...ACC00152 Business Finance Topic 3 Tutorial Answers 1. Widget Pty Ltd is analysing the prospect of purchasing an additional (and very specialised) widget-making machine, the XX1000. The XX1000 costs $150,000 installed and has an effective life of 10 years. The company will use the prime cost depreciation method for tax purposes and management expects it will be able to sell the machine at the end of its effective life for about $20,000. It is estimated that the additional machine will increase annual revenues by $200,000 and operating expenses will be around 80% of revenues. The expansion will require an additional initial investment of $5,000 in its stock of raw materials, which will be recovered at the end of the project. The company's tax rate is 30% and the required return is 12%. Prepare a schedule of the relevant cash flows generated by the new machine, calculate the NPV, and advise management as to whether they should invest the new machine. Depreciation: For an effective life of 10 years, the prime cost depreciation rate is 10%. Therefore: 150000 x 10% = $15000 depreciation expense per year. | Year 0 | Years 1-9 | Year 10 | Revenue | | $200 000 | $200 000 | Operating costs (200 000 x 80%) | | (160 000) | (160 000) | Depreciation | | (15 000) | (15 000) | Gain on sale of equipment* | | | 20 000 | EBIT | | 25 000 | 45 000 | Tax | | (7 500) | (13 500) | Incremental earnings | | 17 500 | 31 500 | Add back depreciation | | 15 000 | 15 000...
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...Question 1 Martha receives $100 on the first of each month. Stewart receives $100 on the last day of each month. Both Martha and Stewart will receive payments for five years. At an 8 percent discount rate, what is the difference in the present value of these two sets of payments? Select one: A. $33 B. $40 C. $99 D. $108 E. $113 Question 2 You will be receiving $5,000 from your family as a graduation present. You have decided to save this money for your retirement. You plan to retire thirty years after graduating. How much additional money will you have at that time if you can earn an average of 9 percent on your investment instead of just 8 percent? (Round to the nearest dollar) Select one: A. $16,000 B. $16,025 C. $16,050 D. $16,100 E. $16,900 Question 3 You borrow $149,000 to buy a house. The mortgage rate is 7.5 percent and the loan period is 30 years. Payments are made monthly. If you pay for the house according to the loan agreement, how much total interest will you pay? Select one: A. $138,086 B. $218,161 C. $226,059 D. $287,086 E. $289,606 Question 4 You have arranged a bank loan with your bank. You will have no monthly payments but have agreed to pay back $100,000 at the end of the year. The annual interest rate is 7.5 per cent. What is the value of the loan? Select one: A. $107,500.00 B. $93,023.26 C. $99,378.88 D. $92,796.23 E. $92,500.00 Question 5 One Engineering invested $110,000 at 6.5 per cent interest, compounded...
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...rationalizing Bally’s brand portfolio, and closing several clubs, which then returned the business to profitability. During Hillman’s course of leadership, Bally developed a very broad range of products and services, which increased revenues out of the company’s existing membership base and added profit to the bottom line. The company faced a triggering event when Bally’s CEO Lee Hillman stepped down suddenly in December of 2002. Bally’s chief operation officer at the time, Paul Toback, replaced Mr. Hillman and moved to the top of the company. Toback’s started as CEO explaining that he expected changes to the company to be “more evolutionary than revolutionary”. Under Hillman’s lead, Bally was operating essentially as two different business – a finance company and an operating company. When Toback replaced Hillman, he was ready to change Bally’s approach to member enrollment. Toback also developed two new strategies to keep Bally competitive in the health club market and to reach their target market. First of all, Toback believed it was important to change the compensation packages of the club managers to focus on local...
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...YES YES Should Physical Education in Schools be Compulsory? Should Physical Education in Schools be Compulsory? Beth Price Beth Price Health is promoted by participation in sports. The Government is, or should be, concerned with the welfare and general health of its citizens. Encouraging physical activity in schools fights child obesity and contributes to forming lifelong habits of exercise through compulsory PE. Almost a quarter of adults in England were classified as obese in 2009. This doesn’t have to be through traditional team sports; increasingly schools are able to offer exercise in the form of swimming, gymnastics, dance, weight training, use of a multigym, aerobics, etc. If physical education were compulsory in secondary schools, it would allow pupils to get better opportunity to discover and develop talents. This would lead to not only a generally healthier generation of students, but a more skilful generation that can then use these gifts later on in life, through the ability to try lots of other activities whilst in school. Physical activity can contribute to holistic schooling where each child can not only focus on their academic education and achievements but also find their own individuality and purpose in life through things like influences in the community and humanitarian ideals such as consideration and goodwill. ‘Holistic education aims to call forth from people an intrinsic reverence for life and a passionate love of learning.’ This is the...
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...per year in 1987 only 31% become 41 % in 2001 (Exhibit 2). More people in younger age has increase as member in health club 12.3% in 2001 compare to 1997, and people in age 45-54 also increace 11.5% as well as age 55+ increase 13.1%. Most club equipped facilities with aerobic and weight machines. Some health club provide swimming pool. Total capital required for 40.000 – 50.000 square-foot health club was roughly $1.5 million, with $500.000 in equipment alone. Smaller health club can be built with cost $144.000 to buy equipment for 10.000 square-foot. Health club format in United States : * Owner-operated clubs : Operated by their owners. Has many location as chain health club. Centralize procurement, program design, marketing, finance, accounting and collections. * Franchised clubs : Succesfull health club concept franchised to multiple investors who paid a fee to franchisor. Franchisees received professional advice and advertising support and enjoyed the purchasing power of a large chain. * Design and...
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...Associate Level Material Appendix D Acre Woods Retirement Community Case Study Acre Woods is a private retirement community with 275 senior residents. Its mission is to improve the quality of life of its residents through physical and emotional care. Sarah Armstrong, Acre Woods’ resident physical therapist, manages the retirement community’s activity program. Recently, Acre Woods added a pool to its rehabilitation center to facilitate resident exercise and aquatic therapy. The residents’ monthly rent was raised to help finance the pool. After the pool was constructed, Sarah immediately contacted the director of Acre Woods, Mark Adams, with concerns that the pool did not meet some important specifications included in the original design, such as nonslip treads on the stairs and improved wheelchair access to the pool area. Mark advised Sarah that the residents would be happy to have a pool, even if it did not incorporate all the requested special features. When Sarah asked why the new ramp and stair treads were not provided even though they were included in the budget, the director remarked that Sarah’s job was to provide physical therapy, not to worry about the budget. Over the next month, four Acre Woods residents had minor falls using the pool stairs. While the accidents were not serious, other residents began to express fears about using the pool. Sarah contacted Mark again to relate resident complaints and to stress the need for pool accessibility and safety improvements...
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...Running head: RESEARCH CRITIQUE Research Critique of “Physical Education Teaching Methods” Jerome T. Gardner Columbia Southern University March 2011 Research Critique of “Physical Education Teaching Methods” Introduction The introduction of this article does give you a sense of importance of the problem in physical education. The area being talked about in this article is An instructional model is a "plan or pattern that can be used to shape curriculums (long-term courses of studies), to design instructional materials, and to guide instruction in the classroom or other settings" (Joyce & Weil, 1980, p. 1). The authors then go on about to say improvement in physical education to be an educational outcome and do not see the need to include additional outcomes. The absolute priority clearly requires applicants to propose projects that address physical education. More specifically, the absolute priority requires every applicant to develop, expand, or improve its physical education program and address its State's physical education standards. Statement of the problem The purpose of this study “is to analyze and evaluate and give insightful, critical, and logical to the points the authors made”. While the authors do list a purpose for the study they do not have a well-defined problem statement. They do say that a message from the school district, but they do not say how it would be beneficial. Review of Literature The literature review that was done by the authors...
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...Almost every field today has been affected by technology. Many innovations in the fields of sports have happened because technology has made them possible. In the house or at work we are constantly bombarded with technology to the extent that today we don’t give it a second thought, it is part and parcel of life. Sports equipment – a relatively young offshoot of technology seems to be growing leaps and bounds. Sports technology has changed the face of sports as we knew it. The application of technology in sport facility design has yielded real changes in terms of athlete use, spectator comfort and usable life span. Technology has meant that we can now calculate the speed of an athlete to fractions of a second. It has meant that an athlete can now win or lose despite a photo finish. Cameras capturing images to the second have made it possible to replay every action on the field to enable correct decisions. It has meant that games are now fairer. The element of chance and luck has been almost removed. Sports equipment refers to a large amount of equipment which is used in sports. Starting with the bats, and balls, and rackets to the shoes and socks and glasses there are a lot of things that come under the umbrella of Sports equipments. About 25 years ago tennis rackets were made from wood, with ash, maple etc. leading the way. Later in the sixties metal frames were introduced. Today composite rackets are the rage because of the efficiency they offer in...
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...Physical education is very important to me because. Physical education can give students an opportunity to take a break from academic study, get some fresh air and clear their head. If they've been listening to teachers, and reading and writing for hours at a time exercise can help wake them up a bit and make them feel more alert so that when they go back to class they are able to concentrate better and take more information in. It is all well and good for teachers to concentrate on cramming as many 'important' lessons into the timetable as possible, but doing so won't necessarily mean students learn more, particularly if they end up getting distracted due to a short attention span. Even if children do not want to do the exercise just walking around talking to friends helps them relax and makes them better students for the rest of classes. 2. You have been invited to speak to the PTO in your community on the topic”The role of physical education in the community”prepared a speech that described the role of physical education and present it to your class. With obesity at an all time high, schools and communities are encouraging students to take part in activities that require physical involvement, be it in the form of exercise or sports. Some rec centers and schools even have their own fitness centers to give students and member of the community a chance to enroll in their active programs. Schools and community today are conscious about such issues, they stress on the importance...
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...Introduction Human resource management, with accord to Mondy (2005:5) defines that "staffing, human resource development, compensation and benefits, safety and health, and employee and labor relations" are five functional areas to determine the effectiveness and performance of an institution. With regard to the writer's approach, this paper is going to merely focus on two perspectives: staffing and human resource development in order to examine the data collected from the government, for instance, Hong Kong Police Force. The paper will, then, discuss and criticize the findings by means of job analysis, job description/specification, recruitment, selection, interviewing and performance appraisal. Data analysis and Discussion Hong Kong Police Force is one of the public organizations, which is to maintain law and order to reduce the incidence of crime in Hong Kong. There are several departments in Hong Kong Police Force, which work as a whole with the same above-mentioned mission. The data will be discussed in the following sections: -Job analysis methods and Job description/specification - Regarding Mondy's job analysis methods, Hong Kong Police Force makes use of a combination of methods (see appendix 1-3) to carry out questionnaires, observation and interviews. Questionnaires are structured as written examination (see appendix 1-3) so as to test the language competence of the candidates. In order to observe physical and mental performance, observation...
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...Case Studies #1: Mr. MacPherson Mr. MacPherson came into the ER with burns on both of his arms and hands and on his face as the result of a grease fire in his kitchen. He complained of severe pain. His burns showed signs of blistering, swelling and fluid loss. According to the “rule of nines” (Thibodeau & Patton, 2010), it appears this patient has suffered burns over approximately 14% of his body surface (4.5% for each arm and 4.5% face for a total of 13.5%). These would be classified as second-degree burns (“Types of burns”, 2012) which involve the first two layers of skin and show signs of pain and blistering of which Mr. MacPherson complained. As a note of comparison, first-degree burns involve the top layer of skin, such as in sun-burn, and show signs of reddening, painful to touch, and mild swelling. Third-degree burns penetrate the entire thickness of skin and permanently destroy tissue layers, resulting in skin that is dry and leathery, appearing charred or having patches which appear white, brown, or black. Remarkably third-degree burns are often painless, although pain may be caused by patches of first- and second-degree burns which often surround third-degree burns (“Types of burns”, 2012). Case Studies #2: Margie Margie, who plays center on the women’s varsity basketball tem, complains that her knee is very sore and she felt a “pop” during a scrimmage tumble. Her knee, the largest and most vul-nerable joint in her body, buckles under her weight. ...
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...PULMONARY REHABILITATION HOME RECOMMENDATIONS CREATED FOR: Medications: It is important to take your medications as directed for maximum benefit. Your prescriptions should provide you with an adequate supply for a month, with one refill. It is important for you to see your primary physician for further follow-up and prescription refills. Two vaccines are very important for people with chronic lung disease: 1. Pneumococcal Vaccine You should have this vaccine as recommended by your physician. 2. Influenza Vaccine You should plan to have this vaccine every year in the fall. Oxygen Therapy: Your oximetry level at rest was _ % without supplemental oxygen. While walking at a comfortable pace using pursed-lip breathing your oximetry was _ %. These values indicate that supplemental oxygen is not needed at this time. Keeping Your Airways Clear: Prevention of lung infections will be very important for you because it may cause further damage to your lungs. It is unlikely that you will be able to avoid infection entirely, but you can have less frequent infections and minimize their negative effects by taking the following precautions: • Avoid smoke and breathing other inhaled irritants into your lungs. • Avoid people who have respiratory infections, and stay away from large crowds in the fall and winter (flu season). • Get your flu shot each fall. • Build up your immune system and resistance by getting enough rest and sleep;...
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...This is an eight week program that is designed for beginning runners. The design of this program assumes that you are a healthy individual with no medical or physical conditions that would limit your participation in an exercise program. You should consult with your doctor before beginning any exercise program. 8 Week training schedule This 8-week beginners program is designed for individuals with little or no background in running. The workout starts out with only walking and gradually advances to walk/run workouts and finally to all running. If you feel you are a bit more advanced and would like to start with some running right away, choose your appropriate point in the program to start. Just remember not to start out too quickly. If you have not exercised before, are over 40 years of age or have any injury or medical condition, you must get clearance from your doctor before beginning this program. The Workouts This program contains rest days, walking and easy runs. This is a very basic training program and is intended only to increase your fitness level to the point at which you can run 2 miles without stopping. Do not worry about speed. After you complete this program, you can move on to more advanced programs that will further improve your speed and endurance. You will monitor and adjust the intensity of these workouts using the Rate of Perceived Exertion (RPE) scale. This is a scale that rates your workouts by how you feel. The ratings range from 1 (very light),...
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...The Association of Physical Activity and Stress in College Students Shaye Sedotal University of New Orleans Abstract The purpose of this study is to measure the relationship between physical activity and stress levels among college students. The sample comprised of 27% males (N=18) and 73% (N=48) females with a mean age of 23.6 years and an age range of 19 to 54. 51% (N=34) of the participants were Caucasian, 22% (N=15) were African American, 9% (N=6) Hispanic, and 7% (N=10) were of other ethnic backgrounds. 0% (N=0) were freshman, 8% (N=5) were sophomores, 36% (N=24) were juniors, and 56% (N=37) were seniors. Participants completed questionnaires about stress and physical activity. Results indicated that the relationship between physical activity and stress levels among college students were significantly correlated. The benefits of regular physical activity have been shown to positively affect wellness by reducing stress in college students. This research contained limitations such as small, non-random sample size and limited amount of questions pertaining to the study in the survey. The Association of Physical Activity and Stress in College Students The transition into young adult hood, which is often marked by beginning college, can be a particularly stressful time. Having to balance classes, test, projects, extra curricular activities, and work can increase stress levels in any student. Stress that is caused by college is...
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...now being in College, I don't exercise, which means that I won't burn the pounds that I put on during winter. I have always loved Badminton, which is why I chose this class. When I started this class, being an intermediate/advanced Badminton player, thought that I wouldn't get that much exercise, this being a College gym class. Then a couple of days in, realized that there were a couple of decent students that made me try a little harder. I also never got to face the professor, but that's fine. I still had fun throughout this semester. Then we switched gears into pickle ball. The fun and exercise just came rolling in. It was a good way to get more exercise to burn some pounds on top of being fun. Now, pickle ball was very different from Badminton in many ways. The most strenuous parts were the speed and how hard you had to hit the ball. Placement was a big deal as well but not as hard as speed and contact with the ball. Now, after the class being done for the semester, realize that I should run a couple of times a week in order to get more exercise. Also to make up for not having as much exercise as when I was on the Badminton team in High School. This will help me stay better in shape and burn some more pounds. I feel that this class, or every gym class should be held for the entire semester, not just ten weeks out of fifteen weeks. This would help people trying to stay in shape as well as help other people find a good way to exercise if not exercising already. This...
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