六、英语附加题（本题型共2题，每题5分，共10分。要求用英文解答，列出计算步骤，每步骤运算得数精确到小数点后两位。在答题卷上解答，答案写在试题卷上无效。） 6~:Sgt nU
1、In 2007,M Corporation paid dividends totaling ＄3 million on net income of ＄15 million.2007 was a normal year, and for the past five years, earnings have grown at a constant rate of 10 percent. However,earnings are expected to jump to ＄18 million in 2008,and the firm expects to have ＄12 million investment opportunities in 2009.It is predicted that M will not be able to maintain the 2008 level of earnings growth in the future----the high 2008 earnings level is attributable to an exceptionally profitable new product line introduced in that year----and the company will return to its previous 10 percent growth rate. M’s target debt ratio is 40 percent in 2007, which will be continued in the future. 07T70[
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Calculate M’s expected dividends for 2008 if it follows each of the following policies: _;A $C(
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. 57{oh")
B. It continues the 2007 dividend payout ratio. ^62|d
C. It uses a residual policy with all distributions in the form of dividends. D-imL; |
D. It employs a regular-dividend-plus-extras policy, with the regular dividend being based on the long-run growth rate and the extra dividend being set according to the residual policy(Indicate the regular dividend and the extra dividend separately). C8 N{l:1f]
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Answer: U7mozHS,:9
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A: long-run growth rate 0XwHP{XaO
3*(1+10%) =3.3 million 8?t"C_>*e
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B: target payout ratio 6< J
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Target payout ratio=3/15=20% 3b'tx!tFN
Dividend of 2008=18*2%=3.6 million ( fD
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C: residual dividend approach $DFv30 f
Retained earnings=total new investment*(1-debt ratio) W zW-pV]
=12*(1-40%) B
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=7.2 million /5A W?2)
Residual dividend=18-7.2=10.8 million ub0zJTFJ#
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) D;GD<zC]
Regular dividend=3*(1+10%) =3.3 million WlB' YL-`g
Extra dividend=residual dividend –regular dividend ;cQW sTfT
=10.8-3.3 m4k
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=7.5 million HWns.[
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2. N Company manufactures a kind of product used throughout the machinery industry. The standard price of the materials for the products is $6 per kilogram; the standard quantity of materials allowed per unit is 1.5 kilograms. During July, 2,000 units of the products were finished, for which 3,200 kilograms of materials were used at a total direct material cost of $18.560. F1;lQA*7K.
A. Calculate the direct material price variance for July. Indicate whether it is favorable (F) or unfavorable (U) and who is generally responsible for this variance. B(k=oXDF
B. Calculate the direct material quantity variance for July. Indicate whether it is favorable (F) or unfavorable (U) and who is generally responsible for this variance. uD_v!
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). |9xI_(+{kP
P=N$qz$U
Answer: ?B@;QjhjiJ
Notes: U8#xgz@
Actual price=18560/3200=$5.8/unit o 6 {\Zzp
Actual quantity materials per unit=3200/2000=1.6 kg/unit +@9gkPQQ-@
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1).Standard quantity * standard price=standard total cost >t, M
(1.5*2000) * 6 =$18000 yn
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2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials ) / Ud^wi
（3200-3000） * 6 =$1200 |s7`F%
3)Actual quantity * （actual price- standard price）= Price variance of direct materials dCYCHHHF
3200 * (5.8 – 6) =$640 QR?yG+VU
4)actual quantity *actual price =actual total cost Mvj;ic6iK
3200 * 5.8 =$18560 S|V4[ssB
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A：Price variance of direct materials=（actual price-standard price）*actual quantity zo{/'BnU
= (5.8-6)*3200 D(W,yq~7uY
= $640 【F】 3H\w 2V
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. )O+}T5c=
U=Y)V%
B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price cHA7Kg !
= (3200-3000)*6 ->z54 T
=$1200 【U】 ))D:8l@
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Efficiency variance of $1200 【U】 due to the higher quantity of materials per unit of 1.6 kg/unit than the standard level of 1.5 kg/unit.
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C：Total variance of direct materials=actual costs- standard cost 2A`A\19t
=18560-18000 [sV"ws
=560 【U】 })xp%<`
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