ACCOUNTING AND FINANCIAL ENGINEERING - EXAMPLE 34.37 : A biochemical engineering professional applies 5-step Du Pont formula in the accounting. Let Net Income = A, Earning Before Tax (EBT) = B, Earning Before Interest, Tax (EBIT) = C, Net Sales = D, Total Assets = E, Shareholders Equity = F. Let Tax Burden = A / B = 0.75, Interest Burden = B / C = 1.05, EBIT Margin = C / D = 0.27, Asset Turnover = D / E = 0.66, Return on Equity = A / F = 0.37. (a) Calculate the value of Leverage = E / F. (b) If AB + BC + CD + DE + EF = $$ 141932, find the values of A, B, C, D, E and F.
ACCOUNTING AND FINANCIAL ENGINEERING - ANSWER 34.37 : (a) Leverage = E / F = (A / F) / [ (A / B) (B / C) (C / D) (D / E) ] = 0.37 / [ (0.75) (1.05) (0.27) (0.66) ] = 2.6366. (b) Let 6 simulteneous equations with 6 unknowns could be formed where A / B = 0.75, B / C = 1.05, C / D = 0.27, D / E = 0.66, AB + BC + CD + DE + EF = 141932 = G. Simple computer programming could be used to perform trial-and-error calculation. For example, DATA : What-if Analysis : Goal Seek in Excel 2013 is able to set the value of G to 141932 by changing the value of A, B, C, D, E or F. Finally A ≈ $48, B ≈ $64, C ≈ $61, D ≈ $226, E ≈ $342, F ≈ $129. The answer is given by Kang Chuen Tat; PO Box 6263, Dandenong, Victoria VIC 3175, Australia; SMS +61405421706; chuentat@hotmail.com; http://kangchuentat.wordpress.com.
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QUANTUM BIOLOGY - EXAMPLE 33.4 : (a) According to Landauer (1986), the capacity of human memory is approximately X bits. Assume that a human retains 2 bits / second of visual, verbal, tactile and musical memory, find the value of X if a human lifetime is approximately 2.5 billion seconds. (b) The total power consumption of the human brain is about 25 Watts. The bread of 100 grams will produce 1000 kilojoules of energy. How much bread is needed to run a human brain for 1 day?
At 150 degree Celsius, a mixture of 40 wt % Sn and 60 wt % Pb present, forming phases of alpha and beta. Chemical composition of Sn at each phase : CO (overall) : 40 %, CA (alpha) : 11 %, CB (beta) : 99 %. (a) State 2 reasons for the existences of alpha and beta phases for the mixture of Sn – Pb at 150 degree Celsius. (b) By using Lever Rule, calculate the weight fraction of each phase for alpha, WA = Q / (P Q) and beta, WB = P / (P Q) where Q = CB – CO and P = CO – CA.
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CHEMICAL MATERIAL BALANCE – EXAMPLE 2.2 : Three hundred gallons of a mixture containing 75.0 wt % ethanol and 25 wt % water (mixture specific gravity = 0.877) and a quantity of a 40.0 wt % ethanol - 60 wt % water mixture (specific gravity = 0.952) are blended to produce a mixture containing 60.0 wt % ethanol. The specific gravity of a substance is the ratio of density of a substance compared to the density of water. The symbol of weight percent is wt %. (a) Estimate the specific gravity of the 60 % mixture by assuming that y = mx c where y is wt % ethanol, x is mixture specific gravity. Values for m and c are constants. (b) Determine the required volume of the 40 % mixture.
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