiary.
Respond to at least two of your fellow students’
postings.
55. BUS 630 Week 6 Assignment Final Project
Submit a paper on one of the major topics
listed below using one of the recommended
journal articles found in the syllabus as the
basis for the paper and incorporating at least
two other related articles of the student’s
choice:
Cost Management
Outsourcing
Supply Chain Management
Cost Cutting
Budgeting
Options
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-6-Assignment-Final-
Project
For more courses visit our website
http://www.uopassignments.com/
56. BUS 630 Week 6 DQ 1 Make Or Buy
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-6-DQ-1-Make-Or-Buy
For more courses visit our website
http://www.uopassignments.com/
Han Products manufactures 30,000 units of
part S-6 each year for use on its production
line. At this level of activity, the cost per unit
for part S-6 is as follows:
Direct
materials
$ 3.60
Direct labor 10.00
Variable
manufacturing
overhead
2.40
57. Fixed
manufacturing
overhead
9.00
Total cost per
part
$25.00
An outside supplier has offered to sell 30,000
units of part S-6 each year to Han Products for
$21 per part. If Han Products accepts this
offer, the facilities now being used to
manufacture part S-6 could be rented to
another company at an annual rental of
$80,000. However, Han Products has
determined that two-thirds of the fixed
manufacturing overhead being applied to part
S-6 would continue even if part S-6 were
purchased from the outside supplier. Prepare
computations showing how much profits will
increase or decrease if the outside supplier’s
offer is accepted. Respond to at least two of
your fellow students’ postings.
58. BUS 630 Week 6 DQ 2 Net Present Value
Analysis
To purchase this material link
http://www.uopassignments.com/BUS-
630/BUS-630-Week-6-DQ-2-Net-Present-
Value-Analysis
For more courses visit our website
http://www.uopassignments.com/
Complete the following exercise, using this
Excel template, and respond to at least two of
your fellow students’ postings.. In eight years,
Kent Duncan will retire. He is exploring the
possibility of opening a self-service car wash.
The car wash could be managed in the free
time he has available from his regular
occupation, and it could be closed easily when
he retires. After careful study, Mr. Duncan has
determined the following:
A building in which a car wash could be
installed is available under an eight-year
lease at a cost of $1,700 per month.
59. Purchase and installation costs of
equipment would total $200,000. In eight
years the equipment could be sold for
about 10% of its original cost.
An investment of an additional $2,000
would be required to cover working
capital needs for cleaning supplies, change
funds, and so forth. After. eight years, this
working capital would be released for
investment elsewhere.
Both a wash and a vacuum service would
be offered with a wash costing $2.00 and
the vacuum costing $1.00 per use.
The only variable costs associated with the
operation would be 20 cents per wash for
water and 10 cents per use of the vacuum
for electricity.
In addition to rent, monthly costs of
operation would be: cleaning, $450;
insurance, $75; and maintenance, $500.
Gross receipts from the wash would be
about $1,350 per week. According to the
experience of other car washes, 60% of the
60. customers using the wash would also use
the vacuum.
Mr. Duncan will not open the car wash unless it
provides at least a 10% return.
Assuming that the car wash will be open
52 weeks a year, compute the expected
annual net cash receipts (gross cash
receipts less cash disbursements) from its
operation. (Do not include the cost of the
equipment, the working capital, or the
salvage value in these computations.)
(Ignore income taxes.)
Would you advise Mr. Duncan to open the
car wash? Show computations using the
net present value method of investment
analysis. Round all dollar figures to the
nearest whole dollar. (Ignore income
taxes.)