Reference no: EM133071647

Question #1: Investment Decisions 

1. Provide an example of a company that has made a positive investment decision.  Include the following:
   • Name of the company
   • Decision made
   • Detailed financial Impact 

1. Provide an example of a company that has made a negative investment decision.  Include the following:
   • Name of the company
   • Decision made
   • Detailed financial impact

 Question #2: Fixed and Variable Costs

1. Define Fixed Cost and provide 2 examples. Detail why it is a fixed cost
2. Define Variable Cost and provide 2 examples. Detail why it is a variable cost
3. Would salaries be considered a fixed cost or a variable cost?  Explain your answer and provide examples

 Question #3: IT Strategy 

1. Explain why the IT strategy needs to be in alignment with the overall Business strategy.  What are possible impacts if they are not in alignment?
2. What impact does the IT strategy have on the development of the IT budget? Provide some detailed examples of an objective in an IT strategy and how it would impact the IT budget.
   1. Contribution Margin

 Question #4: Break Even Analysis 

Using the following data: 

Fixed Factory Overhead Costs: $73,500, Fixed Selling Overhead costs:$10,000, Variable manufacturing costs per unit: $100, Variable Selling Cost per unit: $27, Fixed Marketing costs: $3,000, Selling Price/ Cost per unit: $399

Calculate the following: 

1. Contribution Margin %
2. Break Even Point

 Using the following data: 

Fixed Factory Overhead Costs: $63,000, Variable Manufacturing costs per unit: $30, Variable labor per unit: $5, Fixed Selling Overhead costs: $10,000, Variable Selling Cost per unit: $3, Fixed Labor cost:         $5,000, Fixed utilities: $4,430, Selling Price / Unit cost: $500.   Required profit of $12,000 is needed to move forward. 

Calculate the following: 

1. Contribution Margin
2. Contribution Margin %
3. Break Even Point

1. If the Break Even is negative should you move forward?  What are your alternatives?

 Question #5: Financial Reporting

1. Name the 3 financial statements discussed in class along with a brief description of each.
2. What is the purpose of the financial statements?

 Question #6: Balance Sheet 

• List the 3 sections of a balance sheet and describe each.

 Question #7: Income statement 

• List the key sections of the income statement

Question #8 - Cash Flow 

• List the key sections of the cashflow statement

Question #9: Project Financials 

You are the project manager and your boss has asked you to provide a status based project earned value management.   You are managing a project that is creating Webpages.  You have a budget of $200,000.  Each webpage is expected to cost $10,000 and you are producing 20 Web Pages.  Your duration of the project is scheduled for 20 weeks.  At week 10 you have only produced 8 webpages.  You should have produced 10 of the 20 at this point. Your actual cost is $90,000 and your planned value at this point in the project is $100,000.  Please update the chart below with the correct information.  

• Budget (BAC) = $200,000
• Duration = 20 weeks (Deliver 1 page per week)
• Actual Cost = $90,000
• Planned Value at this point in the project = $100,000 (Planned % complete * BAC)

Earned Value management	Values
Budget at Completion
Actual Cost (AC)
Duration
Planned Value (PV)
Earned Value (EV)
SPI
SV
CPI
CV
EAC
VAC
ETC

1. Will you finish the project on time?  If not, what can you do to mitigate the variance?
2. Are you on track to meet the budget?  What is the current variance at week 10?  What do the numbers show will be the variance at the end of the project?

Question #10: Control or Monitor costs

1. Do project managers control costs or monitors costs for projects?  Explain your answer.