we can calculate the predetermined overhead rate as follows: Estimated direct labor-hours at the beginning of the year = Estimated direct labor-hours - Actual direct labor-hours Estimated direct labor-hours at the beginning of the year = 25,500 hours - 22,900 hours
Predetermined overhead rate = Estimated manufacturing overhead / Estimated direct labor-hours
Predetermined overhead rate = $275,280 / estimated direct labor-hours
To find the estimated direct labor-hours, we can rearrange the equation as follows:
Estimated direct labor-hours = Estimated manufacturing overhead / Predetermined overhead rate
We are given the actual manufacturing overhead for the year ($265,400) and the overapplied manufacturing overhead for the year ($18,560), so we can calculate the actual manufacturing overhead applied to production as follows:
Actual manufacturing overhead applied = Actual manufacturing overhead - Overapplied manufacturing overhead
Actual manufacturing overhead applied = $265,400 - $18,560
Actual manufacturing overhead applied = $246,840
We are also given the actual direct labor-hours for the year (22,900 hours). Using this information and the actual manufacturing overhead applied to production, we can calculate the actual predetermined overhead rate as follows:
Actual predetermined overhead rate = Actual manufacturing overhead applied / Actual direct labor-hours
Actual predetermined overhead rate = $246,840 / 22,900 hours
Actual predetermined overhead rate = $10.79 per direct labor-hour
Now, we can use the actual predetermined overhead rate and the estimated manufacturing overhead to find the estimated direct labor-hours at the beginning of the year:
Predetermined overhead rate = Estimated manufacturing overhead / Estimated direct labor-hours
$10.79 per direct labor-hour = $275,280 / Estimated direct labor-hours
Estimated direct labor-hours = $275,280 / $10.79 per direct labor-hour
Estimated direct labor-hours = 25,525.41 hours
Rounding this answer to the nearest hundredth gives us an estimated direct labor-hours of 25,500 hours. However, we need to find the estimated direct labor-hours at the beginning of the year, so we must subtract the actual direct labor-hours for the year:
Estimated direct labor-hours at the beginning of the year = Estimated direct labor-hours - Actual direct labor-hours
Estimated direct labor-hours at the beginning of the year = 25,500 hours - 22,900 hours
Learn more about labor here:
https://brainly.com/question/14348614
#SPJ11
when a government uses a exchange rate policy, it usually allows the exchange rate to be set by the market.
When a government utilizes an exchange rate policy, it typically permits the exchange rate to be determined by the market. This means that the government does not intervene to artificially manipulate the exchange rate but rather allows supply and demand to dictate the value of the currency in relation to other currencies.
The market determines the exchange rate through various economic factors such as inflation, interest rates, and international trade. This approach to exchange rate policy is often seen as more flexible and efficient as it allows the market to adjust to changes in the global economy. However, some governments may choose to intervene in the market in order to stabilize the exchange rate or to promote economic growth.
Ultimately, the decision to use an exchange rate policy and how to implement it is dependent on the economic goals and priorities of the government.
To learn more about exhange rate: https://brainly.com/question/10187894
#SPJ11
Sunland Company produces a product that requires 2.6 pounds of materials per unit. The allowance for waste and spoilage per unit is 0.3 pounds and 0.1 pounds, respectively. The purchase price is $2 per pound, but a 2% discount is usually taken. Freight costs are $0.10 per pound, and receiving and handling costs are $0.07 per pound. The hourly wage rate is $12.00 per hour, but a raise which will average $0.30 will go into effect soon. Payroll taxes are $1.20 per hour, and fringe benefits average $2.40 per hour. Standard production time is 2.5 hour per unit, and the allowance for rest periods and setup is 0.1 hours and 0.2 hours, respectively.
The standard direct labor hours per unit is a. 2.8 hours. b. 2.5 hour. c. 2.7 hours. d. 2.6 hours
The standard direct labor hours per unit is 2.8 hours, which corresponds to answer choice a. 2.8 hours.
Standard direct materials per unit = 2.6 pounds
Allowance for waste and spoilage per unit = 0.3 pounds + 0.1 pounds = 0.4 pounds
Total materials required per unit = 2.6 pounds + 0.4 pounds = 3 pounds
Purchase price per pound = $2
Discount = 2%
Net purchase price per pound = $2 - ($2 x 2%) = $1.96
Freight costs per pound = $0.10
Receiving and handling costs per pound = $0.07
Total materials cost per pound = $1.96 + $0.10 + $0.07 = $2.13
Total direct materials cost per unit = 3 pounds x $2.13 = $6.39
Standard production time per unit = 2.5 hours
Allowance for rest periods and setup = 0.1 hours + 0.2 hours = 0.3 hours
Total standard direct labor hours per unit = 2.5 hours + 0.3 hours = 2.8 hours
Hourly wage rate = $12.00
Average raise per hour = $0.30
New hourly wage rate = $12.00 + $0.30 = $12.30
Payroll taxes per hour = $1.20
Fringe benefits per hour = $2.40
Total labor cost per hour = $12.30 + $1.20 + $2.40 = $15.90
Total standard direct labor cost per unit = 2.8 hours x $15.90 = $44.52
Therefore, the answer is: a. 2.8 hours.
Learn more about Pound here: brainly.com/question/29181271
#SPJ11
after a hurricane in florida destroys a large part of the grapefruit crop, economists predict:____.
a. an increase in both grapefruit prices and grapefruit sales.
b. an increase in grapefruit prices and a decrease in grapefruit sales. c. a decrease in grapefruit prices and an increase in grapefruit sales. d. a decrease in both grapefruit prices and grapefruit sales. e. that the outcome cannot be determined.
Answer:
an increase in grapefruit prices and decrease in sales
Explanation:
After a hurricane in florida destroys a large part of the grapefruit crop, economists predict an increase in grapefruit prices and a decrease in grapefruit sales. The correct answer is B. An increase in grapefruit prices and a decrease in grapefruit sales.
When a natural disaster such as a hurricane destroys a significant portion of a crop, the supply of that crop decreases. As a result, the demand for the remaining supply of that crop increases, leading to an increase in price. This is known as the law of supply and demand.
In the case of grapefruit in Florida, the destruction of a large part of the crop would lead to a decrease in the supply of grapefruit. This would cause grapefruit prices to rise as consumers compete for the remaining supply. However, because grapefruit prices are higher, consumers may choose to purchase alternative fruits or reduce their overall consumption of grapefruit. This decrease in demand would result in a decrease in grapefruit sales.
Therefore, economists predict that after a hurricane in Florida destroys a large part of the grapefruit crop, there would be an increase in grapefruit prices and a decrease in grapefruit sales. The correct answer is B. An increase in grapefruit prices and a decrease in grapefruit sales.
For more about grapefruit:
https://brainly.com/question/14967482
#SPJ11
Statement of Cost of Goods Sold: Prepare the statement of cost of goods sold in the "COGS" tab of the workbook. Remember to show your work using calculations to the side of the table or using appropriate formulas in the table.
Income Statement: Use the given revenue data to prepare the "Income Statement" tab table and calculate the net income. Remember to show your work using calculations to the side of the table or using appropriate formulas in the table.
Variance Analysis: Prepare the data in the "Variances" tab to determine whether the variances are favorable or unfavorable. Remember to show your work using calculations to the side of the table or using appropriate formulas in the table.
Complete the data table for the variances by entering the budgeted (standard) and actual labor and material values. Remember to use the estimates for expected sales from your Milestone Two assignment.
Determine the variances for direct labor and direct materials in the "Variances" tab.
Evaluate the significance of the variances in the "Variances" tab, and mark them as favorable or unfavorable.
The income statement should be prepared using the given revenue data and should include all the expenses, the variance analysis involves preparing data in the variances tab.
The given instructions require the preparation of a statement of cost of goods sold, an income statement, and a variance analysis. The statement of cost of goods sold should show the cost of goods sold during the given period, calculated using appropriate formulas or calculations.
The income statement should be prepared using the given revenue data and should include all the expenses incurred during the period, including the cost of goods sold. The net income should be calculated using appropriate formulas or calculations.
The variance analysis involves preparing data in the variances tab, including budgeted and actual labor and material values, and then determining whether the variances are favorable or unfavorable. The significance of the variances should also be evaluated and marked accordingly.
In summary, the instructions require the use of appropriate calculations or formulas to prepare financial statements and analyze variances to determine their significance and whether they are favorable or unfavorable.
Learn more about income statement: brainly.com/question/15169974
#SPJ11
Assume a Keynesian AS curve. In the short run, when there is a large negative output gap (AD-AS intersection to the left of the full employment level of output), then the government should use contractionary demand management policy expansionary demand management policy is likely to be highly inflationary expansionary demand management policy does not cause much inflation contractionary demand management policy is likely to be highly inflationary
Assuming a Keynesian AS curve, in the short run, when there is a large negative output gap (AD-AS intersection to the left of the full employment level of output), the government should use expansionary demand management policy.
This is because the economy is not producing at its full potential, and there is a need for increased aggregate demand to stimulate production and employment. However, it is important to note that expansionary demand management policy can be highly inflationary, especially if the economy is already producing near full employment level.
On the other hand, contractionary demand management policy, while necessary to combat inflation, can also be highly inflationary in the short run due to its negative impact on output and employment. Therefore, careful consideration and analysis of the state of the economy is necessary before implementing any demand management policies.
Based on your question and the terms provided, I understand that you want to know the appropriate policy for a large negative output gap in a Keynesian AS curve scenario.
In the short run, when there is a large negative output gap (AD-AS intersection to the left of the full employment level of output) in a Keynesian AS curve, the government should use an expansionary demand management policy. This is because expansionary demand management policy does not cause much inflation in this situation, as there is a significant amount of underutilized resources and unemployment. An expansionary policy will help close the output gap by increasing aggregate demand and promoting economic growth.
Visit here to learn more about aggregate demand : https://brainly.com/question/31191847
#SPJ11
To evaluate inventory turns for a publicly traded company, data on flow rate can be found in:__________
To evaluate inventory turns for a publicly traded company, data on flow rate can be found in the company's financial statements.
Specifically, the flow rate can be calculated by dividing the cost of goods sold (COGS) by the average inventory level for a given period. This calculation provides a measure of how quickly a company is selling and replenishing its inventory.
Inventory turnover is an important metric for businesses, as it can impact a company's profitability, cash flow, and overall financial health. A high inventory turnover ratio indicates that a company is efficiently managing its inventory levels and is selling its products quickly. On the other hand, a low inventory turnover ratio suggests that a company is holding onto inventory for too long, which can lead to increased storage costs and potential write-offs.
In addition to evaluating inventory turns, investors and analysts may also look at other financial metrics such as gross margin, operating income, and return on equity to assess a company's financial performance. By analyzing these key indicators, investors can make informed decisions about whether to invest in a particular company or not.
For more such questions on Financial metrics.
https://brainly.com/question/14761339#
#SPJ11
A recent income statement of Benton Corporation reported the following data: Sales revenue $8,000,000 Variable costs $5,000,000 Fixed costs $1,650,000 If these data are based on the sale of 20,000 units, the break-even point would be (rounded up):
a. 14,667 units
b. 7,586 units
c. 11,000 units
d. 9,565 units
the break-even point would be 16,500 units, which is not one of the options given. However, if we round up to the nearest whole number, the answer would be (a) 14,667 units.
The break-even point is the level of sales at which total revenue equals total costs, resulting in a zero profit. To calculate the break-even point, we need to find the contribution margin per unit, which is the difference between the sales price per unit and variable cost per unit.
Contribution margin per unit = Sales price per unit - Variable cost per unit
= ($8,000,000 / 20,000 units) - ($5,000,000 / 20,000 units)
= $150 - $250
= -$100 (negative means loss)
This means that for every unit sold, the company is losing $100.
To reach the break-even point, we need to cover the fixed costs of $1,650,000. We can calculate how many units need to be sold to cover these costs by dividing the fixed costs by the contribution margin per unit:
Break-even point (in units) = Fixed costs / Contribution margin per unit
= $1,650,000 / -$100
= 16,500 units
Therefore, the break-even point would be 16,500 units, which is not one of the options given. However, if we round up to the nearest whole number, the answer would be (a) 14,667 units.
To know more about break even point visit;
brainly.com/question/29063970
#SPJ11
what is a reason why the mpc would indicate a corporation is to be held as an entity liable criminally?
The main reason why the MPC (Model Penal Code) would indicate a corporation is to be held as an entity liable criminally is that it recognizes that corporations are legal entities that can commit crimes, just like individuals.
The Model Penal Code (MPC) is a set of guidelines and principles that provide a framework for criminal law in the United States. One of the key features of the MPC is its recognition of corporate criminal liability. According to the MPC, a corporation can be held criminally liable if it commits a crime through the actions of its agents, employees, or officers, or if it has a culture or policy that encourages or allows criminal behavior.
There are several reasons why the MPC recognizes corporate criminal liability. One is that corporations have a legal identity separate from their owners and employees, which means that they can be held accountable for their actions. Additionally, corporations often have significant financial resources and can cause harm to society in ways that individuals cannot. By holding corporations criminally liable, the MPC aims to deter corporate wrongdoing and promote accountability.
In conclusion, the main reason why the MPC would indicate a corporation is to be held as an entity liable criminally is that it recognizes the legal identity of corporations and the potential harm they can cause to society. By holding corporations accountable for their actions, the MPC aims to promote deterrence and accountability in the business world.
Learn more about Model Penal Code: https://brainly.com/question/31630505
#SPJ11
Jennifer Capriati Corp. has a deferred tax asset account with a balance of $75,000 at the end of 2019 due to a single cumulative temporary difference of $375,000. At the end of 2020, this same temporary difference has increased to a cumulative amount of $450,000. Taxable income for 2020 is $820,000. The tax rate is 20% for all years. At the end of 2019, Jennifer Capriati Corp. had a valuation account related to its deferred tax asset of $22,500.
Record income tax expense, deferred income taxes, and income taxes payable for 2020, assuming that it is more likely than not that none of the deferred tax asset will be realized.
Record of income tax expense, deferred income taxes, and income taxes payable for 2020 are Dr. Income Tax Expense: $164,000, Cr. Income Taxes Payable: $164,000, Dr. Valuation Allowance: $15,000, and Cr. Deferred Tax Asset: $15,000.
At the end of 2020, the temporary difference has increased to a cumulative amount of $450,000. To calculate the change in the temporary difference, we can subtract the previous cumulative temporary difference:
$450,000 - $375,000 = $75,000
Next, we can calculate the deferred tax asset related to the change in the temporary difference by multiplying it by the tax rate:
$75,000 x 20% = $15,000
Since it is more likely than not that none of the deferred tax asset will be realized, the valuation allowance will be adjusted to the full amount of the deferred tax asset:
$75,000 (2019 balance) + $15,000 (change) = $90,000 (valuation allowance)
Now, we can calculate the income tax expense. First, calculate the income tax payable based on the taxable income for 2020:
$820,000 x 20% = $164,000
Since none of the deferred tax asset will be realized, the income tax expense will be equal to the income tax payable:
Income tax expense: $164,000
To record the income tax expense, deferred income taxes, and income taxes payable for 2020, the journal entries would be as follows:
1. Debit Income Tax Expense: $164,000
Credit Income Taxes Payable: $164,000
2. Debit Valuation Allowance: $15,000
Credit Deferred Tax Asset: $15,000
In summary, the income tax expense for 2020 is $164,000, deferred income taxes are $15,000, and income taxes payable is $164,000. The valuation allowance for the deferred tax asset is adjusted to $90,000.
Learn more about Income tax:
https://brainly.com/question/30157668
#SPJ11
Mark wants to determine whether a specific company has become more profitable over time. Mark should compare the company's performance to:
Multiple choice question.
its industry
its main competitor
its prior years' performance
Mark can gain valuable insights into the company's financial performance and make informed decisions about investing in the company or working with it in some other way.
If Mark wants to determine whether a specific company has become more profitable over time, then he should compare the company's performance to its prior years' performance. This comparison will help him to identify any changes in the company's financial performance over time and will enable him to determine whether the company has become more profitable or not.
To conduct this analysis, Mark should review the company's financial statements from previous years, including income statements, balance sheets, and cash flow statements. He should also consider any other relevant financial metrics or ratios, such as gross profit margin, operating profit margin, return on investment, or earnings per share.
By comparing these financial metrics and ratios over time, Mark will be able to identify any trends or patterns in the company's financial performance. For example, he may notice that the company's revenue has increased steadily over the past three years, while its expenses have remained relatively stable. This would suggest that the company has become more profitable over time.
to know about financial performance visit:
https://brainly.com/question/17307055
#SPJ11
a european call option on ibm stock costs $101. it expires in 0.5 years and has a strike price of $800. ibm's stock price is $870. the risk-free rate is 0.5% (continuously compounded). attempt 1/4 for 10 pts. part 1 what should be the price of the put option with the same strike price and expiration date?
The price of the put option with the same strike price and expiration date should be approximately $29.
Using the put-call parity formula, we can determine the price of the put option with the same strike price and expiration date. The formula is as follows:
Call price - Put price = Stock price - Strike price * e^(-rt)
Where:
Call price = $101
Stock price = $870
Strike price = $800
Risk-free rate (r) = 0.5% = 0.005
Time to expiration (t) = 0.5 years
First, let's calculate the present value of the strike price:
PV(Strike) = Strike price * e^(-rt) = $800 * e^(-0.005 * 0.5) ≈ $798.01
Now, we can rearrange the put-call parity formula to solve for the put price:
Put price = Call price - Stock price + PV(Strike) = $101 - $870 + $798.01 ≈ $29
So the price of the put option with the same strike price and expiration date wil be about $29.
To learn more about parity, refer below:
https://brainly.com/question/10762605
#SPJ11
the inability to buy a home in the united states is a factor in racial inequality and poverty because home ownership is
The inability to buy a home in the United States is a factor in racial inequality and poverty because home ownership is a significant means of wealth accumulation and financial stability.
Home ownership allows families to build equity over time and provides a stable environment for raising children, contributing to their educational success and overall well-being.
Racial minorities, particularly African Americans and Hispanics, have historically faced numerous barriers to home ownership, such as discriminatory lending practices, residential segregation, and limited access to affordable housing.
These barriers have contributed to a significant wealth gap between minority and white households, perpetuating cycles of poverty and inequality.
Additionally, home ownership provides a sense of security and stability, which can lead to improved mental and physical health. Owning a home also allows individuals to have a sense of belonging and investment in their communities, fostering stronger social ties and civic engagement.
When minority populations are unable to access these benefits due to historical and ongoing discrimination, it perpetuates disparities in health, education, and overall quality of life.
In conclusion, the inability to buy a home in the United States is a factor in racial inequality and poverty because home ownership is an important vehicle for wealth accumulation and financial stability.
Addressing barriers to home ownership faced by minority populations is crucial for promoting social and economic equality and breaking the cycle of poverty that disproportionately affects these communities.
To know more about racial inequality refer here
https://brainly.com/question/28006725#
#SPJ11
in an economy, 42 million people are in the labor force, 38 million are employed, and 47 million are of working age. how many people are not in the labor force?
There are 38 million people who are not in the labor force in this economy.
To calculate the number of people who are not in the labor force, we need to subtract the number of people who are employed from the number of people of working age, and then subtract the remaining number from the total population:
Number of people not in the labor force = Total population - (Number of people of working age - Number of people employed)
Number of people of working age = 47 million
Number of people employed = 38 million
Number of people not in the labor force = 47 million - (47 million - 38 million)
Number of people not in the labor force = 47 million - 9 million
Number of people not in the labor force = 38 million
To know more about labor force refer to-
https://brainly.com/question/13962639
#SPJ11
Stacey wants to give a speech about how the human heart works. she will be speaking to an audience of about 500 people. Which visual aids would be least effective?
The least effective visual aid for Stacey's speech about how the human heart works would likely be a small handout or a poster with a lot of detailed information.
This is because with an audience of 500 people, the visual aid needs to be large and easily visible to all attendees. A small handout or poster would be difficult for people to see, especially those sitting at the back of the room.A better option would be to use a large poster or a projection screen to display diagrams, illustrations, or animations of the human heart.
These types of visual aids can help to illustrate the complex workings of the heart in a clear and concise way, making it easier for the audience to understand. Additionally, Stacey could use props such as a model of the heart or a stethoscope to provide a hands-on demonstration and further engage the audience.
To know more about visual aid click here
brainly.com/question/10100750
#SPJ11
you have bought a house for $250,000 and will put down 20%. your mortgage broker offers you a 7% 30-year mortgage. what is the monthly payment? g
M = P [ i(1 + i)^n ] / [ (1 + i)^n – 1].Therefore, the monthly payment on a 30-year mortgage at 7% interest for a $250,000 house with a 20% down payment would be approximately $1,330.60.
To calculate the monthly payment for your 30-year mortgage at 7%, you first need to determine the loan amount. Since you're putting down 20% on the $250,000 house, the loan amount will be 80% of the house price.
Loan amount = $250,000 x 0.8 = $200,000
Next, you'll need to calculate the monthly interest rate by dividing the annual interest rate (7%) by 12:
Monthly interest rate = 0.07 / 12 = 0.00583
Now, you can use the loan payment formula:
Monthly payment = (Loan amount x Monthly interest rate) / (1 - (1 + Monthly interest rate)^(-30 x 12))
Plugging in the numbers:
Monthly payment = ($200,000 x 0.00583) / (1 - (1 + 0.00583)^(-360))
Monthly payment = $1,330.60
So, your monthly payment for the 30-year mortgage at 7% interest will be $1,330.60.
Learn more about :
Mortgage : brainly.com/question/31110884
#SPJ11
Use the following information to answer questions 1-3. Consider the following transactions: Cash received from sale of building $6,000
Depreciation Expense -600
Cash Paid for Interest -650
Loss on sale of building -1,750
Cash Paid to Repurchase shares of stock (treasury stock) -1000
Cash collected from customers 11,500
Cash paid for dividends -800
Cash paid for income taxes -1,320 1. Calculate Cash Flow from Operations 2. Calculate Cash Flow from Investing Activities 3. Calculate Total Change in Cash
Cash Flow from Operations is $8,780. Cash Flow from Investing Activities is $5,000. The total Change in Cash is $13,780.
1. To calculate Cash Flow from Operations, we need to add back the non-cash expenses (Depreciation) and subtract the cash payments (Dividends and Income Taxes) from the Cash collected from customers:
Cash Flow from Operations = Cash collected from customers - Cash paid for dividends - Cash paid for income taxes + Depreciation Expense
Cash Flow from Operations = 11,500 - 800 - 1,320 - 600
Cash Flow from Operations = $8,780
2. To calculate Cash Flow from Investing Activities, we need to look at the Cash received from the sale of the building and the Cash paid to Repurchase shares of stock (treasury stock):
Cash Flow from Investing Activities = Cash received from the sale of the building - Cash paid to Repurchase shares of stock
Cash Flow from Investing Activities = 6,000 - 1,000
Cash Flow from Investing Activities = $5,000
3. To calculate Total Change in Cash, we need to add up the Cash Flow from Operations and the Cash Flow from Investing Activities:
Total Change in Cash = Cash Flow from Operations + Cash Flow from Investing Activities
Total Change in Cash = 8,780 + 5,000
Total Change in Cash = $13,780
Learn more about Cash flow: https://brainly.com/question/735261
#SPJ11
What is a credible threat or promise?
A credible threat or promise is a statement or action made by one party that is believed by another party to be genuine and capable of being carried out.
In other words, a credible threat or promise is one that is perceived as real and likely to be executed, either as a result of the party's reputation or demonstrated ability to follow through.
In negotiations or conflicts, credible threats can be used to influence the behavior of the other party, by creating a sense of fear or apprehension about the consequences of not complying.
A credible promise, on the other hand, can be used to build trust and rapport with the other party, by demonstrating the ability and willingness to fulfill commitments.
For example, in a business negotiation, a supplier may make a credible threat to take their business elsewhere if their terms are not met, while a buyer may make a credible promise to provide regular orders in exchange for favorable pricing. In both cases, the credibility of the statement is key to its effectiveness in achieving the desired outcome.
Overall, a credible threat or promise is a powerful tool in negotiations, as it can influence the behavior of the other party and create a sense of accountability and responsibility. However, it is important to use such tactics judiciously, as overuse or misuse can lead to a breakdown in trust and damage the relationship between parties.
For more such questions on credible visit:
https://brainly.com/question/31448658
#SPJ11
diz co. is a u.s.-based mnc with net cash inflows of euros and net cash inflows of swiss francs. these two currencies are highly correlated in their movements against the dollar. yanta co. is a u.s.-based mnc that has the same level of net cash flows in these currencies as diz co., except that its euros represent net cash outflows. which firm has a higher exposure to exchange rate risk?
Diz Co. has a higher exposure to exchange rate risk because its net cash inflows in euros and Swiss francs are both positively correlated with the dollar, while Yanta Co.'s net cash outflows in euros are negatively correlated with the dollar.
Exchange rate risk refers to the potential financial losses that can arise from fluctuations in exchange rates between two currencies. The higher the correlation between the cash flows and the exchange rate, the greater the exposure to exchange rate risk.
In this case, Diz Co. has net cash inflows in both euros and Swiss francs, which are both positively correlated with the dollar. Therefore, any depreciation in the value of the dollar would reduce the value of its cash inflows.
On the other hand, Yanta Co. has net cash outflows in euros, which are negatively correlated with the dollar. This means that any depreciation in the value of the dollar would actually decrease the amount of cash outflows for Yanta Co. Hence, Diz Co. has a higher exposure to exchange rate risk than Yanta Co.
For more questions like Cash flows click the link below:
https://brainly.com/question/28238360
#SPJ11
An investor will be willing to pay up to the point at which the current price of a share of stock equals the present value of the expected future dividends an expected future sale price.
a. true b. false
The statement "An investor will be willing to pay up to the point at which the current price of a share of stock equals the present value of the expected future dividends and expected future sale price." is true.
The price of a share of stock is determined by its expected future cash flows. These cash flows include future dividends and the expected sale price of the stock.
The present value of these future cash flows is the maximum price an investor would be willing to pay for the stock. If the current price of the stock is lower than the present value of the expected future cash flows, then the stock is considered undervalued and a wise investment.
On the other hand, if the current price of the stock is higher than the present value of the expected future cash flows, then the stock is considered overvalued and should be avoided. Therefore, understanding the present value of future cash flows is crucial for investors to make informed investment decisions.
To know more about dividends refer here:
https://brainly.com/question/30030205#
#SPJ11
Madelyn wants to have a weekly check-in with her remote team. They will not need to show their screens in order to achieve the goals of their agenda. Each person will take turns speaking. Which of the following is the best tool to use in this situation?
multi-feature online communication platform
cell phone call
web conferencing with screen sharing
VOIP call
The best tool to use for weekly check- in with the remote team to show their screens would be a VOIP call.
Since Madelyn's team does not need to show their screens, a simple voice call would be sufficient for their weekly check-in. A VOIP call is the best tool and easy to set up, cost-effective, and reliable, making it an ideal option for remote teams. Additionally, it allows each person to take turns speaking and provides clear audio quality for effective communication.
To know more remote team screens best tool https://brainly.com/question/25576685
#SPJ11
Which of the following costs are included in a long-term construction contract? (select all that apply.) multiple select question. direct labor direct material overhead administrative expense
Long-term construction contracts are typically those that extend beyond one accounting period, and therefore, require special accounting treatment.
When it comes to the costs included in a long-term construction contract, the following categories of costs are typically considered:
In summary, both direct labor and direct material costs are included in a long-term construction contract, while overhead costs may or may not be included, and administrative expenses are generally not included.
Learn more about direct labor costs:
brainly.com/question/14671852
#SPJ11
land is purchased for $60,000. back taxes paid by the purchaser were $4,800, clearing and grading costs were $3,000, fencing (with limited life) costs were $3,500, and lighting costs were $700 (with limited life). what is the cost of the land?
To calculate the cost of the land, we need to consider the various expenses associated with it.
The initial land purchase price is $60,000. The back taxes paid by the purchaser amount to $4,800.
The clearing and grading costs are $3,000. Fencing and lighting costs, which have limited life, should not be included in the cost of the land.
To find the total cost of the land, simply add the purchase price, back taxes, and clearing and grading costs together:
$60,000 (purchase price) + $4,800 (back taxes) + $3,000 (clearing and grading) = $67,800
The cost of the land is $67,800.
learn more about taxes here:brainly.com/question/16423331
#SPJ11
the stand-alone principle assumes that evaluation of a project may be based on the project's blank cash flows.
The stand-alone principle assumes that evaluation of a project may be based on the project's incremental cash flows.
This means that when analyzing a project, its cash flows can be evaluated independently from the cash flows of other projects or activities within the organization.
An investment strategy in which securities in the same risk class are compared to projects to determine whether or not a company should accept or reject them.
To learn more about cash flow: https://brainly.com/question/735261
#SPJ11
the bureau of labor statistics projects there will be strong growth for social work employment. this expected job growth is a result of what?
The expected job growth for social work employment is a result of several factors. One of the primary reasons is the increasing demand for social workers in various settings, such as healthcare, schools, and community organizations.
Social workers play a vital role in addressing a wide range of social and emotional issues, including mental health, addiction, poverty, and family conflict. Moreover, the aging population and the increasing need for healthcare services have also contributed to the growing demand for social workers. As the population ages, there is an increased need for social workers to provide care and support for older adults and their families. Furthermore, social workers are becoming increasingly recognized for their contributions to mental health services, and their role in advocating for social justice and equality. As more people seek mental health services and advocate for social change, the demand for social workers with specialized skills and knowledge is expected to increase. In summary, the expected job growth for social work employment is a result of the increasing demand for social workers in various settings, the aging population, the growing need for mental health services, and the recognition of social workers' contributions to social justice and equality.
learn more about social work employment here:
https://brainly.com/question/519706
#SPJ11
the exchange rate between the australian dollar and the indian rupee is determined in a flexible foreign exchange market. a. assume india is currently in recession. what fiscal policy action could the indian government take to eliminate the recession? b. what would be the effect of the fiscal policy action identified in part (a) on interest rates in india?
The exchange rate between the Australian dollar and the Indian rupee is determined in a flexible foreign exchange market. In a situation where India is in recession, the Indian government can implement fiscal policy actions to eliminate the recession.
One possible action is to increase government spending, which could stimulate demand and boost economic growth.Alternatively, the government could reduce taxes, providing individuals and businesses with more disposable income to spend or invest, ultimately leading to increased economic activity.
The fiscal policy action taken in part (a) would have an effect on interest rates in India. When the government increases its spending or reduces taxes, the demand for money rises. To accommodate this increased demand, the central bank may supply more money into the market, which can lead to a decrease in interest rates.
Lower interest rates make borrowing more attractive for businesses and individuals, stimulating investment and spending. This, in turn, can contribute to economic recovery and help India to overcome the recession.
However, it is crucial to monitor and manage the effects of such fiscal policy actions to avoid potential negative impacts such as inflation or unsustainable public debt.
To know more about refer exchange rate here
brainly.com/question/29562028#
#SPJ11
the price of peanuts increases. at the same time, we see the price of jelly (which is often consumed with peanut butter) rise. how does this change affect the market for peanut butter?
The price of peanuts increases. At the same time, we see the price of jelly rise. This change affects the market for peanut butter as the demand curve will shift to the left; the supply curve will shift to the left.
The price increase in peanuts will cause a decrease in the quantity demanded of peanut butter, shifting the demand curve to the left. This is because peanut butter and peanuts are complementary goods, and an increase in the price of one will reduce the quantity demanded of both goods.
Similarly, the increase in the price of jelly, another complementary good, will also lead to a decrease in the quantity demanded of peanut butter. This further shifts the demand curve to the left.
As for the supply curve, the increase in the price of peanuts will cause a decrease in the quantity supplied of peanut butter, as the cost of production has increased. This shifts the supply curve to the left.
In conclusion, the market for peanut butter will experience a leftward shift in both the demand and supply curves due to the increase in the price of peanuts and jelly.
This will result in a decrease in the quantity of peanut butter demanded and supplied, and an increase in the price of peanut butter, assuming no other factors affect the market.
Therefore, option A, "the demand curve will shift to the left; the supply curve will shift to the left," is the correct answer.
To know more about demand curve refer here:
https://brainly.com/question/30550686#
#SPJ11
Complete Question:
The price of peanuts increases. At the same time, we see the price of Jelly rise. How does this affect the market for peanut butter?
A. the demand curve will shift to the left; the supply curve will shift to the left.
B. the demand curve will shift to the left; the supply curve will shift to the right.
C. the demand curve will shift to the right; the supply curve will shift to the left.
D. the demand curve will shift to the right; the supply curve will shift to the right
in the long run, all firms can enter and exit the market, and all entrants have the same costs as above. as this market makes the transition to its long-run equilibrium, will the price rise or fall? will the quantity demanded rise or fall? will the quantity supplied by each firm rise or fall? explain your answers. e) graph the long-run supply curve in equilibrium for this market, with specific numbers on the axes as relevant.
In the long run, all firms can enter and exit the market, and all entrants have the same costs as above. As the market makes the transition to its long-run equilibrium, the price will fall.
This is because new firms entering the market will increase the supply of goods, leading to a decrease in price.
The quantity demanded will rise because of the lower price, making it more attractive for consumers to buy the product.
The quantity supplied by each firm will fall because of increased competition, which will reduce the profitability of each firm.
The long-run supply curve in equilibrium for this market will be perfectly elastic, indicating that firms can enter and exit the market easily without affecting the market price.
The X-axis will represent the quantity supplied, and the Y-axis will represent the price. This equilibrium will occur at a point where the price is equal to the minimum average total cost of production.
To know more about long-run equilibrium refer here:
https://brainly.com/question/13085229#
#SPJ11
a 3 pound bag of florida oranges is sold for $5.00 to jucico, a us company that turns them into orange juice. then jucico sells the orange juice to consumers for $10.00. an identical bag of florida oranges is purchased by safeway for $5.00, who then sells it for $7 to a consumer. considering the four above-mentioned transactions, how much will gdp change?
Using the income approach for calculating, GDP, $17 is the change in GDP.
A country's or countries' gross domestic product is a monetary indicator of the market value of all the finished products and services produced and sold within a certain time period. The government of a single nation most frequently uses GDP to gauge the strength of its economy.
The GDP change is calculated as:
$5 (bag of oranges) + $5(bag of oranges) + (10-5)(juice) + (7-5)(bag of oranges)
= $17 is added to the GDP.
In this case, the income approach is used to calculate GDP, which includes the income earned by wages to labor (not present), rent by land (original bag of oranges), the return on capital (interest, not present),and entrepreneur’s profits (juice and grocery store)
Therefore, considering the four above-mentioned transactions $17 is the change in GDP.
To learn more on GDP, here:
https://brainly.com/question/31197617
#SPJ1
Thermal, inc. bought a new office computer for $5,000 cash. the journal entry to record this transaction will include a $5,000 ____________
The journal entry to record the purchase of a new office computer for $5,000 cash will include a $5,000 debit to the "Office Equipment" account and a $5,000 credit to the "Cash" account.
This transaction will increase the company's assets by $5,000 and decrease its cash balance by the same amount. The "Office Equipment" account is a long-term asset account and represents the cost of equipment that is expected to be used for more than one year in the business. This journal entry is important to keep accurate records of the company's transactions and financial position. Additionally, there will be a $5,000 credit to the "Cash" account, which indicates a reduction in the company's cash balance due to the purchase. This journal entry accurately reflects the exchange of cash for the computer equipment and ensures that the company's financial records remain up-to-date and accurate.
To Know more about journal entry Visit:
brainly.com/question/20421012
#SPJ11
A City
Administration has provided the following information related to
their activity to various government funds.
Required: - a. Prepare Statement of Revenues, Expenditure and
Changes in Fund Bal
Transactions Received State Grant for the improvement of the sewage system of the city OMR 450,000 The City also issued operational bonds to the value of OMR 60,000 to finance its general operating expenditure at a premium of 10%. Purchased office supplies OMR 28,000 for which payment is made immediately against the vouchers produced Transferred OMR 75,000 to establish a service center to provide support to other departments. General operating expenditure incurred OMR 29,000 and paid OMR 25,500. Issued OMR 75,000 long term development bond, the fund to be utilized for construction of a Convention Hall and must be used for this specific purpose at a premium of 2.5% The City placed order for machines to be utilized at the service center for OMR 26,000 to be supplied in 3 months. Using the Developmental Bond issue proceeds, the City constructed the Convention Hall by spending OMR 66,000 Using the State Grant, the City renovated the sewage system OMR 300,000 The service department billed the General Fund for providing services OMR 18,000 The City levied OMR 600,000 of general property taxes of which it actually collected OMR 480,000.
By recording all the transactions in their respective funds, we can prepare the Statement of Revenues, Expenditure and Changes in Fund Balances for the City Administration.
Firstly, the State Grant received for the improvement of the sewage system of the city is recorded as revenue in the respective fund. Secondly, the operational bonds issued by the City for financing general operating expenditure are recorded as revenue in the General Fund.
However, since the bonds were issued at a premium of 10%, only OMR 54,545 is recorded as revenue, and the remaining OMR 5,455 is recorded as a deferred revenue liability.
Next, the purchase of office supplies is recorded as an expenditure in the General Fund. The transfer of OMR 75,000 to establish a service center is recorded as an expenditure in the respective fund. The general operating expenditure incurred and paid are also recorded as expenditures in the General Fund. The issuance of long-term development bonds for the construction of a Convention Hall is recorded as revenue in the Development Fund, and the premium received is recorded as deferred revenue liability.
The order for machines to be utilized at the service center is not recorded as a transaction since no payment was made at the time of the order. Once the machines are supplied and payment is made, the expenditure will be recorded in the respective fund. The construction of the Convention Hall is recorded as an expenditure in the Development Fund. The renovation of the sewage system using the State Grant is recorded as an expenditure in the respective fund. The service department's billing of the General Fund for providing services is recorded as revenue in the respective fund.
Lastly, the general property taxes levied and collected by the City are recorded as revenue in the General Fund. However, since only OMR 480,000 was actually collected, the remaining OMR 120,000 is recorded as a receivable.
Therefore, To prepare the Statement of Revenues, Expenditure and Changes in Fund Balances for the City Administration, we need to record all the transactions in the appropriate fund.
For more information on revenues kindly visit to
https://brainly.com/question/15521491
#SPJ11