Answer:
food service managers
Explanation:
Percentage decrease = change in labour employed / initial labour employed x 100
chefs =
change in labour employed = 99,200 - 100,200 = -1000
-1000/100,200 x 100 = -0.998%
-0.1
1.18
Knowledge Check 01 Feline Watch Company makes wrist watches out of silver metal sheets. Feline sold 200 watches in the month of June. It projects July and August sales to be 400 and 600 respectively. The company`s policy is to have 50% of next month`s sales in inventory. If the June ending inventory of watches is 200, how many watches must be produced in July
Answer:
the number of watches to be produced in July is 500
Explanation:
The calculation of the number of watches to be produced in July is given below;
Units Expected to be sale 400
Add: Desired ending inventory 300 (50% of 600)
Total available 700
Less: Beginning Inventory -200
Units to be produced 500
Hence, the number of watches to be produced in July is 500
a. A new operating system for an existing machine is expected to cost $616,000 and have a useful life of six years. The system yields an incremental after-tax income of $180,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $40,000.
b. b. A machine costs $440,000, has a $32,000 salvage value, is expected to last eight years, and will generate an after-tax income of $90,000 per year after straight-line depreciation. Assume the company requires a 12% rate of return on its investments.
Required:
Compute the net present value of each potential investment.
Answer:
a. Net present value = $539,013.67
b. Net present value = $273,361.47
Explanation:
a. A new operating system for an existing machine is expected to cost $616,000 and have a useful life of six years. The system yields an incremental after-tax income of $180,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $40,000.
Annual depreciation = (Expected machine cost – Predicted salvage value) / Number of useful life = ($616,000 - $40,000) / 6 = $96,000
Annual cash inflows = Annual incremental after-tax income + annual depreciation = $180,000 + $96,000 = $276,000
Present value of the annual cash inflow = Annual cash inflows * ((1 - [1 / (1 + required rate of return)]^Number of years) / required rate of return) = $276,000 * ((1 - [1 / (1 + 0.12)]^6) / 0.12) = $276,000 * 4.11140732352233 = $1,134,748.42
Present value of predicted salvage value = Predicted salvage value / (1 + required rate of return)^Number of years = $40,000 / (1 + 0.12)^6 = $20,265.24
Net present value = Present value of the annual cash inflow + Present value of predicted salvage value - Expected machine cost) = $1,134,748.42 + $20,265.24 - $616,000 = $539,013.67
b. A machine costs $440,000, has a $32,000 salvage value, is expected to last eight years, and will generate an after-tax income of $90,000 per year after straight-line depreciation.
Annual depreciation = (Machine cost – Salvage value) / Number of useful life = ($440,000 - $32,000) / 8 = $51,000
Annual cash inflows = Annual incremental after-tax income + annual depreciation = $90,000 + $51,000 = $141,000
Present value of the annual cash inflow = Annual cash inflows * ((1 - [1 / (1 + required rate of return)]^Number of years) / required rate of return) = $141,000 * ((1 - [1 / (1 + 0.12)]^8) / 0.12) = $141,000 * 4.96763976683859 = $700,437.21
Present value of salvage value = Salvage value / (1 + required rate of return)^Number of years = $32,000 / (1 + 0.12)^8 = $12,924.26
Net present value = Present value of the annual cash inflow + Present value of salvage value - Machine cost) = $700,437.21 + $12,924.26 - $440,000 = $273,361.47
Mary runs over a deer with her car. The ACV of her vehicle is $7,250. To repair the damages caused in the accident, it will cost $4,375. What will the insurer likely pay Mary for this claim, assuming that her COLLISION deductible is $500, and her OTHER THAN COLLISION deductible is $200
Answer: $4175
Explanation:
The Other Than Collision coverage is the payment to repair a vehicle when the damage caused isn't when one collides with another vehicle.
In this case, since Mary runs over a deer with her car, we'll deduct the other than collision deductible from her cost of the repair and this will be:
= $4375 - $200
= $4175
The insurer will pay Mary $4175
During the previous year, Leveraged Inc. paid $100 million of interest expense, and its average rate of interest for the year was 8%. The company's ROE is 18.4%, and it pays no dividends. Estimate next year's interest expense assuming that interest rates will fall by 34% and the company keeps a constant equity multiplier, Calculate next year's estimated interest expense
Answer:
$67214400
Explanation:
Average rate of interest = 8% = 0.08
Amount paid by leveraged Inc ( previous year ) = $100 million
Growth rate retention = 1 ( since company pays no dividend )
ROE = 18.4% = 0.184
Determine next year's estimated interest expense
Given that Interest rates will fall by 34%
interest expenses = $100,000,000
estimated Interest rate = 0.34
First step : calculate total debt
= interest expense / interest rate
= 100,000,000 / 0.08 = $1,250,000,000
next determine the growth rate
= ROE * growth rate retention = 0.184 * 1 = 0.184
next determine next year's debt
= Total debt * ( 1 + 0.184 )
= 1,250,000,000 * 1.0184 = $1,273,000,000
next determine Interest rate for next year
= interest rate - ( Interest rate * estimated interest rate )
= 0.08 - ( 0.34 * 0.08 ) = 0.0528 = 5.28%
Finally determine next year's estimated interest expense
= 5.28% * $1,273,000,000
= 0.0528 * 1,273,000,000 = $67214400
Last year "ABC" Company had $121646 of assets, $76058 of sales, $19170 of net income, and an equity multiplier of 1.81369. The new CFO believes the firm has excessive fixed assets and inventory that could be sold, enabling it to reduce its total assets to $99391, Sales, costs and net income would not be affected, and the firm would maintain the equity multiplier at the same level (1.81369). By how much would the reduction in assets will change the ROE value?
Answer:
ABC Company
The reduction in assets will change the ROE value by 6% increase, from 29% to 35%.
Explanation:
a) Data and Calculations:
Equity multiplier = total assets divided by stockholders equity
Last year's figures:
Assets = $121,646
Sales = $76,058
Net income = $19,170
Equity multiplier = 1.81369
Equity = Assets/Equity multiplier
= $67,071 ($121,646/1.81369)
Return on equity = $19,170/$67,071 * 100
= 28.6%
= 29%
New figures:
Assets reduced to $99,391
Sales = $76,058
Net income = $19,170
Equity multiplier = 1.81369
Equity = $54,800 ($99,391/1.81369)
Return on equity = $19,170/$54,800 * 100
= 35%
b) The reduction in assets changes the ROE value from 29% to 35%.
Home Bepot Inc. has a cost of equity of 11.3 percent. The company has an aftertax cost of debt of 4.9 percent, and the tax rate is 40 percent. If the company's debt–equity ratio is .73, what is the weighted average cost of capital?
Answer: 8.60%
Explanation:
Weighted Average cost of capital = (Cost of equity * Weight of equity) + (After tax cost of debt * Weight of debt)
Weight of debt = Debt-equity ratio / (1 + Debt-equity ratio)
= 73% / (1 + 73%)
= 42.1965%
Weight of Equity = 1 / (1 + Debt - equity ratio)
= 1 / 1.73
= 57.8035%
WACC = (11.3% * 57.8035%) + (4.9% * 42.1965%)
= 8.60%
The beauty of an economic model comes from:______.
a. its ability to represent a complex reality without any simplification.
b. its ability to make clear predictions that are consistent with reality.
c. its simplicity in presenting the essential elements of an otherwise complex reality.
d. b and c.
Answer:
D
Explanation:
An economic model is a simplified abstraction of reality. An economic model aims to present economic reality in a simplified form. it also aims to make accurate prediction consistent with reality.
for example, the law of demand is an example of an economic model.
According to the law of demand, the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.
this economic model is true because rational human beings tend to purchase more of normal goods when the price is lower than when the price is higher.
The treasurer for Rahm Corp. was preparing a bank reconciliation as of September 30, 2017. The following items were identified: Rahm's book balance $32,800 Deposits in transit 4,300 Outstanding checks 2,200 Interest earned on checking account 100 Customer's NSF check returned by the bank 400 Rahm Corp.'s adjusted cash balance at September 30, 2017 is
Answer:
$32,500
Explanation:
The items that appear on the Bank Statement and not on the Cash Book are used to update the Cash Book Balance.
Rahm Corp
Cash Book
Debit :
Balance before adjustment $32,800
Interest earned $100
Total $32,900
Credit :
Dishonored check $400
Balance (adjusted) $32,500
Total $32,900
Therefore,
Rahm Corp.'s adjusted cash balance at September 30, 2017 is $32,500
The Robinson Company reported net income of $90,000 in 2010. Additional information follows:Depreciation expense$18,000Loss on sale of equipment 10,000 Gain on sale of land 17,000 Given just this information, what was the Robinson Company's net cash provided by operating activities in 2010
Answer:
$101,000
Explanation:
With regards to the above information , the net cash provided by operating activities is computed as;
Net income
$90,000
Add:
Depreciation expense
$18,000
Add:
Loss on sale of equipment
$10,000
Less:
Gain on sale of land
($17,000)
Net cash provided by operating activities
$101,000
Therefore, Robinson company's net cash provided by operating activities is 2010 is $101,000
Crestfield leases office space. On January 3, the company incurs $12,000 to improve the leased office space. These improvements are expected to yield benefits for 10 years. Crestfield has 4 years remaining on its lease. What journal entry would be needed to record the expense for the first year related to the improvements
Answer:
Debit Amortization Expense $3,000; credit Accumulated Amortization $3,000.
Explanation:
Based on the information given the appropiate journal entry that would be needed to record the expense for the first year related to the improvements will be
Debit Amortization Expense $3000
Credit Accumulated Amortization-Leasehold Improvements $3000
(Amortization Expense = 12000/4 = $3000)
(To record the expense for the first year)
On April 19, 2021, Millipede Machinery sold a tractor to Thomas Hartwood, accepting a note promising payment of $120,000 in five years. The applicable effective interest rate is 7%.
Required:
What amount of sales revenue would Millipede recognize on April 19, 2021, for the Hartwood transaction?
Answer:
$85,558.34
Explanation:
The Transaction Price will be the Present Value of the amount to be received in 5 years.
We can simply calculate the Present Value (PV) using a financial calculator as follows :
FV= - $120,000
I = 7 %
N = 5
P/YR = 1
PMT = $0
PV = ?
Entering the data as above gives a Present (PV) as $85,558.34
therefore,
Millipede will recognize an amount of sales revenue of $85,558.34
The margin of safety ratio is computed as actual sales divided by break-even sales. is used to determine the break-even point. indicates what percent decline in sales could be sustained before the company would operate at a loss. measures the ratio of fixed costs to variable costs.
Answer:
indicates what percent decline in sales could be sustained before the company would operate at a loss.
Explanation:
Since, Margin of safety ratio = Expected Sales - Break even sales
therefore,
The correct statement is : The margin of safety ratio indicates what percent decline in sales could be sustained before the company would operate at a loss.
Charleston Inc. acquired 75% of Savannah Manufacturing on January 4, 2020. During 2020, Charleston sold Savannah $460,000 of goods, which had cost $380,000. Savannah still owned 20% of the goods at the end of the year. In 2021, Charleston sold goods with a cost of $520,000 to Savannah for $700,000, and Savannah still owned 15% of the goods at year-end. What amount of intra-entity gross profit should be deferred in 2021
Answer:
Amount of profit to be deferred = $27,000Explanation:
The intra-entity gross profit that needs to be deferred can be calculated as follows:
In 2021:
The amount of price on goods sold = $700,000
The actual cost price = $520,000
Less: $180,000
Amount of profit to be deferred = Profit × percentage of goods at the year-end (2021)
Amount of profit to be deferred = $180,000 × 15%
Amount of profit to be deferred = $27,000In a Harvard print journal and ejournal article references for a reference list, which elements, if any, are placed in round brackets?
Author and journal title.
Author and issue number.
Year of publication and issue number, if there is one.
Article title and year of publication.
Answer: Year of publication and issue number, if there is one.
Explanation:
There are quite a number of referencing style conventions available in the world today with some of the most prominent being the APA style, MLA and the Chicago style.
Harvard has its own referencing style that may not be as popular as the above but is very well known nonetheless. When referencing using the Harvard style and the year of publication and issue number needs to be included in a print or e-journal reference, it is to be placed in a round bracket. If there isn't any then there is no need.
Vaughn Manufacturing has a materials price standard of $2.00 per pound. 4900 pounds of materials were purchased at $2.20 a pound. The actual quantity of materials used was 4900 pounds, although the standard quantity allowed for the output was 3700 pounds. Vaughn Manufacturing's materials quantity variance is
Answer:
$2,400 Unfavourable
Explanation:
Direct material quantity variance = (Standard quantity - Actual quantity) × Standard cost
Given that:
Standard quantity = 3,700 pounds
Actual quantity = 4,900 pounds
Standard cost = $2
Therefore,
Direct materials quantity variance
= (3,700 - 4,900) × 2
= - $2,400
= $2,400 Unfavourable
The difference between the standard and actual quantity is negative. We used more pounds than expected, hence variance will be unfavourable.
Sandhill Co. purchased machinery that cost $2800000 on January 4, 2019. The entire cost was recorded as an expense. The machinery has a 9-year life and a $180000 residual value. The error was discovered on December 20, 2021. Ignore income tax considerations.
Before the correction was made, and before the books were closed on December 31, 2013, retained earnings was understated by:____.
Answer:
$2,217,777.78
Explanation:
The computation is shown below:
The accumulated depreciation amount till 31 Dec 2013
= ($2,800,000 - $180,000) ÷ 9 × 2
= $582,222.22
Now the expenses recorded as the purchase is $2,800,000
so,
The Retained earnings understated by
= $2,800,000 - $582,222.22
= $2,217,777.78
Crane Company has 900 shares of 4%, $100 par cumulative preferred stock outstanding at December 31, 2018. No dividends have been paid on this stock for 2017 or 2018. Dividends in arrears at December 31, 2018 totala) $400.b) $3600.c) $7200.d) $0.
Answer:
c) $7200
Explanation:
Preference dividends have preference when it comes to payment of dividends.
This means that we pay the Preference Stock holders their dividend (which is fixed) and there after the remainder is paid up to the Common Stockholders
Preference dividend = 900 shares x $100 x 4 % = $3600
When Preference Stock is Cumulative, it means that all previous dividends in arrears have to be paid up before any current year distributions are made.
2018
Cumulative Preference dividend = $3600 (2017) + $3600 (2018) = $7200
therefore,
Dividends in arrears at December 31, 2018 total $7200
On January 1, a machine with a useful life of 4 years and a salvage value of $20000 was purchased for $84000. What is the depreciation expense for year 2 under straight-line depreciation
Answer:
Annual depreciation (2nd year)= $16,000
Explanation:
Giving the following information:
Purchase price= $84,000
Salvage value= $20,000
Useful life= 4 years
To calculate the annual depreciation, we need to use the following formula:
Annual depreciation= (Purchase price - salvage value)/estimated life (years)
Annual depreciation= (84,000 - 20,000) / 4
Annual depreciation= $16,000
Which of the following statements are TRUE? A firm's entry/exit decision is about: I. whether profits are positive or negative now. II. whether the stream of future profits is positive or negative. III. government regulations.
Answer: Whether profits are positive or negative now
II. Whether the stream of future profits is positive or negative
Explanation:
It should be noted that In a perfectly competitive industry in the long run, there'll be new firms that will enter the market when the already existing firms are making profit.
In the case of a loss, there'll be an exit. Therefore, the true is that a firm's entry or exit decision is about whether profits are positive or negative now and also whether the stream of future profits is positive or negative.
Therefore, the correct option is and II
The resistance of employees in an organization against flexibility, growth, and diversification can be overcome by developing______________________.
17. Calculating Future Values Streamsong Credit Bank is offering 4.7 percent compounded daily on its savings accounts. If you deposit $4,750 today, how much will you have in the account in 5 years
Answer:
Future value = $5912.87
Explanation:
Below is the calculation:
Interest rate = 4.7%
Present value of deposit = $4750
Time period, n = 5 years
Future value = Present value ( 1 + interest rate)^n
Future value = 4750 ( 1 + (4.7%/365)^5*365
Future value = 4750 (1 + 0.00012)^1825
Future value = $5912.87
The financing of long term assets should be made from
Answer:
The main sources constituting long-term financing are shares, debentures, and debts form banks and financial institutions.
If the French bank Société Générale reported its 2019 net income was 23,561 million euros and its operating expenses totaled 16,016
million euros, what was its gross profit? (Enter your answer in millions of euros.)
Gross Profit
million euros
Answer:
39,577 million euros
Explanation:
Calculation to determine the what was its gross profit
Using this formula
Gross profit=Net income+Operating expenses
Let plug in the formula
Gross profit=23,561 million +16,016 million
Gross profit=39,577 million euros
Therefore gross profit will be 39,577 million euros
Somebody please help me with Game Design I can’t take it anymore I’m stressed bro
1. make the game world more engaging or In what way can audio design for both sound and music intersect with GUI design?
2. Think about a game you’ve played with effective sound effects or a game you’d like to design. Propose or identify how that game used sound to:
a. give feedback to the player;
b. give hints about upcoming events; and
c. make the game world more engaging or immersive.
Answer:
i dont know
Explanation:
ow do each of the following events change the demand for or supply of jeans? A. The price of a denim skirt halves . B. People’s incomes increase . C. Upper A new technology becomes available that reduces the time it takes to manufacture a pair of jeans . D. The price of the cloth (denim )used to make jeans rises . E. Jeans go out of fashion . F. The price of a pair of jeans rises . G. The wage rate paid to garment workers falls . H. More specialty shops start to sell jeans .
Answer:
1. the quantity demanded of jeans increases
the quantity supplied of jeans decreases
2. the demand for jeans increases
3. the supply of jeans increases
4. the supply of jeans reduces
5. the demand for jeans falls
6. the quantity demanded of jeans decreases
the quantity supplied of jeans increases
7. the supply of jeans increases
8, the supply of jeans increases
Explanation:
Only a change in the price of a good leads to a movement along the supply curve (demand curve) for that good. If price increases, there is a movement up along the supply curve and if prices decreases, there is a movement down along the supply curve. This is in line with the law of supply.
according to the law of supply, the higher the price, the higher the quantity supplied and the lower the price, the lower the quantity supplied.
Other factors other than changes in the price of the good leads to a shift of the supply curve. Such factors include :
A change in the number of suppliers
a change in the price of substitute goods
A change in the price of factors used in the production process
government regulation
If price increases, there is a movement down along the demand curve and if prices decreases, there is a movement up along the demand curve. This is in line with the law of demand.
According to the law of demand, the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.
Other factors lead to a shift of the demand curve. they include :
change in taste of the consumerchange in consumer's income season change in the price of substitutesA. the price of denim halves. there would be a change in the quantity demanded and supplied. quantity demanded increases while quantity supplied decreases
b. An increase in income would lead to a rightward shift of the demand curve. demand would increase
c. As a result of new technology, supply would increase. supply curve would shift outward
d. As a result of the rise in price of denim, it because more expensive to make jeans. supply would fall.
e. If jeans goes out of fashion, consumers would no longer buy jeans. the demand would fall
g. if wages fall, it becomes cheaper to make jeans, thus the supply increases
Investing activities do not include the: Multiple Choice Purchase of plant assets. Loaning of money in exchange for notes receivable. Issuance of common stock. Sale of plant assets. Sale of short-term investments other than cash equivalents.
Answer:
Issuance of common stock.
Explanation:
In the fall of 2008, AIG, the largest insurance company in the world at the time, was at risk of defaulting due to the severity of the global financial crisis. As a result, the U.S. government stepped in to support AIG with large capital injections and an ownership stake. How would this affect, if at all, the yield and risk premium on AIG corporate debt before and after U.S. Government support
• Initially default risk increases, yield increases, price of AIG decreases
• After government intervention, default decreases, yield decreases, price of AIG increases
Considering technological innovations, schools increasingly adopt digital tools and promote online environments for learning.
a. True
b. False
Answer:
A
Explanation:
Technological innovations are been increasingly adopted in schools.
examples of technological innovations used in schools are :
Digital readers and tablets. Virtual reality Gamification Use of Biometrics Cloud technology Artificial intelligence Mobile technologyAdvantages of adopting technology in schools include :
It facilitates the learning process and ensures faster retention of what is taughtIt also helps students remember what they were been taught in schools. for example, there are educational game appsAlso, students can get help faster with questions they might have. for example, an app like brainly provides answers and explanation to studentsWith technology, learning can take place outside the four walls of a school. With the pandemic, technology has facilitated learning from home.NorthRim Inc. (NRI), imports extreme condition outdoor wear and equipment from the Allofit Territories Company (ATC) located in Canada. With the steady decline of the U.S dollar against the Canadian dollar NRI is finding a continued relationship with ATC to be an increasingly difficult proposition. In response to NRI's request, ATC has proposed the following risk-sharing arrangement. First, set the current spot rate as the base rate. As long as spot rates stay within 5% (up or down) NRI will pay at the base rate. Any rate outside of the 5% range, ATC will share equally with NRI the difference between the spot rate and the base rate. If the current spot rate is C$1.20/$, what are the upper and lower limits for trading to take place at C$1.20?
a. C$1.205/$ - C$1.195/$
b. C$1.15/$ - C$1.25/$
c. C$1.14/$ - C$1.26/$
d. none of the above
Answer:
The answer is "Option C".
Explanation:
Let
Spot rate = Base rate= 1.20
Within the [tex]5\%[/tex] range, the trade will taking the place at the base rate that is [tex]=1.20[/tex]
Calculating the lower limit:
[tex]\to 1.20 - (5\% \times 1.20) =1.20 - (0.06)= 1.20 - 0.006 = 1.14\\\\\to 1.20 + (5\% \times 1.20)=1.20 + (0.06) = 1.20 + 0.006 = 1.26[/tex]
a) Suppose a country is able to produce a maximum of either 300 units of lumber or 100 units of rice. This country is currently allocating its labor resources to produce 75 units of lumber and 75 units of rice. To increase its lumber production by 6 units to 81, the country faces an opportunity cost of
Answer: 2 units of rice
Explanation:
Opportunity cost simply means the real cost of something else that we forgo or benefit lost. .
a) Based on the information given above, the opportunity cost of producing lumber with regards to the units of rice will be:
= 100/300
= 1/3 units of rice
This means that 1/3 unit of rice will be given up for every 1 unit of lumber
To increase its lumber production by 6 units, then the units of rice that'll be sacrificed will be:
= 6 × 1/3
= 2 units of rice
Therefore, country faces an opportunity cost of 2 units of rice.