Using your annotated bibliography from Week 2, write a literature review of 3–4 pages. Many peer-reviewed academic journal articles contain a literature review section. Research to find and read several of these. The literature review is not a listing of abstracts or simple paraphrasing. If your introduction and literature review are combined, ensure that each specific point in establishing the importance of your topic is supported by citations of proper sources. The points you are emphasizing are a reflection of the research and findings that you have developed around your chosen topic. Your ultimate paper is your own unique perspective, and in the literature review you are assembling related research to support your own work.Assignment GuidelinesUsing your annotated bibliography from Week 2, conduct a literature review of your selected sources. Your literature review should be 3–4 pages in length. Remember to use APA style for all references and citations.3-4 pagWeek 2 assignment Annotated BibliographyAn annotated bibliography contains a list of different sources that one would intend to use in a particular research. However, in addition to listing the different sources of information, an individual also delves deeper into understanding the context of the research studies in addition to the different strengths and weaknesses of the research. Consequently, one would not simply gather a list of possible sources of information without going throughthe content to determine the effectiveness of the content in presenting an ideal source of support for his or her ideas as presented in the research. The resulting critical review would then give the researcher an opportunity to determine whether the source is relevant or not. In addition to critiquing a particular article, one also determines how he or she would use the article in the research. In this case, the researcher would align the contents of the determined article to the outline of the study, resulting to appropriate placement of a source in explaining a particular point one wishes to make. Ultimately, the annotated bibliography helps developa potential structure for the researcher, while ensuring that the sources used in the study are fit well enough into the research topic.Notably, policy analysts often depend on existing research to make recommendations for different organizations. While engaging in such responsibilities, it would be ineffective if the analyst simplyconsulted different internet sources and wrote down what he or she found as the suggestions made to the policy in question. Unlike having a disorganized internet search and consequent dependence on any data available, it would be more effective if the researcher conducted a research based on existing scholarly material of studies conducted by scholars with respect to the policy in question. Ultimately, the policy analyst would then end up with a list of possible research studies he or she could consult, with the consequent evaluation of the basis of the different studies presenting an opportunity to finda study conducted in an organization and situation to one he faces. In this case, he would have engaged some form of critiquing of the different sources of information, from which he would then find the most relevant recommendations for presentation to his or her employer. Otherwise, some of the information found in internet sources is based on opinions and implementation may not be any more effective than if he had just developed solutions without looking through the internet for insight (Klein, 2001). Therefore, the use of internet sources would result to the research analyst missing a basis for credibility of the suggestions made. In essence, the use of reliable sources of information is best achieved through conducting a thorough review of the different sources, with an annotated bibliography being one of the possible ways to conduct such a review. However, there is always the need to convert the annotated bibliography into an actual literature review when one eventually delves into completing a particular research paper. In this case, one could easily experience challenges such as plagiarism if he or she does not completely understand the contents of the research that he plans to use, and copies information directly from the material. Therefore, it is essential that one goes through the different research information sources, understands the information, and the relationship between the different sources with respect to the topic of study. Additionally, knowledge of proper citation and referencing of all borrowed ideas from the different sources would be highly consequential to writing an ideal literature review from the annotated bibliography.ReferencesKlein, B. D. (2001). User perceptions of data quality: Internet and traditional text sources. Journal of Computer Information Systems, 41(4), 9-15.

Scenario You have been hired as the new controller for Paulson Paint, Inc. You will have the opportunity to utilize your financial and managerial accounting experience. You will be responsible for preparing the budget for the year ending December 31, 2019, using the actual data from 2014 through 2018. You will also prepare a report for the company, describing the strengths and weaknesses of the company as well as providing suggestions for the future. Here are a few guidelines. Work-in-process inventories will be ignored. Financial and IRS will be the same. Some projections for 2019 will be given. Standards used for the 2019 budget will be reasonably obtainable standards. No hourly worker will work overtime. All price changes will occur on January 1 and will remain in effect for the entire year. The actual 2018 information is available while preparing the 2019 budget. All debt transactions will occur either on January 1 or December 31. There are no bad debts. Please note the following: The budgeting process is not an exact science; therefore, approximate figures provide adequate information for the decision maker. Figures should be rounded to the whole dollar throughout the budgeting process and the control applications. Since it is not possible to have a partial machine or person, certain figures will have to be rounded up. Company Information Paulson Paint, Inc. produces two qualities of paint: Magnificent (Interior Paint Department) and Marvelous (Exterior Paint Department). The company was established 12 years ago and began with only one type of paint. Sales of the original product have been rather stable in the past 7 years. In 2016, a second type of paint was introduced, and sales of this product have increased each year due to effective sales campaigns and efforts. The president is currently concerned about the inefficient use of capacity and the effect this has on profitability. All raw materials are currently purchased from outside suppliers and no difficulty is foreseen in obtaining the necessary inventories for production in the future. All inventories are currently considered to be at the lowest safe levels given the delivery, production, and sales cycles. Given the current production capacity, the company will have room for expansion for the next few years without building new facilities or expanding the current building. The company will also have the option of starting a second production shift to support future sales if necessary; therefore, increased production will be obtainable through purchasing additional equipment or increasing production hours. At this time, however, the president is relunctantly considering a second shift due to the additional $1.50 per hour shift differential that would be necessary to pay hourly second-shift workers. The company experienced cash flow issues in 2018 but has always managed to make all payments on a timely basis. The president wishes to increase the amount of cash on hand in the future so that the company will have a greater margin of safety. To date, the company has not had difficulty obtaining financing for expansion and does not foresee any future difficulties in obtaining necessary funding for legitimate purposes. Department Structure Paulson Paint, Inc. has two separate departments, one for each of the paint types. As the end products are not distinguishable, the company uses process costing, employing a FIFO inventory system. Absorption costing is used for all outside reports. All nondirect fixed costs are allocated using various allocation bases as indicated throughout the project. The company does not use a full ABC costing system; however, it does employ some of the ABC concepts in the budgeting process. The Administrative Department handles all of the purchasing, accounting, and secretarial duties in a highly efficient manner. There is no need for separate departments at this time. 2018 Information Interior Paint DepartmentExterior Paint DepartmentNumber of machines available27 20 Annual capacity per machine18,000 gallons18,000 gallonsAnnual production capacity432,000 gallons378,000 gallonsMachine hours available per machine2,000 hours2,000 hoursStandard machine hour per gallon.12 hour/gallon.12 hour/gallonStandard labor hour per machine hour1.25 labor hour/machine hour1.25 labor hour/machine hourActual sales volume440,000 gallons295,700 gallonsNumber of hourly employees3122Supervisors (1 per each 8 hourly employee)43Raw Material Prices: Cans$.50 each$.50 eachRaw Material Prices: Pigment$2.85 per pound$3.90 per poundRaw Material Usage: Cans1 per gallon1 per gallonRaw Material Usage: Pigment2 pounds per gallon2 pounds per gallonDirect labor rate$10.25 per hour$10.25 per hour 2019 Projected Sales Information The Sales Department feels very good about the prospects for 2019. The reputation of the new product, Marvelous Paint, has increased significantly due to effective advertising in the past few years. The Sales Department is ready to launch a major advertising campaign, which is expected to continue the trend of the last 3 years for the Marvelous brand, even with a small price increase per gallon. Magnificent Paint has been produced since the company began production. The sales level of this product has been rather stagnant for the last 5 years, and that trend is expected to continue in the future. The following information for the two products has been gathered. Magnificent PaintMarvelous PaintAnticipated Sales Price - 2019$14.50 per gallon$18.75 per gallonActual Sales Price - 2014424,000 gallonsNoneActual Sales Price - 2015425,000 gallonsNoneActual Sales Price - 2016413,000 gallons226,560 gallonsActual Sales Price - 2017453,000 gallons259,000 gallonsActual Sales Price - 2018 440,000295,700 gallons Magnificent Paint Sales growth in units will continue to be stagnant. The more recent years are more representative of continuing unit sales than years in the past. Exponential smoothing will be an appropriate unit sales projection to use. Marvelous Paint Unit sales growth will continue on its current increasing trend. An exponential growth function, with the year being the independent variable and the sales volume being the dependent variable, will be an appropriate sales projection method. 2019 Direct Material and Inventory Budget Information The production department worked in conjunction with both the sales and purchasing departments in developing the desired projected inventory levels for December 31, 2019. Information regarding beginning and desired ending inventories for 2019 are as follows. Beginning InventoryEnding InventoryCans59,14062,170Pigment for Magnificent Paint64,300 pounds72,000 poundsPigment for Marvelous Paint50,400 pounds55,700 poundsFinished Goods Inventory: Magnificent Paint33,500 pounds36,000 gallonsFinished Goods Inventory: Marvelous Paint25,890 gallons29,000 gallons The following direct material price increases are expected to occur on January 1, 2019, and remain effective for the entire year. ItemPrice Increase Expected Cans $0.03 price increase Pigments: Magnificent Paint $0.15 price increase over 2018 prices Pigments: Marvelous Paint $0.20 price increase over 2018 prices Inventories are accounted for using the FIFO method. Hint! Remember that each gallon of paint requires 2 lb of pigment. 2019 Direct Labor Budget Information During 2019, a new contract was signed with the union. As part of that agreement, no worker can work in more than one department, and no single worker can work over 2,000 hours during the year. This means that for every 2,000 hours of labor that is required for production in each department, one hourly employee is needed. For example, if a department needs 10,150 labor hours during the year, six employees will be needed (10,150 / 2,000 per employee = 5.075, which needs to be rounded to six employees). The standard direct labor rate will increase $0.25 per hour over the 2018 rate. Additional information regarding employee benefits is included in the section on manufacturing overhead. 2019 Overhead Budget Information The following information is available regarding the actual overhead costs incurred for 2018. Variable CostsFixed Costs Indirect materials $.25 per gallon  Indirect labor annual rate  $55,000 per supervisor Hourly employee fringe benefits 25% of wages  Hourly health benefits  $2,000 per employee Supervisor's fringe benefits 25% supervisor's salaries Supervisor's health benefits $2,000 per employee Utilities$.45 per machine hour  Maintenance$.25 per machine hour$12,000 annually Insurance $50,000 annually Property taxes $12,000 annually Supplies $6,000 annually Depreciated (Items held during 2018) $275,000 annually Note Allocations of maintenance, insurance, property taxes, and supplies are allocated to departments based upon production levels in gallons. The 2018 Depreciation allocation to Magnificent Dept. is $150,000 and Marvelous Dept. is $125,000. It is expected that the following changes will occur during 2019. Variable CostsFixed Costs Indirect materials No change  Indirect labor annual rate  3.0% increase Hourly fringe benefits No change  Hourly health benefits  Increase $250/employee Supervisor fringe benefits No change Supervisor health benefits Increase $250/employee UtilitiesNo change  MaintenanceIncrease $.05 per MHRIncrease $500 annually Insurance Increase $500 annually Property taxes Increase 8% Suppliers Increase $300 annually Depreciation (Items held during 2018) No change Depreciation (Machinery purchased in 2019) 5-year life Note There will be no salvage value for the equipment purchased in 2019. MHR is Machine Hours. 2019 Sales Department Information The Sales Department consists of 10 representatives who report directly to the president. Each individual is on a salary plus commission, and the sales reps also submit meal and entertainment expenses for reimbursement. (In 2018, the meal and entertainment expenses were limited to $50 per week per sales representative based upon a 52-week year.) The following information is available regarding the actual selling costs incurred for 2018. VariableFixed Commissions $.40 per gallon sold  Salaries  $20,000 per sales representative Fringe Benefits 25% of commissions 25% of salaries Health Benefits  $1,800 per sales representative Advertising$10 per 100 gallons sold  Meals and Entertainment $50 per week per representative Depreciation $8,000 It is felt that the company will not need any additional sales representatives for 2019. It is expected that the following changes will occur in 2019. VariableFixed CommissionsNo change  Salaries No change Fringe BenefitsNo change No change Health Benefits  Increase $250 per representative Advertising$12 per 100 gallons sold  Meals and Entertainment $60 per week per representative Depreciation No change 2019 Administrative Budget Information The Administrative Department consists of the president and an office staff of eight who handle the secretarial, purchasing, and accounting duties (total of nine people). The following information is available regarding the 2018 actual costs. VariableFixed Salaries $300,000 annual Fringe Benefits 20% of salaries Health Benefits $2,000 per employee Professional Fees $25,000 annually Office Supplies$.04 per gallon sold  Telephone $.02 per gallon sold Depreciation $8,000 annually It is felt that the level of the office and administrative staff will be adequate for the coming year. It is expected that the following changes will occur in 2019. VariableFixed Salaries Increase 3% annually Fringe Benefits No change Health Benefits Increase $250 per employee Professional Fees Increase of $2,000 Office SuppliesIncrease .01 per gallon sold  TelephoneIncrease .01 per gallon sole Depreciation No change 2019 Income Tax Information The current federal tax rate is 20%. All taxes for the year will be paid by the end of the year, which means there will be no accrued taxes on December 31, 2019. 2019 Accounts Receivable information It is expected that sales will occur evenly throughout the year and that there will be no cash sales. Seventy-five percent of monthly sales will be collected in the month following the sale, and the remaining 25% will be collected by the end of the second month. No bad debts are anticipated. 2019 Accounts Payable Information The account represents the purchases for raw materials only. It is expected that purchases will be made evenly throughout the year and that all purchases will be paid for during the month following the purchase. 2019 Wage and Salary Information The accrued wage account will include all direct labor, indirect labor, sales commissions and salaries, and administrative salaries. All wages are earned evenly throughout the year, and employees are paid twice each month. On December 31, 2019, the accrued wages will include wages representing one full payroll period. 2019 Property Plant and Equipment Information Property, Plant, and Equipment consist of the following on December 31, 2018. Property and Plant $800,000 Equipment $1,155,000 Total $1,955,000 Each additional machine that is needed to support the production level expected during 2019 will cost $35,000 and be depreciated over 5 years using the straight-line method. Assume that any equipment purchases are made on the first day of January and are operational throughout the entire year. No new equipment will be needed for the sales and administrative departments. 2019 Long-Term Debt Information A long-term debt repayment (principal only) will be made on December 31, 2019 for $275,000. The interest rate charged on the debt balance throughout 2019 will be 8% and will be paid on December 31, 2019. If an additional machine is purchased, $5,000 will be paid in cash and the remaining $30,000 will be financed at the 8% rate. The same proportion of cash/additional debt will be applied to all additional equipment purchased during 2019. Again, any purchases will be made on January 1, 2019. Dividend Policy Paulson Paint, Inc. policy is to pay dividends on the last day of each quarter. The total anticipated dividends for 2019 are $2.75 per share. Other Information Unless otherwise noted, information will remain unchanged from 2018 to 2019. 2018 Income Statement and Balance Sheet Paulson Paint, Inc. Income Statement Year Ended December 31, 2018 Sales $11,482,600Cost of Goods Sold $9,192,947Gross Margin $2,289,653Selling Expenses$603,339 Administrative Expenses$387,056$990,395Operating Income $1,299,258Interest Expense $96,440Income Before Income Tax $1,202,818Income Tax $240,564Net Income $962,254 Paulson Paint, Inc. Balance Sheet December 31, 2018 Assets  Cash $190,000 Accounts Receivable $857,000Inventory-Raw Materials $412,000Inventory-Finished Goods$564,850Plant and Equipment$1,955,000Less Accumulated Depreciation($630,000)Total Assets$3,348,850Liabilities Accounts Payable$395,620Accrued Wages$82,500Accrued Other$71,220Long-Term Debt$1,230,000Total Liabilities$1,779,340Stockholders' Equity Common Stock, $5 per value$450,000Additional Paid-In Capital$684,430Retained Earnings$435,080Total Stockholders' Equity$1,569,510Total Liabilities and Stockholders' Equity$3,348,850 Course Project Requirements Prepare the following budgets for the fiscal year ending December 31, 2019 using the provided worksheet (Links to an external site.). Important! It is required to use the provided worksheets using Excel formulas. Milestone 1 Milestone 1 is due in Week 5 and worth 100 points. A sales projection in units using the methods suggested (15 points) Sales budget (10 points) Production budget (15 points) Direct materials budget (15 points) Direct labor budget (15 points) Manufacturing overhead budget (15 points) Projected Cost of Goods Manufactured (Absorption Costing) (15 points) Milestone 2 Milestone 2 is due in Week 7 and worth 100 points. Capital Expenditures Budget (15 points) Selling Expenses Budget (15 points) Administrative Expenses Budget (15 points) Pro Forma Income Statement (Absorption Costing) (15 points) Cash Budget (20 points) Pro Forma Balance Sheet (20 points) Milestone 3 Milestone 3 is due in Week 8 and worth 100 points. Prepare a PowerPoint Presentation reviewing your budgetary figures to the executive team (100 points). Please address the following questions during the presentation. Provide comments on the strengths and weaknesses of the company. What concerns do you have? What recommendations do you have for the future? The company is interested in hiring new employees in the future. Will the company be in a position to hire additional employees?