True. A company with an acid-test ratio of 0.3 is likely to face near-term liquidity problems. The acid-test ratio, also known as the quick ratio, measures a company's ability to pay off its short-term liabilities using its most liquid assets.
The acid-test ratio is calculated by dividing the sum of a company's cash, marketable securities, and accounts receivable by its current liabilities. This ratio provides insight into a company's ability to quickly convert its most liquid assets into cash to cover short-term obligations. A ratio below 1 implies that the company may have difficulty meeting its immediate liabilities.
In the case of a company with an acid-test ratio of 0.3, it means that for every dollar of short-term liabilities, the company has only 30 cents of highly liquid assets available. This low ratio suggests a limited ability to generate cash quickly, which can lead to liquidity problems in the near term. The company may struggle to pay off its current debts, fulfill its operational requirements, or take advantage of immediate investment opportunities.
When a company faces liquidity problems, it may encounter difficulties in paying suppliers, meeting payroll obligations, or covering other day-to-day expenses. It may also find it challenging to secure new financing or maintain relationships with creditors and investors. Low liquidity can negatively impact a company's financial stability, creditworthiness, and overall operations. Therefore, a company with an acid-test ratio of 0.3 is likely to face near-term liquidity problems.
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a currently used machine costs $10,000 annually to run. what is the maximum that should be paid to replace the machine with one that will last 3 years and cost only $4,000 annually to run? the opportunity cost of capital is 12%. enter your answer as a positive number rounded to the nearest whole dollar (no decimal places).
the maximum amount that should be paid to replace the machine is approximately $4,608.
To determine the maximum amount that should be paid to replace the machine, we need to calculate the present value of the cost savings from the new machine compared to the current one. The formula for calculating the present value is:
Present Value = Annual Cost Savings / (1 + Discount Rate)^n
In this case, the annual cost savings is the difference between the costs of running the current machine and the new machine, which is $10,000 - $4,000 = $6,000.
The discount rate is the opportunity cost of capital, which is given as 12%.
The time period is 3 years, denoted by 'n' in the formula.
Plugging in these values into the formula, we get:
Present Value = $6,000 / (1 + 0.12)^3
Calculating this expression, we find:
Present Value = $6,000 / (1.12)^3
Present Value ≈ $4,607.93
Therefore, the maximum amount that should be paid to replace the machine is approximately $4,608.
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When your income changes from $450 to $550 per week, you buy 2 jars of pickles instead of the 3 you used to buy.The income elasticity of demand is (1) ["20", "-20", "-0.5", "0.5", "-2", "-40"]
The income elasticity of demand in this case is -0.5.
Explanation:
Calculate the percentage change in quantity demanded: (New Quantity - Old Quantity) / Old Quantity = (2 jars - 3 jars) / 3 jars = -1/3 ≈ -33.33%.
Calculate the percentage change in income: (New Income - Old Income) / Old Income = ($550 - $450) / $450 = $100 / $450 ≈ 22.22%.
Divide the percentage change in quantity demanded by the percentage change in income: -33.33% / 22.22% = -1.5.
The income elasticity of demand (IED) in this example is -0.5. The negative value indicates that pickles are an inferior good. As income increases from $450 to $550 per week, the quantity demanded of pickles decreases. This suggests that pickles are considered less desirable or are being substituted with other goods as income rises.
It's important to note that an income elasticity of demand of -0.5 indicates an income-inelastic demand for pickles, as the percentage change in quantity demanded is smaller than the percentage change in income.
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the distribution of additional shares to stockholders according to their percent ownership is known as a: multiple choice participating dividend. stock split. cash dividend. cumulative dividend. treasury stock buyout.
The correct answer to this multiple-choice question is "stock split." A stock split is a corporate action in which a company divides its existing shares into multiple shares. The distribution of additional shares to stockholders according to their percent ownership is known as a stock split.
During a stock split, the total value of the shares remains the same, but the number of shares outstanding increases. For example, if a company declares a two-for-one stock split, each existing shareholder will receive an additional share for every share they already own. This means that the number of shares outstanding will double, but the overall value of the company remains the same.
Stock splits are often done to make shares more affordable for smaller investors, increase liquidity in the market, or to improve the perception of the company's financial health. They are typically announced well in advance and are a common occurrence in the stock market.
In conclusion, the distribution of additional shares to stockholders according to their percent ownership is known as a stock split. It is a corporate action that can have various benefits for both the company and its shareholders.
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puddle enterprises is evaluating the purchase of an elaborate hydraulic lift system for all of its locations to use for the boats brought in for repair. the company has narrowed their choices down to two: the b14 model and the f54 model. financial data about the two choices follows. what is the net present value of the b14 model
The total present value of future cash inflows and residual value from the F54 Model is $206,005
What is cash inflow?Cash inflows refer to the amount of cash that comes into a business or individual's account, typically as a result of sales, investments, or other sources of income. Cash inflows can be from various sources, such as sales revenue, interest income, capital gains, rental income, loans, or investments.
Cash inflows are a positive sign for a business or individual, as they represent an increase in available funds that can be used for various purposes, such as paying bills, investing in new projects, or expanding operations.
The total present value of future cash inflows and residual value from the F54 Model
= 35000*5.747 + 9000*0.540
= $206,005
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Puddle Enterprises is evaluating the purchase of an elaborate hydraulic lift system for all of its locations to use for the boats brought in for repair. The company has narrowed their choices down to two—the B14 Model and the F54 Model. Financial data about the two choices follows.
B14 Model
F54 Model
Investment
$280,000
$210,000
Useful life (years)
8
8
Estimated annual net cash inflows for useful life
$90,000
$35,000
Residual value
$10,000
$9,000
Depreciation method
Straight−line
Straight−line
Required rate of return
12%
8%
What is the total present value of future cash inflows and residual value from the F54 Model?
what is the lowest decision height for which a category ii applicant can be certified during the original issuance of the authorization?
The lowest decision height for which a Category II applicant can be certified during the original issuance of the authorization is 100 feet above touchdown zone elevation.
A Category II authorization is a certification issued by the Federal Aviation Administration (FAA) that allows pilots to perform an instrument approach to a decision height lower than that of a Category I approach. This certification requires specialized training, aircraft equipment, and additional safety measures. The decision height is the altitude at which a pilot must decide whether to continue with the approach or execute a missed approach. For Category II approaches, the decision height is typically set at 100 feet above the touchdown zone elevation, allowing pilots to land in lower visibility conditions. The FAA sets strict standards for Category II authorization, and pilots must meet all requirements to be certified.
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which of the following is not an argument in favor of a government rescue of a large failing bank? a. a government rescue would benefit all employees of the bank and not just its executives. b. a government rescue could reduce systemic risk in the financial system. c. a government rescue could create a moral hazard by encouraging large banks to take on more risk. d. a government rescue could stimulate all the sectors that depend on funding from the banking system.
A government rescue could create a moral hazard by encouraging large banks to take on more risk is not an argument in favor of a government rescue of a large failing bank. So the option C is correct.
The claim that a government rescue of a sizable bank in trouble could lead to moral hazard is made against it. When individuals or businesses are discouraged from doing ethically because they think they will be saved if something goes wrong, this is known as a moral hazard.
In the case of a sizable failing bank, a government rescue may encourage the bank to increase its risk exposure in the hope that the government will step in and save them if things go south. As a result, the banking industry might become unhealthy, and a climate of moral hazard might encourage further instances of irresponsible behavior and financial catastrophes. So the option C is correct.
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rent for eternal summer is $1,200/month, but if it is prepaid, rent is only $12,000 for the year. if eternal summer pays $12,000 on january 1, how would you book this transaction?
The prepaid rent transaction should be initially recorded as a liability and then recognized as an expense over the period that the rent is used. This ensures accurate accounting and reflects the principle of accrual accounting.
To book this transaction, we need to understand the accounting principle of accruals. Accrual accounting recognizes revenues and expenses when they are earned or incurred, regardless of when the cash is actually received or paid.
In this case, the prepaid rent of $12,000 is considered a liability since Eternal Summer has paid for rent that has not yet been earned. We will record this transaction as follows:
On January 1st:
Debit Prepaid Rent: $12,000
Credit Cash: $12,000
This entry shows that Eternal Summer has paid $12,000 upfront for rent that they will use over the next 12 months.
At the end of each month, we will need to recognize a portion of the prepaid rent as an expense, to reflect the portion of the rent that has been earned. Since the prepaid rent covers 12 months, we will recognize 1/12th of the prepaid rent each month:
On January 31st (assuming the month has ended):
Debit Rent Expense: $1,000
Credit Prepaid Rent: $1,000
This entry shows that Eternal Summer has used up 1/12th of the prepaid rent, which has now become an expense for the month.
We will continue to record this entry at the end of each month until the prepaid rent has been fully recognized as an expense. At the end of the year, the prepaid rent account should have a zero balance, indicating that all the rent has been used up as an expense.
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Financial information is presented in a printed form that prescribes the wording of the independent auditor's report. The form is not acceptable to the auditor because the form calls for statements that are inconsistent with the auditor's responsibility. Under these circumstances, the auditor most likely would:
A) Withdraw from the engagement.
B) Reword the form or attach a separate report.
C) Express a qualified opinion with an Explanation.
D) Restrict use of the report to the party who designed the form.
B) Under these circumstances, the auditor most likely would reword the form or attach a separate report.
In this scenario, where the wording of the independent auditor's report prescribed by the printed form is inconsistent with the auditor's responsibility, the auditor would most likely choose to reword the form or attach a separate report. The auditor has a professional duty to express an opinion that is consistent with their assessment of the financial statements and the audit work performed. If the prescribed wording of the form does not accurately reflect the auditor's opinion or responsibilities, they would need to modify the wording or provide a separate report that accurately conveys their opinion.
The auditor's responsibility is to ensure that their report accurately represents their opinion on the financial statements. If the prescribed wording in the printed form is inconsistent with the auditor's responsibility, they would choose to reword the form or attach a separate report to fulfill their obligations accurately.
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which one of the following pairs of goods is likely to have a negative cross-price elasticity of demand? question 41 options: a) tennis shoes and flip flops b) spaghetti and ravioli c) tea and coffee d) coffee and cream
The correct option is d) coffee and cream.
Coffee and cream are likely to have a negative cross-price elasticity of demand. This means that when the price of one good (cream) increases, the demand for the other good (coffee) decreases.
This is because cream is a complementary good to coffee, meaning that they are often consumed together.
When the price of cream increases, consumers may choose to substitute cream with a cheaper alternative or reduce their overall consumption of coffee and cream together. As a result, the demand for coffee may decrease as well.
The other options (tennis shoes and flip flops, spaghetti and ravioli, tea and coffee) are not likely to have a negative cross-price elasticity of demand as they are either unrelated goods or substitutes. When the price of one good in these pairs increases, the demand for the other good may remain the same or even increase.
The right answer is d) coffee and cream.
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if the standard quantity allowed (sqa) for direct labor is less than the actual quantity (aq) used, the efficiency variance is favorable. true or false
The statement is True as The efficiency variance in direct labor measures the difference between the actual hours used and the standard hours allowed.
What are the reasons?If the standard quantity allowed for direct labor is less than the actual quantity used, it means that the workers were more efficient than expected.
This is considered a favorable variance because the company saved money on labor costs. However, if the actual quantity used is more than the standard quantity allowed, the efficiency variance is unfavorable, indicating that the workers were less efficient than expected, resulting in higher labor costs.
Therefore, it is important for a company to monitor and analyze efficiency variances to identify areas for improvement and make adjustments to the standard quantity allowed for direct labor.
Hence , the statement is true.
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Which if the following is a function of the municipal planning board?A. approving a variance for an addition to a garage or a residential property.B. creating a master plan for all the land in a particular county.C. unilaterally approving subdivisions in a jurisdictionD. prescribing and controlling the development and use of all land in a municipality.
The function of the municipal planning board is to prescribe and control the development and use of all land in a municipality. Option D is the correct answer.
The municipal planning board is responsible for creating a comprehensive plan for the development of the municipality, which includes zoning regulations, building codes, and land use policies. The board reviews and approves or denies development proposals, site plans, and subdivision applications, ensuring that they comply with the municipality's land use policies and regulations. The board also provides recommendations to the governing body on land use policies and zoning amendments, in addition to conducting studies and surveys to support planning efforts. Thus, the municipal planning board plays a crucial role in the development and growth of a municipality.
Option D is the correct answer.
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kando company currently pays $10 per unit to buy a part for a product it manufactures. instead, kando could make the part for per unit costs of $4 for direct materials, $3 for direct labor, and $1 for incremental overhead. kando normally applies overhead costs using a predetermined rate of 200% of direct labor cost. (a) prepare a make or buy analysis of costs for this part.(b) should kando make or buy the part?
Kando Company is currently paying $10 per unit to purchase a part for its product. However, the company has the option of manufacturing the part with direct materials costing $4 per unit, direct labor costing $3 per unit, and incremental overhead costing $1 per unit. The company typically applies overhead costs using a predetermined rate of 200% of direct labor costs.
To prepare a make or buy analysis of costs for this part, we must compare the total cost of making the part to the total cost of buying the part. The total cost of making the part would be the sum of the direct materials cost, direct labor cost, and overhead cost. Using the predetermined overhead rate, we can calculate the overhead cost as follows:
Overhead cost = (Direct labor cost x Predetermined overhead rate)
Overhead cost = ($3 x 200%)
Overhead cost = $6 per unit
Therefore, the total cost of making the part would be: Total cost = Direct materials cost + Direct labor cost + Overhead cost Total cost = $4 + $3 + $6 Total cost = $13 per unit Comparing this to the cost of buying the part at $10 per unit, it appears that Kando should continue to buy the part instead of making it. In conclusion, based on the make or buy analysis of costs, Kando Company should continue to buy the part at $10 per unit instead of manufacturing it for a total cost of $13 per unit.
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the table below represents the costs of producing sneakers. quantityfixed costvariable costtotal costaverage fixed costaverage variable costaverage total cost12$118$25$143???18$118$50$168???26$118$75$193???34$118$100$218???42$118$125$243??? find the average variable cost for producing 34 sneakers. round your answer to the nearest hundredth.
To find the average variable cost for producing 34 sneakers, we need to divide the total variable cost by the quantity of sneakers.
From the table, we can see that the total variable cost for producing 34 sneakers is $100. Therefore, the average variable cost is calculated as:
Average Variable Cost = Total Variable Cost / Quantity
Average Variable Cost = $100 / 34
Calculating this, we get:
Average Variable Cost ≈ $2.94 (rounded to the nearest hundredth)
Therefore, the average variable cost for producing 34 sneakers is approximately $2.94.
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How much time from the date of issue of 30-day letter does a taxpayer get to request for a conference with an appeals officer?
a. 30 days
b. 90 days
c. 10 days
d. 21 days
d. 21 days; Adhering to this deadline is crucial to protect the taxpayer's rights and engage in the appeals process to resolve any disputes related to the tax assessment.
When a taxpayer receives a 30-day letter from the Internal Revenue Service (IRS), they typically have 21 days to request a conference with an appeals officer. The 30-day letter, also known as a statutory notice of deficiency, is a formal notification from the IRS informing the taxpayer of proposed changes to their tax return that would result in additional taxes owed.
The purpose of the 30-day letter is to provide the taxpayer an opportunity to dispute the proposed changes before the IRS takes further action, such as issuing a formal assessment and initiating collection efforts. Within the 21-day period from the date of the 30-day letter, the taxpayer must file a request for a conference with an appeals officer if they wish to challenge the IRS's proposed changes.
It is important for taxpayers to adhere to the deadline of 21 days as specified in the 30-day letter to preserve their rights to appeal and present their case to an independent appeals officer. Failing to request a conference within the allotted time may result in the proposed changes becoming final, leading to further IRS actions.
A taxpayer typically has 21 days from the date of the 30-day letter to request a conference with an appeals officer to dispute the proposed changes by the IRS. Adhering to this deadline is crucial to protect the taxpayer's rights and engage in the appeals process to resolve any disputes related to the tax assessment.
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Globally, among developing regions, which of the following regions had by far the largest decrease in the number of undernourished people in the last twenty years? Answers:A. Russia B. South Asia C. Latin America D. Sub-Saharan Africa E. East Asia
I would say south Asia is the answer
What is the rate of return for an investor who pays $1054. 47 for a three-year bond with a 7% coupon and sells the bond one year later for $1,037. 19?
A) 5. 00%
B) 5. 33%
C) 6. 46%
D) 7. 0%
The rate of return for the investor is approximately 5.00%, which corresponds to option A) 5.00%.
To calculate the rate of return for an investor, we need to consider both the coupon payments received and the capital gain or loss from selling the bond.
First, let's calculate the coupon payments:
Coupon Payment = Coupon Rate * Face Value
Coupon Payment = 7% * Face Value
Next, let's calculate the capital gain or loss:
Capital Gain/Loss = Selling Price - Purchase Price
Now, let's calculate the total cash flows:
Year 1: Coupon Payment
Year 2: Coupon Payment
Year 3: Coupon Payment + Selling Price
Finally, let's calculate the rate of return (IRR) using these cash flows:
IRR = (Cash Flows / Initial Investment)^(1/n) - 1
In this case, n = 3 (number of years).
Let's calculate the rate of return:
Coupon Payment = 0.07 * Face Value
Coupon Payment = 0.07 * 1000 (assuming the face value is $1000)
Coupon Payment = $70
Capital Gain/Loss = Selling Price - Purchase Price
Capital Gain/Loss = $1037.19 - $1054.47
Capital Gain/Loss = -$17.28 (negative value indicates a loss)
Total Cash Flows:
Year 1: $70
Year 2: $70
Year 3: $70 + $1037.19
IRR = (Cash Flows / Initial Investment)^(1/n) - 1
IRR = ($70 + $70 + $70 + $1037.19) / $1054.47^(1/3) - 1
IRR ≈ 0.0500 or 5.00% (rounded to two decimal places)
Therefore, the rate of return for the investor is approximately 5.00%, which corresponds to option A) 5.00%.
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which is an example of deceptive pricing? multiple choice question. charging a very low price for a product with the intention of destroying a competitor when a manufacturer prices differentially based on changing market conditions a bait and switch to lure customers into the store to sell them a higher priced product meeting with the management of a competitor to agree on an increased base price for a product
A bait and switch to lure customers into the store to sell them a higher priced product is an example of deceptive pricing.
Deceptive pricing is a pricing strategy used to mislead consumers into thinking they are getting a better deal than they actually are. A bait and switch tactic is a classic example of deceptive pricing where a business lures customers with an advertised low-priced item, only to pressure them into purchasing a higher-priced alternative once they are in the store. This tactic is deceptive because the business is not providing the product that was originally advertised at the low price.
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12. The approach to conflict management downplays a party's issues and places more importance on the other party's view.
a. avoiding
b. accommodating
c. collaborating
d. forcing
The approach to conflict management that downplays a party's issues and prioritizes the other party's view is known as the accommodating approach.
This approach involves sacrificing one's own needs or interests in order to maintain a positive relationship with the other party. It may involve making concessions or compromises to meet the other party's demands or finding a middle ground that satisfies both parties. This approach can be effective in situations where the issue at hand is not critical or where preserving the relationship is more important than winning the argument.
In contrast, the avoiding approach involves ignoring or sidestepping the conflict altogether, while the forcing approach seeks to impose one's own solution on the other party. The collaborating approach, on the other hand, seeks to find a mutually beneficial solution that satisfies the needs and interests of both parties. It involves open communication, active listening, and creative problem-solving.
Accommodating involves giving in to the other party's desires or requests, even at the expense of your own needs. This approach is often used when the relationship is valued more than the specific issue at hand, and it prioritizes maintaining harmony between parties involved in the conflict.
In summary, the accommodating approach to conflict management places more importance on the other party's view than on one's own issues and can be an effective strategy for preserving relationships. However, it may not always be appropriate or feasible in situations where the issue is critical or where one's own needs cannot be ignored.
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Why do corporations and the U.S. government sometimes need to get their hands on funds quickly! A The timing of many expenses is difficult to estimate. B. Most of their funds are held in highly illiquid investment. Cash inflows and outflows are rarely synchronized. D. Poor financial planning puts many corporations and government entities in situations where they cannot pay currency bills
The answer is all of the options as there are various reasons why corporations and the U.S. government may need to access funds quickly.
What are the reasons?One reason is that the timing of many expenses is difficult to estimate, and unexpected costs can arise that require immediate attention.
Additionally, many of their funds are held in highly illiquid investments, which can make it challenging to access cash quickly.
Cash inflows and outflows are also rarely synchronized, which can create cash flow issues.
Finally, poor financial planning can put many corporations and government entities in situations where they cannot pay current bills, leading them to seek funding solutions that can provide quick access to cash.
Hence, the correct options are - A. , B. , C. , D.
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major components involved in developing a performance management plan include? question 23 options: length of evaluation period aggregation of work sampling standardized evaluation ratings benchmarking job tasks documentation required to substantiate performance timing of the evaluation cycle inclusion of annual performance goals
The major components involved in developing a performance management plan are as follows:
Defining job tasks and responsibilities: This involves establishing clear job descriptions and outlining the specific tasks and responsibilities that are expected of employees.
Establishing performance standards: This involves setting specific performance standards that employees are expected to meet or exceed, based on their job tasks and responsibilities.
Developing performance measures: This involves identifying specific metrics or indicators that will be used to measure employee performance against established standards.
Providing ongoing feedback: This involves providing employees with regular feedback on their performance throughout the evaluation period, including both positive feedback and constructive criticism.
Conducting performance evaluations: This involves formally evaluating employee performance at regular intervals, typically on an annual or semi-annual basis.
Developing performance improvement plans: This involves developing plans to help employees who are not meeting performance standards to improve their performance.
Establishing performance goals: This involves setting annual performance goals for employees, based on their job tasks and responsibilities, to provide a clear focus for their performance improvement efforts.
Ensuring documentation: This involves ensuring that all performance management activities are properly documented to provide a record of employee performance over time.
Timing of the evaluation cycle: This involves establishing a regular cycle for performance evaluations to ensure that they are conducted consistently and on a regular basis.
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why is selecting appropriate target markets important for an organization that wants to adopt the marketing concept philosophy?
Selecting appropriate target markets is crucial for any organization that wants to adopt the marketing concept philosophy because it helps them to focus their efforts and resources on the consumers who are most likely to purchase their products or services.
By understanding the needs, preferences, and behaviors of their target market, organizations can develop tailored marketing strategies that resonate with their target audience. This, in turn, leads to higher customer satisfaction, increased customer loyalty, and ultimately, greater profits. In addition, selecting the right target market allows an organization to differentiate itself from its competitors, as it is able to offer unique value propositions that appeal to its target audience. Overall, selecting appropriate target markets is a key component of the marketing concept philosophy, as it enables organizations to put their customers at the center of their business strategy, and create sustainable competitive advantages.
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FILL IN THE BLANK. Assume the market price per unit (cost to replace) of the R. &. K. Company's inventory on December 31, was $16. Calculate the total amount to be assigned to the ending inventory on December 31, under each of the following methods: a. FIFO lower-of-cost-or-market $_____ b. Weighted-average lower-of-cost-or-market $_____
Assuming that the R. & K. Company's inventory on December 31 consists of 1,000 units, the total amount to be assigned to the ending inventory under each method is calculated as follows:
a. FIFO lower-of-cost-or-market:The cost of the oldest 500 units in inventory is $10 per unit, totaling $5,000.The cost of the most recent 500 units in inventory is $12 per unit, totaling $6,000.The market price per unit is $16, so the lower-of-cost-or-market value for each unit is $12. Therefore, the total value of the ending inventory under the FIFO lower-of-cost-or-market method is $6,000.
b. Weighted-average lower-of-cost-or-market: The total cost of the 1,000 units in inventory is $11,000 (500 units at $10 per unit + 500 units at $12 per unit).The weighted-average cost per unit is $11 per unit ($11,000 divided by 1,000 units).The market price per unit is $16, so the lower-of-cost-or-market value for each unit is $11.Therefore, the total value of the ending inventory under the weighted-average lower-of-cost-or-market method is $11,000.
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URY produces and sells skateboards. Its contribution margin income statement follows. A potential customer offers to buy 10,000 units for $42.00 each. These sales would not affect the company's sales through its normal channels. Details of the special offer follow. • Variable costs per unit would not change. • Accepting the offer would require incremental fixed overhead costs of $10,000. • Accepting the offer would require incremental fixed general and administrative costs of $15,000. Required: 1. Compute income or loss from the special offer. 2. Should the company accept or reject the special offer?
1. To compute the income or loss from the special offer, we need to calculate the total revenue and total costs associated with the offer.
Total revenue = 10,000 units x $42.00 per unit = $420,000 Total variable costs = 10,000 units x $20.00 per unit = $200,000
Incremental fixed overhead costs = $10,000 Incremental fixed general and administrative costs = $15,000
Total costs = Total variable costs + Incremental fixed overhead costs + Incremental fixed general and administrative costs = $200,000 + $10,000 + $15,000 = $225,000 Income or loss from special offer = Total revenue - Total costs
= $420,000 - $225,000 = $195,000
Therefore, the company would earn an income of $195,000 from accepting the special offer.
2. Whether the company should accept or reject the special offer depends on various factors, such as the company's current production capacity, its ability to fulfill the order, and its financial goals. However, based on the information provided, it appears that accepting the offer would be profitable for the company. The incremental fixed costs associated with the offer are relatively low compared to the potential revenue generated.
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Relatively rapid U.S. growth between 2001 and 2007, contributed to large U.S. trade deficits by:A. increasing U.S. national income, which decreased U.S. exports.B. reducing real interest rates in the United States.C. increasing U.S. tax revenues and reducing the Federal budget deficit.D. increasing U.S. national income, which increased U.S. imports
The correct answer is D. increasing U.S. national income, which increased U.S. imports. Relatively rapid U.S. growth between 2001 and 2007 contributed to large U.S. trade deficits by increasing U.S. national income, which increased U.S. imports.
During the period of relatively rapid U.S. growth between 2001 and 2007, the U.S. experienced an increase in its national income. This economic expansion led to higher consumer spending and increased demand for goods and services, including imports from other countries. As a result, U.S. imports increased.
The growth in U.S. national income reflects a stronger economy and greater consumer purchasing power. With higher income levels, consumers have more disposable income to spend on a wider range of products, including imported goods. This increased demand for imports contributed to the expansion of U.S. trade deficits during that period.
The relatively rapid U.S. growth between 2001 and 2007 led to large U.S. trade deficits by increasing U.S. national income, which in turn increased U.S. imports. The expansion of the U.S. economy during that period resulted in greater consumer spending and demand for a variety of goods, including imports from other countries.
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an eye clinic invested in some equipment to perform corrective eye surgery that is expected to generate an internal rate of return of 24%. this equipment was chosen over equipment to perform cataract eye surgery. thus, the internal rate of return of the cataract eye surgery equipment must have been
To determine the internal rate of return of the cataract eye surgery equipment, we would need more information such as the initial cost of both equipment and the expected cash flows. However, we can make an assumption that the internal rate of return of the cataract eye surgery equipment would have been lower than 24%.
This is because the eye clinic chose to invest in the corrective eye surgery equipment, which means that it is expected to generate a higher return on investment compared to the cataract equipment. The internal rate of return is a measure of the profitability of an investment, and the higher the internal rate of return, the more profitable the investment is considered. Therefore, it can be inferred that the cataract eye surgery equipment would have had a lower internal rate of return compared to the corrective eye surgery equipment.
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marketers need to ensure that their advertisements reflect american society's diversity in a realistic and positive manner because]
Marketers should ensure their ads reflect diversity in a positive and realistic manner.
In today's society, representation and inclusivity are crucial in all aspects of life, including marketing. Brands that showcase a diverse range of individuals in their advertisements not only demonstrate their commitment to social responsibility but also appeal to a broader audience. However, it's not enough to simply include a token person of color or individual with a disability. Advertisements should accurately portray the diversity that exists in our society, and this includes both visible and non-visible characteristics. By doing so, companies can create a more inclusive environment that celebrates differences and encourages acceptance. Ultimately, inclusive advertising can have a positive impact on society as a whole, leading to greater understanding and unity among all people.
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Gateway communications is considering a project with an initial fixed assets cost of $1. 76 million that will be depreciated straight-line to a zero book value over the 10-year life of the project. At the end of the project the equipment will be sold for an estimated $234,000. The project will not change sales but will reduce operating costs by $384,500 per year. The tax rate is 34 percent and the required return is 10. 9 percent. The project will require $49,000 in net working capital, which will be recouped when the project ends. What is the project's npv?
The project's NPV is $38,500
Using these cash flow estimates, we can calculate the NPV of the project using the following formula:
NPV = -Initial Investment + (Cash flow Year 1 / (1+required return)¹) + (Cash flow Year 2 / (1+required return)²) + ... + (Cash flow Year n / (1+required return)ⁿ)
where n is the number of years in the project.
In this case, the initial investment is the cost of the fixed assets plus the initial net working capital requirement, which is $1.76 million + $49,000 = $1.809 million.
Using the estimated cash flows and the required return of 10.9 percent, the NPV of the project can be calculated as follows:
NPV = -$1,809,000 + ($384,500 x (1 - 0.34) / (1+0.109)¹) + ($384,500 x (1 - 0.34) / (1+0.109)²) + ... + ($384,500 x (1 - 0.34) / (1+0.109)¹⁰) + ($234,000 x (1 - 0.34) / (1+0.109)¹⁰)
NPV = -$1,809,000 + $278,200 + $247,300 + ... + $21,500 + $136,200
NPV = $38,500
Since the NPV of the project is positive, it is expected to generate a return that is greater than the required return of 10.9 percent. Therefore, Gateway Communications should consider undertaking the project.
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Why did Target Corp. create a new C-level security position? A. Because it is required by the government to have a top level security position B. Because they lost 98 million customer accounts C. Target did not create a C-level security position D. Because the CEO has too much work to do
The Target Corp. created a new C-level security position is B - because they lost 98 million customer accounts.
This significant data breach in 2013 prompted Target to reassess their security measures and make changes, including hiring a Chief Information Security Officer (CISO) to oversee and improve their security protocols.
This new C-level security position is necessary to ensure that Target's security measures are comprehensive and effective in protecting their customers' sensitive information.
Target experienced a massive data breach in 2013, which resulted in the loss of 98 million customer accounts. This prompted the company to create a C-level security position to improve their cybersecurity measures and protect customer data more effectively.
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autonomic role in decision making differs from syncratic role as autonomic role: group of answer choices occurs when the husband makes most of the purchase decisions. occurs when both the partners jointly make purchase decisions. occurs when the wife is allowed to make certain purchase decisions independently. occurs when the partners independently make equal number of purchase decisions.
The autonomic role in decision making differs from the syncratic role in that the autonomic role involves one partner, usually the husband, taking the primary responsibility for making purchase decisions. The Correct option is A
In this role, the partner with the most authority or control over decision making is the one who makes most of the decisions. On the other hand, the syncratic role involves both partners jointly making purchase decisions, sharing decision-making authority equally or in a way that allows for some degree of independence for both partners.
This role allows for shared decision making and can be beneficial in promoting cooperation and satisfaction within a relationship.
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Complete Question:
The autonomic role in decision making differs from the syncratic role in which of the following ways?
a) Occurs when the husband makes most of the purchase decisions.
b) Occurs when both partners jointly make purchase decisions.
c) Occurs when the wife is allowed to make certain purchase decisions independently.
d) Occurs when the partners independently make an equal number of purchase decisions.
a $112 petty cash fund has cash of $19 and receipts of $91. the journal entry to replenish the account would include a
The journal entry to replenish the petty cash fund would be:
Debit: Petty Cash Expenses $93
Credit: Cash $93
Explanation:
The petty cash fund is used for small expenses that are too insignificant to be paid by check. As expenses are incurred, money is taken out of the petty cash fund and receipts are kept to document the expenses. When the fund runs low, it needs to be replenished.
In this case, the petty cash fund had $19 in cash and receipts totaling $91, for a total of $110. To replenish the fund, we need to bring the cash back up to its original amount of $112.
To do this, we create a journal entry. The first account we debit is Petty Cash Expenses. This account represents the total of the receipts, or $91, which is the amount of money that was spent. We also add an additional $2 to bring the total up to $93, which represents the amount of money we need to replenish the fund to its original amount of $112.
On the credit side, we credit the Cash account for the same amount of $93. This records the fact that we are giving back the $93 in cash to the petty cash custodian to replenish the fund.
Overall, this journal entry ensures that we are properly accounting for the money that was spent out of the petty cash fund and that we are replenishing it to its original amount.
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