Chapter_04________The Value of Common Stocks
Chapter 04 Channels of Distribution
Limited-function wholesalers:
Rack Jobbers/Rack merchandisers 货架批 发商add non-food lines to grocery stocks Cash and Carry Wholesalers 付款提货批发 商serve small groceries and other stores that buy in
bulky:庞大的
5
工商导论· 第四章 分销渠道
Common Channels of Distribution
Retailers 零售商 intermediaries who sell goods or
services to consumers and represent the final link between producers and end-users. Store retailing includes:
工商导论· 第四章 分销渠道
11
Textual Analysis-7
They earn commissions on their own sales and they also create commissions for the “upliners” who recruited them. In turn, they receive commissions from any “downliners” they recruit to sell. When you have hundreds of downliners, the commissions can be quite sizable. (p35) 他们根据他们的销售量提成，他们给录用他们的上线 交佣金。相反，他们可以从他们录用的下线提取佣金。 当你有上百个下线，佣金可是相当可观的。
Chapter 4 Comparison and Contrast
in spite of /despite 尽管， 不管 conversely 相反地 differ from 和…不同 … to the contrary 相反 的… even though/if 即使 yet 还，仍旧，依然 in contrast to 和…形成对 比 anyway/anyhow 总之，无 论如何
A Special form of comparison — analogy Analogy is tracing a striking likeness between unlike things. Electricity is transferred from one place to another in much the same manner as water. A water pipe performs the same function as a length of wire. The pipe carries water to its point of use in the same manner as wire carries electricity to its point of use. A blown fuse（熔断的保险丝 ）results from the same thing as a burst water pipe. Both give out due to extreme pressure applied to the walls of the carrier. A switch is to electricity what a faucet （水龙头）is to water. Both of them control the flow of the substance. Since electricity and water have some common properties, understanding the job of the plumber will help understanding the work of the electrician.
简明教程Chapter 4
NP=noun phrase AP=adjective phrase VP=verb phrase PP=preposition phrase S=sentence or clause
Bracketing
• Bracketing is not as common in use, but it is an economic notation in representing the constituent/phrase structure of a grammatical unit.
2.4 Coordination and Subordination
• Endocentric constructions fall into two main types, depending on the relation between constituents:
Coordination
• Coordination is a common syntactic pattern in English and other languages formed by grouping together two or more categories of the same type with the help of a conjunction such as and, but and or .
1.1 Relations of Position
• For language to fulfill its communicative function, it must have a way to mark the grammatical roles of the various phrases that can occur in a clause. • The boy kicked the ball NP1 NP2 Subject Object
chapter_two_The_Political_system_of_America
the head of each department is the Secretary. There are the departments of State, Treasury, Defense, Justice, Interior, Agriculture, Commerce, Labor, Health and Human Resources, Housing and Urban Development, Transportation, Energy, and
Created: November 15, 1777 Ratified: March 1, 1781 Authors: Continental Congress Signers: Continental Congress Purpose: Constitution for the United States, later replaced by the creation of the current United States Constitution
3. Bill of Rights
It is the first 10 amendments to the U.S. Constitution,
confirming the fundamental rights of American citizens. The new United States of America adopted them on December 15, 1791. These amendments limit the powers of the federal government, protecting the rights of all citizens, residents and visitors on United States territory.
国际商务习题
Chapter 04 Ethics in International Business1. (p. 124) The term ethics refers to accepted principles of right or wrong that govern the conduct of a person, the members of a profession or the actions of an organization. TRUE2. (p. 124) Ethical strategies are the accepted principles of right or wrong governing the conduct of businesspeople. FALSE3. (p. 124) Business ethics are the accepted principles of right or wrong governing the conduct of businesspeople. TRUE6. (p. 125) The Sullivan principles mandated that GM could operate in South Africa as long as the company complied with the apartheid laws. FALSE7. (p. 126) Myanmar has one of the worst human rights records in the world. TRUE8. (p. 127) Nearly all developing nations have substantial regulations governing the emission of pollutants, the dumping of toxic chemicals, the use of toxic materials in the workplace and so on. FALSE9. (p. 128) The tragedy of the commons occurs when a resource held in common by all, but owned by no one is overused by individuals, resulting in its degradation. TRUE10. (p. 128) Corporations can contribute to the global tragedy of the commons by not pumping pollutants into the atmosphere or dumping them in oceans or rivers. FALSE11. (p. 128) International businesses cannot gain economic advantages by making payments to corrupt government officials. FALSE12. (p. 129) The foreign corrupt practices act outlawed the paying of bribes to foreign government officials to gain business. TRUE13. (p. 129) The Foreign corrupt practices act originally allowed, "facilitating payments" to secure contracts that would not otherwise be secured. FALSE14. (p. 129) Facilitating payments are also known as speed money or grease money. TRUE15. (p. 129) The convention on combating bribery of foreign public officials in international business transactions obliges member states to make the bribery of foreign public officials a criminal offense. TRUE16. (p. 130) Noblesse oblige refers to payments that ensure receiving the standard treatment that a business ought to receive from a foreign government. FALSE17. (p. 130) Social responsibility refers to the idea that businesspeople should consider the social consequences of economic actions when making business decisions and that there should be a presumption in favor of decisions that have both good economic and social consequences. TRUE19. (p. 131) The ethical obligations of a multinational corporation toward employment conditions, human rights, environmental pollution and the use of power are always clear cut. FALSE21. (p. 132-133) An individual with a strong sense of personal ethics is less likely to behave in an unethical manner in a business setting. TRUE22. (p. 133) Expatriate managers may experience more than the usual degree of pressure to violate their personal ethics. TRUE23. (p. 134) A firm's organizational culture refers to the values and norms that are shared among employees of an organization. TRUE24. (p. 135) The Enron debacle indicates that an organizational culture can legitimize behavior that a society would judge as unethical. TRUE25. (p. 136) According to the Friedman doctrine, the only social responsibility of business is to increase profits, so long as the company stays within the rules of law. TRUE26. The Friedman doctrine is the belief that ethics are nothing more than a reflection of culture and therefore, a firm should adopt the ethics of the culture in which it is operating. F27.Cultural relativism is the belief that ethics are nothing more than a reflection of culture and therefore, a firm should adopt the ethics of the culture in which it is operating. TRUE28.According to the righteous moralist if a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either. F 29. (p. 138) The naive immoralist claims that a multinational's home country standards of ethics are the appropriate ones for companies to follow in foreign countries. FALSE30. (p. 138) Most moral philosophers see value in utilitarian and Kantian approaches to business ethics. TRUE31. (p. 138) The utilitarian approaches to ethics hold that the moral worth of actions or practices is determined by their consequences. TRUE32.It, typically is fairly easy to measure the benefits, costs and risks of a course of action. F33. An advantage of utilitarianism is that the philosophy allows for the consideration of justice. FALSE34. (p. 139) Rights theories recognize that human beings have fundamental rights and privileges that transcend national boundaries and cultures. TRUE35. (p. 140) A just distribution is one that is considered fair and equitable. TRUE36. (p. 141) According to Rawls, inequalities can be just if the system that produces inequalities is to the advantage of everyone. TRUE37. (p. 142) Talking with prior employers regarding someone's reputation is a good way to discerna potential employee's ethical predisposition. TRUE38. (p. 143) Building an organization culture that places a high value on ethical behavior requires incentive and reward systems. TRUE39. (p. 144) A firm's stakeholders are individuals or groups that have an interest, claim or stake in the company, what it does and how well it performs. T40. (p. 145-146) Companies can strengthen the moral courage of employees by committing themselves to retaliate against employees who exercise moral courage, say no to superiors or otherwise complain about unethical actions. FALSE41. (p. 124) The accepted principles of right or wrong governing the conduct of businesspeople are best known as A. Business measures B. Business ethics42. (p. 124) Identify the incorrect statement regarding ethical issues in international business.A. They are often rooted in the fact that political systems, law, economic development and culture of nations vary significantlyB. Human rights and environmental regulations are some of the common ethical issuesC. Ethical practices of all nations are similar in natureD. Managers in multinational firms need to be particularly sensitive to differences in business practices because they work across national borders43. (p. 125) To guard against abuse of employment practices in other nations, multinationals should do all of the following exceptA. Establish minimal acceptable standards that safeguard the basic rights and dignity of employeesB. Adhere to working conditions of the host country if they are clearly inferior to those in a multinational's home nationC. Audit foreign subsidiaries and subcontractors on a regular basis to make sure established standards are metD. Take action to correct unacceptable behavior46. (p. 126) Identify the incorrect statement pertaining to foreign multinationals doing business in countries with repressive regimes.A. Inward investment by multinationals can be a force for economic, political and social progress that ultimately improves the rights of people in repressive regimesB. No multinational does business with nations that lack the democratic structures and human rights records of developed nationsC. Multinational investment cannot be justified on ethical grounds in some regimes due to their extreme human rights violationsD. Multinationals adopting an ethical stance can, at times, improve human rights in repressive regimes47. (p. 127) Identify the incorrect statement about environmental regulations.A. Environmental regulations are often lacking in developing nationsB. Environmental regulations are similar across developed and developing nationsC. Developed nations have substantial regulations governing the emission of pollutants, the dumping of toxic chemicals, etcD. Inferior environmental regulations in host nations, as compared to home nation, can lead to ethical issues48. (p. 128) Everyone benefits from the atmosphere and oceans but no one is specifically responsible for them. In this sense, the atmosphere and oceans can be referred to as a(n)B. Global commonsC. Joint assetD. Global reserve49. (p. 128) The _____ occurs when a resource is shared by all, but owned by no one is overused by individuals, resulting in its degradation.A. Tragedy of the commonsB. Noblesse obligeC. Ethical dilemmaD. Friedman system50. (p. 129) Which of the following observations is true of the Foreign Corrupt Practices Act?A. The act outlawed the paying of bribes to foreign government officials to gain businessB. There is enough evidence that it put U.S. firms at a competitive disadvantageC. The act originally allowed for "facilitating payments."D. The Nike case was the impetus for the 1977 passage of this act51. (p. 129) The Convention on Combating Bribery of Foreign Public Officials in International Business Transactions excludesA. Speed payments to secure contracts that would otherwise not be securedB. Grease payments to gain exclusive preferential treatmentC. Facilitating payments made to expedite routine government actionD. Payments to government officials for special privileges52. (p. 129) Grease paymentsA. Are not the same as facilitating payments or speed moneyB. are facilitating payments made to expedite routine government actionC. Are payments to gain exclusive preferential treatmentsD. Can be used to secure contracts that would otherwise not be secured53. (p. 129) Facilitating payments areA. Permitted under the amended Foreign Corrupt Practices ActB. A direct violation of the Foreign Corrupt Practices ActC. Permitted so long as they designed only to gain exclusive preferential treatmentD. Used to secure contracts that would otherwise not be secured54. (p. 130) The idea that businesspeople should consider the social consequences of economic actions when making business decisions and that there should be a presumption in favor of decisions that have both good economic and social consequences is known asA. Business ethicsB. Noblesse obligeC. Ethical dilemmaD. Social responsibility55. (p. 130) Which of the following, in a business setting is taken to mean benevolent behavior that is the responsibility of successful enterprises.A. Sullivan's principlesB. Ethical dilemmaC. Tragedy of the commonsD. Noblesse oblige57. (p. 132) _____ are generally accepted principles of right and wrong governing the conduct of individuals.A. Ethical dilemmasB. Noblesse obligesC. Personal ethicsD. Business measures58. (p. 132) Ethical dilemmas exist because of all of the following reasons exceptA. Many real-world decisions are complex and difficult to frameB. Decisions may involve first, second and third-order consequences that are hard to quantifyC. Doing the right thing or knowing what the right thing might be is often far too easyD. They are situations in which none of the available alternatives seem ethically acceptable59. (p. 132) Which of the following is not likely to lead to unethical behavior?A. An organizational culture that de-emphasizes business ethicsB. A process that does not incorporate ethical considerations into business decision-makingC. A strong personal ethical code governing the conduct of an individualD. Pressure from the parent company to meet unrealistic performance goals60. (p. 133) Ethical behavior is likely to be determined by all of the following, except A. Decision making processes B. Organization culture C. Leadership D. Realistic performance goals61. (p. 133) Expatriate managers may experience more than the usual degree of pressure to violate their personal ethics because of all of the following reasons exceptA. They are away from their ordinary social context and supporting cultureB. They are psychologically and geographically closer to the parent companyC. They may be based in a culture that does not place the same value on ethical norms important in the manager's home countryD. They may be surrounded by local employees who have less rigorous ethical standards62. (p.63. (p. 136) All of the following approaches to business ethics are discussed by scholars primarilyto demonstrate that they offer inappropriate guidelines for ethical decision making in a multinational enterprise exceptA. Friedman doctrineB. Cultural relativismC. Kantian ethicsD. Naive moralist64. (p. 136) According to _____ the social responsibility of business is to increase profits, so longas the company stays within the rules of law. A. The naive immoralistB. The righteous moralistC. Cultural relativismD. The Friedman doctrine65. (p. 136) The Friedman doctrine suggests thatA. Ethics are nothing more than the reflection of cultureB. A multinational's home-country standards of ethics are inappropriate to follow in foreign countriesC. Businesses should not undertake social expenditures beyond those mandated by the law and required for the efficient running of a businessD. If a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either66. (p. 136) Identify the incorrect statement pertaining to the Friedman doctrine.A. It states that the only social responsibility of business is to increase profits, so long as the company stays within the rules of lawB. It argues that businesses should undertake social expenditures beyond those mandated by the lawC. It believes that maximizing profits is the way to maximize the returns that accrue to firms stockholdersD. Managers of the firm should not make decisions regarding social investments on behalf ofthe stockholders67. (p. 137) Cultural relativism suggests thatA. Ethics are nothing more than the reflection of culture and that a firm should adopt the ethicsof the culture in which it is operatingB. The only social responsibility of business is to increase profitsC. Managers of a firm should not make decisions regarding social investmentsD. A multinational's home-country standards of ethics are always appropriate to follow in foreign countries68. (p. 137) Identify the incorrect statement pertaining to cultural relativism.A. It argues that a firm should adopt the ethics of the culture in which it is operatingB. At its extreme, it suggests that if a culture supports slavery, it is OK to use slave labor in a countryC. It embraces the idea that universal notions of morality transcend different culturesD. It believes that ethics are nothing more than the reflection of a culture69. (p. 137) Child labor is permitted and widely employed in Country X. A multinational company entering Country X decides to employ minors in its subsidiary, even though it is against the multinational's home country ethics. Which of the following approaches to business ethics would justify the actions of the multinational company?A. Righteous moralistB. Cultural relativismC. The justice theoryD. The rights theory70. (p. 137) The idea that universal notions of morality transcend different cultures is implicitly rejected by A. The righteous moralist B. The naive immoralist C. The Friedman doctrineD. Cultural relativism71. (p. 137) The righteous moralist suggests thatA. Ethics are nothing more than the reflection of cultureB. A multinational's home-country standards of ethics are the appropriate ones for companies to follow in foreign countriesC. The social responsibility of business is to increase profits, so long as the company stays within the rules of lawD. If a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either72. (p. 137) Which of the following statement about the righteous moralist approach is not true?A. It claims that a multinational's home-country standards of ethics are the appropriate ones for companies to follow in foreign countriesB. It is typically associated with managers from developing nationsC. Its proponents often go too far in advocating that the appropriate thing to do is adopt home-country standardsD. It can create practical problems73. (p. 137) The righteous moralist approach to business ethics is typically associated with managers from A. Third world nations B. Underdeveloped nations C. Developing nationsD. Developed nations74. (p. 138) The _____ approach asserts that if a manager of a multinational sees that firms from other nations are not following ethical norms in a host nation, that manager should not either.A. Cultural relativismB. Friedman doctrineC. Righteous moralistD. Naive immoralist75. (p. 138) The naive immoralist suggests thatA. Ethics are nothing more than the reflection of cultureB. A multinational's home-country standards of ethics are the appropriate ones for companies to follow in foreign countriesC. The social responsibility of business is to increase profits, so long as the company stays within the rules of lawD. If firms in a host nation do not follow ethical norms then the manager of a multinational should also not follow ethical norms there76. (p. 138) According to the _____ approach to business ethics, the moral worth of actions or practices is determined by their consequences.A. UtilitarianB. Cultural relativismC. Friedman doctrineD. Naive immoralist77. (p. 138) The utilitarian approach to business ethics suggests thatA. People should be treated as ends and never purely as means to the ends of othersB. The moral worth of actions or practices is determined by their consequencesC. People have dignity and need to be treated as suchD. Human beings have fundamental rights and privileges that transcend national cultures78. (p. 138) Which of the following approaches is committed to the maximization of good and the minimization of harm?A. The righteous moralistB. Cultural relativismC. Friedman doctrineD. Utilitarianism79. (p. 139) Tools to assess actions such as cost-benefit analysis and risk assessment are rooted in the _____ philosophy.A. Utilitarian approachB. Kantian approachC. Friedman doctrineD. Naive immoralist80. (p. 139) According to the _____ approach, the best decisions are those that produce the greatest good for the greatest number of people.A. Naive immoralistB. Friedman doctrineC. UtilitarianD. Kantian81. (p. 139) The Kantian approach to ethics suggests thatA. Human beings have fundamental rights and privileges that transcend national boundariesB. The moral worth of actions or practices is determined by their consequencesC. People should be treated as ends and never purely as means to the ends of othersD. Ethics are nothing more than the reflection of culture82. (p. 139) The utilitarian approach to business ethics has been criticized because of all of the following reasons, exceptA. The measurement of benefits, costs and risks is often not possible due to limited knowledgeB. The philosophy omits the consideration of justiceC. The philosophy advocates the greatest good for the greatest number of people, but such actions may result in the unjustified treatment of a minorityD. It holds that the moral worth of actions or practices is determined by their consequences83. (p. 139) Rights theories suggest thatA. Human beings have fundamental rights and privileges that transcend national boundariesB. The moral worth of actions or practices is determined by their consequencesC. People should be treated as ends never purely as means to the ends of othersD. Minimum levels of morally acceptable behavior should be established84. (p. 140) Identify the approach that most moral philosophers favor and that forms the basis for current models of ethical behavior in international businesses.A. Friedman doctrineB. Cultural relativismC. The righteous moralistD. Rights theory85. (p. 140) The Universal Declaration of Human Rights, related to employment, upholds all of the following, exceptA. Just and favorable work conditionsB. Equal pay for equal workC. Prohibition of trade unionsD. Protection against unemployment86. (p. 140) Article 1 of the United Nations' Universal Declaration of Human Rights states: "All human beings are born free and equal in dignity and rights." This best echoesA. Cultural relativismB. Friedman doctrineC. The righteous moralist approachD. Kantian ethics87. (p. 140) A(n) _____ is any person or institution that is capable of moral action such as a government or corporation.A. Moral agentB. UtilitarianC. Righteous moralistD. Naive immoralist88. (p. 140) Justice theories of business ethics focus onA. The moral worth of actions or practicesB. Minimum levels of morally acceptable behaviorC. Fundamental rights and privileges that transcend national boundariesD. The attainment of a just distribution of economic goods and services89. (p. 141) The notion that all economic goods and services should be distributed equally except when an unequal distribution would work to everyone's advantage was developed byA. David HumeB. John RawlsC. Jeremy BenthamD. John Stuart Mill90. (p. 141) Under the veil of ignorance, everyone is imagined to be ignorant ofA. All of his or her particular characteristicsB. Fundamental rights and privilegesC. The moral worth of actions or practicesD. The minimum levels of morally acceptable behavior91. (p. 141) According to John Rawls,A. Each person be permitted the maximum amount of basic liberty compatible with a similar liberty for othersB. Freedom of speech and assembly is the single most important component in a justice systemC. Equal basic liberty is only possible in a pure market economyD. Inequalities in a justice system are not to be tolerated under any circumstance92. (p. 141) Rawls' philosophy that inequalities are justified if they benefit the position of the least-advantaged person is known as theA. Inequality principleB. Equity principleC. Difference principleD. Indifference principle93. (p. 142) Managers of international business can do all of the following to make sure ethical issues are considered in business decisions, exceptA. Favor hiring and promoting people with a well-grounded sense of personal ethicsB. Build an organizational culture that places a high value on ethical behaviorC. Make sure that leaders within the business do not articulate the rhetoric of ethical behaviorD. Develop moral courage95. (p. 143) To build an organization culture that values ethical behavior, a company should do all of the following, exceptA. Not sanction people who do not engage in ethical behaviorB. Articulate values that emphasize ethical valuesC. Make sure that key business decisions not only make good economic sense, but are also ethicalD. Place a high value on ethical behavior by providing incentives and reward systems96. (p. 144) External stakeholdersA. Are individuals or groups who own the businessB. Include all employees, the board of directors and stockholdersC. Typically, comprises customers, suppliers, lenders, etcD. Are individuals or groups who work for the business97. (p. 144) Internal stakeholdersA. Are individuals or groups who work for or own the businessB. Do not have any claim on a firm or its activitiesC. Typically comprises customers, suppliers, lenders, governments, unions, etcD. Are individuals, except employees, board of directors and stockholders that have some claim on the firm98. (p. 144) _____ means standing in the shoes of a stakeholder and asking how a proposed decision might impact that stakeholder.A. Veil of ignoranceB. Difference principleC. Moral imaginationD. Noblesse oblige99. (p. 145) Establishing _____ involves a business' resolve to place moral concerns ahead of other concerns in cases where either the fundamental rights of stakeholders or key moral principles have been violated.A. A veil of ignoranceB. A difference principleC. Moral imaginationD. Moral intent 100. (p. 145) _____ enables managers to walk away from a decision that is profitable, but unethical.A. Noblesse obligeB. Moral courageC. Difference principleD. Friedman doctrine101. (p. 124) What are business ethics? What is the relationship between business ethics and an ethical strategy?Business ethics are the accepted principles of right or wrong governing the conduct of businesspeople. An ethical strategy is a strategy or course of action that does not violate those accepted principles.102. (p. 124-13) What is considered normal practice in one country may be considered unethical in others. Discuss.Chapter 04 - Ethics in International BusinessMany of the ethical issues and dilemmas in international business are rooted in the fact that political systems, law, economic development and culture vary significantly from nation to nation. Therefore, what might be considered a normal business practice in one country may constitute unethical behavior in another country. Managers in a multinational company need to be sensitive to these differences and choose the ethical action in those circumstances where variation across societies creates the potential for ethical problems. In the international business setting, the most common ethical issues involve employment practices, human rights, environmental regulations, corruption and the moral obligation of multinational corporations.4-11。
新编简明英语语言学教程04Chapter-4-gram
The criteria on which categories are determined
确定词的范畴的标准
Meaning (意义) Inflection (屈折变化) Distribution(分布)
11
Word categories often bear some relationship with its meaning. e.g.
9
Major lexical categories play a very important role in sentence formation. They differ from minor lexical categories in that they are often assumed to be the heads around which phrases are built.
14
‘s; -ed, -ing; -er, -est… Although inflection is very helpful in determining a
word’s category, it does not always suffice. Some words do not take inflections. Moisture, fog, sheep; Frequent, intelligent Note: The most reliable criterion of determining a word’s category is its distribution.
因此, 一个词的分布情况与其意义和屈折变化 能力的信息一起对于确定它的句法范畴有帮助.
16
Phrase categories and their structures
医学专业英语上册(第四章)chapter 4 musculoskeletal system
50
Axial skeleton
The axial skeleton includes the bones in the head, neck, spine, chest and trunk of the body. These bones form the central axis for the whole body and protect many of the internal organs such as the brain, lungs, and heart. The head or skull is divided into two parts consisting of the cranium and facial bones. These bones protect the brain and special sense organs from injury. The cranium covers the brain and the facial bones surround the mouth, nose, and eyes. Muscles for chewing and head movements are attached to the cranial bones. The cranium consists of the frontal , parietal , temporal, ethmoid , sphenoid , and occipital bones. The facial bones are the mandible , maxilla , zygomatic , vomer, palatine , nasal , and lacrimal bones. The cranial and facial bones are illustrated in Figure 3.1 and described in Table 3.1. Figure 3.1 The cranial and facial bones (seen from the lateral part)
Part One Chapter Four Langland 朗兰
Chapter Four: Langland朗兰I. Piers the Plowman and Its Author耕者皮尔斯和它的作者Piers the Plowman shows the existence of English Popular literature in the Middle Age.耕者皮尔斯表明了中世纪流行文学的存在。
7000 lines, written by William LanglandII.A Picture of Feudal EnglandThe poem sets forth a series of wonderful dreams.这首诗描写了一系列奇妙的梦境。
1. The Exposure of the Ruling Classes对统治阶级的揭露“They leapt away to London.To be clerks of the King’s Bench and despoil the land.”2. The Story of the Cat and Rats猫和老鼠的故事If the cat was killed, another would come in its place.Let that cat be.The cat is the symbol of the ruling class.3. The Marriage of Lady Meed贿赂夫人的婚姻Three major characters: Lady Meed, the King, Conscience4. The Condition of the Peasants农民的境况5. The Search for Truth寻找真理6. The Class Nature of Piers皮尔斯的阶级本质7. Social Significance社会意义III. Artistic Feature艺术特点习题Choose the best answer.1._____ defeated the English troops at Hastings.A. Angles, Saxons and JutesB. Germanic peoplesC. Danish VikingsD. NormansD【史称诺曼征服Norman Conquest】Choose the best answer.2.The Anglo-Saxon period ended in ____.A. 1017B. 1042C. 1016D. 1066D【同第一题。
Chapter 04-The Path of least resistance
(Chapter 4)(The Path of Least Resistance)A Lesson from the GhettoRecently I was traveling from New York’s La Guardia Airport to Manhattan. My cabdriver chose to avoid the congested traffic on the East River Drive. His route brought me through my old neighborhood in East Harlem.I had moved there after getting a master’s degree from the Boston Conservatory of Music. What a contrast that was, cultural Boston and “culturally deprived” East Harlem. For a musician just if for the New York music scene, East 110th Street between Second and Third Avenue was just the right price in those days.Most of us have a talent for selective memory. We remember the past as containing many more good experiences than bad ones. (My grandmother had it just the other way around.) And so, as I studied my old turf, I was flooded with wonderful memories of my ghetto days. Suddenly I was brought back to the present by an extraordinary example of ghetto art, graffiti.This art from developed years ago. Its origin was the wanton vandalizing of property. When I lived in East Harlem, graffiti was not yet an art form. Just kids, spray cans, and walls. Mostly the kids used the walls to express their hostility by painting expletives in large, sloppy letters. Occasionally a kid would express his romantic tendencies with great declarations of love; Jose’ loves Judy.Over the years the letters became more artistic and then developed into complex artistic creations. The young artists became competitive with each other. Originality and craft became the norm. The bravado of youthful energy came to beexpressed in painting rather than in gang warfare. Bold designs gave way to bolder designs. The color was strong, direct, primary.The city became the canvas. These artists would stalk at night and paint on whatever surface they found. They used up the available walls quickly and then found the perfect symbol of their art: subway cars- owned by the society the artists were separate from, vital to the movement of the populace, gray, drab, dilapidated, lifeless and institutional.The graffiti writers would break into the railway yards and spend the night painting subway cars. Then the Transit Authority would spread their works to a mass audience throughout the city. Influenced by each other’s work, the artists’creations got better. The authorities became alarmed and put armed guards around the railway yards. But by that time the highbrow art world had taken notice. Some of the best ghetto artists were sought out by art dealers. The artists switched to real canvasses. A fad rose and fell in short order.Gallery success might have been temporary, but the artists kept on painting, growing, and developing. New artists emerged, pushing the art form further and further still. Later the city of Tokyo would invite one of the best artists to come to Japan and paint long murals on their subway cars.What a story. Too strange to be fiction. If someone had told you twenty-five years ago that somebody in New York City the “culturally deprived,”undereducated children of welfare would rise up, not in violence, but in art and in dance (break dancing) and in poetry (rap), you might have asked to examine that person’s sugar cube for traces of LSD.What caught my eye and captured my imagination that day in East Harlem was a new evolutionary step in graffiti art. It was the choice of colors. Pastels. No longer the bright, bold, shouting colors of a few years ago, but colors that were soft, translucent, subtle, and penetrating.Somewhere in the destructive life of the inner city, a young artist is think about color. Experimenting with quinacri-done violet and cerulean blue. Mixing and blending opposite colors to create illusions of space and dimension. And somehow, because of this, I experience hope for our civilization.There is a profound lesson here. It is partly about the human spirit. We have been led to believe that the circumstances of our life determine our ability to express ourselves. That for us to explore new dimensions of our being, our conditions need to be favorable. If that were true, how could such creativity, originality, and vitality come from such humble and adverse beginnings as the ghetto? How is it that it was from there, and not there sacred institutions of academia, that new thought, born of what is highest in humanity, developed and grew? Perhaps our true is that of creators, who can bring forth new life out of any set of circumstance.Creating Is Not a Product of the CircumstancesCreating is completely different from reacting or responding to the circumstances you are in. The process of creating is not generated by the circumstances in which you find yourself, but the creation itself.It is popular to think of creativity as a product of your environment, culture, or other circumstances that foster the creative process. An example of this notion was the corporate fad, popular just a few years ago, of “engineer environments” that weresupposed to the conducive for creating. But a quick survey of the history of creativity will make it obvious that people have created in a wide range of circumstances, from convenient ones to difficult ones.As you begin to consider what you want to create in your life. It is good for you to know that the circumstances that presently exist are not the determining factor of the results you desire to create. You are not limited by them, eve though it may seem you are entrenched in them.Because creating is so essentially different from the creative-responsive orientation to which you have been exposed, it may seem ridiculous to consider life to be any different from what you have experienced before. You may be reading these words with the suspicion that this is yet another pep talk designed to inspire you to a new way of life. Or you may think that creating is possible only for the artist, that the creative process is limited to painting, music, filmmaking, poetry, or the other arts.Even though the most obvious expression of the creative process is found in the arts, it is in no way limited to the arts. Almost all of your life’s desires can be the subject of the creative process. There need be no separation from the creative process as practiced in the arts and the same creative process as practiced in other human endeavors. In addition, the art is a perfect arena for learning the special ability and skill of creating.It is wise to learn about the creative process from those practitioners who know the most about it and who have used it to bring the highest fruits of the creative process into being. This is a different skill from what you have learned in school, at home, or at work, and yet it is one of the most important skills to develop in your life.Pablo Casals, one of the greatest cellists of our century, did not limit his concept of creating his music.I have always regarded manual labor as creative and looked withrespect- and, yes, wonder- at people who work with their hands. Itseems to me that heir creativity is no less than that of a violinist orpainter.And psychologist Carl Rogers has written:The action of the child inventing a few game with his playmates;Einstein formulating a theory of relativity; the housewife devising anew sauce for the meat; a young author writing his first novel; all ofthese are, in terms of our definition, creative, and there is no attempt toset them in some order of more or less creative.When one does not consciously know the skill of creating, it is common to suppose the creative process a product of the unconscious, or of mysticism. Then the creative process becomes a search for the formula that will tap your hidden powers. Because your “normal” self seems not to be the possessor of such powers, you might assume they must lie somewhere else.In the story of Dumbo the elephant, a mouse convinces Dumbo that he can fly because of a “magic” feather. Dumbo tries out the feature and finds he can fly. But one day he loses his feather and thinks he has lost the ability. The mouse confesses that the story of the magic feather was a hoax and that Dumbo’s ability to fly was his own. Dumbo discovers he can fly without benefit of feather.Many of the theories about the creative process are similar to Dumbo’s magicfeather. In these theories the power to create what you want depends on a magical talisman that will enable you to unlock your hidden powers once and for all.To some jungle tribes who have not had contact with modern civilization，the jet planes they see flying overhead take on a magical meaning. These planes are seen as gods or at least vehicles of gods.It is common to assume that the unknown is unknowable, or at lease unknowable by normal means. It is our inexperience and ignorance that can make the creative process seem as if it is an outcome of magical operations, the same kind of inexperience and ignorance a jungle tribe may have about modern aviation. But, in fact, creating is a skill that can be learned and developed. Like any skill, you learn by practice and hands-on experience. You can learn to create by creating.The StepsThe steps in the creative process are simple to describe, but they do not constitute a formula. Instead, each step represents certain types of actions. Some aspects of the creative process are active, some are more passive. Different aspects call for different skills. You ma have developed some of these skills already and find that other skills are not as easy at first. Each time you create a new result, you are involved in a unique creation. While your ability will develop over time with experience, every new creation has its own individual process.In this chapter I will outline the basic steps of creating. In later chapters I will develop these steps so that you will be able to begin to experiment with them in your own life. Think of the following as an overview of the creative process rather than as a formula to adopt.1.Conceive of the result you want to create.Creators start at the end. First have an idea of what they want to create. Sometimes this idea is general, and sometimes it is specific. Before you can create what you want to create, you must know what you are after, what you want to bring into being. Your original concept may be clear, or it may be simply a rough draft. Either will work well. Some creators like to improvise as they create, so they begin with a general concept. A painter may not know exactly how the final painting may look, but he or she has enough of a concept to make adjustments during the creative process so that the painting in progress will come closer and closer to what the artist wants. Other painters know exactly what the final painting will look like before they pick up a brush. Georgia O’Keeffe said, “I don’t start until I’m almost entirely clear. It is a waste of time and paint if I don’t. I’ve wasted a lot of canvasses, so be pretty clear.”Knowing what you want is itself skill. Our traditional educational system does not encourage you to know what you want. Instead you are encouraged to choose the “correct” response from narrow choices that life seems to offer. Frequently this has little relationship to what you really want. Because of this, many people develop an ambivalence toward what they want. And why not? It is hard to be enthusiastic about the choices most people are left with. But as you develop your own creative process, conceiving of the results you want will become meaningful and interesting.2.Know what currently exists.If you were painting a painting, you would need to know the current state ofthe painting as it developed. This would be important knowledge. If you did not know what you had created so far, it would be impossible for you to add more brushstrokes or change what you had done so as to bring the painting you wanted into being.Knowing what currently exists is another skill. While this may sound deceptively simple, in fact most of us have been encouraged to view reality with particular biases. Some people make reality seem better than it is, some make it seem worse than it is, and some minimize how good or bad it can be. One of the most important abilities creators have is the ability to be objective about their own creation. There is a notion, popular in many university philosophy departments, that you can never really view reality objectively. But in the same university, the art department teachers those students to draw portraits of models. This drawing skill helps students learn first to see, and then represent, what they are looking at. Even though each art student may have his or her own style of portraiture, anyone from the philosophy department could identify the model by looking at any of the drawings of the model.In music conservatories students are taught to identify rhythms, harmonies, and intervals by hearing them. This skill is called ear training. This is another skill in which students are taught to identify and represent reality correctly. When they write down the music that was played, it is not a matter of “interpretation.” If the student correctly identifies what was played, he or she gets an A. Students who do not correctly identify what is played get less than an A. Music students learn how concrete the perception of music can be. This is another example of training designed to enhance the ability to view reality objectively.In a similar way, you need to develop the skill of viewing reality objectively.For many people reality is an acquired taste. At first glance you may have uncomfortable and disturbing experiences. If you were in a problem-solving mode, you would take action to restore feelings of balance and well-being. The most common way people do this is by misrepresenting reality. They may lie, rationalize, or distract themselves from what is going on. But as you learn to master your own creative process, you develop a capacity for truth. Good, bad, or indifferent, you will still want to know accurately what is going on.3．Take actionOnce you know what you want and what you currently have, the next step is to take action. But what kind of action do you take? Creating is a matter of invention rather than of convention. Education emphasizes convention, so you may have had little experience with inventing. Inventing is another skill that can be developed. When you take an action that is designed to bring your creation into being, the action may either work or not work. If the action works, you can continue taking it or discontinue taking it. Sometimes it will be useful to continue, sometimes it will not be useful to continue. You will know what to do by watching the changes in the current state of the result. All the actions, the ones that work and the ones that do not work, help to create the final result. This is because creating itself is a learning process, learning what works and what does not work. The stock-in-trade of a creator are the abilities to experiment and to evaluate one’s experiments.Invention is not all trail and error. As you invent actions to bring your creations into being, you begin to develop an instinct for the actions that work best. Creators are able to develop an economy of means. This generally happens over time, and themore you create, the more chance you have to develop your own instincts.Some of the actions you take will help you move directly to the result you want, but most will not. The art of creating is often found in your ability to adjust or correct what you have done so far. Many people have been encouraged to “get it right the first time”or, even worse, to “be perfect.”This policy can lead to profound inexperience in the adjustment process. Instead of making the most of what you have done so far, in order to bring creation into existence, you may be tempted to give up anytime the circumstances seem against you. Sometimes people encourage others to “stay with it”and develop “determination and fortitude”in reaction to habitual quitting. But this manipulation hardly ever works. Without an ever-increasing ability to adjust the actions you take, trying to “stay with it”can seem like banging your head against a wall. After sincere attempts to “stay with it” fail and fail again, the path of least resistance is to quit. You may have thought your habitual giving up was a serious character flaw. But this is probably not the case. It is not fortitude, willpower, or determination that enables you to continue the creative process, but learning as you go.4. Learn the rhythms of the creative process.There are three distinct phases of the creative process: germination, assimilation, and completion. Each phase has its own energy and class of actions.Germination begins with excitement and newness. Partly this germinational energy comes from the unusualness of the new activity.Assimilation is often the least obvious phase of the process. In this phase the initial “thrill is gone.” This phase moves from a focus on internal action to a focus onexternal action. In this phase you live with your concept of what you want to create and internalize it. It becomes part of you. Because of this, you are able to generate energy to use in your experiments and learning. The drama of the first blush of germination is over, but this new, quiet energy of assimilation helps you form the result.Completion is the third stage of creation. This stage has a similar energy to germination, but new it is applied to a creation that is more tangible. In this phase you use the energy not only to bring to final completion the result you are creating but also to position yourself for your next creation. In other words, this stage leads also to the germination of your next creation.5. Creating momentumMany of the theories describing creativity these days have a tone of “beginners luck.”For professional creators there is a different tone, that of ever-increasing momentum. Not only is the creative process a reliable method for producing the results you want, it also contains seeds of its own development. Who do you think has a greater chance for successfully creating the results they want: those who have done it for years, or those who are novices? It is true that some first-time novelists write masterpieces, but this is the exception, not the rule. Even Mozart, perhaps the most gifted composer in history, developed and grew in his art. The music he wrote in his thirties was far more advanced than what he wrote in his twenties or in his teens. The more music he wrote, the more he was able to write. His increasing experience gave him the momentum typical of the creative process. If you begin to create the results you want today, you are more prepared to create the results you want ten yearsfrom now. Each new creation gives you added experience and knowledge of your own creative process. You will naturally increase your ability to envision what you want and your ability to bring those results into being.。
Principles of Corporate Finance 英文第十版习题解答Chap004
CHAPTER 4The Value of Common StocksAnswers to Problem Sets1. a. Trueb. True2. Investors who buy stocks may get their return from capital gains as well asdividends. But the future stock price always depends on subsequent dividends.There is no inconsistency.3. P0 = (5 + 110)/1.08 = $106.484. r = 5/40 = .125.5. P0 = 10/(.08 - .05) = $333.33.6. By year 5, earnings will grow to $18.23 per share. Forecasted price per share atyear 4 is 18.23/.08 = $227.91.7. 15/.08 + PVGO = 333.33; therefore PVGO = $145.83.8. Z’s forecasted dividends and prices grow as follows:Calculate the expected rates of return:From year 0 to 1: 08.33.333)33.333350(10=-+From year 1 to 2: 08.350)35050.367(50.10=-+From year 2 to 3:08.50.367)50.36788.385(03.11=-+Double expects 8% in each of the first 2 years. Triple expects 8% in each of the first 3 years.9. a. Falseb. True.10. PVGO = 0, and EPS 1 equals the average future earnings the firm could generate under no-growth policy.11. Free cash flow is the amount of cash thrown off by a business after allinvestments necessary for growth. In our simple examples, free cash flow equals operating cash flow minus capital expenditure. Free cash flow can be negative if investments are large.12. The value at the end of a forecast period. Horizon value can be estimated using the constant-growth DCF formula or by using price –earnings or market – book ratios for similar companies.13. If PVGO = 0 at the horizon date H , horizon value = earnings forecasted for H + 1 divided by r .14. Newspaper exercise, answers will vary15.Expected Future Values Present Values Horizon Period (H) Dividend (DIV t ) Price (P t ) Cumulative Dividends FuturePrice Total0 100.00 100.00100.001 10.00 105.00 8.70 91.30 100.002 10.50 110.25 16.64 83.36 100.003 11.03 115.76 23.88 76.12 100.004 11.58 121.55 30.50 69.50 100.00 10 15.51 162.89 59.74 40.26 100.00 20 25.27 265.33 83.79 16.21 100.00 50 109.21 1,146.74 98.94 1.06 100.00 100 1,252.39 13,150.13 99.99 0.01 100.00Assumptions 1. Dividends increase at 5% per year compounded. 2. Capitalization rate is 15%.16.$100.000.10$10r DIV P 1A ===$83.33.0400.10$5g r DIV P 1B =-=-=⎪⎭⎫⎝⎛⨯++++++=67665544332211C 1.1010.10DIV 1.10DIV 1.10DIV 1.10DIV 1.10DIV 1.10DIV 1.10DIV P $104.501.1010.1012.441.1012.441.1010.371.108.641.107.201.106.001.105.00P 6654321C =⎪⎭⎫⎝⎛⨯++++++=At a capitalization rate of 10%, Stock C is the most valuable. For a capitalization rate of 7%, the calculations are similar. The results are:P A = $142.86 P B = $166.67 P C = $156.48Therefore, Stock B is the most valuable.17. a. $21.90.027500.095 1.0275$1.35$1.35g r DIV DIV P 100=-⨯+=-+=b.First, compute the real discount rate as follows:(1 + r nominal ) = (1 + r real ) ⨯ (1 + inflation rate)1.095 = (1 + r real ) ⨯ 1.0275(1 + r real ) = (1.095/1.0275) – 1 = .0657 = 6.57%In real terms, g = 0. Therefore:$21.900.0657$1.35$1.35g r DIV DIV P 100=+=-+= 18.a. Plowback ratio = 1 – payout ratio = 1.0 – 0.5 = 0.5Dividend growth rate = g= Plowback ratio × ROE = 0.5 × 0.14 = 0.07 Next, compute EPS 0 as follows:ROE = EPS 0 /Book equity per share 0.14 = EPS 0 /$50 ⇒ EPS 0 = $7.00Therefore: DIV 0 = payout ratio × EPS 0 = 0.5 × $7.00 = $3.50 EPS and dividends for subsequent years are:YearEPS DIV0 $7.00$7.00 × 0.5 = $3.501 $7.00 × 1.07 = $7.4900 $7.4900 × 0.5 = $3.50 × 1.07 = $3.74502 $7.00 × 1.072 = $8.0143 $8.0143 × 0.5 = $3.50 × 1.072 = $4.0072 3 $7.00 × 1.073 = $8.5753 $8.5753 × 0.5 = $3.50 × 1.073 = $4.28774 $7.00 × 1.074 = $9.1756$9.1756 × 0.5 = $3.50 × 1.074 = $4.58785 $7.00 × 1.074 × 1.023 = $9.3866 $9.3866 × 0.5 = $3.50 × 1.074 × 1.023 = $4.6933EPS and dividends for year 5 and subsequent years grow at 2.3% per year, as indicated by the following calculation:Dividend growth rate = g = Plowback ratio × ROE = (1 – 0.08) × 0.115 = 0.023b.⎪⎭⎫ ⎝⎛⨯++++=45443322110 1.11510.115DIV 1.115DIV 1.115DIV 1.115DIV 1.115DIV P $45.651.1010.023-0.1154.6931.1154.5881.1154.2881.1154.0071.1153.74544321=⎪⎭⎫⎝⎛⨯++++=The last term in the above calculation is dependent on the payout ratioand the growth rate after year 4.19. a.11.75%0.11750.0752008.5g P DIV r 01==+=+=b.g = Plowback ratio × ROE = (1 − 0.5) × 0.12 = 0.06 = 6.0%The stated payout ratio and ROE are inconsistent with the security analysts’ forecasts. With g = 6.0% (and assuming r remains at 11.75%) then:pesos 147.830.06- 0.11758.5g r DIV P 10==-=20.The security analyst’s forecast is wrong because it a ssumes a perpetual constant growth rate of 15% when, in fact, growth will continue for two years at this rate and then there will be no further growth in EPS or dividends. The value of the company’s stock is the present value of the expected divi dend of $2.30 to be paid in 2020 plus the present value of the perpetuity of $2.65 beginning in 2021. Therefore, the actual expected rate of return is the solution for r in the following equation:r)r(1$2.65r 1$2.30$21.75+++=Solving algebraically (using the quadratic formula) or by trial and error, we find that: r = 0.1201= 12.01% 21.a.An Incorrect Application . Hotshot Semiconductor’s earnings anddividends have grown by 30 percent per year since the firm’s founding ten years ago. Current stock price is $100, and next year’s dividend is projected at $1.25. Thus:31.25%.31250.3001001.25g P DIV r 01==+=+=This is wrong because the formula assumes perpetual growth; it is notpossible for Hotshot to grow at 30 percent per year forever.A Correct Application. The formula might be correctly applied to the Old Faithful Railroad, which has been growing at a steady 5 percent rate for decades. Its EPS 1 = $10, DIV 1 = $5, and P 0 = $100. Thus:10.0%.100.0501005g P DIV r 01==+=+=Even here, you should be careful not to blindly project past growth into thefuture. If Old Faithful hauls coal, an energy crisis could turn it into a growth stock.b.An Incorrect Application. Hotshot has current earnings of $5.00 per share. Thus:5.0%.0501005P EPS r 01====This is too low to be realistic. The reason P 0 is so high relative to earningsis not that r is low, but rather that Hotshot is endowed with valuable growth opportunities. Suppose PVGO = $60:PVGO rEPS P 10+=60r5100+=Therefore, r = 12.5%A Correct Application. Unfortunately, Old Faithful has run out of valuable growth opportunities. Since PVGO = 0:PVGO r EPS P 10+=0r10100+=Therefore, r = 10.0%22.gr NPVr EPS price Share 1-+= Therefore:0.15)(r NP V r E P S Ραα1αα-+=α0.08)(r NP V r E P S Ρββββ1β-+=The statement in the question implies the following:⎪⎪⎭⎫⎝⎛-+->⎪⎪⎭⎫ ⎝⎛-+-0.15)(r NPV r EPS 0.15)(r NPV 0.08)(r NPV r EPS 0.08)(r NPV αααα1ααββββ1ββ Rearranging, we have:β1βββα1αααE P S r 0.08)(r NP V E P S r0.15)(r NP V ⨯-<⨯- a.NPV α < NPV β, everything else equal.b. (r α - 0.15) > (r β - 0.08), everything else equal.c.0.08)(r NP V 0.15)(r NP V ββαα-<-, everything else equal. d. β1βα1αE P S r E P S r <, everything else equal. 23.a.Growth-Tech’s stock price should be:23.81.08)0(0.12$1.24(1.12)1(1.12)$1.15(1.12)$0.60(1.12)$0.50P 332$=⎪⎪⎭⎫ ⎝⎛-⨯+++=b.The horizon value contributes:$22.07.08)0(0.12$1.24(1.12)1)P V(P 3H =-⨯=c.Without PVGO, P 3 would equal earnings for year 4 capitalized at 12 percent:$20.750.12$2.49= Therefore: PVGO = $31.00 – $20.75 = $10.25d.The PVGO of $10.25 is lost at year 3. Therefore, the current stock price of $23.81 will decrease by:$7.30(1.12)$10.253= The new stock price will be: $23.81 – $7.30 = $16.5124.a.Here we can apply the standard growing perpetuity formula with DIV 1 = $4, g = 0.04 and P 0 = $100:8.0%.080.040$100$4g P DIV r 01==+=+=The $4 dividend is 60 percent of earnings. Thus:EPS 1 = 4/0.6 = $6.67Also:PVGO rEPS P 10+=PVGO 0.08$6.67$100+=PVGO = $16.63b.DIV 1 will decrease to: 0.20 ⨯ 6.67 = $1.33However, by plowing back 80 percent of earnings, CSI will grow by 8 percent per year for five years. Thus: Year 1 2 3 4 5 6 7, 8 . . . DIV t 1.33 1.44 1.55 1.68 1.81 5.88 Continued growth at EPS t6.677.207.788.409.079.80 4 percentNote that DIV 6 increases sharply as the firm switches back to a 60 percent payout policy. Forecasted stock price in year 5 is:$147.0400.085.88g r DIV P 65=-=-=Therefore, CSI’s stock price will increase to:$106.211.081471.811.081.681.081.551.081.441.081.33P 54320=+++++=25.a.First, we use the following Excel spreadsheet to compute net income (or dividends) for 2009 through 2013:2009 2010 2011 2012 2013 Production (million barrels) 1.8000 1.6740 1.5568 1.4478 1.3465 Price of oil/barrel 65 60 55 50 52.5 Costs/barrel 25 25 25 25 25 Revenue 117,000,000 100,440,000 85,625,100 72,392,130 70,690,915 Expenses 45,000,000 41,850,000 38,920,500 36,196,065 33,662,340 Net Income (= Dividends) 72,000,000 58,590,000 46,704,600 36,196,065 37,028,574Next, we compute the present value of the dividends to be paid in 2010,2011 and 2012:=++=320 1.0936,196,0651.0946,704,6001.0958,590,000P $121,012,624 The present value of dividends to be paid in 2013 and subsequent yearscan be computed by recognizing that both revenues and expenses can be treated as growing perpetuities. Since production will decrease 7%per year while costs per barrel remain constant, the growth rate of expenses is: –7.0%To compute the growth rate of revenues, we use the fact that production decreases 7% per year while the price of oil increases 5% per year, so that the growth rate of revenues is:[1.05 × (1 – 0.07)] – 1 = –0.0235 = –2.35%Therefore, the present value (in 2012) of revenues beginning in 2013 is:45$622,827,4(-0.0235)-0.0970,690,915PV 2012==Similarly, the present value (in 2012) of expenses beginning in 2013 is:25$210,389,6(-0.07)-0.0933,662,340P V 2012==Subtracting these present values gives the present value (in 2012) of net income, and then discounting back three years to 2009, we find that the present value of dividends paid in 2013 and subsequent years is: $318,477,671The total value of the company is:$121,012,624 + $318,477,671 = $439,490,295Since there are 7,000,000 shares outstanding, the present value per share is:$439,490,295 / 7,000,000 = $62.78b. EPS 2009 = $72,000,000/7,000,000 = $10.29 EPS/P = $10.29/$62.78 = 0.16426.[Note: In this problem, the long-term growth rate, in year 9 and all later years, should be 8%.]The free cash flow for years 1 through 10 is computed in the following table:Year1 2 3 4 5 6 7 8 9 10 Asset value 10.00 12.00 14.40 17.28 20.74 23.12 25.66 28.36 30.63 33.08 Earnings 1.20 1.44 1.73 2.07 2.49 2.77 3.08 3.40 3.68 3.97 Investment 2.00 2.40 2.88 3.46 2.38 2.54 2.69 2.27 2.45 2.65 Free cash flow -0.80-0.96-1.15-1.380.100.230.381.131.23 1.32 Earnings growth from previous period20.0% 20.0% 20.0% 20.0% 20.0% 11.5% 11.0% 10.5%8.0%8.0%Computing the present value of the free cash flows, following the approach from Section 4.5, we find that the present value of the free cash flows occurring in years 1 through 7 is:654321 1.100.231.100.101.101.38-1.101.15-1.100.96-1.100.80-PV +++++==+71.100.38-$2.94 The present value of the growing perpetuity that begins in year 8 is:29.10.08)0(0.101.1343(1.10)1PV 7$=⎪⎪⎭⎫ ⎝⎛-⨯= Therefore, the present value of the business is:-$2.94 + $29.10 = $26.16 million27.From the equation given in the problem, it follows that:bROE )/(r b1ROE )(b r b)(1ROE BVP S P 0--=⨯--⨯= Consider three cases:ROE < r ⇒ (P 0/BVPS) < 1 ROE = r ⇒ (P 0/BVPS) = 1 ROE > r ⇒ (P 0/BVPS) > 1Thus, as ROE increases, the price-to-book ratio also increases, and, when ROE = r, price-to-book equals one. 28.Assume the portfolio value given, $100 million, is the value as of the end of the first year. Then, assuming constant growth, the value of the contract is given by the first payment (0.5 percent of portfolio value) divided by (r – g). Also:r = dividend yield + growth rateHence:r – growth rate = dividend yield = 0.05 = 5.0%Thus, the value of the contract, V, is:million $100.05million$1000.005V =⨯=For stocks with a 4 percent yield:r – growth rate = dividend yield = 0.04 = 4.0%Thus, the value of the contract, V, is:Chapter 04 - The Value of Common Stocks 4-11 million $12.50.04million $1000.005V =⨯=29. If existing stockholders buy newly issued shares to cover the $3.6 millionfinancing requirement, then the value of Concatco equals the discounted value of the cash flows (as computed in Section 4.5): $18.8 million.Since the existing stockholders own 1 million shares, the value pershare is $18.80.Now suppose instead that the $3.6 million comes from new investors, who buy shares each year at a fair price. Since the new investors buy shares at a fair price, the value of the existing stockholders’ shares must remain at $18.8 million. Since existing stockholders expect to earn 10% on their investment, the expected value of their shares in year 6 is:$18.8 million × (1.10) 6 = $33.39 millionThe total value of the firm in year 6 is:$1.59 million / (0.10 – 0.06) = $39.75 millionCompensation to new stockholders in year 6 is:$39.75 million – $33.39 million = $6.36 millionSince existing stockholders own 1 million shares, then in year 6, newstockholders will own:($6.36 million / $33.39 million) × 1,000,000 = 190,300 sharesShare price in year 6 equals:$39.75 million / 1.1903 million = $33.39。
财务管理(英语)-教学大纲
《财务管理基础（双语）》教学大纲课程编号：课程类型：专业课总学时：32 讲课学时：32 实验（上机）学时：0 学分：2适用对象：先修课程：财务会计、概率与统计一、课程的教学目标Financial management is a foundation course for undergraduate students in accounting school. Financial management draws on the knowledge acquired in other areas of accounting, including terms and concepts from the fields of financial accounting, managerial economics, and quantitative methods. A solid understanding of basic mathematics and its application in business contexts is required.Financial management emphasizes on the major decisions made by financial executives of an organization. Topics introduced in this course include the following: • Financial planning• Working capital management• Capital budgeting• Strategic decision making• Cost of capital• Security valuation二、教学基本要求1.Teaching RequirementsFirstly, a learning bridge between theory and practice should be built. While teaching, teachers should emphasize on the financial theories and the role in guiding practice. The ability of using theory knowledge to analysis typical financial cases andsolve practical problems should be trained. Thirdly, a variety of teaching methods should be used. Theory teaching should combine with case study and classroom teaching should combine with students’self-study. Various learning methods are encouraged to be adopted to help students to consolidate the learned knowledge.2. Selection Principles of Teaching MaterialsThe content of teaching materials should cover the main points and basic methods of corporate finance and the framework of teaching materials should be universally accepted in China. However, the framework of the teaching materials should be strict in structure and have a clear logic relationship. While explaining the basic theories and methods of finance, the teaching materials should combine those theories with practice to conform the trend. The latest development of corporate finance should also be included in the teaching materials.3. Teaching Method and Grade sTeaching Method: While teaching, the key points should be focused and difficult points should be taught clearly. Modern means of teaching are encouraged to be used. Exercises are used to help students to prepare and review the lessons. Extra newspapers, magazines and website should be provided, and students are encouraged to use these channels to collect information combined with theory principles learned in the class to analyze and solve practical problems. Homework are required to be completed by individuals or discussed in groups according to the difficulty of the problems.Grades:Homework and test in classroom: 30%;Final Examination: 70%.三、各教学环节学时分配教学课时分配四、教学内容Part 1 Introduction of Financial ManagementChapter 1 The Role of Financial ManagementWhat is Financial Management?The Goal of the FirmCorporate GovernanceOrganization of the Financial Management FunctionKey Learning Points：What is Financial Management?The Goal of the FirmObjectives：After Studying Chapter 1, you should be able to: Explain why the role of the financial manager today is so important. Describe "financial management" in terms of the three major decision areas that confront the financial manager.Identify the goal of the firm and understand why shareholders' wealth maximization is preferred over other goals. Understand the potential problems arising when management of the corporation and ownership are separated (i.e., agency problems). Demonstrate an understanding of corporate governance.Discuss the issues underlying social responsibility of the firm. Understand the basic responsibilities of financial managers and the differences between a "treasurer" and a "controller."Questions：1. If all companies had an objective of maximizing shareholder wealth, would people over-all tend to be better or worse off?2. Contrast the objective of maximizing earnings with that of maximizing wealth.3. What is financial management all about?4. Explain why judging the efficiency of any financial decision requires the existence of a goal?5. What are the three major function of the financial manager? How are they related?6. Should the managers of a company own sizable amounts of common stock in the company? Why are the pros and cons?7. As an investor, do you think that some managers are paid too much? Do their rewards come at your expense?8. How does the notion of risk and reward govern the behavior of financial managers?9. What is corporate governance? What role does a corporation’s board of directors play in corporate governance?10. Compare and contrast the role that a firm’s treasurer and controller have in the operation of the firm.Chapter 2 The Business, Tax, and Financial EnvironmentsThe Business EnvironmentThe Tax EnvironmentThe Financial EnvironmentKey Learning Points：The Tax EnvironmentThe Financial EnvironmentObjectives：After Studying Chapter 2, you should be able to: Describe the four basic forms of business organization in the United States – and the advantages and disadvantages of each. Understand how to calculate a corporation's taxable income and how to determine the corporate tax rate - both average and marginal. Understand various methods of depreciation. Understand why acquiring assets through the use of debt financing offers a tax advantage over both common and preferred stock financing. Describe the purpose and make up of financial markets. Demonstrate an understanding of how letter ratings of the major rating agencies help you to judge a security’s default risk. Understand what is meant by the term “term structure of interest rates”and relate it to a “yield curve.”Questions：1. What is the principal advantage of the corporate form of business organization? Discuss the importance of this advantage to the owner of a small family restaurant. Discuss the importance of this advantage to a wealthy entrepreneur who owns several businesses.2. What are some of the disadvantages of (a) a sole proprietorship? (b) a partnership? (c) a limited liability company (LLC)?3. Are individual tax rates progressive or regressive in the sense of increasing or decreasing with income levels?4. The method of depreciation does not alter the total amount deducted from income during the life of an asset. What does it alter and why is that important?5. What is the purpose of financial markets? How can this purpose be accomplished efficiently?6. What is meant by making the financial markets more efficient? More complete?7. What are the major sources of external financing for business firms?8. In addition to financial intermediaries, what other institutions andarrangements facilitate the flow of funds to and from business firms?Part 2 ValuationChapter 3 The Time Value of MoneyThe Interest RateSimple InterestCompound InterestAmortizing a LoanCompounding More Than Once per YearKey Learning Points：Simple InterestCompound InterestObjectives：After Studying Chapter 3, you should be able to: Understand what is meant by "the time value of money." Understand the relationship between present and future value. Describe how the interest rate can be used to adjust the value of cash flows – both forward and backward – to a single point in time. Calculate both the future and present value of: (a) an amount invested today; (b) a stream of equal cash flows (an annuity); and (c) a stream of mixed cash flows.Distinguish between an “ordinary annuity” and an “annuity due.” Use interest factor tables and understand how they provide a shortcut to calculating present and future values. Use interest factor tables to find an unknown interest rate or growth rate when the number of time periods and future and present values are known. Build an “amortization schedule” for an installment-style loan.Questions：1. What is simple interest?2. What is compound interest? Why is it important?3. What kinds of personal financial decisions have you made that involve compound interest?4. What is an annuity? Is an annuity worth more or less than a lump sum payment received now that would be equal to the sum of all the future annuity payment?5. What type of compounding would you prefer in your savings account? Why?6. Contrast the calculation of future (terminal) value with the calculation of present value. What is the difference?7. What is the advantage of using present value tables rather than formulas? Chapter 4 The Valuation of Long-Term SecuritiesDistinctions Among Valuation ConceptsBond ValuationPreferred Stock ValuationCommon Stock ValuationRates of Return (or Yields)Key Learning Points：Bond ValuationPreferred Stock ValuationCommon Stock ValuationObjectives：After Studying Chapter 4, you should be able to: Distinguish among the various terms used to express value. Value bonds, preferred stocks, and common stocks. Calculate the rates of return (or yields) of different types of long-term securities. List and explain a number of observations regarding the behavior of bond prices.Questions：1. What connection, if any, does a firm’s market value have with its liquidationand/or going-concern value?2. Could a security’s intrinsic value to an investor ever differ from the security’s market value? If so, under what circumstances?3. In what sense is the treatment of bonds and preferred stock the same when it comes to valuation?4. A20-year bond has a coupon rate of 8%, and another bond of the same maturity has a coupon rate of 15%. If the bonds are alike in all other respects, which will have the greater relative market price decline if interests increase sharply? Why?5. Why are dividends the basis for the valuation of common stock?6. Why is the growth rate in earnings and dividends of a company likely to taper off in the future? Could the growth rate increase as well? If it did, what would be the effect on stock price?7. Using the constant perpetual growth dividend valuation model, could you havea situation in which a company grows at 30% per year (after subtracting out inflation) forever? Explain.Chapter 5 Risk and ReturnDefining Risk and ReturnUsing Probability Distributions to Measure RiskAttitudes Toward RiskRisk and Return in a Portfolio ContextDiversificationThe Capital Asset Pricing Model (CAPM)Efficient Financial MarketsKey Learning Points：Using Probability Distributions to Measure RiskAttitudes Toward RiskDiversificationThe Capital Asset Pricing Model (CAPM)Objectives：After Studying Chapter 5, you should be able to: Understand the relationship (or “trade-off”) between risk and return. Define risk and return and show how to measure them by calculating expected return, standard deviation, and coefficient of variation. Discuss the different types of investor attitudes toward risk. Explain risk and return in a portfolio context, and distinguish between individual security and portfolio risk. Distinguish between avoidable (unsystematic) risk and unavoidable (systematic) risk and explain how proper diversification can eliminate one of these risks. Define and explain the capital-asset pricing model (CAPM), beta, and the characteristic line. Calculate a required rate of return using the capital-asset pricing model (CAPM). Demonstrate how the Security Market Line (SML) can be used to describe this relationship between expected rate of return and systematic risk. Explain what is meant by an “efficient financial market” and describe the three levels (or forms) of market efficiency.Questions：1. If investors were not risk averse on average, but rather were either risk indifferent (neutral) or even liked risk, would the risk- return concepts presented in this chapter be valid?2. Define the characteristic line and its beta.3. Why is beta a measure of systematic risk? What is its meaning?4. What is the required rate of return of a stock? How can it be measured?5. Is the security market line constant over time? Why or why not?6. Suppose that you are highly risk averse but that you still invest in common stocks. Will the beta of the stocks in which you invest be more or less than 1.0? Why?7. If a security is undervalued in terms of the capital-asset pricing model, whatwill happen if investors come to recognize this undervaluation?Part 3 Tools of Financial Analysis and PlanningChapter 6 Financial Statement AnalysisFinancial StatementsA Possible Framework for AnalysisBalance Sheet RatiosIncome Statement and Income/Balance Sheet RatiosTrend AnalysisCommon-Size and Index AnalysisKey Learning Points：Balance Sheet RatiosIncome Statement and Income/Balance Sheet RatiosObjectives：After Studying Chapter 6, you should be able to: Understand the purpose of basic financial statements and their contents. Understand what is meant by “convergence” in acco unting standards. Explain why financial statement analysis is important to the firm and to outside suppliers of capital. Define, calculate, and categorize (according to liquidity, financial leverage, coverage, activity, and profitability) the major financial ratios and understand what they can tell us about the firm. Define, calculate, and discuss a firm’s operating cycle and cash cycle. Use ratios to analyze a firm's health and then recommend reasonable alternative courses of action to improve the health of the firm.Analyze a firm’s return on investment (i.e., “earning power”) and return on equity using a DuPont approach. Understand the limitations of financial ratio analysis. Use trend analysis, common-size analysis, and index analysis to gainadditional insights into a firm's performance.Questions：1. What is the purpose of a balance sheet? An income statement?2. Why is the analysis of trends in financial ratios important?3. Auxier Manufacturing Company has a current ratio of 4 to 1 but is unable to pay its bills. Why?4. Can a firm generate a 25% return on assets and still be technically insolvent (unable to pay its bills)? Explain.5. The traditional definitions of collection period and inventory turnover are criticized because in both cases balance sheet figures that are a result of approximately the last month of sales are related to annual sales (in the former case) or annual cost of goods sold (in the latter case). Why do these definitions present problems? Suggest a solution.6. Explain why a long-term creditor should be interested in liquidity ratios?7. Which financial ratios would you be most likely to consult if you were the following?a. A banker considering the financial of seasonal inventoryb. A wealthy equity investorc. The manager of a pension fund considering the purchase of a firm’sbondsd. The president of a consumer products firm8. In trying to judge whether a company has too much debt, what financial ratios would you use and for that purpose?9. Why might it be possible for a company to make large operating profits, yet still be unable to meet debt payments when due? What financial ratios might be employed to detect such a condition?10. Does increasing a firm’s inventory turnover ratio increase its profitability? Why should this ratio be computed using cost of goods sold (rather than sales, asis done by some compilers of financial statistics)?Chapter 7 Fund Analysis, Cash-Flow Analysis, and Financial Planning Flow of Funds (Sources and Uses) StatementAccounting Statement of Cash FlowsCash-Flow ForecastingRange of Cash-Flow EstimatesForecasting Financial StatementsKey Learning Points：Forecasting Financial StatementsObjectives：After Studying Chapter 7, you should be able to: Explain the difference between the flow of funds (sources and uses of funds) statement and the statement of cash flows –and understand the benefits of using each. Define "funds" and identify sources and uses of funds. Create a sources and uses of funds statement, make adjustments, and analyze the final results. Describe the purpose and content of the statement of cash flows as well as implications that can be drawn from it. Prepare a cash budget from forecasts of sales, receipts, and disbursements – and know why such a budget should be flexible. Develop forecasted balance sheets and income statements. Understand the importance of using probabilistic information in forecasting financial statements and evaluating a firm's condition.Questions：1. Contrast flow of funds (sources and uses) statements with cash budgets as planning tools.2. What is the purpose of a statement of cash flow?3. Discuss the benefits that can be derived by the firm from cash budgeting.4. Explain why selling inventory to credit customers is considered a source offunds when in fact no “funds” were generated?5. Is depreciation a source of funds? Under what conditions might the “source”dry up?6. Why do bankers closely analyze cash flow statements and/or sources and usesof funds statements in considering credit applications?7. What are the major points of difference between a cash budget and the sourcesand uses of funds statement?8. On what items should the financial manager concentrate in order to improvethe accuracy of the cash budget? Explain your reasoning.9. Why is the sales forecast so important in preparing the cash budget?10. What are the two principal ways by which one can prepare forecast financialstatements?Part 4 Working Capital ManagementChapter 8 Overview of Working Capital ManagementWorking Capital ConceptsWorking Capital IssuesFinancing Current Assets: Short-Term and Long-Term MixCombining Liability Structure and Current Asset DecisionsKey Learning Points：Working Capital ConceptsCombining Liability Structure and Current Asset DecisionsObjectives：After Studying Chapter 8, you should be able to: Explain how the definition of "working capital" differs between financial analysts and accountants. Understand the two fundamental decision issues in working capital management –and the trade-offs involved in making these decisions. Discusshow to determine the optimal level of current assets. Describe the relationship between profitability, liquidity, and risk in the management of working capital. Explain how to classify working capital according to its “components” and according to “time” (i.e., either p ermanent or temporary). Describe the hedging (maturity matching) approach to financing and the advantages/disadvantages of short- versus long-term financing. Explain how the financial manager combines the current asset decision with the liability structure decision.Questions：1. What does working capital management encompass? What functional decisions are involved, and what underlying principle or trade-off influences the decision process?2. Utilities hold 10% of total assets in current assets; retail trade industries hold 60% of total assets in current assets. Explain how industry characteristics account for this difference.3. Distinguish between “temporary” and “permanent” working capital.4. If the firm adopts a hedging (maturity matching) approach to financing, how would it finance its current assets?5. Some firms finance their permanent working capital with short-term liabilities (commercial paper and short-term notes). Explain the impact of this decision on the profitability and risk of these firms.6. Suppose that a firm finances its seasonal (temporary) current assets with long-term funds. What is the impact of this decision on the profitability and risk of this firm?7. At times, long-term interest rates are lower than short-term rates, yet the discussion in the chapter suggests that long-term financing is more expensive. If long-term rates are lower, should the firm finance itself entirely with long-term debt?8. How does shortening the maturity composition of outstanding debt increase the firm’s risk? Why does increasing the liquidity of the firm’s assets reduce the risk?9. What are the costs of maintaining too large a level of working capital? Too small a level of working capital?10. How is a margin of safety provided for in working capital management? Chapter 9 Cash and Marketable Securities ManagementMotives for Holding CashSpeeding Up Cash ReceiptsS-l-o-w-i-n-g D-o-w-n Cash PayoutsElectronic CommerceOutsourcingCash Balances to MaintainInvestment in Marketable SecuritiesKey Learning Points：Cash Balances to MaintainInvestment in Marketable SecuritiesObjectives：After Studying Chapter 9, you should be able to: List and explain the motives for holding cash. Understand the purpose of efficient cash management. Describe methods for speeding up the collection of accounts receivable and methods for controlling cash disbursements. Differentiate between remote and controlled disbursement, and discuss any ethical concerns raised by either of these two methods. Discuss how electronic data interchange (EDI) and outsourcing each relates to a company’s cash collections and disbursements. Identify the key variables that should be considered before purchasing any marketable securities. Define the most common money-market instruments that a marketable securities portfolio manager would consider for investment.Describe the three segments of the marketable securities portfolio and note which securities are most appropriate for each segment and why. Questions：1. Define the function of cash management?2. Explain the concept of concentration banking.3. Explain how the lockbox system can improve the efficiency of cash management.4. Money market instruments are used as investment vehicles for otherwise idle cash. Discuss the most important criterion for asset selection in investing temporarily idle cash.5. Discuss the impact of lockbox banking on corporate cash balance.6. What are compensating ban balance, and why are they not the same for all depositors?7. What is net float? How might a company “play the float” in its disbursements?8. Under what conditions would it be possible for a company to hold no cash or marketable securities? Are these conditions realistic?9. What are the three motives for holding cash?10. What is outsourcing? Why might a company outsource some or all of its cash management processes? What is business processing outsourcing (BPO)? Chapter 10 Accounts Receivable and Inventory ManagementCredit and Collection PoliciesAnalyzing the Credit ApplicantInventory Management and ControlKey Learning Points：Analyzing the Credit ApplicantInventory Management and ControlObjectives：After Studying Chapter 10, you should be able to: List the key factors that can be varied in a firm's credit policy and understand the trade-off between profitability and costs involved. Understand how the level of investment in accounts receivable is affected by the firm's credit policies. Critically evaluate proposed changes in credit policy, including changes in credit standards, credit period, and cash discount. Describe possible sources of information on credit applicants and how you might use the information to analyze a credit applicant. Identify the various types of inventories and discuss the advantages and disadvantages of increasing/decreasing inventories. Describe, explain, and illustrate the key concepts and calculations necessary for effective inventory management and control, including classification, economic order quantity (EOQ), order point, safety stock, and just-in-time (JIT).Questions：1. Is it always good policy to reduce the firm’s bad debts by “getting rid of the deadbeats”?2. Is an increase in the collection period necessarily bad? Explain.3. What are the principal factors that can be varied in setting credit policy?4. If credit standards for the quality of accounts accepted are changed, what things are affected?5. Why is the saturation point reached in spending money on collections?6. What is the purpose of establishing a line of credit for an account? What are the benefits of this arrangement?7. The analysis of inventory policy is analogous to the analysis of credit policy. Propose a measure to analyze inventory policy that is analogous to the aging of accounts receivable.8. What are the principal implications to the financial manager of ordering costs, storage costs, and cost of capital as they relate to inventory?9. Explain how efficient inventory management affects the liquidity and profitability of the firm.10. How can the firm reduce its investment in inventories? What costs might the firm incur from a policy of very low inventory investment?11. Do inventories represent an investment in the same sense as fixed assets?12. Should the required rate of return for investment in inventories of raw materials be the same as that for finished goods?Chapter 11 Short-Term FinancingSpontaneous FinancingNegotiated FinancingFactoring Accounts ReceivableComposition of Short-Term FinancingKey Learning Points：Factoring Accounts ReceivableComposition of Short-Term FinancingObjectives：After Studying Chapter 11, you should be able to: Understand the sources and types of spontaneous financing. Calculate the annual cost of trade credit when trade discounts are forgone. Explain what is meant by "stretching payables" and understand its potential drawbacks. Describe various types of negotiated (or external) short-term borrowing. Identify the factors that affect the cost of short-term borrowing. Calculate the effective annual interest rate on short-term borrowing with or without a compensating balance requirement and/or a commitment fee. Understand what is meant by factoring accounts receivable.Questions：1. Explain why trade credit from suppliers is a “Spontaneous source of funds”.2. Trade credit from suppliers is very costly source of funds when discounts arelost. Explain why many firms rely on this source of funds to finance their temporary working capital.3. Suppose that a firm elected to tighten its trade credit policy from “2/10, net 90”to “2/3f0”. What effect could the firm expect this change to have on its liquidity?4. Why are accrued expenses a more spontaneous source of financing than tradecredit from suppliers?5. Why is the rate on commercial paper usually less than the prime rate chargedby bankers and more than the Treasury bill rate?6. Why would a firm borrow bank funds at higher rates instead of issuingcommercial papers?7. Who is able to issue commercial paper and for what purpose?8. How do bankers’acceptances differ from commercial paper as a means offinancing?9. Compare and contrast a line of credit and a revolving credit agreement.10. Would you rather have your loan on a “collect basis” or a “discount basis” ifyou were a borrower, all other things being the same? If you were a lender?11. What determines whether a lending arrangement is unsecured or secured?12. As a lender, how would you determine the percentage you are willing toadvance against a particular type of collateral?13. As a financial consultant to a company, how would you go aboutrecommending whether to use an assignment of accounts receivable or a factoring arrangement?14. In choosing the composition of short-term financing, what factors should beconsidered?Part 5 Investment in Capital Assets。
物流专业英语课件(新)chapter IV Exercises
Chapter IV ExercisesPart II. Click on the word or phrase that fits the sentence:1. Contract warehousing, which is ______ from the public warehousesegment, provides benefits of both the private and public alternative.(A) to evolve (B)evolving (C)develop(D)development2. A private warehouse is operated by the firm _______ the product.(A) owning (B)own (C) have (D) has3. Public warehouses frequently offer operating and management expertise ______ warehousing istheir core business.(A) because of (B)since (C)that(D) which4. There are contract warehouses capable of _______ total logistics responsibility for enterprises that desire only to manufacture and market. (A) assume (B) assuming (C) respond (D) responding5. The major benefits of private warehousing (1) control, flexibility, cost, and other (2) benefits. Private warehouses provide more control since the enterprise has absolute decision-making authority over all activities and priorities in the facility. This control (3) the ability to integrate warehouse operations with the (4) of the firm’s logistics.(1) (A) include (B) includes (C) include to (D) is to include to(2) (A) perception (B) intangible (C) tangible (D) advantage(3) (A) facilitates (B) available (C) have (D) provide(4) (A) other (B) that (C) rest (D) allII. Fill in the blanks with words or phrases from the list below:standardized, specialized, combines, substantial, results, application, (1) Public warehouse operators generally offer relatively _______ service to all clients(2) A warehouse requires _______ material-handling activities.(3) Firms with very _______ customers or products are often motivated to develop their own warehouse facilities.(4) Contract warehousing _______ the best characteristics of both private andpublic operations.(5) This ______ in high-volume operations that can spread fixed costs and justify more efficient handling equipment.(6) ABC analysis is an inventory _______ of what is known as the Pareto Principle.Part 2Practice:I. Click on the word or phrase that fits the sentence:1 _____are utilized in the combination with four-wheel trailers on a continuous power basis.(A) Forklift truck (B) Towlines (C) Conveyors (D) Carousels2. A pallet or slip sheet forms a platform upon _____ master cartons are stacked.(A) that (B) which (C) where (D) why3. It is not as economical _______ the towline because it requires greater labor participation and is often idle.(A) on (B) at (C) such (D) as4. Typical application _____ selection of individual packages in pack-and repack and service parts operation.(A) involve (B) involving (C) involves (D) to involve5. The holding of the inventory is risk with because of the capital's investment and the potential for _(1)__. First, investment for inventory cannot be used _(2)__ other goods or assets that could improve the enterprise performance. Alternatively, funds supporting inventory investment must be borrowed, (3) the firm' s interest expense. A second form of risk is the possibility that the product will be pilfered or become obsolete. These factors and the relative magnitude of assets that are inventory-related contribute substantially to the risk of most enterprises. It is important to understand that the nature and extent of risk vary (4) on an enterprise' s position in the distribution cha nnel.(1) (A) lack (B) over time (C) obsolescence (D) broken(2) (A) to obtain (B) get (C) have (D) obtain(3) (A) rising (B) raising (C) increasing (D) developing(4) (A) depend (B) to depend (C) depends (D) dependingII. Fill in the blanks with words or phrases from the list below: advancements, indicates, merchandise, automated, installation, development(1) Forklift trucks are most effectively utilized in shipping and receiving, and to place _______ in high cube storage.(2) Considerable ________ have been made in automated-guided vehicle system.(3) A series of lights or a “light tree” in front of each pick location _______ the number if items to pick from each location.(4) A number of _______ decoupling devices have been perfected that route trailers from the main line to selected shipping docks.(5) In-floor _______ is costly to modify and difficult to maintain from a housekeeping viewpoint.(6) An exciting and revolutionary technological ______ for managing a firm’s operation is the Internet.Part IIIExercises:I. Click on the word or phrase that fits the sentence:1. _____ we may think of service as not having inventory , that is not the case.(A) since (B) but (C) although (D) so2. Finished goods inventory is completed awaiting shipment.(A) cargo (B) goods (C) product (D) things3. _____ inventory is the minimum inventory necessary to keep a perfect system running.(A) WIP (B) MROs (C) ABC analysis (D) JIT4. It is not realistic to monitor inexpensive items with the same intensity _______ very expensive items.(A) with (B) so (C) as (D) to5. E-commerce is revolutionizing the way operations managers achieve (1) efficiencies. Economical collaboration can (2) decision-making and reduce costs. Cost reduction can occur in transaction (3) , purchasing efficiencies, inventory reduction, scheduling, and logistics. Stragglers won’t just be left behind---they will be eliminated. Operations personnel (4) use e-commence to their advantage will overpower their rival.(1) (A) bigger (B) greater (C) less (D) smaller(2) (A) improve (B) rise (C) lift (D) increase(3) (A) working (B) making (C) processing (D) doing(4) (A) that (B) who (C) which (D) whereII. Fill in the blanks with words or phrases from the list below:common, technologies, lack, consideration, benefits, generated, (1) Scale economies refer to the ability to reduce material-handling and storage cost through application of advanced _______.(2) The most ______ value-added service relate to packaging.(3) Operation of early warehouse illustrated the ______ of concern with material-handling principles.(4) Service ________ gained through warehouses in a logistical system may or may not reduce costs.(5) Supply requests are ______ as a pick list at the inventory center.(6) Management of service inventory deserves some special ________ Answers:Part I: I.1.B 2.A 3.B 4.B 5.ABAC II. (1)standardized (2)substantial(3)specialized (4)combines(5)results (6)applicationPart II: I.1.B 2.B 3.D 4.C 5.CABD II.(1)merchandise (2)advancement (3)indicates (4)automated(5)installation (6)developmentPart III: I.1.C 2.C 3.D 4.C 5.BACA II.(1)technologies (2)common (3)lack(4)consideration(5)generated (6)benefits。
chap04 (2)
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Joint event
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The set of all elementary events for an experiment Methods for describing a sample space
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Probability
Probability is the numerical measure of the likelihood that an event will occur The probability of any event must be between 0 and 1, inclusively 0 ≤ P(A) ≤ 1 For any event A
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IntermediateAccountingChapter4中级会计学第四章课后习题答案
Chapter 4The Income Statement and Statement of Cash FlowsQUESTIONS FOR REVIEW OF KEY TOPICSQuestion 4-5The term earnings quality refers to the ability of reported earnings (income) to predict a company’s future earnings. After all, an income statement simply reports on events that already have occurred. The relevance of any historical-based financial statement hinges on its predictive value.Question 4-7The process of intraperiod tax allocation matches tax expense or tax benefit with each major component of income, specifically continuing operations and any item reported below continuing operations. The process is necessary to achieve the desired result of separating the total income effects of continuing operations from the two separately reported items - discontinued operations and extraordinary items, and also to show the after-tax effect of each of those two components.Question 4-9Extraordinary items are material gains and losses that are both unusual in nature and infrequent in occurrence, taking into account the environment in which the entity operates.Question 4-11GAAP permit alternative treatments for similar transactions. Common examples are the choice among FIFO, LIFO, and average cost for the measurement of inventory and the choice among alternative revenue recognition methods. A change in accounting principle occurs when a company changes from one generally accepted treatment to another.In general, we report voluntary changes in accounting principles retrospectively. This means revising all previous periods’ financial statements as if the new method were used in those periods. In other words, for each year in the comparative statements reported, we revise the balance of each account affected. Specifically, we make those statements appear as if the newly adopted accounting method had been applied all along. Also, if retained earnings is one of the accounts whose balance requires adjustment (and it usually is), we revise the beginning balance of retained earnings for the earliest period reported in the comparative statements of shareholders’ equity (or statements of retained earnings if they’re presented instead).Then we create a journal entry to adjust all account balances affected as of the date of the change. In the first set of financial statements after the change, a disclosure note would describe the change and justify the new method as preferable. It also would describe the effects of the change on all items affected, including the fact that the retained earnings balance was revised in the statement of shareholders’ equity along with the cumulative effect of the change in retained earnings.An exception is a change in depreciation, amortization, or depletion method. These changes are accounted for as a change in estimate, rather than as a change in accounting principle. Changes in estimates are accounted for prospectively. The remaining book value is depreciated, amortized, or depleted, using the new method, over the remaining useful life.Question 4-15Comprehensive income is the total change in equity for a reporting period other than from transactions with owners. Reporting comprehensive income can be accomplished with a separate statement or by including the information in either the income statement or the statement of changes in shareholders’ equity.Question 4-22U.S. GAAP designates cash outflows for interest payments and cash inflows from interest and dividends received as operating cash flows. Dividends paid to shareholders are classified as financing cash flows. IFRS allows more flexibility. Companies can report interest and dividends paid as either operating or financing cash flows and interest and dividends received as either operating or investing cash flows. Interest and dividend payments usually are reported as financing activities. Interest and dividends received normally are classified as investing activitiesBRIEF EXERCISESBrief Exercise 4-6*$850,000 x 40%Note: Restructuring costs, interest revenue, and loss on sale of investments are included in income before income taxes and extraordinary item.Brief Exercise 4-9*$5,800,000 x 30%** Loss from operations of discontinued component:Impairment loss ($8 million book value less$7 million net fair value) $(1,000,000) Operating loss (3,600,000) Total before-tax loss $(4,600,000)EXERCISES Exercise 4-3* 30% x $440,000Pretax income from continuing operations $14,000,000Income tax expense (5,600,000) Income from continuing operations 8,400,000 Less: Net income 7,200,000 Loss from discontinued operations $1,200,000 $1,200,000 60%* = $2,000,000 = before tax loss from discontinued operations.*1-tax rate of 40% = 60%Pretax income of division $4,000,000 Add: Loss from discontinued operations 2,000,000 Impairment loss $6,000,000 Fair value of division’s assets$11,000,000 Add: Impairment loss 6,000,000 Book value of division’s assets$17,000,000Requirement 1This is a change in accounting estimate.Requirement 2$2,400,000 Cost$240,000 Previous annual amortization ($2,400,000 ÷ 10 years) x 21/2 yrs. 600,000 Amortization to date (2009-2011)1,800,000 Book value÷ 5 yrs. Estimated remaining life(given)$ 360,000 New annual amortizationTiger EnterprisesStatement of Cash FlowsFor the Year Ended December 31, 2011($ in thousands)Cash flows from operating activities:Net income $ 900Adjustments for noncash effects:Depreciation expense 240Changes in operating assets and liabilities:Decrease in accounts receivable 80Increase in inventory (40)Increase in prepaid insurance (30)Decrease in accounts payable (60)Decrease in administrative and other payables (100)Increase in income taxes payable 50Net cash flows from operating activities $1,040 Cash flows from investing activities:Purchase of plant and equipment (300) Cash flows from financing activities:Proceeds from issuance of common stock 100Proceeds from note payable 200Payment of dividends (1) (940)Net cash flows from financing activities(640)Net increase in cash 100 Cash, January 1 200 Cash, December 31 $ 300(1)Retained earnings, beginning $540+ Net income 900- Dividends x x = $940Retained earnings, ending $500The T-account analysis of the transactions related to operating cash flows is shown below. To derive the cash flows, the beginning and ending balances in the related assets and liabilities are inserted, together with the revenue and expense amounts from the income statements. In each balance sheet account, the remaining (plug) figure is the other half of the cash increases or decreases.Based on the information in the T-accounts above, the operating activities section of the SCF for Tiger Enterprises would be as shown next.Exercise 4-23 (concluded)Tiger EnterprisesStatement of Cash FlowsFor the Year Ended December 31, 2011($ in thousands)Cash flows from operating activities:Collections from customers $ 7,080Prepayment of insurance (130)Payment to inventory suppliers (3,460)Payment for administrative & other exp. (1,900)Payment of income taxes (550)Net cash flows from operating activities $ 1,040CPA / CMA REVIEW QUESTIONSCPA Exam Questions1. c. U.S. GAAP requires that discontinued operations be disclosed separatelybelow income from continuing operations.2. d.Other than sales, COGS, and administrative expenses, only the gain or lossfrom disposal of equipment is considered part of income from continuingoperations. Income from continuing operations was ($5,000,000 - 3,000,000- 1,000,000 + 200,000) = $1,200,000.3. a. In a single-step income statement, revenues include sales as well as otherrevenues and gains.Sales revenue $187,000Interest revenue 10,200Gain on sale of equipment 4,700Total $201,900The discontinued operations and the extraordinary gain are reported belowincome from continuing operations.4.a.The $400,000 impairment loss and the $1,000,000 loss from operationsshould be combined for a total loss of $1,400,000.5.d. The change in the estimate for warranty costs is based on new informationobtained from experience and qualifies as a change in accounting estimate. Achange in accounting estimate affects current and future periods and is notaccounted for by restating prior periods. The accounting change is a part ofcontinuing operations.6. a. Dividends paid to shareholders is considered a financing cash flow, not anoperating cash flow.7. c. Issuing common stock for cash is considered a financing cash flow, not aninvesting cash flow.CMA Exam Questions1.d. Discontinued operations and extraordinary gains and losses are shownseparately in the income statement, below income from continuing operations.The cumulative effect of most voluntary changes in accounting principle isaccounted for by retrospectively revising prior years’ financial statements.2.c.The operating section of a retailer’s income statement includes all revenuesand costs necessary for the operation of the retail establishment, e.g., sales,cost of goods sold, administrative expenses, and selling expenses.3 a. Extraordinary items should be presented net of tax after income fromoperations.PROBLEMSProblem 4-9Requirement 1Diversified Portfolio CorporationStatement of Cash FlowsFor the Year Ended December 31, 2011Cash flows from operating activities:Collections from customers (1)$880,000Payment of operating expenses (2)(660,000)Payment of income taxes (3)(85,000)Net cash flows from operating activities $135,000Cash flows from investing activities:Sale of investments 50,000Net cash flows from investing activities 50,000Cash flows from financing activities:Proceeds from issue of common stock 100,000Payment of dividends (80,000)Net cash flows from financing activities 20,000Increase in cash 205,000Cash and cash equivalents, January 1 70,000Cash and cash equivalents, December 31 $275,000(1)$900,000 in service revenue less $20,000 increase in accounts receivable.(2) $700,000 in operating expenses less $30,000 in depreciation less $10,000 increase in accounts payable.(3)$80,000 in income tax expense plus $5,000 decrease in income taxes payable.Problem 4-9 (concluded)Requirement 2Diversified Portfolio CorporationStatement of Cash FlowsFor the Year Ended December 31, 2011Cash flows from operating activities:Net income $120,000Adjustments for noncash effects:Depreciation expense 30,000Changes in operating assets and liabilities:Increase in accounts receivable (20,000)Increase in accounts payable 10,000Decrease in income taxes payable (5,000)Net cash flows from operating activities $135,000。
米什金 货币金融学 英文版习题答案chapter 4英文习题
Economics of Money, Banking, and Financial Markets, 11e, Global Edition (Mishkin) Chapter 4 The Meaning of Interest Rates4.1 Measuring Interest Rates1) The concept of ________ is based on the common-sense notion that a dollar paid to you in the future is less valuable to you than a dollar today.A) present valueB) future valueC) interestD) deflationAnswer: AAACSB: Application of Knowledge2) The present value of an expected future payment ________ as the interest rate increases.A) fallsB) risesC) is constantD) is unaffectedAnswer: AAACSB: Reflective Thinking3) An increase in the time to the promised future payment ________ the present value of the payment.A) decreasesB) increasesC) has no effect onD) is irrelevant toAnswer: AAACSB: Reflective Thinking4) With an interest rate of 6 percent, the present value of $100 next year is approximatelyA) $106.B) $100.C) $94.D) $92.Answer: CAACSB: Analytical Thinking5) What is the present value of $500.00 to be paid in two years if the interest rate is 5 percent?A) $453.51B) $500.00C) $476.25D) $550.00Answer: AAACSB: Analytical Thinking6) If a security pays $55 in one year and $133 in three years, its present value is $150 if the interest rate isA) 5 percent.B) 10 percent.C) 12.5 percent.D) 15 percent.Answer: BAACSB: Analytical Thinking7) To claim that a lottery winner who is to receive $1 million per year for twenty years has won $20 million ignores the process ofA) face value.B) par value.C) deflation.D) discounting the future.Answer: DAACSB: Analytical Thinking8) A credit market instrument that provides the borrower with an amount of funds that must be repaid at the maturity date along with an interest payment is known as aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: AAACSB: Application of Knowledge9) A credit market instrument that requires the borrower to make the same payment every period until the maturity date is known as aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: BAACSB: Application of Knowledge10) Which of the following are TRUE of fixed payment loans?A) The borrower repays both the principal and interest at the maturity date.B) Installment loans and mortgages are frequently of the fixed payment type.C) The borrower pays interest periodically and the principal at the maturity date.D) Commercial loans to businesses are often of this type.Answer: BAACSB: Reflective Thinking11) A fully amortized loan is another name forA) a simple loan.B) a fixed-payment loan.C) a commercial loan.D) an unsecured loan.Answer: BAACSB: Application of Knowledge12) A credit market instrument that pays the owner a fixed coupon payment every year until the maturity date and then repays the face value is called aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: CAACSB: Application of Knowledge13) A ________ pays the owner a fixed coupon payment every year until the maturity date, when the ________ value is repaid.A) coupon bond; discountB) discount bond; discountC) coupon bond; faceD) discount bond; faceAnswer: CAACSB: Analytical Thinking14) The ________ is the final amount that will be paid to the holder of a coupon bond.A) discount valueB) coupon valueC) face valueD) present valueAnswer: CAACSB: Application of Knowledge15) When talking about a coupon bond, face value and ________ mean the same thing.A) par valueB) coupon valueC) amortized valueD) discount valueAnswer: AAACSB: Application of Knowledge16) The dollar amount of the yearly coupon payment expressed as a percentage of the face value of the bond is called the bond'sA) coupon rate.B) maturity rate.C) face value rate.D) payment rate.Answer: AAACSB: Application of Knowledge17) The ________ is calculated by multiplying the coupon rate times the par value of the bond.A) present valueB) face valueC) coupon paymentD) maturity paymentAnswer: CAACSB: Analytical Thinking18) If a $1000 face value coupon bond has a coupon rate of 3.75 percent, then the coupon payment every year isA) $37.50.B) $3.75.C) $375.00.D) $13.75Answer: AAACSB: Analytical Thinking19) If a $5,000 coupon bond has a coupon rate of 13 percent, then the coupon payment every year isA) $650.B) $1,300.C) $130.D) $13.Answer: AAACSB: Analytical Thinking20) An $8,000 coupon bond with a $400 coupon payment every year has a coupon rate ofA) 5 percent.B) 8 percent.C) 10 percent.D) 40 percent.Answer: AAACSB: Analytical Thinking21) A $1000 face value coupon bond with a $60 coupon payment every year has a coupon rate ofA) .6 percent.B) 5 percent.C) 6 percent.D) 10 percent.Answer: CAACSB: Analytical Thinking22) All of the following are examples of coupon bonds EXCEPTA) corporate bonds.B) U.S. Treasury bills.C) U.S. Treasury notes.D) U.S. Treasury bonds.Answer: BAACSB: Analytical Thinking23) A bond that is bought at a price below its face value and the face value is repaid at a maturity date is called aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: DAACSB: Application of Knowledge24) A ________ is bought at a price below its face value, and the ________ value is repaid at the maturity date.A) coupon bond; discountB) discount bond; discountC) coupon bond; faceD) discount bond; faceAnswer: DAACSB: Analytical Thinking25) A discount bondA) pays the bondholder a fixed amount every period and the face value at maturity.B) pays the bondholder the face value at maturity.C) pays all interest and the face value at maturity.D) pays the face value at maturity plus any capital gain.Answer: BAACSB: Reflective Thinking26) Examples of discount bonds includeA) U.S. Treasury bills.B) corporate bonds.C) U.S. Treasury notes.D) municipal bonds.Answer: AAACSB: Analytical Thinking27) Which of the following are TRUE for discount bonds?A) A discount bond is bought at par.B) The purchaser receives the face value of the bond at the maturity date.C) U.S. Treasury bonds and notes are examples of discount bonds.D) The purchaser receives the par value at maturity plus any capital gains.Answer: BAACSB: Reflective Thinking28) The interest rate that equates the present value of payments received from a debt instrument with its value today is theA) simple interest rate.B) current yield.C) yield to maturity.D) real interest rate.Answer: CAACSB: Application of Knowledge29) Economists consider the ________ to be the most accurate measure of interest rates.A) simple interest rate.B) current yield.C) yield to maturity.D) real interest rate.Answer: CAACSB: Reflective Thinking30) For simple loans, the simple interest rate is ________ the yield to maturity.A) greater thanB) less thanC) equal toD) not comparable toAnswer: CAACSB: Application of Knowledge31) If the amount payable in two years is $2420 for a simple loan at 10 percent interest, the loan amount isA) $1000.B) $1210.C) $2000.D) $2200.Answer: CAACSB: Analytical Thinking32) For a 3-year simple loan of $10,000 at 10 percent, the amount to be repaid isA) $10,030.B) $10,300.C) $13,000.D) $13,310.Answer: DAACSB: Analytical Thinking33) If $22,050 is the amount payable in two years for a $20,000 simple loan made today, the interest rate isA) 5 percent.B) 10 percent.C) 22 percent.D) 25 percent.Answer: AAACSB: Analytical Thinking34) If a security pays $110 next year and $121 the year after that, what is its yield to maturity if it sells for $200?A) 9 percentB) 10 percentC) 11 percentD) 12 percentAnswer: BAACSB: Analytical Thinking35) The present value of a fixed-payment loan is calculated as the ________ of the present value of all cash flow payments.A) sumB) differenceC) multipleD) logAnswer: AAACSB: Analytical Thinking36) Which of the following are TRUE for a coupon bond?A) When the coupon bond is priced at its face value, the yield to maturity equals the coupon rate.B) The price of a coupon bond and the yield to maturity are positively related.C) The yield to maturity is greater than the coupon rate when the bond price is above the par value.D) The yield is less than the coupon rate when the bond price is below the par value. Answer: AAACSB: Reflective Thinking37) The ________ of a coupon bond and the yield to maturity are inversely related.A) priceB) par valueC) maturity dateD) termAnswer: AAACSB: Reflective Thinking38) The price of a coupon bond and the yield to maturity are ________ related; that is, as the yield to maturity ________, the price of the bond ________.A) positively; rises; risesB) negatively; falls; fallsC) positively; rises; fallsD) negatively; rises; fallsAnswer: DAACSB: Reflective Thinking39) The yield to maturity is ________ than the ________ rate when the bond price is ________ its face value.A) greater; coupon; aboveB) greater; coupon; belowC) greater; perpetuity; aboveD) less; perpetuity; belowAnswer: BAACSB: Reflective Thinking40) The ________ is below the coupon rate when the bond price is ________ its par value.A) yield to maturity; aboveB) yield to maturity; belowC) discount rate; aboveD) discount rate; belowAnswer: AAACSB: Reflective Thinking41) A $10,000 8 percent coupon bond that sells for $10,000 has a yield to maturity ofA) 8 percent.B) 10 percent.C) 12 percent.D) 14 percent.Answer: AAACSB: Analytical Thinking42) Which of the following $1,000 face-value securities has the highest yield to maturity?A) a 5 percent coupon bond selling for $1,000B) a 10 percent coupon bond selling for $1,000C) a 12 percent coupon bond selling for $1,000D) a 12 percent coupon bond selling for $1,100Answer: CAACSB: Analytical Thinking43) Which of the following $5,000 face-value securities has the highest yield to maturity?A) a 6 percent coupon bond selling for $5,000B) a 6 percent coupon bond selling for $5,500C) a 10 percent coupon bond selling for $5,000D) a 12 percent coupon bond selling for $4,500Answer: DAACSB: Analytical Thinking44) Which of the following $1,000 face-value securities has the highest yield to maturity?A) a 5 percent coupon bond with a price of $600B) a 5 percent coupon bond with a price of $800C) a 5 percent coupon bond with a price of $1,000D) a 5 percent coupon bond with a price of $1,200Answer: AAACSB: Analytical Thinking45) Which of the following $1,000 face-value securities has the lowest yield to maturity?A) a 5 percent coupon bond selling for $1,000B) a 10 percent coupon bond selling for $1,000C) a 15 percent coupon bond selling for $1,000D) a 15 percent coupon bond selling for $900Answer: AAACSB: Analytical Thinking46) Which of the following bonds would you prefer to be buying?A) a $10,000 face-value security with a 10 percent coupon selling for $9,000B) a $10,000 face-value security with a 7 percent coupon selling for $10,000C) a $10,000 face-value security with a 9 percent coupon selling for $10,000D) a $10,000 face-value security with a 10 percent coupon selling for $10,000 Answer: AAACSB: Analytical Thinking47) A coupon bond that has no maturity date and no repayment of principal is called a。
Chapter 4 Recommended end_of_chapter problems.
Ch4 Recommended End-of-Chapter ProblemsE 4-2 Income statement format; singleLO1LO3LO5LO8 step and multiple stepp. 212The following is a partial trial balance for General Lighting Corporation as of December 31, 2011:300,000 shares of common stock were outstanding throughout 2011. Income tax expense has not yet been accrued. The income tax rate is 40%.Required:1. Prepare a single-step income statement for 2011, including EPS disclosures.2. Prepare a multiple-step income statement for 2011, including EPS disclosures.E 4-4 Income statement presentation;LO1LO5LO8 intraperiod tax allocationThe following incorrect income statement was prepared by the accountant of the Axel Corporation:Required:Prepare a multiple-step income statement for 2011 applying generally accepted accounting principles. The income tax rate is 40%. The gain from litigation settlement is considered an unusual and infrequent event.E 4-7 Discontinued operations; disposalLO4 in subsequent yearKandon Enterprises, Inc., has two operating divisions; one manufactures machinery and the other breeds and sells horses. Both divisions are considered separate components as defined by generally accepted accounting principles. The horse division has been unprofitable, and on November 15, 2011, Kandon adopted a formal plan to sell the division. The sale was completed on April 30, 2012. At December 31, 2011, the component was considered held for sale.On December 31, 2011, the company's fiscal year-end, the book value of the assets of the horse division was $250,000. On that date, the fair value of the assets, less costs to sell, was $200,000. The before-tax operating loss of the division for the year was $140,000. The company's effective tax rate is 40%. The after-tax income from continuing operations for 2011 was $400,000.Required:1. Prepare a partial income statement for 2011 beginning with income from continuing operations.Ignore EPS disclosures.2. Repeat requirement 1 assuming that the estimated net sales price of the horse division's assetswas $400,000, instead of $200,000.E 4-8 Discontinued operations; disposalLO4 in subsequent year; solving forunknownOn September 17, 2011, Ziltech, Inc. entered into an agreement to sell one of its divisions that qualifies as a component of the entity according to generally accepted accounting principles. By December 31, 2011, the company's fiscal year-end, the division had not yet been sold, but was being held for sale. The net fair value (fair value minus costs to sell) of the division's assets at the end of the year was $11 million. The pretax operating income of the division during 2011 was $4 million. Pretax income from continuing operations for the year totaled $14 million. The income tax rate is 40%. Ziltech reported net income for the year of $7.2 million.Required:Determine the book value of the division's assets on December 31, 2011.E 4-16 Statement of cash flowsLO11 preparationp. 215The following summary transactions occurred during 2011 for Bluebonnet Bakers:Required:Prepare a statement of cash flows for 2011 for Bluebonnet Bakers. Use the direct method for reporting operating activities.E 4-17 IFRS; statement of cash flows LO11LO12Refer to the situation described in Exercise 4-16.Required:How might your solution differ if Bluebonnet Bakers prepares the statement of cash flows according to International Financial Reporting Standards?P 4-1 Comparative income statements; multiple-step●LO1LO3through LO8formatSelected information about income statement accounts for the Reed Company arepresented below (the company's fiscal year ends on December 31):On July 1, 2011, the company adopted a plan to discontinue a division that qualifies as a component of an entity as defined by GAAP. The assets of the component were sold on September 30, 2011, for $50,000 less than their book value. Results of operations for the component (included in the above account balances) were as follows:p. 220In addition to the account balances above, several events occurred during 2011 that have not yet been reflected in the above accounts:1. A fire caused $50,000 in uninsured damages to the main office building. The fire was consideredto be an infrequent but not unusual event.2. An earthquake caused $100,000 in property damage to one of Reed's factories. The amount ofthe loss is material and the event is considered unusual and infrequent.3. Inventory that had cost $40,000 had become obsolete because a competitor introduced a betterproduct. The inventory was sold as scrap for $5,000.4. Income taxes have not yet been accrued.Required:Prepare a multiple-step income statement for the Reed Company for 2011, showing 2010 information in comparative format, including income taxes computed at 40% and EPS disclosures assuming 300,000 shares of common stock.P 4-2 Discontinued operations ●LO4 The following condensed income statements of the Jackson Holding Company are presented for the two years ended December 31, 2011 and 2010:On October 15, 2011, Jackson entered into a tentative agreement to sell the assets of one of its divisions. The division comprises operations and cash flows that can be clearly distinguished, operationally and for financial reporting purposes, from the rest of the company. The division was sold on December 31, 2011, for $5,000,000. Book value of the division's assets was $4,400,000. The division's contribution to Jackson's operating income before-tax for each year was as follows: 2011 $400,000 loss2010 $300,000 lossAssume an income tax rate of 40%.Required:1. Prepare revised income statements according to generally accepted accounting principles,beginning with income from continuing operations before income taxes. Ignore EPS disclosures.2. Assume that by December 31, 2011, the division had not yet been sold but was considered heldfor sale. The fair value of the division's assets on December 31 was $5,000,000. How would the presentation of discontinued operations be different from your answer to requirement 1?3. Assume that by December 31, 2011, the division had not yet been sold but was considered heldfor sale. The fair value of the division's assets on December 31 was $3,900,000. How would the presentation of discontinued operations be different from your answer to requirement 1?P 4-7 Income statement presentation; unusual items ●LO1LO3LO4LO7LO8LO9revenue, $15,300; cost of goods sold, $6,200; selling expenses, $1,300; general and administrative expenses, $800; interest revenue, $85; interest expense, $180. Incometaxes have not yet been accrued. The company's income tax rate is 40% on all items ofincome or loss. These revenue and expense items appear in the company's incomestatement every year. The company's controller, however, has asked for your help indetermining the appropriate treatment of the following nonrecurring transactions that alsooccurred during 2011 ($ in 000s). All transactions are material in amount.1. Investments were sold during the year at a loss of $220. Schembri also had unrealized gains of$320 for the year on investments accounted for as securities available for sale.2. One of the company's factories was closed during the year. Restructuring costs incurred were$1,200.3. An earthquake destroyed a warehouse causing $2,000 in damages. The event is considered tobe unusual and infrequent.4. During the year, Schembri completed the sale of one of its operating divisions that qualifies as acomponent of the entity according to GAAP. The division had incurred an operating loss of $560 in 2011 prior to the sale, and its assets were sold at a gain of $1,400.5. In 2011, the company's accountant discovered that depreciation expense in 2010 for the officebuilding was understated by $200.6. Foreign currency translation losses for the year totaled $240.Required:Prepare Schembri's combined statement of income and comprehensive income for 2011, including basic earnings per share disclosures. One million shares of common stock were outstanding at the beginning of the year and an additional 400,000 shares were issued on July 1, 2011.P 4-9 Statement of cash flows ●LO11 The Diversified Portfolio Corporation provides investment advice to customers. A condensed income statement for the year ended December 31, 2011, appears below:p. 223The following balance sheet information also is available:In addition, the following transactions took place during the year:1. Common stock was issued for $100,000 in cash.2. Long-term investments were sold for $50,000 in cash. The original cost of the investments alsowas $50,000.3. $80,000 in cash dividends was paid to shareholders.4. The company has no outstanding debt, other than those payables listed above.5. Operating expenses include $30,000 in depreciation expense.Required:1. Prepare a statement of cash flows for 2011 for the Diversified Portfolio Corporation. Use thedirect method for reporting operating activities.2. Prepare the cash flows from operating activities section of Diversified's 2011 statement of cashflows using the indirect method.The chief accountant for Grandview Corporation provides you with the company's 2011 statement of cash flows and income statement. The accountant has asked for your help with some missing figures in the company's comparative balance sheets. These financialstatements are shown next ($ in millions).p. 224Required:1. Calculate the missing amounts.2. Prepare the operating activities section of Grandview's 2011 statement of cash flows using theindirect method.Presented below are the 2011 income statement and comparative balance sheets forSantana Industries.p. 225Additional information for the 2011 fiscal year ($ in thousands):1. Cash dividends of $1,000 were declared and paid.2. Equipment costing $4,000 was purchased with cash.3. Equipment with a book value of $500 (cost of $1,500 less accumulated depreciation of $1,000)was sold for $500.4. Depreciation of $1,600 is included in operating expenses.Required:Prepare Santana Industries' 2011 statement of cash flows, using the indirect me thod to present cash flows from operating activities.The following questions are used in the Kaplan CPA Review Course to studythe income statement and statement of cash flows while preparing for theCPA examination. Determine the response that best completes thestatements or questions.1. Roco Company manufactures both industrial and consumer electronics. Due to a●LO4change in its strategic focus, the company decided to exit the consumer electronicsbusiness, and in 2011 sold the division to Sunny Corporation. The consumer electronicsdivision qualifies as a component of the entity according to GAAP. How should Rocoreport the sale in its 2011 income statement?a. Include in income from continuing operations as a nonoperating gain or loss.b. As an extraordinary item.c. As a discontinued operation, reported below income from continuing operations.d. None of the above.2. Bridge Company's results for the year ended December 31, 2011, include theLO3LO4LO7 following material items: ●Sales revenue $5,000,000Cost of goods sold 3,000,000Administrative expenses 1,000,000Gain on sale of equipment 200,000Loss on discontinued operations 400,000Loss from earthquake damage (unusual and infrequent event) 500,000Understatement of depreciation expense in 2010 caused by mathematical250,000 errorBridge Company's income from continuing operations before income taxes for 2011 is:a. $700,000b. $950,000c. $1,000,000d. $1,200,0003.In Baer Food Co.'s 2011 single-step income statement, the section titled●LO4LO5“Revenues” consisted of the following:Net sales revenue $187,00012,000Income on discontinued operations including gain on disposalof $21,000 and net taxes of $6,000Interest revenue 10,200Gain on sale of equipment 4,700Extraordinary gain net of $750 tax effect 1,500Total revenues $215,400In the revenues section of the 2011 income statement, Baer Food should have reported total revenues ofa. $201,900b. $203,700c. $215,400d. $216,3004. On November 30, 2011, Pearman Company committed to a plan to sell a division●LO4that qualified as a component of the entity according to GAAP, and was properlyclassified as held for sale on December 31, 2011, the end of the company's fiscalyear. The division was tested for impairment and a $400,000 loss was indicated.The division's loss from operations for 2011 was $1,000,000. The final sale wasexpected to occur on February 15, 2012. What before-tax amount(s) shouldPearman report as loss on discontinued operations in its 2011 income statement?a. $1,400,000 loss.b. $400,000 loss.c. None.d. $400,000 impairment loss included in continuing operations and a $1,000,000loss from discontinued operations.5. For 2010, Pac Co. estimated its two-year equipment warranty costs based on $100●LO7per unit sold. Experience during 2011 indicated that the estimate should have beenbased on $110 per unit. The effect of this $10 difference from the change inestimate is reportedAs an accounting change below 2011 income from continuing operations.p.219a.b. As an accounting change requiring the 2011 financial statements to berestated.c. As a correction of an error requiring 2011 financial statements to berestated.d. In 2011 income from continuing operations.6. Which of the following items is not considered an operating cash flow in the●LO11statement of cash flows?a. Dividends paid to stockholders.b. Cash received from customers.c. Interest paid to creditors.d. Cash paid for salaries.7. Which of the following items is not considered an investing cash flow in the●LO11statement of cash flows?a. Purchase of equipment.b. Purchase of securities.c. Issuing common stock for cash.d. Sale of land.The following questions dealing with the income statement are adapted fromquestions that previously appeared on Certified Management Accountant (CMA) examinations. The CMA designation sponsored by the Institute of ManagementAccountants () provides members with an objective measure ofknowledge and competence in the field of management accounting. Determine theresponse that best completes the statements or questions.1. Which one of the following items is included in the determination of income from●LO1continuing operations?a. Discontinued operations.b. Extraordinary loss.c. Cumulative effect of a change in an accounting principle.d. Unusual loss from a write-down of inventory.2. In a multiple-step income statement for a retail company, all of the following are●LO3included in the operating section excepta. Sales.b. Cost of goods sold.c. Dividend revenue.d. Administrative and selling expenses.3. When reporting extraordinary items,a. Each item (net of tax) is presented on the face of the income statement separately as acomponent of net income for the period.b. Each item is presented exclusive of any related income tax.c. Each item is presented as an unusual item within income from continuing operations.d. All extraordinary gains or losses that occur in a period are summarized as total gains andtotal losses, then offset to present the net extraordinary gain or loss.。
财务会计1-4章习题参考答案
财务会计课后习题参考答案Chapter 1 Accounting Matters!Question 7The monetary unit assumption requires that only transaction data capable of being expressed in terms of money be included in the accounting records. An important part of the monetary unit assumption is the added assumption that the unit of measure remains sufficiently constant over time. The assumption of a stable monetary unit has been challenged because of the significant decline in the purchasing power of the dollar. The profession has recognized this problem and encourages companies to disclose the effects of changing prices.Question 10One of the advantages Teresa Speck would enjoy is that ownership of a corporation is represented by transferable shares of stock. This would allow Teresa to raise money easily by selling a part of her ownership in the company. Another advantage is that because holders of the shares (stockholders) enjoy limited liability, they are not personally liable for the debts of the corporate entity. Also, because ownership can be transferred without dissolving the corporation, the corporation enjoys an unlimited life.EXERCISE 1-31. (c) 5. (d)2. (d) 6. (b)3. (a) 7. (e)4. (b) 8. (f)EXERCISE 1-7(a) Total assets (beginning of year)....................................................... $ 97,000Total liabilities (beginning of year) ......................................,,,,,,,,,,,,,,,,,, 85,000Total stockholders’ equity (beginning of year)................... …………..$ 12,000(b) Total stockholders’ equity (end of year).............................. ……..$ 40,000Total stockholders’ equity (beginning of year)...................................... 12,000Increase in stockholders’ equity .......................................... ………….$ 28,000Total revenues.................................................................................... $215,000Total expenses .................................................................................... 175,000Net income.............................................................................. ……..$ 40,000Increase in stockholders’ equity .................... ………………………$ 28,000Less: Net income ........................................................ $(40,000)Add: Dividends .......................................................... 24,000 (16,000)Additional investment ..................................... …………………….$ 12,000(c) Total assets (beginning of year)......................................................... $129,000Total stockholders’ equity (beginning of year)........................................... 75,000Total liabilities (beginning of year) .......................................................... $ 54,000(d) Total stockholders’ equity (end of year) ........................................ $130,000Total stockholders’ equity (beginning of year)........................................ 75,000Increase in stockholders’ equity............................................................ $ 55,000Total revenues...................................................................................... $100,000Total expenses.......................................................................................... 55,000Net income............................................................................................. $ 45,000Increase in stockholders’ equity............................................................ $55,000Less: Net income ............................................................... $(45,000)Additional investment.......................................................... (25,000) (70,000) Dividends................................................................................................ $15,000BYP 1-2(a) (in millions) PepsiCo Coca-Cola1. Total assets $25,327 $27,3422. Accounts receivable (net) $ 2,830 $ 2,0913. Net sales $26,971 $21,0444. Net income $ 3,568 $ 4,347(b) PepsiCo’s total assets were approximately 7% less than Coca- Cola’s total assets, and PepsiCo’s net sales were 28% greater than Coca-Cola’s net sales. In addition, PepsiCo’s accounts receivable were 35.3% greater than Coca-Cola’s and represent 10.5% of its net sales. Coca-Cola’s accounts receivable amount to 9.9% of its net sales. Both PepsiCo’s and Coca-Cola’s accounts receivable are at satisfactory levels, being comparable to a 30-day collection period. PepsiCo’s net income was 82% of Coca-Cola’s. It appears that these two companies’ operations are comp arable in some ways, with Coca-Cola’s 2003 operations slightly more profitable.Chapter 2 The Recording ProcessQuestion 2Disagree. The terms debit and credit mean left and right respectively.Question 14(a) No, debits and credits should not be recorded directly in the ledger.(b) The advantages of using the journal are:1. It discloses in one place the complete effects of a transaction.2. It provides a chronological record of all transactions.3. It helps to prevent or locate errors because the debit and credit amounts for each entry can be readily compared.EXERCISE 2-2General JournalDate Account Titles and Explanation Debit Credit Jan. 2 Cash 15,000Common Stock 15,0003 Equipment 4,000Cash 4,0009 Supplies 500Accounts Payable 50011 Accounts Receivable 1,800Service Revenue 1,80016 Advertising Expense 200Cash 20020 Cash 700Accounts Receivable 70023 Accounts Payable 300Cash 30028 Dividends 1,000Cash 1,000EXERCISE 2-7a)General JournalDate Account Titles and Explanation Debit CreditOct. 1 Cash ......................................................................... 5,000Common Stock................................................................................................ 5,000 (Investment of cash in business in exchange for stock)10 Cash (650)Service Revenue (650)(Received cash for services provided)10 Cash ........................................... ...................... 3,000Notes Payable.................................................................................................. 3,000 (Obtained loan from bank)20 Cash (500)Accounts Receivable (500)(Received cash in payment of account)20 Accounts Receivable (940)Service Revenue (940)(Billed clients for services provided)(b) MAXIM CO.Trial BalanceOctober 31, 2006Debit CreditCash $ 8,200Accounts Receivable. 1,240Supplies 400Furniture 2,000Notes Payable $ 3,000 Accounts Payable 500Common Stock 7,000 Dividends 300Service Revenue 2,390Store Wages Expense 500Rent Expense 250BYP 2-2 COMPARATIVE ANALYSIS PROBLEM(a) PepsiCo Coca-Cola1. Inventory: debit 1. Accounts Receivable: debit2. Property, Plant, and Equipment: debit 2. Cash and Cash Equivalents: debit3. Accounts Payable: credit 3. Cost of Goods Sold: debit4. Interest Expense: debit 4. Sales (Revenue): credit(b) The following other accounts are ordinarily involved:(1) Increase in Accounts Receivable: Service Revenue or Sales is increased (credited).(2) Decrease in Wages Payable: Cash is decreased (credited).(3) Increase in Property, Plant, and Equipment: Notes Payable is increased (credited) or Cash is decreased (credited).(4) Increase in Interest Expense: Cash is decreased (credited).Chapter 3 Adjusting the AccountsQuestion 2The two generally accepted accounting principles that relate to adjusting the accounts are:The revenue recognition principle, which states that revenue should be recognized in the accounting period in which it is earned.The matching principle, which states that efforts (expenses) be matched with accomplishments (revenues).EXERCISE 3-4General JournalDate Account Titles and Explanation Debit Credit1. Jan. 31 Accounts Receivable (875)Service Revenue (875)2. 31 Utilities Expense (630)Utilities Payable (630)3. 31 Depreciation Expense (400)Accumulated Depreciation—Dental Equipment (400)31 Interest Expense (500)Interest Payable (500)4. 31 Insurance Expense ($21,000 ÷ 12).............................. 1,750Prepaid Insurance .............................................................................................. 1,7505. 31 Supplies Expense ($1,600 – $600).................... ………..1,000Supplies ........................................................................................................... 1,000 EXERCISE 3-9General JournalDate Account Titles and Explanation Debit Credit Aug. 31 Accounts Receivable (600)Service Revenue (600)31 Office Supplies Expense........................................... 1,600Office Supplies........................................................................................... 1,60031 Insurance Expense.................................................... 1,500Prepaid Insurance.......................................................................................... 1,50031 Depreciation Expense............................................... 1,300Accumulated Depreciation—Office Equipment .................................................... 1,30031 Salaries Expense .............................................................. 1,100Salaries Payable ......................................................................................................... 1,10031 Unearned Rent (900)Rent Revenue (900)EXERCISE 3-10VILLA COMPANYIncome StatementFor the Year Ended August 31, 2006RevenuesService revenue .......................................................................................................... $34,600 Rent revenue ............................................................................................................... 11,900 Total revenues..................................................................................................... 46,500 ExpensesSalaries expense................................................................................... $18,100Rent expense......................................................................................... 15,000Office supplies expense......................................................................... 1,600Insurance expense.................................................................................. 1,500Depreciation expense............................................................................. 1,300Total expenses ..................................................................................................... 37,500 Net income.......................................................................................................................... $ 9,000VILLA COMPANYRetained Earnings StatementFor the Year Ended August 31, 2006Retained earnings, September 1, 2005................................................................................ $ 5,600 Add: Net income ................................................................................................................. 9,000 Retained earnings, August 31, 2006................................................................................... $14,600VILLA COMPANYBalance SheetAugust 31, 2006Assets Cash..................................................................................................................................... $10,400 Accounts receivable.............................................................................................................. 9,400 Office supplies. (700)Prepaid insurance .................................................................................................................. 2,500 Office equipment ........................................................................................... $14,000Less: Accum. depreciation—office equipment ................................................ 4,900 9,100Total assets ......................................................................................................................... $32,100Liabilities and Stockholders’ EquityLiabilitiesAccounts payable .............................................................................................................. $ 5,800 Salaries payable.................................................................................................................... 1,100 Unearned rent.. (600)Total liabilities .......................................................................................................... 7,500 Stockholders’ equityCommon stock..................................................................................................................... $10,000 Retained earnings......................................................................................... 14,600 24,600 Total liabilities and stockholders’ equity ............................................................................ $32,100BYP 3-7HAPPY TRA VEL COURTIncome StatementFor the Quarter Ended March 31, 2006RevenuesRental revenue ($90,000 – $20,000)................................................................................. $70,000 ExpensesWages expense [$29,800 + ($350 X 2)]................................................................ $30,500 Advertising expense ($5,200 + $110)...................................................................... 5,310 Supplies expense ($6,200 – $1,300)……………………………………………. ... 4,900Repairs expense ($4,000 + $260) ............................................................................. 4,260 Insurance expense ($7,200 X 3/12)........................................................................... 1,800Utilities expense ($900 + $180) ............................................................................... 1,080 Depreciation expense . (800)Interest expense ($12,000 X 10% X 3/12) (300)Total expenses...................................................................................................................... 48,950 Net income............................................................................................................................. $21,050(b) The generally accepted accounting principles pertaining to the income statement that were not recognized by Alice were the revenue recognition principle and the matching principle. The revenue recognition principle states that revenue is recognized when it is earned. The fees of $20,000 for summer rentals have not been earned and, therefore, should not be reported in income for the quarter ended March 31. The matching principle dictates that efforts (expenses) be matched with accomplishments (revenues) whenever it is reasonable and practicable to do so. This means that the expenses should include amounts incurred in March but not paid until April. The difference in expenses was $8,250 ($48,950 – $40,700). The overstatement of revenues ($20,000) plus the understatement of expenses ($8,250) equals the difference in reported income of $28,250 ($49,300 – $21,050).财务会计习题答案2012春Chapter 4 Completion of the Accounting CycleP 4-1A8(b)UNDERCOVER ROOFING INC.Income StatementFor the Month Ended March 31, 2006RevenuesService revenue...................................................................................................................... $3,170 ExpensesSalaries expense......................................................................................... $1,050Supplies expense (960)Depreciation expense (200)Miscellaneous expense (200)Total expenses......................................................................................................................2,410 Net income ............................................................................................................................ $ 760UNDERCOVER ROOFING INC.Retained Earnings StatementFor the Month Ended March 31, 2006Retained earnings, March 1................................................................................................ $2,000 Add: Net income .. (760)2,760 Less: Dividends (600)Retained earnings, March 31 ............................................................................................ $2,160UNDERCOVER ROOFING INC.Balance SheetMarch 31, 2006AssetsCurrent assetsCash ............................................................................................................................. $2,500 Accounts receivable ..................................................................................................... 1,800 Roofing supplies. (140)Total current assets ................................................................................................. 4,440 Property, plant, and equipmentEquipment ..................................................................................................... $6,000Less: Accum. depreciation—equipment.......................................................... 1,400 4,600 Total assets........................................................................................................................... $9,040 Liabilities and Stockholders’ EquityCurrent liabilitiesAccounts payable............................................................................................................... $1,400 Salaries payable.. (350)Unearned revenue (130)Total current liabilities ................................................................................................. 1,880 Stockholders’ equityCommon stock ................................................................................................................ $ 5,000 Retained earnings ............................................................................................................... 2,160 Total stockholders’ equity......................................................................................................... 7,160 Total liabilities and stockholders’ equity.................................................................................. $9,040 (c)General JournalDate Account Titles and Explanation Debit Credit Mar. 31 Supplies Expense (960)Roofing Supplies (960)31 Depreciation Expense (200)Accumulated Depreciation (200)31 Unearned Revenue (170)Service Revenue (170)31 Salaries Expense (350)Salaries Payable (350)(d)Mar. 31 Service Revenue....................................................... 3,170Income Summary..................................................................................................... 3,170 31 Income Summary ................................................... 2,410Salaries Expense.................................................................................................... 1,050Supplies Expense (960)Depreciation Expense (200)Miscellaneous Expense (200)31 Income Summary (760)Retained Earnings (760)31 Retained Earnings (600)Dividends (600)财务会计习题答案2012春P 4-5A财务会计习题答案2012春12。
货币金融学 第四章 chapter-4 英文习题
Economics of Money, Banking, and Financial Markets, 11e, Global Edition (Mishkin) Chapter 4 The Meaning of Interest Rates4.1 Measuring Interest Rates1) The concept of ________ is based on the common-sense notion that a dollar paid to you in the future is less valuable to you than a dollar today.A) present valueB) future valueC) interestD) deflationAnswer: AAACSB: Application of Knowledge2) The present value of an expected future payment ________ as the interest rate increases.A) fallsB) risesC) is constantD) is unaffectedAnswer: AAACSB: Reflective Thinking3) An increase in the time to the promised future payment ________ the present value of the payment.A) decreasesB) increasesC) has no effect onD) is irrelevant toAnswer: AAACSB: Reflective Thinking4) With an interest rate of 6 percent, the present value of $100 next year is approximatelyA) $106.B) $100.C) $94.D) $92.Answer: CAACSB: Analytical Thinking5) What is the present value of $500.00 to be paid in two years if the interest rate is 5 percent?A) $453.51B) $500.00C) $476.25D) $550.00Answer: AAACSB: Analytical Thinking6) If a security pays $55 in one year and $133 in three years, its present value is $150 if the interest rate isA) 5 percent.B) 10 percent.C) 12.5 percent.D) 15 percent.Answer: BAACSB: Analytical Thinking7) To claim that a lottery winner who is to receive $1 million per year for twenty years has won $20 million ignores the process ofA) face value.B) par value.C) deflation.D) discounting the future.Answer: DAACSB: Analytical Thinking8) A credit market instrument that provides the borrower with an amount of funds that must be repaid at the maturity date along with an interest payment is known as aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: AAACSB: Application of Knowledge9) A credit market instrument that requires the borrower to make the same payment every period until the maturity date is known as aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: BAACSB: Application of Knowledge10) Which of the following are TRUE of fixed payment loans?A) The borrower repays both the principal and interest at the maturity date.B) Installment loans and mortgages are frequently of the fixed payment type.C) The borrower pays interest periodically and the principal at the maturity date.D) Commercial loans to businesses are often of this type.Answer: BAACSB: Reflective Thinking11) A fully amortized loan is another name forA) a simple loan.B) a fixed-payment loan.C) a commercial loan.D) an unsecured loan.Answer: BAACSB: Application of Knowledge12) A credit market instrument that pays the owner a fixed coupon payment every year until the maturity date and then repays the face value is called aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: CAACSB: Application of Knowledge13) A ________ pays the owner a fixed coupon payment every year until the maturity date, when the ________ value is repaid.A) coupon bond; discountB) discount bond; discountC) coupon bond; faceD) discount bond; faceAnswer: CAACSB: Analytical Thinking14) The ________ is the final amount that will be paid to the holder of a coupon bond.A) discount valueB) coupon valueC) face valueD) present valueAnswer: CAACSB: Application of Knowledge15) When talking about a coupon bond, face value and ________ mean the same thing.A) par valueB) coupon valueC) amortized valueD) discount valueAnswer: AAACSB: Application of Knowledge16) The dollar amount of the yearly coupon payment expressed as a percentage of the face value of the bond is called the bond'sA) coupon rate.B) maturity rate.C) face value rate.D) payment rate.Answer: AAACSB: Application of Knowledge17) The ________ is calculated by multiplying the coupon rate times the par value of the bond.A) present valueB) face valueC) coupon paymentD) maturity paymentAnswer: CAACSB: Analytical Thinking18) If a $1000 face value coupon bond has a coupon rate of 3.75 percent, then the coupon payment every year isA) $37.50.B) $3.75.C) $375.00.D) $13.75Answer: AAACSB: Analytical Thinking19) If a $5,000 coupon bond has a coupon rate of 13 percent, then the coupon payment every year isA) $650.B) $1,300.C) $130.D) $13.Answer: AAACSB: Analytical Thinking20) An $8,000 coupon bond with a $400 coupon payment every year has a coupon rate ofA) 5 percent.B) 8 percent.C) 10 percent.D) 40 percent.Answer: AAACSB: Analytical Thinking21) A $1000 face value coupon bond with a $60 coupon payment every year has a coupon rate ofA) .6 percent.B) 5 percent.C) 6 percent.D) 10 percent.Answer: CAACSB: Analytical Thinking22) All of the following are examples of coupon bonds EXCEPTA) corporate bonds.B) U.S. Treasury bills.C) U.S. Treasury notes.D) U.S. Treasury bonds.Answer: BAACSB: Analytical Thinking23) A bond that is bought at a price below its face value and the face value is repaid at a maturity date is called aA) simple loan.B) fixed-payment loan.C) coupon bond.D) discount bond.Answer: DAACSB: Application of Knowledge24) A ________ is bought at a price below its face value, and the ________ value is repaid at the maturity date.A) coupon bond; discountB) discount bond; discountC) coupon bond; faceD) discount bond; faceAnswer: DAACSB: Analytical Thinking25) A discount bondA) pays the bondholder a fixed amount every period and the face value at maturity.B) pays the bondholder the face value at maturity.C) pays all interest and the face value at maturity.D) pays the face value at maturity plus any capital gain.Answer: BAACSB: Reflective Thinking26) Examples of discount bonds includeA) U.S. Treasury bills.B) corporate bonds.C) U.S. Treasury notes.D) municipal bonds.Answer: AAACSB: Analytical Thinking27) Which of the following are TRUE for discount bonds?A) A discount bond is bought at par.B) The purchaser receives the face value of the bond at the maturity date.C) U.S. Treasury bonds and notes are examples of discount bonds.D) The purchaser receives the par value at maturity plus any capital gains.Answer: BAACSB: Reflective Thinking28) The interest rate that equates the present value of payments received from a debt instrument with its value today is theA) simple interest rate.B) current yield.C) yield to maturity.D) real interest rate.Answer: CAACSB: Application of Knowledge29) Economists consider the ________ to be the most accurate measure of interest rates.A) simple interest rate.B) current yield.C) yield to maturity.D) real interest rate.Answer: CAACSB: Reflective Thinking30) For simple loans, the simple interest rate is ________ the yield to maturity.A) greater thanB) less thanC) equal toD) not comparable toAnswer: CAACSB: Application of Knowledge31) If the amount payable in two years is $2420 for a simple loan at 10 percent interest, the loan amount isA) $1000.B) $1210.C) $2000.D) $2200.Answer: CAACSB: Analytical Thinking32) For a 3-year simple loan of $10,000 at 10 percent, the amount to be repaid isA) $10,030.B) $10,300.C) $13,000.D) $13,310.Answer: DAACSB: Analytical Thinking33) If $22,050 is the amount payable in two years for a $20,000 simple loan made today, the interest rate isA) 5 percent.B) 10 percent.C) 22 percent.D) 25 percent.Answer: AAACSB: Analytical Thinking34) If a security pays $110 next year and $121 the year after that, what is its yield to maturity if it sells for $200?A) 9 percentB) 10 percentC) 11 percentD) 12 percentAnswer: BAACSB: Analytical Thinking35) The present value of a fixed-payment loan is calculated as the ________ of the present value of all cash flow payments.A) sumB) differenceC) multipleD) logAnswer: AAACSB: Analytical Thinking36) Which of the following are TRUE for a coupon bond?A) When the coupon bond is priced at its face value, the yield to maturity equals the coupon rate.B) The price of a coupon bond and the yield to maturity are positively related.C) The yield to maturity is greater than the coupon rate when the bond price is above the par value.D) The yield is less than the coupon rate when the bond price is below the par value. Answer: AAACSB: Reflective Thinking37) The ________ of a coupon bond and the yield to maturity are inversely related.A) priceB) par valueC) maturity dateD) termAnswer: AAACSB: Reflective Thinking38) The price of a coupon bond and the yield to maturity are ________ related; that is, as the yield to maturity ________, the price of the bond ________.A) positively; rises; risesB) negatively; falls; fallsC) positively; rises; fallsD) negatively; rises; fallsAnswer: DAACSB: Reflective Thinking39) The yield to maturity is ________ than the ________ rate when the bond price is ________ its face value.A) greater; coupon; aboveB) greater; coupon; belowC) greater; perpetuity; aboveD) less; perpetuity; belowAnswer: BAACSB: Reflective Thinking40) The ________ is below the coupon rate when the bond price is ________ its par value.A) yield to maturity; aboveB) yield to maturity; belowC) discount rate; aboveD) discount rate; belowAnswer: AAACSB: Reflective Thinking41) A $10,000 8 percent coupon bond that sells for $10,000 has a yield to maturity ofA) 8 percent.B) 10 percent.C) 12 percent.D) 14 percent.Answer: AAACSB: Analytical Thinking42) Which of the following $1,000 face-value securities has the highest yield to maturity?A) a 5 percent coupon bond selling for $1,000B) a 10 percent coupon bond selling for $1,000C) a 12 percent coupon bond selling for $1,000D) a 12 percent coupon bond selling for $1,100Answer: CAACSB: Analytical Thinking43) Which of the following $5,000 face-value securities has the highest yield to maturity?A) a 6 percent coupon bond selling for $5,000B) a 6 percent coupon bond selling for $5,500C) a 10 percent coupon bond selling for $5,000D) a 12 percent coupon bond selling for $4,500Answer: DAACSB: Analytical Thinking44) Which of the following $1,000 face-value securities has the highest yield to maturity?A) a 5 percent coupon bond with a price of $600B) a 5 percent coupon bond with a price of $800C) a 5 percent coupon bond with a price of $1,000D) a 5 percent coupon bond with a price of $1,200Answer: AAACSB: Analytical Thinking45) Which of the following $1,000 face-value securities has the lowest yield to maturity?A) a 5 percent coupon bond selling for $1,000B) a 10 percent coupon bond selling for $1,000C) a 15 percent coupon bond selling for $1,000D) a 15 percent coupon bond selling for $900Answer: AAACSB: Analytical Thinking46) Which of the following bonds would you prefer to be buying?A) a $10,000 face-value security with a 10 percent coupon selling for $9,000B) a $10,000 face-value security with a 7 percent coupon selling for $10,000C) a $10,000 face-value security with a 9 percent coupon selling for $10,000D) a $10,000 face-value security with a 10 percent coupon selling for $10,000 Answer: AAACSB: Analytical Thinking47) A coupon bond that has no maturity date and no repayment of principal is called aA) consol.B) cabinet.C) Treasury bill.D) Treasury note.Answer: AAACSB: Application of Knowledge48) The price of a consol equals the coupon paymentA) times the interest rate.B) plus the interest rate.C) minus the interest rate.D) divided by the interest rate.Answer: DAACSB: Analytical Thinking49) The interest rate on a consol equals theA) price times the coupon payment.B) price divided by the coupon payment.C) coupon payment plus the price.D) coupon payment divided by the price.Answer: DAACSB: Analytical Thinking50) A consol paying $20 annually when the interest rate is 5 percent has a price ofA) $100.B) $200.C) $400.D) $800.Answer: CAACSB: Analytical Thinking51) If a perpetuity has a price of $500 and an annual interest payment of $25, the interest rate isA) 2.5 percent.B) 5 percent.C) 7.5 percent.D) 10 percent.Answer: BAACSB: Analytical Thinking52) The yield to maturity for a perpetuity is a useful approximation for the yield to maturity on long-term coupon bonds. It is called the ________ when approximating the yield for a coupon bond.A) current yieldB) discount yieldC) future yieldD) star yieldAnswer: AAACSB: Reflective Thinking53) The yield to maturity for a one-year discount bond equals the increase in price over the year, divided by theA) initial price.B) face value.C) interest rate.D) coupon rate.Answer: AAACSB: Analytical Thinking54) If a $10,000 face-value discount bond maturing in one year is selling for $5,000, then its yield to maturity isA) 5 percent.B) 10 percent.C) 50 percent.D) 100 percent.Answer: DAACSB: Analytical Thinking55) If a $5,000 face-value discount bond maturing in one year is selling for $5,000, then its yield to maturity isA) 0 percent.B) 5 percent.C) 10 percent.D) 20 percent.Answer: AAACSB: Analytical Thinking56) A discount bond selling for $15,000 with a face value of $20,000 in one year has a yield to maturity ofA) 3 percent.B) 20 percent.C) 25 percent.D) 33.3 percent.Answer: DAACSB: Analytical Thinking57) The yield to maturity for a discount bond is ________ related to the current bond price.A) negativelyB) positivelyC) notD) directlyAnswer: AAACSB: Reflective Thinking58) A discount bond is also called a ________ because the owner does not receive periodic payments.A) zero-coupon bondB) municipal bondC) corporate bondD) consolAnswer: AAACSB: Application of Knowledge59) Another name for a consol is a ________ because it is a bond with no maturity date. The owner receives fixed coupon payments forever.A) perpetuityB) discount bondC) municipalityD) high-yield bondAnswer: AAACSB: Application of Knowledge60) If the interest rate is 5%, what is the present value of a security that pays you $1, 050 next year and $1,102.50 two years from now? If this security sold for $2200, is the yield to maturity greater or less than 5%? Why?Answer: PV = $1,050/(1. +.05) + $1,102.50/(1 + 0.5)2PV = $2,000If this security sold for $2200, the yield to maturity is less than 5%. The lower the interest rate the higher the present value.AACSB: Analytical Thinking4.2 The Distinction Between Interest Rates and Returns1) The ________ is defined as the payments to the owner plus the change in a security's value expressed as a fraction of the security's purchase price.A) yield to maturityB) current yieldC) rate of returnD) yield rateAnswer: CAACSB: Application of Knowledge2) Which of the following are TRUE concerning the distinction between interest rates and returns?A) The rate of return on a bond will not necessarily equal the interest rate on that bond.B) The return can be expressed as the difference between the current yield and the rate of capital gains.C) The rate of return will be greater than the interest rate when the price of the bond falls during the holding period.D) The return can be expressed as the sum of the discount yield and the rate of capital gains. Answer: AAACSB: Reflective Thinking3) The sum of the current yield and the rate of capital gain is called theA) rate of return.B) discount yield.C) perpetuity yield.D) par value.Answer: AAACSB: Analytical Thinking4) What is the return on a 5 percent coupon bond that initially sells for $1,000 and sells for $1,200 next year?A) 5 percentB) 10 percentC) -5 percentD) 25 percentAnswer: DAACSB: Analytical Thinking5) What is the return on a 5 percent coupon bond that initially sells for $1,000 and sells for $900 next year?A) 5 percentB) 10 percentC) -5 percentD) -10 percentAnswer: CAACSB: Analytical Thinking6) The return on a 5 percent coupon bond that initially sells for $1,000 and sells for $950 next year isA) -10 percent.B) -5 percent.C) 0 percent.D) 5 percent.Answer: CAACSB: Analytical Thinking7) Suppose you are holding a 5 percent coupon bond maturing in one year with a yield to maturity of 15 percent. If the interest rate on one-year bonds rises from 15 percent to 20 percent over the course of the year, what is the yearly return on the bond you are holding?A) 5 percentB) 10 percentC) 15 percentD) 20 percentAnswer: CAACSB: Analytical Thinking8) I purchase a 10 percent coupon bond. Based on my purchase price, I calculate a yield to maturity of 8 percent. If I hold this bond to maturity, then my return on this asset isA) 10 percent.B) 8 percent.C) 12 percent.D) there is not enough information to determine the return.Answer: BAACSB: Analytical Thinking9) If the interest rates on all bonds rise from 5 to 6 percent over the course of the year, which bond would you prefer to have been holding?A) a bond with one year to maturityB) a bond with five years to maturityC) a bond with ten years to maturityD) a bond with twenty years to maturityAnswer: AAACSB: Analytical Thinking10) An equal decrease in all bond interest ratesA) increases the price of a five-year bond more than the price of a ten-year bond.B) increases the price of a ten-year bond more than the price of a five-year bond.C) decreases the price of a five-year bond more than the price of a ten-year bond.D) decreases the price of a ten-year bond more than the price of a five-year bond.Answer: BAACSB: Analytical Thinking11) An equal increase in all bond interest ratesA) increases the return to all bond maturities by an equal amount.B) decreases the return to all bond maturities by an equal amount.C) has no effect on the returns to bonds.D) decreases long-term bond returns more than short-term bond returns.Answer: DAACSB: Analytical Thinking12) Which of the following are generally TRUE of bonds?A) A bond's return equals the yield to maturity when the time to maturity is the same as the holding period.B) A rise in interest rates is associated with a fall in bond prices, resulting in capital gains on bonds whose terms to maturity are longer than the holding periods.C) The longer a bond's maturity, the smaller is the size of the price change associated with an interest rate change.D) Prices and returns for short-term bonds are more volatile than those for longer-term bonds. Answer: AAACSB: Reflective Thinking13) Which of the following are generally TRUE of all bonds?A) The longer a bond's maturity, the greater is the rate of return that occurs as a result of the increase in the interest rate.B) Even though a bond has a substantial initial interest rate, its return can turn out to be negative if interest rates rise.C) Prices and returns for short-term bonds are more volatile than those for longer term bonds.D) A fall in interest rates results in capital losses for bonds whose terms to maturity are longer than the holding period.Answer: BAACSB: Reflective Thinking14) The riskiness of an asset's returns due to changes in interest rates isA) exchange-rate risk.B) price risk.C) asset risk.D) interest-rate risk.Answer: DAACSB: Application of Knowledge15) Interest-rate risk is the riskiness of an asset's returns due toA) interest-rate changes.B) changes in the coupon rate.C) default of the borrower.D) changes in the asset's maturity.Answer: AAACSB: Application of Knowledge16) Prices and returns for ________ bonds are more volatile than those for ________ bonds, everything else held constant.A) long-term; long-termB) long-term; short-termC) short-term; long-termD) short-term; short-termAnswer: BAACSB: Reflective Thinking7) There is ________ for any bond whose time to maturity matches the holding period.A) no interest-rate riskB) a large interest-rate riskC) rate-of-return riskD) yield-to-maturity riskAnswer: AAACSB: Analytical Thinking18) All bonds that will not be held to maturity have interest rate risk which occurs because of the change in the price of the bond as a result ofA) interest-rate changes.B) changes in the coupon rate.C) default of the borrower.D) changes in the asset's maturity date.Answer: AAACSB: Application of Knowledge19) Your favorite uncle advises you to purchase long-term bonds because their interest rate is 10%. Should you follow his advice?Answer: It depends on where you think interest rates are headed in the future. If you think interest rates will be going up, you should not follow your uncle's advice because you would then have to discount your bond if you needed to sell it before the maturity date. Long-term bonds have a greater interest-rate risk.AACSB: Reflective Thinking4.3 The Distinction Between Real and Nominal Interest Rates1) The ________ interest rate is adjusted for expected changes in the price level.A) ex ante realB) ex post realC) ex post nominalD) ex ante nominalAnswer: AAACSB: Application of Knowledge2) The ________ interest rate more accurately reflects the true cost of borrowing.A) nominalB) realC) discountD) marketAnswer: BAACSB: Analytical Thinking3) The nominal interest rate minus the expected rate of inflationA) defines the real interest rate.B) is a less accurate measure of the incentives to borrow and lend than is the nominal interest rate.C) is a less accurate indicator of the tightness of credit market conditions than is the nominal interest rate.D) defines the discount rate.Answer: AAACSB: Analytical Thinking4) When the ________ interest rate is low, there are greater incentives to ________ and fewer incentives to ________.A) nominal; lend; borrowB) real; lend; borrowC) real; borrow; lendD) market; lend; borrowAnswer: CAACSB: Reflective Thinking5) The interest rate that describes how well a lender has done in real terms after the fact is called theA) ex post real interest rate.B) ex ante real interest rate.C) ex post nominal interest rate.D) ex ante nominal interest rate.Answer: AAACSB: Analytical Thinking6) The ________ states that the nominal interest rate equals the real interest rate plus the expected rate of inflation.A) Fisher equationB) Keynesian equationC) Monetarist equationD) Marshall equationAnswer: AAACSB: Application of Knowledge7) If the nominal rate of interest is 2 percent, and the expected inflation rate is -10 percent, the real rate of interest isA) 2 percent.B) 8 percent.C) 10 percent.D) 12 percent.Answer: DAACSB: Analytical Thinking8) In which of the following situations would you prefer to be the lender?A) The interest rate is 9 percent and the expected inflation rate is 7 percent.B) The interest rate is 4 percent and the expected inflation rate is 1 percent.C) The interest rate is 13 percent and the expected inflation rate is 15 percent.D) The interest rate is 25 percent and the expected inflation rate is 50 percent.Answer: BAACSB: Analytical Thinking9) In which of the following situations would you prefer to be the borrower?A) The interest rate is 9 percent and the expected inflation rate is 7 percent.B) The interest rate is 4 percent and the expected inflation rate is 1 percent.C) The interest rate is 13 percent and the expected inflation rate is 15 percent.D) The interest rate is 25 percent and the expected inflation rate is 50 percent.Answer: DAACSB: Analytical Thinking10) If you expect the inflation rate to be 15 percent next year and a one-year bond has a yield to maturity of 7 percent, then the real interest rate on this bond isA) 7 percent.B) 22 percent.C) -15 percent.D) -8 percent.Answer: DAACSB: Analytical Thinking11) If you expect the inflation rate to be 12 percent next year and a one-year bond has a yield to maturity of 7 percent, then the real interest rate on this bond isA) -5 percent.B) -2 percent.C) 2 percent.D) 12 percent.Answer: AAACSB: Analytical Thinking12) If you expect the inflation rate to be 4 percent next year and a one year bond has a yield to maturity of 7 percent, then the real interest rate on this bond isA) -3 percent.B) -2 percent.C) 3 percent.D) 7 percent.Answer: CAACSB: Analytical Thinking13) In the United States during the late 1970s, the nominal interest rates were quite high, but the real interest rates were negative. From the Fisher equation, we can conclude that expected inflation in the United States during this period wasA) irrelevant.B) low.C) negative.D) high.Answer: DAACSB: Reflective Thinking14) The interest rate on Treasury Inflation Indexed Securities can be roughly interpreted asA) the real interest rate.B) the nominal interest rate.C) the rate of inflation.D) the rate of deflation.Answer: AAACSB: Analytical Thinking15) Assuming the same coupon rate and maturity length, the difference between the yield on a Treasury Inflation Indexed Security and the yield on a nonindexed Treasury security provides insight intoA) the nominal interest rate.B) the real interest rate.C) the nominal exchange rate.D) the expected inflation rate.Answer: DAACSB: Analytical Thinking16) Assuming the same coupon rate and maturity length, when the interest rate on a Treasury Inflation Indexed Security is 3 percent, and the yield on a nonindexed Treasury bond is 8 percent, the expected rate of inflation isA) 3 percent.B) 5 percent.C) 8 percent.D) 11 percent.Answer: BAACSB: Analytical Thinking17) Would it make sense to buy a house when mortgage rates are 14% and expected inflation is 15%? Explain your answer.Answer: Even though the nominal rate for the mortgage appears high, the real cost of borrowing the funds is -1%. Yes, under this circumstance it would be reasonable to make this purchase. AACSB: Reflective Thinking4.4 Web Appendix: Measuring Interest-Rate Risk: Duration1) Duration isA) an asset's term to maturity.B) the time until the next interest payment for a coupon bond.C) the average lifetime of a debt security's stream of payments.D) the time between interest payments for a coupon bond.Answer: CAACSB: Application of Knowledge2) Comparing a discount bond and a coupon bond with the same maturityA) the coupon bond has the greater effective maturity.B) the discount bond has the greater effective maturity.C) the effective maturity cannot be calculated for a coupon bond.D) the effective maturity cannot be calculated for a discount bond.Answer: BAACSB: Reflective Thinking3) The duration of a coupon bond increasesA) the longer is the bond's term to maturity.B) when interest rates increase.C) the higher the coupon rate on the bond.D) the higher the bond price.Answer: AAACSB: Reflective Thinking4) All else equal, when interest rates ________, the duration of a coupon bond ________.A) rise; fallsB) rise; increasesC) falls; fallsD) falls; does not changeAnswer: AAACSB: Reflective Thinking5) All else equal, the ________ the coupon rate on a bond, the ________ the bond's duration.A) higher; longerB) higher; shorterC) lower; shorterD) greater; longerAnswer: BAACSB: Reflective Thinking。
麦圭根《管理经济学》英文版题库Chapter_4___Estimating_Demand
Multiple Choice1. Using a sample of 100 consumers, a double-log regression model was used to estimate demand for gasoline. Standard errors of the coefficients appear in the parentheses below the coefficients.Ln Q = 2.45 -0.67 Ln P + . 45 Ln Y - .34 Ln P cars(.20) (.10) (.25)Where Q is gallons demanded, P is price per gallon, Y is disposable income, and P cars is a price index for cars. Based on this information, which is NOT correct?a. G asoline is inelastic.b. G asoline is a normal good.c. C ars and gasoline appear to be mild complements.d. The coefficient on the price of cars (Pcars) is insignificant.e. A ll of the coefficients are insignificant.ANSWER: ePOINTS: 1DIFFICULTY: ChallengingQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: AnalysisDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM2. In a cross section regression of 48 states, the following linear demand for per-capita cans of soda was found: Cans = 159.17 – 102.56 Price + 1.00 Income +3.94TempCoefficients Standard Error t StatIntercept159.1794.16 1.69Price-102.5633.25-3.08Income 1.00 1.770.57Temperature 3.940.82 4.83R-Sq = 54.1% R-Sq(adj) = 51.0%From the linear regression results in the cans case above, we know that:a. P rice is insignificantb. I ncome is significantc. T emp is significantd. A s price rises for soda, people tend to drink less of ite. A ll of the coefficients are significantANSWER: dPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM3. A study of expenditures on food in cities resulting in the following equation:Log E = 0.693 Log Y + 0.224 Log Nwhere E is Food Expenditures; Y is total expenditures on goods and services; and N is the size of the family. This evidence implies:a. t hat as total expenditures on goods and services rises, food expenditures falls.b. t hat a one-percent increase in family size increases food expenditures .693%.c. t hat a one-percent increase in family size increases food expenditures .224%.d. t hat a one-percent increase in total expenditures increases food expenditures 1%.e. t hat as family size increases, food expenditures go down.ANSWER: cPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM4. The principal econometric techniques used in measuring demand relationships are:a. t he standard deviationb. r egressionc. c orrelation analysisd. t he coefficient of determinatione. b oth b and cANSWER: ePOINTS: 1DIFFICULTY: EasyQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 7/27/2016 12:40 PM5. Appendix:In regression analysis, the existence of a significant pattern in successive values of the error term constitutes:a. h eteroscedasticityb. a utocorrelationc. m ulticollinearityd. n onlinearitiese. a simultaneous equation relationshipANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: IntroductionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 9/4/2016 2:12 PM6. Appendix:In regression analysis, the existence of a high degree of intercorrelation among some or all of the explanatory variables in the regression equation constitutes:a. a utocorrelationb. a simultaneous equation relationshipc. n onlinearitiesd. h eteroscedasticitye. m ulticollinearityANSWER: ePOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: IntroductionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 9/4/2016 2:14 PM7. Appendix:When using a multiplicative power function (Y = a X1b1X2b2X3b3) to represent an economic relationship, estimates of the parameters (a, and the b's) using linear regression analysis can be obtained by first applying a ____ transformation to convert the function to a linear relationship.a. s emilogarithmicb. d ouble-logarithmicc. r eciprocald. p olynomiale. c ubicANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: Nonlinear Regression ModelsKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 9/4/2016 2:16 PM8. The correlation coefficient ranges in value between 0.0 and 1.0.a. t rueb. f alseANSWER: bPOINTS: 1DIFFICULTY: EasyQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM9. The coefficient of determination ranges in value between 0.0 and 1.0.a. t rueb. f alseANSWER: aPOINTS: 1DIFFICULTY: EasyQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM10. The coefficient of determination measures the proportion of the variation in the independent variable that is "explained" by the regression line.a. t rueb. f alseANSWER: bPOINTS: 1DIFFICULTY: EasyQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM11. The presence of association between two variables does not necessarily imply causation for the following reason(s):a. t he association between two variables may result simply from pure chanceb. t he association between two variables may be the result of the influence of a third common factorc. b oth variables may be the cause and the effect at the same timed. a and be. a, b, and cANSWER: ePOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM12. The estimated slope coefficient (b) of the regression equation (Ln Y = a + b Ln X) measures the ____ change in Y fora one ____ change in X.a. p ercentage, unitb. p ercentage, percentc. u nit, unitd. u nit, percente. n one of the aboveANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM13. The standard deviation of the error terms in an estimated regression equation is known as:a. c oefficient of determinationb. c orrelation coefficientc. D urbin-Watson statisticd. s tandard error of the estimatee. n one of the aboveANSWER: dPOINTS: 1DIFFICULTY: EasyQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM14. In testing whether each individual independent variables (Xs) in a multiple regression equation is statistically significant in explaining the dependent variable (Y), one uses the:a. F-testb. D urbin-Watson testc. t-testd. z-teste. n one of the aboveANSWER: cPOINTS: 1DIFFICULTY: EasyQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM15. One commonly used test in checking for the presence of autocorrelation when working with time series data is the ____.a. F-testb. D urbin-Watson testc. t-testd. z-teste. n one of the aboveANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Multiple Linear Regression ModelKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM16. The assumptions underlying the simple linear regression model are:a. t he value of the dependent variable Y is postulated to be a random variableb. a theoretical straight-line relationship exists between X and the expected value of Yc. a ssociated with each value of X is a probability distributiond. t he disturbance term is assumed to be an independent random variablee. a through cf. b through dANSWER: ePOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: Analysis TOPICS: A Simple Linear Regression ModelKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 7/27/2016 1:01 PM17. Demand functions in the multiplicative form are most common for all of the following reasons except:a. e lasticities are constant over a range of datab. e ase of estimation of elasticitiesc. e xponents of parameters are the elasticities of those variablesd. m arginal impact of a unit change in an individual variable is constante. c and dANSWER: dPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: Analysis TOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM18. Appendix:The Identification Problem in the development of a demand function is a result of:a. t he variance of the demand elasticityb. t he consistency of quantity demanded at any given pointc. t he negative slope of the demand functiond. t he simultaneous relationship between the demand and supply functionse. n one of the aboveANSWER: dPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: IntroductionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 9/4/2016 2:19 PM19. Consider the following linear demand function where Q D = quantity demanded, P = selling price, and Y = disposable income:Q D = −36 −2.1P + .24YThe coefficient of P (i.e., −2.1) indicates that (all other things being held constant):a. f or a one percent increase in price, quantity demanded would decline by 2.1 percentb. f or a one unit increase in price, quantity demanded would decline by 2.1 unitsc. f or a one percent increase in price, quantity demanded would decline by 2.1 unitsd. f or a one unit increase in price, quantity demanded would decline by 2.1 percente. n one of the aboveANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: KnowledgeDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM20. Consider the following multiplicative demand function where Q D = quantity demanded, P = selling price, and Y = disposable income:The coefficient of Y (i.e., .2) indicates that (all other things being held constant):a. f or a one percent increase in disposable income, quantity demanded would increase by .2 percentb. f or a one unit increase in disposable income, quantity demanded would increase by .2 unitsc. f or a one percent increase in disposable income quantity demanded would increase by .2 unitsd. f or a one unit increase in disposable income, quantity demanded would increase by .2 percente. n one of the aboveANSWER: aPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Multiple Linear Regression ModelKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM21. Caution must be exercised in using regression models for prediction when:a. t he value of the independent variable lies inside the range of observations from which the model was estimatedb. t he value of the independent variable lies outside the range of observations from which the model wasestimatedc. d iminishing returns are presentd. t he existence of saturation levels are presente. n one of the aboveANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: Reflective Thinking - BPROG: AnalysisTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 7/27/2016 1:18 PM22. The constant or intercept term in a statistical demand study represents the quantity demanded when all independent variables are equal to:a. 1.0b. t heir minimum valuesc. t heir average valuesd. 0.0e. n one of the aboveANSWER: dPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM23. Novo Nordisk A/S, a Danish firm, sells insulin and other drugs worldwide. Activella, an estrogen and progestin hormone replacement therapy sold by Novo-Nordisk, is examined using 33 quarters of dataY = -204 + . 34X1 - .17X2(17.0) (-1.71)Where Y is quarterly sales of Activella, X1 is the Novo’s advertising of the hormone therapy, and X2 is advertising of a similar product by Eli Lilly and Company, Novo-Nordisk’s chief competitor. The parentheses contain t-values. Addition information is: Durbin-Watson = 1.9 and R2 = .89.Using the data for Novo-Nordisk, which is correct?a. Both X1 and X2 are statistically significant.b. Neither X1 nor X2 are statistically significant.c. X1 is statistically significant but X2 is not statistically significant.d. X1 is not statistically significant but X2 is statistically significant.e. T he Durbin-Watson statistic shows significant problems with autocorrelationANSWER: aPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPRPOG: AnalysisTOPICS: Statistical Estimation of the Demand FunctionKEYWORDS: BLOOM’S: AnalysisDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM24. In which of the following econometric problems do we find Durbin-Watson statistic being far away from 2.0?a. t he identification problemb. a utocorrelationc. m ulticollinearityd. h eteroscedasticitye. a gency problemsANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Multiple Linear Regression ModelKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM25. When there is multicollinearity in an estimated regression equation,a. t he coefficients are likely to be small.b. the t-statistics are likely to be small even though the R2 is large.c. t he coefficient of determination is likely to be small.d. t he problem of omitted variables is likely.e. t he error terms will tend to have a cyclical pattern.ANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Appendix 4AKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:42 AM26. Appendix:When two or more "independent" variables are highly correlated, then we have:a. t he identification problemb. m ulticollinearityc. a utocorrelationd. h eteroscedasticitye. c omplementary productsANSWER: bPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: IntroductionKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 9/4/2016 2:20 PM27. Which is NOT true about the coefficient of determination?a. A s you add more variables, the R-square generally rises.b. A s you add more variables, the adjusted R-square can fall.c. I f the R-square is above 50%, the regression is considered significant.d. T he R-square gives the percent of the variation in the dependent variable that is explained by the independentvariables.e. T he higher is the R-square, the better is the fit.ANSWER: cPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPRPOG: AnalysisTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM28. Even though insignificant explanatory variables can raise the adjusted R2 of a demand function, one should not interpret their effects on the regression whena. t esting marketing hypotheses about the determinants of demandb. a nalyzing inventory relative to capacity requirementsc. f orecasting unit sales for operations planningd. s ales revenue reaches its peake. p lanning for capital budgetsANSWER: aPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make Predictions KEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 7/27/2016 2:25 PM29. In a regression equation, one may measure the accuracy of the estimation by:a. c alculating the standard deviation of the errors of predictionb. c alculating the standard error of the estimatec. e stimating the standard deviation of the errors of predictiond. a ll of the abovee. a and b onlyANSWER: ePOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make Predictions KEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 7/26/2016 3:22 PMDATE MODIFIED: 7/27/2016 2:34 PM30. In addition to prediction, one purpose of regression analysis is:a. t o measure the overall "fit" of the model to the sample observationsb. t o test whether the slope parameter β is equal to some particular valuec. t o test whether the slope parameter β is equal to zerod. b and ce. n one of the aboveANSWER: dPOINTS: 1DIFFICULTY: ModerateQUESTION TYPE: Multiple ChoiceHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: ComprehensionDATE CREATED: 7/26/2016 3:23 PMDATE MODIFIED: 7/27/2016 2:43 PMEssay31. Phoenix Lumber Company uses the number of construction permits issued to help estimate demand (sales). The firm collected the following data on annual sales and number of construction permits issued in its market area:No. of Construction SalesYear Permits Issued (000)(1,000,000)2003 6.5010.302004 6.2010.102005 6.6010.5020067.3010.8020077.8011.2020088.2011.4020098.3011.30(a)Which variable is the dependent variable and which is the independent variable?(b)Determine the estimated regression line.(c)Test the hypothesis (at the .05 significance level) that there is no relationship between the variables.(d)Calculate the coefficient of determination. Give an economic interpretation to the value obtained.(e)Perform an analysis of variance on the regression including an F-test (at the .05 significance level) of the overall significance of the results.(f)Suppose that 8,000 construction permits are expected to be issued in 2010. What would be the point estimate of Phoenix Lumber Company's sales for 2010?ANSWER:(a)Dependent variable (Y) − SalesIndependent variable (X) − No. of construction permits issued(b)Obs.(i)Year X i Y i X i Y i X i2Y i212003 6.5010.3066.9542.25106.0922004 6.2010.1062.6238.44102.0132005 6.6010.5069.3043.56110.25420067.3010.8078.8453.29116.64520077.8011.2087.3660.84125.44620088.2011.4093.4867.24129.96720098.3011.3093.7968.89127.6950.9075.60552.34374.51818.08ΣX iΣY iΣX i Y iΣX i2ΣY i2Alternatively, this project can be done using regression software orExcel.(c)From the t-distribution, the t.025 value with 7−2 degrees of freedom is 2.571. Since the calculated t-value (14.726) is greater than the value from the table, we reject the hypothesis that there is no relationship between the variables.(d)Explained Unexplained TotalSS SS SSi X i Y i Y i = 6.4648 + .5962X i1 6.5010.3010.34010.21151.00161.250002 6.2010.1010.16124.40801.00375.490003 6.6010.5010.39972.16022.01006.0900047.3010.8010.81706.00029.00029.0000057.8011.2011.11516.09933.00720.1600068.2011.4011.35364.30652.00215.3600078.3011.3011.41326.37609.01283.250001.56197 .03789 1.60000The regression equation "explains" 97.6% of the variation in the company's sales.(e)Source of Sum of Degrees ofVariation Squares Freedom Mean SquaresRegression 1.56197 1 1.56197Residual .03789 5 .007578Total 1.60000*6*Difference is due to round-off errorThe value of F(.05; 1,5) from the F-distribution is 6.61. Since the calculated F is greater than the value from the table, we reject the null hypothesis that there is no relationship between the company's sales and the number of construction permits issues.(f)Estimated sales for Phoenix Lumber Company in 2010 would be $11.234 million.POINTS: 1DIFFICULTY: ModerateQUESTION TYPE: EssayHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPROG: AnalyticTOPICS: Using the Regression Equation to Make PredictionsKEYWORDS: BLOOM’S: AnalysisDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM32. Lenny's, a national restaurant chain, conducted a study of the factors affecting demand (sales). The following variables were defined and measured for a random sample of 30 of its restaurants:Y= Annual restaurant sales ($000)X1= Disposable personal income (per capita) of residents within 5 mile radiusX2= License to sell beer/wine (0 = No, 1 = Yes)X3= Location (within one-half mile of interstate highway--0 = No, 1 = Yes)X4= Population (within 5 mile radius)X5= Number of competing restaurants within 2 mile radiusThe data were entered into a computerized regression program and the following results were obtained:MULTIPLE R.889R-SQUARE.79STD. ERROR OF EST..40ANALYSIS OF VARIANCEDF Sum Squares Mean Sqr.F-StatRegression5326.1365.22618.17Error2486.17 3.590Total29412.30Variable Coefficient Std. Error T-ValueConstant .363 .196 1.852X-1 .00275 .00104 2.644X-276.6593.70 .818X-3164.3 235.4 .698X-4 .00331 .00126 2.627X-546.2 12.1 −3.818Questions:(a)Give the regression equation for predicting restaurant sales.(b)Give an interpretation of each of the estimated regression coefficients.(c)Which of the independent variables (if any) are statistically significant at the .05 level in "explaining" restaurant sales?(d)What proportion of the variation in restaurant sales is "explained" by the regression equation?(e)Perform an F-test (at the .05 significance level) of the overall explanatory power of the regression model.ANSWER:(a)Y = .363 + .00275X1 + 76.65X2 + 164.3X3 + .00331X4− 46.2X5(b) a = .363Value of dependent variable (Y) when all independent variables (X's) are equal to zero.b1 = .00275For a one dollar increase in per capita disposable income, expected restaurant sales will increase by .00275(× $1000) = $2.7b2 = 76.65Expected annual restaurant sales are 76.65(× $1000) = $76,650 higher for a restaurant with a license to sell beer/wine than for one without such a license.b3 = 164.3Expected annual restaurant sales are 164.3(× $1000) = $164,300 higher for a restaurant located within one-half mile of an interstate highway.b4 = .00331For a one person increase in population, expected restaurant sales will increase by .00331(× $1000) = $3.31.b5 = −46.2For a one unit increase in the number of restaurants within a 2-mile radius, expected annual restaurant sales decrease by 46.2(× $1000) = $46,200.(c)H0: βi = 0H1: βi≠ 0Reject H0 if t > t.025, 24 = 2.064 or t < −2.064.The t-values of X1 and X4 are greater than +2.064 (and the t-value of X5 is less than −2.064). Therefore X1, X4, and X5 are statistically significant at the .05 level in"explaining" restaurant sales.(d)According to the R-SQUARE statistic, 79 percent of the variation in restaurant sales is "explained" by the regression equation.(e)H0: All b i = 0 (no relationship)H1: At least one b i≠ 0Reject H0 if F > F .05, 5, 24 = 2.62The F-STAT is equal to 18.18, which exceeds 2.62. Therefore, one rejects the nullhypothesis (at the .05 significance level) and concludes that the five independentvariables "explain" a significant proportion of the variation in restaurant sales. POINTS: 1DIFFICULTY: ModerateQUESTION TYPE: EssayHAS VARIABLES: FalseNATIONAL STANDARDS: U nited States - BPRPOG: AnalysisTOPICS: Multiple Linear Regression ModelKEYWORDS: BLOOM’S: AnalysisDATE CREATED: 6/30/2016 9:40 AMDATE MODIFIED: 6/30/2016 9:40 AM33. The following demand function has been estimated for Fantasy pinball machines:Q D = 3,500 − 40P + 17.5P x + 670U + .0090A + 6,500N。
写作篇_Chapter_Four_Types_of_Essay_Writing
I. Expository Essay
II. Comparison and Contrast III. Description
IV. Argument V. Abstract
I. Expository Essay
I. Expository Essay
The conclusion in an essay, like the concluding sentence in a paragraph, is a summary or review of the main points discussed in the body.
I. Expository Essay
The most common type of essay writing is expository essay or exposition. The purpose of this writing is to inform or explain. he writer appeals to the readers understanding with provable facts and wellbased information, and explains the material so that the reader will accept his point of view. Exposition is used to explain anything difficult to understand, for example, the explanation of a natural law, a scientific discovery, an invention, or a solution to a problem.
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McGraw Hill/Irwin
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Stocks & Stock Market
Book Value - Net worth of the firm according to the balance sheet. Liquidation Value - Net proceeds that would be realized by selling the firm’s assets and paying off its creditors. Market Value Balance Sheet - Financial statement that uses market value of assets and liabilities.
P erp etu ity P0
Assumes all earnings are paid to shareholders.
McGraw Hill/Irwin
D iv 1 r
or
E P S1 r
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4- 12
Valuing Common Stocks
McGraw Hill/Irwin
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4- 13
Valuing Common Stocks
Example Current forecasts are for XYZ Company to pay dividends of $3, $3.24, and $3.50 over the next three years, respectively. At the end of three years you anticipate selling your stock at a market price of $94.48. What is the price of the stock given a 12% expected return?
McGraw Hill/Irwin
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4- 3
Stocks & Stock Market
Common Stock - Ownership shares in a publicly held corporation. Secondary Market - market in which already issued securities are traded by investors. Dividend - Periodic cash distribution from the firm to the shareholders. P/E Ratio - Price per share divided by earnings per share.
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Valuing Common Stocks
Dividend Discount Model - Computation of today’s stock price which states that share value equals the present value of all expected future dividends.
P 0
Div1 (1 r )
1
Div2 (1 r )
2
...
Div H PH (1 r )
H
H - Time horizon for your investment.
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The formula can be broken into two parts. Dividend Yield + Capital Appreciation
Div1 P 0 PP 1 0 P 0
Expected Return r
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Valuing Common Stocks
Dividend Discount Model - Computation of today’s stock price which states that share value equals the present value of all expected future dividends.
Expected Return
5 110 100 100
.15
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Valuing Common Stocks
Div P0
ROE EPS Book Equit y Per Share
Dividend
Yield
1
Return on Equity
ROE
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4- 16
Valuing Common Stocks
If we forecast no growth, and plan to hold out stock indefinitely, we will then value the stock as a PERPETUITY.
4- 8
Valuing Common Stocks
Capitalization Rate can be estimated using the perpetuity formula, given minor algebraic manipulation.
Capitaliza tion Rate P 0 r
ቤተ መጻሕፍቲ ባይዱ
4- 15
Valuing Common Stocks
If we forecast no growth, and plan to hold out stock indefinitely, we will then value the stock as a PERPETUITY.
McGraw Hill/Irwin
4- 17
Valuing Common Stocks
Constant Growth DDM - A version of the dividend growth model in which dividends grow at a constant rate (Gordon Growth Model).
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Example: If Fledgling Electronics is selling for $100 per share today and is expected to sell for $110 one year from now, what is the expected return if the dividend one year from now is forecasted to be $5.00?
Div1 rg g
Div1 P 0
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Valuing Common Stocks
Return Measurements
Expected Return r
Div1 P P 1 0 P 0
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Valuing Common Stocks
McGraw Hill/Irwin
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4- 14
Valuing Common Stocks
Example Current forecasts are for XYZ Company to pay dividends of $3, $3.24, and $3.50 over the next three years, respectively. At the end of three years you anticipate selling your stock at a market price of $94.48. What is the price of the stock given a 12% expected return?