Answer: desirable mix of output.
Explanation:
It should be noted that spending of consumers will rise when there's an healthy economy and growth in stock market. This implies that more goods are been bought by the people are therefore there'll be more demand for goods.
When inflation rate is at zero, it simply bmeans that there's no robust economy and the demand for goods is not competitive. Therefore, changes in relative prices signal a change in the desirable mix of output.
A 90 day, 12% note for $20,000 dated July 1 is received from a customer. What is the maturity value of the note
Answer:maturity value of the note= $20,600
Explanation:
Interest = Principal x Rate x period /time
Assuming 360 days = 1 year
Interest = 20000 x 12% x 90/360
Interest = $600
Maturity value = Principal amount + interest accrued on due date
$20000 + $600 = $20,600.
Why does the self-correcting mechanism stop working when the policy rate hits the zero lower bound?
The available options
A. The self-correcting mechanism stops working because the falling inflation produced by a negative output gap produces higher rather than lower real interest rates when the policy rate hits the zero lower bound, and this increase depresses planned spending and further widens the output gap.
B. The self-correcting mechanism stops working because the falling inflation produced by a negative output gap produces lower rather than higher real interest rates when the policy rate hits the zero lower bound, and this decrease depresses saving and investment and therefore further widens the output gap.
C. The self-correcting mechanism stops working because the rising inflation produced by a negative output gap produces lower rather than higher real interest rates when the policy rate hits the zero lower bound, and this decrease depresses planned spending and further widens the output gap.
D. The self-correcting mechanism stops working because the rising inflation produced by a positive output gap produces lower rather than higher real interest rates when the policy rate hits the zero lower bound, and this decrease enhances planned spending and further widens the output gap.
Answer:
A
Explanation:
For a given situation in the question above the correct answer is Option A, which is: The self-correcting mechanism stops working because the falling inflation produced by a negative output gap produces higher rather than lower real interest rates when the policy rate hits the zero lower bound, and this increase depresses planned spending and further widens the output gap.
Inflation is 20 percent. Debt is $2 trillion. The nominal deficit is $300 billion. What is the real deficit or surplus
Answer:
Real deficit is -$100 billion.
Explanation:
Since we have a nominal deficit in the question, what we are to calculate is the real deficit.
The real deficit can be described as the actual or nominal deficit that has been adjusted for the effect of inflation on the debt. Therefore, the real deficit can be calculated using the following formula:
Real deficit = Nominal deficit - (Debt * Inflation rate) ................. (1)
From the question, we have:
Inflation rate = 20%
Debt = $2 trillion = $2,000,000,000,000
Nominal deficit = $300 billion = $300,000,000,000
Substituting the values into equation (1), we have:
Real deficit = $300,000,000,000 - ($2,000,000,000,000 * 20%)
Real deficit = $300,000,000,000 - $400,000,000,000 = -$100,000,000,000 = -$100 billion
Therefore, real deficit is -$100 billion.
Refer to the HR Reports in the Inquirer. Through past investments in recruiting and training Chester has obtained a productivity index of 109.4%. This means that Chester's labor costs would be increased by 9.4% if it did not have these productivity improvements. This is a competitive advantage that Chester can sustain or even widen further if its competitors have no HR initiatives. Now, refer to the Income Statement in Chester's Annual Report. How much did Chester's productivity improvements save it in direct labor costs (in thousands) last year?
a) $3,143
b) $3,065
c) $29,809
d) $821
Note:
I wasn't able to access the Chester Income Statement but I successfully accessed a similar question Digby.
The Complete Question is as under:
Refer to the HR Reports in the Inquirer. Through past investments in recruiting and training Digby has obtained a productivity index of 109.6%. This means that Digby's labor costs would be increased by 9.6% if it did not have these productivity improvements. This is a competitive advantage that Digby can sustain or even widen further if its competitors have no HR initiatives. Now, refer to the Income Statement in Digby's Annual Report. How much did Digby's productivity improvements save it in direct labor costs (in thousands) last year?
A. $766
B. $29818
C. $3137
D. $3211
Answer:
Option D. $3,137
Explanation:
The Productivity Index of 9.6% shows that if the improvement plan is implemented then the efficiency gains would result in saving of 9.6% of total direct cost. So if we total the direct cost for the year for all of the four products then we have an amount of $32,680 which is given at the second last column.
The amount saved last year would be:
Savings = $32,680 * 9.6% = $3,137
Hence the option C is correct here.
"When does an investor receive payment of interest and principal on a Capital Appreciation Bond (CAB)?"
Answer:
at maturity date
Explanation:
Capital Appreciation Bonds are a type of municipal securities since they are backed by local governments. They work in a similarly to zero coupon bonds that accumulate compound interests until maturity date. The difference is that CAB are generally issued at face value, e.g. $1,000, and start accumulating interests. This $1,000 bond that yields 6% and has a maturity date of 10 years, will pay you $1,791 in 10 years.
Seeking to obtain as high a financial return on their investments (ROI) as possible, firms will often set __________ goals
Answer:
Profit
Explanation:
Profit goals is very essential in business in order to meet the set target. It is important to set a profit goals under to have a good returns for the business as well as the investors involved, it gives an insight to device the best strategy for great returns financially. theoretically, profit goals= summation of all sales / Units of sales
It should be noted that Seeking to obtain as high a financial return on their investments (ROI) as possible, firms will often set profit goals.
A cost center is a unit of a business that incurs costs but does not directly generate revenues. Which of the following would definitely not be considered a cost center?
A. Accounting department.
B. Purchasing department.
C. Research department
D. Advertising department.
This step requires senior management to develop an image of a desired future state. It acts as an easy slogan to guide stakeholders' actions and decision making. Which of the following steps of Kotter's change model is best described by the given statement?a. Creating a visionb. Consolidating improvement and producing more changec. Communicating the visiond. Establishing a sense of urgencyself-directedunrealisticrealistic
Answer:
The statement to develop an image of a desired future state is Kotter's:
a. Creating a vision
Explanation:
Ordinarily, there are many change models. But for John Kotter, he has an integrated 8-step Change Model which details the series of steps one can take in order to alter the narrative in a company. The steps he enumerated are as follows:
"One: Create a sense of Urgency.
Two: Form a Powerful Coalition to support your change efforts.
Three: Create a Vision for Change, which defines the future destination.
Four: Communicate the Vision, without which, no lasting success can be achieved.
Five: Remove Obstacles on the way.
Six: Create Short-Term Wins. They are important for encouragement and sustainability of the moment.
Step Seven: Build on the Change. Do not allow slack to prevail.
Eight: Anchor the Changes in Corporate Culture and they will become entrenched and indispensable."
The present value of free cash flows is $15 million and the present value of the horizon value is $100 million. Calculate the present value of the business.
Answer:
$115 million
Explanation:
Calculation for the present value of the business.
Using this formula
Present value=Free cash flow+Horizon value
Where,
Free cash flow =$15 million
Horizon value=$100 million
Let plug in the formula
Present value=$15 million +$100 million
Present value=$115 million
Therefore the Present value of the business will be $115 million
The sales life cycle has three phases: early, growth, and maturity. The appropriate performance measures for the growth phase include:
Answer:
The answer is profitability and asset management
Explanation:
At growth stage, business experiences a rapid ncrease in demand in the company's products.
The appropriate performance measures for the this phase is:
1. Profitability: Profitability is important are because at growth stage a company should witness higher profit because it has moved away from early stage where the product was unknown but now that the company been known and it is increasing in its product's demand.
2. Asset management is the process by which a business is managing its assets to generate Profit. Profitability is also linked with profitability
Under MSRB rules, any claim, dispute, or controversy shall be submitted to arbitration at the instance of a:______.
1. broker-dealer against another broker-dealer.
2. customer against a broker-dealer.
3. broker-dealer against a customer who has previously signed an arbitration agreement.
4. broker-dealer against a customer who has not previously signed an arbitration agreement.
a. 2 only.
b. 3 and 4.
c. 1, 2, 3.
d. 1, 2, 3, 4.
Answer: C. 1,2,3
Explanation:
Under MSRB rules, any claim, dispute, or controversy shall be submitted to arbitration at the instance of a:
• broker-dealer against another broker-dealer.
• customer against a broker-dealer.
• broker-dealer against a customer who has previously signed an arbitration agreement.
Therefore, based on the above scenario, the correct option is C.
A bond has a par value of $1,000, a current yield of 6.84 percent, and semiannual coupon payments. The bond is quoted at 100.39. What is the amount of each coupon payment?
Answer: $34.33
Explanation:
From the question, we are informed that bond has a par value of $1,000, a current yield of 6.84 percent, and semiannual coupon payments and that the bond is quoted at 100.39.
Thee amount of each coupon payment goes thus:
We have to calculate the bond price which will be:
= $1000 × 100.39%
= $1000 × 1.39
= $1003.9
It should be noted that the current yield is calculated as the annual coupon amount divided by the bond price. This will be:
6.84% = annual coupon amount ÷ $1003.9
Annual coupon amount = $1003.9 × 6.84%
= $1003.9 × 0.0684
= $68.67
Each coupon amount will now be:
= $68.67/2
= $34.33
You have $100,000 to invest in a portfolio containing Stock X and Stock Y. Your goal is to create a portfolio that has an expected return of 12.7 percent. Stock X has an expected return of 11.4 percent and a beta of 1.25, and Stock Y has an expected return of 8.68 percent and a beta of .85. a. How much money will you invest in Stock Y
Answer:
12.7% = X(11.4%) + Y(8.68%)
y = 1 - X
0.127 = 0.114X + 0.0868(1 - X)
0.127 = 0.114X + 0.0868 - 0.0868X
0.0402 = 0.0272X
X = 0.0402 / 0.0272 = 1.478
Y = 1 - 1.478 = -0.478
Y = -0.478 x $100,000 = -$47,800
Since value for Y is negative, it means that you must short sell the stock, i.e. borrow the stock, sell it, and then repurchase it later at a lower price.
What should be included in a resignation letter? "A discussion of the company’s strengths and weaknesses"
Answer: an offer of assistance to prepare for your resignation
Explanation:
A resignation letter is a formal letter that is written by someone so as to announce the intention to leave a particular position that the person is currently holding.
The thing that can be included on the resignation letter is an offer of assistance to prepare for your resignation. This is vital in order to help the company prepare.
Some experts believe that the growth in e-commerce will cause states and local governments to lose tax revenue, unless Internet transactions are subject to sales tax. What is one argument that supports this view
Answer:
There are no options listed, but the most common argument used by state governments that want to tax internet sales is that at least half of the participants of the transaction live in their state. E.g. Amazon is based in the state of Washington, but it is actually incorporated in Delaware (like most corporations). But considering Delaware's small population, most of the people who purchase things on Amazon live someone else. The buyers' home states argue that since buyer doesn't live on Delaware, instead they live on New York, California, Texas, Georgia, or wherever, the sale actually took place on their state and not in Delaware. You might agree with this or not, but it is almost certain that the buyer lives somewhere else.
The ability to use technology and commitment to stay informed on the latest technological developments is calledb
Answer:
Management of organizations
At a volume of 20,000 units, Almount Industries reported sales revenues of $1,000,000, variable costs of $300,000, and fixed costs of $260,000. The company's contribution margin per unit is:
Answer:
Contribution margin per unit = $35 per unit
Explanation:
The contribution margin per unit is the contribution or amount provided by the sale of each unit towards covering the fixed costs of the business. The total contribution margin is calculated by subtracting the total variable costs by the sales revenue. The contribution margin per unit can be calculated by dividing the total contribution by the number of units.
Total Contribution = Sales Revenue - Variable costs
Contribution margin per unit = Total Contribution / Number of units
Total Contribution = 1000000 - 300000
Total Contribution = $700000
Contribution margin per unit = 700000 / 20000
Contribution margin per unit = $35 per unit
MW Company manufactures down-filled comforters and uses an activity-based costing system. During the current period, the company expects to produce 16,500 down-filled comforters using 19,800 direct labor hours and 21,450 machine hours. Additionally, it expects to make 660 orders of down and fabric and to ship 165 completed comforters to its distributors. The order-processing cost pool is $54,120, the shipping cost pool is $14,025, and the product assembly cost pool is $71,280. What is the activity rate for order processing?
Answer:
MW Company
Activity rate for order process = $54,120/660
= $82 per order
Explanation:
a) Data and Calculations:
Production = 16,500 units
Direct labor = 19,800 hours
Machine hours = 21,450 hours
No. of orders = 660
No. of shipments = 165
Order-processing cost pool = $54,120
Shipping cost pool = $14,025
Assembly cost pool = $71,280
Activity rate for order process = $54,120/660
= $82 per order
b) MW Company uses an activity-based costing system to identify its activities into cost pools and assign the cost of each activity pool to the products and services according to their actual consumption of the activities. The activity-based costing technique provides a more accurate method for determining the costs of products and services. As a more accurate method for pricing decisions than other traditional methods, activity-based costing technique increases management's understanding of overheads and cost drivers and makes activities that are costly and non-value adding to become more visible, allowing managers to reduce or eliminate them, because these activities add costs to the production system.
Preparing a statement of retained earnings
Kelly May Bakery, Inc. reported a prior-period adjustment in 2018. An accounting error caused net income of prior years to be overstated by $1,000. Retained Earnings at December 31, 2017, as previously reported, was $48,000. Net income for 2018 was $74,000, and dividends declared were $28,000. Prepare the company’s statement of retained earnings for the year ended December 31, 2018.
Answer:
Retained earnings at December 31, 2018 is $93,000
Explanation:
Adjusted retained earnings at December 31, 2018 is calculated as
= Retained earnings in December 2017 - Over stated amount
= $48,000 - $1,000
= $47,000
Retained earnings for 2018 is calculated as;
= Net income - Dividend
= $74,000 - $28,000
= $46,000
Therefore,
Kelly May Bakery, Inc.'s statement of retained earnings for the year ended December 31, 2018
Adjusted retained earnings at December 31, 2017 $47,000
Retained earnings for 2018.
$46,000
Retained earnings at December 31, 2018
$93,000
Answer:
Retained Earnings, January 1, 2018 as originally reported 48,000
Prior period adjustment (1,000)
Retained Earnings, January 1, 2018 as adjusted 47,000
Net Income for the year 74,000
121,000
Dividends declared (28,000)
Retained Earnings, December 31, 2018 93,000
Explanation:
Retained Earnings at the end of 2017 (12/31/17) was 48,000 before error was noticed. So, originally reported would be 48,000 and if you ended 2017 with 48,000- you start 2018 with 48,000.
Prior period adjustment is the error that was reported, overstated by 1,000 means they were a 1000 over so that amount needs to be deducted. 48,000 - 1,000 = 47,000
Thus 47,000 is the adjusted retained earnings for (01//01/18)
Net Income (74,000) + Adjusted retained earnings (47,000) = 121,000
subtracts dividends declared because that'll be what you pay stockholders...
121,000-28,000=93,000
Answer for end of the year retained earnings is 93,000
Check Figure is 93,000
If a company receives $12,000 from the stockholders to establish a corporation, the effect on the accounting equation would be:__________
A. Assets increase $12,000 and equity increases $12,000.
B. Liabilities increase $12,000 and equity decreases $12,000.
C. Assets increase $12,000 and liabilities increase $12,000.
D. Assets increase $12,000 and liabilities decrease $12,000.
E. Assets decrease $12,000 and equity decreases $12,000.
Answer:
The correct answer is option A
Explanation:
A receipt of cash indicates an increase in cash which is an asset. When an asset increases, it is represented by a debit to that asset's account and the asset side of the accounting equation is also debited. Thus, a receipt of $12000 cash from stockholders will be represented by a debit or an increase to the asset account for $12000.
The other side of the transaction would be a credit to the equity for $12000 because the stockholders are the owners of the company and any capital invested by the owners in the company is represented by a credit to the equity account as the capital is credited when it increases. Thus, the effect on accounting equation will be an increase in the equity of $12000.
The effect of convertible preferred stock on the computation of Diluted EPS is based on which method?
Available Options Are:
a. If Converted
b. Treasury Stock
c. Retroactive
d. Cumulative
Answer:
Option A. If Converted
Explanation:
The diluted Earnings Per Share helps in understanding the tailoring picture of the entity by assuming that all the convertibles are exercised. This assumption gives us understanding that how much in fact our shares are earning. This means the assumption is If Converted and the option A is correct.
Treasury Stock method deals with the generation of stock due to in the money warrants and share options which is not connected with the convertibles. Hence the option B is incorrect.
Option C is also incorrect because retroactive adjusted previous balances for the sake of changes in policies and this is for bringing fairness to the statement of financial statements. It means it is not concerned with converting convertibles into ordinary shares.
Option D is incorrect because the in this method the accumulating of earnings of the company by taking the difference of 2 openings Retained earnings with prior method and new method and the net effect is reported in the financial statements retrospectively as it is considered a change in policy. This means it is not connected with the convertibles assumption and the option D is incorrect.
Accountants are the only people in business that really use accounting information.
A. True
B. False
Answer:
false
Explanation:
because some accounts could have the right answer while others can not just like websites
Strategic Investments completed the following investment transactions during 2018: Read the requirements
Requirement 1. Joumalize Strategic's investment transactions. Explanations are not required.
Requirement 2. Classify and prepare a partial balance sheet for Strategic's Phyflexon investment as of December 31. 2018.
Jan. 14: Purchased 800 shares of Phyflexon stock, paying $50 per share. The investment represents 4% ownership in Phyflexon's voting stock. Strategic does not have significant influence over Phyflexon.
Jan. 14. Purchased 800 shares of Phyflexon stock, paying $50 per share.
Aug 22: Received a cash dividend of $0.24 per share on the Phyflexon stock.
Dec. 31. Adjusted the investment to its current market value of $45 per share.
Dec. 31: Phyflexon reported net income of $330,000 for the year ended 2018.
Answer:
Strategic Investments Company
1. Journal Entries:
Jan. 14:
Debit Investment in Phyflexon $40,000
Credit Cash Account $40,000
Aug 22:
Debit Cash Account $192
Credit Dividends Received $192
Dec. 31:
Debit Loss on Investment $4,000
Credit Investment in Phyflexon $4,000
Dec. 31:
Debit Investment in Phyflexon $13,360
Credit Net Income Share $13,360
2. Partial Balance Sheet
Investment in Phyflexon $49,168
Explanation:
a) Data:
No. of shares of Phyflexon Stock = 800
Value of Stock investment = $40,000 ($50 x 800)
Ownership strength = 4%
b) Investment in Phyflexon:
Initial investment = $40,000
Loss on fair value = (4,000)
Net income 13,360
Dividend received (192)
Worth of investments $49,168
After California became a state, the legislature redefined what was necessary to evidence transfer of California land. The modern evidence of transfer of ownership is _____________.
Answer: A deed that is filed in the county recorder's office to show transfer of ownership.
Explanation:
The modern way to transfer land Ownership in California was made very simplified after California became a state.
It involves selecting an appropriate deed for your property, filling it out and signing it and then filing it at the County Recorder' office where it can then be referenced as proof of or transfer of ownership.
Suppose the following transactions occur during the current year:_______. 1. Kevin orders 50 bottles of wine from a French distributor at a price of $30 per bottle. 2. A U.S. company sells 200 textbooks to a Canadian company at $45.00 per textbook. 3. Rajiv, a U.S. citizen, pays $1,500 for a laptop he orders from Microell (a U.S. company).Complete the following table by indicating how the combined effects of these transactions will be reflected in the U.S. national accounts for the current year.Hint: Remember to enter a minus sign when the balance is negative. Amount (Dollars) Consumption Investment Government Purchases Imports Exports Net Exports Gross Domestic Product (GDP)
Answer and Explanation:
1. Consumption = Kevin's purchase of wine + Rajiv purchase of laptop
= 30 × 50 + 1,500
= 1,500 + 1,500
= $3,000
2. Investment = 0
3. Government purchase = 0
4. Imports = Kevin's purchase of wine = 30 × 50
= 1,500
5. Exports = US company selling to Canada = 45 × 200
= $9,000
6. Net exports = Exports - Imports
= $9,000 - $1,500
= $7,500
7. GDP = Consumption + Investment + Government spending + Net exports
= 3,000 + 0 + 0 + 7,500
= $10,500
McQuilkin and Copan adopt different positions toward capitalism and socialism. Which author is more favorable to free market capitalism
Answer:
Paul Copan
Explanation:
Dr. Robertson McQuilkin can be considered a very biblical man, and as such, would always favor socialism more than free market capitalism. His phrase "Capitalism is for freedom, socialism is for equality" and the fact that he believed in a strict following of the Bible, you make him a more socialist person.
Dr. Paul Copan is also a very religious man, but his views are less extreme than Dr. McQuilkin's. He is more pragmatic and argues in favor of religion from a more neutral or agnostic point of view. He even argues that religious beliefs and economics are not mutually exclusive.
Assume that apples cost $0.50 in 2002 and $1 in 2009, whereas oranges cost $1 in 2002 and $1.50 in 2009. If 4 apples were produced in 2002 and 5 in 2009, whereas 3 oranges were produced in 2002 and 4 in 2009, then real GDP (in 2002 prices) in 2009 was: Group of answer choices
Answer:
$6.50
Explanation:
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year.
Real GDP is GDP calculated using base year prices. Real GDP has been adjusted for inflation.
Real GDP in 2009 = ($0.50 x 5) + ($1 x 4) = $6.50
What documents provided by the seller describes the condition of the property?
A. Home inspection report
B. Loan estimate
C. Comparative market analysis
D. Property disclosure
Answer: A. Home inspection report
Explanation:
The seller of the property is to hire a home inspector to inspect the house and make a report about the condition that the house is in.
This report is rightfully called a Home Inspection report and is then presented to the buyer for them to see if it is a house that they will still consider buying.
Answer:
D. Property disclosure
Explanation:
Sellers provide property disclosures where they should inform about any defects or problems that the house, condo, or other type of real estate has at the moment. If properly elaborated, property disclosures can prevent any future legal disputes regarding the property's conditions. Of course you do not always know what might be wrong with your house, but if major issues exist and you try to hide them, you might be sued in the future.
In an enterprise resource planning (ERP) system, the _____ component provides information on production costs and pricing.
Answer: manufacturing
Explanation:
In an enterprise resource planning (ERP) system, the manufacturing component provides information on production costs and pricing.
Enterprise Resource Planning is the gathering and organization of business data by using an integrated software suite.
It should be noted that ERP software typically contains applications that helps in automating certain business functions such as sales quoting, production, accounting etc
"A bond that was originally sold at par is now trading in the market at a premium. The bond is called at par. This action will benefit the:"
Answer: a. Issuer
Explanation:
When bonds trade at a premium, it means that the yield has fallen below the coupon rate which means that interest rates have dropped. Companies can take advantage of this to reissue new bonds at the lower interest rate so that they can save on costs.
Bonds usually have a call provision which would enable the issuer to call the bond in and pay the holder at the par value plus interest repayments at the lower yield which they will do in this case. They will then reissue new bonds at a lower rate.