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。） zg3kU65PJE
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: ^R:&c;& ,
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. Nl[&rZ-&
B. It continues the 2007 dividend payout ratio. Lfn$Q3}O`$
C. It uses a residual policy with all distributions in the form of dividends. c #TY3Z |
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). 0 U~$u
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Answer: .;g kV-]
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A: long-run growth rate %SB4_ r*<
3*(1+10%) =3.3 million |'-aR@xJ
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B: target payout ratio ]= t}8H
Target payout ratio=3/15=20% Mv%Qze,\V^
Dividend of 2008=18*2%=3.6 million k 6M D3c
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C: residual dividend approach MlYm\x8{M
Retained earnings=total new investment*(1-debt ratio) |`
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=12*(1-40%) l6#Y}<tq
=7.2 million p/
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Residual dividend=18-7.2=10.8 million +z nlf-
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) =q0V%h{
Regular dividend=3*(1+10%) =3.3 million 4/~x+tdc
Extra dividend=residual dividend –regular dividend ?|k
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=10.8-3.3 Dx1(}
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=7.5 million ~\(c;J*Ir
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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. ]fzXrN_
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. "
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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. s8&q8r7%
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). [hSJ)IZh
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Answer: Q k}R cP
Notes: W]/J]O6
Actual price=18560/3200=$5.8/unit Wz.iDRFl
Actual quantity materials per unit=3200/2000=1.6 kg/unit }O7sP^
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1).Standard quantity * standard price=standard total cost (
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(1.5*2000) * 6 =$18000 peu9B gs
2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials dJ
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（3200-3000） * 6 =$1200 Y
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3)Actual quantity * （actual price- standard price）= Price variance of direct materials xjr4')h
3200 * (5.8 – 6) =$640 "x9yb0
4)actual quantity *actual price =actual total cost j~>{P=_}
3200 * 5.8 =$18560 s
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A：Price variance of direct materials=（actual price-standard price）*actual quantity [-*&ZYp
= (5.8-6)*3200 *gH]R*Q[Rt
= $640 【F】 JWd[zJ[
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. ,B'=$PO%
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price aGC3&c[Wx
= (3200-3000)*6 60^j<O
=$1200 【U】 DAb/B
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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. pp"#p l
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C：Total variance of direct materials=actual costs- standard cost GIzB1cl:
=18560-18000 exJc[G&t(
=560 【U】 x7/Vf,N
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