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these are 3 different questions not same full information provided its clear now...just answer thanks Do this! Refer to the following table 2 5.29% 375%
these are 3 different questions not same full information provided
its clear now...just answer
thanks
Do this!
Refer to the following table 2 5.29% 375% 5294 Maturity (years) Zero coupon YTM, What is the forward rate for year 3 (the forward rate quoted today the an investment that begeys in two years and matures in three year? What can you come at forward raters when the yed cave is 5.37% "What is the forward rate for your 3 the forward nato quoted today for an envestment that bogim in two years and motus in three yea The forward cale for year 3 Round the bal answer two decimal places Round all intermediate values to tour decimal places nooded) 471% Refer to the fullowing late 2 Maturity (years) Zero opon YIM What is the forward rate for year 5 the toward rate quoted today for an investment that bogen in four years and maturese years? The food cats for your 5 Round the final answer two decimal places Round all indermediate vates to four duomal paces needed) 50% 5-17% 439% Ruler to the loowing table Maturity (years) Zero coupon YTM, 550% 5.50% 44% Suppose you wanted to lock in an interest rate for an investroost that boges in one year and matures en ve yan Whil sale wo you can be were no arbager opportune The rate for an awesented teges n one year and matures in the years would (Round the final amoer te decamal place and at ermediate vates te plain and S AMIN Refer to the lodowing table Maturity (years) 3.79% 5.29% 5.29% 51/% Zo coupon YIM, What the forward rate for year 3 he forward le quoted today for an eveniment that bogens in ten years and matures in three years? What can you concle about toward ales when the yield creat -CXBO What is the forward tale far your 30e forward tale paded day for an eveniment that bogen in two yeam and matum in the year? The forward tale for your 3[ A/IN Refer to the following table Maturity (years) Zero coupon YIM, 4.00% 5645 What is the forward rate for year 5 he forward nate quoted today for an ventment that boges in four years and may The forward cate for your 5 (Round the finst answer two decimal places Round all indemedate values to four decimal places anded) 3 5.17% Refer to the following table Maturity (years) Zero coupon YIM, 5.50% Suppose you warded to lock es an indorest sate for an investment that begins in one year and mahuses in five years What rate would you obtain of these were no abitage opp -CCD The rate for an investment that begins in one year and natures in five years would be (Round the heal answer two decimal places Round all intermediate values to four doomal places as noded) 5.00% LOS Refer to the following table. Maturity (years) Zero-coupon YTM, 1 3.75% 2 5.29% 3 5.29% 4 5.17% 5 4.71% What is the forward rate for year 3 (the forward rate quoted today for an investment that begins in two years and matures in three years)? What can you conclude about forward rates when the yield curve is flat? What is the forward rate for year 3 (the forward rate quoted today for an investment that begins in two years and matures in three years)? The forward rate for year 3 is %. (Round the final answer two decimal places. Round all intermediate values to four decimal places as needed.) Refer to the following table. 1 Maturity (years) Zero-coupon YTM, 2 5.64% 3 5.64% 4 5.17% 4.05% What is the forward rate for year 5 (the forward rate quoted today for an investment that begins in four years and matures in five years)? The forward rate for year 5 is% (Round the final answer two decimal places. Round all intermediate values to four decimal places as needed.) 5 4.39% Refer to the following table. 1 Maturity (years) Zero-coupon YTM= 2 5.56% 3 5.56% 5 4.48% 4.24% 5.02% Suppose you wanted to lock in an interest rate for an investment that begins in one year and matures in five years. What rate would you obtain if there were no arbitrage opportunities? The rate for an investment that begins in one year and matures in five years would be %. (Round the final answer two decimal places. Round all intermediate values to four decimal places as needed.) ABC Group Assignment Kolbec Community College (KCC) has 4,000 full-time students and offers a variety of academic programs in three areas: professional studies, arts, and technology. The professional studies programs prepare students for administrative and clerical jobs in a variety of professional settings, including accounting, medicine, and law. The arts program's offerings are wide ranging and include graphic design, digital animation, culinary arts, cosmetology, and music arts. The technology programs are also varied, including information technology, medical laboratory technology, electrical engineering technology, pharmacy technology, and natural resources technology. The chief financial officer of KCC, Lynn Jones, has consistently emphasized to other members of the senior management team the importance of understanding the costs of delivering the various academic programs. To that end, the costing system used at KCC tracks the direct costs of each program, which are shown below on an annual basis, along with the number of fulltime students: Professional Item Studies Arts 1,000 Technology 1,000 Total 4,000 Full-Time Students 2,000 Professor's salaries $1,290,000 $662,000 $792,000 $2,744,000 Administrative salaries 111,000 73,000 73,000 257,000 Supplies 46,000 156,000 53,000 255,000 Teaching support 166,000 103,000 86,000 355,000 Facilities 287,000 156,000 181,000 624,000 Total direct cost $1,900,000 $1,150,000 $1,185,000 $4,235,000 It is very important to understand the overhead costs consumed by each academic program at KCC in determining the full cost of operating the programs. Central administration at KCC allocates financial resources to academic programs based on the estimated full cost per student of delivering the program. The overhead costs at KCC are significant, totalling over 60% of direct costs. Total annual overhead costs at KCC are as follows: Cost Adminisstrative salaries $930,000 Facility costs 1,340,000 Office expenses 310,000 Total overhead costs $2,580,000 Traditionally, KCC has allocated overhead costs to academic programs on the basis of the number of Fulltime students in each program. This approach was deemed appropriate since Jones reasoned that increasing the number of students at KCC would result in higher overhead costs (e.g., more facilities would be needed, more indirect support costs would be incurred, etc.). However, Jones is beginning to question the accuracy of the traditional approach since it results in a similar full cost per student for the arts and technology programs, which she feels doesn't make sense. Based on her knowledge of the programs, Jones feels that the technology program is probably more expensive to deliver than the arts program, but this does not come through in the traditional costing approach. Jones recently attended a seminar on management techniques being used by leading educational institutions that, among other topics, covered the basics of the ABC approach. She likes the idea of being able to assign indirect costs to academic programs on the basis of how much of the support activity resources are consumed by each program. If Jones's instincts are correct in that some programs consume more resources of certain activities than others, this could have a significant impact on the overhead costs assigned to each under the ABC approach. Upon returning to KCC, Jones decides to implement ABC. She, along with Assistant CFO James West, begins by identifying the key activities used to support the teaching programs. Rather than getting too detailed with respect to identifying activities in the initial implementation, Jones decides to keep the process manageable and comes up with six key activities. Next, based on a series of interviews with various KCC employees who work in the departments covered by the identified activities, Jones and West estimate the percentage of the total administrative, facility, and office expense resources consumed by each activity. Again, to keep the process efficient, Jones rounds all percentages to the nearest 5%, figuring that a "close enough" approach will suffice for this initial implementation and recognizing that the estimates are subjective to begin with. The results are shown below: Resource Distribution across Activities Activity Administrative Facilities Office Central administration 20% 5% 20% Informaiton systems technology 20% 15% 20% Student counselling services 5% 5% Human resources 10% 5% Library operations 20% 35% Registrar's office 25% 15% Total 100% 100% 5% 5% 65% 5% 100% Working with key personnel from each of the six activities shown above, Jones and West then identify the activity measure and the quantity of that measure used for each teaching program. Fortunately, KCC implemented an enterprise resource planning system a few years ago, which is already tracking much of the information needed regarding the activity measures and the specific quantities for each academic program: Activity Measure Professional Arts Central administration 6,000 Hours spent on program Processing hours 5,800 Information systems technology Student counselling services Human resources Number of students counselled 144 Number of admin. Staff & faculty members 21 Number of library circulations 7,000 Library operations Registrar's office Fulltime students 2,000 7,000 2,700 92 15 3,500 1,000 Technology 7,000 11,500 164 14 3,500 1,000 2. Using ABC, complete the following requirements: a. Complete the first-stage allocation of overhead costs to academic programs, using Exhibit 7-7as a guide. b. Calculate the activity rates for each of the activity cost pools, using Exhibit 7-8 as a guide. (Pound your answers to 2 decimal places) c. Using the activity rates calculated in (b), complete the second stage allocation of overhead to academic programs. Refer to the following table 2 5.29% 375% 5294 Maturity (years) Zero coupon YTM, What is the forward rate for year 3 (the forward rate quoted today the an investment that begeys in two years and matures in three year? What can you come at forward raters when the yed cave is 5.37% "What is the forward rate for your 3 the forward nato quoted today for an envestment that bogim in two years and motus in three yea The forward cale for year 3 Round the bal answer two decimal places Round all intermediate values to tour decimal places nooded) 471% Refer to the fullowing late 2 Maturity (years) Zero opon YIM What is the forward rate for year 5 the toward rate quoted today for an investment that bogen in four years and maturese years? The food cats for your 5 Round the final answer two decimal places Round all indermediate vates to four duomal paces needed) 50% 5-17% 439% Ruler to the loowing table Maturity (years) Zero coupon YTM, 550% 5.50% 44% Suppose you wanted to lock in an interest rate for an investroost that boges in one year and matures en ve yan Whil sale wo you can be were no arbager opportune The rate for an awesented teges n one year and matures in the years would (Round the final amoer te decamal place and at ermediate vates te plain and S AMIN Refer to the lodowing table Maturity (years) 3.79% 5.29% 5.29% 51/% Zo coupon YIM, What the forward rate for year 3 he forward le quoted today for an eveniment that bogens in ten years and matures in three years? What can you concle about toward ales when the yield creat -CXBO What is the forward tale far your 30e forward tale paded day for an eveniment that bogen in two yeam and matum in the year? The forward tale for your 3[ A/IN Refer to the following table Maturity (years) Zero coupon YIM, 4.00% 5645 What is the forward rate for year 5 he forward nate quoted today for an ventment that boges in four years and may The forward cate for your 5 (Round the finst answer two decimal places Round all indemedate values to four decimal places anded) 3 5.17% Refer to the following table Maturity (years) Zero coupon YIM, 5.50% Suppose you warded to lock es an indorest sate for an investment that begins in one year and mahuses in five years What rate would you obtain of these were no abitage opp -CCD The rate for an investment that begins in one year and natures in five years would be (Round the heal answer two decimal places Round all intermediate values to four doomal places as noded) 5.00% LOS Refer to the following table. Maturity (years) Zero-coupon YTM, 1 3.75% 2 5.29% 3 5.29% 4 5.17% 5 4.71% What is the forward rate for year 3 (the forward rate quoted today for an investment that begins in two years and matures in three years)? What can you conclude about forward rates when the yield curve is flat? What is the forward rate for year 3 (the forward rate quoted today for an investment that begins in two years and matures in three years)? The forward rate for year 3 is %. (Round the final answer two decimal places. Round all intermediate values to four decimal places as needed.) Refer to the following table. 1 Maturity (years) Zero-coupon YTM, 2 5.64% 3 5.64% 4 5.17% 4.05% What is the forward rate for year 5 (the forward rate quoted today for an investment that begins in four years and matures in five years)? The forward rate for year 5 is% (Round the final answer two decimal places. Round all intermediate values to four decimal places as needed.) 5 4.39% Refer to the following table. 1 Maturity (years) Zero-coupon YTM= 2 5.56% 3 5.56% 5 4.48% 4.24% 5.02% Suppose you wanted to lock in an interest rate for an investment that begins in one year and matures in five years. What rate would you obtain if there were no arbitrage opportunities? The rate for an investment that begins in one year and matures in five years would be %. (Round the final answer two decimal places. Round all intermediate values to four decimal places as needed.) ABC Group Assignment Kolbec Community College (KCC) has 4,000 full-time students and offers a variety of academic programs in three areas: professional studies, arts, and technology. The professional studies programs prepare students for administrative and clerical jobs in a variety of professional settings, including accounting, medicine, and law. The arts program's offerings are wide ranging and include graphic design, digital animation, culinary arts, cosmetology, and music arts. The technology programs are also varied, including information technology, medical laboratory technology, electrical engineering technology, pharmacy technology, and natural resources technology. The chief financial officer of KCC, Lynn Jones, has consistently emphasized to other members of the senior management team the importance of understanding the costs of delivering the various academic programs. To that end, the costing system used at KCC tracks the direct costs of each program, which are shown below on an annual basis, along with the number of fulltime students: Professional Item Studies Arts 1,000 Technology 1,000 Total 4,000 Full-Time Students 2,000 Professor's salaries $1,290,000 $662,000 $792,000 $2,744,000 Administrative salaries 111,000 73,000 73,000 257,000 Supplies 46,000 156,000 53,000 255,000 Teaching support 166,000 103,000 86,000 355,000 Facilities 287,000 156,000 181,000 624,000 Total direct cost $1,900,000 $1,150,000 $1,185,000 $4,235,000 It is very important to understand the overhead costs consumed by each academic program at KCC in determining the full cost of operating the programs. Central administration at KCC allocates financial resources to academic programs based on the estimated full cost per student of delivering the program. The overhead costs at KCC are significant, totalling over 60% of direct costs. Total annual overhead costs at KCC are as follows: Cost Adminisstrative salaries $930,000 Facility costs 1,340,000 Office expenses 310,000 Total overhead costs $2,580,000 Traditionally, KCC has allocated overhead costs to academic programs on the basis of the number of Fulltime students in each program. This approach was deemed appropriate since Jones reasoned that increasing the number of students at KCC would result in higher overhead costs (e.g., more facilities would be needed, more indirect support costs would be incurred, etc.). However, Jones is beginning to question the accuracy of the traditional approach since it results in a similar full cost per student for the arts and technology programs, which she feels doesn't make sense. Based on her knowledge of the programs, Jones feels that the technology program is probably more expensive to deliver than the arts program, but this does not come through in the traditional costing approach. Jones recently attended a seminar on management techniques being used by leading educational institutions that, among other topics, covered the basics of the ABC approach. She likes the idea of being able to assign indirect costs to academic programs on the basis of how much of the support activity resources are consumed by each program. If Jones's instincts are correct in that some programs consume more resources of certain activities than others, this could have a significant impact on the overhead costs assigned to each under the ABC approach. Upon returning to KCC, Jones decides to implement ABC. She, along with Assistant CFO James West, begins by identifying the key activities used to support the teaching programs. Rather than getting too detailed with respect to identifying activities in the initial implementation, Jones decides to keep the process manageable and comes up with six key activities. Next, based on a series of interviews with various KCC employees who work in the departments covered by the identified activities, Jones and West estimate the percentage of the total administrative, facility, and office expense resources consumed by each activity. Again, to keep the process efficient, Jones rounds all percentages to the nearest 5%, figuring that a "close enough" approach will suffice for this initial implementation and recognizing that the estimates are subjective to begin with. The results are shown below: Resource Distribution across Activities Activity Administrative Facilities Office Central administration 20% 5% 20% Informaiton systems technology 20% 15% 20% Student counselling services 5% 5% Human resources 10% 5% Library operations 20% 35% Registrar's office 25% 15% Total 100% 100% 5% 5% 65% 5% 100% Working with key personnel from each of the six activities shown above, Jones and West then identify the activity measure and the quantity of that measure used for each teaching program. Fortunately, KCC implemented an enterprise resource planning system a few years ago, which is already tracking much of the information needed regarding the activity measures and the specific quantities for each academic program: Activity Measure Professional Arts Central administration 6,000 Hours spent on program Processing hours 5,800 Information systems technology Student counselling services Human resources Number of students counselled 144 Number of admin. Staff & faculty members 21 Number of library circulations 7,000 Library operations Registrar's office Fulltime students 2,000 7,000 2,700 92 15 3,500 1,000 Technology 7,000 11,500 164 14 3,500 1,000 2. Using ABC, complete the following requirements: a. Complete the first-stage allocation of overhead costs to academic programs, using Exhibit 7-7as a guide. b. Calculate the activity rates for each of the activity cost pools, using Exhibit 7-8 as a guide. (Pound your answers to 2 decimal places) c. Using the activity rates calculated in (b), complete the second stage allocation of overhead to academic programs Step by Step Solution
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