The example given on Caitlin's U.S. firm selling paint additive to Japan and then purchasing some plastic products in Japan is a counterpurchase.
What is a counterpurchase ?In counter-purchasing agreements, the two parties involved in the contract will buy goods from each other. The transactions where they buy goods from each other will not be the same, and this is often done to provide incentive for one party.
In this case, Caitlin's U.S. firm sells paint additives to Japan and then has to buy some plastic items from Japan as well. This shows that this is a counterpurchase.
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in which situation is the amount of money earned determined by a proportional relationship? an editor charged her clients $1.25 per page for editing. a tour guide at the museum was paid a salary of $1,500 for the entire year. a dog walker charged her clients a $10 flat-rate monthly fee plus $5 per walk. a songwriter was paid a different amount for each song she wrote depending on its popularity.
The situation where the amount of money earned determined by a proportional relationship is a dog walker charged her clients a $10 flat-rate monthly fee plus $5 per walk.
What is a Proportional relationships?Proportional relationships ca be described as the relationships tha can be seen between two variables and between this variables the ratios are equivalent.
It should be noted that when dealing with the proportional relationship, it should be taken int the consieration that one variable among the determinant variables is always a constant value times the other.
In conclusion, this can be seen in the way the option C is arrnged, because the we see how the client do charge the amount of $10 which is the flat rate that is been charged for every work without changing the price which remain constant with the charges that can chage depending on the work.
Therefore the third option is correct.
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fred is a concert violinist who is scheduled to perform at carnegie hall for the first time. fred buys what he is told is a stradivarius violin from a well-known, reputable dealer in quality violins, and he pays the very expensive price for a stradivarius. carl is not an expert in verification of violins. he later learns the violin is an imitation, which should not have fooled the dealer. in this case:
He later learns the violin is an imitation, although it is such a good imitation that even the dealer thought it was authentic. For joint error, the buyer has the right to revoke the sale.
Who is a Buyer?A buyer is a person who chooses what things are stocked in the retail sector, and their main duty is managing all the merchandise that enters the store. Buyers typically collaborate closely with designers and the sales agents they have been assigned, and they go to trade events, wholesale showrooms, and imitation fashion shows to watch trends. They could work for big department stores, big chains, or little boutiques. In tiny independent shops, a buyer may be involved in both sales and promotion, but in larger fashion retailers, there may be multiple degrees of seniority, including trainee buyers, imitation buyers, senior buyers and buying managers, and buying directors. Stocking decisions can have a big impact on the fashion industry.Ensuring that the store is adequately stocked with a wide choice of designer clothing is one of the duties that buyers at department stores may have. However, if they work with a fashion company they can be in charge of imitation the entire product creation process as well as the subsequent product delivery.To learn more about buyer from the given link:
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the next dividend payment by savitz, incorporated, will be $2.75 per share. the dividends are anticipated to maintain a growth rate of 5 percent forever. if the stock currently sells for $41 per share, what is the required return?
The Required return is 10.88%.
Given,
40 = frac{2.75}{r - 0.04}
r - 0.04 = 2.75/40
r - 0.04 = 0.06875
r = 10.875%
r = 10.88%
The required rate of return is the minimum ideal return on funding sought by way of individuals or organizations thinking about an investment opportunity.
The required rate of return (RRR) is the minimum quantity of profit (return) an investor will seek or obtain for assuming the chance of making an investment in a stock or another kind of security. RRR is also used to calculate how profitable a project might be relative to the value of an investment that undertaking.
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in which creative style does an advertiser make a superiority claim based on a unique product attribute that represents a meaningful, distinctive consumer benefit?
A creative technique known as the "unique selling proposition" (USP) allows a marketer to establish a superiority claim based on a special product feature that signifies an important, stand-out consumer benefit.
A unique selling proposition (USP) embodies the values that your company upholds. That characteristic of your company is what makes it stand out from the competition. Business owners are urged by the USP to be very explicit about what they want to be renowned for. This covers a variety of factors, such as cost, quality, logistics, and features.
It's critical to choose the appropriate thing because the goal of your USP is to persuasively communicate your special value proposition. Salespeople utilize a unique selling proposition, or USP, as a method to convey the salient features that set your product apart from the competitors.
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since entrepreneurs can't compete with larger firms' pay and benefits, what are three ways they can motivate employees? multiple select question. maintain good employee relations increase employees' workload provide more challenging opportunities to learn be respectful of employees' opinions reduce employee empowerment
The primary driver of long-term economic prosperity is productivity growth, which raises a society's material well-being, raises living standards, and drives innovation.
How can the government encourage entrepreneurship in four ways?Entrepreneurship can be encouraged by the government by:
allowing private business ownership.enacting legislation that enables businesses to create legally binding contracts.creating a currency that can be traded on global markets.reducing the amount of corruption in its own ranks and in business.What are the three most crucial responsibilities of an entrepreneur?Innovation and creativity, taking risks, success, organization and management, catalyzing economic growth, overcoming change resistance, and research are some of the many roles that entrepreneurship plays.
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Answer:
be respectful of employees opinions
provide more challenging opportunities to learn
maintain good employee relations
Explanation:
What is the major difference between a block style business letter and a modified block style letter?.
Block style and a modified block style letter differ from each other with respect to the placement, formatting, and alienation of sender and receiver address.
Business letter
A business letter is a formal document intended to convey information to several recipients, either internally or outside. Block style and modified block style letters are both types.
Block style letter
The full-block form is the standard format for a formal business letter. Use the complete block format as a safe choice if you're unsure. The paragraphs are not indented for this kind of layout. All elements of the business letter, including the sender and recipient addresses, are left-aligned in the full-block format. A new paragraph is indicated for readability by skipping a line.
Modified block-style letter
The sender's address is positioned to the right in the modified block form, but else it is identical to the full block form. Compared to the full-block format, this format is a little less formal. When writing to someone with whom you have a professional relationship, this structure works well.
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in the decline stage of the industry life cycle a. the product may have reached obsolescence. b. the industry will grow at a rate less than the overall economy. c. the industry may experience negative growth. d. a and b only. e. a, b, and c.
The product may have reached obsolescence during the industrial life cycle's decline stage.
What is obsolescence?When something is no longer needed or maintained, even though it may still be in fine functioning order, it enters the state of obsolescence. The phrase "transition from available to unavailable from the manufacturer in line with the original specification" is used to define obsolescence in the international standard IEC 62402:2019 Obsolescence Management. Obsolescence typically happens when a substitute has emerged with, overall, more benefits compared to the drawbacks of maintaining or fixing the original. Another definition of obsolete is something that has already been abandoned, discarded, or outmoded. Usually, a slow drop in popularity comes before obsolescence. New components are produced and introduced to the market at a faster rate thanks to the quickening pace of technological progress.
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instead of having assembly lines in which workers repeatedly perform single, specialized tasks, such as sewing zippers or attaching buttons, a clothing manufacturer forms teams of 8 to 10 workers who are responsible for producing entire garments. this is an example of a(n) blank team.
'instead of having assembly lines in which workers repeatedly perform single, specialized tasks, such as sewing zippers or attaching buttons, a clothing manufacturer forms teams of 8 to 10 workers who are responsible for producing entire garments. this is an example of a(n) blank teamwork.
A zipper, fly or zipper, formerly known as a locker, is a device commonly used to tie two ends of cloth or other flexible material together.
The three main types are Nylon coil, Vislon (molded teeth), and metal zippers. There should be some letters and numbers behind each slider.
Zippers with plastic fittings are made of polyester or nylon, while sliders and pull tabs are usually made of steel or zinc. Cloth tapes are made of cotton, polyester, or a mixture of both.
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a financial institution has an investment horizon of two years 9.33 months (or 2.777 years). the institution has converted all assets into a portfolio of 8 percent, $1,000 three-year bonds that are trading at a yield to maturity of 10 percent. the bonds pay interest annually. the portfolio manager believes that the assets are immunized against interest rate changes. is the portfolio immunized at the time of the bond purchase? what is the duration of the bonds? will the portfolio be immunized one year later? assume that one-year, 8 percent zero-coupon bonds are available in one year. what proportion of the original portfolio should be placed in these bonds to rebalance the portfolio?
A 13.6 % proportion of the original portfolio should be placed in these bonds to rebalance the portfolio.
The investment horizon is either 21.5 months, 9.5 months, or 1 year. Therefore, the following approach can be used to determine the percentage of bonds that should be in the zeros:
21.5 months is X*12 months + (1-X)*23 months
X = 13.6 percent. As a result, after a year, 13.6% of the bond portfolio should be in zeroes.
The investment horizon will be 1 year, 9.5 months long after the first year. The bonds will be in effect for 1.9247 years, or 1 year and 11+ months, at this time. As a result, the bonds will no longer be immunized.
The tenure of the bonds is 2.7774 years or 33.33 months. Practically speaking, the bond investment horizon was immunized when it was purchased.
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an entity with a large volume of customer remittances by mail most likely can reduce the risk of employee misappropriation of cash by using group of answer choices employee fidelity bonds. independently prepared mail room prelists. daily check summaries. a bank lockbox system.
An entity with a large volume of customer remittances by mail could most likely reduce the risk of employee misappropriation of cash by using a bank lockbox system.
A customer is someone who buys goods or services from a business. Customers are important to businesses because they are the ones who generate revenue. Employee, on the other hand, are the people who work for the business.
They are responsible for carrying out the day-to-day operations of the entity. Employees are important to businesses because they are the ones who make the business run.
Hence, "Fourth" is the correct option.
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(6 points) country day's scholarship fund received a gift of $47000. the money was invested in stocks, bonds, and cds for one year. the cds paid 1% interest, the bonds paid 3% interest, and the stocks paid 8% interest. the amount invested bonds was $18000 more than the amount invested in cds, and the total income for one year from the investments was $2620. how much was invested in each type?
Amount invested in cds is 2000, bonds is 20000 and stocks is 25000
Total fund received = $47000
Interest on cds = 1%
Interest on bonds = 3%
Interest on stocks = 8%
Let x be the amount invested in CDs be x, then the amount invested in bonds = x+18000 and the amount invested in stocks will be y
Formulating the equation we get:
x + x+18000 +y = 47000
2x + y = 29000-----(1)
Another equation:
1%of x + 3% of x+18000 + 8% of y = $2620
0.01x + 0.03x + 540 + 0.08y = 2620
0.04x + 0.08y = 2080
4x + 8y = 208000
Dividing by 2 we get
2x + 4y = 104000----(2)
Equating (1) and (2) we get:
3y = 75000
y = 25000
Substituting y in (1) we get
2x = 4000
x = 2000
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which of the following actions of a sales leader is the primary reason it is important to develop personal sales mastery?
One of the most critical sales priorities is adaptation. As new technology becomes available, there is a shift in the way customers are making decisions.
Being a hit in sales and studying a way to turn out to be higher at income boils down to three matters: empathy, a proper desire to help, and endurance.
Income control is the act of overseeing and leading income representatives to create strong relationships with prospects and close extra offers. Income managers do this by means of enforcing income control strategies, strategies, and targets to help their team hit or exceed their goals and dreams.
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in which type of manufacturing process would each individual item in the group go through one stage of the production process before the whole group moves on to the next stage? in which type of manufacturing process would each individual item in the group go through one stage of the production process before the whole group moves on to the next stage? line flow production batch production job shop production continuous flow production
The manufacturing technique known as batch production involves the simultaneous production of a single batch of identical goods through a series of distinct stages.
What exactly is the manufacturing production process?
Beyond just a bill of materials, manufacturing production refers to the process of producing goods for sale in the most effective manner.The following are three typical types of manufacturing production processes: MTS stands for make to stock, MTO for make to order, and MTA for make to assemble.
Which of the four processes are it?
Project, jobbing, batch, line, and continuous are the most common types of manufacturing processes. Project processes result in low-volume, high-variety products. The stationary location of the product is a feature of the project process.
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you accept a mortgage for $130,000. what finance charge will you have to pay at closing if the lender charges 2 points?
$2,600 charge will have to pay at closing if the lender charges 2 points for accepting a mortgage.
What is the meaning of mortgage?
Mortgage loans are used to buy a home or to borrow money against the value of a home you already own.
What are two types of mortgages?
Fixed Rate Loan vs Adjustable Rate Loan
Mortgages are available with two different types of interest rates: fixed and adjustable. On a fixed-rate loan, the interest rate stays the same for the entire life in the loan. That means you lock in the interest rate of today's market for the next 15-30 years.
What are types of mortgages?
The main types of mortgages are Department of Veterans Affairs-insured, and U.S. Department of Agriculture-insured.
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what is the annual rate of interest being charged on a 9-month note receivable of $53,000 if the total interest is $4,770? multiple choice 9% 18% 12% 13%
The simple interest rate is the annual rate divided by the number of payments, without taking compound interest into account. The interest rate that accounts for compounding over a specific time period is called the Effective Annual Interest Rate (EAR).
Either the annual payment of the compound or effective interest rate, or an adjustment for the consequences of compound interest
Using the formula:
Let the interest rate be X
Interest = Principal* X% * 9/12
4,770 = 53000* X% * 9/12
= 12%
The rate of interest that an investor can earn (or pay) in a year after taking into account compounding is known as the effective annual interest rate, to put it simply. EAR can be used to analyze investment returns as well as the interest that will be due on any debt, including loans.
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Money neutrality suggests that an increase in the money supply leads to _____ in price level and inflation and _____ in real gdp.
Money neutrality suggests that an increase in the money supply leads to an increase in price level and inflation and cause no change in real GDP.’
Money Exchange equation
M×V=P×Y
When there is an increase in the money supply with no corresponding increase in output he price level changes by the same amount as the change in the money supply. In other words, even while output remains unchanged, as the money supply doubles, so does the price level.
Real GDP, also known as "constant-price," "inflation-corrected," or "constant-dollar GDP," is a measure of a nation's GDP that accounts for inflation. Real GDP and the money supply don't necessarily go hand in hand. Increase in money supply does not change the real GDP.
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which of the following is a goal of working capital management? a.) to minimize the cash conversion cycle and, if possible, invert it b.) to balance profitability and liquidity in order to meet growth objectives c.) to maximize profitability at the expense of liquidity d.) to accumulate as much cash and cash equivalents as possible
The goal of working capital management is to accumulate as much cash and cash equivalents as possible,
Monitoring a company's assets and liabilities is necessary for maintaining enough cash flow to cover short-term operating expenses and short-term debt commitments.The working capital ratio, collection ratios, and inventory ratios are just a few of the ratios that are tracked as part of working capital management.Utilizing resources effectively through working capital management can enhance a company's cash flow management and earnings quality.The basic goal of working capital management is to make it possible for the business to keep enough cash flow to cover its short-term operating expenses and short-term debt commitments. Current assets less current liabilities equals a company's working capital.Learn more about working capital, here
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rose is concerned about a stock in her portfolio because in recent periods, the dividend she has received for each share has gotten smaller while the share price has remained relatively constant. what financial metric is rose analyzing? dividend yield dividend per share payout ratio dividend cover
The financial metric is rose analyzing is the dividend yield.
Dividend stocks and dividend ETFs can offer diversification in a portfolio and they also can generate earnings for retirement. Being conscious of ways you intend to spend when you retire and what type of profits you may want can help you devise a plan for the way to live off dividends for the long term.
Over time, the coin float generated by the one dividend bill can supplement your Social protection and pension earnings. Perhaps, it is able to even offer all the cash you need to maintain your preretirement lifestyle. It's miles possible to live off dividends in case you perform a little planning.
They are paid out of the income and earnings of the corporation. Dividends can be categorized both as regular or qualified. Whereas ordinary dividends are taxable as regular earnings, qualified dividends that meet sure requirements are taxed at decreased capital gain charges.
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40 POINTS
How do you recommend the government change GDP and taxes to stabilize the economy in each of the following scenarios?
1, Economic growth has started slowing and the unemployment rate has increased over the past four months.
2, There has been strong growth in GDP over the past year, unemployment is very low, and inflation has started to rise.
3, Prices are stable, unemployment is low and the economy is growing at an average rate
To stabilize the economy in the given scenarios, the government should change GDP and taxes as follows:
Economic growth has started slowing and the unemployment rate has increased over the past four months. - Decrease taxes to increase GDP There has been strong growth in GDP over the past year, unemployment is very low, and inflation has started to rise. - Increase taxes to decrease GDP Prices are stable, unemployment is low and the economy is growing at an average rate - No change to taxes to maintain GDP growth How can taxation affect the economy?Taxation leads to less money being available to people to invest in the production of goods and services, and to consume. This means that more taxation means less economic and GDP growth.
If economic growth is slowing, reducing taxes would allow for an increase in economic growth. When inflation is starting to rise along with a strong growth in GDP, the economy might be overheated so there is a need to increase taxes so that GDP will fall. If the economy is stable however, taxes should be left as they are.
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How do the basic characteristics of free enterprise support the idea that the united states is a land of opportunity?.
Our laissez-faire economy has many key characteristics: profit motive, open chance, legal equality, personal property rights, free contract, voluntary exchange, and competition. The profit motive encourages folks to boost their material well-being.
United Nations agency decides. Forms of Economic Systems. Pure capitalist economy. Conjointly called: market economy; competition. Perceive forms of economic systems and their historical development. Describe capitalist economy and socialism each in theory and the application.
A system of laws and courts provides the essential legal infrastructure for all business acquiring depends.
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integrity materials is considering expanding on some land that it currently owns. the initial cost of the land was $364,500 and it is currently valued at $357,900. the company has some unused equipment that it currently owns valued at $29,000 that could be used for this project if $8,200 is spent for equipment modifications. other equipment costing $157,900 will also be required. what is the amount of the initial cash flow for this expansion project?
The amount of the initial cash flow that will be required for this expansion project is $553,000.
What is Initial Cash Flow?
The amount of money available at the beginning of a project or firm is known as the initial cash flow. Any loans or investments made in the project are included in the sum. Since starting a business takes a financial commitment with the expectation of generating revenue in the future, it is typically a negative number.
The discounted cash flow analysis used to determine a project's viability takes initial cash flow into account.
The attractiveness of a project is assessed throughout the capital budgeting process based on the predicted lifetime cash flows of the project in comparison to the initial cash flow required to get it started.
Initial cash flows=$357,900+$29,000+$8,200+$157,900=$553,000
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your boss has just asked you to calculate your firm's cost of capital. below is potentially relevant information for your calculation. what is your firm's weighted average cost of capital? common equity: book value
The weighted average cost of capital (WACC) is the amount that a company anticipates charging on average to all of the purchasers of its liabilities in order to fund its assets (WACC). It's significant that the external market, not management, controls it.
What is cost of capital ?The minimum rate of returns or profit that a business must achieve before creating value is known as the cost of capital. It is calculated by the accounting department of a business to evaluate financial risk and determine the suitability of an investment.
Simply multiply the yield on preferred shares and the percentage of debt and preferred stock, respectively, in a firm's capital structure. The cost of debt must be multiplied by (1 - tax rate), which is considered to as the value of the tax shield, because interest payments are tax deductible.
When calculating WACC, the cost of each financial institution (debt and equity) is multiplied by the relevant weighting by market value, and the results are added up to reach the final result. In discounted cash flow analysis, WACC is sometimes applied as the discount factor for future cash flows.
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A rectangular storage container with an open top is to have a volume of 20 m3. The length of its base is three times the width. Material for the base costs $5 per square meter. Material for the sides cost $9 per square meter. Find the cost of materials for the cheapest such container.
We can conclude that the cheapest cost of such container is $481.40.
A cost is expressed in the price of money that is used to produce something or deliver a service, and hence is not available for use anymore.
To find the cost of materials, we should determine the amount of volume with this formula:
V = LWH
L = 2W
where V = volume, L = lenght
so, V = 2WWH
V = 2W²H
The value of the volume is 20 m³, then plug it in the formula below:
V = 2W²H
20 = 2W²H
10 = W²H
H = [tex]\frac{10}{W^{2} }[/tex] .........................................(1)
Thus, we determine the surface area using this formula:
A = Base + 2 x Sides1 + 2 x sides 2
To determine the cost, we have this function
C = 10 x Base + 6 x (2 x Sides1 + 2 x sides 2)
C = 10 x LW + 6 x (2 x WH + 2 x LH) ........................(2)
Because of L = 2W, then substitute it to the equation-2 below
C = 10 x 2WW + 6 x (2 x WH + 2 x 2WH)
C = 10 x 2W² + 6 x (2WH + 4WH)
C = 20W² + 6 x (6WH)
C = 20W² + 36WH ..................(3)
Therefore, we substitute equation-1 to equation 3
C = 20W² + 36WH
C = 20W² + 36W[tex](\frac{10}{W^{2} } )[/tex]
C = 20W² + [tex]\frac{360}{W}[/tex] .........(4)
After that, determine Differentiate equation-4,
C' = 40 W - [tex]\frac{360}{W^{2} }[/tex]
Set it to 0:
40 W - [tex]\frac{360}{W^{2} }[/tex] = 0
40 W = [tex]\frac{360}{W^{2} }[/tex]
divide both rights and left sides with 40
W = [tex]\frac{90}{W^{2} }[/tex]
W³ = 90
W = 4.48
After we find the value of W, then we substitute it for equation-4
C = 20W² + [tex]\frac{360}{W}[/tex]
C = 20 (4.48)² + [tex]\frac{360}{4.48}[/tex]
C = 401.4 + 80.36
C = 481.40
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1. explain the effects of the following actions on equilibrium income (assume that the marginal propensity to consume is 0.8). a. government purchases rise by $10 billion. b. taxes fall by $10 billion.
The effects of the following actions on equilibrium income will be that increase in equilibrium income will be by $50 and $40 billion.
The AD curve changes to the right as a result of an increase in government spending, raising the amount of equilibrium income.
Change in income = change in Govt. Spending/ 1- MPC
= $10 billion/1 - 0.8 = $50 billion
Thus, a $10 billion increase in government spending results in a $50 billion increase in equilibrium income.
A tax cut also causes the AD curve to slant to the right and raise income equilibrium.
Change in income = MPC (change in taxes)/1 - MPC = 0.8($10bn)/1- 0.8 = $40 billion
Thus, equilibrium income increases by $40 billion.
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janan has been running a furniture refinishing business for more than ten years. the business has continued to grow, and she finds that she has less time for the administrative facets of her business. janan decides to hire an office manager who has knowledge of accounting and payroll to assist her. which of the five factors of production is janan most impacting?
Land and natural resources, labor, capital, and entrepreneurship are the four fundamental components. The environment is referred regarded as a fifth factor of production by contemporary economists.
Are there 5 factors of production?The resources that people use to create goods and services are known as factors of production in economics; they serve as the foundation of the economy.The four categories of factors of production that economists distinguish between are land, labor, capital, and entrepreneurialism.Generally speaking, one of the most crucial production elements is land. Land is more important to some sectors than others. For instance, a developer of real estate needs it to recover its investments.Natural resources (land, water, soil, rainfall), labor, and capital make up the bulk of the industrial process. These are several goods that farmers make, each of which relies on inputs to yield results.To Learn more About factor of production Refer to:
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in order to assess a company's financial risk, investors and creditors frequently consider and analyze the company's:
In order to assess a company's financial risk, investors and creditors frequently consider and analyze the company's long term debt.
Long-term debt ratio is one of the financial leverage ratios used to determine how much long-term debt is being utilized to finance a company's assets. The position of the company's financial position is shown by this ratio. Analysts can gauge the corporation's ability to pay off its long-term outstanding loans using this ratio. Since most businesses only release their balance sheet once per fiscal year, the long-term debt ratio is frequently estimated annually.
The ratio indicates how dependent the company is on debt if it tends to increase over the course of the year. On the other hand, a declining ratio indicates that the company's reliance on debt is decreasing over time.
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healthcare organizations often promote from within. although this is a good practice because it recognizes individuals who are good performers, individuals sometimes may be promoted to managerial positions for which they are not prepared. group of answer choices true
Although this is a beneficial practice since it honors employees who are strong performers, individuals may be promoted to managerial roles for which they are not prepared.
Employee motivation is an inner and internal urge to exert the required effort and activity in work-related activities. It has been widely defined as the "psychological influences that govern the direction of a person's conduct in an organization, as well as a person's amount of effort and perseverance." Also, "Motivation can be defined as the readiness to devote energy in order to attain a goal or receive a reward. Workplace motivation is described as "the sum of the mechanisms that drive the arousal, direction, and maintenance of behaviors relevant to work contexts."" Motivated employees are critical to an organization's success since they are more productive in the workplace.
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a 4,000.00 principal earns 5% intrest, compound annually. after 4 years, what is the balance in the account jiska
If a principal of 4,000.00 earns 5% interest, compound yearly, the account balance would be 4862.03. 4 years after.
The interest rate is 5% per year. The relative value of interest will be 1.05 after 4 years.
Multiplying that by the initial funding yields the result 4000 * 1.05 * 4 = 4862.03
The fee paid for the right to borrow money is called interest. In contrast interest to how the interest rate used to calculate interest is typically expressed, which is as an annual percentage rate, interest expense or account balance revenue is frequently expressed as a dollar amount. Interest is the payment a lender or financial organization makes in exchange for interest extending credit. A stockholder's ownership stake in a corporation, which is typically expressed as a percentage, is another account balance definition of interest.
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eff stapleton acquired a $1,995 installment loan to pay for a new laptop computer. he will repay the loan in 12 monthly payments of $174.70. determine the approximate apr.
9.25% is the approximate APR
The annual percentage rate (APR) is the interest generated by a sum charged to borrowers or paid to investors each year. APR is a percentage that represents the actual yearly cost of funds over the life of a loan or the income earned on an investment. This includes any fees or additional costs associated with the transaction but excludes compounding. The APR provides consumers with a single number that they can use to compare lenders, credit cards, and investment products.
An annual percentage rate (APR) is the annual interest rate charged on a loan or earned on an investment.
Before any agreement is signed, financial institutions must disclose the APR of a financial instrument.
To protect consumers from misleading advertising, the APR provides a consistent basis for presenting annual interest rate information.
Because lenders have a fair amount of leeway in calculating it, an APR may not accurately reflect the actual cost of borrowing.
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on january 1, 2021, glanville company sold goods to otter corporation. otter signed an installment note requiring payment of $15,500 annually for six years. the first payment was made on january 1, 2021. the prevailing rate of interest for this type of note at date of issuance was 9%. glanville should record sales revenue in january 2021 of:
Glanville should record sales revenue in January 2021 of $104,846.70
Annual payments are $21,000
And, the PVIFA factor is 3.9927
So, the sales revenue is
= $21,000 + $21,000 × 3.9927
= $21,000 + $83,846.70
= $104,846.70
In general business operations, income discusses any transactions where money or price is exchanged for the ownership of a good or entitlement to a provider. In an accounting context, sales talk to a business enterprise's revenue earned from the sales of services or products (internet sales).
Income is the system of convincing a purchaser to purchase items or offerings. At a business, the sales method commonly includes salespeople contacting leads who shape the customer profile in their goal market (regularly it is the advertising department that first identifies these leads).
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