The document analyzes Canada's business cycle and forecasts GDP growth using an ARIMA model with labor productivity, industrial production, exchange rates, and capital investment as independent variables. It finds the model fits the data well and forecasts a contraction in GDP during the hold-out period of 2007-2009, though sensitivity analysis shows alternative scenarios could produce less severe outcomes.
This document contains assignments from various management courses, including Management Process and Organisational Behaviour, Business Communication, Statistics for Management, Financial and Management Accounting, Managerial Economics, and Human Resource Management. It provides the contact information for a website that offers solved assignments for nominal fees and also provides an email address for the same.
This document provides an overview of demand estimation and regression analysis. It discusses how demand estimation is an essential process that informs various business decisions. Regression analysis uses statistical techniques to model the relationship between a dependent variable (e.g. demand) and independent variables (e.g. price, income). Simple regression uses one independent variable, while multiple regression uses more variables. Ordinary least squares is used to estimate the coefficients in the regression equation. These coefficients represent the impact of each independent variable on demand and can be used to forecast demand under different scenarios.
This document compares different methods for forecasting stock returns and prices in the S&P 500 universe. Four models are presented: 1) an autoregressive (AR) model that assumes stocks behave autocorrelatedly; 2) a pair trading model that exploits statistical relationships between correlated stocks; 3) a principal component analysis (PCA) model that identifies common market factors influencing stocks; and 4) a market neutral model based on mean-reversion. The forecasting results from each method are compared to real values to evaluate their performance, with the statistical arbitrage methods of pair trading and market neutral performing better than the traditional time series AR and VAR models.
This document discusses demand estimation through regression analysis. It explains that demand estimation predicts future consumer behavior by applying variables like income, price, etc. Regression analysis establishes a statistical relationship between a dependent variable (like sales) and independent variables (like advertising expenditures) that affect it. The document shows an example of using least squares regression to estimate the relationship between sales (dependent variable) and advertising expenditures (independent variable) for a firm based on monthly data. It calculates the regression line equation and uses it to predict sales if advertising expenditures are 7 lakhs.
Economic value added (eva) and shareholders wealthAlexander Decker
This document summarizes a research study that examines the relationship between Economic Value Added (EVA) and shareholder wealth creation for selected automobile companies in India. The study uses factor analysis to identify factors that contribute most to shareholder wealth maximization. The results show that three factors were extracted from eight variables analyzed, explaining 69.902% of the total variance. Specifically, sales and profit after tax were found to have a stronger relationship with EVA than other variables. The document provides background on EVA and outlines the methodology used, including measurement of EVA, sample selection, and statistical analysis conducted.
11.economic value added (eva) and shareholders wealthAlexander Decker
This document summarizes a research study that examines the relationship between Economic Value Added (EVA) and shareholder wealth creation for selected automobile companies in India. The study uses factor analysis to identify factors that contribute most to shareholder wealth maximization. The results show that three factors were extracted from eight variables, explaining 69.902% of the total variance. Specifically, sales and profit after tax were found to have a stronger relationship with EVA than other variables. The document provides background on EVA and outlines the methodology used, including measurement of EVA, sample selection, and statistical analysis.
The document summarizes changes to the Public Housing Assessment System (PHAS). Key changes include removing the resident satisfaction indicator, scoring only the public housing program rather than all programs, and measuring indicators using data from FASS, PASS, UPCS inspections, eLOCCS, and PIC rather than self-certifications. The physical, financial, and management indicators were adjusted and will now be scored out of 40, 25, and 25 points respectively. Inspection frequencies were changed based on the size of the PHA and performance levels. Designations were also adjusted and assessments will now be done based on the new inspection frequencies.
This document discusses using the SPUs on the PlayStation 3 to perform deferred shading for Battlefield 3, offloading work from the GPU. It provides an overview of the SPU-based deferred shading approach, including breaking the screen into tiles that are processed by multiple SPUs in parallel. Algorithmic optimizations discussed include aggressive light culling, material classification, and using lookup tables. Code optimizations focus on data layout, instruction scheduling, and generating shader permutations at compile time. Best practices include tools for rapid development and profiling permutation usage.
This document contains assignments from various management courses, including Management Process and Organisational Behaviour, Business Communication, Statistics for Management, Financial and Management Accounting, Managerial Economics, and Human Resource Management. It provides the contact information for a website that offers solved assignments for nominal fees and also provides an email address for the same.
This document provides an overview of demand estimation and regression analysis. It discusses how demand estimation is an essential process that informs various business decisions. Regression analysis uses statistical techniques to model the relationship between a dependent variable (e.g. demand) and independent variables (e.g. price, income). Simple regression uses one independent variable, while multiple regression uses more variables. Ordinary least squares is used to estimate the coefficients in the regression equation. These coefficients represent the impact of each independent variable on demand and can be used to forecast demand under different scenarios.
This document compares different methods for forecasting stock returns and prices in the S&P 500 universe. Four models are presented: 1) an autoregressive (AR) model that assumes stocks behave autocorrelatedly; 2) a pair trading model that exploits statistical relationships between correlated stocks; 3) a principal component analysis (PCA) model that identifies common market factors influencing stocks; and 4) a market neutral model based on mean-reversion. The forecasting results from each method are compared to real values to evaluate their performance, with the statistical arbitrage methods of pair trading and market neutral performing better than the traditional time series AR and VAR models.
This document discusses demand estimation through regression analysis. It explains that demand estimation predicts future consumer behavior by applying variables like income, price, etc. Regression analysis establishes a statistical relationship between a dependent variable (like sales) and independent variables (like advertising expenditures) that affect it. The document shows an example of using least squares regression to estimate the relationship between sales (dependent variable) and advertising expenditures (independent variable) for a firm based on monthly data. It calculates the regression line equation and uses it to predict sales if advertising expenditures are 7 lakhs.
Economic value added (eva) and shareholders wealthAlexander Decker
This document summarizes a research study that examines the relationship between Economic Value Added (EVA) and shareholder wealth creation for selected automobile companies in India. The study uses factor analysis to identify factors that contribute most to shareholder wealth maximization. The results show that three factors were extracted from eight variables analyzed, explaining 69.902% of the total variance. Specifically, sales and profit after tax were found to have a stronger relationship with EVA than other variables. The document provides background on EVA and outlines the methodology used, including measurement of EVA, sample selection, and statistical analysis conducted.
11.economic value added (eva) and shareholders wealthAlexander Decker
This document summarizes a research study that examines the relationship between Economic Value Added (EVA) and shareholder wealth creation for selected automobile companies in India. The study uses factor analysis to identify factors that contribute most to shareholder wealth maximization. The results show that three factors were extracted from eight variables, explaining 69.902% of the total variance. Specifically, sales and profit after tax were found to have a stronger relationship with EVA than other variables. The document provides background on EVA and outlines the methodology used, including measurement of EVA, sample selection, and statistical analysis.
The document summarizes changes to the Public Housing Assessment System (PHAS). Key changes include removing the resident satisfaction indicator, scoring only the public housing program rather than all programs, and measuring indicators using data from FASS, PASS, UPCS inspections, eLOCCS, and PIC rather than self-certifications. The physical, financial, and management indicators were adjusted and will now be scored out of 40, 25, and 25 points respectively. Inspection frequencies were changed based on the size of the PHA and performance levels. Designations were also adjusted and assessments will now be done based on the new inspection frequencies.
This document discusses using the SPUs on the PlayStation 3 to perform deferred shading for Battlefield 3, offloading work from the GPU. It provides an overview of the SPU-based deferred shading approach, including breaking the screen into tiles that are processed by multiple SPUs in parallel. Algorithmic optimizations discussed include aggressive light culling, material classification, and using lookup tables. Code optimizations focus on data layout, instruction scheduling, and generating shader permutations at compile time. Best practices include tools for rapid development and profiling permutation usage.
Walk-Through Demand Sales Time Series ForecastingIRJET Journal
This document discusses time series forecasting for demand sales. It provides background on time series forecasting and demand forecasting. Key classical time series models for demand forecasting include ARIMA, SARIMA, and SARIMAX, which are appropriate when the data exhibits seasonality. Feature engineering techniques discussed include lag features/shifted features to represent the time series pattern, and rolling mean features based on the moving average method commonly used in time series forecasting. The document examines these techniques in the context of demand sales forecasting using an external dataset.
GEO NECF 2015 - Best Practices and Trends in Financial ReportingAndrea Huck-Esposito
Financial reporting for equity compensation is not a new topic. However, developments in the complexity of the types of awards offered combined with vagueness in guidance has resulted in an evolution of best practices in financial reporting. Attend this session and hear how best in class companies are currently handling their financial reporting as a result. Get tips for how to handle your financial reporting dilemmas—whether in a system or in excel. What’s more, hear all about the latest trends in award design that are causing financial reporting issues and how best to address these. Financial reporting for equity compensation will never be easier!
The document discusses Design for Six Sigma (DFSS) and its 14 step process. It begins with defining customer requirements and needs, then measuring key product characteristics. Next it analyzes potential problems, develops conceptual designs, and conducts reliability analysis. Steps also include optimizing the design through techniques like robust design and tolerance mapping. The process concludes with verifying the design meets predictions, developing manufacturing controls, and validating the design transition. The overall goal of DFSS is to design products and processes that meet customer needs with built-in quality from the beginning.
Working Capital Management Practice and its Impact on Chemical Industry Per...Jahid Khan Rahat
Working capital management is a crucial aspect of financial management for any business,
including the chemical industry in Bangladesh. Effective management of working capital helps ensure that a company has the necessary liquidity to meet its short-term obligations and pursue
its growth objectives.
In the chemical industry, working capital management practices can have a significant impact
on the performance of firms. This is because the industry is characterized by high fixed costs,
long production cycles, and a high degree of inventory and accounts receivable. Therefore,
effective management of working capital can lead to improved profitability, increased
efficiency, and better cash flow management.
In Bangladesh, the chemical industry is an important sector of the economy, contributing
significantly to industrial growth and employment. The sector has experienced rapid expansion
in recent years, with new entrants and increased competition. However, many firms in the
industry face challenges related to working capital management, including inadequate financing options, high inventory levels, and slow collections from customers.
To address these challenges, chemical firms in Bangladesh can adopt several working capital
management practices, such as optimizing inventory levels, improving collections from
customers, and negotiating better payment terms with suppliers. These practices can help improve the cash conversion cycle and increase the firm's liquidity, which can lead to improved
financial performance.
In addition, chemical firms can also leverage technology and automation to improve their
working capital management practices. For instance, they can use software to monitor inventory levels and streamline the collection process, reducing the risk of inventory stockouts
and late payments from customers.
Overall, effective working capital management is essential for the success of chemical firms in
Bangladesh. By adopting best practices and leveraging technology, firms can improve their financial performance and maintain a competitive edge in the market.
The document provides an overview of managerial economics, including its definition, scope, and significance. It discusses how managerial economics integrates economic theory with business practices to help managers make informed decisions. Some key principles that guide managerial decision-making are also introduced, such as opportunity cost, marginal analysis, and discounting future cash flows.
BBA 2301, Principles of Accounting II 1 Course LeaCicelyBourqueju
This document provides an overview of the learning outcomes and content covered in Unit VIII of BBA 2301, Principles of Accounting II. The key topics covered include:
1. Explaining how financial information influences short-term and long-term management decisions through tools like standard costs and balanced scorecards.
2. Discussing operational and capital budgets, including describing various capital budgeting methods like net present value, internal rate of return, and payback period.
3. Introducing the concepts of variances in standard costs, which are differences between actual and standard costs that can be analyzed, and the balanced scorecard for evaluating organizational performance using financial and non-financial measures.
Kash Masuria Whats Six Simga Presentationguestd0440a
The document provides an overview of Six Sigma, including its methodology and deployment strategy. Six Sigma aims to reduce defects and variation through data-driven problem solving and continuous improvement. It uses a Define-Measure-Analyze-Improve-Control framework and various statistical tools. Successful deployment requires organizational alignment, selecting the right projects, training Green and Black Belts, and sustaining gains through control plans and infrastructure. Savings of $40-120 million per year are typical after 8-10 months of initial deployment.
The document describes the Cost driven Approach to Regulatory burdens (CAR) methodology developed by SIRA Consulting to quantify regulatory burdens on businesses. The CAR methodology takes a business's financial administration as a starting point to identify and quantify the costs of legal obligations. It expresses these regulatory burdens as a percentage of total business costs. The CAR methodology was developed to support the Dutch government's goal of reducing regulatory burdens on competitive sectors of the Dutch economy by €2.5 billion. It aims to scope solutions and identify measures that lead to tangible burden reduction and increased competitiveness.
This document provides an overview of accounting principles and the conceptual framework used in financial reporting. It discusses the key topics of generally accepted accounting principles set by the FASB, the objectives of providing useful financial information, qualitative characteristics like relevance and reliability, elements in financial statements, and operating guidelines including assumptions, principles, and constraints. The conceptual framework developed by the FASB serves as the basis for resolving accounting problems and consists of these important components.
The document discusses key aspects of establishing and reporting a process capability baseline (PCB). It begins by defining a PCB and explaining why tracking certain metrics is important for process maturity. It then describes a 4-step approach to establishing a PCB: 1) ensuring a stable, capable process; 2) understanding the process distribution; 3) identifying regressions and residuals; 4) generalizing regressions into a model. The document emphasizes that a PCB report should quantitatively analyze current performance against goals and prior periods to enable process improvements. It recommends a table of contents for a comprehensive PCB report.
Be aers-fara-modellinginsolvency-nov2010Dodi Mulyadi
The document discusses Solvency II modeling requirements and options. It begins by depicting the complex processes and information flows required for Solvency II modeling. It then outlines the 5 options insurers can use to calculate the Solvency Capital Requirement (SCR), ranging from using the standard formula to developing a full internal model. The document also includes sections on model risk, internal model requirements, model governance, and an example of how the internal model use test could demonstrate the interaction between strategy, capital, and risk appetite.
Six Sigma is a data-driven approach and methodology for eliminating defects and improving processes. It uses statistical methods and tools to measure a process, analyze data, improve performance, and control processes. The main goals of Six Sigma are to reduce variation and defects in manufacturing and business processes. Key aspects include establishing a infrastructure with Champions, Black Belts, Green Belts and training. Successful Six Sigma programs at companies like Motorola and GE focused on measurable results, strong leadership support, and aggressive project selection.
The document provides an overview of Six Sigma, including:
1) Six Sigma is a data-driven approach to process improvement that aims to reduce defects. It uses statistical tools and methodology applied to projects selected for high impact.
2) Major companies like GE and Motorola have successfully adopted Six Sigma, achieving significant cost savings and quality improvements.
3) Six Sigma aims for near-perfect processes, with less than 3.4 defects per million opportunities. Achieving six sigma quality levels can have substantial financial benefits for companies.
This document discusses demand forecasting techniques used to predict future demand for products and services. It covers qualitative methods like executive opinion and surveys, as well as quantitative time series and causal models. Time series methods explained include moving averages, trend projection using least squares, and exponential smoothing. Causal models relate demand to factors like income, price, and leading economic indicators. The document notes uncertainties in demand forecasting arise from limitations of past data, unrealistic assumptions in models, and changes that are difficult to predict.
Six Sigma is a data-driven approach to process improvement that aims to reduce defects. It uses statistical methods and a structured strategy to identify and eliminate sources of errors and variation in manufacturing and business processes. The document discusses Six Sigma's scientific and practical approach, how it has been successfully implemented by companies like GE and Motorola to significantly reduce costs and improve quality, and barriers to its implementation.
Required ResourceTextSchneider, A. (2017). Managerial Accounti.docxaudeleypearl
Required Resource
Text
Schneider, A. (2017). Managerial Accounting: Decision making for the service and manufacturing sectors (2nd ed.) [Electronic version]. Retrieved from https://content.ashford.edu/
· Chapter 5: Joint Cost Allocation and Variable Costing
· Chapter 8: Cost Control Through Standard Costs
Recommended Resource
Multimedia
Crosson, S. (2007). PVA ABC JIT – 4 ABC example (Links to an external site.) [Video File]. Retrieved from http://www.youtube.com/watch?v=eyH4l3VvOCU
Discussion 1 Allocating Joint Costs
Describe the three methods used to allocate joint costs. What are the advantages/disadvantages of each allocation method? Which method would you recommend? Why? Support your position with evidence from the text or external sources. Your initial post should be 200-250 words.
Guided Response: Review several of your classmates’ postings. Respond to at least two of your classmates by asking a question to challenge their recommended allocation method. Support your question and/or comments with evidence from the text or external sources.
Discussion 2 Variable/Absorption Costing
As you read in Chapter 8, there are arguments (for and against) variable costing and absorption costing. Select one of these costing methods and explore the various arguments. Determine whether you are “for” or “against” this selected method. Provide evidence from the text to support your position. Your initial post should be 200-250 words.
Guided Response: Review several of your classmates’ postings. Respond to at least two of your classmates who explored a different costing method than your own by stating whether you agree or disagree with their position. Be sure to include cited support/examples to clarify your point of view.
LearningObjectives
After studying Chapter 8, you will be able to:
Explain the signi�icance of pro�it analysis for an organization.
Describe the major characteristics and conditions of a standard cost system.
Understand the information contained in a standard cost sheet.
Compute materials price and usage variances, and identify potential causes of such variances.
Compute labor rate and ef�iciency variances, and identify potential causes of such variances.
Explain the major considerations that are the basis of standard costs for overhead and compute
budget variances and capacity variances for overhead.
Explain why the capacity variance is related only to �ixed overhead costs.
Understand issues relating to variance investigation and disposal of variances.
8 Cost Control Through Standard Costs
nd3000/iStock/Thinkstock
Explain how standard costs can be used in various different settings.
Describe ethical considerations relating to standards and variances.
WhereDoIStartWithStandardCosts?
Jean-Claude Recca, President of Rue de Lorraine, a chain of fast-food restaurants in central France, just
returned from a reunion of his INSEAD graduating class. During the day of activities in the Riviera, he talked
with several o ...
Walk-Through Demand Sales Time Series ForecastingIRJET Journal
This document discusses time series forecasting for demand sales. It provides background on time series forecasting and demand forecasting. Key classical time series models for demand forecasting include ARIMA, SARIMA, and SARIMAX, which are appropriate when the data exhibits seasonality. Feature engineering techniques discussed include lag features/shifted features to represent the time series pattern, and rolling mean features based on the moving average method commonly used in time series forecasting. The document examines these techniques in the context of demand sales forecasting using an external dataset.
GEO NECF 2015 - Best Practices and Trends in Financial ReportingAndrea Huck-Esposito
Financial reporting for equity compensation is not a new topic. However, developments in the complexity of the types of awards offered combined with vagueness in guidance has resulted in an evolution of best practices in financial reporting. Attend this session and hear how best in class companies are currently handling their financial reporting as a result. Get tips for how to handle your financial reporting dilemmas—whether in a system or in excel. What’s more, hear all about the latest trends in award design that are causing financial reporting issues and how best to address these. Financial reporting for equity compensation will never be easier!
The document discusses Design for Six Sigma (DFSS) and its 14 step process. It begins with defining customer requirements and needs, then measuring key product characteristics. Next it analyzes potential problems, develops conceptual designs, and conducts reliability analysis. Steps also include optimizing the design through techniques like robust design and tolerance mapping. The process concludes with verifying the design meets predictions, developing manufacturing controls, and validating the design transition. The overall goal of DFSS is to design products and processes that meet customer needs with built-in quality from the beginning.
Working Capital Management Practice and its Impact on Chemical Industry Per...Jahid Khan Rahat
Working capital management is a crucial aspect of financial management for any business,
including the chemical industry in Bangladesh. Effective management of working capital helps ensure that a company has the necessary liquidity to meet its short-term obligations and pursue
its growth objectives.
In the chemical industry, working capital management practices can have a significant impact
on the performance of firms. This is because the industry is characterized by high fixed costs,
long production cycles, and a high degree of inventory and accounts receivable. Therefore,
effective management of working capital can lead to improved profitability, increased
efficiency, and better cash flow management.
In Bangladesh, the chemical industry is an important sector of the economy, contributing
significantly to industrial growth and employment. The sector has experienced rapid expansion
in recent years, with new entrants and increased competition. However, many firms in the
industry face challenges related to working capital management, including inadequate financing options, high inventory levels, and slow collections from customers.
To address these challenges, chemical firms in Bangladesh can adopt several working capital
management practices, such as optimizing inventory levels, improving collections from
customers, and negotiating better payment terms with suppliers. These practices can help improve the cash conversion cycle and increase the firm's liquidity, which can lead to improved
financial performance.
In addition, chemical firms can also leverage technology and automation to improve their
working capital management practices. For instance, they can use software to monitor inventory levels and streamline the collection process, reducing the risk of inventory stockouts
and late payments from customers.
Overall, effective working capital management is essential for the success of chemical firms in
Bangladesh. By adopting best practices and leveraging technology, firms can improve their financial performance and maintain a competitive edge in the market.
The document provides an overview of managerial economics, including its definition, scope, and significance. It discusses how managerial economics integrates economic theory with business practices to help managers make informed decisions. Some key principles that guide managerial decision-making are also introduced, such as opportunity cost, marginal analysis, and discounting future cash flows.
BBA 2301, Principles of Accounting II 1 Course LeaCicelyBourqueju
This document provides an overview of the learning outcomes and content covered in Unit VIII of BBA 2301, Principles of Accounting II. The key topics covered include:
1. Explaining how financial information influences short-term and long-term management decisions through tools like standard costs and balanced scorecards.
2. Discussing operational and capital budgets, including describing various capital budgeting methods like net present value, internal rate of return, and payback period.
3. Introducing the concepts of variances in standard costs, which are differences between actual and standard costs that can be analyzed, and the balanced scorecard for evaluating organizational performance using financial and non-financial measures.
Kash Masuria Whats Six Simga Presentationguestd0440a
The document provides an overview of Six Sigma, including its methodology and deployment strategy. Six Sigma aims to reduce defects and variation through data-driven problem solving and continuous improvement. It uses a Define-Measure-Analyze-Improve-Control framework and various statistical tools. Successful deployment requires organizational alignment, selecting the right projects, training Green and Black Belts, and sustaining gains through control plans and infrastructure. Savings of $40-120 million per year are typical after 8-10 months of initial deployment.
The document describes the Cost driven Approach to Regulatory burdens (CAR) methodology developed by SIRA Consulting to quantify regulatory burdens on businesses. The CAR methodology takes a business's financial administration as a starting point to identify and quantify the costs of legal obligations. It expresses these regulatory burdens as a percentage of total business costs. The CAR methodology was developed to support the Dutch government's goal of reducing regulatory burdens on competitive sectors of the Dutch economy by €2.5 billion. It aims to scope solutions and identify measures that lead to tangible burden reduction and increased competitiveness.
This document provides an overview of accounting principles and the conceptual framework used in financial reporting. It discusses the key topics of generally accepted accounting principles set by the FASB, the objectives of providing useful financial information, qualitative characteristics like relevance and reliability, elements in financial statements, and operating guidelines including assumptions, principles, and constraints. The conceptual framework developed by the FASB serves as the basis for resolving accounting problems and consists of these important components.
The document discusses key aspects of establishing and reporting a process capability baseline (PCB). It begins by defining a PCB and explaining why tracking certain metrics is important for process maturity. It then describes a 4-step approach to establishing a PCB: 1) ensuring a stable, capable process; 2) understanding the process distribution; 3) identifying regressions and residuals; 4) generalizing regressions into a model. The document emphasizes that a PCB report should quantitatively analyze current performance against goals and prior periods to enable process improvements. It recommends a table of contents for a comprehensive PCB report.
Be aers-fara-modellinginsolvency-nov2010Dodi Mulyadi
The document discusses Solvency II modeling requirements and options. It begins by depicting the complex processes and information flows required for Solvency II modeling. It then outlines the 5 options insurers can use to calculate the Solvency Capital Requirement (SCR), ranging from using the standard formula to developing a full internal model. The document also includes sections on model risk, internal model requirements, model governance, and an example of how the internal model use test could demonstrate the interaction between strategy, capital, and risk appetite.
Six Sigma is a data-driven approach and methodology for eliminating defects and improving processes. It uses statistical methods and tools to measure a process, analyze data, improve performance, and control processes. The main goals of Six Sigma are to reduce variation and defects in manufacturing and business processes. Key aspects include establishing a infrastructure with Champions, Black Belts, Green Belts and training. Successful Six Sigma programs at companies like Motorola and GE focused on measurable results, strong leadership support, and aggressive project selection.
The document provides an overview of Six Sigma, including:
1) Six Sigma is a data-driven approach to process improvement that aims to reduce defects. It uses statistical tools and methodology applied to projects selected for high impact.
2) Major companies like GE and Motorola have successfully adopted Six Sigma, achieving significant cost savings and quality improvements.
3) Six Sigma aims for near-perfect processes, with less than 3.4 defects per million opportunities. Achieving six sigma quality levels can have substantial financial benefits for companies.
This document discusses demand forecasting techniques used to predict future demand for products and services. It covers qualitative methods like executive opinion and surveys, as well as quantitative time series and causal models. Time series methods explained include moving averages, trend projection using least squares, and exponential smoothing. Causal models relate demand to factors like income, price, and leading economic indicators. The document notes uncertainties in demand forecasting arise from limitations of past data, unrealistic assumptions in models, and changes that are difficult to predict.
Six Sigma is a data-driven approach to process improvement that aims to reduce defects. It uses statistical methods and a structured strategy to identify and eliminate sources of errors and variation in manufacturing and business processes. The document discusses Six Sigma's scientific and practical approach, how it has been successfully implemented by companies like GE and Motorola to significantly reduce costs and improve quality, and barriers to its implementation.
Required ResourceTextSchneider, A. (2017). Managerial Accounti.docxaudeleypearl
Required Resource
Text
Schneider, A. (2017). Managerial Accounting: Decision making for the service and manufacturing sectors (2nd ed.) [Electronic version]. Retrieved from https://content.ashford.edu/
· Chapter 5: Joint Cost Allocation and Variable Costing
· Chapter 8: Cost Control Through Standard Costs
Recommended Resource
Multimedia
Crosson, S. (2007). PVA ABC JIT – 4 ABC example (Links to an external site.) [Video File]. Retrieved from http://www.youtube.com/watch?v=eyH4l3VvOCU
Discussion 1 Allocating Joint Costs
Describe the three methods used to allocate joint costs. What are the advantages/disadvantages of each allocation method? Which method would you recommend? Why? Support your position with evidence from the text or external sources. Your initial post should be 200-250 words.
Guided Response: Review several of your classmates’ postings. Respond to at least two of your classmates by asking a question to challenge their recommended allocation method. Support your question and/or comments with evidence from the text or external sources.
Discussion 2 Variable/Absorption Costing
As you read in Chapter 8, there are arguments (for and against) variable costing and absorption costing. Select one of these costing methods and explore the various arguments. Determine whether you are “for” or “against” this selected method. Provide evidence from the text to support your position. Your initial post should be 200-250 words.
Guided Response: Review several of your classmates’ postings. Respond to at least two of your classmates who explored a different costing method than your own by stating whether you agree or disagree with their position. Be sure to include cited support/examples to clarify your point of view.
LearningObjectives
After studying Chapter 8, you will be able to:
Explain the signi�icance of pro�it analysis for an organization.
Describe the major characteristics and conditions of a standard cost system.
Understand the information contained in a standard cost sheet.
Compute materials price and usage variances, and identify potential causes of such variances.
Compute labor rate and ef�iciency variances, and identify potential causes of such variances.
Explain the major considerations that are the basis of standard costs for overhead and compute
budget variances and capacity variances for overhead.
Explain why the capacity variance is related only to �ixed overhead costs.
Understand issues relating to variance investigation and disposal of variances.
8 Cost Control Through Standard Costs
nd3000/iStock/Thinkstock
Explain how standard costs can be used in various different settings.
Describe ethical considerations relating to standards and variances.
WhereDoIStartWithStandardCosts?
Jean-Claude Recca, President of Rue de Lorraine, a chain of fast-food restaurants in central France, just
returned from a reunion of his INSEAD graduating class. During the day of activities in the Riviera, he talked
with several o ...
Required ResourceTextSchneider, A. (2017). Managerial Accounti.docx
Forecasting the Recession
1. Canada’s Financial Future
The Canadian Business Cycle
Created by Kirsten Boer, Shannon Hamilton & Gretl
2. Agenda
1. Overview of Topic
2. Economic Theory
3. Data & Methods
4. Empirical Results & Sensitivity Analysis
5. Practical Applications
6. Summary
3. Overview of Topic
What is the future path of Canada’s
Business Cycle? Is Canada’s
economy currently contracting?
Overview Economic Theory Data & Methods Results Application Summary
4. In the News
OECD warns of worst recession since early 1980s
OECD says developed world could face worst recession since early 1980s; warns of
deflation
Economic contraction in Canada will be short-lived:
Royal Bank
U.S. economic woes not necessarily Canada's fate
Overview Economic Theory Data & Methods Results Application Summary
5. Business Cycles
Business cycle:
“fluctuations of
Peak
aggregate economic
activity”, which
consists of 4 stages:
contraction, trough,
expansion & peak Trough
Overview Economic Theory Data & Methods Results Application Summary
6. Business Cycles: Burns & Mitchell
Factors
Business Cycles that affect
are recurrent, but not business cycles have
periodic regular patterns of
behavior
Theory
suggests an
ARIMA model
would not be
suitable
Overview Economic Theory Data & Methods Results Application Summary
7. ARIMA & GDP’s Growth Path
Overview Economic Theory Data & Methods Results Application Summary
8. Classes of Economic Variables
Leading Coincident Lagging
Variable’s turning Variable’s turning Variable’s turning
point occurs before point occurs at point occurs after
the business cycle the same time as the business cycle
the business cycle
Theory suggests the appropriate lag length of different variables
Overview Economic Theory Data & Methods Results Application Summary
9. Classes of Economic Variables
Procyclical Acyclical Countercyclical
Variable does not
Variable moves in Variable moves in
move with the
the same direction the opposite
business cycle
as the business direction as the
(e.g. real interest
cycle business cycle
rates)
Theory suggests the coefficient sign of different variables
Overview Economic Theory Data & Methods Results Application Summary
10. Considered Variables
•Durable consumption •Government Spending
• Stock index prices on G&S
GDP= C + I + G + NX
•Capital Investment • Trade Balance
• CA Balance
•Exchange rates
Other considered Variables: Bank of Canada Interest rate, Labour productivity, inflation
(CPI), unemployment, MB1, mortgage rates
Overview Economic Theory Data & Methods Results Application Summary
11. What period should be used?
• 1996:1 to 2006:1
• Allows for a hold-out period
• Uses data that best matches the current structural
relationship between the independent variables and
the dependent variable
Overview Economic Theory Data & Methods Results Application Summary
12. Is the Data Stationary?
GDP Labour Productivity
Industrial Production Capital Investment
Overview Economic Theory Data & Methods Results Application Summary
13. Is the Data Stationary?
Exchange Rate
Overview Economic Theory Data & Methods Results Application Summary
14. Correlation Matrix
Correlation Coefficients, using the observations 1996:1 - 2006:1
d_lab d_industprod d_exchange d_kinvest
1.000 0.3725 -0.0107 -0.1914 d_lab
1.000 -0.1136 -0.0106 d_industprod
1.000 0.1563 d_exchange
1.000 d_kinvest
Overview Economic Theory Data & Methods Results Application Summary
15. Chosen Model
coefficient std. error t-ratio p-value
--------------------------------------------------------------
const 3382.92 928.731 3.643 0.0010 ***
d_lab 4419.39 1049.81 4.210 0.0002 ***
d_industprod_1 0.524218 0.0982486 5.336 9.03E-06 ***
d_Exchange_1 !797.298 213.312 !3.738 0.0008 ***
d_kInvest_1 0.302776 0.0367233 8.245 3.34E-09 ***
Mean of dependent variable = 9501.31
Standard deviation of dep. var. = 5024.55
Sum of squared residuals = 1.19761e+08
Standard error of the regression = 1965.52
Unadjusted R-squared = 0.86446
Adjusted R-squared = 0.84698
F-statistic (4, 31) = 93.4873 (p-value < 0.00001)
Overview Economic Theory Data & Methods Results Application Summary
16. Review of Parameter Signs
Variable Sign Reasoning
Labour is better utilized in a period of economic
d_labour + prosperity
d_industrialprod_1 + Firms produce more when the economic outlook is good
Canada is a net export country; as the change in the
d_exchange_1 - exchange rate falls, Canadian exports become more
attractive
Firms invest more when the economic outlook of
d_kinvestment_1 + Canada is good
Overview Economic Theory Data & Methods Results Application Summary
17. Specification Tests
Test Output Result
Ramsey RESET p-value=0.2706 DNR Null Hypothesis
White Test p-value=0.3597 DNR Null Hypothesis
Breusch-Godfrey p-value=0.166879 DNR Null Hypothesis
Graph does not cross CI
CUSUM/CUSUMSQ No structural Break
Bands
Overview Economic Theory Data & Methods Results Application Summary
18. In-Sample Forecast Accuracy
Measure Value
MFE 0.000625
MAFE 1408.3875
MSE 2678972.259
MPE 0.015954892
MAPE 0.1514023
Theil’s U 0.078145808
Overview Economic Theory Data & Methods Results Application Summary
22. Sensitivity Analysis
1. What if the future values of the independent
variables were less volatile than expected?
2. What if government successfully increase capital
investment?
Overview Economic Theory Data & Methods Results Application Summary
23. Sensitivity Analysis
Comparison of Different Change in GDP Predictions
30000
22500
15000
7500
0
-7500
-15000
-22500
-30000
2001:02:00 2002:01:00 2002:04:00 2003:03:00 2004:02:00 2005:01:00 2005:04:00 2006:03:00 2007:02:00 2008:01:00 2008:04:00 2009:03:00
d_GDP Initial Prediction
Alternate Prediction (1) Alternate Prediction (2)
Overview Economic Theory Data & Methods Results Application Summary
24. Independent Variables & Theory
Independent Variables Theory Suggests
1. Labour Productivity 1. Leading/ Procyclical
2. Industrial Production 2. Coincident/ Procyclical
3. Exchange Rate 3. No theoretical view
4. Capital Investment 4. Coincident/ Procyclical
Overview Economic Theory Data & Methods Results Application Summary
25. Independent Variables & Theory
Independent Variables Model Suggests
1. Labour Productivity 1. Coincident/ Procyclical
2. Industrial Production 2. Lagging/ Procyclical
3. Exchange Rate 3.Lagging/Countercyclical
4. Capital Investment 4. Lagging/ Procyclical
Overview Economic Theory Data & Methods Results Application Summary
26. ARIMA Forecasting Accuracy
Measure Value
MFE -2,161.71
MAFE 3,538.348
MSE 17,710,115
MPE -0.318
MAPE 0.425088
Theil’s U 0.163985
Overview Economic Theory Data & Methods Results Application Summary
27. ARIMA vs. OLS Model
Our
ARIMA findings match
provides a less Burns &
accurate model Mitchell’s
Theory
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28. Macro-Level Application
Framework to Direct Timeline
Create Public Estimations
Government’s
Policy
Public Policy
Analysis &
Comparison Tool
Overview Economic Theory Data & Methods Results Application Summary
29. Micro-Level Application
Trend Economic
Analysis Decision
Criteria
The Graduate
Decision: School
or Work? Sensitivity
Forecasted Analysis
GDP values vs.
Market Beliefs
Overview Economic Theory Data & Methods Results Application Summary
30. Key Takeaways
1. GDP should begin to recover by the end
of 2008
2. Government should work to create
policies that aid in the recovery of
Canada’s economy
Overview Economic Theory Data & Methods Results Application Summary