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。） ]=ZPSLuEm%
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. :-lq Yd5^
Calculate M’s expected dividends for 2008 if it follows each of the following policies: MxUbx+_N
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. N$v_z>6Z
B. It continues the 2007 dividend payout ratio. "KS" [i!3j
C. It uses a residual policy with all distributions in the form of dividends. 08{^Ksg
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). :-<30LS $
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Answer: p&u\gSo
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A: long-run growth rate ,3iD/8_
3*(1+10%) =3.3 million `B&=ya|bl
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B: target payout ratio N6p0`
Target payout ratio=3/15=20% |Kjfh};-C
Dividend of 2008=18*2%=3.6 million dZ8ldpf8
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C: residual dividend approach -!mtLaLw
Retained earnings=total new investment*(1-debt ratio) <P ?gP1_zi
=12*(1-40%) 2xiE#l-V2
=7.2 million gdoaXw;Sy
Residual dividend=18-7.2=10.8 million r..f$FF)\
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) .fhfb\$
Regular dividend=3*(1+10%) =3.3 million W8u&5#$I
Extra dividend=residual dividend –regular dividend #G?#ot2o
=10.8-3.3 =Ti
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=7.5 million (3Xs
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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. \,n
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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. k%\y,b*
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. J %B/(v `
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). >?)_, KL
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Answer: -{J0~1'#-
Notes:
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Actual price=18560/3200=$5.8/unit S!x;w 7j
Actual quantity materials per unit=3200/2000=1.6 kg/unit #` U?,>2q
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1).Standard quantity * standard price=standard total cost {Y=k`t ,
(1.5*2000) * 6 =$18000 VAjl?\}6
2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials WA1yA*S
（3200-3000） * 6 =$1200 yS:w>xU @<
3)Actual quantity * （actual price- standard price）= Price variance of direct materials !};Ll=dz
3200 * (5.8 – 6) =$640 N?#L{Yt
4)actual quantity *actual price =actual total cost ,3eN&
3200 * 5.8 =$18560 ]Ol
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A：Price variance of direct materials=（actual price-standard price）*actual quantity WBJn1
= (5.8-6)*3200 ?/5<}W#7}
= $640 【F】 _D@Q sQ_Z
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. y!:vX6l
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price 1M?x,N_W
= (3200-3000)*6
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=$1200 【U】 Z,\(bW
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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. >ifys)w g>
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C：Total variance of direct materials=actual costs- standard cost nGK =Nf.5
=18560-18000 7@ y}J5,
=560 【U】 a #s
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