Reference no: EM131278141
Sevilla Consulting offers environmental consulting servicesworldwide. The managers of branch offices are rewarded for superiorperformance with bonuses based on the economic value that theoffice adds to the company. Last year's operating results for theresults for the entire company and for its three officers,expressed in millions of U.S. dollars as are follows:
Worldwide Europe Americas Asia
Cost of Capital 9% 10% 8% 12%
Total Assets $210 $70 $70 $70
Current Liabilities $80 $10 $40 $30
After-tax operating income $15 $5 $5 $5
1. Compute the economic value for each office worldwide. What factors affect each office's economic value added? How can anoffice improve its economic value added?
2. If manager's bonuses are based on economic value added to officeperformance, what specific action will managers be movitated totake?
3. Is economic value added the only performance measure needed toevaluate investment centers adequately? Explain your response.
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Analyze how these two areas could impact the company
: Analyze how these two areas could impact the company. Perform an analysis or SWOT on potential impact of inventions or innovations.
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Find the mass flow rate of steam through the boiler
: Plot the mass flow rate through the boiler as a function of the extraction pressure, and discuss the results.
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Provide an example based on your professional experience
: Provide an example based on your professional experience of a situation in which using a multiple regression model or nonlinear regression model may have helped your organization make a better decision.
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Find the thermal efficiency of the cycle
: Determine the thermal efficiency of the cycle, and plot it against extraction pressures of 12.5, 10, 7, 5, 2, 1, 0.5, 0.1, and 0.05 MPa, and discuss the results.
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Office economic value added
: Compute the economic value for each office worldwide. What factors affect each office's economic value added? How can anoffice improve its economic value added?
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What kind of legal exposure does wanda have
: What kind of legal exposure does Wanda have, and how can she protect herself against lawsuits? How much responsibility do you believe companies should have for the safety of their products?
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Determine the thermal efficiency of the cycle
: The reheat pressure is varied from 12.5 to 0.5 MPa. Determine the thermal efficiency of the cycle and plot it against the reheat pressure, and discuss the results.
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Variation and standard deviation of the investment
: The expected value of the investment is $25. Fill in the missing cells. What is the variation and standard deviation of the investment?
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State your choice of hco and explain why it interests you
: State your choice of HCO and explain why it interests you. State the organization's vision, mission, and values statements Discuss whether the organization's purpose and priorities are clearly defined
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