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。） `qpc*en f0
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. C .a5RF0
Calculate M’s expected dividends for 2008 if it follows each of the following policies: I\P Bu$Ww
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. ?dy~ mob
B. It continues the 2007 dividend payout ratio. jjOgG-Q
C. It uses a residual policy with all distributions in the form of dividends. ~9pM%N
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D. It employs a regular-dividend-plus-extras policy, with the regular dividend being based on the long-run growth rate and the extra dividend being set according to the residual policy(Indicate the regular dividend and the extra dividend separately). ;#?M)o:q
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Answer: 6 / g%\ka
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A: long-run growth rate #5CI)4x0!
3*(1+10%) =3.3 million To"dG& h
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B: target payout ratio =6nD0i 9+
Target payout ratio=3/15=20% @9 8; VWY\
Dividend of 2008=18*2%=3.6 million F %.xuL W
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C: residual dividend approach
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Retained earnings=total new investment*(1-debt ratio) ~&G4)AM
=12*(1-40%) =WZ%H_oxi
=7.2 million I@7/jUO
Residual dividend=18-7.2=10.8 million /" AvOh*
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) AY2:[ 5cm
Regular dividend=3*(1+10%) =3.3 million *$,+ `+
Extra dividend=residual dividend –regular dividend _+QwRE P
=10.8-3.3 pu;3nUH
=7.5 million kl7A^0Qrz
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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. Ub)I66
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. z_SagU,\
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. T-L5zu
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). *K!++k!Ixa
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Notes: @ RR\lZ
Actual price=18560/3200=$5.8/unit D5A=,\uk
Actual quantity materials per unit=3200/2000=1.6 kg/unit [B /0-(?
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1).Standard quantity * standard price=standard total cost O]=C#E{
(1.5*2000) * 6 =$18000
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2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials rg& +
（3200-3000） * 6 =$1200 B4W\
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3)Actual quantity * （actual price- standard price）= Price variance of direct materials }C6@c1myq-
3200 * (5.8 – 6) =$640 YB!!/ SX4
4)actual quantity *actual price =actual total cost rY 70 ^<z
3200 * 5.8 =$18560 2R@
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A：Price variance of direct materials=（actual price-standard price）*actual quantity T0 |H9>M
= (5.8-6)*3200 RsSXhPk?
= $640 【F】 jM U9{Si
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. R{3CW^1
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price %?t q;~|]Q
= (3200-3000)*6 #ooc)) ,
=$1200 【U】 7kz- V.
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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. #)74X% 4(
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C：Total variance of direct materials=actual costs- standard cost 31X U7A
=18560-18000 UC!5
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=560 【U】 nR'#s%K
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