In examining the risk assessment of a potential client, the company structure as well as the overall nature and complexities of the company should be understood. The nature of the entity will affect the risk assessment in terms of requiring more or less engagement planning and/or substantive procedures. You are preparing an a
Consider the following probability distribution of returns estimated for a proposed project that involves a new ultrasound machine: State of the Probability Rate of Economy of occurrence Return Very poor 0.1 -10% Poor 0.2
The following items discusses the practices related to the treasury stock. Please choose the item that is not a correct practice. a.Treasury stock is the own common share repurchased by the firm. b.Treasury stock is recorded as an asset on B/S c.To increase the stock price, firms may have treasury stocks. d.The profit from
1. Define and explain the differences among inelastic, elastic, and unitary price elasticity. 2. What questions would you ask regarding each? 3. What recommendations would you have?
a. Why should investors consider investing overseas? b. What are the potential advantages, and perils? c. What is Market Efficiency? What are the implications of Market Efficiency, for the pricing of securities and investing corporations' money? d. Why is psychology important in a global setting?
Controls pertaining to recording inventory transactions are important to assessing control risk for the existence and occurrence, completeness, valuation or allocation, and presentation and disclosure assertions for manufacturing transactions and inventories. 1. How does the auditor perform a walk through of production trans
1) In planning the audit, the auditor should assess materiality at which two levels? a. the preliminary level and the final level. b. the company level and the divisional level. c. the account balance level and the detailed item level. d. the financial statement level and the account balance level. e. the account balan
Analyze the case study, and develop the conclusions, recommendations, and implications. Consider the implementation challenges in the case and the technologies used to meet them, along with the final questions posed at the end of the case. Summarize your findings in a two page paper using proper APA formatting.
1. Analyze Coca-Cola's company's mission and vision statements against the performance of the organization. Then, evaluate how well the company lives out its mission and vision statement. Provide support from the organization's performance in your evaluation. 2. Assess how Coca Cola organization's strategic goals link to the
I must create a career plan. My chosen career is in Accounting & Finance Management. I would like a sample career plan relating to Accounting & Finance. I would like an example of skills required and personality traits, and a listing of long-term, mid-term, and short-term goals. Discuss your career choice explaining why you c
Describe why financial decisions are based on incremental benefits. How does a sunk cost affect the incremental benefit from a decision? Explain why the notes to a firm's financial statements are an integral part of the financial statements.
I am not understanding how to obtain the OCF. I know that you have to add the depreciation expense and subtract the tax, but I am very confused. I know that you must divide the current assets by the current liabilities but when I do it, it doesn't work. Please help. Hammett, Inc., has sales of $19,720, costs of $9,310, de
Great Britain is the 2nd largest economy within the European Union yet does not utilize the Euro, opting instead to retain the pound sterling as its national currency. How has this decision affected the country's ability to combat the "Great Recession"? (For example, has the retention of the pound helped or hurt the Britis
On June 15, Bunting Corporation reacquired 12,000 shares of its $10 par value common stock for $18 per share. Bunting uses the cost method to account for treasury stock. The journal entry to record the reacquisition of the stock should debit: a. Common Stock for $120,000 b. Common Stock for $120,000 and Paid-in Capital in Ex
Patton Corporation owns 2,500 of the 10,000 outstanding shares of Forman Corporation. During 2013, Forman Corporation earns $1,500,000 and pays cash dividends of $120,000. What amount should Patton show in the investment account on December 31, 2013 if the beginning of the year balance in the account was $1,000,000? a. $1,0
What does it mean if a domestic mutual fund has a beta coefficient of 1.25, an alpha coefficient of 2.25 and an R-Square of 75? Explain each measurement and then interpret what these measurements mean for this mutual.
Common Stock of Coquihalla Corporation will pay a dividend of $8.00 in the upcoming year, and dividends are expected to grow 5% per year in the future. Your required rate of annual return is 12% . Using the Constant Dividend Growth Model calculate the current price of the Common Stock.
I need help with evaluating the financial condition of Google and its ability to achieve the strategic objectives as discussed in the annual report. Please provide references - annual report attached.
Howard, Inc produces carbon graphite fiber shafts for Calloway golf clubs. Last year their average monthly production included 19,000 shafts using 1 shift of 3 technicians working 20 days a month and 8 hours a day. Of the items produced, 15% were deemed defective and were scrapped due to poor tensile strength. Recently, Howar
The Healthy Spring Water company sells bottled water for offices / homes. The price of the water is $20 per 10 gallon bottle and the company currently sells 2,000 bottles per day. The company's daily income and costs: Sales revenue: $ 40,000 Variable cost : $ 16,000 Fixed cost: $ 20,000 1. What is the maximum sales los
1. How could loss control approaches be used to reduce the risk of injury to construction company employees and a medical transporter by car? 2. What can be done when the cost of insurance is too high? 3. What are some disadvantages of increased risk retention?
Please obtain industry standards for ratios for Microsoft and two of its competitors, Oracle Corp and Apple.
The standard deviation of the market index portfolio is 20%. Stock A has a beta 1.5 and residual standard deviation of 30%. A) What would make for a larger increase in the stock variance, an increase of 1.5 in its beta or an increase of 3% in its residual standard deviation? B) An inventor who currently holds the market i
I need help with developing the rudiments of a financial plan. The questions are relative to an etiquette and image consultant, one-owner, corporation type business. 1.Explain the financial requirements for the venture, including the amounts needed for cash flow and profitability. 2.Create a cost of operating report for your
There are few, if any, real companies with negative betas. But suppose you found one with B=-,25. A. How would you expect this stock's rate of return to change if the overall market rose by an extra 5%? What if the market fell by an extra 5%? B. You have $1 million invested in a well-diversified portfolio of stocks. Now
A game of chance offers the following odds and payoffs. Each play of the game costs $100, so the net profit per play is the payoff less $100. Probability .10, .50 and .40. Payoff is $500, 100 and 0. net Profit is $400, 0 and -100. What are the expected cash payoff and expected rate of return? Calculate the variance and stan
Chapter 4 in the Finance: Applications and Theory textbook by Cornett, Adair, and Nofsinger provides an introduction to the main concepts of the time value of money for a single cash flow amount. These concepts are important in finance, because cash flows analyzed in most of finance occur at various periods of time, and adjustme
Make recommendations: on the following two companies: Pep Boys O'Reilly Automotive Inc From an investor's perspective of whether one should buy/sell/remain neutral on both stocks. From a lender's perspective of whether or not a short-term and/or long-term loan should be made to either company. From a manager's perspecti
The U.S. market has an expected return of 12% and a standard deviation of 22%. An index mutual fund that matches the Morgan Stanley Europe, Australia, and Far East Index (EAFE) has an expected return of 14% and a standard deviation of 30%. The U.S. market and the EAFE fund have a correlation coefficient of 0.5%. Kramer was con
You are working for McDonalds Corporation. You want to do a Country Risk Assessment for Iran for the current year to decide whether you should operate a Franchise there. Explain how you would proceed? What data would you need; How would you use them?