BUSN 278 help Making Decisions/uophelp.com BUSN 278 help Making Decisions/uophelp.com | Page 10

(TCO 1) There are several approaches that may be used to develop the
budget. Managers typically prefer an approach known as participative
budgeting. Discuss this form of budgeting and identify its advantages
and disadvantages.
(TCO 2) There are a variety of forecasting techniques that a company
may use. Identify and discuss the three main quantitative approaches
used for time series forecasting models.
(TCO 2) The Federal Election Commission maintains data showing the
voting age population, the number of registered voters, and the turnout
for federal elections. The following table shows the national voter
turnout as a percentage of the voting age population from 1972 to 1996
(The Wall Street Journal Almanac; 1998):
(TCO 3) Use the table “Food and Beverage Sales for Paul’s Pizzeria” to
answer the questions below.
(TCO 6) Jackson Company is considering two capital investment
proposals. Estimates regarding each project are provided below:
(TCO 6) Top Growth Farms, a farming cooperative, is considering
purchasing a tractor for $468,000. The machine has a 10-year life and an
estimated salvage value of $32,000. Top Growth uses straight-line
depreciation. Top Growth estimates that the annual cash flow will be
$78,000. The required rate of return is 9%.
Part (a) Calculate the payback period.
Part (b) Calculate the net present value.
Part (c) Calculate the accounting rate of return