Decision Making And Communication

The Discussion Board (DB) is part of the core of online learning. Classroom discussion in an online environment requires the active participation of students and the instructor to create robust interaction and dialogue. Every student is expected to create an original response to the open-ended DB question as well as engage in dialogue by responding to posts created by others throughout the week. At the end of each unit, DB participation will be assessed based on both level of engagement and the quality of the contribution to the discussion.

At a minimum, each student will be expected to post an original and thoughtful response to the DB question and contribute to the weekly dialogue by responding to at least two other posts from students. The first contribution must be posted before midnight (Central Time) on Wednesday of each week. Two additional responses are required after Wednesday of each week. Students are highly encouraged to engage on the Discussion Board early and often, as that is the primary way the university tracks class attendance and participation.

The purpose of the Discussion Board is to allow students to learn through sharing ideas and experiences as they relate to course content and the DB question. Because it is not possible to engage in two-way dialogue after a conversation has ended, no posts to the DB will be accepted after the end of each week.

After a hurried taxi ride from the airport to your job interview, you did not realize that you ripped the jacket of your $500 suit on an exposed spring in the seat of the taxi. The next day, your tailor tells you that the suit jacket cannot be repaired without the fix being visible. Because the suit is not brand new, you do not expect the taxi company to reimburse you for the full $500 that you paid for the suit, but you do think that $200 is reasonable. You have the taxi company’s address from your receipt, so you decide to write them.

For your Discussion Board post, write a persuasive letter to the taxi company requesting a $200 reimbursement for ripping your suit jacket. Feel free to invent a name for the company and include as many details as you feel are necessary for your persuasive letter. Write this letter using a modified block format, and upload it to the DB as an attachment.

Actual Subsidiary 2013 Projected

Parent Inc. is contemplating a tender offer to acquire 80% of Subsidiary Corporation’s common stock. Subsidiary’s shares are currently quoted on the New York Stock Exchange at $85 per share. In order to have a reasonable chance of the tender offer attracting 80% of Subsidiary’s stock, Parent believes it will have to offer at least $105 per share. If the tender offer is made and is successful, the purchase will be consummated on January 1, 2013.

A typical part of the planning of a proposed business combination is the preparation of projected or pro forma consolidated financial statements. As a member of Parent’s accounting group, you have been asked to prepare the pro forma 2013 consolidated financial statements for Parent and Subsidiary assuming that 80% of Subsidiary’s stock is acquired at a price of $105 per share. To support your computations, Martha Franklin, the chairperson of Parent’s acquisitions committee, has provided you with the projected 2013 financial statements for Subsidiary. (The projected financial statements for Subsidiary and several other companies were prepared earlier for the acquisition committee’s use in targeting a company for acquisition.) The projected financial statements for Subsidiary for 2013 and Parent’s actual 2012 financial statements are presented in Table 1.

Assumptions
1.Sales will increase by 10% in 2013.
2.All sales will be on account.
3.Accounts receivable will be 5% lower on December 31, 2013, than on December 31, 2012.
4.Cost of goods sold will increase by 9% in 2013.
5.All purchases of merchandise will be on account.
6.Accounts payable are expected to be $50,500 on December 31, 2013.
7.Inventory will be 3% higher on December 31, 2013, than on December 31, 2012.
8.Straight-line depreciation is used for all fixed assets.
9.No fixed assets will be disposed of during 2013. The annual depreciation on existing assets is $40,000 per year.
10.Equipment will be purchased on January 1, 2013, for $48,000 cash. The equipment will have an estimated life of 10 years, with no salvage value.
11.Operating expenses, other than depreciation, will increase by 14% in 2013.
12.All operating expenses, other than depreciation, will be paid in cash.
13.Parent’s income tax rate is 40%, and taxes are paid in cash in four equal payments. Payments will be made on the 15th of April, June, September, and December. For simplicity, assume taxable income equals financial reporting income before taxes.
14.Parent will continue the $2.50 per share annual cash dividend on its common stock.
15.If the tender offer is successful, Parent will finance the acquisition by issuing $170,000 of 6% nonconvertible bonds at par on January 1, 2013. The bonds would first pay interest on July 1, 2013, and would pay interest semiannually thereafter each January 1 and July 1 until maturity on January 1, 2023.
16.The acquisition will be accounted for as a purchase and Parent will account for the investment using the equity method. Although most of the legal work related to the acquisition will be handled by Parent’s staff attorney, direct costs to prepare and process the tender offer will total $2,000 and will be paid in cash by Parent in 2013.
As of January 1, 2013, all of Subsidiary’s assets and liabilities are fairly valued except for machinery with a book value of $8,000, an estimated fair value of $9,500, and a 5-year remaining useful life. Assume that straight-line depreciation is used to amortize any revaluation increment.

No transactions between these companies occurred prior to 2013. Regardless of whether they combine, Parent plans to buy $50,000 of merchandise from Subsidiary in 2013 and will have $3,600 of these purchases remaining in inventory on December 31, 2013. In addition, Subsidiary is expected to buy $2,400 of merchandise from Parent in 2013 and to have $495 of these purchases in inventory on December 31, 2013. Parent and Subsidiary price their products to yield a 65% and 80% markup on cost, respectively.

Parent intends to use three financial yardsticks to determine the financial attractiveness of the combination. First, Parent wishes to acquire Subsidiary Corporation only if 2013 consolidated earnings per share will be at least as high as the earnings per share Parent would report if no combination takes place. Second, Parent will consider the proposed combination unattractive if it will cause the consolidated current ratio to fall below two to one. Third, return on average stockholders’ equity must remain above 20% for the combined entity.

If the financial yardsticks described above and the nonfinancial aspects of the combination are appealing, then the tender offer will be made. On the other hand, if these objectives are not met, the acquisition will either be restructured or abandoned.

Subsidiary Corporation Projected Financial Statements for 2013

Parent 2012 Actual Subsidiary 2013 Projected
Sales $800,000 $100,000
Cost of goods sold (485,000) (55,000)
Operating expenses (219,000) (10,000)
Income before taxes 96,000 35,000
Income tax expense (38,400) (14,000)
Net income 57,600 21,000

Retained earnings, January 1 23,000 14,500
Add; net income 57,600 21,000
Less: dividends (38,000) (7,000)
Retained earnings, December 31 42,600 28,500

Cash 36,200 19,500
Accounts receivable 39,000 13,000
Inventory 26,000 12,000
Property, plant, and equipment 673,000 213,000
Accumulated depreciation (490,000) (28,000)
Total assets 284,200 229,500

Parent 2012 Actual Subsidiary 2013 Projected
Accounts payable 44,600 21,000
Common stock * 190,000 150,000
Paid-in capital in excess of par 7,000 30,000
Retained earnings 42,600 28,500
Total liabilities and stockholders’ equity 284,200 229,500

* Parent: $12.50 par; Subsidiary: $75 par

Required

1. Forecast the separate financial statements of Parent, Inc. Using Ms. Franklin’s assumptions and Parent’s 2012 financial statements, prepare pro forma 2013 financial statements for Parent, Inc., assuming that the acquisition is not attempted. Support your statements with appropriate work papers and journal entries. Pro forma financial statements include Statement of Operation; Statement of Retained Earnings, Balance Sheet and Cash Flow Statement.

2. Adjust the separate financial statements of Parent, Inc. to reflect the proposed acquisition. Adjust Parent’s pro forma 2013 financial statements prepared in #1 to reflect the proposed acquisition (i.e., adjust Parent’s forecasted financial statements for bond issuance, stock purchase, income from subsidiary, etc.). Support your statements with appropriate work papers and journal entries. Pro forma financial statements include Statement of Operation; Statement of Retained Earnings, Balance Sheet and Cash Flow Statement.

3. Prepare pro forma consolidated worksheet. Prepare a pro forma consolidation worksheet for Parent, Inc. and its proposed subsidiary as of December 31, 2013. Use the adjusted pro forma 2013 financial statements of Parent, Inc. prepared in #2 and the projected 2013 financial statements of Subsidiary Corporation in table 1. Show all consolidation adjusting entries including minority interest entries.

4. Perform ratio analysis. Compute earnings per share for (1) the separate financial statements of Parent, Inc. prepared in #1 and (2) the consolidated financial statements contained in the pro forma consolidation worksheet prepared in #3. Also, calculate current ratio and return on average stockholders’ equity for the separate company and consolidated financial statements.

5. Write a memorandum to Ms. Franklin summarizing the results of your analysis, including a summary of the financial ratios you computed and your recommendation. Attach copies of both sets of pro forma financial statements of Parent, Inc. and the pro forma consolidation worksheet.

Comparative Balance Sheets For Sharp Company

Here are comparative balance sheets for Sharp Company.

Sharp Company

Comparative Balance Sheets

December 31

Assets                      2012             2011

Cash                      $72,961          $22,409

Accounts receivable 86,139             76,398

Inventories             170,386           188,715

Land                       75,260           101,000

Equipment             259,990           200,170

Accum deprec—Equip (66,053)       (32,436)

Total                      $598,683        $556,256

 

Liabilities and Stockholder’s Equity

Accounts payable       $39,209        $46,951

Bonds payable            151,550       203,890

Common stock ($1 par)  216,060     175,180

Retained earnings         191,864      130,235

Total                           $598,683     $556,256

 

Additional information:

1.  Net income for 2012 was $101,700.

2.  Cash dividends of $40,071 were declared and paid.

3.  Bonds payable amounting to $52,340 were redeemed for cash $52,340.

4.  Common stock was issued for $40,880 cash.

5.  No equipment was sold during 2012 but land was sold at cost.

Computer Science Homework Help

Provide an opportunity for students to apply a technology solution to a business problem in a specific company or organization that adds value to the organization.

Guidelines

Back to Top

Week 1: Begin thinking of a business problem that could be solved with a technology solution for a company or organization you are familiar with. Use the Q&A Forum to ask questions and discuss your ideas about the project. See the Course Project Technical Areas for ideas.

Week 2: Complete the Course Project Proposal using this format:

Course Project Proposal (1-2 pages, 75 points, due week 2, properly cite any external sources used)

Cover page

  1. Subject of Course Project
  2. Business problem statement
  3. Name of the company or organization
  4. Brief description of proposed solution
  5. General benefits it will provide the organization
  6. Audience to whom you are presenting the recommendation(s)

Weeks 3 -6: Based on the Professor’s feedback to your proposal, develop the Course Project. You are required to use a minimum of five credible sources for research on your proposed solution and to correctly cite all references using APA style. Make sure you do not use more than 20% material from other sources so that 80% of the paper should be your original words. Use the Q&A each week to ask questions about the project. See the suggestions below for ideas on ways to develop your project. Use this format for the project:

Course Project Table of Contents (10-15 pages, 225 points, due week 6)

Cover Page

Table of Contents

  1. Abstract
  2. Brief Company background
  3. Discussion of business problem(s)
  4. High level solution
  5. Benefits of solving the problem
  6. Business/technical approach
  7. Business process changes
  8. Technology or business practices used to augment the solution
  9. Conclusions and overall recommendations
  10. High-level implementation plan
  11. Summary of project

Project Management Multiple Choice Questions

1
Question: The group that provides raw materials or resources that the project team needs to complete the project is

A  Top management

B  Intervenor groups

C  Suppliers

D  Functional managers

2
Question: The Liberal Arts faculty failed to see the reason that every professor on campus would not make exactly the same amount of money, arguing that every person is of equal value. The business faculty relied on the laws of supply and demand and market forces to guide their wages and couldn’t fathom why their counterparts could be such dunderheads. The source of conflict between these two groups is

A  Differentiation

B  Scarce resources

C  Uncertainty

D  Reward systems

3
Question: A checklist screening model does not consider

A  The riskiness of the new venture

B  Governmental or stakeholder interference

C  Whether one criterion is more important than another

D  Product durability and future market potential of the product line

4
Question: Scope management for a project begins with

A  A statement of goals

B  A configuration statement

C  A work package

D  An organization breakdown structure

5
Question: Client interest is typically at its lowest during the

A  Termination phase

B  Planning phase

C  Execution phase

D  Conceptualization phase

6
Question: The probability that a project will overrun its allocated duration is

A  Integration risk

B  Schedule risk

C  Price market risk

D  Volume market risk

7
Question: The probability that project revenues will not be sufficient to repay the debts is

A  Financial risk

B  Promotion risk

C  Market risk

D  Cost estimate risk

8
Question: The statement of work should contain

A  A brief and general description of the work to be performed

B  Expected project outcomes

C  Information on the key objectives for the project

D  All of these are elements of a statement of work

9
: A priori consideration of information needs is performed

A  Several years after a project is completed

B  At the start of a project

C  During the project

D  Before a project begins

10
Question: Michael wants to carry out his mentor’s long-range strategic vision of expanding the company’s customer base by entering the casino business in Las Vegas. He issues a series of memos that explain the importance of these projects and makes sure that all necessary resources are at the disposal of the project management team, which is fortunate to have such a(n)

A  Entrepreneur

B  Creative originator at the helm

C  Project manager

D  Godfather

11
Question: A project screening criterion that allows the company to compare long-term vs. short-term projects, projects with different technologies, and projects with different commercial objectives is

A  Capability

B  Realistic

C  Flexibility

D  Ease of use

12
Question: The authentic atmosphere that is vital for a project manager and team to function in can be described as

A  Exchange of purpose

B  A right to say no

C  Absolute honesty

D  Joint accountability

13
Question: Project management is first and foremost

A  A customer service challenge

B  A perception management challenge

C  A budget management challenge

D  A people management challenge

14
Question: Cletus thought they were draining the swamp, but Ace was convinced they were better off building a bridge across it. Their project team was doomed to failure owing to their

A  Unclear goals

B  Poorly defined team interdependencies

C  Lack of motivation

D  Poorly defined team roles

15
Question: Which statement about stakeholders is best?

A  Stakeholders can potentially impact project development

B  Stakeholders are external to a company

C  By definition, clients are not stakeholders, they are customers

D  Stakeholders wield considerable power

16
Question: Which statement regarding project selection is best?

A  Every decision model has both objective and subjective factors

B  Before selecting any project, the team should identify all the relevant issues that play a role in project selection

C  Organizational reality can be perfectly captured by most decision-making models

D  Decision models must contain either objective or subjective factors

17
Question: One practical step that should be taken in order for an organization to begin developing a core of project management professionals is to

A  Review instances where projects were poorly managed

B  Fire the unprofessional project managers

C  Formalize the organization’s commitment with training programs

D  Hire professional project managers

18
Question: The simple scoring model has this advantage over a checklist model for screening projects.

A  Scaling models allow decision makers to treat one criterion as more important than another

B  Scaling models ensure a reasonable link between the selected and weighted criteria and the business objectives that motivated their selection

C  Scaling models have been proven to make correct decisions better than 95 percent of the time while checklists only achieve 80 percent accuracy

D  Scaling from 1 to 5 is extremely accurate

19
Question: A strategic element that contains formally titled initiatives such as the Customer Survey Project, the Small Business Alliance Project, and the Employee Relations Project is most likely a

A  Mission

B  Program

C  Strategy

D  Goal

20
Question: A matrix organization for project management has a distinct advantage because

A  Dual hierarchies mean two bosses

B  Workers must reconcile competing project and functional demands

C  A significant amount of time is spent negotiating the sharing of critical resources

D  Project importance is enhanced by setting authority equal to that of functional departments

21
Question: In the case of projects developed for external clients, work authorization typically addresses

A  Audit trail establishment

B  Budget linkage

C  Contractual obligations

D  Resource requirements

22
Question: The construction foreman posted a large sign requiring all worksite visitors to don a hard hat and safety glasses. He also purchased copious quantities of both items and made them readily available at the entrance. The foreman is engaged in

A  Analysis of probability and consequences

B  Risk mitigation

C  Risk identification

D  Control and documentation

23
Question: A business reality that makes effective project management critical is the fact that

A  Product launch windows are widening

B  Product life cycles are compressing

C  Products are becoming increasingly simple

D  Inflation is rampant

24
Question: The first step in the Analytical Hierarchy Process

A  Requires “Saatyfication” of the team members

B  Requires supporting requirements to be combined into Level II challenges

C  Is analyzing the process you intend to improve before undertaking any improvement project

D  Consists of constructing a hierarchy of criteria and subcriteria

25
Question: Projects are often underfunded in the concept stage because

A  There is complete trust in project managers by top management, so more resources can be asked for at any time

B  The project requirements were deliberately understated

C  The project’s goals are too clearly defined

D  The project’s top management sponsor is too influential

26
Question: Organizational structure identifies the grouping of individuals into

A  Organizations

B  Silos

C  Departments

D  Companies

27
Question: You have agreed to paint your neighbor’s house a lovely shade of chartreuse for $1,500 and discover, much to your dismay, that the house has a second floor. Now you’re faced with the prospect of buying a ladder or scaffolding or a really long handled brush, not to mention the 15 more gallons of paint that will be needed to cover. You won’t get another penny for what will surely be increased efforts since your neighbor transferred risk with a(n)

A  Cost-plus contract

B  Contingency reserve

C  Inflation clause

D  Fixed price contract

28
Question: A splendid way to improve the efficiency and effectiveness of virtual teams is to

A  Mandate audio and video in all electronic communication

B  Use email most of the time, since the printed word is rarely misinterpreted

C  Restrict team members to audio communication

D  Have them meet face to face

29
Question: The degree of innovation and creativity is typically at its highest during the

A  Execution phase

B  Termination phase

C  Conceptualization phase

D  Planning phase

30
Question: The degree of risk associated with the project is typically at its highest during the

A  Conceptualization phase

B  Planning phase

C  Execution phase

D  Termination phase

Financial Reporting Problem

Checkpoint

 

Practice Problems 1

Resource: Ch. 4 of Financial Accounting

Complete Problem 4-8A.

Submit as either a Microsoft® Excel® or Microsoft® Word document (I prefer an Excel file).

 

Week 6 Assignment –

 

 

Financial Reporting Problem, Part 1

 

Browse the Internet to acquire a copy of the most recent annual report for a publicly traded company.  (Go to the company’s website and the Annual Report is often listed under the “Investor Relations” tab or something similar.  You’ll have to look through the report for the financial statements – they are usually just a few pages of a many-page report.)

 

Analyze the information contained in the company’s balance sheet and income statement to answer the following questions:

 

·         What are the company’s total assets at the end of its most recent annual reporting period? Why is this important?

 

·         What are the total assets at the end of the previous annual reporting period?

 

·         How much cash and cash equivalents did the company have at the end of its most recent annual reporting period?

 

·         What amount of accounts payable did the company have at the end of its most recent annual reporting period?

 

·         What amount of accounts payable did the company have at the end of the previous annual reporting period?

 

·         What are the company’s net revenues for the last three annual reporting periods?

 

·         What is the change in dollars in the company’s net income from its most recent annual reporting period to the previous annual reporting period?

 

·         What are the company’s total current assets at the end of its most recent annual reporting period?

 

·         What are the total current assets at the end of the previous annual reporting period?

 

·         What in the information above would be important to a potential investor, employee, and other interested parties?

 

Summarize the analysis in a 700- to 1,050-word paper in a Microsoft® Word document.

 

Include in your paper a copy of the company’s balance sheet and income statement (does not apply toward the word-count requirement).

 

Format your paper (just one file) consistent with APA guidelines

Type Of Tax

The government decides to tax cookbooks because they feel that they encourage overeating and can lead to health issues, such as obesity and heart disease. Answer the following:
•What type of tax is this? Explain.
•What happens to the supply of cookbooks?
•What happens to the equilibrium price?
•Who pays the tax at the end?
•Is this a good way to finance programs to improve health?
•What other types of tax can the government use to increase revenues?

Part IV

Deliverable Length: 600–850 words

Justcookbooks.com becomes wildly successful in the United States, and you decide to export overseas. Answer the following:
•Does this reflect an absolute or a comparative advantage?
•Name 4 issues that you will encounter as you become a multinational corporation.
•What happens to your marginal utility as you buy your third luxury automobile? Why?

Part V

Deliverable Length: 600–850 words

In the article entitled “The Economic Effects of Labor Unions Revisited,” Vedder and Galloway attempt to prove statistically, using historical data, that labor unions do not have a good effect on the economy. Read the article, and explain the following microeconomic concepts that the authors discuss and how they are related to unions:
•Demand, supply, and equilibrium wage rates of labor
•Unemployment
•Deadweight welfare loss
•Elasticity
•Real GDP and economic growth
•Income per capita
•Population growth and aging
•Marginal costs, marginal revenues, and profits

The article focuses on harmful economic effects, but also mentions some positive aspects. What are they? Does moral hazard apply to unions? Why or why not?

Commitments And Contingencies

The items 1 through 6 below represent various commitments and contingencies of Martin Inc. at December 31, 2011 and events subsequent to December 31, 2011, but prior to the issuance of the 2011 financial statements. Martin Inc. is preparing its financial statements for the year ended December 31, 2011.

1. On December 1, 2011, Martin was awarded damages of $75,000 in a patent infringement suit it brought against a competitor. The defendant did not appeal the verdict, and payment was received in January 2012.
2. A former employee of Martin has brought a wrongful-dismissal suit against Martin. Martin’s lawyers believe the suit to be without merit.
3. At December 31, 2011 Martin had outstanding purchase orders in the ordinary course of business for purchase of a raw material to be used in its manufacturing process. The market price is currently higher than the purchase price and is not anticipated to change within the next year.
4. A government contract completed during 2011 is subject to renegotiation. Although Martin estimates that it is reasonably possible that a refund of approximately $200,000-$300,000 may be required by the government, it does not wish to publicize this possibility.
5. Martin has been notified by a governmental agency that it will be held responsible for the cleanup of toxic materials at site where Martin formerly conducted operations. Martin estimates that it is probable that its share of remedial action will be approximately $500,000.
6. On January 5, 2012, Martin redeemed its outstanding bonds and issued new bonds with a lower rate of interest. The reacquisition price was in excess of the carrying amount of the bonds.

You have been asked by Martin Inc. to advice on the treatment of the above items for financial accounting and reporting purpose. Prepare a detailed report discussing the relevant FASB codifications how the above six items should be accrued, accrued and disclosed, disclosed only Or should neither be accrued nor disclosed.

D. Disclosure only
A. Accrual only
B. Both accrual and disclosure
N. Neither accrual nor disclosure

Financial Statement Analysis

Must be a publicly traded company and to look up the industry survey for the first part and the company’s 10K for the second part.

 

Financial Statement Analysis Project

 

Industry/Strategy Analysis

 

Obtain the industry survey for your company’s industry via the Rider Library Site as discussed in class. Read the survey and comment on the variables discussed in the survey that are most relevant to analyzing your company. For example, comment on the nature of competition within the industry and  macro or micro economic variables such as interest rates, disposable income, etc. that might have a bearing on the industry and the future prospects of your firm. Be sure to read the section on how to analyze a firm in the industry so you will have an understanding of what drives the industry and how your firm measures up. Areas such as marketing, finance, research and development, and management/strategy may be discussed here.

 

Read the annual report of your company for any information about their strategy. (The 10 K would be best) Comment on strategy in this section or where you believe it is most appropriate if the annual report discusses it. For example, are they attempting to be an industry leader in technology and, if so, what steps are they taking to achieve that goal.

 

Begin your project with an introduction that briefly discusses your company and the products/services that it provides. You may discuss the firm’s strategy here or in the next section.

 

You would be advised to seek out information about your company via the WSJ or other business periodicals to update your information. This can involve a search through the WSJ, use of the research section in the upper right hand corner of the WSJ web site, and/or a search through ABI in the library section of Rider’s home page. You may also refer to your company’s web site as well. (Optional)

 

Accounting Analysis

 

Please read the footnotes in the financial statements and comment on the methods used to recognize revenue, value inventories, depreciation expense, leases, pensions, and other accounting principles covered in class. Ignore complicated notes involving material that was not discussed in class such as derivatives, etc.

 

Financial Analysis

 

After you have completed the Industry/Strategy and Accounting Analysis portions of your project as discussed in class use that information and the financial statements of your company to complete the final part, financial analysis, for your company.

 

The following will describe some of the tools as well as expected items to use in your analysis.

 

Please examine major components of the income statement and note the major trends. This will involve a discussion of the major sources of revenues and expenses and the growth of these components. Also examine the balance sheet and discuss the major items that comprise the asset and liability sections.

 

Use the following ratios to examine liquidity, solvency and profitability of your firm:

 

Current Ratio – measures the ability to pay current liabilities with current assets

 

Quick Ratio – indicates the ability to pay all current liabilities as they come due immediately

 

Inventory Turnover – indicates the saleability of inventory

 

Accounts Receivable Turnover – measures the ability to collect cash from credit customers

 

Calculate both inventory and accounts receivable in terms of the days available for those respective items

 

Debt Ratio – indicates the percentage of assets financed with debt

 

Times Interest Earned – measures the number of times operating income covers interest expense

 

Rate of Return on Net Sales – shows how much of each sales dollar is earned as net income (profit margin)

 

Asset Turnover – indicates the number of dollars generated from the investment in assets (turnover)

 

Assets to Equity – represents the assets acquired from stockholders investment (leverage)

 

Rate of Return on Equity – the rate of return earned on shareholders equity (margin x turnover x leverage)

 

Remember that your analysis for the above items should include some reference to a benchmark such as an industry average or key competitors. These may be obtained from library reference materials, the internet or in some cases the S&P industry surveys.

 

You should also summarize your findings in a brief conclusion.

Expert Answers

1. Table 2A contains four base-10 addition problems, for which you are to use complement arithmetic to obtain the solution. Above each of the four problems, there is a pair of operands. In the first problem, both operands are positive. Transfer the first operand to the first now, the second operand to the second row, and compute the sum. For the remaining 3 problems in table 2A, one or both operands is negative. Enter negative operands in their10’s complement form (i.e., obtain the 9’s complement, then add 1). Now perform the addition in the usual manner to obtain the correct result. If you result is 500 or greater, then the correct answer is a negative number, whose magnitude just the 10’s complement of the result you calculated.

 

b. Table 2B, contains four base-2 addition problems, for which you are to use complement arithmetic to obtain the solution. The operands are given in base 10. In the first problem, both operands are positive. Convert the first operand to base 2, and enter the result the first row. Convert the second operand to base 2, and enter the result in the second row. Then perform binary addition (0+0 is 0, 1 + 0 is 1, 0 + 1 is 1, 1 + 1 is 0 carry 1, and 1 + 1 + 1 is 1 carry 1).

For the remaining 3 problems in table 2B, one or both operands is negative. Enter negative operands in their 2’s complement from (i.e., obtain the 1’s complement, then add 1). Now perform  the  additional in the usual manner to obtain the correct result. If your result is 1000 00002 or greater, then the correct answer is  negative number, whose magnitude is just the 2’s complement of the result you calculated.

c. Table 2C, contains four base 16 additional problems, for which you are to use to complement arithmetic to obtain the solution. The operands are given in base 10. in the first problem, both are operands positive. Convert the first operand to base 16, and enter the result the first row. Convert the second operand to base 16, and enter the result in the second row. Then perform hexadecimal addition. Use 16’s complement for negative operands. If your result is 1016 or greater, then the correct answer is a negative number, whose magnitude is just the 16’s complement of the result you cancelled.

 

 

2. Conversion between bases comer up over and over again throughout the course, as you will see. You should strive to becoming very facile with changing bases, especially binary integers to/from hexadecimal integers. Octal base is now little-used (it was used more frequently in the past), but a little practice using octal will help you learn bit manipulations.

a. Convert 41.4B816  from hexadecimal to binary. Enter each binary digit in a separate box. A straightforward way to get the correct answer is to work ‘outwards’ from the hexadecimal point, writing groups of 4 binary digits has been set for in this problem, you will find that you must drop leading 0’s of the integer part, and trailing 0’s in the fractional part. Note the dropping these 0’s does not change the value of your result.

b. Convert 60.92816 from hexadecimal to binary. Enter your entire answers in the box, including the binary point.

c. Convert 335.4328 from octal to binary. Enter each binary digit in a separate box. Again you will find that you must drop leading 0’s of the integer part, and trailing 0’s in the factional part.

d. Convert 371.6468  from octal to binary. Enter your entire answer  in the box including the binary point.

e. Convert 11 1111 0011.1110 1000 1012 from binary to hexadecimal. Enter each hexadecimal digit in a separate box. A straightforward way to get the correct answer is to pad with the whole number part of the binary value (i.e., the part to the of the binary point) with 0’s on the left to make even groups of 4, and pad the fractional part (to the right of the binary point) with 0’s on the right to make even groups of 4. Then convert groups of 4 bits to their corresponding hexadecimal digits.

f. Convert 10 1110 0101.1000 0000 0012 from binary to hexadecimal. Enter your entire answer in the box, including the hexadecimal point.

g. Convert 1 111 011.010 101 101 112 from binary to octal. Enter each octal digit in a separate box. Analogous to part E, make groups of 3 (instead of group of 4).

h. Convert 1 010 111 101.100 101 110 112 from binary to octal. Enter your entire answer in the box, including the octal point.

i. Convert 81C.E316 from the hexadecimal to octal. The easiest approach is to use binary representation as an intermediate step. First convert from hex to binary (as in problem B above), them from binary to octal (as in problem H).

 

 

3. The algorithms we are taught in grade school for multiplying and dividing base-10 numbers can be extended to other base in a relatively straightforward way. Doing so is outside the scope of this course; however, we will consider the important special case of multiplying and dividing number by the power of the base the number. In this case, we simply move the radix point to the right for multiplication and to the left for division.

For example, 123.4510 * 10 = 1234.510, and 123.4510 / 10 = 12.34510

Solve the following problems by moving the radix point:

a. Multiple 85892.563710 by 100010 Enter your entire answer (in base 10, including the decimal point) in the box provided.

b. Divide 85892.563710 by100010

c. Multiply 1111.01012 by 810 Enter your  entire answer (in base 2, including the binary point) in the box provided. Hint: first express 810 as a power of 2.

d. Divide 1111.01012 by 410.

e. Multiply CIB96B.BD813A16 by 6553610. Entire your entire answer(in base 16, including the hexadecimal point)in the box provided.

f. Divide CIB96B.BD813A16 by409610.

 

4. An important standard for encoding of characters in language with Latin alphabets is ASCII conversion charts at any of a number of source on the internet. Just enter ‘ASCII conversion’ into any search engine. See, for example, AsciiTable.com.

This exercise will give you a little practice representing ASCII character in binary and hexadecimal.

a. Use an ASCII code chart to convert THuRs[JuLY:4^1776 from ASCII to hexadecimal. Complete Table 5.1 by representing each character with two hexadecimal digits (you can use uppercase to lowercase for your hexadecimal values).

b. Decode an exciting secret message in Table 5.2 by first converting from binary to hexadecimal, then using an ASCII code chart to convert to ASCII. Each blank in the hexadecimal, column should be two hexadecimal digits (case-insensitive). Each blank in the ASCII column should be a single character (case-sensitive).

 

5. Learning to represent number in IEEE-754 format helps you to understand how floating point data is stored in computer systems. Converting a number to IEEE-754 format combines techniques we have studied previously, thus reinforcing your understanding of these techniques.

In the following problems, you will convert a floating point number to IEEE-754 32-bit floating format. The IEEE-754 standard also defines other formats, most notably 34-bit floating point. The concepts for converting to64-bit format are the same as for 32-bits, only with more bits. Therefore, we will focus on the shorter 32-bit format in order to learn the principle involved. When you need that extra push to 64 bits, see Spinal Tap video at right.

a. Solve the conversion in Table 6.1 I strongly recommend that you work on and grade only 1 row at a time, so that any mistakes you make on one row will not propagate to the next row. Simply convert the integer and fractional parts separately to binary (see Question1, parts A and C), and join the two parts together with a binary point.

b. Solve the conversion in Table 6.2. The procedure is the same as for part A, but you will not have each bit of your result checked individually, putting more of the burden on you to be carefully with your calculations.

 

6. A. Unicode, a vast extension of ASCII, represents most any imaginable character. What is the Unicode representation of the lower case Greek letter pi (π)? Your answer should be a 4-digits hexadecimal code (case-insensitive). Just enter ;Unicode pi’ in your favorite Internet search engine to find the answer.

B. What is the Unicode representation if this chess piece:? Your answer should be a 4-digits hexadecimal code (case-insensitive). Again, an Internet search engine should be helpful.

C. which of the following images appear in the Week 1 lecture videos?

a. _______ A cartoon with a man in a swimming pool

b. _______ A cartoon with a woman receiving a compliment from her boss.

c. _______ A penguin colony.

d. _______ Roman soldiers.

e. _______ A binary start system.

f. _______ A photography of the famous mathematician, George Boole

 

D. _________ All computer data is stored internally as sequences of binary digits (aka ‘bits’).

E. IEEE-754 format is used to store

F. A special relationship between base 2 and this base makes conversion between bases especially simple.

G. ________ 2’s complement notation is useful for representing Boolean data.

H. ________ An algorithm is a step-by-step procedure for solving a problem.