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。） a&G{3#l
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. Vw w 211
Calculate M’s expected dividends for 2008 if it follows each of the following policies: RCTqV.L
A. Its 2008 dividend payment is set to make dividends grow at the long-run growth rate in earnings. C2R"96M7q
B. It continues the 2007 dividend payout ratio. sBZn0h@
C. It uses a residual policy with all distributions in the form of dividends. =k<b* 8
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). s7yKx g+`{
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Answer:
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A: long-run growth rate @VP/kut
3*(1+10%) =3.3 million e*'bY;8lo
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B: target payout ratio \
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Target payout ratio=3/15=20% 8*8 Y\"
Dividend of 2008=18*2%=3.6 million VJ-t #q"
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C: residual dividend approach x(u.(:V
Retained earnings=total new investment*(1-debt ratio) ;sA
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=12*(1-40%) m>Wt'C c
=7.2 million 'KmM %tN
Residual dividend=18-7.2=10.8 million Lf x a^0
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D: regular-dividend-plus-extra dividend approach (according to the residual policy) 0>j0 L8#^p
Regular dividend=3*(1+10%) =3.3 million &kd W(;`
Extra dividend=residual dividend –regular dividend I*U7YqDC9
=10.8-3.3 _K?v^oM#
=7.5 million W\B@0Is o
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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 $18.560. o ]p$
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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. |goBIp[
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 /$K
C. Calculate the total direct material cost variance for July. Indicate whether it is favorable (F) or unfavorable (U). O~8jz
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Answer: ]
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Actual price=18560/3200=$5.8/unit Kc]
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Actual quantity materials per unit=3200/2000=1.6 kg/unit dW/(#KP/+
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1).Standard quantity * standard price=standard total cost 7mnO60Z8N
(1.5*2000) * 6 =$18000 }c8e t'HYf
2). (Actual quantity-standard quantity) * Standard price= Efficiency variance of direct materials 6@0? ~
（3200-3000） * 6 =$1200 |C./gdq
3)Actual quantity * （actual price- standard price）= Price variance of direct materials -"yma_
3200 * (5.8 – 6) =$640 ~yN>9f U
4)actual quantity *actual price =actual total cost 71(ppsHk
3200 * 5.8 =$18560 qtVgjT2#H
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A：Price variance of direct materials=（actual price-standard price）*actual quantity 3J4OkwqD
= (5.8-6)*3200 lnl >! z
= $640 【F】 F'<XB~ &o
Price variance of $640 【F】 due to the actual price of $5.8 per kg being fewer than the standard $6 per kg. }}Q h_(
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B：Efficiency variance of direct materials= (actual quantity-standard quantity)*standard price Tw/7P~*
= (3200-3000)*6 meB9 : w[m
=$1200 【U】 F$v ^S+Ch
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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. U>n.+/ss
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C：Total variance of direct materials=actual costs- standard cost @B+8' b$9
=18560-18000 <vg|8-,#m
=560 【U】 V:D?i#%,z
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