Answer:
1. An Australian company buys steel from a US Firm
Account: Current Account
Direction of Flow: Payment to foreigners
2. The federal reserve buys $252 billion worth euros
Account: Financial Account
Direction of Flow: Payment to foreigner
3. Profit earned by a US based mining company operating in Mexico
Account: Current account
Direction of Flow: Payment from foreigners
4. An English company buy a US confectionary manufacturer
Account: Financial Account
Direction of Flow: Payment from Foreigners
Fill in the blanks to complete the sentence. A company has the following budget information: Sales: $118,800; COGS: $48,500; Depreciation expense: $1,500; Interest expense: $250; Other expenses: $41,880. If the company budgets 40% for income tax expense, the budgeted net income will be $
Answer:
16,002
Explanation:
A company has the following budget information
Sales = $118,000
COGS= $48,500
Depreciation expense= $1,500
Interest expense= $250
Other expense= $41,880
The company budgets 40% for income tax expense
= 40/100
= 0.4
The first step is to calculate the total expense incurred in the company
Total expense= COGS+depreciation expense+Interest expense+Other expenses
= $48,500+$1,500+$250+$41,880
= $92,130
The next step is to calculate the pre-tax income
Pre-tax income= Sales-total expenses
= $118,800-$92,130
= $26,670
The next step is to calculate the income tax expense
Income tax expense= $26,670×0.4
= $10,668
Therefore, the budgeted net income can be calculated as follows
Budgeted net income= Pre-tax income-income tax expense
= 26,670-10,668
= 16,002
Hence the budgeted net income is 16,002
IMC is the process of coordinating all activities performed by entities of the distribution channel to make sure that the right product is in the right place and at the right time for consumers. a.True b. False
Answer:
IMC
a.True
Explanation:
The coordination of all distributive activities is a just part of the integrated marketing communication that is IMC, as it tries to offer seamless consumer experience. For instance, if Company XYZ fails to provide the right product in the right place and at the right time for consumers, then the essence of its IMC is lost.
IMC means Integrated Marketing Communication. It is a marketing communication approach that integrates many components for marketing communication effectiveness. The foundation component ensures that IMC approach provides the right products in the right place and at the right time for consumers. IMC also integrates the corporate culture, with a focus on branding and customer satisfaction.
Since IMC aims to increase sales and profits, sharpen the brand's competitive advantage, and achieve brand loyalty, it means that the goals cannot be achieved when Company XYZ's distribution channel offers empty promises by not putting the right XYZ product in the right place and at the right time for consumers.
Sales revenue for a sporting goods store amounted to $528,000 for the current period. All sales are on account and are subject to a sales tax of 11?%.
Which of the following would be included in the journal entry to record the sales? transaction?
A. A debit to Accounts Receivable for $ 586,080.
B. A credit to Accounts Receivable for $528,000.
C. A debit to Sales Tax Payable for $58,080.
D. A debit to Sales Revenue for $ 528,000.
Answer:
The answer is A. A debit to Accounts Receivable for $ 586,080
Explanation:
Sales tax is an additional amount of money one pays based on a percentage of the selling price of goods and services that are purchased.
The sales tax amount will be added to sales revenue to form the total bill.
Sales revenue ----------------- $528,00
Sales tax -------------------------- 11%
Sales tax amount
$528,00 x 0.11
= $58,080
Therefore, total bill is:
$528,00 + $58,080
=$586,080.
Debit increases an asset(accounts receivable) while credit decreases an asset(accounts receivable).
Since the accounts receivable will increase, it will be on debit side.
Compute the present value of a $2,000 deposit in year 1, and another $1,500 deposit at the end of year 3 if interest rates are 10 percent.
Answer:
the present value formula that I will use is the following:
present value = future value / (1 + interest rate)ⁿ
in the first case, the present value of $2,000 in 1 year is:
PV = $2,000 / (1 + 10%) = $2,000 / 1.1 = $1,818.18
in the second case, the present value of $1,500 in 3 years is:
PV = $1,500 / (1 + 10%)³ = $1,500 / 1.331 = $1,126.97
Tucker Company makes chairs. Tucker has the following production budget for January - March.
January February March
Units Produced 9666 11971 9743
Each chair produced uses 4 board feet of wood. Management wants ending inventory levels of raw materials to equal 20% gf the production needs (in wood) for the next month.
How many board feet of wood does Tucker need to purchase in February? Round your answer to the nearest whole number.
Answer: 46,101 board feet of wood
Explanation:
Purchases can be calculated using the formula;
Purchases = Total Production Needs + Ending Inventory - Beginning Inventory
Total Production Needs
= Units produced * boards required per unit
= 11,971 * 4
= 47,884 units needed.
Ending Inventory.
This should be 20% of production needs for the next month
= 20% * (9,743 * 4)
= 7,794 units
Beginning Inventory
This will be the ending inventory of January. The ending inventory of January is 20% of February needs.
= 20% * 47,884
= 9,577 units.
Purchases for February = 47,884 + 7,794 - 9,577
= 46,101 board feet of wood
What must be the price of a $ 2 comma 000 bond with a 5.8% coupon rate, annual coupons, and 30 years to maturity if YTM is 10.1 % APR?
Answer:
Price of bond= $1,196
Explanation:
The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV).
Value of Bond = PV of interest + PV of RV
The value of bond would be worked out as follows:
Step 1
Calculate the PV of interest payments
Annual interest payment
= 5.8% × 2,000× = 116
PV of interest payment
A ×(1- (1+r)^(-n))/r
A- 116
r- annual yield 5.8%
n = 30
= 116 × (1-(1.101)^(-30)/0.101
= 1084.465
Step 2
PV of redemption Value
PV = $2000 × (1.101)^(-30)
= 111.53
Step 3
Price of bond
= 111.53 + 1084.465159 = 1195.99
Price of bond= $1,196
Farrow Co. expects to sell 400,000 units of its product in the next period with the following results.
Sales (400,000 units) $ 6,000,000
Costs and expenses
Direct materials 800,000
Direct labor 1,600,000
Overhead 400,000
Selling expenses 600,000
Administrative expenses 1,028,000
Total costs and expenses 4,428,000
Net income $ 1,572,000
The company has an opportunity to sell 40,000 additional units at $12 per unit. The additional sales would not affect its current expected sales. Direct materials and labor costs per unit would be the same for the additional units as they are for the regular units. However, the additional volume would create the following incremental costs: (1) total overhead would increase by 16% and (2) administrative expenses would increase by $172,000.
Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $12 per unit.
Normal Volume Additional Volume Combined Total
Costs and expenses:
Total costs and expenses
Incremental income (loss)
from new business
Answer:
the combined total net income = $ 1,576,000
Incremental Income = $4,000
Explanation:
Calculation of the combined total net income if the company accepts the offer to sell additional units at the reduced price of $12 per unit.
Sales (400,000 units) $ 6,000,000
Additional Sales (40,000 units × $12) $480,000
Combined Sales $6,480,000
Costs and expenses :
Direct materials (800,000 + (800,000 / 400,000 × 40,000)) ( $880,000)
Direct labor (1,600,000 + (1,600,000 / 400,000 × 40,000)) ( $1,760,000)
Overhead 400,000 × 1.16 ($464,000)
Selling expenses ($600,000 )
Administrative expenses ($1,028,000 + $172,000) ($1,200,000)
Net income $ 1,576,000
Incremental Income / (loss)
Net Income After Accepting Offer $ 1,576,000
Less Income Before Accepting Offer $ 1,572,000
Incremental Income / (loss) $4,000
Per Chevron’s 3Q 2013 filing, what was the percentage change in the cost of purchased oil products when comparing nine months ended September 30, 2013 versus the same period in 2012?
Answer:
Per Chevron 3Q 2013 Filling:
The percentage change in the cost of purchased oil products nine months to September 30, 2013 when compared to nine months in 2012 was:
2.47%
Explanation:
a) Data and Calculations:
Cost of purchased oil products:
2013 $34,822,000,000
2012 $33,982,000,000
Change $840,000,000
Percentage Change = $840/$33,982 x 100
= 2.47%
b) The implication is that Chevron's cost of purchased oil products in third quarter of 2013 increased by 2.47% when compared with the same period in 2012. This percentage change is calculated by subtracting the Q3 2012 cost of purchased oil products from the Q3 2013 cost of purchased oil products and then dividing the difference by the Q3 2012, and multiplying by 100. The change could be caused by increases in the price of oil products or other variables.
Western Electric has 26,000 shares of common stock outstanding at a price per share of $67 and a rate of return of 13.60 percent. The firm has 6,700 shares of 6.60 percent preferred stock outstanding at a price of $89.00 per share. The preferred stock has a par value of $100. The outstanding debt has a total face value of $368,000 and currently sells for 105 percent of face. The yield to maturity on the debt is 7.72 percent. What is the firm's weighted average cost of capital if the tax rate is 35 percent?
Answer:
Weighted average cost of capital= 11.03%
Explanation:
The weighted average cost of capital (WACC) is the average cost of all the various sources of long-term finance used by a business weighted according to the proportion which each source of finance bears to the the entire pool of fund.
To calculate the weighted average cost of capital, follow the steps below:
Step 1: Calculate cost of individual source of finance:
Cost of Equity= 13.6%
After-tax cost of debt:
= (1- T) × before-tax cost of debt
= 7.72%× (1-0.35)= 5.018 %
Cost of preferred stock costs
= Div/Price × 100 = (6.60%× 100)/89× 100 =7.42%
Step 2 : Market value of all the sources of funds
Equity = $67×26,000 =1,742,000
Preferred stock = 89.00 × 6,700 = $596,300
Debt- 105/100 × 368,000 = $386,400
Step 3; Work out weighted average cost of capital (WACC)
Source Cost Market value Cost × Market value a b c b× c
Equity 13.6% $1,742,000 236,912
Preferred stock 7.42% $596,300 = 44,245.46
Debt 5.018 % 386400 = 19,389.55
Total 2,724,700 300,547.01
WACC = (300,547.01/ 2,724,700) × 100 = 11.03%
Weighted average cost of capital= 11.03%
You are thinking of building a new machine that will save you $ 4 comma 000$4,000 in the first year. The machine will then begin to wear out so that the savings decline at a rate of 1 %1% per year forever. What is the present value of the savings if the interest rate is 9 %9% per year?
Answer:
The present value of the savings=$37,064.22
Explanation:
The present value of the savings is the amount that it worths today, this would be done in two stages;
The first stage is to determined the present of the first cash savings as follows:
PV of the first payment = 4,000 × (1.09)^(-1)=3,669.72
Second step is to determine the present value of the declining perpetuity
PV of declining perpetuity. A perpetuity is the series of cash flow occurring for the foreseeable future of years.
A- 4,000, g-negative growth rate = 1%,
interest rate = 9%
PV in year 1 = 4,000× (1-0.09)/(0.09+0.01)
= 36,400
PV in year 0 = 36,400 × (1.09)^(-1) = 33,394.49
The present value of the savings = 33,394.49 + 3,669.72= 37,064.22
The present value of the savings=$37,064.22
With an increase in product advertising of $50 million you expect to increase sales by 10,000 units. If unit grow margin is $4,800, will the additional advertising increase product contribution?
Answer:
Income will decrease by $2,000,000.
Explanation:
Giving the following information:
Advertising increase= $50,000,000
Units increase= 10,000 units
Unit contribution margin= $4,800
To calculate the total effect on income, we need to use the following formula:
Effect on income= total contribution margin - increase in fixed costs
Effect on income= 10,000*4,800 - 50,000,000
Effect on income= $2,000,000 decrease
Income will decrease by $2,000,000.
Use the aggregate expenditures model and assume an economy is in equilibrium at $5 trillion which is $250 billion below full-employment GDP. If the marginal propensity to consume (MPC) is 0.60, full-employment GDP can be reached if government spending:
Answer:
Government must reduce spending by 100 billion to reach full employment
Explanation:
First, let plug in the MPC to find the spending multiplier
Spending Multiplier = 1 / 1 - MPC
Spending Multiplier = 1 / 1-0.6
Spending Multiplier = 1 / 0.4
Spending Multiplier = 2.5
We also know that we are looking to change the equilibrium output (Y) by -250 billion
ΔG * Multiplier = ΔY / Multiplier
= -250 billion / 2.5
= -100 billion
Therefore, government must reduce spending by 100 billion to reach full employment
The following transactions are for Crane Company. 1. On December 3, Crane Company sold $513, 500 of merchandise to Sheridan Co., terms 3/10, n/30. The cost of the merchandise sold was $318, 300. 2. On December 8, Sheridan Co. was granted an allowance of $24, 700 for merchandise purchased on December 3. 3. On December 13, Crane Company received the balance due from Sheridan Co.
(a) Prepare the journal entries to record these transactions on the books of Crane Company. Crane Company uses a perpetual inventory system. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
(b) Assume that Crane Company received the balance due from Sheridan Co. on January 2 of the following year instead of December 13, Prepare the journal entry to record the receipt of payment on January 2. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Answer:
a) December 3, 202x, merchandise sold to Sheridan Co., terms 3/10, n/30
Dr Accounts receivable 513,500
Cr Sales revenue 513,500
Dr Cost of goods sold 318,300
Cr Merchandise inventory 318,300
December 8, merchandise allowance
Dr Sales returns and allowances 24,700
Cr Accounts receivable 24,700
December 13, invoice collected from Sheridan Co.
Dr Cash 474,136
Dr Sales discounts 14,664
Cr Accounts receivable 488,800
b) January 2, invoice collected from Sheridan Co.
Dr Cash 488,800
Cr Accounts receivable 488,800
Movements in individual stock prices tend to be Group of answer choices positively correlated positively correlated with inflation negatively correlated positively correlated with changes in interest rates
Answer:
Option A (positively correlated) is the correct choice.
Explanation:
A stock for whom the valuation hasn't adjusted from over timeframe would have a slight Weighted Analysis and perhaps a product where price has plummeted and over timeframe would have a measured Analysis loss.The share price would typically vary considerably as shareholders purchase securities during the business day. Because more customers look to purchase something and decrease as companies began consuming more than just the stock, the stock value will change.The other three choices are not related to the given situation. So that Option A would be the correct one.
If actual overhead incurred during a period exceeds applied overhead, the difference will be a credit balance in the Factory Overhead account at the end of the period.
True or False
Answer:
faslee
Explanation:
plz mark Me As Brainleast ...
To create the proper style for an argumentative essay, a writer should
add personal statements.
O include vague language.
O incorporate slang words.
O provide clear statements.
Answer:
Provide clear statements
The government can pay for projects to create work
Explanation:
To create the proper style for an argumentative essay, a writer should
provide clear statements.
What is argumentative essay?An argumentative essay can be defined as a writing essay in which the writer is meant include evidence as well as detailed fact that will help to backup the argument.
When writing an argumentative essay it is important that the writer provide clear statement to as well focus on the evidence.
Therefore to create the proper style for an argumentative essay, a writer should provide clear statements.
Learn more about argumentative essay here: https://brainly.com/question/22740197
#SPJ2
Create a business decision based on the company where you work, a small business you hope to own someday or just make something up - then identify, define and explain an incremental cost, opportunity cost and sunk cost. You will need to be somewhat creative in your response.
Answer and Explanation:
Incremental can be defined as the turn in the total amount as a specific decision. While Incremental revenue states that the change in total income which results from a specific criterion.
According to the incremental principle, A decision can be specified profitable when it is a growth in income instead of amount while sunk cost (which is already incurred and it can not be regained.
let us take an example I 'm starting a Pizza house. I select a spot close schools and colleges because my key focus group is students. I will nominate an experienced cook and will incur more costs (incremental costs) if the demand for the goods is high. I should obtain at least reasonable prices of raw materials from a wholesaler. The cost of setting up a Pizza house etc. would be minimized. I will launch this combo package to attract students and follow the aim of optimizing revenue rather than maximizing profit
Question 2 (1 point)
An effective trade policy is important to Canada because....
O 1) we are close to the largest market in the world, the US.
(2) we have a small population and can't produce everything we need on our
own.
O 3) all of the other answers is correct.
4) we have a well educated population with the skills to compete
internationally.
5) we have a significant capital stock and high end technology to work with.
Previous Page
Next Page
Page 2 of 14
ENG
Answer:
sdssds
Explanation:
ssss
George Company has a relevant range of 150,000 units to 400,000 units. The company has total fixed costs of $527,000. Total fixed and variable costs are $622,500 at a production level of 176,000 units. The variable cost per unit at 350,000 units is
Answer: $0.54
Explanation:
Total cost = Fixed cost + Variable cost
$622,500 = $527,000 + Variable cost
Variable cost = $622,500 - $527,000
Variable cost = $95,500
Variable cost per unit will be calculated as the variable cost divided by the production unit. This will be:
= $95,500/176,000
= $0.54
The variable cost per units is $0.54.
Massena Corporation reported the following data for the month of February:
Inventories: Beginning Ending
Raw materials (Direct and Indirect) $40000 $24000
Work in process $23000 $17000
Finished goods $50000 $72000
Additional information:
Raw materials purchases $63000
Direct labor cost $73700
Manufacturing overhead $55000
cost actually incurred
Raw materials included in
manufacturing overhead costs
incurred as indirect materials $5000
Manufacturing overhead cost
applied to Work in Process $48000
The adjusted cost of goods sold that appears on the income statement for February is:____
$=
Answer:
$186,700
Explanation:
The computation of adjusted cost of goods sold is shown below:-
Before that we need to do the following calculations
Raw material consumed = Beginning raw material + Raw material purchases - Ending raw materials - Raw materials included in manufacturing overhead costs as indirect materials
= $40,000 + $63,000 - $24,000 - $5,000
= $74,000
Total manufacturing cost = Beginning work in progress + Raw material consumed + Direct labor cost + Manufacturing overhead cost - Ending work in progress
= $23,000 + $74,000 + $73,700 + $48,000 - $17,000
= $201,700
Unadjusted Cost of goods sold = Raw materials + Total manufacturing cost - Ending finished goods
= $50,000 + $201,700 - $72,000
= $179,700
Adjusted COGS = Unadjusted Cost of goods sold + Underapplied overhead
= $179,700 + ($55,000 - $48,000)
= $179,700 + $7,000
= $186,700
Using the following end-of-year information, calculate the number of days' sales in receivables for Year 2. Year 2: Sales are $82,500; average accounts receivable is $11,000. Year 1: Sales are $78,000; average accounts receivable is $10,000. a.48.7 b.46.8 c.7.8 d.7.5
Answer:
Days in Receivables:
Year 2:
= Average Receivables/Sales x 365 days
= $11,000/$82,500 x 365 days
= 48.67
= 49 days
Year 1:
= Average Receivables/Sales x 365 days
= $10,000/$78,000 x 365 days
= 46.79
= 47 days
Explanation:
a) Data:
Sales & Receivables
Year 2: Sales are $82,500; average accounts receivable is $11,000.
Year 1: Sales are $78,000; average accounts receivable is $10,000
b) he days' sales in receivables for company A measures the efficiency of credit collection by showing the number of days it takes company A to receive cash from its credit customers. It is an efficiency ratio that measures management's ability to manage credit policies.
Which of the following is a reason cash flows may differ from accounting income? The total number of units sold will be different for accounting income and cash flows. Depreciation is a tax-deductible expense but is not a cash outlay. Which of the following best describes incremental cash flows? They are the difference between the cash flows the firm will have if it accepts the project versus the cash flows it will have if it rejects the project. Incremental cash flows are not relevant because they will occur whether or not the project is accepted.
Answer:
1. Depreciation is a tax-deductible expense but is not a cash outlay.
2. They are the difference between the cash flows the firm will have if it accepts the project versus the cash flows it will have if it rejects the project.
Explanation:
1. Depreciation as a non-cash outlay is removed from the Net Income when it is calculated for tax purposes. However, when calculating the Net Cash-flow, it is added back because the Cash-flow statement deals with how much actual money the business has and because depreciation does not actually take any money, it would need to be added back in the cash-flows as opposed to Accounting income where it is removed.
2. Incremental Cash-flows get their name from the fact that they will add income to a firm. This cash-flow comes if the company accepts a project as opposed to rejecting it and the cash they get from this increases their cash-flow making it incremental.
Alpha can produce either 18 oranges or 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour. If the terms of trade are established as 1 apple for 4 oranges, then: Group of answer choices
Answer:
But if they both work together in a way that Alpha produces only apples Beta produces only oranges then they would benefit from trade.
Explanation:
Then alpha should produce only 9 apples an hour, while Beta can produce either 16 oranges or 4 apples an hour.
If Alpha produces oranges there will be a loss because he produces less oranges. But Beta 's choice will not affect the trade.
There are no incentives for Beta to specialize and trade with Alpha.
But if they both work together in a way that Alpha produces only apples Beta produces only oranges then they would benefit from trade.
Mayall Corporation is developing standards for its products. Each unit of output of the product requires 0.92 kilogram of a particular input. The allowance for waste and spoilage is 0.02 kilogram of this input for each unit of output.The standard quantity in kilograms of this input per unit of output should be:_________
a. 0.90
b. 0.92
c. 0.79
d. 1.05
Answer:
The answer is 0.94kg , hence not among the given options
Explanation:
To arrive at the standard quantity in kilograms of the input per unit of output, we will sum up each unit of output plus allowance for waste and spoilage
= 0.92kg + 0.02kg
= 0.94kg
Jewel Service anticipates the following sales revenue over a five-month period: The company's sales are 40% cash and 60% credit. Its collection history indicates that credit sales are collected as follows: How much cash will be collected in January? In February? In March? For the quarter in total? Complete the cash budget to determine how much cash will be collected in January, February, March and for the quarter in total. (Round your answers to the nearest whole dollar.)
Answer:
I looked up the missing information, hopefully it's the same as your question. If not you can adjust the answer.
Its collection history indicates that credit sales are collected as follows:
25% in the month of the sale 50% in the month after the sale 15% two months after the sale 10% are never collectedsales revenue:
November $16,100 December $10,400 January $15,600 February $12,400 March $14,400Jewel Services
Cash Collections budget
For the months of January, February, and March
cash collected from sales January February March Quarter
from November sales $2,415 $2,415
from December sales $5,200 $1,560 $6,760
from January sales $3,900 $7,800 $2,340 $14,040
from February sales $3,100 $6,200 $9,300
from March sales $3,600 $3,600
Total $11,515 $12,460 $12,140 $36,115
The manager for a growing firm is considering the launch of a new product. If the product goes directly to market, there is a 40 percent chance of success. For $165,000, the manager can conduct a focus group that will increase the product’s chance of success to 55 percent. Alternatively, the manager has the option to pay a consulting firm $380,000 to research the market and refine the product. The consulting firm successfully launches new products 70 percent of the time. If the firm successfully launches the product, the payoff will be $1.80 million. If the product is a failure, the NPV is zero.
Calculate the NPV for each option available for the project. (Do not round intermediate calculations. Enter your answers in dollars, not millions of dollars, i.e. 1,234,567)
NPV
Go to market now $
Focus group $
Consulting firm $
Which action should the firm undertake?
A. Go to market now
B. Consulting firm
C. Focus group
Answer:
NPVs:
Go to market now = $720,000Focus group = $825,000Consulting firm = $880,000Which action should the firm undertake?
B. Consulting firmSince the NPV of hiring a consulting firm is higher, then that option should be taken.
Explanation:
the expected values:
Go to market now = 40% x $1.8 million = $720,000
Consulting firm = 55% x $1.8 million = $990,000
Focus group = 70% x $1.8 million = $1,260,000
the expected NPVs:
Go to market now = $720,000
Consulting firm = $990,000 - $165,000 = $825,000
Focus group = $1,260,000 - $380,000 = $880,000
You usually go to the theater to see a lot of movies. Now you are considering buying a DVD player and renting movies instead. You currently pay $9 per movie when you go to the theater but if you buy the DVD player you will have to pay only $5 per movie rental. You estimate that the DVD player will cost $400 (at t = 0) and will last 3 years. Except for cost, you are indifferent to seeing movies at home or in the theater. Assume that the cost of theater tickets and rental payments occur at the end of each month and that you use the DVD player only to watch movies. Assume that you watch the same number of movies every month. Your discount rate is 1% per month. Assume that there is no inflation. How many movies per month must you watch for the DVD player purchase to be a smart purchase?
Answer:
You must watch minimum of 200 movies per month for the DVD player purchase to be a smart purchase.
Explanation:
Let assume that you watch 100 movies in a month:
For going to theater:
$9 × 100 = $900
For renting movies and using the DVD Player:
Renting = $5 × 100 = $500
DVD Player cost: $400
Total spent in a month = $500 + $400 = $900
Therefore, in a month, the amount spent going to theater = the amount spent using DVD Player and renting the Film.
Let assume you watch 200 movies in a month:
For going to theater:
$9 × 200 = $1800
For renting movies and using the DVD Player:
Renting = $5 × 200 = $1000
DVD Player cost: $400
Total spent in a month = $1000 + $400 = $1400
Therefore, amount spent using DVD Player and renting movies is cheaper than going to theater to watch movies in a month.
It is safe to conclude that for the DVD Player to be a smart purchase by you, you must watch minimum of 200 movies in a month.
Explain how self and social awareness can help you know your personal strengths and limitations and help you be more successful at work
According to the adaptive expectations theory, you are likely to underestimate inflation when the price level is increasing at a_____________ rate and to overestimate inflation when price level is increasing at a___________rate.
a. Increasing
b. Decreasing
c. Constant
Answer: increasing
Explanation:
Adaptive expectations hypothesis is a theory which states that economic agents such as the individuals, firms and the government will look at past events and experiences to make adjustments on future expectations.
According to the theory, one is likely to underestimate inflation when the price level is increasing at an increasing rate and to overestimate inflation when price level is increasing at an increasing rate.
"Which of the following statements are TRUE regarding the rights agent? I The rights agent usually handles the mechanics of a rights offering II The rights agent is usually the existing transfer agent of the issuer III The rights agent issues the additional shares upon presentation of the rights certificates with payment"
Answer:
I, II, and III
I The rights agent usually handles the mechanics of a rights offering
II The rights agent is usually the existing transfer agent of the issuer
III The rights agent issues the additional shares upon presentation of the rights certificates with payment
Explanation:
Aright is defined as an offering to existing shareholders to purchase more shares. Usually there is a proportion of original shares the shareholder can now purchase. For example 1 to 5 shares means the shareholder can buy one share for every 5 old shares owned.
A rights agent is a person or entity that is responsible for maintaining records on behalf of rights holders.
When rights are issued, a rights agent is handles sales to shareholders, he is usually the initial transfer agent for the issuing company, and he issues the additional shares when payment and rights certificates are presented.