...JET TASK 4 A1: Costing Method Report to the Vice President recommending whether the company should change its cost method - to activity based costing. Activity based costing is a method used in identifying activities companies perform thereby assigning indirect costs to products. Activity based costing (ABC) system recognizes the relationship between costs, activities and products, assigning indirect costs to products. (Investopedia, 2014) Competition Bikes, Inc. report to the Vice President follows on cost method change from traditional costing to activity based costing. Traditional cost entails one rate, activity based costing involves multiple steps. In activity based costing each activity and estimate of cost total and indirect must be computed. The cost driver for all activities will be estimated with the total quantity of each driver’s allocation base. When the driver’s allocation base is established the cost of each activity is determined. Then the cost to cost objectives are established. Activity based costing focuses on the company’s activities. Utilizing the measures the cost of the products and services are then determined. Activity based cost allows for a more accurate forecasting of the future cost of the product and service. Product cost will be more time consuming utilizing activity based costing, but it provides more accuracy of actual cost. Activity based costing will assist in making the profit margin increase in making better decisions for...
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...Course Project – Part I Task 1: Assessing loan options for Air Jet Best Parts, Inc. The company needs to finance $8,000,000 for a new factory in Mexico. The funds will be obtained through a commercial loan and by issuing corporate bonds. Here is some of the information regarding the APRs offered by two well-known commercial banks. Bank APR Number of Times Compounded National First Prime Rate + 6.75% Semiannually Regions Best 13.17 Monthly 1. Assuming that Air Jet Parts, Inc. is considering loans from National First and Regions Best, what are the EARs for these two banks? Hint for National Bank: Go to the St. Louis Federal Reserve Board’s website (http://research.stlouisfed.org/fred2/). Select “Interest Rates” and then “Prime Bank Loan Rate”. Use the latest MPRIME. Show your calculations. (25 pts.) Bank Prime Loan Rate as of Jan 26, 2013 – 3.25% according to the Federal Reserve Bank of St. Louis. National First - EAR EAR = (1+(Prime Rate +6.75%)/2)^2-1 EAR = (1+(3.25% + 6.75%)/2)^2–1 EAR = (1+.10/2)^2–1 EAR = (1.05)^2-1 EAR = 1.1025-1 EAR = .1025 EAR = 10.25% Regions Best - EAR EAR = (1+13.17%/12)^12-1 EAR = (1+0.010975)^12-1 EAR = (1.010975)^12-1 EAR = 1.13995-1 EAR = 0.13995 EAR = 13.995% EAR = 14% 2. Based on your calculations above, which of the two banks would you recommend and why? Explain your rationale. (25 pts.) I would suggest that Jet Air go with National First to get their loan. I say this because of the lower...
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...[Company name] [Company address] Marrketing principles Contents Introduction 2 Learning Outcome 01 2 Task 1 2 Task 2 4 Learning Outcome 02 5 Task 3 5 Task 4 10 Task 5 12 Learning Outcome 03 12 Task 6 12 Task 7 13 References: 13 Introduction British Airways (BA) is the banner bearer aerial shuttle of the United Kingdom and its biggest carrier focused around armada size, universal flights and global ends. At the point when measured by travelers conveyed it is second-biggest, behind Buisness jet. The aerial shuttle is situated in Waterside close to its primary center point at London Heathrow Airport. A British Airways Board was built by the United Kingdom government in 1972 to deal with the two nationalized aerial shuttle companies, British Overseas Airways Corporation and British European Airways, and two littler, provincial carriers, Cambrian Airways, from Cardiff, and Northeast Airlines, from Newcastle upon Tyne. On 31 March 1974, every one of the four organizations was consolidated to structure British Airways. After very nearly 13 years as a state organization, British Airways was privatized in February 1987 as a feature of a more extensive privatization arrange by the Conservative government. The transporter soon stretched with the securing of British Caledonian in 1987, took after by Dan-Air in 1992 and British Midland International in 2012. British Airways is an establishing part of the one world aerial shuttle union, alongside American...
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...in Alberta, Canada. Kelly's father was a successful larvyer in Calgary, and her mother was a high school English teacher. Kelly had an older sister, Laurel, 27 , who had just passed the bar exam and was working fbr a corporate law firm in Edmonton. Kelly had studied Japanese in high school and in university and spoke and wrote the language quite well. When she was 15 years oid, Kelly spent tbur months in Japan on a school exchange. She had enjoyed the time she spent there and ahvays planned to return one day. Upon graduating tiom high school. Kelly lvent to the University of Alberta, in Ednonton, to stucly nlarragement. During her final year at the universitv, Kelly heard some of her friends talking about the Japan Exchange and Teaching (JET) Program. She rvas told ihat it rvas quite easy to get accepte(l-all an applicant needed was a university deglee and an interest in Japanand that it rvould be a...
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...Task Background: Suppose you are developing a statistical database in which information about professional football teams and records are stored. Consider the following 2 sets of data that list football teams and quarterbacks: D = {Jets, Giants, Cowboys, 49’ers, Patriots, Rams, Chiefs} Q = {Tom Brady, Joe Namath, Troy Aikman, Joe Montana, Eli Manning} NOTE: (You can also use http://www.pro-football-reference.com to find this information, but here it is as well :) The following list gives you the relationships (mapping) between team and QB. * Jets – Joe Namath * Giants – Eli Manning * Cowboys – Troy Aikman * 49’ers – Joe Montana * Patriots – Tom Brady * Rams – Joe Namath * Chiefs – Joe Montana 1. Using D as the domain and Q as the range, show the relation between the 2 sets, with the correspondences based on which players are on which team. Show the relation in the following forms: Set of ordered pairs (20 points) Directional graph (like the pictures draw in class in our live chats – see HINT below). (20 points) The ordered pairs when D is the domain are: {(Jets,Joe Namath),(Giants,Eli Manning),(Cowboys, Troy Aikman),(49ers,Joe Montana),(Patriots,Tom Brady),(Rams,Joe Namath),(Chiefs, Joe Montana)} 2. Is the relation a function? Explain. (10 points) This is a function, because every element (Quarterback) of the domain is mapped to exactly one unique element (Team) of the range. So with the one to one relation of player to team...
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...Task 1: Assess Loan Options 1. National First Bank Prime Rate + 6.75%, Compounded Semiannually [1+ (6.75+3.25) /2]^2-1 = .1025 a EAR of 10.25% Regions Best [1+ ( .1317/12)^12-1 = .014 a EAR of 14 % 2. After calculating the EAR for both banks, I would recommend National First Bank because its EAR is 10.25% which is lower than Regions Best EAR of 14%. The best choice for Air Jet Best Parts Inc., should be the lower EAR of 10.25%. 3. Air Jet Best Parts Inc $6,950,000 loan with APR of 8.6% for 5 years. Monthly 6,950,000*8.6%/ 5%= $597,700/5 = $119,540/60 =$1992.33 monthly I would have to disagree with this move. National First Bank calculation with a 6.75% rate would yield a smaller monthly payment with a lower interest rate, which would save the company money. Task 2: Evaluate Competitors Stock 1. Lockheed Martin Price: 85.21 Dividend: 4.00 Rate of Return: 4*[(1+.05)/85.21+.05] =.1204=12.04% 2. Current Share Price 12.04% [1.50*(1+.01)]/ (.1204-.01) = $13.72 3. Preferred Stock Price 1.50/.1204= $12.46 In Review of the two Prices, I would have to say that this is a good thing. A company current share price should be over its Preferred Price. Meaning that stock pricing is better currently than what the pricing was projected to be. 4. Paying Dividends decreases the value of a stock. The amount of a dividend is subtracted from the Stock Price. In other words, subtracting from the stock price yields a negative change. Adding to the stock...
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...the nearby hotels are making contract with the airlines. The specific percentage is associated with the airlines. The main objective of them is to attract more customers to increase their revenue (Thompson, Strickland & Gamble, 2010). Therefore they are cutting their cost by decreasing the fares but on the other hand they are giving fewer facilities to the passengers like they are not providing any meal if providing it is chargeable. Again it is seen that some flights are providing only drinks and cakes to the customer. But the registrations of flights tickets are seem to be very easier and convenient for the customer. Now they can book the ticket online without bearing any charge of brokers. 2. Discuss Jet Blue’s strategic intent prior to 2008. The main objective of jet blue is to provide service to the customer at low cost. With these strategies it can be able to capture the market of airlines. It provides newer and comfortable facilities to the customer with new seat belts, staff and refreshment. Prior to 2008 it gives advertisement in the newspaper for different discount...
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...do not permit normal sleep quotas, rapid travel across multiple meridians and extreme athletic and recreational endeavours where sleep is restricted or totally deprived. There are methodological issues in quantifying the physiological and performance consequences of alterations in the sleep–wake cycle if the effects on circadian rhythms are to be separated from the fatigue process. Individual requirements for sleep show large variations but chronic reduction in sleep can lead to immuno-suppression. There are still unanswered questions about the sleep needs of athletes, the role of ‘power naps’ and the potential for exercise in improving the quality of sleep. © 2006 Elsevier Inc. All rights reserved. Keywords: Circadian rhythm; Exercise; Jet-lag; Shift-work 1. Introduction The sleep–wakefulness cycle is the most discernable of human circadian functions, activity being associated with the hours of daylight and sleep with the hours of darkness. This recurrence on a daily basis is linked with responses of the pineal gland to the environment, its secretion of melatonin being promoted at dusk and inhibited on exposure to morning light. There is a myriad of other biological functions that are knit into a common system of circadian rhythms, cycles in behaviour and in biological functions that recur with a...
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...49006- Risk Management In Engineering Risk Management Plan * Proposed Darling Harbour Water Feature Prepared by Vipin Appu Parambil Vikraman 11789373 29th March 2015 Executive Summary This report presents the risk assessment and risk treatment plan for the three new water features of Darling Harbour precinct along with the installation of the public realm. This project is a part of the Convention Centre Redevelopment plan and the risk assessment and treatment, is carried out by abiding with the AS/NZS ISO 31000:2009, SA/SNZ HB 436:2013 and IEC/ISO 31010:2009. Firstly, an introduction of the iconic location, Darling Harbour is briefed. The project objectives, scope and boundaries of the new water features installation is explained along with the risk management process adopted for this project. Secondly the context for risk is established inclusive of internal and external context. The stakeholder analysis and communication and consultation stage, explains the various stakeholders of this project and their mode of communication. Thirdly, risk criteria, risk identification, risk analysis and risk evaluation is developed based on the possible risks that may occur with this project. During risk identification potential risks related to the project was generated. The application of risk severity matrix and FEMA analysis were conducted to identify the likelihood and consequence of risks. ALARP principle was used for risk evaluation and identifying possible...
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...Air Jet Best Parts, Inc. Financial Analysis Task 1: Financing $8,000,000.00 for new factory in Mexico 1. Assuming that AirJet Parts, Inc. is considering loans from National First and Regions Best, what are the EARs for these two banks? Hint for National Bank: Go to the St. Louis Federal Reserve Board’s website (http://research.stlouisfed.org/fred2/). Select “Interest Rates” and then “Prime Bank Loan Rate”. Use the latest MPRIME. Show your calculations. a. National First Bank: 3.25%(prime rate) + 6.75% =10% compounded semiannually .10/2 = 0.05 =5% semiannually 1 x 1.05^2 = 1.1025 Effective Annual Rate = 10.25% b. Regions Best Bank: 13.17% monthly .1317/12= 0.010975 = 1.0975% monthly 1 x 1.010975^12 = 1.139948 Effective Annual Rate = 13.99% 2. Based on your calculations above, which of the two banks would you recommend and why? Explain your rationale. Based on the above calculations I would have to recommend Air Jet Best Parts, Inc. secure financing with National First Bank. Based on the effective annual rate the amount of interest that Air Jet would pay is significantly less than obtaining a loan from Regions Best Bank. Also, the fact that National First Bank’s interest is compounded semi-annually, helps as well. 3. AirJet Best Parts, Inc. has decided to take a $6,950,000 loan being offered by Regions Best at 8.6% APR for 5 years. What is the monthly payment amount on this loan? Do you agree with this decision? Explain your rationale. ...
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...orange airline: Intro: Easy jet is an European airline which was launched in 1995 by its founder Greekcy Priot Stelios Haji-Loannou. It was started with two wet leased Boeing like 737-200 aircrafts and today it operates 196 aircrafts with 20 buses all over around the Europe. It carried 45.2 million passengers in the year of 2009 which made it as a second largest low cost European airline behind Ryanair. In 2002, Easy jet bought London Stansted based Go airline £ 374 million (easy-jet.com). Go was the low cost scheduled passenger airline which provides service within the Europe. The main reason behind this acquisition was profitable and established airline with strong growing aspects that reveals a year to year increase of 232 per cent. Nearly 90% of sales in Easy jet are online from this website. There are two significant features based on its success are: low price and E- commerce strategies .The purpose of this Easy jet‘s, online the presence of information’s and procedures to sketch and propose suggestion on the progression involved in creating a booming online presence( David & Cynthia1999). Apart from this it will define its approaches for its significant success of industry. In this paper, we will first discuss about the approaches and it applies. Then based on PESETEL framework we will find out the reason for applying. And in final the merits and demerits approaches in order to discuss about the alternatives approaches for easy jet. The above figure shows out about...
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...Consumer Behavior Consumer Behavior: Contrast Jet Blue vs. Southwest Airlines Trident University MKT501 CS1 Identify key external factors that affect the passenger airline industry and explain how that impact occurs There are several external factors that affect the passenger airline industry. Some of the factors that affect the industry are economic crisis, instability in aviation fuel price, and environmental factors. I will elaborate more in detail in the following paragraphs on these factors. The first area I want to talk about is our countries current Economic Crisis, and in my opinion drives all the other factors that affect airline industry’s the most. The current economic situation is not good and therefore will have an effect on what a customer will or will not do. Air travel is very expensive as it is, in my opinion, so a sluggish economy will add more pressure on an individual or family thinking of flying anywhere. The second area that affects the airline industry is the cost of aviation fuel. If fuel prices are high, the airline will have to charge more for tickets. As I mentioned earlier, higher ticket prices is not what the public wants in our current economy. The airline industry is a business and in order to make money and continue to provide the service, the company has a breakeven price, approximately 66% of their operating cost (Airline Economics Break Even Load Factors Paragraph). If the company doesn’t...
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...Auctioning Cortney Hagen BUSN150-1102B-26 June 25, 2011 Abstract Many business use advertising and confuse it with offers which can cause them to get into trouble, dealing with court. To stay out of trouble make sure that you follow the four rules of a contract. There are many customers that can also imply an advertisement a certain way, make sure to be very clear on your advertising as well as what your company is offering. A contract is an agreement between parties, with terms and conditions that describe the agreement that constitutes a legal obligation. A valid contract typically requires the following four elements; a meeting of the minds between the parties demonstrating they both understand and agree to the essentials of the deal. By making sure both parties are talking about the same deal, so that when they subsequently agree to enter into the contract they are both agreeing to the same thing. Secondly: consideration meaning something of value exchanged by each of the parties, such as cash, goods or a promise to do something, But consideration can take many other forms, as long as each party is giving up something of value to it to convince the other party to enter into the contract.. The Third part of a contract is an agreement to enter into the contract typically evidenced by both parties signing a written contract, although oral contracts can be valid too in some situations. Lastly in a contract, the legal...
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...correspondences based on which players are or were a member of which teams. We are to show the relation in both a set of ordered pairs, and as a directional graph. Set D has the Jets, the Giants, the Cowboys, the 49ers, the Patriots, the Rams, and the Chiefs. Set Q has Tom Brady, Joe Namath, Troy Aikman, Joe Montana, Eli Manning. The first step is to assign a domain and range. For the first task D is the domain and Q is the range. The Set of ordered pairs of the domain and range would look like the following: {(Patriots, Tom Brady), (Jets, Joe Namath), (Cowboys, Troy Aikman), (49ers, Joe Montana), (Giants, Eli Manning), (Rams, Joe Namath), (Chiefs, Joe Montana)}. The graph of these sets is on the next page. The direction graph of this set would look like the following: Part two asks to explain if the relation is or is not a function. This relation would be identified as a function. It is a function because each x value, which is the domain, has only one y value, which is the range. In regards to the example/ at hand, each team only had the one player. Part three asks to swap the domain and range used earlier and to show it again in a set of ordered pairs, and as a directional graph. The Set of ordered pairs of the domain and range would look like the following: {(Tom Brady, Patriots), (Joe Namath, Jets), (Troy Aikman, Cowboys), (Joe Montana, 49ers), (Eli Manning, Giants), (Joe Namath, Rams), (Joe Montana, Chiefs)}. The direction graph of this set would look like the following: ...
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...Policies A policy is a broad guideline for decision making that links the formulation of a strategy with its implementation. Companies use policies to make sure that employees throughout the firm make decisions and take actions that support the corporation’s mission, objectives, and strate- gies. For example, when Cisco decided on a strategy of growth through acquisitions, it estab- lished a policy to consider only companies with no more than 75 employees, 75% of whom were engineers.67 Consider the following company policies: 3M: 3M says researchers should spend 15% of their time working on something other than their primary project. (This supports 3M’s strong product development strategy.) Intel: Intel cannibalizes its own product line (undercuts the sales of its current products) with better products before a competitor does so. (This supports Intel’s objective of mar- ket leadership.) General Electric: GE must be number one or two wherever it competes. (This supports GE’s objective to be number one in market capitalization.) Southwest Airlines: Southwest offers no meals or reserved seating on airplanes. (This supports Southwest’s competitive strategy of having the lowest costs in the industry.) Exxon: Exxon pursues only projects that will be profitable even when the price of oil drops to a low level. (This supports Exxon’s profitability objective.) Policies such as these provide clear guidance to managers throughout the organization. (Strategy formulation is discussed...
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