Marcel Melo- 2.5 Assignment- Water and Sewer Utility

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QUESTION 30 WKU is doing the following two research projects:        X: Developing identity theft prevention software. The software will be sold in the market.       Y: Cost reimbursement contract with the US Treasury Department. WKU performs a financial fraud            detection research and it will be reimbursed 250% of the reported costs incurred in the project.              For each project, WKU incurred both direct and indirect costs.  WKU incurred a total of $1,000,000 indirect  costs.  Indirect costs are allocated using a base chosen by WKU.  The following information is given:    Project Direct costs Computer time in hours (CTH) Pages of all articles read (PAR) Lab experimental  hours (LEH) Number of  assistants used (NAU) X    $1,000,000 5,000 65,000 1,000  300 Y    $2,500,000 5,000 35,000 4,000  500   Which of the following allocation bases is the best for the benefit of WKU?   A. CTH   B. LEH   C. PAR…

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Question 3 Q3: Assume that Shannon's current CLV=$142.00. Based on the change in CLV you computed in the last question, should Shannon's implement the rewards program? Yes introduce rewards program. -- No do not introduce rewards program -- ○ There is insufficient data to answer "yes" or "no." Question 4 Q4: Assume that Shannon's decides to move forward with its loyalty/rewards program. Estimates for the cost per customer is $6.07 per month. Average customer margins, before subtracting off the cost of the loyalty/rewards program, are expected to be 34.18. Assuming that Shannon's wishes to obtain a minimum CLV of $120, what is the required retention rate that must be achieved? Assume that the interest rate is 1% per month. (Note: This problem assumes that you employ some algebra to solve the CLV formula for r.) Express your answer to four decimal places e.g. .1234. Do not express in percent form.

Question 3 A firm is looking to evaluate the income coming from a project. The project has alowest possible income of $1,036.31, a likely income of $2,113.29 and a maximum income of $2,904.68. What is a the risk mitigated income that a firm should use their analysis? Enter your answer below (no $ sign), and show your work in your drobox submission. Your Answer:

control risk, inherent risk, detection risk, RMM? Explain why? IR/CR yes or no? RMM and DR increase,decrease or no effect?   Factor IR Factor CR Factor Why? Comments Impact on RMM Impact on DR 1 Apollo advanced $1.25 million to Larry Lancaster’s secretary.           2 Apollo does not have adequate documentation supporting customer returns of product.           3 Apollo has maintained a positive trend in net income over the past several years, and has a strategic emphasis on meeting profitability targets.           4 Apollo has not allowed your firm to speak with the predecessor auditor about their withdrawal after last year’s engagement.           5 Apollo installed a new computer system mid-year.

23 The Hanks Co is considering two projects. Project A consists of building a bee sanctuary on the firm's small parcel of land. Project B consists of building a retail store on on that same parcel. The parcel can accommodate only one of the projects. Which method of analysis is most appropriate for an analyst to employ? A. Accounting rate of return B. Profitability index C. NPV D. Payback E. IRR

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How do I answer (b) ?

DISCUSSION QUESTION 5 INCREMENTAL ANALYSIS IT La INCREMENTAL ANALYSIS Management is often faced with the alternative of continuing to make a product or component internally, or going to an external source and purchasing the product or component. In gathering relevant information for these two alternatives, briefly identify the quantitative factors that should be considered. Are there any qualitative factors that should also be considered?

Problem 10-16A (Algo) Using present value techniques to evaluate alternative investment opportunities LO 10-2 Vernon Delivery is a small company that transports business packages between New York and Chicago. It operates a fleet of small vans that moves packages to and from a central depot within each city and uses a common carrier to deliver the packages between the depots in the two cities. Vernon Delivery recently acquired approximately $6.2 million of cash capital from its owners, and its president, George Hay, is trying to identify the most profitable way to invest these funds. Todd Payne, the company's operations manager, believes that the money should be used to expand the fleet of city vans at a cost of $640,000. He argues that more vans would enable the company to expand its services into new markets, thereby increasing the revenue base. More specifically, he expects cash inflows to increase by $330,000 per year. The additional vans are expected to have an average useful life…

Question 9 One of the benefits of spending sizable sums of money for social responsibility initiatives and good corporate citizenship over a multi-year period is ← Previous O O greater ease in achieving the investor-expected performance targets for EPS, ROE, and stock price, provided a company wins one or more Gold Star Awards for Corporate Citizenship. the positive impact that such a strategy has on the company's credit rating which can affect the attractiveness of both action cameras and UAV drones. the positive impact it has on achieving a higher image rating/brand reputation. Next→ increased power and effectiveness of a company's advertising expenditures for action cameras in all four regions in those years when the company's total annual spending for socially responsible activities exceeds the industry average (as reported on p. 3 of the Camera & Drone Journal. O increased company ability to charge higher prices for its action cameras and UAV drones (because of widespread public…