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  1. You are provided with the following information for Murray Ltd.
    Total £
    Sales (7,500 units) 1,575,000
    Materials 450,000
    Variable labour costs 225,000
    Variable overheads 150,000
    Fixed overheads 180,000
    Profit 570,000

REQUIRED
Calculate the following figures (working to one decimal place), in each case explaining your method and the usefulness of your results:
a) Calculate total contribution and contribution per unit.
b) Calculate break-even point in units and pounds.
c) Calculate the margin of safety in units and percentage of sales.
d) Calculate how many units would need to be sold to make £235,000 profit.
e) Use contribution per unit to calculate how much profit would be made if 8,500 units were sold.
(2 marks for each part for calculation and 2 marks for each part for comments. About 250 words, total 20 marks)

  1. As marketing manager for Jockuvich Ltd you have been asked to devise and evaluate a marketing campaign for a new product. You have identified two possible projects, both of which would run for four years, and now need to prepare a presentation for the board of directors. The company’s cost of capital is 8% and payback is normally required within three years.
    The following figures have been identified:

Project A
Year 0
£000 Year 1
£000 Year 2
£000 Year 3
£000 Year 4
£000
Initial investment 360
Net Cash flow 180 120 80 40

Project B
Year 0
£000 Year 1
£000 Year 2
£000 Year 3
£000 Year 4
£000
Initial investment 380
Net Cash flow 200 140 60 40

REQUIRED
a) Calculate payback and net present value for each option. You should work in £000 to 2 decimal places. Make a recommendation as to which of the two options should be selected. (20 marks)
b) Evaluate the advantages and disadvantages of the investment appraisal techniques used. (About 250 words, 10 marks).

  1. Explain the importance and practice of working capital management (25 marks, about 500 words)
  2. Incremental budgeting is the best method of applying budgets. Discuss (25 marks, about 500 words).

Sample Solution

Sample solution

Dante Alighieri played a critical role in the literature world through his poem Divine Comedy that was written in the 14 th century. The poem contains Inferno, Purgatorio, and Paradiso. The Inferno is a description of the nine circles of torment that are found on the earth. It depicts the realms of the people that have gone against the spiritual values and who, instead, have chosen bestial appetite, violence, or fraud and malice. The nine circles of hell are limbo, lust, gluttony, greed and wrath. Others are heresy, violence, fraud, and treachery. The purpose of this paper is to examine the Dante’s Inferno in the perspective of its portrayal of God’s image and the justification of hell. 

In this epic poem, God is portrayed as a super being guilty of multiple weaknesses including being egotistic, unjust, and hypocritical. Dante, in this poem, depicts God as being more human than divine by challenging God’s omnipotence. Additionally, the manner in which Dante describes Hell is in full contradiction to the morals of God as written in the Bible. When god arranges Hell to flatter Himself, He commits egotism, a sin that is common among human beings ( Cheney, 2016) . The weakness is depicted in Limbo and on the Gate of Hell where, for instance, God sends those who do not worship Him to Hell. This implies that failure to worship Him is a sin.

God is also depicted as lacking justice in His actions thus removing the godly image. The injustice is portrayed by the manner in which the sodomites and opportunists are treated. The opportunists are subjected to banner chasing in their lives after death followed by being stung by insects and maggots. They are known to having done neither good nor bad during their lifetimes and, therefore, justice could have demanded that they be granted a neutral punishment having lived a neutral life. The sodomites are also punished unfairly by God when Brunetto Lattini is condemned to hell despite being a good leader ( Babor, T. F., McGovern, T., & Robaina, K. (2017) . While he commited sodomy, God chooses to ignore all the other good deeds that Brunetto did.

Finally, God is also portrayed as being hypocritical in His actions, a sin that further diminishes His godliness and makes Him more human. A case in point is when God condemns the sin of egotism and goes ahead to commit it repeatedly. Proverbs 29:23 states that “ arrogance will bring your downfall, but if you are humble, you will be respected.” When Slattery condemns Dante’s human state as being weak, doubtful, and limited, he is proving God’s hypocrisy because He is also human (Verdicchio, 2015). The actions of God in Hell as portrayed by Dante are inconsistent with the Biblical literature. Both Dante and God are prone to making mistakes, something common among human beings thus making God more human.

To wrap it up, Dante portrays God is more human since He commits the same sins that humans commit: egotism, hypocrisy, and injustice. Hell is justified as being a destination for victims of the mistakes committed by God. The Hell is presented as being a totally different place as compared to what is written about it in the Bible. As a result, reading through the text gives an image of God who is prone to the very mistakes common to humans thus ripping Him off His lofty status of divine and, instead, making Him a mere human. Whether or not Dante did it intentionally is subject to debate but one thing is clear in the poem: the misconstrued notion of God is revealed to future generations.

 

References

Babor, T. F., McGovern, T., & Robaina, K. (2017). Dante’s inferno: Seven deadly sins in scientific publishing and how to avoid them.  Addiction Science: A Guide for the Perplexed , 267.

Cheney, L. D. G. (2016). Illustrations for Dante’s Inferno: A Comparative Study of Sandro Botticelli, Giovanni Stradano, and Federico Zuccaro.  Cultural and Religious Studies 4 (8), 487.

Verdicchio, M. (2015). Irony and Desire in Dante’s” Inferno” 27.  Italica , 285-297.

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