Assignment 1 Managerial Finance 650-Ashford Essays

Assignment 1 Managerial Finance 650-Ashford Essays Assignment 1 Managerial Finance 650-Ashford Essay Assignment 1 Managerial Finance 650-Ashford Essay Assignment 1 Closing Case Chapter 4- MBA Decision Keith C. Quarles Managerial Finance Robert Watson 3-26-12 1 Age can play a significant part in the decision whether to keep working or go back to school. A young person can go back to school and still have time to chase a career whereas an older person would have a smaller window of opportunity and may not as willing to chance giving up their livelihood to get a degree. The opportunity costs of leaving the job may be equated in the coming years after graduating considering the added value to the marketability of the student once a degree is attained as reflected in a higher base salary than the previous job which would make the investment a worthy endeavor. Of course the cost of tuition must be added in as an explicit costs. 2 . Maybe the most notably important non quantifiable aspect of the decision is marital status. Other opportunity costs are involved implicitly; namely, quality time with loved ones and the finances toward school that could be used to care for the family. The opportunity costs can be implicitly affected by the individual perception of the value of the alternative(s) foregone versus. the one chosen.. 3 He has three choices; remain at his current job, pursue a Wilton M.B.A. or pursue a Mt. Perry M.B.A. Stay at current job: After tax salary =$55,000 (1-.26 )=$40,700 Given that his salary will grow 3 percent each year the present value of his after-tax salary is : Pv = Cost Pv= $857, 343.20 Wilton MBA : The direct/explicit costs of attending Wilton are the costs of tuition ,books, health insurance, room and board and other supplies. The present value of t he direct costs are : P V of direct expenses = ($65,000 +2,500+3,000+2,000) + ($65,000+2,500 +3,000 +2,500) /1.065 Pv of direct costs = $140,575.12 Next for the lost salarys opportunity costs; Pv o f lost salary=$40,700/( 1 . 0 6 5 ) +$40,700( 1 + 0 3 )/( 1+.065) 2 = $75,176.00 The increase is the present value of his future salary , plus bonus which is: Present value of after tax bonus paid in 2 years= $ 20,000 (1.31) / 1.0652 =$12, 166.90 After ta x salary = $100,000 (1 -. 3 1 ) = $69,000 His salary will grow a t 4 percent per yea r but he will only work 38 years. His present value of his after tax salary is : Pv =$1,640,84. 35 First salary payment is three years from today so we discount for two years to get this value as follows : P v = $1,640,843.35/ 1.0652 Pv =$1,446,664.77 The total value of a Wilton M.B.A. = $140,575.12 75,160 +12,166. 90 +1,446,664.77=$1,246,958.48 Mount Perry MBA : Total direct costs = $75,000 +3,500+3,000 + 2,000 = $83,500 when paid today which makes it the direct cost present value also. P v of indirect costs (lost salary)=$40,700 /(1.065)=$38,215.96 Next we compute his salary:: Pv of after tax bonus paid in 1 year= $16,000 (1- .29 ) /1.065=$10,666.67 Aftertax salary=$88,000(1-.29 )= $62,480 His salary will increase at 3.5 percent/yr sand he will work for 39 years thus the present value of his aftertax salary is:: Pv = $1,399, 292.27 That is the first year salary but the first salary payment is in two years so we discount for one year to find todays value as follows : Pv =$1,399,292.27 /1.065 Pv = $1,313,889.45 Total value of a MT. Perry M.B.A. is: $83,500- 38,215.96 + 10,666.67+ 1,313,889.45 = $1,202,840.16 4 . The future value in this case for each decision will have the highest present value accounted for and also the highest future value. Thus to assume that using the future value for all decision is the best method is incorrect because in this case the present value analysis will give the same answer. . 5 . In order to find the salary offer that would make the Wilton M.B.A. as attractive as his current job we can use the pv of his current job plus the cost of attending Wilton and the after tax pv of the bonus. Calculated as folows:: Pv =$857,343.20 = $13 6 ,697.18 + 75,176.00 +12,166.9 0 + Pv of salary Pv of salary=$1,060,927.42 Given that his current present value of his job salary and the Wilton expenses are equal in costs the present value of the salary in two years when he graduates must be : Value in 2 years=Value today(1+ r )2 Value in 2 years =$1,060 7927.42(1+ 065 ) 2 Value in 2 years= $1,203,330.40 First salary payment: Growing annuity equation calculation Since the after tax salary is $ 5 ,0601.90 the pre tax salary must have been as follows: $50,60. 90 / (1+ 3 1 ) Pre tax salary = $73,336 09 6 . T h e opportunity cost represents the risk associated with choosing one alternative over the other and in this case whether he borrows or or pays cash does not matter in the consideration of the interest rate of the decision.

Weekly Teacher Parent Communication Through Newsletters

Weekly Teacher Parent Communication Through Newsletters In the elementary classroom, parent communication is a critical part of being an effective teacher. Parents want, and deserve, to know whats going on in the classroom. And, more than that, by being proactive in your communication with families, you can avoid possible problems before they even start. But, lets be realistic. Who really has the time to write a proper newsletter each week? A newsletter about classroom happenings may seem like distant goal that will probably never happen with any regularity. Heres a simple way to send a quality newsletter home each week while teaching writing skills at the same time. From experience, I can tell you that teachers, parents, and principals love this idea! Each Friday, you and your students write a letter together, telling families about what happened in class this week and whats coming up in class. Everyone ends up writing the same letter and the content is directed by the teacher. Heres a step-by-step guide for this quick and easy activity: First, pass out a piece of paper to each student. I like to give them paper with a cute border around the outside and lines in the middle. Variation: Write the letters in a notebook and ask parents to respond to each letter over the weekend. At the end of the year youll have a diary of communication for the entire school year!Use an overhead projector or chalkboard so that the kids can see what youre writing as you do it.As you write, model to the kids how to write the date and greeting.Make sure to tell the students to address the letter to whoever they live with. Not everyone lives with a mom and a dad.Ask for input from the kids about what the class did this week. Say, Raise your hand and tell me one big thing we learned this week. Try to steer the kids away from reporting only fun things. Parents want to hear about academic learning, not just the parties, games, and songs.After each item you get, model how you write it into the letter. Add a few exclamation points to show excitem ent. Once youve written enough of past events, youll need to add a sentence or two about what the class is doing the next week. Usually, this information can only come from the teacher. This also gives you an opportunity to preview for the kids about next weeks exciting activities!Along the way, model how to indent paragraphs, use proper punctuation, vary sentence length, etc. At the end, model how to sign off the letter properly. Tips and Tricks: Early finishers can color in the border around the letter. Youll find that, after the first few weeks, the students will get quicker at this process and you wont need to set aside so much time for it.Tell the kids that theres no excuse for incorrect spelling in their letters because youve written everything for them to see.Make a copy of each letter and, at the end of the year, youll have a complete record of each weeks highlights!Perhaps as kids get used to this process, you will decide to allow them to write the letters independently.You may still want to supplement the weekly newsletters with your own monthly or bi-monthly newsletter. This teacher-produced letter can be lengthier, meatier, and of greater scope. Have fun with it! Smile because you know that this simple Guided Writing activity helps kids to hone letter-writing skills while you accomplish an important goal of effective parent-teacher communication. Plus, its a great way to recap your week. What more can you ask for? Edited by: Janelle Cox

Customer Engagement in Social Media & Netflix Assignment

Customer Engagement in Social Media & Netflix - Assignment Example Today people prefer other people’s experience and their opinions about a particular product or service rather than advertising and promotions of the brands. For this reason internet is playing a vital role in encouraging people to share their ideas, experiences, opinions to influence others. The potential consumers seek for these types of information which is available and open to everyone (Evans and McKee, 2010). One of the benefits of taking this course is that the information is presented two-fold. Both the marketing and consumer perspectives are represented in an effort to provide you with a holistic view of Social media Marketing. What is your perspective on the Netflix/Qwikster rebranding endeavor? Taking the newly adopted Netflix business model into consideration, how would you have handled the negative customer outpourings on the Social Web if you were in the shoes of Netflix CEO Reed Hastings? FYI, implementing the previous price model is not an option in this scenario, what are other alternatives Netflix could have explored that would prove beneficial to both customers and stakeholders? The Company decided to change the name of its DVD mail service to Qwikster while rebranding, however being wise in technology and innovative, the Company did not go through Social Media, i.e. Twitter where a guy named Jason Castillo already existed with Qwikster (Hill, 2011). To make Netflix beneficial for customers as well as stakeholders and to handle the negative reviews there should have been a better communication process. The Company increasing the prices and doubling it followed by a bad communication process would certainly put a loyal customer to rethink about the relationship with the Company. Priority to customers is the main element and while driving prices up, there could have been a better communication with the customers through their blogs and through other social media. They could have communicated with the