UU150- Final Exam Guide - Comprehensive Notes for the exam ( 31 pages long!)

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fuchsiaseal712

28 Mar 2018

School

WLU

Department

University Interdisciplinary

Course

UU150

Professor

Dr.Amanda Nosko

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Document Summary

Courage, hope, options, purpose, constructive feedback, joy, out of our comfort zone, socialization, guardianship, information flows. Exclusion of people because of status, race, sexual identity, financial income etc. Has to deal with conflicts and struggles (race, religion, gender, wealth, ethnicity, class etc. ) Anthropomorphise the (cid:272)o(cid:373)(cid:373)u(cid:374)ity is (cid:374)ot a (cid:862)(cid:271)ei(cid:374)g(cid:863) (cid:271)ut a group of (cid:862)(cid:271)ei(cid:374)gs(cid:863) super organic entity. Mod 1 lesson 4 positive change and sustainability in communities: think globally, act locally. Everything starts with ideas: you can start small. Give blood: you can join a community group. Attachment to a placement is usually created over time. Mod 1 lesson 1 learning in and with the community. Community group of people identified by specific factors (location, interest, affiliation, identity) Engagement inclusive term to define people and their interactions/ways of communicating. Community engagement people working together to develop learning, form of action and have ideas for the future (the bringing of people together)

Related Questions

Fact Pattern

1. On 18 Sept 2017, Officer Steve Jones received an anonymous tip that Mr. James Fox lived in a house at 120 Verlinden Drive and is growing marijuana in the basement â at least 400 plants.

2. Officer Jones completed the 26 week Police Academy. During the academy, he had 40 hours of instruction specifically related to identification, detection and manufacturing of controlled dangerous substances, including marijuana. He has been an officer for over 20 years and has been assigned as an investigator in the Drug Enforcement Division for the last 15 years. Over the last 15 years, he has received additional training with regard to controlled dangerous substances, including NIK Polytesting System on narcotics identification; Counterdrug Training Center Basic Drug Identification Course; the "Top Gun" basic drug investigators school hosted by the National Drug Training Center and the State Police; the Aerial Marijuana Observation course hosted by the Department of Justice and Drug Enforcement Division; and the MAGLOCLEN Drug Investigation Seminars in 2010, 2011 and 2012. He has made hundreds of arrests for controlled dangerous substances and has written numerous drug-related search and seizure warrants and participated in the execution of many, including those related to the manufacturing and distribution of marijuana.

3. Officer Jones enlisted an informant to check out the house and try to buy some marijuana. The informant has no track record working for the police but the prosecutor referred him to Jones because the informant wanted to help reduce a possible drug distribution sentence.

4. The informant came back a few days later and told Jones that on 19 September he saw Fox and another man carry a carbon dioxide tank and other equipment into the house and drag two laundry bags to a Chevy (a 1990 Malibu) parked on the street in front of the house. (Officer Jones later runs the tag and the car is registered to James Fox). The informant tried to buy marijuana that evening and as soon as he entered the house the informant could smell the odor of marijuana. Fox bragged he had an unlimited supply of marijuana so he could do business with the informant, but begged off selling any marijuana that evening. Fox excused himself and went to the basement door. When the door was open the informant saw extremely bright light emanating from the basement.

5. Based on this informant on 21 September, Officer Jones pulled Foxâs electric bills. Foxâs average kilowatt usage was more than three times the normal usage as verified by the electric companyâs manager, Joe Thornton. Officer Jones then drove to Foxâs house saw the Malibu parked on the street. Officer Jones looked through his binoculars while standing on the street and observed very bright glowing lights and the top of marijuana plants.

6. Officer Jones reviews all the evidence and decides to get a warrant. Today is 22 September and a check of Foxâs bank accounts show deposits in cash weekly from $1000 to $5000. Mr. Fox does not appear to have other employment as confirmed by the State Unemployment Office. Mr. Fox gets from the State $1500 a month which matches deposits made into Mr. Foxâs account.

CRIMINAL JUSTICE QUESTION. I JUST NEED A DECENT SIZE PARAGRAPH SO I CAN EXPAND ON IT FOR MY ESSAY.

Assuming Officer Jones now has the information set forth in paragraphs #1 through #5 below, would he have probable cause for a the search warrant? Why or why not?

NIKE:

Need the following ratios to be calculated using the financial sheets copied at the bottom. Each ratio needs to be calculated using the information from 2016. Each ratio also needs to be broken down and illustrated by the step by step process. Finally, please include any and all observations for each ratio and analysis.

1) Common Size analysis

2) Common size vertical analysis & graph

3) Current Ratio

4) Quick Ratio

5) Cash Ratio

6) Inventory Turnover

7) Receivables Turnover

8) Total Asset Turnover

9) Fixed Asset Turnover

10) Gross profit margin

11) Operating Profit margin

12) Net profit margin

13) Return on total assets

14) return on equity

15) basic earning power

16) Deb/net worth ratio

17) debt ratio

18) DuPont System

19) Times-interest-earned

Balance Sheet:

Consolidated Balance Sheets - USD ($) $ in Millions	May 31, 2017	May 31, 2016
Current assets:
Cash and equivalents	$ 3,808	$ 3,138
Short-term investments	2,371	2,319
Accounts receivable, net	3,677	3,241
Inventories	5,055	4,838
Prepaid expenses and other current assets	1,150	1,489
Total current assets	16,061	15,025
Property, plant and equipment, net	3,989	3,520
Identifiable intangible assets, net	283	281
Goodwill	139	131
Deferred income taxes and other assets	2,787	2,422
TOTAL ASSETS	23,259	21,379
Current liabilities:
Current portion of long-term debt	6	44
Notes payable	325	1
Accounts payable	2,048	2,191
Accrued liabilities	3,011	3,037
Income taxes payable	84	85
Total current liabilities	5,474	5,358
Long-term debt	3,471	1,993
Deferred income taxes and other liabilities	1,907	1,770
Commitments and contingencies
Redeemable preferred stock	0	0
Shareholdersâ equity:
Capital in excess of stated value	8,638	7,786
Accumulated other comprehensive (loss) income	(213)	318
Retained earnings	3,979	4,151
Total shareholdersâ equity	12,407	12,258
TOTAL LIABILITIES AND SHAREHOLDERSâ EQUITY	23,259	21,379
Class A Convertible Common Stock
Shareholdersâ equity:
Common stock at stated value	0	0
Class B Common Stock
Shareholdersâ equity:
Common stock at stated value	$ 3	$ 3

Income Statement:

Consolidated Statements of Income - USD ($) $ in Millions	12 Months Ended
Consolidated Statements of Income - USD ($) $ in Millions	May 31, 2017	May 31, 2016	May 31, 2015
Income Statement [Abstract]
Revenues	$ 34,350	$ 32,376	$ 30,601
Cost of sales	19,038	17,405	16,534
Gross profit	15,312	14,971	14,067
Demand creation expense	3,341	3,278	3,213
Operating overhead expense	7,222	7,191	6,679
Total selling and administrative expense	10,563	10,469	9,892
Interest expense (income), net	59	19	28
Other (income) expense, net	(196)	(140)	(58)
Income before income taxes	4,886	4,623	4,205
Income tax expense	646	863	932
NET INCOME	$ 4,240	$ 3,760	$ 3,273
Earnings per common share:
Basic (in dollars per share)	$ 2.56	$ 2.21	$ 1.90
Diluted (in dollars per share)	2.51	2.16	1.85
Dividends declared per common share (in dollars per share)	$ 0.70	$ 0.62	$ 0.54

Cash Flow Sheet

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	May 31, 2017	May 31, 2016	May 31, 2015
Cash provided by operations:
Net income	$ 4,240	$ 3,760	$ 3,273
Income charges (credits) not affecting cash:
Depreciation	706	649	606
Deferred income taxes	(273)	(80)	(113)
Stock-based compensation	215	236	191
Amortization and other	10	13	43
Net foreign currency adjustments	(117)	98	424
Changes in certain working capital components and other assets and liabilities:
(Increase) decrease in accounts receivable	(426)	60	(216)
(Increase) in inventories	(231)	(590)	(621)
(Increase) in prepaid expenses and other current assets	(120)	(161)	(144)
(Decrease) increase in accounts payable, accrued liabilities and income taxes payable	(364)	(889)	1,237
Cash provided by operations	3,640	3,096	4,680
Cash used by investing activities:
Purchases of short-term investments	(5,928)	(5,367)	(4,936)
Maturities of short-term investments	3,623	2,924	3,655
Sales of short-term investments	2,423	2,386	2,216
Investments in reverse repurchase agreements	0	150	(150)
Additions to property, plant and equipment	(1,105)	(1,143)	(963)
Disposals of property, plant and equipment	13	10	3
Other investing activities	(34)	6	0
Cash used by investing activities	(1,008)	(1,034)	(175)
Cash used by financing activities:
Net proceeds from long-term debt issuance	1,482	981	0
Long-term debt payments, including current portion	(44)	(106)	(7)
Increase (decrease) in notes payable	327	(67)	(63)
Payments on capital lease and other financing obligations	(17)	(7)	(19)
Proceeds from exercise of stock options and other stock issuances	489	507	514
Excess tax benefits from share-based payment arrangements	177	281	218
Repurchase of common stock	(3,223)	(3,238)	(2,534)
Dividends â common and preferred	(1,133)	(1,022)	(899)
Cash used by financing activities	(1,942)	(2,671)	(2,790)
Effect of exchange rate changes on cash and equivalents	(20)	(105)	(83)
Net increase (decrease) in cash and equivalents	670	(714)	1,632
Cash and equivalents, beginning of year	3,138	3,852	2,220
CASH AND EQUIVALENTS, END OF YEAR	3,808	3,138	3,852
Cash paid during the year for:
Interest, net of capitalized interest	98	70	53
Income taxes	703	748	1,262
Non-cash additions to property, plant and equipment	266	252	206
Dividends declared and not paid	$ 300	$ 271	$ 240

DOZIER INDUSTRIES (B)

Richard Rothschild, the chief financial officer of DozierIndustries, was still contemplating how best to manage the exchangerisk related to the company's new sales contract. The Â£1,057,500balance of the contract was due in three months on April 14, 1986,creating a long position in British pounds. Rothschild had spokenpreviously to John Gunn, an officer in the International Divisionof Southeastern National Bank, about hedging his long poundexposure. Gunn had explained two alternatives available to Dozierto reduce the exchange risk: a forward contract or a spottransaction. Either transaction would ensure that Dozier receive aset dollar value for its pound receivable, regardless of any changein the value of the pound. Given his previous analysis of theforeign exchange market, Rothschild was concerned that both ofthese hedging alternatives would lock in a profit margin below the6% he had originally anticipated for the contract. He wondered ifthere were some way to get the upside potential without all therisk.

The pound had weakened since his bid submission date on December3 (see Exhibit 1), but he was not entirelyconvinced it would continue to fall, or at least not as much as theforward rate indicated. If the future spot rate were greater thanthe current forward rate, an unhedged position could lead to again, whereas a hedged position would create an opportunity lost.Rothschild wondered if other alternatives were available, and heagain called John Gunn at the bank for advice.

Gunn explained that Rothschild could also use currency optionsto hedge against his uncertain foreign exchange exposure. Optionsprovide a means of hedging against volatility without taking aposition on expected future rates. Gunn explained that there aretwo basic varieties of options contracts: "puts" and "calls." A putgives the holder the right, but not the obligation, to sell foreigncurrency at a set exercise or "strike" price within a specifiedtime period. A call gives the holder the right to buy foreigncurrency at a set price. In comparison with a forward or futurescontract, the holder of an option does not have to transact at theagreed-upon price, but has the choice or option to do so. Gunn toldRothschild that options are complicated and increase the front endcost of hedging in comparison with a forward hedge. He saidRothschild could find the prevailing option contract prices in theWall Street Journal (see Exhibit 2).

EXHIBIT 1

HISTORICAL SPOT RATE AND FORWARD POUND IN U.S DOLLARS

DATE SPOT 3- MONTH FORWARD RATE

07/08/85 1.3640 1.3490

07/16 1.3880 1.3744

07/23 1.4090 1.3963

07/30 1.4170 1.4067

08/6 1.3405 1.3296

08/13 1.3940 1.3828

08/20 1.3900 1.3784

08/27 1.3940 1.3817

09/4 1.3665 1.3553

09/10 1.3065 1.2960

09/17 1.3330 1.3226

09/24 1.4200 1.4089

10/1 1.4120 1.4005

10/8 1.4155 1.4039

10/15 1.4120 1.4007

10/22 1.4290 1.4171

10/29 1.4390 1.4270

11/5 1.4315 1.4194

11/12 1.4158 1.4037

11/19 1.4320 1.4200

11/26 1.4750 1.4628

12/3 1.4820 1.4704

12/10 1.4338 1.4214

12/17 1.4380 1.4249

12/23 1.4245 1.4114

12/30 1.4390 1.4260

01/7/86 1.4420 1.4284

1/14/86 1.4370 1.4198

EXHIBIT 2

FOREIGN CURRENCY OPTIONS ON JANUARY 14,1986

OPTION& STRIKEPRICE CALLS-LAST PUTS-LAST

UNDERLYING CENT PERUNIT JAN. FEB.MAR. JAN. FEB. MAR.

Bpound 130 S R 13.50 S R R

144.41 135 S R 9.20 S 0.20 0.50

144.41 140 S 4.50 4.75 S 0.80 1.55

144.41 145 s 1.35 2.50 s 3.10 4.40

144.41 150 s 0.40 0.90 s r r

r- not traded s- no option offered. andLast is premium (purchase price)

Dozier Industries (B)

FOREIGN CURRENCY IPTIONS ON DECEMBER 3,1985

OPTIONS& STRIKEPRICE CALLS-LAST PUTS-LAST

UNDERLYING CENT PERUNIT DEC. JAN. MAR. DEC. JAN. MAR.

Bpound 120 29.00 S 28.95 R S R

148.86 130 19.10 R R R R R

148.86 135 13.80 R 14.60 0.05 R R

148.86 140 8.80 R 10.00 0.05 R S

148.86 145 4.00 4.50 5.70 0.20 1.05 3.20

148.86 150 0.65 1.65 3.35 R R 5.60

148.86 155 R 0.50 1.70 R R R

R- NOTTRADED S- NO OPTIONS OFFERED. LAST IS THE PREMIUM(PURCHASE PRICE)

Case B: Additional Information
1. You should treat January 14, 1986 as the date when you areperforming your analysis and acting on the analysis (hedging or nothedging).
2. To reduce risk, Dozier will take the 10% initial deposit(pounds) and sell the pounds in the spot market on Jan 14.
3. Any dollars that Dozier receives on Jan 14 are deposited in thebank for 90 days.
4. For the purpose of your calculations, you may ignore the factthat currency option contracts for the pound come in 12,500 poundincrements. However, you may discuss this limitation qualitativelyin making your recommendation (last discussion question)below.
5. None of the option contracts mature on Apr 14, 1986. Ideally,Dozier would want an option that matures on that date for thepurpose of hedging. In deciding which option maturity is best (Febor Mar), you should consider this problem and choose the maturitythat best meets Dozierâs hedging objective. First choose the optionmaturity that best meets Dozierâs objective. Then in yourcalculations below, you may treat the options as if they mature Apr14. Qualitatively, however, you should consider this maturitymismatch in making your recommendation (last discussion question)below.
6. In exhibit 2, 144.41 U.S. cents per pound refers to the spotrate for the pound on Jan 14. This is inconsistent with what isreported elsewhere in both the A and B parts of this case. Continueto use the spot rate given in part A of this case for 1/14/86. Forthe rest of the table the rows correspond to a strike price between130 cents and 150 cents per pound. The columns correspond to eithercall options or put options with either Jan, Feb, or Marchmaturities. Any entry in the table (for example 0.50 cents perpound) is the option premium. In this example, 0.50 cents per poundis the premium for a put option with a March maturity and a strikeprice of 135 cents per pound.

First read the âBâ case, and then address the followingquestions:
1. Do you recommend using a call or put option to hedge theexchange rate risk? Explain.
2. Do you recommend an option with expiration in Feb. orMarch?
3. Calculate the U.S. dollar profit or loss for each possibleoutcome; there will be more than one possible outcome for eachoption. Recall that with an option, the option does not have to beexercised; the holder may choose to trade in the future spotmarket. The holderâs choice depends on the future spot rate. Note:You will do these calculations for either all of the call optionsor all of the put options and for either all of the Feb or all ofthe March options, depending on your answer to the first twoquestions above. Hint: Since Dozierâs motive is hedging, you firstcalculate the revenue in dollars that Dozier will receive for thePound receivable. Then subtract Dozierâs Costs given in Case Aexhibit 3.
4. Which option do you recommend? Explain. Note: You must nowselect one of the options with a given maturity and strikeprice.
5. Compare the option hedge to the forward hedge (in the A case)and to remaining unhedged. Which do you recommend? Explain.

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UU150- Final Exam Guide - Comprehensive Notes for the exam ( 31 pages long!)

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