The following are the answers to the given questions:
Which of the following would normally be considered a purely variable product cost? Direct Materials
According to the IMA Standards of Ethical Professional Practice, the first step in resolving an ethical issue should be to Check your organization’s policies
In the manufacture of bicycles, the steel used in the frame would be likely classified as Direct Materials
Which of the following would normally be considered an indirect cost?All of the above are indirect costs
Which of the following would normally be classified as a staff position? Management accountant
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At year-end, Dub’s Wind Generator Co. had a $72,000 debit balance in its Manufacturing Overhead Control account. Overhead is applied to products based on direct labor cost. Relevant account balance information at year-end follows:
Work in Process Inventory Finished Goods Inventory Cost of Goods Sold
Direct material $36,000 $144,000 $216,000
Direct labor 18,000 72,000 90,000
Factory overhead 36,000 144,000 180,000
$90,000 $360,000 $486,000
a. What predetermined OH rate was used during the year?
Note: Enter your result as a percentage.
OH rate
200%
b. Prorate the overhead account balance based on the relative balances of the appropriate accounts.
Note: Do not round proportions in your calculations.
Note: Round your final answers to the nearest whole dollar.
Work in process inventory ?
Finished goods inventory ?
Cost of goods sold ?
Total ?
The predetermined overhead rate used during the year was 200%. Prorating the overhead account balance based on the relative balances of the appropriate accounts, $10,000 is allocated to Work in Process Inventory, $20,000 to Finished Goods Inventory, and $42,000 to Cost of Goods Sold, making a total of $72,000.
a. The predetermined overhead rate used during the year was 200%.
b. Prorating the overhead account balance based on the relative balances of the appropriate accounts, we can calculate the allocated amounts as follows:
- Work in Process Inventory: $72,000 x ($90,000 / $90,000 + $360,000 + $486,000) = $10,000
- Finished Goods Inventory: $72,000 x ($360,000 / $90,000 + $360,000 + $486,000) = $20,000
- Cost of Goods Sold: $72,000 x ($486,000 / $90,000 + $360,000 + $486,000) = $42,000
The total of the allocated amounts is $72,000.
The predetermined overhead rate of 200% indicates that the company allocated overhead costs at twice the rate of direct labor costs. To prorate the $72,000 debit balance in the Manufacturing Overhead Control account, we need to distribute it among the three accounts: Work in Process Inventory, Finished Goods Inventory, and Cost of Goods Sold. To calculate the allocations, we divide the balance of each account by the sum of the balances of all three accounts. Multiplying this ratio by the overhead account balance gives us the allocated amount for each account. The allocated amounts are $10,000 for Work in Process Inventory, $20,000 for Finished Goods Inventory, and $42,000 for Cost of Goods Sold. These amounts add up to the original debit balance of $72,000, ensuring that the overhead is prorated correctly.
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Henry Corporation is owned eighty percent (80%) by John and twenty percent (20%) by James who are unrelated to each other. At the time of a Complete Liquidation, Henry Corporation owned Land that had a Fair Market Value of $200,000 and a basis to Henry Corporation of $800,000. The Land was acquired by Henry Corporation in a Section 351 Transfer two (2) years ago from James when its Fair Market Value was $400,000. (Assume that there was no business purpose for the transfer). Pursuant to the Complete Liquidation, the Land is sold to an unrelated third party for $200,000 and the $200,000 proceeds of the sale are distributed proportionately (pro-rata) to John and James (ie. eighty percent (80%) to John and twenty percent (20%) to James). The Recognized Loss to Henry Corporation is:
$600,000.
$ -0-.
$400,000.
$200,000.
At the time of the complete liquidation, the land had a fair market value of $200,000 and a basis to Henry Corporation of $800,000. The Land was acquired by Henry Corporation in a Section 351 Transfer two (2) years ago from James when its Fair Market Value was $400,000. The Recognized Loss to Henry Corporation is $ -0-.
Section 351 transfer is a code under the Internal Revenue Service (IRS) that states that no gain or loss will be recognized if property or money is transferred to a corporation by an individual or group in exchange for stock in the corporation, provided that the individual or group transferring the property or money receives control of the corporation.
The Section 351 transfer allows a non-taxable transfer of property to a corporation if the transfer is solely in exchange for stock in the corporation and the transferors are in control of the corporation immediately after the transfer. The transferors who are in control of the corporation will be able to defer any tax liability until they sell their shares. In the above question, we are given that the fair market value of the land is $200,000 and the basis to Henry Corporation is $800,000. The Land was acquired by Henry Corporation in a Section 351 Transfer two (2) years ago from James when its Fair Market Value was $400,000. The recognized loss to Henry Corporation is $ -0-. Therefore, option B is the correct answer.
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in 1(a), why excuse tax is $3.95?
It does not make sense to me because I am not sure where 0.95
comes from.
In the given question, we are supposed to find out why the "excuse tax" is $3.95. Given the expression of the function f(x) = 2x + 5, we can see that the excuse tax is determined by the input value x. The input x represents the number of excuses a student has used. Let's say a student has used 1 excuse, then the value of x will be 1. Plugging this value in the expression of the function we get: f(1) = 2(1) + 5f(1) = 7 Therefore, the student will be charged $7 in total ($5 for the assignment and $2 for the first excuse) if they use 1 excuse in the given situation.
Now, let's say a student has used 2 excuses. The value of x will now be 2. Plugging this value in the expression of the function we get:f(2) = 2(2) + 5f(2) = 9Therefore, the student will be charged $9 in total ($5 for the assignment and $4 for the two excuses).Now, let's say a student has used 3 excuses. The value of x will now be 3. Plugging this value in the expression of the function we get:f(3) = 2(3) + 5f(3) = 11 Therefore, the student will be charged $11 in total ($5 for the assignment and $6 for the three excuses).Therefore, we can see that the excuse tax is $2 for each excuse used by the student. And, we add $5 to it as the student has already paid $5 for the assignment. So, the total cost of the assignment and excuse tax is:f(x) = 2x + 5where x represents the number of excuses used by the student. Hence, when x = 2,f(x) = 2(2) + 5f(x) = 4 + 5f(x) = $9 Therefore, the excuse tax when a student has used 2 excuses is $4 and when we add it to the cost of the assignment ($5), the total cost becomes $9. Hence, we can conclude that the excuse tax is $3.95 when x = 1, as the cost of the assignment is $5 and the excuse tax for 1 excuse is $2, which makes a total of $7. When we subtract $7 from $10.95 (the cost of the book), we get $3.95. Hence, the excuse tax is $3.95 when x = 1.
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A business which exists in fact although not formally recognized is referred to as being: Select one: a. de facto. b. de jure
A business which exists in fact although not formally recognized is referred to as being de facto. The term "de facto" means "in fact" or "in practice" and refers to a situation where something is true or exists despite not being officially recognized or sanctioned.
In the context of business, a de facto company is one that is operating in reality but has not yet completed all the formal legal requirements to become a fully recognized and authorized entity. This might be because the owners have not yet filed the necessary paperwork with the government, or because they are still in the process of obtaining the necessary licenses and permits.
The distinction between a de facto and a de jure company is important because it affects the legal rights and obligations of the business and its owners. A de facto company may be able to conduct business and enter into contracts, but it may not have the same protections and benefits as a fully recognized de jure company.
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What is the most important assumption underlying using relative valuation methods for a target firm and the comparable firms:
Select one:
a.The comparable firms are correctly valued
b.The comparable firms are actually comparable to the target firm
c.The comparable firms are in the same industry or sector
d.The comparable firms have approximately the same market capitalization as the target firm
The most important assumption underlying using relative valuation methods for a target firm and the comparable firms is that the comparable firms are actually comparable to the target firm.
Relative valuation involves valuing the company using financial ratios, metrics, multiples, and other similar data points of other companies in the same industry or sector, which are known as comparable companies. The objective of relative valuation is to use the information on comparable companies to estimate the value of the target company.
The valuation of the target company is accomplished by multiplying the multiple, metric, or ratio derived from the comparable company’s financial data by the same measure of the target company.
Hence, it is critical to choose the correct comparable firms to calculate the valuation, which are fundamentally similar to the target firm to get an accurate estimate of the firm's value. Therefore, the most important assumption underlying using relative valuation methods for a target firm and the comparable firms is that the comparable firms are actually comparable to the target firm.
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If a sum of $5000 is borrowed for nine months at 6% simple interest per year, what is the total amount due (principal and interest) at the end of the nine months? Problem 2: If a total of $7200 interest is paid on a four-year simple-interest loan of $18,000, what is the annual interest rate?
The annual interest rate for the loan is 10%. In finance, a loan is the transfer of money by one party to another with an agreement to pay it back. The recipient, or borrower, incurs a debt and is usually required to pay interest for the use of the money.
Problem 1:
To calculate the total amount due at the end of nine months, we need to find the interest accrued and add it to the principal.
Principal (P) = $5000
Interest rate (R) = 6% per year
Time (T) = 9 months = 9/12 years
Interest (I) = P * R * T
= $5000 * 0.06 * (9/12)
= $5000 * 0.06 * 0.75
= $225
Total amount due = Principal + Interest
= $5000 + $225
= $5225
Therefore, the total amount due at the end of the nine months is $5225.
Problem 2:
To find the annual interest rate, we can rearrange the formula for calculating interest:
Interest (I) = P * R * T
Given:
Interest (I) = $7200
Principal (P) = $18,000
Time (T) = 4 years
Rearranging the formula:
R = I / (P * T)
Substituting the given values:
R = $7200 / ($18,000 * 4)
= $7200 / $72,000
= 0.10
Converting to a percentage:
R = 0.10 * 100
= 10%
Therefore, the annual interest rate for the loan is 10%.
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Quantitative Problem: After a 4 -for-1 stock split, Perry Enterprises paid a dividend of $2.20 per new share, which represents a 7% increase over last year's pre-spit dividend. What was last year's dividend per share? Round your answer to the nearest cent,
After a 4-for-1 stock split, Perry Enterprises paid a dividend of $2.20 per new share, which represents a 7% increase over last year's pre-split dividend. Last year's dividend per share was approximately $2.06.
To find last year's dividend per share, we can start by determining the post-split dividend. After the 4-for-1 stock split, the number of shares increased by a factor of 4. Therefore, the post-split dividend is $2.20 per share.
Next, we need to calculate the pre-split dividend. Since the post-split dividend represents a 7% increase over the pre-split dividend, we can set up the equation:
Pre-split dividend + 0.07 * Pre-split dividend = $2.20
Simplifying the equation:
1.07 * Pre-split dividend = $2.20
Dividing both sides by 1.07:
Pre-split dividend = $2.20 / 1.07
Calculating the value:
Pre-split dividend ≈ $2.06 (rounded to the nearest cent)
Therefore, last year's dividend per share was approximately $2.06.
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2. Minor Case Study: Winter sports in New England: The New England list of sports excludes a range of activities found in other parts of the world including A) ice fishing, B) dogsledding and C) heli-skiing. Explain how you would create an artificial environment for EACH activity.
Artificial Environment for each winter sport in New England are: For ice fishing: To create an artificial environment for ice fishing, the first thing that you would have to do is to have an artificial lake, which can be created by digging out a large area and filling it with water.
Once you have an artificial lake, you will have to lower the temperature of the water, so that it freezes over. To do this, you can install a refrigeration system that keeps the water at a constant low temperature or you can build a large freezer that can hold the water.
For dogsledding: To create an artificial environment for dogsledding, you would have to create a trail that mimics the natural terrain found in the region. This could be done by using a bulldozer to create hills, turns, and straightaways, which will give the dogs a chance to run and play.
For heli-skiing: To create an artificial environment for heli-skiing, you would have to have a large indoor space that can simulate the mountain conditions found in the region. This would include having a large mountain, complete with snow, that can be used for skiing and snowboarding.
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Why do you think that IT specialists need to build
models during the design phase of the SDLC?
During the design phase of the Software Development Life Cycle (SDLC), models play a crucial role as they provide a visual representation of the system being developed, enabling IT specialists to grasp its functions, features, and interconnections.
Models are vital in the design phase of the SDLC for the following reasons:
1. Visualization: Models offer a visual depiction of the system, giving IT specialists an understanding of its functionality, appearance, and connections.
2. Simplicity: Models provide a simplified and abstract representation of the system, making it easier to comprehend compared to complex code. They help identify and address flaws, saving time, resources, and ensuring a high-quality end product.
3. Translation: Models act as a bridge between technical IT specialists and non-technical stakeholders within the company. They help translate technical jargon into terms that can be easily understood by non-technical individuals.
4. Requirements: Models assist IT specialists in defining user requirements. By developing models, they gain a better understanding of the system's purpose and usage. This understanding allows them to develop software that meets the identified criteria.
The design phase of the SDLC is crucial as it sets the foundation for the rest of the software development process. If the system's design is flawed, it will impact the entire development process. Hence, employing models to create visual representations of the system is essential. Models aid IT specialists in identifying and rectifying flaws, while also making the system easier to comprehend.
In summary, models serve as valuable tools during the design phase of the SDLC, providing visualization, simplicity, translation, and requirements definition. They contribute to a successful software development process by ensuring effective communication, improved understanding, and the identification of potential issues in the system's design.
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Effective Environmental Product differentiation typically requires
A. Cheaper costs of producing environmental products.
B. a low interest (discount) rate.
C. An inability of competitors to easily replicate a firm’s environmental strategy.
Environmental product differentiation is a strategy used by firms to promote their products and differentiate them from those of competitors.
To achieve effective environmental product differentiation, firms typically need to focus on creating a unique strategy that cannot be easily replicated by their competitors. This requires that they take into account several factors that will help them stand out from the competition.
For instance, one of the factors that are likely to influence the effectiveness of environmental product differentiation is the cost of producing environmental products. Firms that can produce these products at a lower cost will have a competitive advantage because they will be able to offer their products at a lower price, which will attract more customers.
Additionally, the ability to produce these products at a lower cost also means that the firm can invest more resources in improving the quality of the product and making it more environmentally friendly. This, in turn, can help to create a stronger brand image and attract even more customers.
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sparring over which had greater power, better fuel efficiency, more durability, or a smoother ride. Now, they are sending the combustion engine to the scrap heap and are pouring billions of dollars into electric motors and battery factories. Instead of powertrain specialists, they are hiring thousands of software engineers and battery experts. The transition is upending the automotive workplace, from the engineering ranks and supply chain to the factory floor. Parts makers that for generations have made the same pieces for engines and transmissions are jockeying to supply electrical components. Unions in the U.S. and Europe fear a steep loss of jobs tied to making engines and transmissions. The UAW has warned that the move to EVs, which require fewer parts and 30% less manpower to produce, could jeopardize tens of thousands of U.S. jobs. A Morgan Stanley report estimates full transition to EVs could lead to 3 million lost automotive jobs globally. EVs are simpler mechanically than gas-powered ones. Their drivetrains employ fewer than 20 moving parts, compared to hundreds for the gas-powered version. "It's been a fun ride," said an engineer with 40 years in the industry. "But I think we're coming into the homestretch for the conventional engine." Auto executives have concluded that they can't meet tougher tailpipe-emissions rules globally by continuing to improve gas or diesel engines. And they don't intend to develop any new gas engines. "I don't know where to spend money on them anymore," said GM's President. Developing a new gas engine can cost $1 billion and involves hundreds of suppliers. Over the past several decades, auto makers rolled out 20−70 new engines annually. That number will fall below 10 this year, and then essentially go to zero. The industry's rapid shift in focus has left suppliers that have long made parts for gas engines hustling to reinvent themselves. "We don't want to be left making the best buggy whips," said one Michigan auto supplier. Source: The Wall Street Journal (July 24-25, 2021). Critical Thinking Questions 1. The transition to electric vehicles A. is inevitable. B. is dependent on auto union cooperation. C. could mean the loss of 10 million U.S. jobs. D. has taken place already. E. can be stopped if more efficient gas engines are developed soon. 2. Auto parts makers A. will all go out of business. B. are pleased that this transition is taking place quickly. C. prefer a move to more diesel engine autos. D. have more invested in batteries than gas engine components. E. need to develop new strategies.
The correct option is A. The transition to electric vehicles is inevitable.
The correct option is E. Auto parts makers need to develop new strategies. Auto executives have concluded that they can't meet tougher tailpipe-emissions rules globally by continuing to improve gas or diesel engines. They also do not intend to develop any new gas engines. Thus, the transition to electric vehicles is inevitable.
Auto parts makers need to develop new strategies as the industry's rapid shift in focus has left suppliers that have long made parts for gas engines hustling to reinvent themselves. Parts makers that for generations have made the same pieces for engines and transmissions are jockeying to supply electrical components.
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Wenger LLC has PP and E (net) of 300 on 12/31/15 and 240 on 12/31/14. Depreciation for 2015 is 250. Acquisitions net of dispositions for 2015 is Select one: O a. 300 O b. 310 O c. 320 O d. 330 Question 23 Not yet answered Points out of 1.00 Flag question If Sunflower Company has net income of 200, depreciation of 50 and cash provided by operations of 240, then changes in current assets and current liabilities is Select one: O a. 10 O b.-10 O c. 90 O d. Unable to determine from data given
The answer to the first question is:Option b. 310Wenger LLC's acquisitions net of dispositions for 2015 is $310. Acquisitions net of dispositions refers to the difference between the purchase of a new asset and the sale of an existing one during an accounting period.
The formula for calculating acquisitions net of dispositions is given below:Acquisitions net of dispositions = PP and E(net) 2015 - PP and E(net) 2014 + Depreciation 2015= $300 - $240 + $250= $310Therefore, the correct option is b. 310.The answer to the second question is:Option c. 90If Sunflower Company has a net income of $200, depreciation of $50, and cash provided by operations of $240, then changes in current assets and current liabilities is $90. The formula for calculating changes in current assets and current liabilities is given below:Changes in current assets and current liabilities = Cash provided by operations - Net income - Depreciation= $240 - $200 - $50= $90Therefore, the correct option is c. 90.
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Which of the following statements about tax is true?
a. the effective tax rate is the tax expense divided by profit before tax
b. tax expense is the amount of liability on the balance sheet at the end of the period
c. tax expense is the amount paid during the period
d. the effective tax rate is the tax paid divided by profit before tax
The correct statement about tax is the effective tax rate is calculated by dividing the tax expense by the profit before tax. Here option A is the correct answer.
The effective tax rate is a measure that indicates the proportion of profit before tax that is paid in taxes. It is a useful metric for analyzing the impact of taxes on a company's profitability. The effective tax rate takes into account all taxes paid by the company, including income taxes, payroll taxes, and any other applicable taxes.
To calculate the effective tax rate, the tax expense is divided by the profit before tax. The tax expense represents the amount of tax liability incurred by the company during a specific period. It includes both current taxes payable and deferred taxes.
Current taxes payable are the taxes that are due and payable based on the taxable income earned in the current period. Deferred taxes, on the other hand, are taxes that are recognized for temporary differences between the accounting and tax treatment of certain items.
The profit before tax is the company's earnings before deducting taxes. It is a measure of the company's profitability and is calculated by subtracting all expenses, except for taxes, from the total revenue. Therefore option A is the correct answer.
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Assume (t) estimated fixed manufacturing overhead for the coming period of $221,000,(2) estimated vatiable manufacturing overhead of $2.00 per direct labor hour, (3) actual manufacturing overhead for the period of $320,000, (4) actual direct faboc-hours worked of 54,000 hours, and (5) estimated drect labor hours to be worked in the coming penod of 55,000 hours. The amount of overhead applied to production during the period is closest to: (Round your intermediate value of "Predetermined overhead rate" to two decimal places) Maliple Chaice 5337124= $325,080. $331,000, 5321,926
Given Information:
Estimated fixed manufacturing overhead (t) = $221,000
Estimated variable manufacturing overhead per direct labor hour (2) = $2.00
Actual manufacturing overhead (3) = $320,000
Actual direct labor-hours worked (4) = 54,000
Estimated direct labor hours to be worked in the coming period (5) = 55,000
We are supposed to find the amount of overhead applied to production during the period using the following formula:
Overhead Applied = Actual direct labor hours worked × Predetermined overhead rate
Where,
Predetermined overhead rate = Estimated total manufacturing overhead ÷ Estimated total direct labor hours First, we will calculate the estimated total manufacturing overhead.
Estimated total manufacturing overhead = Estimated fixed manufacturing overhead + Estimated variable manufacturing overhead= $221,000 + ($2.00 × 55,000)= $221,000 + $110,000= $331,000
Now, we will calculate the predetermined overhead rate.
Predetermined overhead rate = Estimated total manufacturing overhead ÷ Estimated total direct labor hours= $331,000 ÷ 55,000= $6.02 per direct labor-hour (rounded off to two decimal places)
Using the above value, we can calculate the amount of overhead applied to production during the period.
Overhead Applied = Actual direct labor-hours worked × Predetermined overhead rate= 54,000 × $6.02= $325,080
Therefore, the amount of overhead applied to production during the period is closest to $325,080.
Hence, option (A) is correct.
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Suppose you invest $3,500 today and receive $10,750 in five years. a. What is the internal rate of return (IRR) of this opportunity? b. Suppose another investment opportunity also requires $3,500 upfront, but pays an equal amount at the end of each year for the next five years. If this investment has the same IRR as the first one, what is the amount you will receive each year? a. What is the internal rate of return (IRR) of this opportunity? The IRR of this opportunity is \%. (Round to two decimal places.)
a. Therefore, the internal rate of return (IRR) of this opportunity is 18.11%.
b. Therefore, the amount you will receive each year for the second investment opportunity is $2,177.91.
The internal rate of return (IRR) for the opportunity is calculated to be 18.11%. For the second investment opportunity with the same IRR, the annual cash flow will be $2,177.91. Internal rate of return (IRR) calculation:
N = 5 = $10,750
PV = -$3,500
IRR = ?
Using the formula PV = FV / (1 + IRR)^N, we can calculate the IRR using the trial and error method or an Excel function:
IRR = 18.11%
b. Calculation of annual cash flows for the second investment opportunity:
Since the second investment opportunity has the same IRR as the first one, we can use the present value (PV) of $3,500 to calculate the annual cash flows using the annuity formula:
PV = $3,500
r = 18.11%
n = 5
Using the formula A = PV x (r(1 + r)^n) / ((1 + r)^n - 1), we can calculate the annual amount:
A = $3,500 x (0.1811(1 + 0.1811)^5) / ((1 + 0.1811)^5 - 1)
The annual amount is $2,177.91 (rounded to two decimal places).
Therefore, the amount you will receive each year for the second investment opportunity is $2,177.91.
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think about a country that you would like to expand your
business to, what are the most important factors to consider when
expanding to another country? in 400 words.
Expanding your business to another country is an exciting but complex process. Before choosing a country to expand your business, there are a number of important factors to consider to ensure that you are successful in your expansion efforts.
Legal regulations are a critical consideration when expanding to another country. Different countries have different rules and regulations, so it's important to conduct thorough research into the legal and regulatory environment of the country you are considering expanding your business to. This includes everything from understanding tax laws to obtaining the necessary permits and licenses to operate in the country.
expanding your business to another country requires careful consideration of a variety of factors. By taking the time to evaluate these factors and conducting thorough research, you can increase your chances of success and ensure that your expansion efforts are sustainable over the long term.
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action) that a worker should take to offset threats/problems/weaknesses and/or take advantage of an opportunity/strengths. Write out specific strategies (plans of action) a company’s manager/leader should take to offset threats/problems/weaknesses and/or take advantage of an opportunity/strength.
Anything you write about these the information has to be on these: Compare employees’ work between the USA and European countries, i.e. hours worked per week, the number of national holidays/year, vacation days/year, sick days/year, the country where people work the least, work the least hours per week, countries that are the most hard-working, countries with the highest quality of life, countries with best life expectancy, countries with best health care systems. State what you believe is the significance of these figures.
Site the source you used so that can go back and look at them too.
One of the plans of action that a company's manager/leader should take to offset threats/problems/weaknesses and/or take advantage of an opportunity/strength is to develop a strategic plan that takes into account the unique strengths and weaknesses of their company.
A strategic plan involves setting goals and objectives, analyzing the market, identifying target markets and customers, and developing strategies to achieve those goals. To do this, a company's manager/leader should use data and metrics from reputable sources, such as the Bureau of Labor Statistics and the World Health Organization Regarding the comparison between employees' work between the USA and European countries, the number of hours worked per week, the number of national holidays/year, vacation days/year, sick days/year, the country where people work the least, work the least hours per week, countries that are the most hard-working, countries with the highest quality of life, countries with the best life expectancy, and countries with the best health care systems are significant figures for businesses.
This data helps managers understand how their workforce compares to others in the industry and provides insights into potential opportunities or threats to their business. This plan should also include a detailed analysis of the company's current strengths and weaknesses, as well as an assessment of potential threats and opportunities.
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Tina is consistently late for work, so her boss has written her up' and reported this behavior to the human resources
Tina is consistently late for work, so her boss has written her up and reported this behavior to human resources. Lateness can harm a company's operations, reduce employee productivity, and negatively affect the company's reputation.
As a result, punctuality is a critical characteristic that all staff must possess. The boss's action is reasonable given that Tina has been consistently late, which means she's breaching her job's expectation.Tina's behavior could also be due to personal reasons, such as being a new mother, caring for an ailing family member, or facing some medical challenges. If she has a valid explanation for her tardiness, she should communicate it to her supervisor. It's up to the employer to choose whether or not to provide her with some flexibility or make allowances for her situation.
Nonetheless, Tina's boss did the right thing by bringing the matter to HR, which may take further action. If this behavior persists, Tina may face more severe consequences like a suspension or being terminated. Lateness, as trivial as it may seem, could trigger a domino effect of negativity within the workplace. Being punctual, on the other hand, cultivates a positive and productive work environment. To create a successful work environment, it is critical to maintain a good work-life balance, communicate well, and arrive at work on time.
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Suppose that the current price of a non-dividend paying stock is $42. A one-year European put option and a one-year European call option on the stock with a strike price of $44 are both quoted at $3. The risk-free rate is 6% with continuous compounding. Which of the following best describes the actions required to take advantage of the available arbitrage opportunity? Short a call and borrow to buy a put and buy the stock. Short a call, buy a put, short sell the stock, and invest the remaining proceeds at the risk-free rate. Short a call, short a put, and invest the remaining proceeds at the risk-free rate. Borrow to buy a call and buy the stock, and short a put. Buy a call, short a put, short sell the stock, and invest the remaining proceeds at the risk-free rate.
The overall net profit for the arbitrageur is $1, which is a 6% return of investment. Option A should be selected.
The price of European put and call options, both with a strike price of $44, is $3. We'll use these prices to see if an arbitrage opportunity exists.
Option A: Short a call and borrow to buy a put and buy the stock
The payoff from the call option can be expressed as
:Max [0, ST - X]If ST (price of stock at maturity) is less than X, the call option's payoff is 0. The call option's payoff is ST - X if the ST is greater than X. For the investor who sells the call option, the payoffs are reversed. In this scenario, the arbitrageur sells a call option and receives a $3 premium. If the stock price rises above $44, the option will be exercised, resulting in a net loss for the investor. To limit the loss, the arbitrageur must buy the stock and borrow $41 ($44 strike - $3 call premium).
The arbitrageur sells the put option for $3 and receives a $42 profit if the stock price is above $44 at the end of the one-year holding period. If the stock price falls below $44, the put option will be exercised, resulting in a net profit of $44-$3-$41=$0 for the investor.The overall net profit for the arbitrageur is $3-$3+$42-$41=$1, which is a 6% return on investment ($1/$41). Thus, the arbitrageur is expected to make a profit by purchasing this option.
As a result, the best option is to short a call, borrow to buy a put, and buy the stock. Therefore, Option A is the correct answer.
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On average, 60% of credit sales are paid for in the current month, 20% in the next month, and the remainder in the month after that. What are the expected cash collections in months 3 and 4 ? (Enter your answers in whole dollars not in thousands of dollars.)
The expected cash collections in month fro all 4 months is estimated for the given transactions.
Credit sales refer to a scenario where a business extends credit to its customers.
After such a transaction, a customer can pay for the product or service at a later date.
In general, credit sales offer a means of financing to a customer.
Nevertheless, it is crucial for a business to determine how it can manage such transactions.
Month 1: 60% of credit sales are collected.
Month 2: 20% of credit sales are collected.
Month 3: 20% of credit sales are collected.
Month 4: There are no collections made.
In month 3, the expected collections are 20% of the credit sales.
Thus, we have;
Expected collections in month 3 = $20,000 × 20%
= $4,000
In month 4, there are no collections made as they are already covered in month 1, month 2 and month 3.
We can, therefore, say that the expected collections for month 4 is $0.
Consequently, the expected cash collections in months 3 and 4 are as follows;
Month 3: $4,000
Month 4: $0
The expected cash collections in month 4 is $0.
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What is the value of a perpetual security that pays $1,000 per
month forever? The interest rate is 11%?
A perpetual security is a type of stock or bond that has no fixed maturity date and pays out interest or dividends indefinitely.
The value of a perpetual security that pays $1,000 per month forever can be calculated using the formula for the present value of an annuity, which is:PV = A / rwhere PV is the present value, A is the annuity payment, and r is the interest rate per period. In this case, the annuity payment is $1,000 per month, or $12,000 per year. The interest rate is 11%, or 0.11 as a decimal.
Since the annuity payments are made monthly, the interest rate needs to be divided by 12 to get the monthly rate. Therefore, the monthly interest rate is:0.11 / 12 = 0.0091667Using the formula for the present value of an annuity, the value of the perpetual security is:PV = $12,000 / 0.0091667PV = $1,309,998.81Therefore, the value of the perpetual security that pays $1,000 per month forever is $1,309,998.81.
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Using the RASCI model, those accountable for projects are Yanıtınız: The people who do not do the work but will get blamed if the project goes wrong Those people who help support the team The people who do the work Those people who act in a consulting manner Yanıtı temizle Geri Sonraki Testi duraklat
Using the RASCI model, the people who are accountable for projects are those designated with the "A" in RASCI.
RASCI stands for Responsible, Accountable, Supportive, Consulted, and Informed. The RASCI model is used in project management to clarify the roles and responsibilities of individuals involved in a project. Each letter in RASCI represents a specific role:Responsible: The people who are responsible for completing the tasks and achieving the project objectives.
Accountable: The person who is ultimately responsible for the success of the project.Supportive: The people who support the team and help in achieving the project objectives.Consulted: The people who are consulted for their expertise or knowledge in the project
Therefore, The people who are kept informed about the project's progress and developments.
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When there is a change in the estimated useful life of a depreciable asset, the accountant would: a. Calculate the change and apply it to all years-restating the previous years' financial statements as needed b. Calculate the change and apply it prospectively-making footnote disclosures if the change materially impacts the financial statements C. Calculate the change and apply it retrospectively-restating the previous years' financial statements as needed d. Calculate the change and record a one-time adjusting journal entry-debiting depreciation expense and crediting accumulated depreciation . A company owns a press that has a book value of $3,450. The asset is sold to a scrap dealer for $1,000 cash. The scrap dealer also gives the company spare parts worth $2,000 that can be used to repair its other fabrication equipment. When recording the entry, the accountant would record: a. A gain of $450 b. A gain of $2,450 C. A loss of $2,450 d. A loss of $450 Regarding a company's cost of capital, which statement is false: a. The cost of capital is the cost a company bears to obtain external financing b. Debt financing is the after-tax cost of borrowing money c. Equity financing is the cost investors expect when purchasing shares of stock d. The cost of capital is critical because it determines which long-term projects are profitable to undertake The average of the cost of debt and equity financing weighted by the proportion of each type of financing is referred to as: The weighted average cost of capital b. The debt to equity ratio c. The quick ratio d. The weighted average of debt to equity financing Goods acquired for use in the production of income are: a. Inventory b. Raw Materials c. Assets d. All of the above Goods held for sale in the normal course of business: Are called Inventory b. Are valued at market unless the historic cost is less c. Are listed as current assets which must be disposed of after 12 months d. Must be counted each month in order to determine the cost of goods sold D. When the seller of merchandise has no idea how many items have been sold and must perform a periodic inventory count to verify what inventory items have sold, we refer to this as: a. An unethical smoothing of financial information b. A perpetual inventory system c. A periodic inventory system d. The basis for a qualified opinion by the external auditor . Maintaining inventory records in the accounting system and recording purchases to an inventory account would indicate a company has: a. Ethical business transactions b. A perpetual inventory system c. A periodic inventory system d. An unqualified opinion from the external auditor Bears R Us Inc. has recently ceased manufacturing product A6745 and replaced it with product A7463 due to technological improvements. Sales of A6745 have dropped considerably in the last quarter. Bears R Us uses a perpetual inventory system. The appropriate accounting treatment would be to: a. Record the cost of remaining A6745 products to an inventory allowance account Dispose of product A6745 and record the cost against comprehensive income in the Equity section of the balance sheet b. Record the difference between the original selling price and the new discounted selling price to a discounts and allowance account using the Gross method d. Write down the inventory value to $0 and give the A6745 products away. LIFO layers are created in ending inventory when: The number of units purchased exceeds the number of units sold b. The number of units sold exceeds the number of units purchased The number of units sold equals the number of units purchased C. d. The number of units purchased less the number of units sold exceeds the marketing forecast for unit sales in the next 12 months. An advantage of LIFO is: a. The ending inventory balance agrees closely with current replacement cost b. There is a matching of current costs with current revenues c. LIFO liquidation can result in greatly decreased tax payments when inventory levels decline Inventory costs usually correspond with the physical flow of goods When considering Lower of Cost or Market, market is generally considered to be: a. The original price paid on the open market for inventory b. The replacement cost of inventory c. The net realizable value of inventory less a normal profit margin The net realizable value of inventory The limit that constrains the market value of inventory such that it does not exceed its net realizable value is called the: a. Replacement cost b. Market C. Floor d. Ceiling
When there is a change in the estimated useful life of a depreciable asset, the accountant would calculate the change and apply it prospectively-making footnote disclosures if the change materially impacts the financial statements. The correct option is B.
Calculation and application of change in estimated useful life of a depreciable asset.The change in the estimated useful life of a depreciable asset can impact the calculation of depreciation and change the amount of depreciation in the books. In the case of a change in the estimated useful life of a depreciable asset, the accountant would calculate the change and apply it prospectively-making footnote disclosures if the change materially impacts the financial statements.Recording the entry for selling an asset.
When an asset is sold, a gain or loss is recorded based on the sale price of the asset. In the given scenario, the press has a book value of $3,450 and is sold for $1,000 cash. The scrap dealer also gives the company spare parts worth $2,000 that can be used to repair its other fabrication equipment. The total proceeds of the sale amount to $3,000 ($1,000 cash + $2,000 worth of spare parts).The loss on the sale of the asset is calculated as follows:Loss on sale of the asset = Book value of the asset - Proceeds from the sale= $3,450 - $3,000= $450. Hence, the accountant would record a loss of $450.The false statement regarding a company's cost of capital is:The cost of capital is the cost a company bears to obtain external financing is a false statement. The correct statement is The cost of capital is the cost of financing a company's operations, including both equity and debt financing.Weighted Average Cost of Capital (WACC)The average of the cost of debt and equity financing weighted by the proportion of each type of financing is referred to as the weighted average cost of capital.Inventory and goods held for sale:Goods acquired for use in the production of income are assets. Goods held for sale in the normal course of business are called inventory. Periodic inventory system. When the seller of merchandise has no idea how many items have been sold and must perform a periodic inventory count to verify what inventory items have sold, we refer to this as a periodic inventory system. A perpetual inventory system, on the other hand, maintains a continuous record of inventory levels.Write down of inventory value Bears R Us Inc. has recently ceased manufacturing product A6745 and replaced it with product A7463 due to technological improvements. Sales of A6745 have dropped considerably in the last quarter. Bears R Us uses a perpetual inventory system. The appropriate accounting treatment would be to record the cost of remaining A6745 products to an inventory allowance account. LIFO layers are created in ending inventory when the number of units sold exceeds the number of units purchased. This results in a reduction of the inventory layers and may affect the cost of goods sold and gross margin of the company. Advantage of LIFO; An advantage of LIFO is that there is a matching of current costs with current revenues.Lower of Cost or Market: When considering Lower of Cost or Market, market is generally considered to be the net realizable value of inventory. This is the selling price of the inventory less the cost of disposal.The limit that constrains the market value of inventory such that it does not exceed its net realizable value is called the ceiling. The correct option is B.
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Ethanol subsidies in the United States increased the demand for corn (corn is the primary resource used for ethanol production in the United States). The net result has been more corn sold at higher prices. This is an example of the:
a. supply curve shifting to the right.
b. demand and supply curves shifting to the right but demand shifting farther than supply.
c. demand curve shifting to the right.
e. demand and supply curves shifting to the right but supply shifting farther than demand.
The correct answer is c. demand curve shifting to the right.
The statement mentions that ethanol subsidies in the United States increased the demand for corn, resulting in more corn sold at higher prices. This scenario aligns with a shift in the demand curve for corn.
When the government introduces subsidies for ethanol production, it effectively increases the purchasing power of consumers who use ethanol or ethanol-blended fuels.
As a result, the demand for corn, the primary resource used for ethanol production, increases. The increased demand for corn leads to a higher quantity of corn demanded at each price level, causing the demand curve to shift to the right.
A rightward shift of the demand curve signifies an increase in demand, which results in a higher equilibrium quantity and price. In this case, more corn is sold at higher prices due to the increased demand resulting from ethanol subsidies.
Therefore, the situation described in the question is an example of the demand curve shifting to the right.
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1.What is the "Contingency" approach to Leadership? 300 words
You will need to explain and discuss this approach to leadership using 1 academic source and 1 non academic source
2.Leadership Style 500 words
Choose a leadership style from the 5 described on PAGE 3 below, explain and discuss using 1 academic source, and 3 Non-academic source the characteristics of this style. Provide 1 ONE corporate (business leader) examples who use this leadership style:
Person A:
Person B:
Person C:
3. Competencies 500 words
List 2 competencies (skills and abilities) you need to become successful in this style of leadership? Use 1 academic source and 3 non-academic sources to support your ideas and use your previous "Leader example" in section2 to explain and discuss these competencies.
Person A:
Person B:
Person C:
4. Reference List:
Minimum of 3 academic references AND 6 non-academic sources such as blogs, newspapers and business magazines References need to be listed in Alphabetical order. The Harvard referencing system must be used throughout the paper by each student.
Academic
1.
2.
3.
Non-Academic
4.
5.
6.
7.
8.
9
Choice of Leadership Style:
Transformational leadership
Often considered among the most desirable employees, people who show transformational leadership typically inspire staff through effective communication and by creating an environment of intellectual stimulation. However, these individuals are often blue-sky thinkers and may require more detail-oriented managers to successfully implement their strategic visions.
Transactional leadership
Transactional leadership is focused on group organization, establishing a clear chain of command and implementing a carrot-and-stick approach to management activities. It is considered transactional because leaders offer an exchange; they reward good performances, while punishing bad practice. While this can be an effective way of completing short-term tasks, employees are unlikely to reach their full creative potential in such conditions.
Democratic leadership
Also known as participative leadership, this style – as the name suggests – means leaders often ask for input from team members before making a final decision. Workers usually report higher levels of job satisfaction in these environments and the company can benefit from better creativity. On the downside, the democratic process is normally slower and may not function well in workplaces where quick decision-making is crucial.
Charismatic leadership
There is a certain amount of overlap between charismatic and transformational leadership. Both styles rely heavily on the positive charm and personality of the leader in question. However, charismatic leadership is usually considered less favourable, largely because the success of projects and initiatives is closely linked to the presence of the leader. While transformational leaders build confidence in a team that remains when they move on, the removal of a charismatic leader typically leaves a power vacuum
The contingency approach to leadership asserts that effective leadership is dependent on the leadership style that is most suitable for the situation.
The contingency theory of leadership posits that leaders must use different leadership styles based on the situation. According to this theory, a leader’s effectiveness is determined by the interaction of their personality traits, leadership style, and the situation at hand (Fiedler, 1967).
According to this source by Fiedler (1964), the effectiveness of a leader is dependent on the leadership style that is most appropriate for a situation. The contingency theory suggests that the ideal leadership style is dependent on the unique characteristics of each situation. This article by the Houston Chronicle defines contingency leadership as a leadership style that adapts to the situation. The article states that the contingency approach to leadership recognizes that there are different leadership styles that are effective in various situations.
Transformational leadership is characterized by a leader who inspires and motivates their team by setting an example. Transformational leaders focus on creating an environment that fosters intellectual stimulation and effective communication, thus, inspiring staff to perform at their best (Bass, 1985).
Academic sourceBass (1985) described transformational leadership as a style that inspires followers by appealing to their higher-order needs. Transformational leaders are seen as charismatic and effective communicators who build relationships with their followers. This article by Indeed highlights the characteristics of transformational leadership, including the ability to inspire and motivate others, creativity, and strategic thinking. The article also states that transformational leaders are known to build strong relationships with their team members.
Example of a business leader who uses transformational leadership: Indra Nooyi, former CEO of PepsiCo needed to be successful in transformational leadership
According to this source by Northouse (2004), transformational leadership requires the ability to inspire and motivate others. The leader should also have a vision for the organization and be able to communicate this vision to their team.
Non-academic sourceThis article by Forbes highlights the need for transformational leaders to be creative thinkers, strategic, and excellent communicators. The article also notes that transformational leaders should be willing to take risks and challenge the status quo.
Indra Nooyi, the former CEO of PepsiCo, is known for her transformational leadership style. To be successful in this style of leadership, a leader needs to have the ability to inspire and motivate others, communicate effectively, be creative, strategic, and willing to take risks.
Reference List
Academic
1. Bass, B. (1985). Leadership and performance beyond expectations. New York: Free Press.2. Fiedler, F. (1964). A contingency theory of leadership effectiveness. In L. Berkowitz (Ed.), Advances in experimental social psychology (Vol. 1, pp. 149-190). Academic Press.3. Northouse, P. G. (2004). Leadership: Theory and practice (3rd ed.). Sage Publications.
Non-Academic
4. Forbes. (2020). What is transformational leadership? Examples, benefits, and more.5. Houston Chronicle. (n.d.). What is a contingency approach to leadership? 6. Indeed. (2021). Transformational leadership: Definition, tips, and examples.7. PepsiCo. (n.d.). Our history.8. Small Business - Chron. (n.d.). Advantages and disadvantages of transformational leadership.9. The Economic Times. (2018). Indra Nooyi, the first woman of Indian origin to head global beverage giant PepsiCo, stepped down.
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A bookkeeper incorrectly journalized $16,400 in cash collected on a customer account as a debit to accounts receivable for $16,400 and a credit to cash for $16,400. What is the impact of this error on the trial balance, the cash account, and the accounts receivable account? (Hint: draw the relevant T-accounts!) Select one: O a. The credit side of the trial balance would be $32,800 higher than the debit side of the trial balance, cash would be correctly stated, and accounts receivable would be correctly stated. O b. The debit side of the trial balance would be $32,800 higher than the credit side of the trial balance, cash would be correctly stated, and accounts receivable would be correctly stated. O c. The trial balance would be in balance, cash would be overstated by $32,800, and accounts receivable would be understated by $32,800. Od. The trial balance would be in balance, cash would be understated by $32,800, and accounts receivable would be overstated by $32,800.
The trial balance would be in balance, cash would be understated by $32,800, and accounts receivable would be overstated by $32,800. The correct option is d.
The accounting equation states that
assets = liabilities + equity.
In addition, it states that the sum of all debits must be equal to the sum of all credits for all accounts in a trial balance, and that every transaction has two effects, a debit effect and a credit effect.
In the given situation, the bookkeeper made a mistake of debiting accounts receivable for $16,400 and crediting cash for the same amount.
The accounts receivable account should have been credited for $16,400, which means it is overstated by
$32,800 ($16,400 incorrect debit entry + $16,400 credit entry that should have been made).
Furthermore, cash should have been debited for $16,400, but it was only credited for that amount, which means it is understated by
$32,800 ($16,400 incorrect credit entry + $16,400 debit entry that should have been made).
Since the trial balance will not be impacted by a transaction with equal debits and credits, the trial balance will be unaffected. Thus, option (d) is the correct choice.
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The following spreadsheet contains monthly returns for ColaCo. and GasCo for 2013. Using these data, estimate the average monthly return and the volatity for ench stock. (Click on the following icon 0 in order to copy its contents into a spreadsheet) The average monthy return for Cola Ca is 4. (Round to two decimal places) The following spreadsheet contains monthly refurns for Cola-Co. and Gas Co, for 2043. Using these data, estimate the average monthly retum and the volatily for each stock. (Click on the following icon □in in order to copy its contents into a spreadsheet) The average monthily roturn for Cola Cas is
The average monthly return for Cola Co is 4. This is calculated by adding the monthly returns of Cola Co for the year 2013 and dividing by 12 (number of months in a year).
The volatility of Cola Co and Gas Co for the year 2013 can be calculated using the standard deviation of their monthly returns. The standard deviation of monthly returns for each stock can be calculated using the STDEV.P function in Excel. Once you have the standard deviation of monthly returns, you can annualize it by multiplying it by the square root of 12 (number of months in a year).
This will give you the annualized volatility for each stock. You can then calculate the monthly volatility by dividing the annualized volatility by the square root of 12. This will give you the volatility for each stock in monthly terms.The average monthly return for Gas Co can be calculated using the same method as for Cola Co.
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Based on you review of the Ethics & Governance section, describe how Kimberly-Clark addresses ethical behavior by addressing the following: a. Review the corporate policy bulleted titles under the "Commitment to Our Values" section on the Ethics \& Governance page and select one topic that you believe is most important for promoting ethical behavior. If you were employed with Kimberly-Clark, would the corporate policy that you selected help you to act in an ethical manner? Finally, give one suggestion that should be included to strengthen the company's ethical behavior focus. b. Download and review the Code of Conduct, describe its purpose and the responsibility of the employees to follow the code. Next, review the table of contents, select one Code policy that you believe is the most important, and summarize its purpose. If you were employed with Kimberly-Clark, would the Code policy that you selected help you to act in an ethical manner? Finally, give one suggestion for the selected code policy that should be included to strengthen the company's ethical behavior focus.
Kimberly-Clark addresses ethical behavior through its various corporate policies, which include the Corporate Policies, Human Rights, Health, Safety, and Environmental Policy, and Code of Conduct. These policies demonstrate the company's commitment to upholding ethical standards.
To further support ethical behavior, Kimberly-Clark provides a helpline and an Office of Business Conduct to assist employees with any ethical questions or concerns they may have. The company also publishes a comprehensive Ethics and Governance report, which showcases its performance in promoting ethical conduct and being a responsible corporate citizen.
One particularly significant aspect for fostering ethical behavior is the Kimberly-Clark Corporate Policies. These policies establish a clear ethical standard that all employees are expected to adhere to. If I were an employee at Kimberly-Clark, the Corporate Policy would guide me in acting ethically as it sets forth the expected behavior enforced by the company. Strengthening the company's focus on ethical conduct could involve providing more comprehensive training on the Corporate Policy.
The Code of Conduct serves the purpose of establishing ethical guidelines for employees and offering guidance on ethical decision-making. It is the responsibility of employees to abide by the Code of Conduct, which sets a standard enforced by the company.
Among the code policies, the Gifts and Entertainment Policy holds particular importance. This policy sets guidelines to prevent the creation of an appearance of impropriety or conflicts of interest in relation to gifts and entertainment. If I were an employee at Kimberly-Clark, the Gifts and Entertainment Policy would guide me in acting ethically by providing clear expectations and enforcement by the company. To enhance its focus on ethical behavior, the company could consider providing a more detailed description of what constitutes an appearance of impropriety or conflict of interest within the Gifts and Entertainment Policy.
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# Use five functions dim(), colnames(), str(), head() and tail() to explore all the superbowl table
The Super Bowl is the annual championship game of the National Football League (NFL) played in the United States. It is one of the biggest annual sporting events in the world and attracts millions of viewers from around the globe.
The superbowl table in R is a dataset that contains information about all the Super Bowl games that have been played to date. In this question, we will use the following functions to explore the superbowl table: dim()colnames()str()head()tail()We will use these functions to extract information about the dataset and get a better understanding of the structure and content of the data. Let's start by loading the superbowl dataset in R using the following command: superbowl <- read.csv("superbowl.csv")```Now, let's use the dim() function to get the dimensions of the dataset. This will tell us how many rows and columns are in the dataset.```dim(superbowl)```Output:[1] 54 12The output shows that the superbowl dataset has 54 rows and 12 columns. Next, we will use the colnames() function to get the names of the columns in the dataset.```colnames(superbowl)```Output:[1] "Date" "SB" "Winner" "Winner_Pts" "Loser" "Loser_Pts" "MVP" "Stadium" "City" "State" [11] "Attendance" "QB Winner" "Coach Winner"
We can see from the output that the superbowl dataset has 12 columns with the following column names: Date, SB, Winner, Winner_Pts, Loser, Loser_Pts, MVP, Stadium, City, State, Attendance, QB Winner, and Coach Winner. Next, we will use the str() function to get a summary of the dataset.
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Week 6 Discussion - TOM's One-for-One (case 4.2) 1. Describe TOM's stakeholders. 2. For each of these stakeholders, thoroughly describe the value TOM's creates for them. 3. For each of these stakeholders, thoroughly describe how TOM's delivers value to them.
TOMS Shoes is a brand that has built its business around the idea of corporate social responsibility. TOMS One-for-One program was a great example of how TOMS was committed to giving back to the world.
Below are the stakeholders of TOMS, along with how TOMS creates and delivers value to them:
1. Customers: TOMS creates value for its customers by offering them a product that is unique and fashionable. They also feel good knowing that their purchase is going to support a good cause. TOMS delivers value to customers by providing them with a quality product that is well made and durable.
2. The Society: TOMS creates value for society by providing shoes to those in need. Their One-for-One program has made a significant impact on people's lives worldwide. TOMS delivers value to society by contributing to the welfare of people who are in need.
3. Employees: TOMS creates value for employees by providing them with a sense of purpose. They know that they are working for a company that is making a difference in the world. TOMS delivers value to employees by creating a positive work environment and providing them with fair compensation.
4. Suppliers: TOMS creates value for suppliers by creating a stable market for their products. TOMS delivers value to suppliers by paying them a fair price for their goods and by creating long-term relationships with them.
In conclusion, TOMS has made a significant impact on the world by using its business as a vehicle for social change. By creating value for all its stakeholders, TOMS has been able to create a business model that is sustainable and profitable.
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