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。） 3.w &e0Es
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. e~PAi8B 5
Calculate M’s expected dividends for 2008 if it follows each of the following policies: {) Pg N
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. UNyk,
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B. It continues the 2007 dividend payout ratio. 1R"Z+tNB
C. It uses a residual policy with all distributions in the form of dividends. I\ P w`
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). e|eWV{Dsz
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Answer: ) uC5
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A: long-run growth rate lX/ :e=
3*(1+10%) =3.3 million U[ |o!2$
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B: target payout ratio %nhE588xf
Target payout ratio=3/15=20% D | g{]nO
Dividend of 2008=18*2%=3.6 million x\ 5v^$
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C: residual dividend approach A 1B_E X.
Retained earnings=total new investment*(1-debt ratio) jS4 fANG
=12*(1-40%) _[,7DA.qc
=7.2 million @waY+sqt=
Residual dividend=18-7.2=10.8 million Lrq e:\
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) nTCwLnX(O
Regular dividend=3*(1+10%) =3.3 million ~'0W(~Q8
Extra dividend=residual dividend –regular dividend Qq3 UC%Z1
=10.8-3.3 2q ~y\fe
=7.5 million E(Zm6 ~
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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. #A=ER[[
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. cBQ+`DXn5c
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. '1rO&F
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). b=XHE1^rM
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Answer: (w-@b
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Notes: | Q$9I#rv
Actual price=18560/3200=$5.8/unit rkn'1 M&u
Actual quantity materials per unit=3200/2000=1.6 kg/unit r>g5_"FL
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1).Standard quantity * standard price=standard total cost Aaz2._:/-m
(1.5*2000) * 6 =$18000 *H~&hs>k
2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials 'M,O(utGv
（3200-3000） * 6 =$1200 dWiX_&g
3)Actual quantity * （actual price- standard price）= Price variance of direct materials
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3200 * (5.8 – 6) =$640 3o`c`; H%p
4)actual quantity *actual price =actual total cost =H 8Y
3200 * 5.8 =$18560 _*CbtQb5
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A：Price variance of direct materials=（actual price-standard price）*actual quantity S#nW )=
= (5.8-6)*3200 v$#
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= $640 【F】
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Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. [" sm7y Q
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price @|<q Tci
= (3200-3000)*6 .q|k459oi
=$1200 【U】 ._T N;tR~'
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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. 96i #
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C：Total variance of direct materials=actual costs- standard cost }ZJJqJ`*e
=18560-18000 3 f(tb%pa5
=560 【U】 UdcrX`^.
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