Question: EntertainMe Corporation manufactures and sells

> Pineway Electric manufactures electric motors. It competes and plans to grow by selling high-quality motors at a low price and by delivering them to customers in a reasonable time after receiving customers’ orders. There are many other manufacturers who

> Papa’s Pizza is considering replacement of its pizza oven with a new, more energy-efficient model. Information related to the old and new pizza ovens follows: The old oven had been purchased a year ago. Papa’s Pizza es

> Rodeo Printers operates a printing press with a monthly capacity of 4,000 machine-hours. Rodeo has two main customers: Trent Corporation and Julie Corporation. Data on each customer for January are: Julie Corporation indicates that it wants Rodeo to do a

> The Ukraine power plant that services all manufacturing departments of CC Engineering has a budget for the coming year. This budget has been expressed in the following monthly terms: The expected monthly costs for operating the power plant during the bud

> LMTC Ltd manufactures PE clothes for primary schools in Northamptonshire, the United Kingdom. The company produces 30,000 units per academic session. The following is the cost per unit: It has been established that £16 of the overhead is fix

> The Pierce Corporation manufactures filing cabinets in two operations: machining and finishing. It provides the following information: Each cabinet sells for $70 and has direct material costs of $30 incurred at the start of the machining operation. Pierc

> Isochlorine is produced in a chemical process that is very threatening to the environment. As a result of this, the government has limited the yearly production. Company Soleil uses isochlorine to produce four cosmetic products A, B, C, and D. Soleil has

> Alpha Cables Ltd manufactures electric cables for households. The company has capacity to produce 16,000 units per month. However, the current plans call for monthly production and sales of 10,000 units at €15 each. Cost per unit are as

> Oscar Ltd manufactures small electrical parts in Hamburg, Germany. The company has a production capacity of 18,000 electrical units per year and the unit cost is as follows: The company’s accountant has established that 40% of the overh

> The Svenson Corporation manufactures cellular modems. It manufactures its own cellular modem circuit boards (CMCB), an important part of the cellular modem. It reports the following cost information about the costs of making CMCBs in 2020 and the expecte

> The Gold Plus Company manufactures medals for winners of athletic events and other contests. Its manufacturing plant has the capacity to pro- duce 11,000 medals each month. Current production and sales are 10,000 medals per month. The company normally ch

> Edward Jingo runs a modern sawmill in Old Trafford, Manchester. The company received an order for its MIC wood for which the labor and machine time is available but requires three types of wood materials namely: Mahogany, Iroko, and Cedar (MIC). Mahogany

> Graham Douglas is a guard dog training business based in Coventry, the United Kingdom. The business trains and sells different breeds of guard dogs. The dogs are usually purchased from local dog breeders for £250 each. The cost of feeding ea

> Assume the same information for Blanda Brothers as in Problem 11-29. Due to increased competition among grocery stores, the cost to Blanda of selling a low-quality apple to the grocery store as an acceptable-quality apple is now $0.75 in- stead of $1.05

> Fresh Products, Inc. incurred the following costs during December related to the production of its 162,500 frozen ice cream cone specialty items: What is the December per-unit inventory cost allocated to the company’s frozen ice cream c

> Blanda Brothers is a produce processing company that specializes in fruits, with apple sales representing the majority of their revenue. Their main facility receives a daily shipment of apples, which are then sorted and shipped to grocery stores and to p

> Sun TV sells TV sets. It does not sell smart TVs so customers do not come to Sun TV if they want to purchase smart TVs. Sun TV wants to start selling smart TVs and will only sell smart TVs to customers to whom they advertise. Managers use customer inform

> An ROC curve plots the false positive rate (x-axis) against the true positive rate (y-axis) for different model thresholds. The graph below shows three different ROC curves labeled 1, 2, and 3. Required 1. Compare the curves labeled 1, 2, and 3 in the c

> Margo London is the management accountant at Norse Credit. Norse Credit spends a lot of time and resources trying to detect fraudulent activity within customers’ accounts. For most customers this is a low probability event. However, if

> Assume the same information for TelMark as in Exercise 11-24. A member of the data science team points out that overfitting is often an issue with decision trees. To avoid this issue, he suggests pruning the tree at depth 3 so that the third cut is not m

> TelMark Mobile Services provides mobile phone services to millions of customers in the U.S. TelMark’s customer base is constantly changing as old customers leave the service and new customers join. This is called churn and it is a very

> The data science team at Swift Investments uses a sample of 16 loans to build a decision tree that predicts whether a loan will repay or default. Although the data science team is very familiar with decision trees and other machine learning models, they

> Laurie Rech is a management accountant at Donnelly Bank, which has recently suffered significant loan losses. Rech and her team are worried that they do not fully understand the risk profile of their loans, so they would like some way of identifying loan

> Kevin Brown is the management accountant at Boehm and Sons Bank. Some of his colleagues attended a conference recently where they learned that machine learning can be used to accurately predict loan performance. Excited by the possibilities, they asked K

> Coronavirus disease (COVID-19) caused by a new virus results in respiratory illness (like the flu). The disease was first identified in December 2019 and has since spread globally, resulting in the coronavirus pandemic of 2020. The cost of health care in

> Use the information below to answer questions 15-16 and 15-17. Juliet Brazier is a Scottish firm which manufactures carpentry tools. The company uses standard ab- sorption costing system. The following information was recorded by the company for January

> Global Defender manufactures radar systems. It has just completed the manufacture of its first newly designed system, RS-32. Manufacturing data for the RS-32 follow: Calculate the total variable costs of producing 2, 4, and 8 units.

> Mandy Knox is the new manager of the materials storeroom for Timken Manufacturing. Mandy has been asked to estimate future monthly purchase costs for part #696, used in two of Timken’s products. Mandy’s purchase cost a

> Lucy Hall owns a professional character business in a large metropolitan area. She hires local college students to play these characters at children’s parties and other events. Linda provides balloons, cupcakes, and punch. For a standar

> Carney Cabinets Ltd is a furniture manufacturing company with its factories located in six cities in the United Kingdom. The company has recently introduced an automated system, but management is still unsure of the best way to estimate the overhead cost

> Terry Lawler, managing director of the Little Rock Reviewers Company, is examining how overhead costs behave with changes in monthly professional labor-hours billed to clients. Assume the following historical data: Required 1. Compute the linear cost fu

> Lynda Donovan is examining customer-service costs in the southern region of Clement Products. Clement Products has more than 200 separate electrical products that are sold with a 6-month guarantee of full repair or replacement with a new product. When a

> FlyHigh Vacations offers helicopter service from suburban towns to Heathrow Airport in the United Kingdom. Each of its 10 helicopters makes between 1,000 and 2,000 round-trips per year. The records indicate that a helicopter that has made 1,000 round-tri

> Hamwey, Inc., a manufacturer of plastic products, reports the following manufacturing costs and account analysis classification for the year ended December 31, 2020. Hamwey, Inc., produced 75,000 units of product in 2020. Hamwey’s manag

> Karil Teeze Building Ltd is an estate developer based in Laos. The company’s overhead costs fluctuate considerably from year to year according to the number of direct labor-hours worked in the various building sites. The business has th

> Given here are a number of graphs. The horizontal axis of each graph represents the units produced over the year, and the vertical axis represents total cost or revenues. Required Indicate by number which graph best fits the situation or item described

> Which of the following statements is/are true regarding the implementation of a balanced score- card in an organization? a. To sustain long-run financial performance, a company must strengthen all links across its different balanced scorecard perspective

> The Rolling Boulders Corporation operates car rental agencies at more than 20 airports. Customers can choose from one of three contracts for car rentals of one day or less: ■ Contract 1: £50 for the day ■ Contract 2: £30 for the day plus £0.20 per mile t

> Khan Sunil Enterprises, a soft- ware engineering firm, uses the account analysis approach to identify the cost behavior of production costs for its premium software. The following details relate to the company’s activities for June 2019

> Prepare an income statement under throughput costing for the year ended December 31, 2020 for Stenback Company. 2. Reconcile the difference between the contribution margin and the throughput margin for Stenback in 2020. Then reconcile the operating incom

> The Stenback Company uses an absorption-costing system based on standard costs. Variable manufacturing cost consists of direct material cost of $4 per unit and other variable manufacturing costs of $1.20 per unit. The standard production rate is 20 units

> Artesa, a leading firm in the semiconductor industry, produces digital integrated circuits (ICs) for the communications and defense markets. For the year ended December 31, 2020, Artesa sold 242,400 ICs at an average selling price of $47 per unit. The fo

> Thunder Bolt, Inc., is a manufacturer of the very popular G36 motor- cycles. The management at Thunder Bolt has recently adopted absorption costing and is debating which denominator-level concept to use. The G36 motorcycles sell for an average price of $

> Match each of the following numbered descriptions with one or more of the denominator-level capacity concepts by putting the appropriate letter(s) by each item: a. Theoretical capacity b. Practical capacity c. Normal capacity utilization d. Master-budget

> Smart Safety, a 3-year- old company, has been producing and selling a single type of bicycle helmet. Smart Safety uses standard costing. After reviewing the income statements for the first 3 years, Stuart Weil, president of Smart Safety, commented, &acir

> Regina Company manufacturers a professional-grade vacuum cleaner and began operations in 2020. For 2020, Regina budgeted to produce and sell 20,000 units. The company had no price, spending, or efficiency variances and writes off production-volume varian

> PAMO Medicals Ltd. makes face masks for the prevention of high contagious virus. For December 2020, PAMO Medicals incurred the following production costs: Required 1. Compute PAMO Medicals’ profit using absorption costing if 10,800 uni

> Opportunity cost. Jacobs Enterprise rents a small workshop for £50 per week, but at present does not use it. The firm could sub-let the workshop for £80 per week, but they are considering using it them- selves for a new project. In assessing whether the

> The Zeta Company manufactures trendy, good-looking, moderately priced umbrellas. As Zeta’s senior financial analyst, you are asked to recommend a method of inventory costing. The CFO will use your recommendation to prepare Zetaâ&#

> Gorimapa Manufacturing Company produces desktop calendars. The following are the budgeted data for 3,000 units of Joystick produced in September 2020: During the period 2,800 were produced and sold to customers. Required 1. Prepare income statement for

> Yokojo Ltd specializes in the servicing of Japanese vehicles. The following is Yokojo’s budget for 2020: The following activities took place during the year: Fixed overhead is absorbed on the basis of labor hours. Required 1. Calculate

> Michael Roberts is a cost accountant and business analyst for Darby Design Company (DDC), which manufactures expensive brass doorknobs. DDC uses two direct-cost categories: direct materials and direct manufacturing labor. Roberts feels that manufacturing

> Mercy Enterprise is a knitting company based in Dublin, Ireland. The following is the static budget and actual results of Mercy Ltd. for the month of April 2020. Mercy’s management is pleased with the income which is higher than budgete

> Alpha Capital Company provides financial services to their clients. Recently, Alpha has experienced rapid growth rate due to expansion and is becoming concerned as to their rising costs, particularly their technology overhead costs. Alpha had determined

> Marissa Designs, Inc., makes jewelry in the shape of geometric patterns. Each piece is handmade and takes an average of 1.5 hours to produce because of the intricate design and scrollwork. Marissa uses direct labor-hours to allocate the overhead cost to

> Dru Automobiles Ltd manufactures car accessories. For 2020, budgeted variable overhead is $90,000 for 12,000 direct labor-hours. Budgeted total overhead is $110,000 at 8,000 direct labor-hours. The standard costs allocated to the production of these acce

> Foodies operates a meal home-delivery service. It has agreements with 20 restaurants to pick up and deliver meals to customers who place orders on the Foodies web- site. Foodies allocates variable and fixed overhead costs on the basis of delivery time. F

> Which of the following is not a primary component of business applications of data science? a. Computer science and data skills b. Substantive expertise in natural sciences c. Math and statistics d. Substantive expertise in an applicable business 17. Wh

> The Ramirez Company uses standard costing in its manufacturing plant for auto parts. The standard cost of a particular auto part, based on a denominator level of 4,000 output units per year, included 5 machine-hours of variable manufacturing overhead at

> Healthy-U Ltd is a pharmaceutical and biotechnology company. It has the following data for manufacturing overhead costs during August 2020: Fill in the blanks. Use F for favorable and U for unfavorable:

> The Principles Corporation is a manufacturer of centrifuges. Fixed and variable manufacturing overheads are allocated to each centrifuge using budgeted assembly-hours. Budgeted assembly time is 2 hours per unit. The following table shows the budgeted amo

> Baking Bad also allocates fixed manufacturing overhead to products on the basis of standard direct manufacturing labor-hours. For 2020, fixed manufacturing overhead was budgeted at £4.00 per direct manufacturing labor-hour. Actual fixed manufacturing ove

> Baking Bad bakes tarts for distribution to upscale grocery stores. The company has two direct-cost categories: direct materials and direct manufacturing labor. Variable manufacturing overhead is allocated to products on the basis of standard direct manuf

> Base Accountancy is an audit and consultancy firm that operates in New Queensland, Australia. The followings relate to its operation in August 2020. Required Calculate the variable overhead cost variance, dividing the same into expenditure variance and

> Ostrich Enterprise is a small production firm that operates in Sweden. The company produces meatballs for canteens. During June 2020, the standard variable overhead has been budgeted as follows: Actual variable overheads incurred during the period, which

> Student Finance (StuFi) is a start-up that aims to use the power of social communities to transform the student loan market. It connects participants through a dedicated lending pool, enabling current students to borrow from a school’s

> Topiary Co. produces molded plastic garden pots and other plastic containers. In June 2020, Topiary produces 1,000 lots (each lot is 12 dozen pots) of its most popular line of pots, the 14-inch “Grecian urns,” at each

> Prepare journal entries and post them to T-accounts for all transactions in Exercise 7-30, including requirement 2. Summarize how these journal entries differ from the normal-costing entries described in Chapter 4, pages 135–138.

> Paul Nellis manufactures nail cutters which has a fixed cost of $200 and 100 items cost $1,000. Which of the following is the cost function, assuming that it is linear? a. 8 b. 4.5 c. 12 d. None of the above

> 16. Which of the following is not a function of a management accountant in an organization? a. Preparation of cost estimates, project planning, and analysis b. Budgetary controls and investigation c. Preparation of financial statements and cash flow stat

> A constructor _____________ parameters. a. can receive b. cannot receive c. must receive d. can receive a maximum of 10 12. A constructor _____________ overloaded. a. must be b. cannot be c. can be d. is always automatically 13. Usually, you want each i

> An object’s data items are also known as _____________. a. fields b. functions c. themes d. instances 2. You send messages or information to an object through its _____________. a. fields b. methods c. classes d. type 3.A program or class that instanti

> 11. The method public static Boolean test Value(int response) returns _____________. a. no value b. an int value c. a boolean value d. You cannot determine what is returned. 12. Which of the following could be the last legally coded line of a method dec

> Advantages to creating methods in addition to the main() method include all of the following except _____. a. the main() method is easier to follow b. all methods are prewritten, saving the programmer work c. it is easier to determine the overall intent

> 11. The remainder operator _____________. a. is represented by a forward slash b. must follow a division operation c. provides the quotient of integer division d. is represented by a percent sign 12. Which of the following operators has the lowest prece

> 1. When data cannot be changed after a class is compiled, the data is _____________. a. variable b. constant c. volatile d. mutable 2. Which of the following is not a primitive data type in Java? a. boolean b. byte c. sector d. int 3. Which of the foll

> 11. You must compile classes written in Java into ____________. a. bytecode b. source code c. Javadoc statements d. object code 12. All Java programming statements must end with a ____________. a. period b. comma c. closing parenthesis d. semicolon 13.

> 1. The most basic circuitry-level computer language is _________________. a. machine language b. Java c. high-level language d. C++ 2. Languages that let you use an easily understood vocabulary of descriptive terms, such as read, write, or add, are kno

> The ZapCon Company is considering investing in three projects. If it fully invests in a project, the realized cash flows (in millions of dollars) will be as listed in the file P04_99.xlsx. For example, project 1 requires a cash outflow of $3 million toda

> Consider the graphical solution to the product mix problem. Now imagine that another constraint—any constraint—is added. Which of the following three things are possible: (1) the feasible region shrinks; (2) the feasible region stays the same; (3) the fe

> Again continuing Problem 2, perform a sensitivity analysis where the selling prices of Basics and XPs simultaneously change by the same percentage, but the selling price of VXPs remains at its original value. Let the percentage change vary from 225% to 5

> Using the graphical solution of the product mix model as a guide, suppose there are only 2800 testing hours available. How do the answers to the previous problem change?

> There are five corner points in the feasible region for the product mix problem. We identified the coordinates of one of them: (560, 1200). Identify the coordinates of the others. a. Only one of these other corner points has positive values for both deci

> If all of the inputs in PC Tech’s product mix problem are nonnegative (as they should be for any realistic version of the problem), are there any input values such that the resulting model has no feasible solutions? (Refer to the graphical solution.)

> If you add a constraint to an optimization model, and the previously optimal solution satisfies the new constraint, will this solution still be optimal with the new constraint added? Why or why not?

> Consider an optimization model with a number of resource constraints. Each indicates that the amount of the resource used cannot exceed the amount available. Why is the shadow price of such a resource constraint always zero when the amount used in the op

> Suppose you use Solver to find the optimal solution to a maximization model. Then you remember that you omitted an important constraint. After adding the constraint and running Solver again, is the optimal value of the objective guaranteed to decrease? W

> A classification algorithm was used to predict Yes/No values for a given training data set, and then the results were applied to 100 observations in a testing data set. The actual Yes/No values and the estimated probabilities of Yes for these 100 observa

> In any optimization model such as those in this chapter, we say that the model is unbounded (and Solver will indicate as such) if there is no limit to the value of the objective. For example, if the objective is profit, then for any dollar value, no matt

> Continuing Problem 5, create a two-way data table for expected profit with order quantity along the side and unit expediting cost along the top. Allow the order quantity to vary from 500 to 4500 in increments of 500, and allow the unit expediting cost to

> Using the same data as in the previous problem, use NeuralTools, with the PNN algorithm, to perform the classification. Even though there are only 74 companies, you can still use 20% of them for testing. Then at the end of the run, respond Yes to the sen

> The file P14_07.xlsx contains data on 74 companies that have either gone bankrupt or haven’t. The data set also contains data on five frequently quoted accounting ratios. a. Create a pivot table that shows the average of each ratio, broken down by the Ye

> Continuing the previous problem, the same data have been split into two sets in the file P14_06.xlsx. The first 9500 observations are in the Training Data sheet, and the last 500 observations are in the Prediction Data sheet. In this latter sheet, the va

> A company that sells through a catalog and online through the Web has collected data on 10,000 potential customers. The data are in the file P14_05.xlsx. They include RFM (recency, frequency, and monetary) variables, which are popular in marketing resear

> Using the same admissions data in the file P14_03.xlsx, discretize the GMAT Score and Undergraduate GPA variables according to their quartiles. Then use the naïve Bayes procedure to classify the 100 applicants as Yes or No for admittance. (Remember that

> Admissions directors of graduate business programs constantly review the criteria they use to make admission decisions. Suppose that the director of a particular top-20 MBA program is trying to understand how she and her staff discriminate between those

> The file contains Gender, Age, Education, and Success (Yes/No) data of 1000 people. The purpose is to see how a classification tree method can use the first three variables to classify Success. You start with 564 Yes values and 436 No values. This is qui

> The lasagna data discussed in the chapter is repeated in the file. Instead of trying to classify a dependent variable, Have Tried, this file shows the result of clustering. Specifically, a Microsoft Data Mining Detect Categories algorithm (not discussed

> This problem lets you see how dissimilarity, the key to clustering, might be calculated and then used for prediction. The file contains data for 10 people. The value of Amount Spent for person 10 is unknown, and the ultimate purpose is to use the data fo

> Using the same beer preference data in the file P14_01.xlsx, discretize the Income and Age variables according to their quartiles. Then use the naïve Bayes procedure to classify the 100 customers as having Regular or Light preference. Based on these resu