Day: April 27, 2018

QP Corp. sold 4,000 units of its product at $50 per unit in year 2015 and incurred operating expenses of $5 per unit in selling the units.

It began the year with 700 units in inventory and made successive purchases of its product as follows.

Jan.   1 Beginning inventory   . . . . . . . .  700 units @ $18.00 per unit

Feb. 20 Purchase  . . . . . . . . . . . . . . . . .  1,700 units @ $19.00 per unit

May 16 Purchase  . . . . . . . . . . . . . . . . .  800 units @ $20.00 per unit

Oct.  3 Purchase  . . . . . . . . . . . . . . . . .  500 units @ $21.00 per unit

Dec. 11 Purchase  . . . . . . . . . . . . . . . . .  2,300 units @ $22.00 per unit

Total . . . . . . . . . . . . . . . . . . . .  6,000 units

Required 1. Prepare comparative income statements similar to Exhibit 6.8 for the three inventory costing methods of FIFO, LIFO, and weighted average. (Round all amounts to cents.)

Include a detailed cost of goods sold section as part of each statement. The company uses a periodic inventory system, and its income tax rate is 40%.

2. How would the financial results from using the three alternative inventory costing methods change if the company had been experiencing declining costs in its purchases of inventory?

3. What advantages and disadvantages are offered by using (a) LIFO and (b) FIFO? Assume the continuing trend of increasing costs.

Imagine you have inherited a restaurant. The restaurant has been out of operation for a bit so this is a blank slate for you to start a new career as a restaurateur and to open a new restaurant. Imagine that you own a upscale restaurant. Write a six to eight (6) page paper in which you: Create a statement describing the value your restaurant will bring your upscale clientele. Determine the pricing strategy that will benefit your restaurant the most. Explain why you chose this strategy. Choose a value communication strategy that you will use to attract potential customers and keep customers coming back. You are contemplating adding a daily special that is unique from the regular menu. Decide and then justify your answer to whether it makes more sense to go upscale and offer a higher priced item than is on your current menu, the same price that aligns to the other menu items, or a lower- priced item compared to your current menu.

Homework 1 NAME_____________________ Please type your answers and upload to D2L dropbox folder Question 1. Let’s say that you want to open your own haircut salon. a) What would be the inputs you use in the production? b) What is your output? c) Write down 5 decisions you will have to make (the decisions discussed in the book and class) and specify what you actually decided on in each of thesedecisions. Question 2. a) Over the past 30 years, technological advancements have reduced the cost of computer chips. How do you think this has affected the market for computers? For computer software? For typewriters? b) Suppose that in the year 2015 the number of births is temporarily high. How does this baby boom affect the price of babysitting services in 2020 and in 2030? (hint: 5-year-olds need babysitters, whereas 15-year-olds can be babysitters Question 3.You are thinking of opening a hardware store. You estimate it will cost $100,000 a year to rent a storefront and $400,000 to renovate and purchase equipment. You will also have to quit your current job which pays $50,000 a year. a. What are your explicit costs of opening a hardware store? Implicit costs? b. If you calculate that your revenue in the first year will be $510,000, what is your accounting profit? Economic profit? c. If you are motivated by profit only, should you stay at your current job or open your own store? Question 4. a) The table below illustrates quantities supply and demanded for flashlights. Does the Law of demand holds in this market? What about the law of supply? What do you think is the equilibrium price in this market? Price Quantity Demanded Per Month Quantity Supplied Per Month $5 6,000 10,000 $4 8,000 8,000 $3 10,000 6,000 $2 12,000 4,000 $1 14,000 2,000 b) Suppose the price is currently $5. Will we have more buyers or sellers in this market? Why is this a problem? What would you expect to happen to price? c) Suppose the price is currently $2. Will we have more buyers or sellers in this market Why is this a problem? What would you expect to happen to price?

Strategic Behavior Oligopolies

An interesting example of strategic behavior comes from a 1997 article about Microsoft’s investment in Apple (New Straits Times, 1997). The article is included in the Required Readings list. Facing tough anti-trust scrutiny from government agencies, Microsoft provided financial support to Apple in order to ensure Apple’s survival and, therefore, to ensure that competitiveness in the industry remains. Moreover, the partnership with Apple provided an additional market for Microsoft’s products – the MS Office and the IE products were to be bundled with the MAC OS as one of the conditions for this financing. Discuss this case in the context of market structure and strategic behavior. What market structure do these firms operate in? Why did Microsoft need to preserve competitiveness in the industry? What was Microsoft afraid of in the event that Apple did not survive?

Guided Response:

In 300 words or more, please, provide your response to the above discussion question. Further, do you think Microsoft regrets taking action in light of Apple’s performance today?

Local Market Power

Bulls Eye department store specializes in the sales of discounted clothing, shoes, household items, etc. similar to the offerings at a regular Walmart or Target. Bulls Eye is the only department store in Show Low and the nearest other discount retailer is Target, located 49 miles away in Eagar. Bulls Eye, therefore, has some market power in its local area. Despite having some market power, Bulls Eye is currently suffering losses. An analyst at Bulls Eye is recommending to the manager to raise prices, so that profitability can be improved. The manager is unsure of this strategy as recent data points to increasing numbers of individuals shopping more and more. What are the pros and cons of raising the prices at Bulls Eye and would that strategy be profitable?

Guided Response:

Consider demand elasticity and market structure in your response. How is increasing of the price going to impact the company’s revenues given its demand elasticity? In 300 words or more, please, provide your response to the above discussion questions.

Assignment 2 1. Explain each of the following statements using supply and demand. a. When a cold snap hits Florida, the price of orange juice rises in super markets throughout the country. b. When the weather turns warm in New England every summer, the price of hotel rooms in Caribbean resorts plummets. 2. For each of the following market situations, explain whether the supply curve or the demand curve shifts, in which direction does it shift, and the equilibrium price and quantity as a result of the change. a. The market for Ginkgo Biloba after studies shows its efficacy at memory retention with no adverse side effects. b. The market is for automobiles after the price of steel, which is used to produce automobiles, increases by 50%. 3. Consider the following events: Scientists reveal that consumption of oranges decreases the risk of diabetes, and at the same time, farmers use a new fertilizer that makes orange trees more productive. Illustrate and explain what effect these changes have on the equilibrium price and quantity of oranges. 4. Explain and define income elasticity of demand. What does it tell you about a good?

Human development in psychology focuses on the life span of people and identifies aspects which change and remain the same.

In the last class presentation we discussed a few perspectives (biological, ecological and biological/ecological) within Human development. Then, we watched 20 minutes of a documentary film: ‘Louder Than A Bomb’, and were asked to link what you heard, observed, and remembered of the characters in the film, and utilize the a the ecological perspective to deepen your thoughts. This exercise is a creative way to apply the information by linking theory with action.

Please continue to develop your thoughts utilizing one of the 3 perspectives below. Write at least 3-4 sentences of developed linked thoughts.

Utilizing the Ecological perspective (Bronfenbrenner), identify and describe the environment(s) that the you as an adolescent experienced.
Psychodynamic Perspective: Projective identification. Which one of the high school students did you like or identify the most with? Please clarify your thoughts with clear detail, or a concrete example to clarify your ideas.
Take Erik Erikson’s stages of Psychosocial Development and identify how you as an adolescents experienced one of the stages: Industry vs. Inferiority, Identity vs. Role.
Please read your notes and the textbook material as you develop your thoughts. Thank you!

Questions. 1. Explain what engineering management is. What skills an engineer manager needs to succeed in the new millennium? Include References. 2. What was the positive value of Max Weber’s model of “bureaucracy”? Include references. 3. For what types of employees or positions do you think management by objectives (MBO) should prove particularly effective? Ineffective? Include References 4. Explain the difference between “optimizing” and “sufficing” in making decisions, and distinguish between routine and non-routine decisions. Include References. 5. Herzberg specifically classed salary as a hygiene factor, not a motivator. How does salary fit in with Maslow’s hierarchy? Discuss how these two statements relate. Include References. 6. Two products are to be manufactured. A single unit of product A requires 2.4 minutes of punch press time and 5.0 minutes of assembly time. The profit for product A is $0.60 per unit. A single unit product B requires 3.0 minutes of punch press time and 2.5 minutes of welding time. The profit for product B is $0.80 per unit. The capacity of the punch press department available for these products is 1,200 minutes per week. The welding department has idle capacity of 600 minutes per week; the assembly department can supply 1,500 minutes of capacity per week. Determine the maximum profit production plan. Include references.

set 1 1. (TCO A) An advantage of the corporate form of business is that _____. (Points : 5) it has limited life its owner’s personal resources are at stake its ownership is easily transferable via the sale of shares of stock it is simple to establish 2. (TCO A) When a corporation distributes a dividend, _____. (Points : 5) the most common form of distribution is a cash dividend the Dividends account will be increased with a credit the Retained Earnings account will be directly increased with a debit the Dividends account will be decreased with a debit 3. (TCOs A, B) Below is a partial list of account balances for Denton Company: Cash $7,000 Prepaid insurance 700 Accounts receivable 3,500 Accounts payable 2,800 Notes payable 4,200 Common stock 1,400 Dividends 700 Revenues 21,000 Expenses 17,500 What did Denton Company show as total credits? (Points : 5) $30,100 $29,400 $28,700 $30,800 4. (TCOs B, E) A small and private company may be able to justify using a cash basis of accounting if it has _____. (Points : 5) sales under $1,000,000 no accountants on staff insignificant receivables and payables all sales and purchases on account 5. (TCO D) In a period of increasing prices, which inventory cost flow assumption will result in the lowest amount of income tax expense? (Points : 5) FIFO LIFO The average cost method Income tax expense for the period will be the same under all assumptions. 6. (TCOs A, E) Equipment was purchased for $60,000. Freight charges amounted to $2,800 and there was a cost of $8,000 for building a foundation and installing the equipment. It is estimated that the equipment will have a $12,000 salvage value at the end of its 5-year useful life. Depreciation expense each year using the straight-line method will be _____. (Points : 5) $14,160 $11,760 $9,840 $9,600 7. (TCOs D, G) Lopez Corporation issues 500 ten-year, 8%, $1,000 bonds dated January 1, 2007, at 96. The journal entry to record the issuance will show a _____. (Points : 5) debit to Cash of $500,000 credit to Discount on Bonds Payable for $20,000 credit to Bonds Payable for $480,000 debit to Cash for $480,000 8. (TCO C) Accounts receivable arising from sales to customers amounted to $35,000 and $40,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $120,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is _____. (Points : 5) $120,000 $125,000 $155,000 $115,000 9. (TCO F) Which one of the following is not a tool in financial statement analysis? (Points : 5) Horizontal analysis Circular analysis Vertical analysis Ratio analysis 10. (TCO F) In vertical analysis, the base amount for studying salary and wages expense is generally _____. (Points : 5) net sales salary and wages expense in a previous year gross profit net income 11. (TCO F) Ratios are most useful in identifying _____. (Points : 5) trends differences causes relationships among different numbers 12. (TCO F) A common measure of liquidity is _____. (Points : 5) return on assets current ratio profit margin debt to equity 13. (TCO F) Return-on-assets ratio is most closely related to _____. (Points : 5) profit margin and debt-to-total-assets ratio profit margin and asset-turnover ratio times interest earned and debt-to-stockholders equity ratio profit margin and free cash flow 14. (TCO G) To calculate the market value of a bond, we need to _____. (Points : 5) find out the present value of all of the future cash payments promised by the bond calculate the present value of the principal only calculate the present value of the interest only multiply the bond price by the interest rate 1. (TCO A) Below you will find selected information (in millions) from Coca-Cola Co.’s 2012 Annual Report: Income Taxes Payable $471 Short-term Investments and Marketable Securities 8,109 Cash 8,442 Other non-current Liabilities 10,449 Common Stock 1,760 Receivables 4,812 Other Current Assets 2,973 Long-term Investments 10,448 Other Non-current Assets 3,585 Property, Plant and Equipment 23,486 Trademarks 6,527 Other Intangible Assets 20,810 Allowance for Doubtful Accounts 53 Accumulated Depreciation 9,010 Accounts Payable 8,680 Short Term Notes Payable 17,874 Prepaid Expenses 2,781 Other Current Liabilities 796 Long-Term Liabilities 14,736 Paid-in-Capital in Excess of Par Value 11,379 Retained Earnings 55,038 Inventories 3,264 Treasury Stock 35,009 Other information taken from the Annual Report: Sales Revenue for 2012 $48,017 Cost of Goods Sold for 2012 19,053 Net Income for 2012 9,019 Inventory Balance on 12/31/11 3,092 Net Accounts Receivable Balance on 12/31/11 4,920 Total Assets on 12/31/11 79,974 Equity Balance on 12/31/11 31,921 Required: 1. Using the information provided prepare a Balance Sheet. Separate the current assets from non-current assets and provide a total for each. Also separate the current liabilities from the non-current liabilities and provide a total for each. 2. Using the Balance Sheet from your answer above calculate; Current Ratio, Days in Inventory, Average Collection Period, Return on Assets Ratio, Debt to Total Assets and Return on common stockholders’ equity ratio. (Make sure to show all your work) (Points : 36) 2. (TCO B) The following selected data was retrieved from the Wal-Mart, Inc. financial statements for the year ending January 31, 2013: Accounts Payable $38,080 Accounts Receivable 6,768 Cash 7,781 Common Stock 3,952 Cost of Goods Sold 352,488 Income Tax Expense 7,981 Interest Expenses 2,064 Membership Revenues 3,048 Net Sales 466,114 Operating, Selling and Administrative Expenses 88,873 Retained Earnings 72,978 Required: Using the information provided above: 1. Prepare a multiple-step income statement 2. Calculate the Profit Margin, and Gross profit rate for the company. Be sure to provide the formula you are using, show your calculations, and discuss your findings/results. (Points : 36) 3. (TCO C) Please review the following real-world Hewlett Packard Statement of Cash flows and address the 2 questions below: Cash flow from operating activities In millions In millions For the year ended 2012 For the year ended 2011 Net (loss) earnings $(12,650) $7,074 Depreciation and amortization 5,095 4,984 Impairment of goodwill and purchased intangible assets 18,035 885 Stock-based compensation expense 635 685 Provision for doubtful accounts 142 81 Provision for inventory 277 217 Restructuring charges 2,266 645 Deferred taxes on earnings (711) 166 Excess tax benefit from stock-based competition (12) (163) Other, net 265 (46) Accounts and financing receivables 1,269 (227) Inventory 890 (1,252) Accounts payable (1,414) 275 Taxes on earnings (320) 610 Restructuring (840) (1,002) Other assets and liabilities (2,356) (293) Net cash provided by operating activities 10,571 12,639 Cash flows from investing activities: Investment in property, plant, and equipment (3,706) (4,539) Proceeds from sale of property, plant, and equipment 617 999 Purchases of available-for-sale securities and other investments (972) (96) Maturities and sales of available-for-sale securities and other investment 662 68 Payments in connection with business acquisitions, net of cash acquired (141) (10,480) Proceeds from business divestiture, net 87 89 Net cash used in investing activities (3,453) (13,959) Cash flow from financing activities: (Payments) issuance of commercial paper and notes payable, net (2,775) (1,270) Issuance of debt 5,154 11,942 Payment of debt (4,333) (2,336) Issuance of common stock under employee stock plans 716 896 Repurchase of common stock (1,619) (10,117) Excess tax benefit from stock-based compensation 12 163 Cash dividends paid (1,015) (844) Net cash used in financing activities (3,860) (1,566) Increase (decrease) in cash and cash equivalents 3,258 (2,886) Cash and cash equivalents at beginning of period 8,043 10,929 Cash and cash equivalents at end of period $11,301 $8,043 Required: 1) Please calculate the percentage increase or decrease in cash for the operating, investing, and financing sections and explain the major reasons for the increase or decrease for each of these sections. 2) Please calculate the free cash flow for 2012 and explain the meaning of this ratio. (Points : 36) 4. (TCO D) You are CFO of Goforit, Inc., a wholesale distribution company specializing in emerging technologies. Your CEO is a brilliant marketer, but relies on you to explain issues and choices in accounting and finance. She has heard from other members of a CEO organization to which she belongs that a company’s net income can vary widely depending on which accounting choices are made from the “GAAP menu.” Assuming the goal is to maximize net income, choose an accounting treatment from each of the following scenarios, and explain to your CEO why the choice will produce the desired effect on reported Net Income for the current year. Include in your answer the effect of the choice on both the income statement and balance sheet. Required: a. Goforit carries significant electronics inventory in a competitive environment where prices are actually falling. Which inventory valuation method would you choose—LIFO, FIFO, or average cost? Assume that unit purchases exceed unit sales. b. Goforit has a large investment in warehouse equipment including conveyor belts, forklifts, and automated packaging systems. Which depreciation method would you choose: Straight line (SL) or double declining balance (DDB)? (Points : 36) 5. (TCO F) Please review the following real-world ratios for Johnson & Johnson and Pfizer for the year ended 2012 and address the 2 questions below. Ratio Name Johnson & Johnson Pfizer Profit margin 16.1% 24.7% Inventory turnover ratio 3.1 1.7 Average collection period 59.4 days 69.1 days Cash debt coverage ratio .27 .16 Debt to Total assets 46.6% 127.5% Required: 1) Please explain the meaning of each of the Pfizer ratios above. 2) Please state which company performed better for each ratio. set 2 1.(TCO A) Which one of the following is an advantage of corporations relative to partnerships and sole proprietorships? (Points : 5) Reduced legal liability for investors Harder to transfer ownership Lower taxes Most common form of organization 2.(TCO A) When a corporation distributes a dividend, _____. (Points : 5) the most common form of distribution is a cash dividend the Dividends account will be increased with a credit the Retained Earnings account will be directly increased with a debit the Dividends account will be decreased with a debit 3.(TCOs A, B) Below is a partial list of account balances for Cerner Company: Cash $5,000 Prepaid insurance 500 Accounts receivable 2,500 Accounts payable 2,000 Notes payable 3,000 Common stock 1,000 Dividends 500 Revenues 15,000 Expenses 12,500 What did Cerner Company show as total credits? (Points : 5) $21,500 $21,000 $20,500 $22,000 4.(TCOs B, E) A small and private company may be able to justify using a cash basis of accounting if it has _____. (Points : 5) sales under $1,000,000 no accountants on staff insignificant receivables and payables all sales and purchases on account 5.(TCO D) Three companies report the same cost of goods available for sale, but each employs a different inventory costing method. If the price of goods has increased during the period, then the company using _____. (Points : 5) LIFO will have the highest ending inventory FIFO will have the highest cost of goods sold All three companies will have the same value for ending inventory. average cost will have an ending inventory value that falls between FIFO and LIFO 6.(TCOs A, E) Equipment was purchased for $60,000. Freight charges amounted to $2,800 and there was a cost of $8,000 for building a foundation and installing the equipment. It is estimated that the equipment will have a $12,000 salvage value at the end of its 5-year useful life. Depreciation expense each year using the straight-line method will be _____. (Points : 5) $14,160 $11,760 $9,840 $9,600 7.(TCOs D, G) Mendez Corporation issues 2,000 ten-year, 8%, $1,000 bonds dated January 1, 2007, at 103. The journal entry to record the issuance will show a _____. (Points : 5) debit to Cash of $2,000,000 debit to Premium on Bonds Payable for $60,000 credit to Bonds Payable for $2,000,000 credit to Cash for $2,060,000 8.(TCO C) Accounts receivable arising from sales to customers amounted to $35,000 and $40,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $120,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is _____. (Points : 5) $120,000 $125,000 $155,000 $115,000 9.(TCO F) One variation of the horizontal analysis is known as _____. (Points : 5) nonlinear analysis vertical analysis trend analysis common-size analysis 10.(TCO F) In a common-size balance sheet, the 100% figure is _____. (Points : 5) total current assets total property, plant, and equipment total liabilities total assets 11.(TCO F) In vertical analysis, the base amount for studying salary and wages expense is generally _____. (Points : 5) net sales salary and wages expense in a previous year gross profit net income 12.(TCO F) A common measure of profitability is the _____. (Points : 5) current ratio current cash debt coverage ratio return on common stockholder’s equity ratio debt to total assets 13.(TCO F) Return-on-assets ratio is most closely related to _____. (Points : 5) profit margin and debt-to-total-assets ratio profit margin and asset-turnover ratio times interest earned and debt-to-stockholders equity ratio profit margin and free cash flow 14.(TCO G) To calculate the market value of a bond, we need to _____. (Points : 5) find out the present value of all of the future cash payments promised by the bond calculate the present value of the principal only calculate the present value of the interest only multiply the bond price by the interest rate 1. (TCO A) Below you will find selected information (in millions) from Coca-Cola Co.’s 2012 Annual Report: Income Taxes Payable $471 Short-term Investments and Marketable Securities 8,109 Cash 8,442 Other non-current Liabilities 10,449 Common Stock 1,760 Receivables 4,812 Other Current Assets 2,973 Long-term Investments 10,448 Other Non-current Assets 3,585 Property, Plant and Equipment 23,486 Trademarks 6,527 Other Intangible Assets 20,810 Allowance for Doubtful Accounts 53 Accumulated Depreciation 9,010 Accounts Payable 8,680 Short Term Notes Payable 17,874 Prepaid Expenses 2,781 Other Current Liabilities 796 Long-Term Liabilities 14,736 Paid-in-Capital in Excess of Par Value 11,379 Retained Earnings 55,038 Inventories 3,264 Treasury Stock 35,009 Other information taken from the Annual Report: Sales Revenue for 2012 $48,017 Cost of Goods Sold for 2012 19,053 Net Income for 2012 9,019 Inventory Balance on 12/31/11 3,092 Net Accounts Receivable Balance on 12/31/11 4,920 Total Assets on 12/31/11 79,974 Equity Balance on 12/31/11 31,921 Required: 1. Using the information provided prepare a Balance Sheet. Separate the current assets from non-current assets and provide a total for each. Also separate the current liabilities from the non-current liabilities and provide a total for each. 2. Using the Balance Sheet from your answer above calculate; Current Ratio, Days in Inventory, Average Collection Period, Return on Assets Ratio, Debt to Total Assets and Return on common stockholders’ equity ratio. (Make sure to show all your work) (Points : 36) 2. (TCO B) The following selected data was retrieved from the Wal-Mart, Inc. financial statements for the year ending January 31, 2013: Accounts Payable $38,080 Accounts Receivable 6,768 Cash 7,781 Common Stock 3,952 Cost of Goods Sold 352,488 Income Tax Expense 7,981 Interest Expenses 2,064 Membership Revenues 3,048 Net Sales 466,114 Operating, Selling and Administrative Expenses 88,873 Retained Earnings 72,978 Required: Using the information provided above: 1. Prepare a multiple-step income statement 2. Calculate the Profit Margin, and Gross profit rate for the company. Be sure to provide the formula you are using, show your calculations, and discuss your findings/results. (Points : 36) 3. (TCO C) Please review the following real-world Hewlett Packard Statement of Cash flows and address the 2 questions below: Cash flow from operating activities In millions In millions For the year ended 2012 For the year ended 2011 Net (loss) earnings $(12,650) $7,074 Depreciation and amortization 5,095 4,984 Impairment of goodwill and purchased intangible assets 18,035 885 Stock-based compensation expense 635 685 Provision for doubtful accounts 142 81 Provision for inventory 277 217 Restructuring charges 2,266 645 Deferred taxes on earnings (711) 166 Excess tax benefit from stock-based competition (12) (163) Other, net 265 (46) Accounts and financing receivables 1,269 (227) Inventory 890 (1,252) Accounts payable (1,414) 275 Taxes on earnings (320) 610 Restructuring (840) (1,002) Other assets and liabilities (2,356) (293) Net cash provided by operating activities 10,571 12,639 Cash flows from investing activities: Investment in property, plant, and equipment (3,706) (4,539) Proceeds from sale of property, plant, and equipment 617 999 Purchases of available-for-sale securities and other investments (972) (96) Maturities and sales of available-for-sale securities and other investment 662 68 Payments in connection with business acquisitions, net of cash acquired (141) (10,480) Proceeds from business divestiture, net 87 89 Net cash used in investing activities (3,453) (13,959) Cash flow from financing activities: (Payments) issuance of commercial paper and notes payable, net (2,775) (1,270) Issuance of debt 5,154 11,942 Payment of debt (4,333) (2,336) Issuance of common stock under employee stock plans 716 896 Repurchase of common stock (1,619) (10,117) Excess tax benefit from stock-based compensation 12 163 Cash dividends paid (1,015) (844) Net cash used in financing activities (3,860) (1,566) Increase (decrease) in cash and cash equivalents 3,258 (2,886) Cash and cash equivalents at beginning of period 8,043 10,929 Cash and cash equivalents at end of period $11,301 $8,043 Required: 1) Please calculate the percentage increase or decrease in cash for the operating, investing, and financing sections and explain the major reasons for the increase or decrease for each of these sections. 2) Please calculate the free cash flow for 2012 and explain the meaning of this ratio. (Points : 36) 4. (TCO D) You are CFO of Goforit, Inc., a wholesale distribution company specializing in emerging technologies. Your CEO is a brilliant marketer, but relies on you to explain issues and choices in accounting and finance. She has heard from other members of a CEO organization to which she belongs that a company’s net income can vary widely depending on which accounting choices are made from the “GAAP menu.” Assuming the goal is to maximize net income, choose an accounting treatment from each of the following scenarios, and explain to your CEO why the choice will produce the desired effect on reported Net Income for the current year. Include in your answer the effect of the choice on both the income statement and balance sheet. Required: a. Goforit carries significant electronics inventory in a competitive environment where prices are actually falling. Which inventory valuation method would you choose—LIFO, FIFO, or average cost? Assume that unit purchases exceed unit sales. b. Goforit has a large investment in warehouse equipment including conveyor belts, forklifts, and automated packaging systems. Which depreciation method would you choose: Straight line (SL) or double declining balance (DDB)? (Points : 36) 5. (TCO F) Please review the following real-world ratios for Johnson & Johnson and Pfizer for the year ended 2012 and address the 2 questions below. Ratio Name Johnson & Johnson Pfizer Profit margin 16.1% 24.7% Inventory turnover ratio 3.1 1.7 Average collection period 59.4 days 69.1 days Cash debt coverage ratio .27 .16 Debt to Total assets 46.6% 127.5% Required: 1) Please explain the meaning of each of the Pfizer ratios above. 2) Please state which company performed better for each ratio. set3 1. (TCO A) Which one of the following is an advantage of corporations relative to partnerships and sole proprietorships? (Points : 5) Reduced legal liability for investors Harder to transfer ownership Lower taxes Most common form of organization 2. (TCO A) When a corporation distributes a dividend, _____. (Points : 5) the most common form of distribution is a cash dividend the Dividends account will be increased with a credit the Retained Earnings account will be directly increased with a debit the Dividends account will be decreased with a debit 3. (TCOs A, B) Below is a partial list of account balances for Cerner Company: Cash $5,000 Prepaid insurance 500 Accounts receivable 2,500 Accounts payable 2,000 Notes payable 3,000 Common stock 1,000 Dividends 500 Revenues 15,000 Expenses 12,500 What did Cerner Company show as total credits? (Points : 5) $21,500 $21,000 $20,500 $22,000 4. (TCOs B, E) Using accrual accounting, expenses are recorded and reported only _____. (Points : 5) when they are incurred, whether or not cash is paid when they are incurred and paid at the same time if they are paid before they are incurred if they are paid after they are incurred 5. (TCO D) Three companies report the same cost of goods available for sale, but each employs a different inventory costing method. If the price of goods has increased during the period, then the company using _____. (Points : 5) LIFO will have the highest ending inventory FIFO will have the highest cost of goods sold All three companies will have the same value for ending inventory. average cost will have an ending inventory value that falls between FIFO and LIFO 6. (TCOs A, E) Equipment with a cost of $192,000 has an estimated salvage value of $18,000 and an estimated life of 4 years or 12,000 hours. It is to be depreciated by the straight-line method. What is the amount of depreciation for the first full year, during which the equipment was used 3,300 hours? (Points : 5) $48,000 $52,500 $49,500 $43,500 7. (TCOs D, G) Joyce Corporation issues 1,000 ten-year, 8%, $1,000 bonds dated January 1, 2007, at 102. The journal entry to record the issuance will show a _____. (Points : 5) debit to Cash of $1,020,000 debit to Discount on Bonds Payable for $20,000 credit to Bonds Payable for $1,020,000 credit to Cash for $1,000,000 8. (TCO C) Accounts receivable arising from sales to customers amounted to $80,000 and $70,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $240,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is _____. (Points : 5) $240,000 $250,000 $310,000 $230,000 9. (TCO F) One variation of the horizontal analysis is known as _____. (Points : 5) nonlinear analysis vertical analysis trend analysis common-size analysis 10. (TCO F) Comparisons of data within a company are an example of the following comparative basis. (Points : 5) Industry averages Intercompany Intracompany Interregional 11. (TCO F) Which one of the following is not a characteristic generally evaluated in ratio analysis? (Points : 5) Liquidity Profitability Marketability of the product Solvency 12. (TCO F) Short-term creditors are usually most interested in assessing _____. (Points : 5) solvency liquidity marketability profitability 13. (TCO F) Long-term creditors are usually most interested in evaluating _____. (Points : 5) liquidity marketability profitability solvency 14. (TCO G) To calculate the market value of a bond, we need to _____. (Points : 5) find out the present value of all of the future cash payments promised by the bond calculate the present value of the principal only calculate the present value of the interest only multiply the bond price by the interest rate 1. (TCO A) Below you will find selected information (in millions) from Coca-Cola Co.’s 2012 Annual Report: Income Taxes Payable $471 Short-term Investments and Marketable Securities 8,109 Cash 8,442 Other non-current Liabilities 10,449 Common Stock 1,760 Receivables 4,812 Other Current Assets 2,973 Long-term Investments 10,448 Other Non-current Assets 3,585 Property, Plant and Equipment 23,486 Trademarks 6,527 Other Intangible Assets 20,810 Allowance for Doubtful Accounts 53 Accumulated Depreciation 9,010 Accounts Payable 8,680 Short Term Notes Payable 17,874 Prepaid Expenses 2,781 Other Current Liabilities 796 Long-Term Liabilities 14,736 Paid-in-Capital in Excess of Par Value 11,379 Retained Earnings 55,038 Inventories 3,264 Treasury Stock 35,009 Other information taken from the Annual Report: Sales Revenue for 2012 $48,017 Cost of Goods Sold for 2012 19,053 Net Income for 2012 9,019 Inventory Balance on 12/31/11 3,092 Net Accounts Receivable Balance on 12/31/11 4,920 Total Assets on 12/31/11 79,974 Equity Balance on 12/31/11 31,921 Required: 1. Using the information provided prepare a Balance Sheet. Separate the current assets from non-current assets and provide a total for each. Also separate the current liabilities from the non-current liabilities and provide a total for each. 2. Using the Balance Sheet from your answer above calculate; Current Ratio, Days in Inventory, Average Collection Period, Return on Assets Ratio, Debt to Total Assets and Return on common stockholders’ equity ratio. (Make sure to show all your work) (Points : 36) 2. (TCO B) The following selected data was retrieved from the Wal-Mart, Inc. financial statements for the year ending January 31, 2013: Accounts Payable $38,080 Accounts Receivable 6,768 Cash 7,781 Common Stock 3,952 Cost of Goods Sold 352,488 Income Tax Expense 7,981 Interest Expenses 2,064 Membership Revenues 3,048 Net Sales 466,114 Operating, Selling and Administrative Expenses 88,873 Retained Earnings 72,978 Required: Using the information provided above: 1. Prepare a multiple-step income statement 2. Calculate the Profit Margin, and Gross profit rate for the company. Be sure to provide the formula you are using, show your calculations, and discuss your findings/results. (Points : 36) 3. (TCO C) Please review the following real-world Hewlett Packard Statement of Cash flows and address the 2 questions below: Cash flow from operating activities In millions In millions For the year ended 2012 For the year ended 2011 Net (loss) earnings $(12,650) $7,074 Depreciation and amortization 5,095 4,984 Impairment of goodwill and purchased intangible assets 18,035 885 Stock-based compensation expense 635 685 Provision for doubtful accounts 142 81 Provision for inventory 277 217 Restructuring charges 2,266 645 Deferred taxes on earnings (711) 166 Excess tax benefit from stock-based competition (12) (163) Other, net 265 (46) Accounts and financing receivables 1,269 (227) Inventory 890 (1,252) Accounts payable (1,414) 275 Taxes on earnings (320) 610 Restructuring (840) (1,002) Other assets and liabilities (2,356) (293) Net cash provided by operating activities 10,571 12,639 Cash flows from investing activities: Investment in property, plant, and equipment (3,706) (4,539) Proceeds from sale of property, plant, and equipment 617 999 Purchases of available-for-sale securities and other investments (972) (96) Maturities and sales of available-for-sale securities and other investment 662 68 Payments in connection with business acquisitions, net of cash acquired (141) (10,480) Proceeds from business divestiture, net 87 89 Net cash used in investing activities (3,453) (13,959) Cash flow from financing activities: (Payments) issuance of commercial paper and notes payable, net (2,775) (1,270) Issuance of debt 5,154 11,942 Payment of debt (4,333) (2,336) Issuance of common stock under employee stock plans 716 896 Repurchase of common stock (1,619) (10,117) Excess tax benefit from stock-based compensation 12 163 Cash dividends paid (1,015) (844) Net cash used in financing activities (3,860) (1,566) Increase (decrease) in cash and cash equivalents 3,258 (2,886) Cash and cash equivalents at beginning of period 8,043 10,929 Cash and cash equivalents at end of period $11,301 $8,043 Required: 1) Please calculate the percentage increase or decrease in cash for the operating, investing, and financing sections and explain the major reasons for the increase or decrease for each of these sections. 2) Please calculate the free cash flow for 2012 and explain the meaning of this ratio. (Points : 36) 4. (TCO D) You are CFO of Goforit, Inc., a wholesale distribution company specializing in emerging technologies. Your CEO is a brilliant marketer, but relies on you to explain issues and choices in accounting and finance. She has heard from other members of a CEO organization to which she belongs that a company’s net income can vary widely depending on which accounting choices are made from the “GAAP menu.” Assuming the goal is to maximize net income, choose an accounting treatment from each of the following scenarios, and explain to your CEO why the choice will produce the desired effect on reported Net Income for the current year. Include in your answer the effect of the choice on both the income statement and balance sheet. Required: a. Goforit carries significant electronics inventory in a competitive environment where prices are actually falling. Which inventory valuation method would you choose—LIFO, FIFO, or average cost? Assume that unit purchases exceed unit sales. b. Goforit has a large investment in warehouse equipment including conveyor belts, forklifts, and automated packaging systems. Which depreciation method would you choose: Straight line (SL) or double declining balance (DDB)? (Points : 36) 5. (TCO F) Please review the following real-world ratios for Johnson & Johnson and Pfizer for the year ended 2012 and address the 2 questions below. Ratio Name Johnson & Johnson Pfizer Profit margin 16.1% 24.7% Inventory turnover ratio 3.1 1.7 Average collection period 59.4 days 69.1 days Cash debt coverage ratio .27 .16 Debt to Total assets 46.6% 127.5% Required: 1) Please explain the meaning of each of the Pfizer ratios above. 2) Please state which company performed better for each ratio. set 4 1. (TCO A) Which of the following is an advantage of the sole proprietorship relative to the corporate form of business organization? (Points : 5) Limited liability of investor Transferability of ownership Simple to establish Unlimited life 2. (TCO A) Dividends _____. (Points : 5) represent an expense and are an operating activity represent an obligation and are an operating activity represent a distribution of earnings and are a financing activity represent an asset and are an investing activity 3. (TCOs A, B) Below is a partial list of account balances for LBJ Company: Cash $15,000 Prepaid insurance 5,000 Accounts receivable 2,500 Accounts payable 3,000 Notes payable 6,000 Common stock 10,000 Dividends 500 Revenues 15,000 Expenses 13,000 What did LBJ Company show as total debits? (Points : 5) $34,000 $36,000 $70,000 $31,000 4. (TCOs B, E) Why is the accrual basis of accounting preferred by GAAP? (Points : 5) The Accrual basis is easier to use. The Accrual basis is also preferred by the Internal Revenue Service. The Accrual basis complies with the revenue recognition and matching principles. The Accrual basis requires fewer accounting resources. 5. (TCO D) In a period of increasing prices, which inventory cost flow assumption will result in the highest amount of net income?(Points : 5) LIFO The average cost method FIFO Income tax expense for the period will be the same under all assumptions. 6. (TCOs A, E) Equipment was purchased for $75,000 on January 1, 2011. Freight charges of $3,200 were incurred and there was a cost of $6,000 for installation. It is estimated the equipment will have a $12,000 salvage value at the end of its 5-year useful life. Depreciation expense for 2011 using the straight-line method will be _____. (Points : 5) $13,800 $14,440 $12,600 $13,240 7. (TCO D,G) Payne Corporation issues 100 twenty-year, 6%, $1,000 bonds dated July 1, 2010, at 94. The journal entry to record the issuance will show a _____. (Points : 5) debit to Cash of $100,000 credit to Bonds Payable of $94,000 credit to Premium on Bonds Payable of $4,000 debit to Discount on Bonds Payable of $6,000 8. (TCO C) Accounts receivable arising from sales to customers amounted to $80,000 and $100,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $1,000,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is _____. (Points : 5) $20,000 $1,020,000 $1,000,000 $980,000 9. (TCO F) If you are making comparisons within a company to detect changes in financial relationships and significant trends, you are performing what type of analysis? (Points : 5) Industry averages analysis Intercompany analysis Common-size analysis Intracompany analysis 10. (TCO F) The formula for performing horizontal analysis is _____. (Points : 5) (Current Year Amount minus Base Year Amount) divided by Current Year Amount Base Year Amount divided by Current Year Amount Current Year Amount minus Base Year Amount (Current Year Amount minus Base Year Amount) divided by Base Year Amount 11. (TCO F) Horizontal analysis is a technique for evaluating a series of financial statement data over a period of time _____.(Points : 5) that has been arranged from the highest number to the lowest number that has been arranged from the lowest number to the highest number to determine which numbers are in error to determine the amount and/or percentage increase or decrease that has taken place 12. (TCO F) A common measure of liquidity is _____. (Points : 5) debt-to-total-assets ratio cash debt coverage free cash flow working capital 13. (TCO F) Short-term creditors would be most interested in which of the following ratios? (Points : 5) Average collection period Times interest earned Cash debt coverage Free cash flow 14. (TCO G) To calculate the market value of a bond, we need to _____. (Points : 5) multiply the bond price times the interest rate calculate the present value of the principal only calculate the present value of the interest only calculate the present value of both the principal and 1. (TCO A) Use the following partial financial statement information below to calculate the liquidity and profitability ratios. This information can be used to correctly solve each of the ratios below. Average common shares outstanding 35,000 Current liabilities $25,000 Capital expenditures $20,000 Net income $50,000 Cash provided by operations $77,000 Net sales $100,000 Preferred stock dividends paid $30,000 Total liabilities $50,000 Current assets $20,000 Total assets $80,000 Instructions: Compute the following. a) Current ratio b) Working capital c) Earnings per share d) Debt-to-total-assets ratio e) Free cash flow To earn full credit, you must show the formula you are using, show your computations, and explain the meaning of each of your ratio results. (Points : 30) 2. (TCO D) The Oxford Company has budgeted sales revenues as follows. Oct Nov Dec Credit sales $120,000 $96,000 $72,000 Cash sales 72,000 204,000 156,000 Total sales 192,000 300,000 228,000 Past experience indicates that 60% of the credit sales will be collected in the month of sale and the remaining 40% will be collected in the following month. Purchases of inventory are all on credit, with 60% paid in the month of purchase and 40% in the month following purchase. Budgeted inventory purchases are $260,000 in October, $180,000 in November, and $84,000 in December. Other budgeted cash receipts include (a) the sale of plant assets for $49,400 in November and (b) the sale of new common stock for $67,400 in December. Other budgeted cash disbursements include (a) operating expenses of $27,000 each month, (b) selling and administrative expenses of $50,000 each month, (c) dividends of $76,000 to be paid in November, and (d) purchase of equipment for $24,000 cash in December. The company has a cash balance of $40,000 at the beginning of December and wishes to maintain a minimum cash balance of $40,000 at the end of each month. An open line of credit is available at the bank and carries an annual interest rate of 12%. Assume that all borrowing is done on the first day of the month in which financing is needed and that all repayments are made on the last day of the month in which excess cash is available. Also assume that $14,000 of financing was obtained on November 1. Requirements: Use this information to prepare a schedule of expected cash payments for purchases of inventory for the months of November and December only. This question does not require creation of an entire cash budget so please only create the schedule that is asked for in the question because otherwise you will be wasting valuable time. (Points : 30) 3. (TCOs B, E) The following items are taken from the financial statements of Lansing Company for 2010. Accounts payable $16,500 Accounts receivable 25,500 Accumulated depreciation 12,600 Bonds payable 35,000 Cash 55,000 Common stock 75,000 Cost of goods sold 53,000 Depreciation expense 6,300 Dividends 5,300 Equipment 35,000 Interest expense 4,300 Patents 6,500 Retained earnings, January 1 80,000 Salaries expense 42,000 Sales revenue 115,000 Supplies 3,500 Instructions: Prepare an income statement and a retained earnings statement for Lansing Company. (Points : 30) 4. (TCO D) Your friend James has hired you to evaluate the following internal control procedures. a) Explain to your friend whether each of the numbered items below is an internal control strength or weakness. You must also state which principle relates to each of the internal controls. b) For the weaknesses, you also need to state a recommendation for improvement. Everyone has access to the petty cash fund. Cash register codes are assigned to each cashier. The treasurer is the only one allowed to sign checks. Supervisors count cash receipts daily. The treasurer approves of the purchases and makes the payment because he is familiar with the purchases. (Points : 30) 5. (TCOs D, E) Please prepare the following journal entries. Indicate which account should be debited with the abbreviation DR in front of the account name and which account should be credited with the abbreviation CR in front of the account name along with the dollar amount of the debit and credit. a) Investors invested $150,000 in exchange for 10,000 shares of common stock. b) Company made payment on account for $10,000 c) Company received $15,000 for services not yet performed d) Company purchased $7,500 worth of equipment e) Company billed $5,000 for services performed (Points : 30) 6. (TCO C) Please indicate which section of the statement of cash flows should contain each of the following items and whether each item would result in an inflow or outflow of cash. The sections are Operating, Investing, and Financing. a) Depreciation of equipment b) Increase in accounts payable c) Sold a building at book value d) Payment of dividends e) Increase in inventory (Points : 30)

This is the same assignment with the one I have ordered yesterday but another student’s. So I need this to be different with the one I ordered yesterday due to different information provided, and… maybe make a bit different in structure? if you can. Thanks.

The subject of this assignment is Professional Development in Business. There are 4 parts in total, but you only need to do entry 1 (a speech for me to read in my video presentation, approx. 200 words), entry 2, and entry 4. Entry 3 is done by myself and is attached (Entry 3.docx), you can use entry 3 as a reference to write the speech for entry 1, entry 2, and entry 4.

The following are the instructions (the original document of the instructions are attached(Ass 4 SP5 2016.docx), you can find the feedback sheet for marking this assignment in the bottom of the document):

BUSS 1060: Assignment, Portfolio, 40%
IMPORTANT NOTE: Late submissions will NOT be accepted. In a real life situation, presenting your application for a real job even 1 minute late means it would NOT be accepted.

ENTRY 1 (Nothing to do with the video but I need you to write me a speech to read in my video recording for this part. approx. 200 words): Introducing yourself (approx. 90 seconds)
This component must be submitted as a video file. Please upload your video file in MP4 format to the link provided. More information will be provided closer to the submission due date. Because this is a video representation of your professional self, please remember to dress smartly (for business).
There are three parts to this entry

1. Elevator Pitch
Provide a one paragraph introduction which describes you in terms of your professional experience, skills and aspirations. Imagine that you might use this description to describe yourself at a networking event. Refer to notes from your tutorial on developing an %u0432%u0402˜elevator pitch%u0432%u0402%u2122.
2. Career Inspirations
Provide one paragraph on who has or continues to inspire you. They do not need to be a business person but may inspire you in terms of their view on life or business. Explain why they are an inspiration.
3. Career Aspirations
Describe your career aspirations in your chosen field. Refer to your notes from Assignment One about the type of organisation and/or field you are hoping to work in. Have your aspirations changed during the course? Please explain.

ENTRY 2: Self-analysis against industry/professional standards (approx. 500 words)

1. Analyse your current level of development against standards for professional practice (Lectures 1 & 2 or any other industry/professional standards relevant to your profession).

%u0432%u0402%u045E Clearly identify the industry/professional standards that relate to your future profession. Remember, more than one set of standards might apply to your future profession. Eg an HR manager working in the medical field needs to meet or comply with standards relating to the medical profession as well as management standards. It is a good idea to be quite specific here.
2. Present a simple SWOT analysis: Outline your Strengths, Weaknesses, Opportunities and Threats to demonstrate how you currently meet (or don%u0432%u0402%u2122t meet) the requirements of your identified industry/professional standards.

ENTRY 3: Networking (attachment: Entry 3.docx)
This entry consists of two parts:
Part 1: LinkedIn
%u0432%u0402%u045E Set up a Professional Networking Profile, using LinkedIn (www.linkedin.com) or a similar professional networking tool. It is important to note Facebook, Google + and MySpace are not acceptable – it must be a professional networking site, not a social networking site.

The following minimum profile fields must be completed:
%u0432%u0402%u045E Photo – note, this should be a professional representation of you, not a photo taken at a party, at the beach etc. If for any reason, you do not feel comfortable uploading a photo of yourself, please speak to your tutor. (Formal business dress required, NOT evening wear)
%u0432%u0402%u045E Summary – a summary of ‘who you are’ professionally, and your career goal for the next two years (i.e. when you graduate, what kind of a role will you be looking for)
%u0432%u0402%u045E Work Experience – including Employer’s name, employment dates and your responsibilities
%u0432%u0402%u045E Education – including your current course of education, and prior studies (including High School and the years of completion)
%u0432%u0402%u045E Honours and Awards – any awards you have received, such as the Dean’s Merit List, School Captain in High School, Sporting Team Captain etc. including relevant details such as the date & name of the award
%u0432%u0402%u045E You may choose to complete additional fields as applicable to you.

As this is your professional profile, and you will be using it to contact potential employers and professional contacts, you will need to ensure your profile is well written, structured and edited, and uses professional language with correct grammar and spelling. A strong emphasis is placed on correct use of language and grammar which is reflected in marks allocation.

Once your profile is complete, take a screen shot of your profile (including your photo) and include as an appendix in this portfolio. Assignments submitted without this screen shot will be penalised by 5 marks.
Part 2: Curriculum Vitae/Resume
Using the information in your LinkedIn profile, format a concise Curriculum Vitae as a word document , following the advice provided by Career Services.
The following minimum profile fields must be completed:
%u0432%u0402%u045E Photo – note, this should be a professional representation of you, not a photo taken at a party, at the beach etc. If for any reason, you do not feel comfortable uploading a photo of yourself, please speak to your tutor. (Formal business dress required, NOT evening wear). ***Normally you would not include a photo; however, to ensure you promote yourself appropriately, we are requesting a photo for this assignment only.

%u0432%u0402%u045E Summary – a summary of ‘who you are’ professionally, and your career goal for the next two years (i.e. when you graduate, what kind of a role will you be looking for)

%u0432%u0402%u045E Work Experience – including Employer’s name, employment dates and your responsibilities

%u0432%u0402%u045E Education – including your current course of education, and prior studies (also High School)

%u0432%u0402%u045E Honours and Awards – any awards you have received, such as the Dean’s Merit List, School Captain in High School, Sporting Team Captain etc. including relevant details such as the date & name of the award

%u0432%u0402%u045E You may choose to complete additional fields as applicable to you.

As this is your professional profile, and you will be using it to contact potential employers and professional contacts, you will need to ensure your profile is well written, structured and edited, and uses professional language. A strong emphasis is placed on correct use of language and grammar which is reflected in marks allocation.

Please note, you may choose to submit a Linked in profile or a CV.
Whichever you do choose, please remember to use appropriate formatting for the different documents.

ENTRY 4: Career Management Plan

This entry consists of two parts:

Part 1: Career Action Plan (approx. 750 words)
Find a position which you believe you will be qualified for and well suited to five years after graduation. This could be the same position you used for the information interview or something different. Following the example provided on the course homepage, write an Action Plan which details the steps you will take to ensure that you would be the successful candidate for this position five years after you graduate. Scan the advertisement and job description for this position and attach it to the documentation already completed. You may need to contact someone in the organisation to request a position description, or check the organisation%u0432%u0402%u2122s website. (Consider the organisation you referred to in Assignments 1 and 2.)

Part 2: Responses to Selection Criteria (approx. 750-1000 words)
When applying for positions throughout your career, you will commonly be asked to address certain ‘selection criteria’ as part of submitting your application, along with a cover letter and curriculum vitae (CV). There are many common selection criteria that can be asked, either as part of your written application, or during an interview process.

For Part 3 of this assessment, you are required to address all four selection criteria below as they relate to the skills, knowledge and experience that you have now, as a current University student (i.e. don’t write your responses as if you are applying for the position you found in your action plan, write them as if you are applying for a position now. This position could be any position suitable to your current qualifications and experience.)

Please address the following criteria:
%u0432%u0402%u045E Highly developed written communication skills, including the ability to draft clear and concise documentation;

%u0432%u0402%u045E Demonstrated organisational ability and initiative, including experience in prioritising and meeting deadlines, often with competing demands;

%u0432%u0402%u045E Strong interpersonal skills and a demonstrated ability to successfully communicate with a diverse range of people at all levels of an organisation;

%u0432%u0402%u045E Demonstrated experience in working collaboratively in a team based environment.

Note: The above selection criteria have been sourced from real position descriptions for entry level positions within a corporate environment.

The response to each selection criteria should be around 250 words in length, and use the STAR model to address your suitability in each criteria. The STAR model follows the following format:

1. Situation – Outline a specific circumstance where you developed the particular experience or
used the required skills or qualities. Set the context of the situation.
2. Task – What was your role? What did you have to do?
3. Actions – What did you do and how did you do it?
4. Results – What did you achieve? What were the results of what you did?

The above model should be written using an appropriate (paragraph) format and should succinctly describe a particular situation that provides clear and concise evidence to demonstrate where you have used the particular skill or knowledge in real life, with a tangible, reportable outcome. You may choose to format this information using a table format. If so, landscape page layout is recommended.

Please note that the experience you draw from to address the criteria can include experiences at university, in part-time/full time work, community roles such as in a church group, volunteer positions or in sporting teams.

Your response should be very carefully edited to ensure no grammatical or spelling errors – with increasingly high numbers of applicants for positions, employers will disregard an application immediately if errors such as spelling are present, no matter how good the content!

The STAR model will be covered in the career management topic in the course, and you can also find more information at the following websites (and many others):
http://jobaccess.gov.au/content/how-write-selection-criteria

http://www.bom.gov.au/careers/guide2SC.shtml (this provides good advice for how to address the criteria, and steps to take to assist with the STAR model)