This assignment has discussed the components of audit risk and possible business risk in the inventory cycle, as well as suggested audit procedures in handling the fraud related business risk in an organization
The purpose of this assignment is to analyze the business risk in an organization and discuss the components of audit risk and possible business risk in the inventory cycle. Additionally, the assignment requires a suggestion of audit procedures in handling fraud-related business risk in an organization.
1. Introduction of the retail sectors:
Name and address: XYZ Retail Company, 123 Main Street, Anytown, USA
Web address: www.xyzretail.com
Distribution channel: XYZ Retail Company distributes its products through brick-and-mortar stores, online sales, and wholesale distribution to other retailers.
Products: XYZ Retail Company sells a variety of products including clothing, home goods, and electronics.
2. Components of audit risk:
Audit risk is comprised of three main components: inherent risk, control risk, and detection risk. Inherent risk is the risk that exists in the absence of controls, and is related to the nature of the business or transaction. Control risk is the risk that the controls in place will not prevent or detect a misstatement. Detection risk is the risk that the auditor will not detect a material misstatement.
3. Possible fraud related to inventory cycle:
There are several possible types of fraud related to the inventory cycle, including:
- Fictitious inventory: creating false inventory records to inflate the value of the company's assets.
- Theft of inventory: stealing inventory from the company.
- Misstatement of inventory valuation: inflating the value of inventory to increase the company's assets.
- Misstatement of inventory quantities: inflating the quantity of inventory to increase the company's assets.
4. Fraud related audit procedures involving inventory:
There are several audit procedures that can be used to detect fraud related to inventory, including:
- Physical inventory counts: conducting a physical count of inventory to verify the accuracy of the company's records.
- Review of inventory valuation methods: reviewing the company's methods for valuing inventory to ensure they are appropriate and consistent.
- Analytical procedures: comparing inventory levels and turnover rates to industry benchmarks to identify potential red flags.
- Review of internal controls: Review the company's internal controls related to inventory to ensure they are effective in preventing and detecting fraud.
5. Summary:
In conclusion, this assignment has discussed the components of audit risk and possible business risk in the inventory cycle, as well as suggested audit procedures in handling the fraud related business risk in an organization. It is important for auditors to be aware of the potential for fraud in the inventory cycle and to implement appropriate procedures to detect and prevent it.
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Sarbanes-Oxley Act controls all the following except:monopoliescensureindividual accountabilitypublic accounting requirementsHostile takeover in the field of strategic management refers to which of the following?A takeover that is deemed illegal by the SEC.A takeover that is forced to take on assets/liabilities that would become very unattractive.A takeover that forces the unfriendly firm to repurchase large amounts of stock at a premium.A takeover that is strongly resisted by the target firm.
The Sarbanes-Oxley Act does not control monopolies.As for the second question, a hostile takeover in the field of strategic management refers to "A takeover that is strongly resisted by the target firm."
Monopolies is primarily concerned with regulating financial practices and ensuring transparency and accountability in publicly traded companies. Therefore, the correct answer to the first question is "monopolies."
This type of hostile takeover occurs when one company attempts to acquire another company without the consent of the target company's board of directors or management. It is often characterized by aggressive tactics, such as buying large amounts of stock in the target company or making a public offer to buy the company at a premium price.
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17. List five examples of ‘notifiable incidents’ where a person has not been impacted or injured that need to be reported.18. Why do WHS statistics need to be reviewed and reported on?19. Discuss how the following are used when developing monitoring reports and making recommendations for change:• agendas for and minutes of meetings• committee members• consultation decisions and follow-up actions• consultation processes• diaries of meetings• WHS information provided to personnel• risk controls• safe work practices24. Identify three reasons there is a need for workplaces to establish and maintain records regarding risk assessments including risk control actions that have been implemented.25. Identify five examples of details that need to be maintained regarding WHS training plans developed by an organisation for their employees.26. List five examples of details that need to be maintained regarding WHS training undertaken by employees of an organisation.
17. It includes hazardous chemical release, structural collapse, serious injury etc.
18. To monitor workplace safety performance, identify trends etc.
19. Committee members are used to provide oversight and guidance on the development of monitoring reports.
24. To ensure all risks are identified and managed; to monitor the effectiveness of the implemented risk controls.
25. The types of training required, when and where the training will be held etc.
26. The date and duration of the training, who provided the training, the subject matter of the training, etc.
17. Notifiable incidents that need to be reported include: fire, hazardous chemical release, structural collapse, serious injury or illness of a person, and any other incident that involves the destruction or damage of property or an environment hazard.
18. WHS statistics need to be reviewed and reported on to monitor workplace safety performance, identify trends and patterns of accidents, and to identify any further areas of risk that need to be addressed.
19. Agendas for and minutes of meetings are used to keep track of who was present at the meeting, what was discussed and any decisions made. Committee members are used to provide oversight and guidance on the development of monitoring reports. Consultation decisions and follow-up actions are used to make sure the consultation process is effective and decisions are acted on.
Consultation processes are used to ensure all stakeholders are consulted and their views are taken into account. Diaries of meetings are used to keep track of all meetings regarding the development of monitoring reports. WHS information provided to personnel is used to make sure all employees are aware of the WHS standards.
24. Reasons for maintaining records of risk assessments and risk control actions include: to ensure all risks are identified and managed; to monitor the effectiveness of the implemented risk controls; and to ensure that all workers have access to the information regarding risk control measures in the workplace.
25. Details that need to be maintained regarding WHS training plans developed by an organisation for their employees include: the types of training required, when and where the training will be held, who will be delivering the training, the expected outcomes of the training, the costs associated with the training, and who needs to attend the training.
26. Examples of details that need to be maintained regarding WHS training undertaken by employees of an organisation include: the date and duration of the training, who provided the training, the subject matter of the training, who attended the training, and any assessments or tests undertaken as part of the training.
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Consider an entrepreneur with the following opportunity. For an initial investment of $1,400 this year, a project will generate either cash flows of $1,000 or $3,000 whether the economy is weak or strong. Both scenarios are equal probability. The risk free rate is 5% and the risk premium of the project is 10%. Assuming the capital markets are perfect, the entrepreneur will borrow $300 at 5% interest rate to finance the entire project. What is the cost of equity for the project?
The cost of equity for the project can be calculated using the CAPM equation, In this case, the cost of equity is 15%.
The cost of equity for the project can be calculated using the Capital Asset Pricing Model (CAPM) formula:
Cost of Equity = Risk Free Rate + (Risk Premium x Beta)
Given that the risk free rate is 5% and the risk premium is 10%, we can plug these values into the formula to find the cost of equity:
Cost of Equity = 5% + (10% x Beta)
Since the entrepreneur is borrowing $300 at a 5% interest rate, the cost of debt is also 5%.
To find the Beta of the project, we can use the formula:
Beta = (Cost of Equity - Risk Free Rate) / Risk Premium
Plugging in the values from the question, we get:
Beta = (Cost of Equity - 5%) / 10%
Rearranging the formula and solving for the cost of equity, we get:
Cost of Equity = (10% x Beta) + 5%
Since the initial investment is $1,400 and the entrepreneur is borrowing $300, the equity investment is $1,100 ($1,400 - $300).
The cost of equity for the project is therefore:
Cost of Equity = (10% x $1,100) + 5%
Cost of Equity = $110 + 5%
Cost of Equity = 15%
Therefore, the cost of equity for the project is 15%.
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"In using a database connection as part of a Selenium test for
test data a Recordset or ResultSet correctly refers to which of the
following? a.The table schema b.The XML file c. The JSON file d. The set of
browser drivers
e. the output of the SQL query
In using a database connection as part of a Selenium test for test data the output of the SQL query. (E)
A Recordset or ResultSet refers to the output of an SQL query that is used as test data in a Selenium test. It is a collection of data that is retrieved from a database connection and is used to verify the functionality of the application under test.
The table schema, XML file, JSON file, and set of browser drivers are not related to the Recordset or ResultSet in this context.
Here is the step-by-step explanation:
1. A Selenium test is executed to verify the functionality of an application.
2. As part of the test, a database connection is established to retrieve test data.
3. An SQL query is executed to retrieve the test data.
4. The output of the SQL query is stored in a Recordset or ResultSet.
5. The Recordset or ResultSet is used as test data to verify the functionality of the application.
6. The test is completed and the database connection is closed.
Therefore, the correct answer is e. the output of the SQL query.
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Please discuss this with at least 700 words, providing detailed
explanations and examples.
the role of organized capital on strategic managment
Organized capital plays an essential role in strategic management. Strategic management is a process of determining the long-term goals and objectives of an organization and then developing and implementing a set of strategies to achieve them.
Organized capital is a type of capital that is systematically arranged and allocated to various investment and operating activities of the organization. It is typically generated by investors and can be used for various strategic objectives, such as creating an endowment, acquiring a company, developing new products or services, and so on.
Organized capital can be used to fund the organization's operations, including financing of capital investments and working capital needs. It can also be used for capital expansion, research and development, and strategic acquisitions.
Capital provided by investors can also be used to fund the organization's marketing, sales, and customer support initiatives. This organized capital can also help an organization develop competitive advantages in terms of its operations and strategic management.
Organized capital also allows an organization to better manage its risk and to adjust its strategy in order to remain competitive and succeed in the marketplace.
The risk associated with organized capital can be reduced by diversifying the portfolio of investments, using financial instruments to hedge against potential losses, and managing the flow of funds within the organization.
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Briefly explain the accounting treatment on measuring and recognizing a gain or loss by the debtor on a settlement of debt which involves the transfer of noncash assets. (4 marks) Also, analyze ANY TWO factors that the company will consider when accepting the transfer of non-cash assets by debtors as settlement of debt. (6 marks)
The accounting treatment for measuring and recognizing a gain or loss by a debtor on the settlement of debt which involves the transfer of noncash assets involves recognizing the difference between the fair value of the asset being exchanged for the debt and the remaining balance of the debt. If the fair value of the asset being exchanged is greater than the remaining debt balance, the difference is reported as a gain, while if it is less, the difference is reported as a loss.
When considering the acceptance of the transfer of noncash assets as settlement of debt, two factors a company should consider include the fair market value of the asset being exchanged and the cost of selling or otherwise disposing of the asset if the transfer of the noncash asset is not accepted. Additionally, the company should consider the terms of the settlement and the costs associated with rejecting the settlement and recovering the debt in the traditional manner.
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Pickerington Communications Inc. (PCI) has developed a powerful server that would be used for the company’s internet activities. The company has the following capital structure, which is considered optimal. Debt is 30%, preferred stock is 10%, and common stock is 60%. PCI’s tax rate is 25%, and investors expect earnings and dividends to grow at a constant rate of 6% in the future. The company paid a dividend of $3.70 per share last year (D0), and its stock currently sells at a price of $60 per share. Ten-year Treasury bonds yield 6%, the market risk premium is 5%, and PCI’s beta is 1.3.
The following information is available for managerial finance analysis:
Preferred stock: New preferred stock could be sold to the public at a price of $100 per share, with a dividend of $9. Flotation costs per share is $5.
Debt: The company’s long-term debt has a yield to maturity of 9%.
Common stock: All common stock will be raised internally by reinvesting earnings.
Calculate the company’s after-tax cost of debt.
Calculate the cost of preferred stock.
Calculate the company’s cost of common stock using both CAPM method and the dividend growth method.
What is the company’s weighted average cost of capital (WACC)?
The company’s management is meeting today to discuss ways to minimize its cost of capital.
Identify three factors that the management of PCI cannot control and three factors that it can use to control its cost of capital.
Another company, Davis Industries is choosing between a gas-powered and an electric-powered forklift truck for moving materials in its factory. Because both forklifts perform the same function, the firm will choose only one i.e., they are mutually exclusive investments. The cost of capital is 10%. The director of capital budgeting has provided the expected cash flows of the machines as follows:
Expected Net Cash Flows
Year
Machine A
Machine B
0
($50,000)
($50,000)
1
25,000
15,000
2
20,000
15,000
3
10,000
15,000
4
5,000
15,000
5
5,000
15,000
Calculate the payback period and profitability index for each machine.
Calculate net present value (NPV) and internal rate of return (IRR) for each machine.
Using the NPV technique, which machine should be recommended?
The director of capital budgeting has asked you to include risk analysis in your report. He wants you to explain risk in the context of capital budgeting, and how the risk can be analyzed.
Explain three types of risk that are relevant in capital budgeting decisions.
How is each of these risk types measured?
After-tax cost of debt is 6.75%, Cost of preferred stock is 9.47%, Cost of common stock is 11.5% and Weighted average cost of capital is 9.64%,
1. After-tax cost of debt:
= YTM x (1 - tax rate)
= 9% x (1 - 0.25)
= 6.75%
2. Cost of preferred stock:
= (Dividend / Net price) x 100
= ($9 / ($100 - $5)) x 100
= 9.47%
3. Cost of common stock:
CAPM method:
= Risk-free rate + (Beta x Market risk premium)
= 6% + (1.3 x 5%)
= 11.5%
Dividend growth method:
= (D1 / P0) + g
= (($3.70 x 1.06) / $60) + 6%
= 12.67%
4. Weighted average cost of capital (WACC):
= (Weight of debt x After-tax cost of debt) + (Weight of preferred stock x Cost of preferred stock) + (Weight of common stock x Cost of common stock)
= (0.30 x 6.75%) + (0.10 x 9.47%) + (0.60 x 11.5%)
= 9.64%
5. Factors that the management of PCI cannot control:
- Market interest rates
- Market risk premium
- The company's beta
Factors that the management of PCI can use to control its cost of capital:
- Capital structure
- Dividend policy
- Flotation costs
6. Payback period:
Machine A: 3 years
Machine B: 3.33 years
Profitability index:
Machine A: 1.2
Machine B: 1.5
7. Net present value (NPV):
Machine A: $2,976.43
Machine B: $12,435.35
Internal rate of return (IRR):
Machine A: 14.44%
Machine B: 17.08%
8. Recommendation:
Based on the NPV technique, Machine B should be recommended as it has a higher NPV.
9. Explanation of risk in the context of capital budgeting:
Risk in the context of capital budgeting refers to the uncertainty or variability of the expected cash flows from an investment project. It is important to analyze the risk associated with a project because it can affect the project's expected return and the decision to accept or reject the project.
10. Three types of risk that are relevant in capital budgeting decisions:
- Stand-alone risk
- Corporate risk
- Market risk
11. Measurement of each of these risk types:
- Stand-alone risk: Measured by the standard deviation or coefficient of variation of the project's expected cash flows.
- Corporate risk: Measured by the project's impact on the firm's overall risk, which can be assessed using sensitivity analysis or scenario analysis.
- Market risk: Measured by the project's beta, which reflects the sensitivity of the project's return to changes in the overall market return.
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Problem 7-5 You have an opportunity to acquire a property from First Capital Bank. The bank recently obtained the property from a borrower who defaulted on his loan. First Capital is offering the property for $200,000. If you buy the property, you believe that you will have to spend (1) $10,500 on various acquisition-related expenses and (2) an average of $2,000 per month during the next 12 months for repair costs, and so on, in order to prepare it for sale. Because First Capital Bank would like to sell the property as soon as possible, it is willing to provide $180,000 in financing at 4.25 percent interest for 12 months payable monthly (interest only). Your market research indicates that after you repair the property, it may sell for about $225,000 at the end of one year. Furthermore, you will probably have to pay about $3,000 in fees and selling expenses in order to sell the property at that time.
Required:
a. If you wanted to earn a 20 percent return compounded monthly, do you believe that this would be a good investment?
b. What would you need to sell the property for in order to achieve the 20 percent return?
a. Is this a good investment?
b. Sale price
a. Based on the return on investment (ROI) and desired return of 20% compounded monthly, this is not a good investment. b. The property should be sold for $296,016.
a. To determine if this is a good investment, we need to calculate the return on investment (ROI) and compare it to the desired return of 20% compounded monthly.
1. First, let's calculate the total cost of the investment:
Acquisition cost: $200,000
Acquisition-related expenses: $10,500
Repair costs: $2,000 x 12 = $24,000
Financing cost: $180,000 x 0.0425 x 12 = $9,180
Selling expenses: $3,000
Total cost = $246,680
2. Next, let's calculate the ROI:
ROI = (Sale price - Total cost) / Total cost
ROI = ($225,000 - $246,680) / $246,680
ROI = -0.0878 or -8.78%
Since the ROI is negative and less than the desired return of 20% compounded monthly, this is not a good investment.
b. To achieve a 20% return compounded monthly, we need to solve for the sale price in the ROI equation:
0.20 = (Sale price - $246,680) / $246,680
Sale price = $246,680 x 1.20 + $246,680
Sale price = $296,016
Therefore, you would need to sell the property for $296,016 in order to achieve a 20% return compounded monthly.
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Andy takes out a 15-year mortgage of $130000 to purchase a home. If the annual interest rate is 7.2% and is compounded monthly, how much is his monthly payment? et dollars.
Andy takes out a 15-year mortgage of $130000 to purchase a home. If the annual interest rate is 7.2% and is compounded monthly, Andy's monthly payment is $1424.27.
To find Andy's monthly payment on his mortgage, we can use the following formula:
Monthly Payment = (Loan Amount x Monthly Interest Rate) / (1 - (1 + Monthly Interest Rate)^(-Number of Monthly Payments))
First, we need to find the monthly interest rate and the number of monthly payments. The monthly interest rate is the annual interest rate divided by 12:
Monthly Interest Rate = 7.2% / 12 = 0.006
The number of monthly payments is the number of years in the mortgage multiplied by 12:
Number of Monthly Payments = 15 x 12 = 180
Now we can plug these values into the formula:
Monthly Payment = ($130000 x 0.006) / (1 - (1 + 0.006)^(-180))
Monthly Payment = $780 / (1 - 0.4525)
Monthly Payment = $780 / 0.5475
Monthly Payment = $1424.27
Therefore, Andy's monthly payment is $1424.27.
Here is the answer in HTML format:
To find Andy's monthly payment on his mortgage, we can use the following formula:
Monthly Payment = (Loan Amount x Monthly Interest Rate) / (1 - (1 + Monthly Interest Rate)^(-Number of Monthly Payments))
First, we need to find the monthly interest rate and the number of monthly payments. The monthly interest rate is the annual interest rate divided by 12:
Monthly Interest Rate = 7.2% / 12 = 0.006
The number of monthly payments is the number of years in the mortgage multiplied by 12:
Number of Monthly Payments = 15 x 12 = 180
Now we can plug these values into the formula:
Monthly Payment = ($130000 x 0.006) / (1 - (1 + 0.006)^(-180))
Monthly Payment = $780 / (1 - 0.4525)
Monthly Payment = $780 / 0.5475
Monthly Payment = $1424.27
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If a country exports more than it imports, it has a trade surplus.
True
False
The statement if a country exports more than it imports, it has a trade surplus is true.
What is a trade surplus?A trade surplus tend to occur in a situation where a country or a nation exports additional goods and services than they imports, resulting in a positive balance of trade.
This means that the country has a net inflow of money from exporting more than it spends on imports. In contrast, a trade deficit occurs when a country imports more than it exports, resulting in a negative balance of trade, meaning the country has a net outflow of money.
Therefore the statement is true.
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Assess your mgmt 102 term project experience using the"stage ofgroup development. OR elaborate important variables of effectiveteams?
The stage of group development can be used to assess the experience of working on a term project for MGMT 102. The stages include forming, storming, norming, performing, and adjourning.
During the forming stage, the group members get to know each other and start to establish goals and roles. This stage is characterized by excitement and anticipation about the project.
The storming stage is when conflicts may arise within the group, as members have different opinions and ideas about how to approach the project. It is important to resolve these conflicts effectively in order to move on to the next stage.
The norming stage is when the group starts to work together more effectively and establish norms for behavior and communication. This is when the group starts to make progress on the project.
The performing stage is when the group is functioning at its highest level and is able to complete the project effectively.
Finally, the adjourning stage is when the group disbands after the project is complete. This stage can be characterized by a sense of accomplishment, but also sadness about the end of the group experience.
The important variables of effective teams include clear goals, effective communication, trust, and a strong sense of commitment to the project. These variables are crucial for a team to be successful and achieve its goals.
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Assume that your current small television set (for which you paid $369.99 several years ago) has developed wavy lines across the screen and makes the people in your favourite programs sound distorted. Therefore, you have decided to work all summer to save money for the ultimate $1,800 high-definition television with surround sound. Name and describe the steps of your decision process for purchasing your new television. Briefly explain how a marketer could influence your overall satisfaction with your purchase.
There are several steps to making a decision to purchase a new television, including: Identifying the problem, Searching for information, Evaluating alternatives, Making a decision, Post-purchase evaluation.
A marketer can influence a consumer’s overall satisfaction with a purchase through advertising, reviews, and by providing helpful customer service.
Identifying the problem: In this case, the problem is that the current television set has developed wavy lines across the screen and makes the people in your favourite programs sound distorted.
Searching for information: This step involves researching different television sets, comparing features and prices, and reading reviews from other customers.
Evaluating alternatives: After gathering information, you will need to compare the different options and determine which television set best fits your needs and budget.
Making a decision: Once you have evaluated the alternatives, you will need to make a decision on which television set to purchase.
Post-purchase evaluation: After making the purchase, you will need to evaluate whether the television set meets your expectations and whether you are satisfied with your purchase.
A marketer could influence your overall satisfaction with your purchase by providing excellent customer service, offering a warranty or return policy, and following up with you after the purchase to ensure that you are satisfied with your new television set. Additionally, the marketer could provide helpful information and recommendations during the decision-making process to help you make an informed decision.
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Question 3. Assess how the social marketing can
be used by a tyre company. 5 marks (Topic: Marketing)
Social marketing can be used by a tyre company in the following ways like Brand awareness, Customer engagement, Product promotion ,Market research, Influencer marketing.
Brand awareness: Social media platforms can be used to increase brand awareness among the target audience. By creating engaging content and promoting it through paid advertising, the company can reach a larger audience and create a strong brand presence.
Customer engagement: Social media can be used to engage with customers and build relationships. By responding to customer queries and feedback, the company can improve customer satisfaction and loyalty.
Product promotion: The company can use social media to promote its products and special offers. By creating visually appealing content and targeting the right audience, the company can increase sales and revenue.
Market research: Social media can be used to conduct market research and gather insights about customer preferences and behaviour. This can help the company to develop new products and improve existing ones.
Influencer marketing: The company can collaborate with social media influencers to promote its products. By leveraging the influencer's following, the company can reach a wider audience and increase brand awareness.
Overall, social marketing can be an effective tool for a tyre company to increase brand awareness, engage with customers, promote products, conduct market research, and collaborate with influencers.
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If suddenly remittance drops 10% annually due to Covid and every other thing remain constant then what will happen to the exchange rate between USD and taka. What could Bangladesh Bank do to keep the exchange rate unchanged? Make sure you draw a diagram to show your answer.
If remittance drops 10% annually due to Covid and every other thing remains constant, then the exchange rate between USD and taka would likely decrease. This is because remittance is a major source of foreign exchange for Bangladesh, and a decrease in remittance would lead to a decrease in the supply of foreign exchange.
As a result, the demand for foreign exchange would exceed the supply, leading to a depreciation of the taka against the USD.
To keep the exchange rate unchanged, Bangladesh Bank could intervene in the foreign exchange market by selling its foreign exchange reserves. This would increase the supply of foreign exchange and help to stabilize the exchange rate.
However, this would also lead to a decrease in the foreign exchange reserves, which could have negative implications for the country's economy.
Here is a diagram to show the effect of a decrease in remittance on the exchange rate:
In this diagram, S1 represents the supply of foreign exchange before the decrease in remittance, and D represents the demand for foreign exchange. As remittance decreases, the supply of foreign exchange shifts to the left (S2), leading to a depreciation of the taka against the USD.
By selling its foreign exchange reserves, Bangladesh Bank can shift the supply curve back to the right (S1) and stabilize the exchange rate.
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Mark the letter of the exchange rate system being described in each of the following.
A. Fixed
B. Freely floating
C. Managed float
D. Pegged
The correct answer for each of the following exchange rate systems is:
A. Fixed: An exchange rate system in which a country’s currency has a fixed rate relative to another currency or a basket of currencies.
B. Freely floating: An exchange rate system in which a currency's value is determined by the forces of supply and demand in the market.
C. Managed float: An exchange rate system in which a government or central bank actively monitors and intervenes in the foreign exchange market to influence the exchange rate.
D. Pegged: An exchange rate system in which a country’s currency has a fixed rate relative to another currency or a basket of currencies, but the rate may be adjusted periodically.
The value of the currency is determined by the government and is not affected by the market forces. This system is known as a Fixed exchange rate system.
The value of the currency is determined by the supply and demand in the foreign exchange market. This system is known as a Freely floating exchange rate system.
The value of the currency is determined by the market forces, but the central bank intervenes in the foreign exchange market to prevent excessive fluctuations. This system is known as a Managed float exchange rate system.
The value of the currency is fixed to another currency or a basket of currencies. This system is known as a Pegged exchange rate system.
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You are applying for a job as a manager and are at the point of negotiating salary and benefits. What benefits must your employer provide you (government-mandated, non-negotiable benefits)? What benefits are voluntarily provided by employers and thus potentially negotiable? What benefits package would you try to negotiate for yourself?
The government-mandated, non-negotiable benefits that an employer must provide include Social Security and Medicare taxes, unemployment insurance, workers' compensation, and family and medical leave. These benefits are required by law and cannot be negotiated.
Voluntarily provided benefits by employers, and thus potentially negotiable, include health insurance, retirement plans, paid time off, and employee assistance programs. These benefits are not required by law but are often offered by employers to attract and retain employees.
In negotiating a benefits package for myself, I would prioritize the benefits that are most important to me and my family. This could include negotiating for a higher employer contribution to health insurance premiums, additional paid time off, or a higher employer match for retirement contributions.
It is important to consider the value of these benefits and weigh them against the salary being offered. Additionally, it is important to communicate effectively and be willing to compromise in order to reach a mutually beneficial agreement.
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If a would-be monopolist acquired most of the firms in a formerly competitive industry, worked to construct barriers to entry against new firms, and gradually accumulated more and more market power, What happens if the number of firms in a monopolistically competitive industry increases?
If a would-be monopolist acquired most of the firms in a formerly competitive industry, worked to construct barriers to entry against new firms, and gradually accumulated more and more market power, the number of firms in a monopolistically competitive industry would decrease.
This is because the monopolist would be able to exert control over the market and prevent new firms from entering the industry. As a result, competition would decrease and the monopolist would be able to charge higher prices and earn higher profits.
However, if the number of firms in a monopolistically competitive industry increases, competition would increase and the market power of the monopolist would decrease. This would result in lower prices and lower profits for the monopolist.
In a monopolistically competitive industry, firms have some market power but also face competition from other firms. As the number of firms increases, the market becomes more competitive and firms have less market power. This leads to lower prices and lower profits for the firms in the industry.
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If you tell me a good counter to this argument fast, I'll give u brainliest + five star (HELP)
If a school duration is not year-round, then students will most likely forget alot of things they learned over school year.
We certainly blank out things over time, and there's no reason to evaluate that what students learn in school should be an exception.
What do you mean by Argument?Making an argument involves two or more individuals reacting to one another's claim and support for such a claim.
There are a few unusual reasons why the brain forgets, but the two main causes are decay and disuse. Decay is a natural process that refers to the gradual loss of information over time. When we first learn something, it is stored in our short-term memory, which is relatively small and can only hold a very small amount of information.
Therefore, The statement “If a school duration is not year-round, then students will most likely forget a lot of things they learned over the school year.” is correct.
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Qwan Company's payroll for the year is $737,910. Of this amount, $472,120 is for wages paid in excess of $7,000 to each individual employee. The SUTA rate in Qwan Company's state is 2. 9% on the first $7,000 of each employee's earnings. Compute:
Round your answers to the nearest cent. A. Net FUTA tax $fill in the blank 1
b. Net SUTA tax fill in the blank 2
c. Total unemployment taxes $fill in the blank 3
A. Net FUTA tax will be $1,595, B. Net SUTA tax will be $7708 C. Total unemployment taxes will be $9303
Payroll not in excess of 6% = $737,910 - $472,120 = $265,790, A. FUTA is ($265,790 × .06 = 1,594.74), B. SUTA Tax = ($265,790 × .029 = 7707.91 ), C. Total (1594.74 + 7707.91 = 9302.65)
According to the Federal Unemployment Tax Act (FUTA), every business with employees is required to pay a payroll tax, and the money collected from this tax is used to pay for unemployment benefits. By 2021, this FUTA corporation tax will be 6% of the first $7,000 each employee receives annually. While being based on an individual's wages, the FUTA payroll tax is only assessed on companies and not employees. FUTA and SUTA are comparable taxes levied on several levels of government, although FICA and FUTA finance entirely different programmes through levies on separate individuals.
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A sold to B a parcel of land for P30,000. The sale is evidenced by a memorandum of agreement of sale written in Cebuano dialect. One week later, A sold the same parcel of land to C for P40,000 which was evidenced by a formal deed of sale. Upon buying the property, C, who was aware of the first sale, immediately took possession of the land and registered the deed of sale in her favor with the Register of Deeds. When informed of the second sale, B subsequently registered an adverse claim to the property. To whom shall the parcel of land belong? Give reason/s
The parcel of land shall belong to B, the first buyer.
This is because, under Article 1544 of the Civil Code of the Philippines, the ownership of the property shall belong to the person who in good faith registered it first in the Registry of Property.
Although C registered the deed of sale in her favor with the Register of Deeds, she was aware of the first sale to B and therefore cannot be considered a buyer in good faith.
Additionally, the memorandum of agreement of sale written in Cebuano dialect is still a valid contract between A and B, even though it is not a formal deed of sale. Therefore, B has the right to register an adverse claim to the property and the ownership of the parcel of land shall belong to him.
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Your neighbour is investigating the operation of a coffee shop. Her options are:-
1. Purchase of a ‘Coffee Break’ franchise at $300,000 plus 7.5% royalties.
2. Purchase of an independent coffee shop that has been operating successfully
for 5 years at a purchase price of $180,000.
3. Start her own new coffee shop.
Your neighbour hears that you are studying accounting and seeks your advice
about the best option. Justify your recommendation.
It depends on your neighbour's objectives and resources, but generally speaking, purchasing a 'Coffee Break' franchise will likely offer the most financial security.
The purchase price of $300,000 plus 7.5% royalties gives your neighbour access to an established business model, brand recognition, and support from the franchisor, as well as an ongoing income stream. The purchase of an independent coffee shop that has been operating successfully for 5 years can be a cost-effective alternative, but there may be hidden costs and risks in terms of quality of service, employee knowledge, and customer base. Starting her own new coffee shop will require more initial capital and has the highest risk, but offers the greatest potential for growth. Ultimately, it is your neighbour's decision, but it is recommended that they seek advice from a qualified accountant before making a decision.
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Securities trading is relatively simple. Firstly, investors have to determine the financial assets they want to trade. Different financial assets are traded in different markets. Discuss the THREE (3) advantages and TWO (2) disadvantages of being a holder of the common stock of Hibiscus Petroleum Berhad as opposed to being a bondholder.
Securities trading involves buying and selling financial assets, such as stocks and bonds, in order to make a profit. One type of financial asset that investors may choose to trade is common stock. In this case, we will discuss the advantages and disadvantages of being a holder of the common stock of Hibiscus Petroleum Berhad as opposed to being a bondholder.
Advantages of holding common stock:
1. Potential for higher returns: Common stockholders have the potential to earn higher returns on their investment than bondholders, as the value of the stock can increase over time.
2. Voting rights: Common stockholders have the right to vote on important company decisions, such as electing board members and approving mergers and acquisitions.
3. Dividend payments: Common stockholders may receive dividend payments, which are a portion of the company's profits distributed to shareholders.
Disadvantages of holding common stock:
1. Risk: Common stock is generally considered to be a riskier investment than bonds, as the value of the stock can fluctuate greatly and there is no guarantee of a return on investment.
2. No priority in bankruptcy: In the event that the company goes bankrupt, common stockholders are last in line to receive any remaining assets, after bondholders and other creditors have been paid.
Overall, while holding common stock of Hibiscus Petroleum Berhad may offer the potential for higher returns and certain rights and benefits, it also comes with a higher level of risk and less priority in the event of bankruptcy. It is important for investors to carefully consider these factors before making a decision about whether to invest in common stock or bonds.
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There are many factors influencing the cost of money for both individuals and corporations. In some cases, cash flows are received in advance, and in other cases, cash flows are received at the end of a period. In still other cases, cash flows are received either quarterly, semi-annually, or yearly. How often interest compounds also has an effect on the cost of money. Find out what your bank is currently paying in interest on a savings account, and when they pay this interest. Report how your bank collects interest on their consumer loans. Explain how the way they collect and pay interest has an effect on interest compounding and on the cost of capital.
The cost of money is affected by many factors, including the frequency of cash flows, the timing of cash flows, and the compounding of interest. Banks typically pay interest on savings accounts either monthly, quarterly, semi-annually, or annually, and they collect interest on consumer loans in the same way. The way that a bank collects and pays interest has a significant effect on the cost of capital and the compounding of interest.
If a bank pays interest on a savings account monthly, the interest will compound more quickly than if the bank pays interest quarterly or annually. This means that the cost of capital will be lower for the bank, since they are able to earn more interest on their savings account. Similarly, if a bank collects interest on a consumer loan monthly, the interest will compound more quickly than if the bank collects interest quarterly or annually. This means that the cost of capital will be higher for the borrower, since they are paying more interest on their loan.
It is important to understand how your bank collects and pays interest, as this can have a significant effect on the cost of money for both individuals and corporations. By knowing the frequency of cash flows and the timing of cash flows, you can make informed decisions about your finances and ensure that you are getting the best possible return on your investment.
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There are several basic information system architectures that can
be used for data warehousing. What are they? Explain some examples
in detail.
The basic information system architectures that can be used for data warehousing are Centralized Data Warehouse , Distributed Data Warehouse , Federated Data Warehouse , Hub-and-Spoke Data Warehouse
1. Centralized Data Warehouse: This architecture involves a single, central data warehouse that stores all the data for the entire organization. An example of this would be a company with a single, centralized database that contains all the data for its different departments.
2. Distributed Data Warehouse: This architecture involves multiple data warehouses, each of which stores data for a specific business unit or geographical region.
An example of this would be a company with separate data warehouses for its North American, European, and Asian operations.
3. Federated Data Warehouse: This architecture involves multiple data warehouses, each of which stores data for a specific business unit or geographical region, but all of which are connected to a central data warehouse.
An example of this would be a company with separate data warehouses for its sales, marketing, and finance departments, all of which are connected to a central data warehouse.
4. Hub-and-Spoke Data Warehouse: This architecture involves a central data warehouse (the "hub") that stores all the data for the entire organization, and multiple data marts (the "spokes") that store subsets of the data for specific business units or geographical regions.
An example of this would be a company with a central data warehouse that contains all the data for the entire organization, and separate data marts for its sales, marketing, and finance departments.
Overall, the choice of information system architecture for data warehousing depends on the specific needs and requirements of the organization.
Each architecture has its own advantages and disadvantages, and the best choice will depend on factors such as the size of the organization, the complexity of its data, and the need for data integration across different business units or geographical regions.
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Match each of the following statements to the type of economic system that it
Record your responses in the spaces provided.
characterizes.
Types of economic system: (1). Traditional economy - ritual, habitat, or custom. (2). Economic system - Allocation of resources. (3). Command economy - central authority (4). Market economy - demand and supply
What is economy?The performance through which a country or location organizes its medium of exchange, commercial enterprise, and trade is concerned to as its “economy.” The economy is the important part of the country. The primary sector of the economy is the industrial sector, financial and agriculture sector.
Types of economic system:
Traditional economy - system in which economic activity is the result of ritual, habitat, or custom.
Market economy - system in which economic activity is driven by supply, demand, and the price system.
Economic system - efficient way of allocating resources and producing and distributing goods and services in a society.
Command economy - economic system in which a central authority makes the major economic decisions.
As a result, the conclusion of the economic system as the fill of space are the aforementioned.
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Your question is incomplete, but most probably the full question was.
Match each of the following statements to the type of economic system that it characterizes. Record your responses in the spaces provided.
______system in which economic activity is the result of ritual, habitat, or custom.
______system in which economic activity is driven by supply, demand, and the price system.
_______efficient way of allocating resources and producing and distributing goods and services in a society.
________economic system in which a central authority makes the major economic decisions.
Traditional economyEconomic systemCommand economyMarket economySwifty Industries had sales in 2021 of $5,453,600 and gross profit of $882,200. Management is considering two alternative budget plans to increase its gross profit in 2022.Plan A would increase the unit selling price from $8.00 to $8.40. Sales volume would decrease by 100,250 units from its 2021 level. Plan B would decrease the unit selling price by $0.50. The marketing department expects that the sales volume would increase by 104,260 units.At the end of 2021, Swifty has 32,080 units of inventory on hand. If Plan A is accepted, the 2022 ending inventory should be 28,070 units. If Plan B is accepted, the ending inventory should be equal to 48,120 units. Each unit produced will cost $1.5 in direct labor, $1.3 in direct materials, and $1.2 in variable overhead. The fixed overhead for 2022 should be $1,519,790.A) prepare a sales budget for under each planB)prepare a product budget for 2020 under each planC)compute the production cost per unit under each plan, why is the cost per unit different for each of the two plans?D) which plan should be accepted? compute gross profit under each plan
A) The sales budget for Plan A is $44,968,140 and for Plan B is $41,684,950. B) The production budget for Plan A is 5,349,340 units and for Plan B is 5,573,900 units. C) Product cost per unit for Plan A is $4.28 and for Plan B is $4.27. It differs due to fixed overhead distributed over different number of units produced. D) The gross profit for Plan A is $22,056,602 and for Plan B is $17,953,905.80. Plan A should be accepted.
A) Sales Budget for Plan A:
Unit selling price: $8.40
Sales volume: 5,453,600 - 100,250 = 5,353,350 units
Total sales: 5,353,350 units x $8.40 = $44,968,140
Sales Budget for Plan B:
Unit selling price: $8.00 - $0.50 = $7.50
Sales volume: 5,453,600 + 104,260 = 5,557,860 units
Total sales: 5,557,860 units x $7.50 = $41,684,950
B) Production Budget for Plan A:
Beginning inventory: 32,080 units
Ending inventory: 28,070 units
Sales volume: 5,353,350 units
Production volume: 5,353,350 - 32,080 + 28,070 = 5,349,340 units
Production Budget for Plan B:
Beginning inventory: 32,080 units
Ending inventory: 48,120 units
Sales volume: 5,557,860 units
Production volume: 5,557,860 - 32,080 + 48,120 = 5,573,900 units
C) Production Cost per Unit for Plan A:
Direct labor: $1.5
Direct materials: $1.3
Variable overhead: $1.2
Fixed overhead: $1,519,790 / 5,349,340 units = $0.28
Total cost per unit: $1.5 + $1.3 + $1.2 + $0.28 = $4.28
Production Cost per Unit for Plan B:
Direct labor: $1.5
Direct materials: $1.3
Variable overhead: $1.2
Fixed overhead: $1,519,790 / 5,573,900 units = $0.27
Total cost per unit: $1.5 + $1.3 + $1.2 + $0.27 = $4.27
The cost per unit is different for each of the two plans because the fixed overhead is spread over a different number of units produced.
D) Gross Profit for Plan A:
Total sales: $44,968,140
Total cost of goods sold: 5,353,350 units x $4.28 = $22,911,538
Gross profit: $44,968,140 - $22,911,538 = $22,056,602
Gross Profit for Plan B:
Total sales: $41,684,950
Total cost of goods sold: 5,557,860 units x $4.27 = $23,731,044.20
Gross profit: $41,684,950 - $23,731,044.20 = $17,953,905.80
Based on the calculations, Plan A should be accepted as it results in a higher gross profit of $22,056,602 compared to Plan B's gross profit of $17,953,905.80.
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what kind of accountent are you if you are asked to do the following,
You are an Analyst for the professional service firm, BUSI 1043 LLP. Your firm specializes in providing a wide variety of internal business solutions for different clients. It is your first day on the job and a Manager in the Consulting area asks you for some help with an investment decision for one of your large clients, Big Spenders Inc.
If you are asked to provide an investment decision for a large client as an accountant, you are most likely a financial analyst. As a financial analyst, you would provide guidance and recommendations on financial strategies and investments to help the client meet their goals.
Financial analysts are responsible for analyzing financial data and providing recommendations to businesses and individuals about investment decisions. They are often employed by professional service firms, like BUSI 1043 LLP, to provide consulting services to clients on a wide variety of internal business solutions.
Financial analysts typically have a strong background in accounting, finance, and business, and use their knowledge and expertise to help clients make informed investment decisions.
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Pretend your homeowners policy has a premium of $150, a deductible of $5,000, and a limit of $300,000. Your home suffers $170,000 in damages. How much will you pay for the damages?
you will pay $5,000 for the damages, and the insurance will cover the remaining $165,000.
Why it is?
In this scenario, because the damage of $170,000 is less than the policy limit of $300,000, the insurance will cover the damages.
However, the deductible of $5,000 will be subtracted from the amount of the damages covered.
Therefore, the amount that you will pay for the damages will be the deductible of $5,000.
The insurance will cover the remaining amount of the damages, which is $170,000 minus the deductible of $5,000, or $165,000. So, you will pay $5,000 for the damages, and the insurance will cover the remaining $165,000.
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Marquand Electric, Inc. is trying to estimate the cash flows associated with purchasing and operating an expansion facility for the production of Wi-Fi routers that would replace an old, yet still functioning facility. The new facility’s cost is $8,800,000 and would cost $200,000 in shipping and installation. The company would incur an additional $96,000 for training the staff needed to operate the new facility. A technical feasibility study that cost $45,000 to paid in a month confirmed the efficacy of the proposed facility. The old facility, which is fully depreciated but can be fully operational for the next several years, can be sold for $160,000. The estimated useful life of the new facility is 10 years. However, Randolph anticipates that it would actually operate it for only seven years then sell it. It estimates that the facility’s market price in seven years at $4,300,000. Randolph would use straight-line depreciation for the new equipment. The additional NWC required for the operation of the new facility is estimated at $320,000 initially. The NWC needs would rise to $400,000 by the end of year one, $512,000 by end of year two, $600,000 by end of year three, then go down to $480,000 in year four, then to $286,000 in year five, then to $154,000 in year six. No spoilage or theft is assumed to affect the recovery of the working capital. The new facility’s sales are expected to be 1,300,000 units per year at a price of $84 per unit. The existing facility’s sales are 400,000 units per year sold at the same price. The variable cost stays at the same level of $79/unit and the incremental fixed costs are $2,200,000. The company’s marginal tax rate is 25% and its cost of capital is 15%.
Estimate the initial net investment (net outlays) associated with the acquisition of the new facility.
Estimate the incremental annual free cash flows (FCF) generated by the new facility.
Estimate the additional terminal cash flows associated with the new facility.
Use the capital budgeting decision criteria to make a decision as to whether the new facility should be purchased. (Assume a standard payback period of 5 years).
The initial net investment associated with the acquisition of the new facility is $9,301,000. The incremental annual free cash flows associated with the new facility is $1,952,400. The additional terminal cash flows associated with the new facility is $4,454,000. Based the capital budgeting decision criteria, new facility should be purchased.
The initial net investment associated with the acquisition of the new facility is the sum of the following cost. Hence,
Cost of new facility: $8,800,000
Shipping and installation: $200,000
Staff training: $96,000
Technical feasibility study: $45,000
Sale of old facility: ($160,000)
Additional NWC: $320,000
Total initial net investment = $9,301,000
Therefore, the total initial net investment is $9,301,000
The incremental annual free cash flows associated with the new facility is calculated as:
Incremental sales: (1,300,000 - 400,000) x $84 = $75,600,000
Incremental variable costs: (1,300,000 - 400,000) x $79 = $71,100,000
Incremental fixed costs: $2,200,000
Depreciation: ($8,800,000 + $200,000 + $96,000) / 10 = $909,600
Incremental EBIT: $75,600,000 - $71,100,000 - $2,200,000 - $909,600 = $1,390,400
Taxes: $1,390,400 x 25% = $347,600
Incremental net income: $1,390,400 - $347,600 = $1,042,800
Incremental FCF: $1,042,800 + $909,600 = $1,952,400
Therefore, the incremental annual free cash flows is $1,952,400
The additional terminal cash flows associated with the new facility is calculated as:
Sale of new facility: $4,300,000
Recovery of NWC: $154,000
Total terminal cash flows = $4,454,000
Therefore, the total terminal cash flows is $4,454,000
Capital budgeting decision criteria include NPV and payback period.
Net present value (NPV): $9,301,000 + ($1,952,400 / 1.15) + ($1,952,400 / 1.15^2) + ($1,952,400 / 1.15^3) + ($1,952,400 / 1.15^4) + ($1,952,400 / 1.15^5) + ($1,952,400 / 1.15^6) + ($1,952,400 / 1.15^7) + ($4,454,000 / 1.15^7) = $4,615,677
Payback period: $9,301,000 / $1,952,400 = 4.76 years
Based on the NPV and payback period, the new facility should be purchased as it has a positive NPV and a payback period less than the standard 5 years.
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Discuss the role of the current South African government in providing for its citizens
Answer:
The role of the current South African government is to- makes laws and sets policies for the country and provides services which fall under national competencies.