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。） Ij=hmTl{P
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.
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Calculate M’s expected dividends for 2008 if it follows each of the following policies: ? _HTOOa
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. {\]SvoJnJ
B. It continues the 2007 dividend payout ratio.
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C. It uses a residual policy with all distributions in the form of dividends. jS R:ltd
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). )j6S<mn
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Answer: b? w4Nx#
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A: long-run growth rate .Z/"L@
3*(1+10%) =3.3 million R?l>Vr
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B: target payout ratio [; |g2\
Target payout ratio=3/15=20% N.&)22<m9
Dividend of 2008=18*2%=3.6 million DCw ldkdJN
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C: residual dividend approach -$e\m]
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Retained earnings=total new investment*(1-debt ratio) T( ;BEyc?
=12*(1-40%) [f O]oTh
=7.2 million o^7NZ ]m
Residual dividend=18-7.2=10.8 million 4=q\CK2 ^A
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) 7 Kh+m@q.
Regular dividend=3*(1+10%) =3.3 million T \0e8"iZ
Extra dividend=residual dividend –regular dividend 4<lZ; M"
=10.8-3.3 N18Zsdrp
=7.5 million Zqx5I~
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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 $18.560. [b Gdg
A. Calculate the direct material price variance for July. Indicate whether it is favorable (F) or unfavorable (U) and who is generally responsible for this variance. :=~([oSNW"
B. Calculate the direct material quantity variance for July. Indicate whether it is favorable (F) or unfavorable (U) and who is generally responsible for this variance. ?+5K2Zk
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). /]+t$K\cBq
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Answer: qP zgGbmD9
Notes: 9KAXc(-
Actual price=18560/3200=$5.8/unit bZtjg
Actual quantity materials per unit=3200/2000=1.6 kg/unit 7&T1RB'>
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1).Standard quantity * standard price=standard total cost 66z1_ lA
(1.5*2000) * 6 =$18000 p&ZD1qa
2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials B3I<
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（3200-3000） * 6 =$1200 "J[Cr m
3)Actual quantity * （actual price- standard price）= Price variance of direct materials =&}dP%3LC)
3200 * (5.8 – 6) =$640 DoImWNLo
4)actual quantity *actual price =actual total cost )9@Ftz g|
3200 * 5.8 =$18560 }1(F~6R
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A：Price variance of direct materials=（actual price-standard price）*actual quantity U)c,ZxE
= (5.8-6)*3200 /u#uC(Uwl
= $640 【F】 d_]MqH>R\
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. (?J&A r0
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price m\j p$
= (3200-3000)*6 gy* N)iv%
=$1200 【U】 \/lS!+~'']
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Efficiency variance of $1200 【U】 due to the higher quantity of materials per unit of 1.6 kg/unit than the standard level of 1.5 kg/unit. Soop)e
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C：Total variance of direct materials=actual costs- standard cost &LYU#$sj
=18560-18000 Iy`Zh@"~
=560 【U】 v}[7)oj|
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