Answer:
The answer is "Option B"
Explanation:
In this question, Higher incomes and profits are correct because it minimizes the congestion operating frequency by 10%. It takes a long time and decreasing the processing, which would have had an impact on revenue and profit directly. Performance would grow, generating additional sales, that's why choice b is correct.
The following transactions were completed by the company. The company completed consulting work for a client and immediately collected $7,000 cash earned. The company completed commission work for a client and sent a bill for $5,500 to be received within 30 days. The company paid an assistant $2,150 cash as wages for the period. The company collected $2,750 cash as a partial payment for the amount owed by the client in transaction b. The company paid $1,000 cash for this period's cleaning services. Required: Enter the impact of each transaction on individual items of the accounting equation. (Enter decreases to account balances with a minus sign.)
Answer:
The Company
The Impact of Each Transaction on the Accounting Equation:
1. Assets (Cash + $7,000) = Liabilities + Equity (Retained Earnings + $7,000)
2. Assets (Accounts Receivable + $5,500) = Liabilities + Equity (Retained Earnings + $5,500)
3. Assets (Cash -$2,150) = Liabilities + Equity (Retained Earnings -$2,150)
4. Assets (Cash +$2,750 Accounts Receivable -$2,750) = Liabilities + Equity
5. Assets (Cash -$1,000) = Liabilities + Equity (Retained Earnings -$1,000)
Explanation:
The Company applies the accounting equation, which states that Assets = Liabilities + Equity. With each transaction, the accounting equation is demonstrated as shown above. This means that each transaction that is properly recorded affects the accounting equation in two ways. Note that the accounting equation is the basis for the double-entry system of financial accounting.
If your company matches 75 cents on the dollar,and you contribute $200 a paycheck, how much will your employee match?
Due to the efficiency of its supply chain as a result of technology and resourcefulness, Zara can deliver products to its stores quicker than their competitors with:_______.
A. reverse logistics.
B. less electronic data interchanges.
C. longer lead times.
D. shorter lead times.
E. more stockouts.
Answer:
D. shorter lead times.
Explanation:
Most of Zara's suppliers are actually working near Zara's headquarters in northern Spain. This increases production costs, but also increases supply chain efficiency. Daily sales reports are sent by all the stores around the world and headquarters then replenish the products that are selling in higher volumes. Lead times are extremely short, stockouts are very rare, and inventory levels are extremely low. It is basically a fashion industry version of Toyota's JIT.
Scubapro Corporation currently has 500,000 shares of common stock outstanding and plans to issue 200,000 more shares in a seasoned equity offering. The current shareholders have pre-emptive rights on any new issues of common stock by Scubapro Corporation. How many shares would an investor who currently has 20,000 shares, have the right to buy if she exercises her pre-emptive right?A) 200,000 shares.
B) 120,000 shares.
C) 20,000 shares.
D) 12,000 shares.
E) 8,000 shares.
Answer:
Scubapro Corporation
The investor who currently has 20,000 shares has the right to buy this number of shares, if she exercises her preemptive right:
E) 8,000 shares.
Explanation:
Data and Calculations:
Outstanding common stock = 500,000
Planned issue of additional shares = 200,000
Proportion of new issue to outstanding = 0.40 (200,000/500,000)
For an investor with 20,000 shares, she has the right to buy 8,000 (20,000 * 0.40) additional shares.
On January 1, your company issues a 5-year bond with a face value of $10,000 and a stated interest rate of 6%. The market interest rate is 4%. The issue price of the bond was $11,016. Your company used the effective-interest method of amortization. At the end of the first year, your company should:_____.a. debit Interest Expense for $800, credit Premium on Bonds Payable for $145.00, and credit Interest Payable for $655.00.b. debit Interest Expense for $655.00 and credit Interest Payable for $655.00.c. debit Interest Expense for $655.00, debit Premium on Bonds Payable for $145.00, and credit Cash for $800.d. debit Interest Expense for $800, debit Premium on Bonds Payable for $145.00, and credit Interest Payable for $655.00.
Answer:
Debit Interest Expense $440.64, Debit Premium on Bonds Payable $159.36 and Credit Cash $600
Explanation:
Amount paid in cash = $10,000 * 6% = $600
Interest expense = $11,016 * 4% = $440.64
Amortization of premium on bonds payable = Amount paid in cash - Interest expense
Amortization of premium on bonds payable = $600 - $440.64
Amortization of premium on bonds payable = $159.36.
Debit Interest Expense $440.64
Debit Premium on Bonds Payable $159.36
Credit Cash $600
A perfectly competitive firm shuts down in the short run when:________. A. economic losses occur. B. the price is below the average total cost curve. C. the price is below the average variable cost curve. D. the price is below the average fixed cost curve.
Answer:
C. the price is below the average variable cost curve.
Explanation:
In a perfectly competitive market, there are many buyers and sellers (price takers) of homogeneous products (standardized products with substitute) and the market is free (practically open) to all individuals or business entities that are willing to trade all their goods and services.
Hence, a perfectly competitive market is characterized by the following features;
1. Perfect information.
2. No barriers, it is typically free.
3. Equilibrium price and quantity.
4. Many buyers and sellers.
5. Homogeneous products.
Some examples of a perfectly competitive market are the Agricultural sector, e-commerce and the foreign exchange market.
A perfectly competitive firm shuts down in the short run when the price it is selling its goods (products) in the market is below the average variable cost curve.
This ultimately implies that, a business firm should only continue to be in operation when its price is above or greater than its average variable costs based on the shutdown rule.
1. Why does Sutherland argue that businesses need to think about the small stuff rather than the big, splashy things?
2. Why do you think the small stuff makes such a difference for businesses?
3. Think about the business and products that you use or are familiar with. What is one "small stuff" that you could change or improve on one of them to make it more functional or better? Describe the product/service and the change that you would make.
Hello. You did not enter the text to which this question refers. For that reason, the answers may have inaccuracies in accuracy, but I hope it helped you.
1. Because little things are the basis for big things to happen. The little things are the details, which we often overlook, but which are extremely important for the smooth running of a company. Big, flashy things can be positive factors, but these things need to be composed of details that are small things that bring great results and need to be considered carefully.
2. Because they are unnoticed, but active. When we do not pay attention to them, they act without administration and regulation and can assume very disadvantageous positions, so it is necessary to note and regulate them to act according to the necessary control.
3. My mom runs a handbag store and runs events every season to showcase new trends. The event is a great thing, but it is full of small things (the details) that are of great importance for the success of the event. Among these small things, one that I would like to change is the cooling of the environment. As we live in a hot climate, we need to cool our warehouse during the event. We use fans, but I recognize that this detail should change and that change would bring more customers. That's because the fan messes up the customers' hair, making them uncomfortable. This is a small thing, but very important.
The market price of a security is $50. Its expected rate of return is 13%. The risk-free rate is 4% and the market risk premium is 6%. What will be the market price of the security if its beta doubles (and all other variables remain unchanged)? Assume that the stock is expected to pay a constant dividend in perpetuity.
Answer: New Market price =$29.55
Explanation:
Using the CAPM,Capital Asset Pricing Model CAPM formule , The expected return on stock is given as
Er = Rf +β( Mr)
which means
Expected return = Risk free rate + beta (market risk premium)
13%= 4% +beta (6%)
beta= 13%-4%/6%=0.13-0.04 /0.06
beta= 1.5
The dividend expected to be paid is given as
Expected dividend, D = Price of security X Expected return
= 50 X 13%
= $6.5
Now, if beta doubles, Expected return becomes
Er = Rf + 2β( Mr)
Er= 4% + 2 x 1.5( 6%)
=4%+ 3.0( 6%)
0.04 + 0.18
Er = 0.22 = 22%
New Market price
Expected dividend, D = Price of security X Expected return
Price = Expected dividend, D/Expected return
= $6.5/0.22
=$29.55
Syzygy Company is a perfectly competitive firm. The market price of its output is $5. At its current level of output, the firm's average total cost is $5 per unit, its average variable cost is $4 per unit, and its marginal cost is $5 per unit. Based on this information, what can we say?a) Syzygy Company is earning zero economic profit, which is good enough to stay in business.b) Syzygy Company is not maximizing profit; it can increase profit by increasing output.c) Syzygy Company is not maximizing profit; it can increase profit by decreasing output.d) Syzygy Company is suffering a loss, but it should stay in business in the short run.e) Syzygy Company should go out of business in the short run.
Answer:
a) Syzygy Company is earning zero economic profit, which is good enough to stay in business.
Explanation:
market price = marginal revenue = $5 per unit
marginal cost per unit = $5
A perfectly competitive firm will maximize its accounting profits when MR = MC, in this case $5 (MR) = $5 (MC). This also means that the company at this sales and cost level is earning $0 economic profit. In the long run, firms in a a competitive market will always earn $0 economic profit.
Steady Company’s stock has a beta of 0.20. If the risk-free rate is 6% and the market risk premium is 7%, what is an estimate of Steady Company’s cost of equity?
Answer:
the estimation of the cost of equity is 7.4%
Explanation:
The computation of the estimation of the cost of equity is shown below:
Here we used the Capital Asset Pricing model formula i.e.
Cost of equity = Risk free rate + Beta × market risk premium
= 6% + 0.20 × 7%
= 6% + 1.4%
= 7.4%
Hence, the estimation of the cost of equity is 7.4%
We simply applied the above formula so that the correct value could come
And, the same is to be considered
A series of monthly cash flows is deposited into an account that earns 12% nominal interest compounded monthly. Each monthly deposit is equal to $2,100. The first monthly deposit occurred on June 1, 2008 and the last monthly deposit will be on January 1, 2015. The account also has equivalent quarterly withdrawals from it. The first quarterly withdrawal is equal to $5,000 and occurred on October 1, 2008. The last $5,000 withdrawal will occur on January 1, 2015. How much remains in the account after the last withdrawal?
Answer:
The amount left in the account after last withdrawal is $61,945
Explanation:
The first monthly deposit occurred on June 1, 2008 and the last monthly deposit will be on January 1, 2015 = 80 deposit
Monthly deposit = 2,100
Interest rate = 12% / 1% per month
Firstly, we calculate the future worth of the monthly deposit
FW = A(F/A, i, n)
A = 2,100, i = 1%, n= 80
FW = $2100*[(1+0.01)^80 - 1 / 0.01]
FW = $2100*[2.216715 - 1 / 0.01]
FW = $2100*(121.671)
FW = $255,509.10
We calculate the effective interest rate
i(effective) = (1 + i nominal monthly interest rate)^n - 1
i `%, n = 3(no of months in quarter)
i (effective) = (1+0.01)^3 - 1
i (effective) = (1.01)^3 - 1
i (effective) = 1.030301 - 1
i (effective) = 0.030301
i (effective) = 3.0301%
The effective quarterly interest rate is 3.0301%
We calculate the future worth of the quarterly drawings
FW = A[(1+i)^n - 1 / i]
A = 5,000(drawing), i = 3.0301%, n = 26(number of drawings)
FW = 5,000*[(1+0.030301)^26 - 1 / 0.030301]
FW = 5,000*[2.17303717 - 1 / 0.030301]
FW = 5,000*(38.71282)
FW = $193,564.10
The future worth of the quarterly withdrawal is $193,564.10
We calculate the amount left in the account after last withdrawal
Amount left in account = FW(monthly deposits) - FW(quarterly drawings)
Amount left in account = $255,509.10 - $193,564.10
Amount left in account = $61,945
Thus, the amount left in the account after last withdrawal is $61,945
On November 10 of the current year, Flores Mills sold carpet to a customer for $8,000 with credit terms 2/10, n/30. Flores uses the gross method of accountin g for cash discounts What is the correct entry for Flores on November 17, assuming the correct payment was received on that date? A) cash 7,840 Accounts receivable 7,840 B) cash 7,840 Sales discounts 8,00 Accounts receivablhe C) 7,84 cash Sales Accouts receivable D) 8,000 Cash Sales discounts l6 8,00 Accounts receivable 160 Sales
Answer:
Following are the solution to this question:
Explanation:
In all the given choices some of the data is missing so, its correct entry can be defined as follows
Cash account $7,840
Sales discount $160
To Accounts receivable $8,000
MacKenzie Company sold $640 of merchandise to a customer who used a Regional Bank credit card. Regional Bank deducts a 5.5% service charge for sales on its credit cards. MacKenzie electronically remits the credit card sales receipts to the credit card company and receives payment immediately. The journal entry to record this sale transaction would be:________
Answer and Explanation:
The Journal entry is shown below:-
Cash Dr, $604.80 ($640 × 5.5%)
Card Expense $35.20
To Sales $640
(Being sale is recorded)
Here we debited the cash and expenses as assets are increasing also it increased the expenses On the other hand it also increased the sales. Also assets and expenses contains normal debit balance and the sales revenue contains normal credit balance
Which of the following are frequently mentioned goals of the Federal Reserve? Check all that apply.
Answer:
Stability in the financial system
– Price stability—fighting inflation
– Full employment
– Economic growth
– Interest rate stability
– Currency stability
You own a bond that pays $64 in interest annually. The face value is $1,000 and the current market price is $1,062.50. The bond matures in 30 years. What is the yield to maturity? (round your answer to two decimal places)
Answer:
the yield to maturity of this bond is 5.7%
Explanation:
given data
pays interest annually C = $64
face value F = $1,000
current market price P = $1,062.50
bond matures n = 30 years
solution
we get here yield to maturity that is express as
yield to maturity =
yield to maturity = [C+ (F-P) ÷ n] ÷ [(F+P) ÷ 2 ] .................1
put here value and we get
yield to maturity = [tex]\frac{64+(1000-1062.50)}{11}[/tex] ÷ [tex]\frac{(1,000+1,062.50)}{2}[/tex]
yield to maturity = 0.057
so that the yield to maturity of this bond is 5.7%
estimated cost: a. managers use to make decisions about the future b. find a right price c. is not useful for
Answer:
managers use to make decisions about the future
Explanation:
Estimated cost is the cost that is projected to be incurred by a business when undertaking a project, program, or operation.
It comprises of the list of expenses that will be spent on an activity in the future.
Therefore it is used by managers to decide on the best activity to undertake in the future.
Usually the activity that has the lowest cost is balanced against the required quality.
The price of cups increased from $3.75 to $4.05 and the quantity demanded of plates decreased from 4,950 to 4,450. Calculate the cross-price elasticity of demand for plates. Round your answer to the nearest hundredth.
Answer:Cross elasticity of demand = -1.25
Explanation:
Cross elasticity of demand= Per entage change in quantity of commodity A (plates)/ Percentage change in price of commodity B(cups)
Percentage change in quantity demanded for plates = (New quantity - old quantity/ old quantity ) x 100
={ (4450-4950)/4950] ×100
=-500/4950
= - 0.10×100= - 10%
Percentage change in price of cups =(New price - old price/ old price) x 100 [(4.05-3.75)/3.75]×100
=0.3/ 3.75
= 0.08×100= 8%
Cross price elasticity of demand = - 10%/8%
= - 1.25
Here, the cross elasticity of demand for these goods of cups and plates is negative(-1.25) showing that they are complementary goods since as the price for cups increases, the demand for plates decreased.
Emphasizing personal selling rather than mass media advertising is an example of a __________ strategy.
Answer: personal selling rather than mass media advertising in the promotional mix the firm is using a Standardized strategy
Explanation:
Hope this helps <3
Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchase & sales are, FOB Destination, 2/10, n30 and the gross method is used.
Alpha Company sold on account merchandise costing $3,000 to Bravo Company on May 2, 2016. Selling price was $4,500. Freight charges related to this transaction of $200 were paid by Alpha Company.
Bravo Company returned, to Alpha Company, merchandise with an original cost to Alpha of $300 on May 3, 2016. Merchandise was sold to Bravo for $450.
Use this information to prepare Alpha Company's General Journal entries (without explanation) for May 2 & May 3 entries.
Answer:
May 2
Trade Receivable $4.700 (debit)
Sales Revenue $4,700 (credit)
May 3
Sales Revenue $450 (debit)
Trade Receivable $450 (credit)
Explanation:
First, it is important to identify in whose books we are required to make the accounting entries. In this case we are required to record in Alpha (supplier) records.
Note also that Alpha Company, Alpha Company uses the periodic inventory system for purchase & sales of merchandise. This means inventory valuation is done at the end of financial year.
May 2
This is is the date of sale, we recognize the Revenue and the asset - Account Receivable. The amount should include the freight charges since this is a FOB destination shippment.
May 3
The date that the merchandise was returned. We derecognize the sale and the asset - Trade Receivable to the extent of the selling price of the goods returned
Tatum can borrow at 7.15 percent. The company currently has no debt and the cost of equity is 11.55 percent. The current value of the firm is $670,000. The corporate tax rate is 25 percent. What will the value be if the company borrows $385,000 and uses the proceeds to repurchase shares? (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.) Value of the firm __________
Answer:
$766,250
Explanation:
The value of the firm is calculated as follows:
Value of firm = Current value + (Borrowing *Tax rate)
Value of firm = $670,000 + ($385,000*25%)
Value of firm = $670,000 + $96,250
Value of firm = $766,250
The value of the firm will be $766,250 if it borrows $385,000 and uses the proceeds to repurchase shares.
Suppose you buy a 7 percent coupon, 20-year bond today when it’s first issued. If interest rates suddenly rise to 15 percent, what happens to the value of your bond?
a. the price of the bond will fall
b. the price of the bond will raise
Answer: a. the price of the bond will fall.
Explanation:
If one buys a 7% coupon, 20-year bond today when it’s first issued and the interest rates suddenly rise to 15%, the value of the bond will decrease.
This is because there's an inverse relationship between price and interest rates, that is, the increase in one variable will lead to the decrease in the other variable. When there is a rise in the inters rate, it should be noted that the payments on fixed coupon are worth less.
Therefore, the price of the bond will fall.
if the owner of a business invests $20,000 in her business , which 2 accounts are affected?
Answer:
The owner invests personal cash in the business. The company's asset account Cash increases. ... (If the company is a corporation, then the Common Stock account(s) will increase.)
One effective way to manage credit card debt is to:
A. exaggerate your income when applying for a credit card.
B. spend your entire credit limit before making any payments.
C. replace high-interest credit cards with low-interest options.
D. always pay only the minimum payment required each month.
Answer:
C. replace high-interest credit cards with low-interest options.
Explanation:
A credit card provides a secure and convenient way to pay for goods and services even when they do not have money. The credit card gives the user access to instant credit every time they use it. The user does not incur any charges should they pay the amount due before its due date.
Credit card interest rate charges are among the highest in the industry. If the user is late in their payment, the interest fee and other charges accumulate real quick. Shifting to cards with lower interest is one way of managing credit card debts.
The Greenback Store’s cost structure is dominated by variable costs with a contribution margin ratio of 0.25 and fixed costs of $40,000. Every dollar of sales contributes 25 cents toward fixed costs and profit. The cost structure of a competitor, One-Mart, is dominated by fixed costs with a higher contribution margin ratio of 0.75 and fixed costs of $440,000. Every dollar of sales contributes 75 cents toward fixed costs and profit. Both companies have sales of $800,000 for the month. Required: a. Compare the two companies’ cost structures. b. Suppose that both companies experience a 15 percent increase in sales volume. By how much would each company’s profits increase?
Answer:
Greenback Store One-Mart
Amount % Amount %
a. Sales $800,000 100% $800,000 100%
Variable cost $600,000 75% $200,000 25%
Contribution margin $200,000 25% $600,000 75%
Fixed cost $40,000 5% $440,000 55%
Operating profit $160,000 20% $160,000 20%
Break even point $160,000 $586,666.67
Workings
Greenback Store Break even point = Fixed cost / Contribution margin ratio = 40,000 / 0.25 = 160,000
One-Mart Break even point = Fixed cost / Contribution margin ratio = 440,000 / 0.75 = 586,666.67
b. Greenback Store
Increase in sales = $800,000*15% = $120,000
Company profit Increase by + (Increase in sales * Contribution margin ratio = 120,000 * 25% = $30,000
Thus, with the increase in 15% of sales of Greenback Store, the profit of the company increase by $30,000
One-Mart
Increase in sales = $800,000*15% = $120,000
Company profit Increase by + (Increase in sales * Contribution margin ratio = 120,000 * 75% = $90,000
Thus, with the increase in 15% of sales of One-Mart , the profit of the company increase by $90,000.
It is estimated that the annual maintenance cost of a statue erected in front of a public building in a state capital would be $1,000. Assuming an interest rate of 4% compounded annually, determine the capitalized cost for maintaining the statue.
Answer:
$24,630.54
Explanation:
Calculation to determine the capitalized cost for maintaining the statue
First step is to calculate the Effective interest rate
Effective interest rate = (1+.04/4) ^4 -1
Effective interest rate= 0.04060
Last step is to calculat the capitalized cost for maintaining the statue using this formula
Capitalized cost =Annual maintenance cost /Effective interest rate
Let plug in the formula
Capitalized cost = ($1,000/0.04060)
Capitalized cost = $24,630.54
Therefore the capitalized cost for maintaining the statue will be $24,630.54
Levine Inc. is considering an investment that has an expected return of 15% and a standard deviation of 10%. What is the investment's coefficient of variation?
a. 0.67
b. 0.73
c. 0.81
d. 0.89
e. 0.98
Answer:
A)0.67
Explanation:
Coefficient of variation can be regarded as the method that is usually devices in the assessment of the total risk per unit of return in a particular investment.
To calculate the investment's coefficient of variation, we use the expresion below
Coefficient of variation = standard deviation/expected return.
Given:
expected return = 15%
standard deviation = 10%.
Coefficient of variation =10/15
= 0.67
Hence, the investment's coefficient of variation is 0.67
Even as it begins to produce the Mirai for the U.S. market, Toyota continues to manufacture its traditionally fueled cars, trucks, and SUVs. Doing this helps Toyota manage the ______ of industrial demand.
a. volatility
b. division
c. durability
d. development
Answer:
a. volatility
Explanation:
From the question, we are informed that "Even as it begins to produce the Mirai for the U.S. market, Toyota continues to manufacture its traditionally fueled cars, trucks, and SUVs. In case of Doing this it helps Toyota manage the volatility of industrial demand.
volatility of industrial demand do occur where there is uncertainty as far as demand is concerned in the consumer products , as a result of this most firms to catch up with compitition, growing their sales an lot more , so in this case Toyota still continues to manufacture its traditionally fueled cars, trucks, and SUVs even though there is Mirai for the U.S. market.
When an increasing trend exists in the data and a single exponential smoothing forecast method is used, the forecast will:_______.
a) predict demand perfectly
b) generally underestimate demand
c) capture the trend
d) increase the trend
e) none of the above
Answer:
c) capture the trend
Explanation:
The exponential smoothing is a forecasting method that is used for a time series and the data i.e. univariate. It could be extended for data support that have the chronological trend
Here in the given situation, if the trend i.e. increased in the data and the above method is used so in the case when the value of the alpha is more it would capture the trend but in the case when the value of the alpha is less so it also capture the demand but the demand is underestimated
Hence, the option c is correct
The exponential smoothing method is a time series forecasting method of the univariate data that is extended to support systematic trends and seasonal components.
his method is used when some trends may be present, weight-based on experimental and intuition and orderly data is less important. The single parameter controls the rate at which the pbservatiosna are influenced. While the double method is an extension of smoothing that adds support for trends in time series.Hence the option D is correct.
Learn more about the increasing trend that exists in the data and a single exponential smoothing.
brainly.com/question/20376850
The most recent price activity in this chart is a quadruple top breakout. The box size is $0.50 and the reversal size is three boxes. What is the price objective for the breakout using the horizontal count method?a. $19.00b. $21.50c. $12.50d. $22.00
Answer:
a. $19.00
Explanation:
Note: The graph is as attached below
The low of the column where a quadruple top breakout occurs is $8.5 and width is 7 and box size is 0.5
The width of the pattern is 7 which is multiplied by 0.5 which is the box size and the reversal size of 3 for an Extension estimate (7 x 0.5 x 3 = $10.5).
Now, $10.5 is added to the low of the column and hence price objective is $10.5 + $8.5 = $19
Preparing an income and expense statement helps in answering the question, "Where does all my money go?" This statement takes __________and ___________subtracts to determine an individual's or a family's cash surplus or deficit situation.
Correct question read;
"This statement takes __________and subtracts_________ to determine an individual's or a family's cash surplus or deficit situation.
Answer:
note of income; the expenses
Explanation:
Remember, the income and expense statement as the name implies is a financial statement that takes note of all incomes into a financial account and then subtracting identified expenses from the income to determine if there was a loss or profit.
By following this method, one ultimately would be able to answer the question, "Where does all my money go?".