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。） J|>P,x#G
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. @!Pq"/
Calculate M’s expected dividends for 2008 if it follows each of the following policies: H
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A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. WT0U)x( m5
B. It continues the 2007 dividend payout ratio. /RMep8 &
C. It uses a residual policy with all distributions in the form of dividends. ]l\J"*"aB
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). +uH1rF_&@
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Answer: 6tJM*{$$H
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A: long-run growth rate U@*z#T#"m
3*(1+10%) =3.3 million "44X'G8N
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B: target payout ratio QTDI^ZeuF
Target payout ratio=3/15=20% ,JjTz
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Dividend of 2008=18*2%=3.6 million t
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C: residual dividend approach D]0#A|n F
Retained earnings=total new investment*(1-debt ratio) [`:\(( 8
=12*(1-40%) QM$?}>:
=7.2 million 4 iw+3 Q|
Residual dividend=18-7.2=10.8 million #A|M NJ%m
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) X-%*`XG'
Regular dividend=3*(1+10%) =3.3 million N_T;&wibO
Extra dividend=residual dividend –regular dividend _LS=O@s^
=10.8-3.3 ?>w%Lg{L}
=7.5 million 4 A*' 0!H
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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. P3:hGmk8|j
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. p3-sEIw}Ru
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. ruA!+@or
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). m=#2u4H4
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Answer: LsLs SV
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Actual price=18560/3200=$5.8/unit r..Rh9v/=E
Actual quantity materials per unit=3200/2000=1.6 kg/unit 9iv!+(n i
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1).Standard quantity * standard price=standard total cost T+gqu
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(1.5*2000) * 6 =$18000 Mbi)mybM
2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials EJRwyF5 LK
（3200-3000） * 6 =$1200 N
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3)Actual quantity * （actual price- standard price）= Price variance of direct materials R[9[lQ'vR
3200 * (5.8 – 6) =$640 DQE.;0 ld
4)actual quantity *actual price =actual total cost ) Z]8 SED
3200 * 5.8 =$18560 Q!@" Y/
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A：Price variance of direct materials=（actual price-standard price）*actual quantity :lcoS J
= (5.8-6)*3200 n0cqM}P@;!
= $640 【F】 jPFA\$To
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. 9_&.G4%V
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price p^^<Bj kQ
= (3200-3000)*6 Xp%JPI {
=$1200 【U】 = i `o+H
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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. QupCr/Hs
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C：Total variance of direct materials=actual costs- standard cost o8Tt|Lxb$8
=18560-18000 RU@`+6 j+
=560 【U】 8?ZK^+]y
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