Answer:
Option C
Number of shares outstanding after split = 150,000 units
Explanation:
A stock split occurs where a company creates additional shares in units such the total nominal value of the outstanding shares remains the same. With a stock split, the total outstanding shares increases without a change in the total nominal value while the nominal value per share reduces.
Total shares before the split = 50,000
Total outstanding shares after split
= 50,000 × 3 = 150,000
Number of shares outstanding after split = 150,000 units
Beatrice invests $1,320 in an account that pays 4 percent simple interest. How much more could she have earned over a 5-year period if the interest had been compounded annually
Answer:
How much more earned is $21.98
Explanation:
Calculation of the amount earned when investment in paying on simple interest
Interest = Amount * Interest rate * No of years
Interest = 1320 * 4% * 5
Interest = $264
Total amount = Interest + Amount invested
Total amount = $1320 + 264
Total amount = $1,584
Therefore, the total amount earned when earning on simple interest of 4% is $1,584
Calculation of the amount earned when investment interest in paying compounded annually
Pv= 1320
n= 5
i= 4%
Fv= ?
Fv= P(1+i)^-n
Fv= 1320(1+0.04)^5
Fv= 1320(1.04)^5
Fv= 1320(1.216652)
Fv= $1605.98
Therefore, the total amount earned when earning on interest compounded annually is $1,605.98
Calculation of how much more earned
Amount earned = Amount earned as per compounded interest - Amount earned as per simple interest
Amount earned = $1,605.98 - $1,584
Amount earned = $21.98
Therefore, how much more earned is $21.98
Cooperton Mining just announced it will cut its dividend from $4.01 to $2.57 per share and use the extra funds to expand. Prior to the announcement, Cooperton's dividends were expected to grow at a 3.4% rate, and its share price was $50.07. With the planned expansion, Cooperton's dividends are expected to grow at a 4.7% rate. What share price would you expect after the announcement? (Assume that the new expansion does not change Cooperton's risk.) Is the expansion a good investment?
Answer:
$34.35
The price has fallen from $50.07 to $34.35 which means that Expansion will not be a good option.
Explanation:
Computation for the share price to expect after the announcement
Using this formula
Ke = [ D1 / P0 ] +g
Where,
D1 =$4.01
P0 = $50.07
g =3.4%
Let plug in the formula
Ke = [ D1 / P0 ] +g
Ke= [ $4.01 / $50.07] + 0.034
Ke= 0.0800+ 0.034
Ke= 0.1140
Second step is to find the Price after Expansion using this formula
P0 = D1 / [ Ke - g ]
Where,
D1=$2.57
Ke=0.1140
g=4.7%
Let plug in the formula
P0= $ 2.57 / [ 0.1140 - 0.047 ]
P0=$2.57/0.067
P0=$ 34.35
Based on this calculation, we can see that the price has fallen from $50.07 to $34.35 which means that Expansion will not be a good option.
Therefore the share price that you would expect after the announcement will be $34.35
All of the following are normally found in a corporation's stockholders' equity section, exceptAll of the following are normally found in a corporation's stockholders' equity section, except a. Paid-in-capital in excess of par b. Unearned Rent c. Retained Earnings d. Common Stock
Answer:
b. Unearned Rent
Explanation:
Shareholders Equity is the residual amount of Assets after deducting the Liabilities.
The Unearned Rent is a Liability and is not found in the Shareholders Equity Section.
Liabilities are Present obligations of an entity that arise as a result of past events, the settlement of which will result in out flow of economic benefits from the entity.
The holder of a promotional permit may:
Provide alcohol to a minor
Serve an intoxicated person
Offer in-store wine and beer samples
Sell alcohol to members in a private club
Answer:
Offer in-store wine and beer samples.
Explanation:
Promotional permit was established to allow a person promote sale of alcoholic beverages on behalf of the manufacturer. Such alcoholic beverage must however be sold on the premises of the licenced holder.
A promotional permit holder, according to the Texas Alcoholic Beverage Commission,which was established in 1935, may involve in the sales of alcoholic beverages in a state or premises of the license holder. It is to be noted that the license holder must qualify enough before being granted the permit and must also pay some fees before carrying on such activities.
As a holder of a promotional permit, you are allowed to offer in-store wine and beer samples.
A person with a promotional permit:
Is allowed to promote the sale of a certain brand of alcohol Must be in a contract with the brand they are promotingIn order to promote the brand of alcohol, the person may use sales strategies such as offering in-store wine and beer samples to people to get them to try out the brand that they are promoting.
In conclusion, a holder of a promotional permit can offer in-store wine and beer samples.
Find out more at https://brainly.com/question/5796198.
OPR finds its cases through all of the following except which one? A. The investigation division of OPR.
Answer:
The investigation division of OPR.
Explanation:
OPR stands for Office of Professional Responsibility. It is a section of department of justice whose task is to monitor any misconduct in the government departments. It is responsibility of OPR to find any allegations that result in misconduct in department of attorney. The OPR finds its cases through all except the own division. There will be chance of familiarity and self review threats in such monitoring.
A growing population encourages economic growth as it creates a larger workforce. Suppose a surge in immigration increases a country's total population and its overall economic output increases. As a result, the country's real GDP increases from $304,000 to $316,500. What is the percent change in real GDP
Answer:
4.11%
Explanation:
the percentage change in real GDP = [(new real GDP - old real GDP) / old real GDP] x 100 = [($316,500 - $304,000) / $304,000] x 100 = 4.11%
Generally a surge in immigration will result in both higher nominal and real GDP, but what should be more important is how real GDP per capita changes. If real GDP per capita increases, then the inflow was positive and made the economy grow for better. If real GDP per capita decreases, even if total real GDP increases, then the economy is not doing better.
Mayan Company had net income of $132,000. The weighted-average common shares outstanding were 80,000. The company has no preferred stock. The company sold 3,000 shares before the end of the year. There were no other stock transactions. The company's earnings per share is:
Answer:
EPS = $1.71 per unit
Explanation:
Earnings per share is the total earnings attributable to ordinary shareholders divided by the number of units of common stock .
It represents profit per unit of stock unit held by common stock holder investor. The higher the more profitable and the better.
Earnings per share = Earnings attributable to ordinary shareholders / units of common stock
Earnings attributable to ordinary shareholders= Net income after tax - preference dividend
Net income = 132,000
Preference dividend = Nil
Number of shares at the end of the year = Number of shares at the beginning - number of shares at the end
Number of shares at the end of the year = 80,000 - 3000 = 77,000 units
Earnings = = 132,000 - 0 = 132,000
Earnings per shares(EPS) = $132,000 / 77,000 units = $1.71 per unit
EPS = $1.71 per unit
When China reformed state-owned enterprises, it tried a new approach to choosing managers: it put managerial jobs up for auction. The bids for the jobs consisted of promises of future profit streams that the managers would generate and then deliver to the state. In cases where the incumbent manager was the winning bidder, firm productivity tended to increase dramatically. When outside bidders won, there was little productivity improvement. Assume that incumbent managers and new managers had similar qualifications. True or False: This result is an example of the winner's curse.
Answer:
True
Explanation:
Winner curse is a situation where the bidder win the bid in an auction that exceeds the true worth or intrinsic value of the item auctioning. In the given scenario the inside managers bid for realistic performance. The outside managers tend to bid for higher performance to get the job. They does not seem to be realistic.
The following data concerns a proposed equipment purchase: Cost$144,000 Salvage value$4,000 Estimated useful life 4years Annual net cash flows$46,100 Depreciation methodStraight-line Ignoring income taxes, the annual net income amount used to calculate the accounting rate of return is:
Answer: $74,000
Explanation:
The Average Investment refers to the average cash invested into a particular project and is useful in calculating the rate of return. The simple formula is to add the beginning value of the asset to its ending value and divide this by 2.
The ending value in this case would be the salvage value;
Average Investment = [tex]\frac{Beginning Cost of Machine + Salvage Value}{2}[/tex]
= [tex]\frac{144,000 + 4,000}{2}[/tex]
= $74,000
Aladdin Jets is attempting to build an airplane that is made by welding the skin (outside layer) of the plane. The technique is much less expensive than an alternative riveting technology. The firm is also using a new type of jet engine with superior efficiency. The new entrant is entering a market that is realizing a substantial increase in competition. Which of the following would be strategies that the firm is attempting?
a. Cost reduction
b. Product differentiation
c. reduction in competitive intensity
d. a and b
e. all of the above.
Answer: Option D( a and b)
Explanation:
From the question, we are informed that Aladdin Jets wants to build an airplane that is made by welding the skin of the plane and that the technique is much less expensive than an alternative riveting technology.
We are further informed that the firm is also using a new type of jet engine with superior efficiency. The above analysis shows that the firm is using a product differentiation strategy and also reducing costs. While the company is trying out new things, it's also trying to minimize cost.
You purchased a bond 69 days ago for $891.26. You received an interest payment of $24.00 56 days ago. Today the bond’s price is $884.89. What is the holding period return (HPR) on the bond as of today?
Answer:
1.97%
Explanation:
The formula to calculate the holding period return is:
HPR=(Income generated+(ending value-initial value)/Initial value)*100
Income generated= $24
Ending value= $884.89
Initial value= $891.26
HPR=(24+(884.89-891.26)/891.26)*100
HPR=(24+(-6.37)/891.26)*100
HPR=(17.63/891.26)*100
HPR=0.0197*100
HPR= 1.97%
According to this, the holding period return (HPR) on the bond as of today is 1.97%.
Nissan’s all-electric car, the Leaf, has a base price of $32,780 in the United States, but it is eligible for a $7500 federal tax credit. A consulting engineering company wants to evaluate the purchase or lease of one of the vehicles for use by its employees traveling to job sites in the local area. The cost for leasing the vehicle will be $4200 per year (payable at the end of each year) after an initialization charge of $2500 paid now. If the company purchases the vehicle, it will also purchase a home charging station for $2200 that will be partially offset by a 50% tax credit. If the company expects to be able to sell the car and charging station for 40% of the base price of the car alone at the end of 3 years, should the company purchase or lease the car? Use an interest rate of 10% per year and annual worth analysis.
Answer:
Nissan's all-electric car, the Leaf
PV cost of Leaf Purchase = $16,529
PV cost of Leasing = $12,944.78
The company should lease the car.
Explanation:
a) Costs incurred to purchase the Leaf:
Base price $32,780
less Federal tax credit ($7,500)
Charging station 2,200
less 50% tax credit (1,100)
Cash paid $26,380
Sales value after 3 yrs (9,851) ( $26,380 - 40% of base discounted to PV)
Net PV Investment $16,529
b) Calculation of Discounted Present Values of Payments under Leasing, using online financial calculator:
PV (Present Value) $12,944.78
N (Number of Periods) 3.000
I/Y (Interest Rate) 10.000%
PMT (Periodic Payment) $4,200.00
Starting Investment $2,500.00
Total Principal $15,100.00
Total Interest $2,129.50
c) The purchase of the Leaf would involve a present value cost of $26,380 after deducting all the savings from tax. The 40% sales value of the car at the end of 3 years = $13,112 ($32,780 x 40%). When this sales value is discounted to PV of $9,851, the PV of the car investments becomes $16,529 ($26,380 - $9,851). On the other hand, leasing will cost in PV the sum of $12,944.78
.
Salary expense was 15.5% of sales this year. If sales this year are $1,300,000 and are forecasted to be $1,500,000 next year, what is forecasted salary expense next year if all expenses maintain a constant percent of sales?
Answer:
Salary expense next year=$232,500
Explanation:
The ratio of expense to ales is an important which helps in the management and control overhead.
We can be predict the Salary expense using the information given about the relationship between salary expense and sales .
If salary expense is 15.5% of sales, then Salary expense this year =
15.5% × 1,300,000=$201,500
Salary expense next year = 15.5% × foretasted sales next year
= 15.5% × 1,500,000 = $232,500
We use 15.5% because the relationship between the expenses and the sales in proportion is expected to remain the same
Salary expense next year=$232,500
Jacobsen Corporation prepares its financial statements applying U.S. GAAP. During its 2016 fiscal year, the company reported before-tax income of $621,000. This amount does not include the following two items, both of which are considered to be material in amount: Unusual gain $201,000 Loss on discontinued operations (301,000) The company's income tax rate is 30%. In its 2016 income statement, Jacobsen would report income from continuing operations of:
Answer:
Jacobsen Corporation
Income from continuing operations of $621,000 will be reported.
Explanation:
The income from continuing operations is the same thing as the operating income. It is the pre-tax income that is reported on Jacobsen Corporation's income statement for the year ended December 31, 2016. The tax rate of 30% is applied on this figure to obtain the income tax expense for the year. But, for Jacobsen that has other unusual items, these are taken into consideration before the income tax is imputed to obtain the after-tax income.
Machine Replacement Decision A company is considering replacing an old piece of machinery, which cost $600,700 and has $350,700 of accumulated depreciation to date, with a new machine that has a purchase price of $484,500. The old machine could be sold for $62,600. The annual variable production costs associated with the old machine are estimated to be $155,100 per year for eight years. The annual variable production costs for the new machine are estimated to be $102,300 per year for eight years. a.1 Prepare a differential analysis dated May 29 to determine whether to continue with (Alternative 1) or replace (Alternative 2) the old machine. If an amount is zero, enter "0". If required, use a minus sign to indicate a loss. Differential Analysis Continue with Old Machine (Alt. 1) or Replace Old Machine (Alt. 2) May 29 Continue with Old Machine (Alternative 1) Replace Old Machine (Alternative 2) Differential Effects (Alternative 2) Revenues: Proceeds from sale of old machine $ $ $ Costs: Purchase price Variable productions costs (8 years) Profit (Loss) $ $ $ a.2 Determine whether to continue with (Alternative 1) or replace (Alternative 2) the old machine. b. What is the sunk cost in this situation
Answer:
1.Incremental loss $300
2.Alternative II Replacing the Old Machine is beneficial because we have Incremental Profit of $300
2b.$250,000
Explanation:
1. Preparation of the differential analysis dated May 29
Differential Analysis
Continue with old machine (Alternative I ) or Replace old machine (Alternative II )
Continue with Replace the Differential effect
Old Machine Old Machine
Alternative 1 Alternative 2 Alternative 2
Revenue:
Revenue from Sale of Old Machine
$0 $62,600 $62,600
Cost:
Purchase Cost
$0 $484,500 $484,500
Variable Production (8 Years)
$1,240,000 $818,400 -$422,400
Profit / (Loss) ($1,240,000) ($1,240,300) -$300
Incremental loss = $300
2. Calculation to Determine whether to continue with (Alternative 1) or replace (Alternative 2) the old machine.
Alternative II Replacing the Old Machine is not beneficial because we have Incremental loss of $300
2b. Calculation for the sunk cost in this situation
The Sunk Cost will be the Book Value of Old Machine = $600,700-$350,700
= $250,000
Variable production workings
($155,100×8=1,240,800)
($102,300×8= 818,400)
Net capital outflow and net exports An open economy interacts with the rest of the world through its involvement in world markets for goods and services and world financial markets. Although it can often result in an imbalance in these markets, the following identity must remain true: In other words, If a transaction directly affects the left side of this equation, then It must also affect the right side. The following problem will help you understand why this Identity must hold. Suppose you are a fashion designer Living In the United States, and a trendy boutique in Bangkok just purchased your entire inventory for THB 80,000.
Determine the effects of this transaction on exports, imports, and net exports in the U.S. economy, and enter your results in the following table. If the direction of change is 'No change,'' enter ''0'' in the Magnitude of Change column. Hint: The magnitude of change should always be positive, regardless of the direction of change. Because of the identity equation that relates)_________ to net exports, the in U.S. net exports Is matched by _________in U.S. net capital outflow. Which of the following Is an example of how the United States might be affected in this scenario?
a. You store the Thai baht in your safety deposit box at home.
b. You purchase THB 48,000 worth of stock in a Thai corporation and THB 32,000 worth of Thai bonds.
c. You exchange the THB 80,000 for dollars at your local bank, which then uses the foreign currency to purchase stock in a Thai corporation.
Answer:
1. a. Exports will increase by THB 80,000
You live in the US and you just sold something to someone outide the US. This is an export so you increased US exports by THB 80,000.
b. Imports will be $0.
You did not import anything from outside the country.
c. Net Exports will be THB 80,000
Net Exports are Exports less imports for a given period.
= 80,000 - 0
= THB 80,000
2. Because of the identity equation that relates to net exports, increase in U.S. net exports Is matched by an increase in U.S. net capital outflow.
As a result of the US exporting goods, money from other countries come into it. This flow of capital into the US contributes to the U.S. net capital outflow.
3. a. You store the Thai baht in your safety deposit box at home.
b. You purchase THB 48,000 worth of stock in a Thai corporation and THB 32,000 worth of Thai bonds.
c. You exchange the THB 80,000 for dollars at your local bank, which then uses the foreign currency to purchase stock in a Thai corporation.
In the first scenario, the US would be affected because even though money came in, it is not being used but it rather sitting ideal at home.
In the other 2 scenarios, the money was not used to purchase thing in the US but rather went back outside the country. This means that capital flowed out of the US so negatively affects her Net Capital Outflow.
Net capital outflow refers to the amount that is credited from the country and debited to the other country. This means the country faces an outflow of funds. Exports are the activity in which the goods and services are delivered to the other parts of the country.
1. a. Exports will increase by THB 80,000
Living in the US and you just sold something to someone outside the US. This is export so you increased US exports by THB 80,000.
b. Imports will be $0.
No imports from the other country.
c. Net Exports will be THB 80,000
Net Exports are Exports fewer imports for a given period.
= 80,000 - 0
= THB 80,000
2. Because of the identity equation that relates to net exports, an increase in U.S. net exports Is matched by an increase in U.S. net capital outflow.
As a result of the US exporting goods, money from other countries comes into it. This flow of capital into the US contributes to the U.S. net capital outflow.
3. a. You store the Thai baht in your safety deposit box at home.
b. You purchase THB 48,000 worth of stock in a Thai corporation and THB 32,000 worth of Thai bonds.
c. You exchange the THB 80,000 for dollars at your local bank, which then uses the foreign currency to purchase stock in a Thai corporation.
In the first scenario, the US would be affected because even though the money came in, it is not being used but it rather sitting ideal at home.
In 2 scenarios, the money was not used to purchase things in the US but rather went back outside the country. This means that capital flowed out of the US so negatively affects her Net Capital Outflow.
To know more about the net capital flow, refer to the link below:
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Teller Co. is planning to sell 900 boxes of ceramic tile, with production estimated at 870 boxes during May. Each box of tile requires 44 pounds of clay mix and a quarter hour of direct labor. Clay mix costs $0.40 per pound and employees of the company are paid $12.00 per hour. Manufacturing overhead is applied at a rate of 110% of direct labor costs. Teller has 3,900 pounds of clay mix in beginning inventory and wants to have 4,500 pounds in ending inventory.
Required:
What is the total amount to be budgeted for manufacturing overhead for the month?
Answer:
Budgeted overhead= $2,877.6
Explanation:
Giving the following information:
Direct labor required:
Production= 870 units
Direct labor hours= 870*0.25= 218 hours
Direct labor cost= $12 an hour
Manufacturing overhead is applied at a rate of 110% of direct labor costs.
To calculate the allocated overhead for the period, we need to use the following formula:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Direct labor cost= 218*12= $2,616
Allocated MOH= 1.1*2,616= $2,877.6
The petty cash fund has a current balance of $ 350, which is the established fund balance. Based on activity in the fund, it is determined that the balance needs to be changed to $ 550. Which journal entry is needed to make this change?
A. No journal entry is needed because this change only involves cash.
B. Debit the Petty Cash account and credit the Cash account for $200.
C. Debit the Cash account and credit the Petty Cash account for $200.
D. Debit the Petty Cash account and credit the Cash account for $550.
Answer:
i think the answer is B. Debit the Petty Cash account and credit the Cash account for $200.
Explanation:
4. Calculate the required rate of return for Manning Enterprises assuming that investors expect 3.5% rate of inflation in the future. The real risk-free rate is 2.5%, and the market risk premium is 6.5% Manning has a beta of 1.7, and its realized rate of return has averaged 13.5% over the past 5 years.
Answer: 17.05%
Explanation:
Given the variables available, the method to be used to calculate the required return is the Capital Asset Pricing Model with the formula;
Required Return = Nominal Risk-free rate + beta ( Market premium)
Nominal Risk-free rate = real risk-free rate + inflation
= 2.5% + 3.5%
= 6%
Required Return = 6% + 1.7 ( 6.5%)
Required Return = 6% + 11.05%
Required Return = 17.05%
Which of the following statements are true?
A. Different companies will use different charts of accounts based on individual company need.
B. The chart of accounts contains the balance of all the accounts in the ledger.
C. The general ledger contains all of the accounts that a company uses, along with detail of the balances in those accounts.
D. The general ledger and the chart of accounts can be ordered in any sequence because they are not formal financial systems.
Answer:
TRUE: A. Different companies will use different charts of accounts based on individual company need.
C. The general ledger contains all of the accounts that a company uses, along with detail of the balances in those accounts.
Explanation:
A. Different companies will use different charts of accounts based on individual company need.
A chart of accounts is the combination of all the accounts of an organization in an organized and structured model whose objective is to establish a codification so that there is a standardization of the company's financial information to assist the work of the accounting sector.
Therefore, each company will have a model chart of accounts referring to its activities and processes.
C. The general ledger contains all of the accounts that a company uses, along with detail of the balances in those accounts.
The general ledger can be defined as the set of all accounts held in the organization in detail.
Through the information in the accounts, the organization is able to correctly separate each one by type and carry out the organizational financial statement.
You want to buy a new sports coupe for $74,500, and the finance office at the dealership has quoted you a loan with an APR of 6.9 percent for 36 months to buy the car.
Required:
a. What will your monthly payments be?
b. What is the effective annual rate on this loan?
Answer:
a) Monthly payments = $22,969.38
b) Effective rate of return= 7.12%
Explanation:
Loan Amortization: A loan repayment method structured such that a series of equal periodic installments will be paid for certain number of periods to offset both the loan principal amount and the accrued interest.
The monthly installment is computed as follows:
Monthly installment= Loan amount/annuity factor
Loan amount; = 74,500
Annuity factor = (1 - (1+r)^(-n))/r
r -monthly rate of interest, n- number of months
r- 6.9%/12 = 0.575 % = 0.00575, n = 36 =
Annuity factor = ( 1- (1+00575)^(-36)/0.00575= 32.434
Monthly installment = Loan amount /annuity factor
= 74,500/32.434= 22,969.38
Required monthly payments = $22,969.38
Effective annual interest rate
Effective rate of return = ((1+r)^n- 1) × 100
where r - monthly interest rate- 6.9%/12 = 0.575%
n- number of months= 12 months
Effective rate of return - (1+00575)^(12) - 1× 100= 7.12%
Effective rate of return= 7.12%
Currently Acre is charged $3,693,600 Depreciation on the Income Statement of Andrews. Andrews is planning for an increase in this depreciation. On the financial statements of Andrews will this?
Answer: C)Increase Net Cash from Operations on the Cash Flow Statement
Explanation:
The Cash Flow Statement deals with only cash transactions of a business in an effort to know just how much actual cash the business has. The Operations section of the Cash Flow Statement is derived from the Net Income and to get to the Net Income, Depreciation is removed. Because Depreciation is a non-cash expense, and does not actually reduce cash, it is added back when calculating cash from Operations. A larger depreciation therefore would bring in more cash from Operations in the Cash Flow statement.
Stan Slickum has a used car that can be bought for $8 comma 500 cash or for a $1 comma 000 down payment and $770 per month for 12 months. What is the effective annual interest rate on the monthly payment plan?
Answer:
48.8%
Explanation:
We can use the rate formula to determine the monthly rate as follows:
=rate(nper,pmt,-pv,fv)
nper is the number of monthly payments which is 12
pmt is the amount of monthly payment which is $770
pv is the cash price of the minus downpayment i.e $8500-$1000=$7500
fv is the balance after all payments have been made i.e $0
=rate(12,770,-7500,0)=3.37%
effective monthly rate=(1+3.37% )^12-1=48.8%
The goal of collaborative planning, forecasting, and replenishment (CPFR) is to improve operational efficiency and manage inventory.
a. True
b. False
Answer:
Option "a" = true.
Explanation:
"The goal of collaborative planning, forecasting, and replenishment (CPFR) is to improve operational efficiency and manage inventory"
The statement given above is right or CORRECT and TRUE(option a).
The concept of "Collaborative Planning, Forecasting and Replenishment" was first brought into limelight in the year 1995. Collaborative Planning, Forecasting & Replenishment make sure that a terminology or say a concept in commerce which is know as "Integration of supply chain" is improving greatly.
The collaborative planning, forecasting, and replenishment (CPFR) helps to improve operational efficiency by reducing costs such as that of logistics, transportation and many more.
Giannitti Corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. Data for the upcoming year appear below: Estimated machine-hours 72,700 Estimated variable manufacturing overhead $ 3.30 per machine-hour Estimated total fixed manufacturing overhead $ 838,730 The predetermined overhead rate for the recently completed year was closest to:
Answer:
The predetermined overhead rate for the recently completed year was closest to: $11.54 per machine-hour
Explanation:
Predetermined Overheads = Budgeted Fixed Overheads / Budgeted Activity
= $ 838,730 / 72,700
= $11.536864 or $11.54 per machine-hour.
Nathan works for a major automobile manufacturing company. His company is being sued by hundreds of customers who have been injured when the steering wheel airbags exploded upon a low-impact collision. The customers are demanding monetary damages. This lawsuit is based on
Answer:
Product liability, is the right answer.
Explanation:
The liability of a manufacturer or seller for handing over a defective commodity into the hands of the consumers is known as the product liability. The responsibility for handing over the defective product that causes injuries lies with the retailers of the product who are a part of the distribution chain. The law requires that the good sold to the consumer meets the ordinary expectations of the consumer. If the consumer's ordinary expectations aren't met due to an unexpected defect or danger, the consumer may ask for monetary damages.
Which of these would most likely be funded through a Community Facilities District?
Answer:
what ones there's only the question not the answers
You have $256,000 to invest in a stock portfolio. Your choices are Stock H, with an expected return of 14.1 percent, and Stock L, with an expected return of 10.7 percent. If your goal is to create a portfolio with an expected return of 12.3 percent, how much money will you invest in Stock H and in Stock L
Answer: Investment in H = .4706($256,000)
Investment in H = $120,470.59
Investment in L = .5294($256,000)
Investment in L = $135,529.41
Explanation:
Investment in Stock H
Investment in Stock L
Here, the expected return of the portfolio and the expected return of the assets in the portfolio have been given and we're to calculate the dollar amount of each asset in the portfolio. So, we need to find the weight of each asset in the portfolio. Since the total weight of the assets in the portfolio must equal 1 (or 100%), we can find the weight of each asset as:
E[Rp] = .1230 = .141xH + .107(1 - xH)
xH = .4706
xL = 1 - xH
xL = 1 - .4706
xL = .5294
So, the dollar investment in each asset is the weight of the asset times the value of the portfolio, so the dollar investment in each asset must be:
Investment in H = .4706($256,000)
Investment in H = $120,470.59
Investment in L = .5294($256,000)
Investment in L = $135,529.41
The smaller the required reserve ratio the larger the simple deposit multiplier. Do you agree or disagree with this statement. Explain your answer.
Answer:
Agree
Explanation:
A deposit multiplier is maximum amount of money that can be created for each unit of reserve. It is key requirement for maintaining economy's basic money supply. The simple deposit multiplier is 1 / rr * change in R. Deposit multiplier is the inverse of reserve ratio. The higher the reserve ratio the lesser will be the deposit multiplier. Reserve ratio is the minimum amount of money that must be kept in the deposit.
Suppose an American buys stock issued by an Argentinian corporation. The Argentinian firm uses the proceeds from the sale to build a new office complex. This is an example of foreign ___________ in Argentina.
1. Which of the following policies are consistent with the goal of increasing productivity and growth in developing countries?
a. Protecting property rights and enforce contracts
b. Providing tax breaks and patents for firms that pursue research and development in health and sciences.
c. Increasing taxes on income from savings
d. Imposing restrictions on foreign ownership of domestic capital.
2. In less developed countries, what does the brain drain refer to?
a. The emigration of highly skilled workers to rich countries
b. Lower productivity due to a malnourished workforce
c. Rapid population growth that increases the burden on the educational system
d. Rapid population growth that lowers the stock of capital per worker
Answer:
Suppose an American buys stock issued by an Argentinian corporation. The Argentinian firm uses the proceeds from the sale to build a new office complex. This is an example of foreign PORTFOLIO INVESTMENT in Argentina.
1. Which of the following policies are consistent with the goal of increasing productivity and growth in developing countries?
a. Protecting property rights and enforce contracts b. Providing tax breaks and patents for firms that pursue research and development in health and sciences.Both A and B are essential for increasing economic growth. E.g. if Coke was not able to keep its formula secret in certain country, it will not engage in business there. Investment in R&D is essential for future economic growth.
2. In less developed countries, what does the brain drain refer to?
a. The emigration of highly skilled workers to rich countriesBrain drain refers to the immigration of highly skilled workers from poor countries into rich countries. E.g. a doctor moves from mexico to the US because he/she can earn a much higher salary. But at the same time, all the money and time spent educating the doctor is lost by Mexico and its economy.