Managerial accounting information is normally provided to managers

ACC513 – Managerial Accounting

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ACC513 – Managerial Accounting Course Syllabus

ACC513 – Managerial Accounting Course Syllabus

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Introduction

This course offers a balanced coverage of concepts, methods, and uses of managerial accounting with a strong emphasis on management issues. The principal course objective is to help the MBA student focus on concepts and managerial uses of accounting information, rather than the techniques of cost accounting. This syllabus contains the Lesson Assignments for the above referenced course.

Managerial accounting deals with providing information to individuals inside the organization. This process is driven by the information needs of the individuals involved in the decision process. In contrast, financial accounting deals with preparing general purpose reports for persons outside an organization and is heavily constrained by standard setting, regulatory and tax authorities. Financial accounting statements are also required to be audited by independent accountants.

Managerial accounting information focuses on segments of a business and comes in various forms: 1) qualitative, 2) quantitative, 3) factual, and 4) estimated.

Managers have to make many different types of decisions. Some of these include:

A. Should we expand or contract our business?

B. Should we close a particular store or drop a product line?

C. Should we open a new product line or department?

Every organization has its own individual strategy. The managerial accounting system helps managers implement an organization’s strategy and provide clarity to the decision-making process. The important thing is to recognize that the managerial accounting system needs to be adapted to each organization’s objectives, strategy, and environment.

Much of this course will focus on the managerial decision-making aspects that drive managerial accounting. Students will explore how to use accounting information to solve business problems, with a focus on understanding the business problems to be solved and the real incentives for decisions. Students will learn how to truly use the financial information, rather than simply perfect accounting techniques. Core managerial accounting concepts combine with the latest cutting-edge material that's important to today's managers and decision makers. Numerous realistic examples and application problems help emphasize process improvement and the integration of financial reporting issues for management decision-making. Students will also learn to apply managerial accounting tools to the emerging service sector, government, and nonprofit organizations for ongoing business success.

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Expected Student Learning Outcomes

Upon the successful completion of this course you should be able to:

• Compare and contrast managerial accounting and financial accounting.

• Demonstrate the importance of effective communication between accountants and users of managerial accounting information.

• Explain the concepts of costing and how they relate to profitability analysis.

• Distinguish between resources used and resources supplied and measure unused

resource capacity.

• Explain total quality management and demonstrate how traditional managerial accounting systems require modifications to support total quality management.

• Compare the costs, benefits, and weaknesses of the various cost estimation methods.

• Perform cost-volume-profit analysis and explain the use of financial modeling for profit-

planning purposes.

• Use differential analysis to measure customer profitability.

• Describe the steps of the net present value method for making long-term decisions using discounted cash flows and explain the effect of income taxes on cash flows.

• Demonstrate the use of a budget as a tool for planning and performance evaluation.

• Describe the purpose of the return on investment calculation and identify its

shortcomings.

• Identify controls that can be instituted to prevent financial fraud.

Required Materials Barsky, N. & Catanach, A. (2017). Management accounting: A business planning approach (2/E). San

Diego, CA: Cognella Academic Publishing

ISBN – 978-1-5165-0628-6

Suggestions for getting the most out of this course:

• Read professional journals and periodicals.

• Participate in the course discussion forums and learn from the experience and knowledge of your faculty mentor and fellow students.

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• If possible, form a relationship with someone who works in an area related to your course. Explain that you would like to obtain their insights and perspectives from time to time.

Academic Engagement

Each academic course at William Howard Taft University is assigned a semester unit value equivalent to the commonly accepted and traditionally defined units of academic measurement in accredited institutions. Credit bearing courses are measured by the learning outcomes normally achieved through 45 hours of student work for one semester unit. For example, a course with a value of 3 semester units would require a typical student to commit 135 hours to complete the course requirements.

Lesson Assignments

This course contains a number of lesson assignments. Work through the lessons one at a time. Unless otherwise instructed, you should complete all assignments for a particular lesson in one WORD document. When you complete all of the assignments in a lesson, submit it to the faculty for grading and feedback. Submit only one lesson at a time, completing them in sequence. Continue on to the next lesson but be sure to incorporate any feedback received on previous lessons into your subsequent assignments – if necessary. Format Unless otherwise instructed, Lesson Assignments should be prepared in Microsoft Word® using the Times New Roman font, 12-point, single space, double space between paragraphs. Each page must be numbered, and your last name and student number included on the upper left-hand corner of each page.

Your lesson assignment responses should be evidenced from the course textbook and/or from peer- reviewed sources not more than 5 years old. In general, Wikipedia is not a professionally-reviewed resource and should not be used as an assignment reference. You must cite your references so that readers can verify your conclusions, and easily determine what is your work, and what is paraphrased or taken directly from other sources. Failure to give credit for the work of others in your assignments and writing projects constitutes plagiarism.

Citation Machine: http://citationmachine.net/index2.php?start=&reqstyleid=2&newstyle=2&stylebox=2 Citation Machine is an online tool to assist in proper citation of researched information. We recommend APA format, although you may use other approved formats as long as you remain consistent.

Academic Integrity It is the policy of the University that any student found guilty of cheating and/or plagiarism will be subject to immediate dismissal from the University.

http://citationmachine.net/index2.php?start=&reqstyleid=2&newstyle=2&stylebox=2
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All students are required to sign a Coursework Certification Form for each course. This form is provided as a link in the last lesson of each course. Evaluation (How You Will Be Graded for This Course) Your grade will be influenced by the accuracy of your research and the quality of your writing. The extent of research necessary will vary from assignment to assignment. In most cases, your work product should not simply consist of quoting from the assigned text.

When grading your assignments, the faculty will consider three general components:

1. A demonstrated understanding of the material and the learning objectives.

2. Your ability to articulate, synthesize and analyze the concepts and issues presented in the material.

3. Clear and logical composition supported by examples and appropriate references.

If at any time you desire additional feedback, you should contact your faculty advisor directly via email. Feel free to ask questions about course progress, grades, etc., at any time, and remember that the faculty and administration are interested in helping you learn and succeed.

The final grade for the course is determined by the sum of each of the grades in the Lesson Assignments. Each of the lesson assignments is weighted equally in determining your grade for the course. Total Possible Points = 800 (100 Points per lesson).

Grade GPA Percentage Comments

A 4 90-100 (Outstanding)

A- 3.67 88-89

B+ 3.33 84-87

B 3 80-83 (Satisfactory)

B- 2.67 78-79

C+ 2.33 74-77

C 2 70-73 (Passing but below the standard accepted in graduate study)

C- 1.67 68-69

D+ 1.33 64-67

D 1 60-63 (Does not meet standard for graduate study, coursework must be repeated for credit) D- 0.67 59

F <0.67 58 or below (Failure)

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Faculty Mentors will refer to the following grading rubric when evaluating your assignments:

Excellent

Above

Average

Satisfactory

Needs

Improvement

Unsatisfactory

Understanding of Material and

Lesson Objectives

Demonstrates a thorough

understanding of the material.

Demonstrates an adequate

understanding of material

Responses are generally accurate, but at times lacking

coherence.

Demonstrates a marginal understanding

of the material and lesson objectives.

Provides marginally

complete and/or inaccurate responses

showing little understanding of the

material

Articulation, Synthesis and

Analysis of Concepts

Work is articulated consistent with the

degree level integrating or synthesizing

concepts in an original and

innovative way.

Work demonstrates a solid knowledge of concepts and

theories with some individual analysis

of issues.

Work demonstrates an elementary knowledge of concepts but lacks original thought and

analysis.

Work is primarily paraphrased or quoted directly from the text or

other sources.

Responses demonstrate little or no individual

analysis.

No individual analysis of concepts.

Work is poorly

articulated and/or derived entirely from

the textbook.

Composition, Presentation,

and References

Work presented in a logical and coherent way supported by sound resources.

Citations are

composed in proper format with few or

no errors.

Work presented is

grammatically sound.

Resources are

appropriate and cited in proper format with few

errors.

Work is grammatically

sound with a few minor errors.

Resources may be of

questionable authority, but are

cited in proper format with few errors.

Work contains frequent grammatical errors.

Resources are few, non- existent, or may be of questionable authority.

Frequent errors in

composition, grammar and presentation.

Quoted material is

incorporated without the use of quotation

marks or citation (plagiarism).

Course Completion Requirements

The course will be deemed completed only when all the following has been accomplished:

• You have completed the lesson assignments and they have been received by the University.

• You have completed the Course Certification Form and it has been received by the University.

• You have completed the Course Evaluation Survey.

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Lesson 1 - Strategy & Management Accounting and The Business Value Chain

Introduction

This lesson explains the fundamentals of business strategy and the strategic planning process. Understanding business strategy is essential to helping a business meet the expectations of customers, investors, and other stakeholders. The knowledge also highlights just how important information is to managers in making business decisions. Most importantly, business professionals need a thorough appreciation for what their company or client does: They need to understand the overall strategy of the business.

Managing a business can also be very complex. Today’s businesses continually attempt to manage a variety of competing demands such as creating value for owners, satisfying customers, developing and retaining employees, and complying with regulatory requirements. However, addressing these challenges requires a wealth of timely, meaningful, and relevant information that managers can use in making their daily decisions. Such information is called managerial accounting information. It is the primary focus of this course. Management accounting is that body of knowledge that captures the concepts, theories, tools, and techniques by which company performance data are transformed into information that managers can use to create and execute strategy.

Success in business at the dawn of the twenty-first century depends on a firm’s ability to manage change. Companies today confront many new challenges including technology innovations, global competition, and increased demand for timely, relevant decision-making information. Collectively, market forces compel businesses to develop adaptive and innovative organizational structures that promote more efficient business processes and closer stakeholder relationships. These changes in the business environment affect all managers, not just executive-level decision-makers. Many routine, often labor-intensive business tasks are now performed by technology. In an age when preparing and distributing data occurs at little or no cost, managers are expected to possess the knowledge, skills, and abilities that allow them to offer insights that contribute to business success.

Chapter 1 discusses the way in which strategic planning helps a company meet the expectations of its customers, investors, and other stakeholders. As we will learn, this process forces managers to evaluate both their current and future business operations. However, such an analysis depends on a keen awareness of what market forces potentially can affect a business. Therefore, chapter 2 discusses several major business forces that are shaping today’s marketplace and their effects on companies and business professionals. This discussion highlights the important roles that business planning and information play in managing change in the twenty-first century. Understanding those roles will allow you to distinguish between the usefulness of data and information for decision- making, and it will give you an appreciation for the analytical abilities needed to transform one into the other.

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Lesson Learning Objectives

By the conclusion of this lesson you should be able to:

• Define and describe a business.

• Identify and describe the stakeholders of a business.

• Explain the relationship between strategy and profitability.

• Describe the strategic planning process and its results.

• Identify barriers to successful strategic planning.

• Identify forces affecting business.

• Define the elements of the customer value imperative.

• Explain the value chain and its components.

• Explain the importance of evaluating company performance.

Reading Study Chapters 1 and 2 of the text. Assignments The follow ing Assignment Questions should be completed and submitted to the course faculty via the learning platform for evaluation and grading. Submit your responses to these questions in one WORD document. List the question first, and then your response. Your response must adequately cover the question w ithout being wordy or relying on “yes” or “no” responses.

Short Answer Questions

1. What are four/five characteristics of a good mission statement? Prepare a mission

statement for a video rental store that has these characteristics.

2. What is the implication of strategic planning and analysis for information provided by management accounting systems?

3. List the four dimensions of performance measured on a balanced scorecard. Identify one critical success factor for each dimension for a small auto-repair shop.

4. Describe three to five barriers to successful strategic planning.

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5. List several types of economic data that managers of a computer repair shop that

serves a particular geographic region might find useful to their strategic planning process.

6. Describe the customer value imperative as it relates to a clothing store. Address all three consumer expectations of the customer value imperative.

7. Consider the value chain for a restaurant. Identify one major business activity for each of the five-core business processes. For each activity, specify one important decision the restaurant will have to make.

Professional Development Questions

1. In Chapter 1 of the text (page 32), answer the Mini-Case problem for BestSellers

Bookstore (questions 1 – 5).

2. In Chapter 2 of the text (page 64), answer the Mini-Case problem for Group Consulting Exercise. However, please address the problem from an individual perspective, not a group.

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Lesson 2 – Evaluating Financial Performance and Business Processes & Risk

Introduction Financial statements provide a wealth of information that customers, creditors, investors, managers, employees, regulators, and other stakeholders use to assess a firm’s past and future performance. The four reports that comprise a set of financial statements —the balance sheet, the income statement, the statement of cash flows, and the statement of owners’ equity—summarize the economic transactions affecting a business. However, the quantity of financial information that is available today at little or no cost can be overwhelming or even intimidating. Evaluating a firm’s business operations is often complicated by the complexity of the accounting policies on which financial statements are based. Therefore, financial statement users frequently use ratio analysis to manage this information overload and to capture the big picture of firm performance. This lesson will review financial statement fundamentals, introduce pro forma reporting, and discuss how ratio analysis can provide useful insights into a firm’s business operations. Company managers also need to understand the link between business processes and financial results. To do so, they must understand the variety of risks that can influence the success of their operating activities. In the first two chapters, we discussed business strategy, market forces, and how organizations implement business processes to create value for their stakeholders. Chapter 3 explored the use of financial statements to evaluate company performance. In chapter 4, we explore how business processes influence a company’s financial results and how business risk affects those same processes. We then discuss strategies that companies use to manage business risks.

Lesson Learning Objectives

By the conclusion of this lesson you should be able to:

• Review the purpose of financial statements and their form.

• Describe the use of pro forma financial statements.

• Discuss and illustrate the use of financial ratio analysis.

• Demonstrate the use of financial ratios in evaluating business strategy.

• Define value drivers and explain their usefulness in understanding business processes.

• Identify the resources necessary to support the value chain.

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• Define business risk and describe the uncertainties affecting value creation.

• Discuss how companies identify and manage business risk.

Reading Study Chapters 3 and 4 of the text.

Assignments The follow ing Assignment Questions should be completed and submitted to the course faculty via the learning platform for evaluation and grading. Submit your responses to these questions in one WORD document. List the question first, and then your response. Your response must adequately cover the question w ithout being wordy or relying on “yes” or “no” responses.

Short Answer Questions

1. The manager of Tacorama provided the following data from its financial statements

for 20X1: On December 31 20X1 Inventory $ 8,000 Current assets $24,000 Total assets $80,000 Current liabilities $4,000 Total liabilities $20,000 For the year ended December 31 Sales revenue $200,000 Net income $6,000 Compute the following ratios for 20X1: Asset turnover Financial leverage Return on assets Return on equity Profit margin Current ratio Quick ratio

2. Bowler Makers Company reported $50,000 in net income last year. Some of its financial ratios for that year are as follows: Return on assets 20% Return on equity 25% Asset turnover 2.0

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Based on the data provided, compute the following: Total assets Total equity Total liabilities Net sales Profit margin Financial leverage

3. Black and Blue Inc. reported $60,000 in net income last year. Some of its financial ratios for that year are as follows: Return on assets 15% Return on equity 24% Profit margin 8% Based on the data provided, compute the following: Total assets Total equity Total liabilities Net sales Asset turnover Debt to equity ratio

4. Kwiken-Kwiker Company had $70,000 in accounts receivable at the end of last year. Some of its financial ratios for that year are as follows: Return on assets 15.0% Assets turnover 3.5 Receivables turnover 11.0 Financial leverage 2.0 Based on the data provided, compute the following: Net sales Total assets Net income Total equity Return on equity Debt to equity

5. Bowler Makers Company reported $75,000 in net income last year. Some of its financial ratios for that year are as follows: Return on assets 12% Return on equity 15% Asset turnover 2.5 Based on the data provided, compute the following: Total assets Total equity Total liabilities Net sales Profit margin Financial leverage

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6. Black and Blue Inc. reported $45,000 in net income last year. Some of its

financial ratios for that year are as follows: Return on assets 12% Return on equity 36% Profit margin 3% Based on the data provided, compute the following: Total assets Total equity Total liabilities Net sales Asset turnover Debt to equity ratio

7. Kwiken-Kwiker Company had $900,000 in sales last year. Some of its financial ratios for that year are as follows: Assets turnover 1.5 Profit margin 7.0% Financial leverage 1.2 Based on the data provided, compute the following: Net income Total assets Return on assets Total equity Return on equity Debt to equity

Professional Development Question

In Chapter 4 of the text (page 128), answer the Mini-Case problem for Keystone Academy (items 1 – 9).

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Lesson 3 – Planning Profitable Operations and Forecasting Tools & Techniques

Introduction As discussed in Chapter 4, businesses create value for their customers by designing efficient and effective business processes. To create value for investors, managers must generate profits. This lesson introduces the concept of profit planning and presents the fundamental tools and techniques needed to transform sales price and cost data into the insights necessary to build a profit plan. These techniques help managers plan and monitor business operations, allocate scarce resources, and manage expenses. This lesson specifically identifies the relationship between business processes and a firm’s cost structure. Future lessons will demonstrate how these tools can be applied to profit-plan development and performance evaluation. Managers in all businesses need to plan effectively so that they will have the necessary human, physical, and financial capital to execute strategy. As managers convert these resources into financial results, they are particularly interested in the cost of their business operations. To create value for investors, managers must generate profits. As discussed in Chapter 3, profits occur when firms generate enough revenue to cover operating costs. The traditional income statement classifies costs by type or purpose, like cost of sales or operating expenses, to inform users about the business function that generates each major expense. However, to effectively plan business operations, managers also need to understand cost behavior—specifically, how costs react to changes in business activity. Understanding cost behavior allows managers to forecast future profits and evaluate the results expected from their decisions. Additionally, the lesson will also present the fundamental tools managers need to develop credible profit projections. The profit-planning tools introduced in this lesson can depend on a variety of assumptions and estimates. We build on that discussion and illustrates how managers use statistical techniques to forecast. Forecasting supplies data that can be used in breakeven analysis and provides the foundation for developing credible and meaningful budgets and business plan projections. The lesson concludes with a brief discussion of qualitative factors that managers must also consider when making business decisions. In coming chapters, we will apply these tools to budget development and performance evaluation.

Lesson Learning Objectives

By the conclusion of this lesson you should be able to:

• Describe the primary types of cost behaviors.

• Define the relevant range and a firm’s total cost function. • Describe cost-volume-profit (CVP) analysis and explain its usefulness.

• Demonstrate the use of breakeven analysis.

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• Identify strategies that companies use to lower their breakeven points.

• Demonstrate the importance of sales forecasting.

• Describe the role of cost drivers in estimating costs.

• Demonstrate the use of graphical and statistical forecasting techniques.

• Demonstrate the use of cost estimates in cost-volume-profit (CVP) analysis.

• Discuss qualitative factors that affect costs.

Reading Study Chapters 5 and 6 of the text.

Assignments The follow ing Assignment Questions should be completed and submitted to the course faculty via the learning platform for evaluation and grading. Submit your responses to these questions in one WORD document. List the question first, and then your response. Your response must adequately cover the question w ithout being wordy or relying on “yes” or “no” responses.

Short Answer Questions

1. Oingo Inc. sells its product for $60.00. Its variable cost per unit is $48.00. Fixed costs total $30,000. How many units does the company need to sell to breakeven? What are the total sales in dollars at the breakeven point? How many units does the company need to sell to earn a profit of $120,000?

2. Pimpton Plows sells its product for $50. Its variable cost per unit is $19.00. Fixed costs total $434,000. How many units does the company need to sell to breakeven? What are the total sales in dollars at the breakeven point? How many units does the company need to sell to earn a profit of $155,000?

3. Big City Orchestra, Inc. produces a five-concert series every year. Its concert hall has 3,300 seats, all of which sell for $40 per ticket per concert. Variable costs are estimated to be $2 per ticket, related to printing, promotions, and mailings. Fixed costs, including salaries and operating expenses, total $427,500 per year. The orchestra averages 70% attendance per concert. What is the breakeven point in dollars of ticket sales?

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What is the breakeven point in tickets per concert? What is the expected total sales in dollars and units (tickets)? What is the projected net income at its expected sales level? What is the orchestra’s safety margin in sales dollars and tickets? How many tickets would need to be sold this year in order to earn enough profits to enable the orchestra to purchase a new pipe organ that costs $96,900? What would average attendance need to be to achieve this?

4. Husky and Starch Books provided the following information: Average selling price per book $25 Average variable cost per book $13 Monthly fixed costs $6,000 Compute the following: What is Husky and Starch’s contribution margin per unit in dollars? What is Husky and Starch’s contribution margin ratio? How many books must Husky and Starch sell to breakeven? How many books must Husky and Starch sell to earn $9,000 per month?

5. Last year, Leeky’s Pizza Ovens sold its ovens at a price of $800 each. The variable expenses for each oven were $500 and the annual fixed expenses totaled $270,000. Leeky’s Pizza Ovens had targeted a profit of $300,000 for the year but fell substantially short of that goal because product demand shifted resulting in sales of only 1,600 ovens. Leeky’s president assigned a management committee to analyze the situation and develop alternative courses of action for the coming year. The following three alternatives were presented to the president, but only one can be selected: Alternative A: Reduce the selling price by $70. The marketing department forecasts that with the lower price, 2,400 ovens could be sold during the year. Alternative B: Lower variable expenses per unit by $25 through the use of less expensive materials. Because of the difference in materials, the selling price would have to be lowered by $50 and sales of 2,100 ovens for the year are forecast. Alternative C: Cut fixed expenses by $50,000 and lower the selling price by 5 percent. Sales of 2,000 ovens would be expected for the year. If no changes are made to the selling price and cost behavior is unchanged, estimate the number of ovens that must be sold during the year to break even. If no changes are made to the selling price and cost behavior is unchanged, estimate the number of ovens that must be sold during the year to attain the target profit of $300,000. Determine which of the alternatives Leeky’s Pizza Ovens’ president should select to maximize profit.

6. David’s DVD Repair Company wants to open a repair shop in a suburb of a major metropolitan area. The industry association estimates that 30% of DVD players are repaired by similar service companies and that the average owner spends $80 per DVD player on repairs each year. The available commerce data indicates that there are 50,000 DVD players in the metropolitan service area. Three other competitors exist within a 25 mile radius of the proposed business location. Based on a consumer survey, the owner believes that he can capture 20% of the market in the first year of operation.

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Based on this data, address the following requirements: What is the potential number of DVD players likely to be commercially repaired during one year? How much revenue can David’s DVD Repair Company expect to generate in its first year of operations?

7. The Party Place Company wants to open a dining hall for group meetings and banquets. A survey of businesses and organizations within a 30 mile radius indicates that the Party Place can expect to provide meeting facilities to 0.75 groups per day for 360 days of the year. On average during the year, 50% of all groups would be expected to want basic food service and 30% are expected to want premium food service. Groups pay a facility rental fee of $80 per meeting. If the group requests basic food service, the facilities fee is reduced by one-half. No facilities fee is charged for groups that request premium food service. Basic food service is provided at a cost of $10 per plate and premium food service is provided at $25 per plate. Groups that request basic food service are expected to average 50 people per group. Groups that request premium food service are expected to average 30 people per group. Based on this data, address the following requirements: What is the number of groups that are expected to want premium food service, basic food service, and no food service during one year? How much revenue can the Party Place expect to generate during its first year of operations?

8. Mr. Fixits wants to open a lawn mower repair shop in a suburb of a major metropolitan area. The industry association estimates that 40% of mowers are repaired by similar service companies and that the average owner spends $150 per mower on maintenance each year. The census and local chamber of commerce data indicate that there are 35,000 mowers in the county. Seven other competitors exist within a 25 mile radius of the proposed business location. Based on a consumer survey, Mr. Fixit’s owners believe that they can capture 8% of the market in the first year of operation. Based on this data, address the following requirements: What is the potential number of lawn mowers likely to be repaired in one year? What is the total potential mower repair revenue available in the market in one year? How much revenue can Mr. Fixit expect to generate during its first year of operation?

9. The Beejue Theatre has 12 screens on which first-run movies are presented 365 days out of the year. Each movie is shown an average of 5 times per day. The number of seats for each screen varies, with an average of 400 seats per screen. Ticket prices average $9 per seat. The overall average occupancy rate per movie is 15%. Compute the total possible tickets that could be sold assuming 100% occupancy. Compute the estimated total customer demand (number of movie seats sold) for each year. Compute the estimated total revenues for one fiscal year. If management wanted to generate $18,000,000 in annual revenues, what would the average occupancy percentage rate need to be?

10. Acme Brick Company estimated its annual total cost function to be: Y = $320,000 + 2.56x

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Assuming that Y represents total cost and x equals the number of units sold, use this equation to answer the following questions: What is the firm’s total fixed cost? What is the firm’s variable cost per unit? Compute total costs if the firm sells 10,000 units. Compute total costs if the firm sells 30,000 units.

Professional Development Questions

1. In Chapter 5 of the text (page 160), answer the Mini-Case problem for Keystone Academy (items 1 – 9).

2. In Chapter 6 of the text (page 197), answer the Mini-Case problem for Top F