Answer:
Line
Explanation:
The line organization is the organization structure in which the authority and responsibility are communicated from the top to bottom level of management so that the proper coordination could be done at each level of management i.e top, middle and lower.
Moreover, it is a two ways lines of responsibility i.e to be communicated from high to low level of management. Plus it would be reported to one supervisor only
Which of the following accounts will only be found in the chart of accounts of a merchandising company? a. Accounts Payable b. Accounts Receivable c. Inventory d. Sales
Answer:
c. Inventory
Explanation:
A merchandising company is one that specialises in buying and reselling goods. Profit is made by selling goods at higher prices than they were bought.
Merchandising companies can be wholesale or retail businesses.
Because of the nature of their business merchandising companies usually make use of storage facilities to stock goods. This nesecitates the use of an inventory account to monitor inflow and outflow of goods.
Therefore inventory account is used only by merchandising companies
Answer:
The answer is C. Inventory
Explanation:
Meerchandising company is a company that buys goods(inventories) and resells them later at a price higher than the purchase price.
We have two types of merchandising companies:
1. Retail
2. Wholesale.
Since they buy and sells inventories (goods), only inventory accounts can be found in the chart of accounts among those options.
ctivity-Based Costing and Conventional Costs Compared Chef Grill Company manufactures two types of cooking grills: the Gas Cooker and the Charcoal Smoker. The Cooker is a premium product sold in upscale outdoor shops; the Smoker is sold in major discount stores. Following is information pertaining to the manufacturing costs for the current month. Gas Cooker Charcoal Smoker Units 1,000 4,000 Number of batches 60 10 Number of batch moves 80 20 Direct materials $20,000 $100,000 Direct labor $20,000 $27,000 Manufacturing overhead follows: Activity Cost Cost Driver Materials acquisition and inspection $288,000 Amount of direct materials cost Materials movement 16,900 Number of batch moves Scheduling 42,000 Number of batches $346,900 Rounding instructions: Do not round until your final answers. Round total cost answers to the nearest dollar and per unit answers to the nearest cent. (a) Determine the total and per-unit costs of manufacturing the Gas Cooker and Charcoal Smoker for the month, assuming all manufacturing overhead is assigned on the basis of direct labor dollars. HINT: Use 7.3809 for overhead rate calculations. Total cost Answer Gas Cooker Answer per unit Charcoal Smoker Answer per unit (b) Determine the total and per-unit costs of manufacturing the Gas Cooker and Charcoal Smoker for the month, assuming manufacturing overhead is assigned using activity-based costing. Total cost Answer Gas Cooker Answer per unit Charcoal Smoker Answer per unit PreviousSave AnswersNext
Answer:
(a) Determine the total and per-unit costs of manufacturing the Gas Cooker and Charcoal Smoker for the month, assuming all manufacturing overhead is assigned on the basis of direct labor dollars.
Gas Cooker:
total cost = $20,000 + $20,000 + $147,618 = $187,618
cost per unit = $187.62
Charcoal Smoker
total cost = $20,000 + $27,000 + $199,284 = $246,284
cost per unit = $61.57
(b) Determine the total and per-unit costs of manufacturing the Gas Cooker and Charcoal Smoker for the month, assuming manufacturing overhead is assigned using activity-based costing.
Gas Cooker:
total cost = $20,000 + $20,000 + $48,000 + $13,520 + $36,000 = $137,520
cost per unit = $137.52
Charcoal Smoker
total cost = $100,000 + $27,000 + $240,000 + $3,380 + $6,000 = $376,380
cost per unit = $94.10
Explanation:
Gas Cooker Charcoal Smoker
Units 1,000 4,000
Number of batches 60 10
Number of batch moves 80 20
Direct materials $20,000 $100,000
Direct labor $20,000 $27,000
Manufacturing overhead follows:
Activity Cost Cost Driver
Materials acquisition $288,000 Amount of direct
and inspection materials cost
$48,000
$240,000
Materials movement $16,900 Number of batch moves
$13,520
$3,380
Scheduling $42,000 Number of batches
$36,000
$6,000
Megan and Susan are roommates. They spend most of their time studying (of course), but they leave some time for their favorite activities: making pizza and brewing root beer. Megan takes 3 hours to brew a gallon of root beer and 2 hours to make a pizza. Susan takes 7 hours to brew a gallon of root beer and 5 hours to make a pizza.
Megan's opportunity cost of making a pizza is ??
2/3 gallon
5/7 gallon
1 1/2 gallons
1 2/5 gallons
of root beer, and Susan's opportunity cost of making a pizza is ???
2/3 gallon
5/7 gallon
1 1/2 gallons
1 2/5 gallons
of root beer.
Who ?? has an absolute advantage in making pizza, and who ?? has a comparative advantage in making pizza?
If Megan and Susan trade foods with each other who ?? will trade away pizza in exchange for root beer.
The price of pizza can be expressed in terms of gallons of root beer. The highest price at which pizza can be traded that would make both roommates better off is ??? of root beer, and the lowest price that makes both roommates better off is ??? of root beer per pizza.
Answer:
See explanation
Explanation:
a) Megan's opportunity cost of making pizza:
It takes Megan 2 hours to make 1 pizza and 3 hours to produce one root beer. If she spends the time used in producing pizza to produce root of beer, in 2 hours she can produce 2/3 gallons of root beer.
Therefore, the opportunity cost of making a pizza for Megan = 2/3 gallon of root beer.
b) Susan's opportunity cost of making a pizza:
It takes Susan 5 hours to make 1 pizza and 7 hours to produce a gallon of root beer. If she spend the time used in making pizza to produce root beer, in 5 hours she can produce 5/7 gallons of root beer.
Therefore, the opportunity cost of making a pizza for Susan = 5/7 gallon of root beer.
c) Megan has an absolute advantage in making pizza because it takes lesser time to make pizza i.e 2 hours, compared to Susan's 5 hours.
Megan has a comparative advantage in making pizza because she has a lower opportunity cost in making pizza i.e 2/3 gallons of root beer, compared to Susan i.e 5/7 gallons of root beer.
d) Since Megan has a comparative advantage in making pizza, she will make pizza and exchange it for root beer that Susan makes.
e) The highest price of pizza in terms of root beer that will make both roommates better off is 5/7 of a gallon of root beer. If the price is higher than this, then Susan would rather make her own pizza instead of trading for pizza that Megan makes.
The lowest price of pizza in terms of root beer that will make both roommates better off is 2/3 gallon of root beer. If the price is lower than this, then Megan would prefer making her own root beer rather than trading for root beer that Susan makes.
The information necessary for preparing the 2018 year-end adjusting entries for Winter Storage appears below. Winter's fiscal year-end is December 31.
a. Depreciation on the equipment for the year is $7,000.
b. Salaries earned (but not paid) from December 16 through December 31, 2018, are $3,400.
c. On March 1, 2018, Winter lends an employee $12,000 and a note is signed requiring principal and interest at 6% to be paid on February 28, 2019.
d. On April 1, 2018, Winter pays an insurance company $15,000 for a one-year fire insurance policy. The entire $15,000 is debited to prepaid insurance at the time of the purchase.
e. $1,500 of supplies are used in 2018.
f. A customer pays Winter $4,200 on October 31, 2018, for six months of storage to begin November 1, 2018. Winter credits deferred revenue at the time of cash receipt.
g . On December 1, 2018, $4,000 advertising is paid to a local newspaper. The payment represents advertising for December 2018 through March 2019, at $1,000 per month. Prepaid advertising is debited at the time of the payment.
Required: Record the necessary adjusting entries at December 31, 2018.
Answer:
Adjusting entries are entries that indicate the events of the company that have occurred but not yet recorded by the company.
a. DATE DESCRIPTION DEBIT CREDIT
Dec 31 Depreciation Expenses $7,000
2018 Accumulated Expenses $7,000
(Record depreciation on equipment )
b. DATE DESCRIPTION DEBIT CREDIT
Dec 31 Salary expenses $3,400
2018 Salary payable $3,400
(Record salary incurred but not paid)
c. DATE DESCRIPTION DEBIT CREDIT
Dec 31 Interest receivables $660
2018 (12,000 * 6% * 11/12)
Interest revenue $660
(Record of interest earned)
d. DATE DESCRIPTION DEBIT CREDIT
Dec 31 Insurance Expenses $11,250
2018 (15,000 * 9/12)
Prepaid Insurance $11,250
(Record payment of insurance expenses)
e. DATE DESCRIPTION DEBIT CREDIT
Dec 31. Supplies Expenses $1,500
2018 Supplies $1,500
(Record of supplies)
f. DATE DESCRIPTION DEBIT CREDIT
Dec 31, Deferred revenue $1,400
2018 (4,200 * 2 month / 6 month)
Service revenue $1,400
(Record advance payment for services provided)
g. DATE DESCRIPTION DEBIT CREDIT
Dec 31, Advertisement Expenses $1,000
2018 Prepaid Advertisement $1,000
(Record payment for advertisement)
There are two techniques of egg production: free range (where hens roam around the farm) or factory (where hens are fed and watered in wire cages). The free range technique has a much more elastic supply curve than the factory technique. When the demand for eggs falls:________.
a. egg production falls by a smaller percentage in the factory technique than in the free range technique.
b. egg production falls by a larger percentage in the factory technique than in the free range technique.
c. the production using both techniques falls by the same percentage.
d. the factory egg producers supply curve shifts inward.
e. the free range egg producers supply curve shifts inward.
Answer:
a. egg production falls by a smaller percentage in the factory technique than in the free range technique.
Explanation:
Elasticity of supply is defined as the degree of responsiveness of supply to changes in price. Highly elastic supply responds more to change in price than low elastic supply.
In the given scenario where eggs are produced using factory and free range techniques, as demand falls price consumers are willing to pay also falls.
Since factory technique has a lower elasticity of supply, the fall in supply as a result of fall in price will be small.
However the fall in supply of free range will be higher because of its higher elasticity
What is true regarding static budgets? Select one: a. It is the budgeted amount used to calculate standard costs. b. It is the budgeted amount used to calculate the actual costs. c. It is also called moving or nonstationary budgets. d. All of the above
Answer:
b. It is the budgeted amount used to calculate the actual costs.
Explanation:
Static budget is the budget which remains the same even if there is some changes made but the flexible budget do not remain the same.
Moreover, the static budget is the main budget that used to prepare the standard cost by considering the budgeted activity level
Therefore it is the budget in which the budgeted amount should be considered in order to determine the actual cost that helps to make the flexible budget
If the interest rate is 10%, what is the present value of a security that pays you $1,500 next year, $1,400 the year after, and $1,300 the year after that?
Answer:
The present value is $3,497.3
Explanation:
In order to calculate the present value of a security that pays you $1,500 next year, $1,400 the year after, and $1,300 the year after we would have to make the following calculation:
Present Value = payment next year x P/F(10%, 1) + payment the year after x P/F(10%, 2) + payment the year after that x P/F(10%, 3)
Present Value= $1,500 x 0.9091 + $1,400 x 0.8264 + $1,300 x 0.7513
Present Value = $1,363.65 + $1,156.96 + $976.69
Present Value = $3,497.3
The present value is $3,497.3
Green Gusts is a two-year-old company that makes wind turbines. The business owner, Mike, is struggling to compete. Finding enough employees who know how to do the work has been difficult, and Mike believes that his labor costs are too high because he cannot afford to match the prices of his nearest competitors. To help with these problems, Mike hires a new HR manager, Jake. Jake recommends they start by bringing in an industrial engineer. How is this approach to job design most likely to help Green Gusts?
Answer:
c. by simplifying work and increasing output per worker
Explanation:
Since in the question, it is given that the labor cost rising and he is not capable to afford but at the same time he wants to remain in the competition due to which he hires a new HR manager, Jake.
So to overcome this problem the work should be simplified to each and every employee who is working there so that they get to know what actually they have to do that results increase in output per worker
Hence, the correct option is c.
im Angel holds a $200,000 portfolio consisting of the following stocks: Stock Investment Beta A $50,000 0.95 B 50,000 0.8 C 50,000 1 D 50,000 1.2 Total $200,000 What is the portfolio's beta
Answer: 0.9875
Explanation:
Portfolio beta is the measure of the volatility of a portfolio or security when it is compared to the market.
From the question, we are informed that an investment of $200,000 was made for four stock types. This means each stock's investment was: ($200,000/4) = $50,000. Therefore a weightage of (100% ÷ 4) = 25% will be assigned to each.
The portfolio beta will now be:
= (25% × 0.95) + (25% × 0.8) + (25% × 1) + (25% × 1.2)
= (0.25 × 0.95) + (0.25 × 0.8) + (0.25 × 1) + (0.25 × 1.2)
= 0.2375 + 0.2 + 0.25 + 0.3
= 0.9875
The portfolio's beta is 0.9875
On January 1, the Matthews Band pays $65,800 for sound equipment. The band estimates it will use this equipment for four years and perform 200 concerts. It estimates that after four years it can sell the equipment for $2,000. During the first year, the band performs 45 concerts. Compute the first-year depreciation using the units-of-production method. g
Answer:
Annual depreciation= $14,355
Explanation:
Giving the following information:
Original cost= $65,800
Number of units= 200
Salvage value= $2,000
During the first year, the band performs 45 concerts.
To calculate the annual depreciation under the units-of- production method, we need to use the following formula:
Annual depreciation= [(original cost - salvage value)/useful life of production in units]*units operated
Annual depreciation= [(65,800 - 2,000)/200]*45
Annual depreciation= $14,355
Hazel Morrison, a mutual fund manager, has a $40 million portfolio with a beta of 1.00. The risk-free rate is 4.25%, and the market risk premium is 6.00%. Hazel expects to receive an additional $60 million, which she plans to invest in additional stocks. After investing the additional funds, she wants the fund's required and expected return to be 13.00%. What must the average beta of the new stocks be to achieve the target required rate of return? a. 2.04 b. 1.68 c. 1.85 d. 1.76 e. 1.94
Answer:
The average beta of the new stocks would be 1.75 to achieve the target required rate of return
Explanation:
In order to calculate the average beta of the new stocks to achieve the target required rate of return we would have to calculate the following:
average beta of the new stocks = (Required Beta-(portfolio /total fund) *old beta)/(additional portfolio/total fund)
To calculate the Required Beta we would have to use the formula of Required rate of return as follows:
Required rate of return=Risk free return + (market risk premium)*beta
0.13=0.0425+(0.06*Required Beta)
Required Beta = (0.13-0.0425)/0.06
Required Beta = 1.45
Therefore, average beta of the new stocks =(1.45-($40/$100) *1)/($60/$100)
average beta of the new stocks =1.05/0.6
average beta of the new stocks =1.75
The average beta of the new stocks would be 1.75 to achieve the target required rate of return
Juggernaut Satellite Corporation earned $18.5 million for the fiscal year ending yesterday. The firm also paid out 40 percent of its earnings as dividends yesterday. The firm will continue to pay out 40 percent of its earnings as annual, end-of-year dividends. The remaining 60 percent of earnings is retained by the company for use in projects. The company has 2 million shares of common stock outstanding. The current stock price is $80. The historical return on equity (ROE) of 14 percent is expected to continue in the future.
What is the required rate of return on the stock?
Answer:
13.41%
Explanation:
Last Year: Earnings = $18,500,000
Shares Outstanding = 2,000,000
Earnings per share = Earnings / Shares Outstanding
= $18,500,000 / 2,000,000
= $9.25
Dividend per share, D0 = Earnings per share * Payout Ratio
Dividend per share, D0 = $9.25 * 40%
Dividend per share, D0 = $3.70
Retention Ratio = 60%
Return on Equity = 14%
Growth Rate, g = Return on Equity * Retention ratio
Growth Rate, g = 14% * 0.60
Growth Rate, g = 8.40%
Current Price, P0 = $80.00
Next Year: Dividend per share, D1 = D0 * (1 + g)
Dividend per share, D1 = $3.70 * (1 + 8.40%)
Dividend per share, D1 = $3.70 * 1.084
Dividend per share, D1 = $4.0108
Required Rate of Return = D1 / P0 + g
= $4.0108 / $80.00 + 0.0840
= 0.0501 + 0.0840
= 0.1341
= 13.41%
PWD Incorporated is an Illinois corporation. It properly included, deducted, or excluded the following items on its federal tax return in the current year: Item Amount Federal Treatment Illinois income taxes $ 33,361 Deducted on federal return Indiana income taxes $ 18,480 Deducted on federal return Ohio Commercial Activity Tax $ 3,992 Deducted on federal return Illinois municipal bond interest $ 9,984 Excluded from federal return Indiana municipal bond interest $ 15,100 Excluded from federal return Federal T-note interest $ 2,492 Included on federal return PWD's federal taxable income was $104,000. Calculate PWD's Illinois state tax base.
Answer:
PWD's Illinois state tax base = $168,449
Explanation:
DATA
Illinois income taxes = $33,361
indiana income taxes = $18,480
Illinois municipal bond interest = $9,984
Indiana municipal bond interest = $15,100
Federal T-note interest = $2,492
Federal taxable income = $104,000
PWD's Tax Base = ?
Solution
PWD's Illinois Tax base can be calculated as follows
Formula
Illinois state tax base = Federal taxable income+Indiana income taxes+Illinois income taxes+Indiana municipal bond interest – federal t-note interest
Illinois state tax base = $104,000 + $18,480 + $33,361 + $15,100 - $2,492
PWD's Illinois state tax base = $168,449
Granfield Company has a piece of manufacturing equipment with a book value of $45,000 and a remaining useful life of four years. At the end of the four years the equipment will have a zero salvage value. The market value of the equipment is currently $23,000. Granfield can purchase a new machine for $130,000 and receive $23,000 in return for trading in its old machine. The new machine will reduce variable manufacturing costs by $20,000 per year over the four-year life of the new machine. The total increase or decrease in net income by replacing the current machine with the new machine (ignoring the time value of money) is:
Answer:
i think the answer is 115
Explanation:
if you add 45.000+23.000+23.000+20.000+4 =115 there your answer
thank you i love to help people i am only a 7th grade almost 8th grader
A company performing its long-lived asset impairment testing is reviewing the fair value of equipment. Each of the following valuation techniques may be appropriate for measuring the fair value of the equipment, except the:_______
a. Market approach.
b. Income approach.
c. Cost approach.
d. Net realizable value approach.
Answer:
d. Net realizable value approach.
Explanation:
An impairment usually arises when a company's asset (either intangible or fixed asset) overall future cash-flow ability (fair value) is lesser than its carrying value. This impairment of assets may be as a result of varying consumer demands, recession, damages, inflation or even a change in legal conditions.
For a long-lived asset, if its carrying value exceeds its fair value and isn't really recoverable, there's an impairment loss on the asset.
In the event that, a company performing its long-lived asset impairment testing is reviewing the fair value of equipment. Each of the following valuation techniques may be appropriate for measuring the fair value of the equipment;
1. Market approach: this measures and analyzes whether there's a decline in the market price of the asset.
2. Income approach: this determines if there were any operating or cash-flow losses on the asset.
3. Cost approach: this is an approach used to determine the level of cost associated with purchasing, maintaining and fabricating the asset.
The Fed increased the supply of US dollars at an average rate of 6 percent per year over the 1980-2005 period. Based on the theory of production capacity, if the Fed had instead increased the money supply at the rate of 7 percent per year during that period, given other policies: (Select all that apply.)
Answer:
These are the options for the question:
A. The average inflation rate during 1980-2005 would have been one percentage point higher than it actually was in that period.
B. The economy would have enjoyed a much higher level of output in the mid-2000s.
C. The price level in 2005 would have been about 28 percent higher than what it actually reached in that year.
D. The output of the economy in the mid-2000s would not have been very different from the levels it actually reached.
And this is the correct answer:
A. The average inflation rate during 1980-2005 would have been one percentage point higher than it actually was in that period.
Explanation:
According to the production capacity theory, if the money supply is increased, but the quantity of output is not, or is not increased at the same rate, then, inflation will set in.
In this case, the question is telling us that the Fed would have increased the money supply by one percentage point, but output (GDP growth) would have stayed the same.
For this reason, all else being equal, this higher amount of money supply would have simply created more inflation.
On January 2, 2021 Pod Company purchased 30% of the outstanding common stock of Jobs, Inc. and used the equity method to account for the investment. During 2021, Jobs reported net loss of $160,000 and distributed dividends of $100,000. The ending balance in the Investment in Jobs Company account at December 31, 2021 was $640,000 after applying the equity method. What was the purchase price Pod Company paid for its investment in Jobs, Inc.? "g"
Answer:
The purchase price is 7 million 435 thousnad 638.92 dollars
Explanation:
On December 20, the company paid cash for equipment, $272,300, subject to a 2% cash discount, and freight on equipment of $11,410. Prepare entries on the books of Concord Company for these transactions. (Round intermediate calculations to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places e.g. 58,971. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Answer:
Dr equipment $ 278,264.00
Cr cash $278,264.00
Explanation:
The amount of cash paid for equipment=$272,300*(1-2%)=$266,854.00
The cash paid for freight on equipment is $11,410
The cash paid on freight would also be debited to the equipment's account since the cost of an asset includes the amount spent bringing it to its present location and condition .
Total cost of equipment =$266,854.00+$11,410.00
EVA/MVA The financial statements reflect historical data, but managers' performance must be evaluated on the basis of values. To provide this information, financial analysts have developed two measures: Market Value Added (MVA) and Economic Value Added (EVA). Market Value Added represents the difference between the money stockholders have invested in the firm versus the cash they could receive if the firm were sold. The equation for MVA is:
Answer:
MVA = (Shares outstanding * Stock price) - Total common equity
Explanation:
Market value added is the excess of equity over its book value. It is the difference between money invested by stockholders and the cash they will receive if the company is sold. The higher MVA of a company means performance of the company management is good and is in the favor of stockholders.
Baldwin Corp. ended the year carrying $21,580,000 worth of inventory. Had they sold their entire inventory at their current prices, how many more dollars of contribution margin would it have brought to Baldwin Corp.?
Explanation:
The given question cannot be answered as little information is provided. However it shall be an amount if $21,580,000. For, complete analysis we need to understand the current prices and various other variable costs. We know that the contribution margin is the Sale Price (SP) minus the Variable Cost (VC). It is the number of sales per unit that will be available to service fixed expenses and to generate the profit.
Therefore, to determine a more detailed answers more inputs are needed.
Under optimal monetary policy, the central bank adjusts its policy based on anticipated rather than current inflation and output gaps because:
Answer: Monetary policy has a long outside lag.
Explanation:
The options are that:
a. It wants to avoid time inconsistency problems.
b. It takes time for the Central Bank to implement its policy decisions.
c. Monetary policy has a long outside lag.
d. Forecast errors are often rather large.
Monetary policy is the use of interest rate and the supply of money to control the economy. Optimal monetary policy helps to maximizes the welfare of individuals and firms given the frictions that occur in the economic environment.
Under optimal monetary policy, the central bank adjusts its policy based on anticipated rather than current inflation and output gaps because monetary policy has such long outside lags. It has a long outside lag because they mainly affect the investment plans of business and a change in the rate of interest might not really have a full effect on the spending on investment for several years.
6.2 Assignment: Intellectual Property 1. Clifford Witter was a dance instructor at the Arthur Murray Dance Studios in Cleveland. As a condition of employment, he signed a contract not to work for a competitor. Subsequently, he was hired by the Fred Astaire Dancing Studios, where he taught the method that he had learned at Arthur Murray. Arthur Murray sued to enforce the noncompete contract. What would be result? What additional information, if any, would you need to know to decide the case? 2. Greenberg worked for Buckingham Wax as its chief chemist, developing chemical formulas for products by testing other companies’ formulas and modifying them. Brite Products bought Buckingham’s goods and resold them under its own name. Greenberg went to work for Brite, where he helped Brite make chemicals substantially similar to the ones it had been buying from Buckingham. Greenberg had never made any written or oral commitment to Buckingham restricting his use of the chemical formulas he developed. May Buckingham stop Greenberg from working for Brite? May it stop him from working on formulas learned while working at Buckingham? Why?
Answer:
The overview of the given circumstances is described in the explanation segment below.
Explanation:
(1)...
Non-compete seems to be a standard procedure in several areas of the globe to safeguard information. There must have been 2 factors for something like a non-competent specified period in exchange, as shown in this scenario:
There's got to have been a state secret that is hidden from the public. Witter uses trade secrets for his previous venture.Neither of the circumstances confirms that realizing as well as trying to teach how and when to start dancing seems to be completely obvious and does not quantity to state secrets. If this were a style of dance that is already recognized mostly to Anthony Murray as well as Witter, therefore the case might have been dissimilar. And while this skill is trained to every learner, it isn't a secret.
Interestingly, Witter doesn't use trade secrets because it is a common experience of dance to learn well how to dance. Haven't broken the non-competition.
(2)...
Buckingham may, if he indeed wishes, promote to prevent Greenberg from operating on such formulations, and even using them for many other businesses, as he created certain formulas although employed at Buckingham. This also acknowledges that all these formulas have been created again for the corporation of Buckingham and therefore any exposure of such formulas to some of its rival businesses directly impacts the company of Buckingham.
They should negotiate through Brite the current landlord of Greenberg, not to require Greenberg to provide it, and that therefore Brite, and in so doing, is indicting the requirements including its Intellectual Property Act. Nevertheless, it seems from either the content of the issue that there was no Non-Disclosure Agreement among Buckingham as well as Greenberg.However although there would have been a long-standing contractual partnership involving Brite & Buckingham, hardly any agreement concerning digital content as well as Trade Secret sharing including non-disclosure had already been concluded.In consideration of it all, it would be very unlikely against Buckingham to just get a judge's order targeting Greenberg as well as Briton to prosecute them or even to prevent themselves from being used formulas established by Greenberg although employed for Buckingham.
Jay received the following fair market value amounts during the current year: Interest on Montgomery County bonds (used to build a bridge) $100 Interest on U.S. Treasury notes $200 Gain on sale of Montgomery County bonds $300 Common stock dividend in IBM Corporation common stock (no cash option) $400 What amount of taxable income should Jay report from these amounts
Answer:
$300
Explanation:
Given that :
Jay received the following fair market value amounts during the current year:
Interest on Montgomery County bonds
(used to build a bridge) $100
Interest on U.S. Treasury notes $200
Gain on sale of Montgomery County bonds $300
Common stock dividend in IBM Corporation
- common stock (no cash option) $400
From the above amounts that Jay received during the current year;
The following are free from an obligation and liability imposed as a result of tax.
1. Interest on Montgomery County bonds (used to build a bridge)
2. Interest on U.S. Treasury notes
3. Common stock dividend in IBM Corporation common stock (no cash option)
So; we can say they are not taxable
BUT only Gain on sale of Montgomery County bonds which is $300 only taxable
Thus, The amount of taxable income Jay should report from the above amounts is $300
Angus Company agreed to sell goods for Longhorn Company on consignment, but wasn't willing to take ownership of the goods in case they were difficult to sell. Which of the following statements is true?
A. Angus owns the inventory and should report It on its balance snoot.
B. Long hum owns the inventory but should not report it on its balance sheet because Angus actually holds the inventory
C. Angus owns the inventory since possession is nineteenths of the law. but should not report it on its balance sheet.
D. Longhorn owns the inventory and should report it on its balance sheet.
Answer: D. Longhorn owns the inventory and should report it on its balance sheet.
Explanation:
Goods to be sold on consignment for a company means a company is selling goods for another company and will be paid for their services.
In that case, the company being sold for will retain the ownership of the goods because the company that is selling it for them is simply providing a service.
Angus in this scenario are simply holding the goods to sell it and so do not own the goods. Longhorn should therefore record it in their own books as inventory.
Suppose the world price of cotton falls substantially. The demand for labor among cotton-producing firms in Texas will . The demand for labor among textile-producing firms in South Carolina, for which cotton is an input, will . The temporary unemployment resulting from such sectoral shifts in the economy is best described as unemployment.
Suppose the government wants to reduce this type of unemployment. Which of the following policies would help achieve this goal? Check all that apply.
a. Extending the number of weeks for which unemployed workers are eligible for unemployment insurance benefits from the government
b. Taxing the price of placing a resume or posting a job opening on job-search website
c. Establishing government-run employment agencies to connect unemployed workers to job vacancies
Answer:
Suppose the world price of cotton falls substantially. The demand for labor among cotton-producing firms in Texas will DECREASE. The demand for labor among textile-producing firms in South Carolina, for which cotton is an input, will INCREASE. The temporary unemployment resulting from such sectoral shifts in the economy is best described as STRUCTURAL unemployment.
Structural unemployment is a non voluntary type of unemployment and it occurs because the skills of the workers are not the ones needed by the employers. In this case, labor that was used for producing cotton in Texas is no longer needed due to shifts in the world price of cotton.
Suppose the government wants to reduce this type of unemployment. Which of the following policies would help achieve this goal? Check all that apply.
c. Establishing government-run employment agencies to connect unemployed workers to job vacancies
A manufacturer that sells _ is most likely to employ personal selling.
A. Scissors with a safety attachment.
B. Generic tea at a low cost.
C. Private jets to people.
D. Packaged chips all over the world.
Answer:
C. Private jets to people.
Explanation:
Personal selling refers to a strategy in which the sales people meet with the customer to convince him/her to buy the product. This strategy is used when the goods of services are costly or technical. According to this, the answer is that a manufacturer that sells private jets to people is most likely to employ personal selling because it is an specialized and costly product that requires to meet the customer to be able to explain everything and encourage him/her to make the purchase.
The other options are not right because they are cheaper products and don't require the sales people to meet with the customer to be able to sell them.
Galvatron Metals has a bond outstanding with a coupon rate of 6.3 percent and semiannual payments. The bond currently sells for $1,919 and matures in 17 years. The par value is $2,000 and the company's tax rate is 39 percent. What is the company's aftertax cost of debt?
Answer:
4.09%
Explanation:
For computing the after cost of debt we have to applied the RATE formula i.e to be shown in the attachment below:
Given that,
Present value = $1,919
Future value or Face value = $2,000
PMT = 2,000 × 6.3% ÷ 2 = $63
NPER = 17 years × 2 = 34 years
The formula is shown below:
= Rate(NPER,PMT,-PV,FV,type)
The present value come in negative
So, after applying the above formula,
1. The pretax cost of debt is 3.35% × 2 = 6.70%
2. And, the after tax cost of debt would be
= Pretax cost of debt × ( 1 - tax rate)
= 6.70% × ( 1 - 0.39)
= 4.09%
Under Variable costing, fixed expenses: Select one: a. Are subtracted from sales to arrive at the contribution margin b. Are subtracted from sales to arrive at the gross profit c. Are expensed in the current period d. A and C
Answer:
The answer is C. Are expensed in the current period
Explanation:
Under variable costing, fixed expenses is treated as a period cost and is expensed in the current period's income statement.
Option A is incorrect because variable cost and not fixed cost cost are subtracted from sales to arrive at contribution margin
Option B is also incorrect because cost of sales and not fixed cost/expenses are subtracted from sales to arrive at gross profit.
New Gadgets, Inc., currently pays no dividend but is expected to pay its first annual dividend of $4.90 per share exactly 7 years from today. After that, the dividends are expected to grow at 3.5 percent forever. If the required return is 11.3 percent, what is the price of the stock today
Answer:
Price of stock today =$33.045
Explanation:
The price of a stock using the dividend valuation model is the present value of the the future dividend expected from the stock discounted at the required rate of return.
This model would be applied as follows
PV of the first dividend =
Dividend in year 7 × (1+r)^(-n)
r- 11.3%, n- 7
PV = 4.90× 1.113^(-7) = 2.315
Dividend in year 8 and beyond
PV (in year 7 terms) =4.90× 1.035/(0.113- 0.035)= 65.019
PV of dividend in year 0
=PV in year 7 × 1.113^(-7)
=65.019 × 1.113^(-7) = 30.73
Price of stock today = 2.315+ 30.73 = 33.045
Price of stock today =$33.045
Matthew (48 at year-end) develops cutting-edge technology for SV Inc., located in Silicon Valley. In 2018, Matthew participates in SV’s money purchase pension plan (a defined contribution plan) and in his company’s 401(k) plan. Under the money purchase pension plan, SV contributes 15 percent of an employee’s salary to a retirement account for the employee up to the amount limited by the tax code. Because it provides the money purchase pension plan, SV does not contribute to the employee’s 401(k) plan. Matthew would like to maximize his contribution to his 401(k) account after SV’s contribution to the money purchase plan.
a. Assuming Matthew's annual salary is $400,000, what amount will SV contribute to Matthew's money purchase plan? What can Matthew contribute to his 401(k) account in 2010?
b. Assuming Matthew's annual salary is S240,000, what amount will SV contribute to Matthew's money purchase plan? What can Matthew contribute to his 401(k) account in 2010?
c. Assuming Matthew's annual salary is $60,000, what amount will SV contribute to Matthew's money purchase plan? What amount can Matthew contribute to his 401(k) account in 2010?
d. Assume the same facts as c. except that Matthew is 54 years old at the end of 2010. What amount can Matthew contribute to his 401(k) account in 2010?
Answer:
Explanation:
The concept of 401 K plan refers to the taxation saving plan made by contributing a certain amount. An employer donation to his/her 401 K account can span between the range of $16,500 and $22000( for the aged from 50 and above). Also, for an employer and employee, contribution can be make into their 401 K account up to $49000 and $54000 for aged from 50 and above.
a. Assuming Matthew's annual salary is $400,000, what amount will SV contribute to Matthew's money purchase plan? What can Matthew contribute to his 401(k) account in 2010?
Given that;
Matthew is 48 years Old
His annual salary = $400,000
SV contributes 15 percent of an employee’s salary to a retirement account for the employee up to the amount limited by the tax code.
Thus;
15/100 × 400000 = 60000
However; from the tax code rule; people that are not up to age 50 and above are required to contribute $49000. So therefore; the employer will make a contribution of $49000 into Matthew's money purchase plan.
What can Matthew contribute to his 401(k) account in 2010?
He has exhausted his maximum contribution in 2010; as a result of that no contribution will be needed for that year , so he is contributing $0
b. Assuming Matthew's annual salary is $240,000, what amount will SV contribute to Matthew's money purchase plan? What can Matthew contribute to his 401(k) account in 2010?
Given that :
Matthew annual salary is $240,000
The SV contribution is 15% OF Matthew's annual salary = 15 /100 × 240,000= 36000
Since; Matthew is not up to 50 years; the maximum amount that can be deposited into his 401 K account is 49000
Thus;
SV contribution into Matthew's money purchase plan = $49000 -$36000
= $13,000
c. Assuming Matthew's annual salary is $60,000, what amount will SV contribute to Matthew's money purchase plan? What amount can Matthew contribute to his 401(k) account in 2010?
Given that :
Matthew annual salary is $60,000
The SV contribution is 15% OF Matthew's annual salary = 15 /100 × 60,000= 9000
Since; Matthew is not up to 50 years; the maximum amount that can be deposited into his 401 K account is 49000
Thus;
SV contribution into Matthew's money purchase plan = $49000 -$9000
= $40,000
d. Assume the same facts as c. except that Matthew is 54 years old at the end of 2010. What amount can Matthew contribute to his 401(k) account in 2010?
Here it is assumed that Matthew's age is 54 years, so we can say he is older than 50 years. Hence the amount that He can contribute into his 401 (k) account is = Allowed Contribution + Catch up contribution
The catch up contribution is the difference in the 401 (K) amount that can be deposited for people age above 50 and people aged below age 50
= $16500 + ( $54500 - $49000)
= $16500 + $5500
= $22,000