Answer:
B. increases; decreases
Explanation:
Foreign exchange market can be defined as type of market in which the currency of one country is converted into that of another country.
For example, the conversion of dollars of the United States of America can be converted into naira (Nigeria) at the foreign exchange market.
Efficient market school is the market school which argues that forward exchange rates do the best possible job for forecasting future spot exchange rates, so investing in exchange rate forecasting services would be a waste of time because it is impossible to have a consistent alpha generation on a risk adjusted excess returns basis as market prices are only affected by new informations.
The efficient market school also known as the efficient market hypothesis (EMH) is a hypothesis that states that asset (share) prices reflect all information and it is very much impossible to consistently beat the market.
Also, forward exchange rates are exchange rates controlling foreign exchange transactions at a specific future date or time.
An interest rate can be defined as an amount of money that is charged as a percentage of the total amount borrowed from an individual or a financial institution.
Generally, if the interest rate rises in the United States relative to other nations, then in the foreign exchange market the demand for dollars increases and the supply of dollars decreases because of the high value of the dollar compared to the other currency.
Answer:
B. increases; decreases
Explanation:
If the interest rate rises in the United States relative to other nations, then in the foreign exchange market the demand for dollars increases and the supply of dollars decreases .
Larkspur, Inc. reports net income of $89,770 in 2017. However, ending inventory was understated by $7,100. Collapse question part (a) What is the correct net income for 2017
Answer:
$96,870
Explanation:
The understatement of ending inventory causes the cost of goods sold to be overstated and the gross and net income to be understated by the same amount.
If the 2017 ending inventory was understated by $7,100 then the correct net income figure for 2017 will be $7,1000 more that what was reported.
Therefore, 2017 corrected net income
= $89,770 + $7,100
= $96,870
Assume Aircastle reported $20 million in goodwill on its acquisition of Broadvision. Assume the fair value of the earnout in agreement 1. declines by $0.5 million during the first year following the acquisition. Prepare the journal entry made by Aircastle to record the value change, assuming
Answer:
Journal Entry
Dr. Contingent Consideration Liability $500,000
Cr. Goodwill $500,000
Explanation:
It is assumed that the decline in the fair value is the correction of the acquisition entry. It means due to this event the consideration liability and goodwill are overstated we need to rectify the balances.
Hence,
The contingent consideration liability will be debited to reduce the liability and goodwill will also be decreased by crediting the goodwill account.
4. What would you do with a customer who has been loyal in the past but now has new
needs?
Answer:
But now you've got those customers, how do you keep them? ... If the customer has been loyal to the business for some time, he or she will require less help
Explanation:
Marsh Company had 150 units of product A on hand at January 1, year 2, costing $21 each. Purchases of product A during the month of January were as follows: Units Unit cost Jan. 10 200 $22 18 250 23 28 100 24 A physical count on January 31, year 2, shows 250 units of product A on hand. The cost of the inventory at January 31, year 2, under the LIFO method is
Answer:
$5,850
Explanation:
Calculation to determine what The cost of the inventory at January 31, year 2, under the LIFO method is
Using this formula
Cost of inventory= January 28 units * Cost per unit + Remaining units *Cost per unit
Let plug in the formula
Cost of inventory= 100 units * $24 + 150 units *$23
Cost of inventory= $2,400 + $3,450
Cost of inventory= $5,850
Therefore The cost of the inventory at January 31, year 2, under the LIFO method is $5,850
Given the following cash flows for a capital project for the Witter Corp., calculate its payback period and discounted payback period. The required rate of return is 8 percent. Cashflows: Year 0 = -50,000; Year 1 = 15,000; Year 2 = 15,000; Year 3 = 20,000; Year 4 = 10,000; and Year 5 = 5,000. The discounted payback period is
Answer:
4.01 years
Explanation:
The computation of the discounted payback period is shown below;
Given that
Required rate of return is 8%
Cashflows: Year 0 = -50,000;
Year 1 = 15,000;
Year 2 = 15,000;
Year 3 = 20,000;
Year 4 = 10,000;
and Year 5 = 5,000
As we can see from the attached table that approx in 4 years it could cover $49,975
So
the discounted payback period is
= 4 years + ($50,000 - $49,975.91) ÷ $3,402.92
= 4.01 years
4. Which of the following statements about the relationship between interest rates and bond prices is true?
I. There is an inverse relationship between bond prices and interest rates
II. There is a direct relationship between bond prices and interest rates
III. The price of short-term bonds fluctuates more than the price of long-term bonds for a given change in interest rates. (Assuming that coupon rate is the same for both)
IV. The price of long-term bonds fluctuates more than the price of short-term bonds for a given change in interest rates. (Assuming that the coupon rate is the same for both)
Answer:
1 is correct .
Explanation:
when the cost of borrowing money rises bond price usually fall and vice versa.
A company acquired some land (independently appraised at $13,300) and paid for it by issuing 1,130 shares of its common stock (par $10 per share; no market price was quoted). How should this be reported on the statement of cash flows
Answer:
reported as a significant noncash investing and financing activities
Explanation:
Since the company purchased some land for $13,300and for the same it is paid 1130 shares for $10 per share
Now as we know that in the cash flow statement only cash transactions are involved but here no cash transaction is arised
So, it would be reported as a significant noncash investing and financing activities
Direct Materials Variances Bellingham Company produces a product that requires nine standard pounds per unit. The standard price is $8.5 per pound. If 2,100 units used 18,100 pounds, which were purchased at $8.93 per pound, what is the direct materials (a) price variance, (b) quantity variance, and (c) cost variance
Answer:
The correct answer is:
(a) -7783
(b) 6800
(c) -983
Explanation:
According to the given values in the question:
(a)
The price variance will be:
= [tex](8.5-8.93)\times 18100[/tex]
= [tex]-0.43\times 18100[/tex]
= [tex]-7783[/tex] (Favorable)
(b)
The quantity variance will be:
= [tex](2100\times 9-18100)\times 8.5[/tex]
= [tex](18900-18100)\times 8.5[/tex]
= [tex]800\times 8.5[/tex]
= [tex]6800[/tex] (Unfavorable)
(c)
The cost variance will be:
= [tex](2100\times 9\times 8.5)-(18100\times 8.93)[/tex]
= [tex](160650)-(161633)[/tex]
= [tex]-983[/tex] (Favorable)
Over the past several years, the beverage industry has been rapidly changing. New drinks are constantly being invented, and more and more companies are looking to market healthy drinks, with less sugar and fewer artificial sweeteners. This type of environment demands that a company have a structure that is more:
Answer:
Flexible
Explanation:
Flexible organisational structure is one that is informal and lacks management layers (flat structure).
This helps an organisation make decisions faster without waiting for approval at various levels of heirachy or departments within the organisation.
In the given scenario new drinks are constantly being invented, and more and more companies are looking to market healthy drinks, with less sugar and fewer artificial sweeteners.
Quick decisions on product change are needed and this is provided for by the flexible organisation structure.
Net Income $1,200 ($500) $2,300 Net Cash Flows $500 $300 $2,800 Dividends $200 $0 $200 Issuance of Stock $2,000 $0 $0 The above amounts represent totals from the first three years of operations. Calculate the balance of Retained Earnings at the end of 2018.
Answer:
$2,600
Explanation:
The computation of the balance of Retained Earnings at the end of 2018 is shown below;
= net income - dividend
= $1,200 - $500 + $2,300 - $200 - $0 - $200
= $2,600
We simply deduct the dividend amount from the net income so that the balance of the retained earning could come
A cost-of-living adjustment clause: a. is required in all government employee contracts. b. forces an employer to increase wages at the same rate of inflation. c. is not allowed for private employees. d. states that no raise can be less than the rate of inflation. e. forces an employer to increase wages at a rate higher than inflation.
Answer:
b. forces an employer to increase wages at the same rate of inflation
Explanation:
In the case when the employer wants to rise the wages but it would be increased at the similar inflation rate so this represent the clause of the living cost adjustment also the living cost adjustment would remain the same
Therefore according to the given situation, the option b is correct
And, the rest of the solutions are wrong
After reading the new account insert in his monthly statement, Tony Mercadante determined that the FDIC considers a joint account as a separate depositor. He and his wife Cynthia have three accounts at ABC Bank & Trust, one joint account with a balance of $54 comma 158 and two individual accountsminus his has a $140 comma 022 balance and hers has a $253 comma 255 balance. What amount of FDIC coverage do Tony and Cynthia have on their accounts?
Answer:
Tony $140,022 account balance fully covered
Cynthia account balance exceeded the insurance limit by $3,255
Explanation:
Based on the information given Tony account balance of the amount of $140,022 is fully covered since it is their joint account of the amount of $54,158 which means that the amount of FDIC coverage which full meaning FEDERAL DEPOSIT INSURANCE CORPORATION that Tony have on their account balance will be the amount of $140,022 since the joint accounts are under the $250,000 FEDERAL DEPOSIT INSURANCE CORPORATION (FDCI) limit while Cynthia account balance on the other hand exceeded insurance limit by the amount of $3,255 calculated as ($253,255-$250,000) which means that their money would be covered only when Cynthia transfer some of the money into their joint account.
Marketing Strategy Formulation
Goals indicate what a business unit wants to achieve; strategy answers how to get there.
Basic generic strategies
Overall cost leadership
The business works hard to achieve the lowest costs. The problem with this strategy is that other food trucks will usually emerge with still lower costs. The real key is for Chix and Waffles to achieve the lowest costs among those competitors adopting a similar differentiation or focus strategy.
Differentiation
The business concentrates on achieving superior performance in an important customer benefit area valued by a large part of the market(s).
Focus
The business focuses on one or more narrow market segments rather than going after a large market. The food truck gets to know the needs of these segments and pursues either cost leadership or a form of differentiation within the target segments.
Goal Formulation
Goals are listed hierarchically, from most to least important. State the objectives quantitatively with a time line and a due date. Your goal at this point of your business plan is to execute the business plan in order to achieve the budgeted profits by the end of the first quarter of re-opening.
Examples
Goal #1: Achieve budgeted profits of __________ by July 31, 2021.
Strategy #1 - How are you going to do it? Develop a statement or series of statements that tell how you are going to achieve profit. Use your cost control course or purchasing course to list a series of actions that will achieve the following costs.
Actions: Food cost: __________
Bar cost: ___________
Labor cost: _________
Strategy #2
Goal #2: Achieve budgeted sales of __________ by July 31, 2021.
Strategy #1 - How are you going to do it? Develop a statement around one of the three generic strategies listed above.
Actions: Achieve cost leadership of our direct competition through ________________ (use of publicist, advertising, promotions, TV, etc.).
Strategy #2
Goal #3: Execute cultural values to embrace market to build concept loyalty and build repeat customer trial to 12 visits per quarter by July 31, 2021.
Strategy #1 – How are you going to establish a guest list and measure repeat patronage?
Actions:
Answer:
Marketing Strategy Formulation
Goals indicate what a business unit wants to achieve; strategy answers how to get there.
Basic generic strategies
Overall cost leadership
The business works hard to achieve the lowest costs. The problem with this strategy is that other food trucks will usually emerge with still lower costs. The real key is for Chix and Waffles to achieve the lowest costs among those competitors adopting a similar differentiation or focus strategy.
Differentiation
The business concentrates on achieving superior performance in an important customer benefit area valued by a large part of the market(s).
Focus
The business focuses on one or more narrow market segments rather than going after a large market. The food truck gets to know the needs of these segments and pursues either cost leadership or a form of differentiation within the target segments.
Goal Formulation
Goals are listed hierarchically, from most to least important. State the objectives quantitatively with a time line and a due date. Your goal at this point of your business plan is to execute the business plan in order to achieve the budgeted profits by the end of the first quarter of re-opening.
Examples
Goal #1: Achieve budgeted profits of __________ by July 31, 2021.
Strategy #1 - How are you going to do it? Develop a statement or series of statements that tell how you are going to achieve profit. Use your cost control course or purchasing course to list a series of actions that will achieve the following costs.
Actions: Food cost: __________
Bar cost: ___________
Labor cost: _________
Strategy #2
Goal #2: Achieve budgeted sales of __________ by July 31, 2021.
Strategy #1 - How are you going to do it? Develop a statement around one of the three generic strategies listed above.
Actions: Achieve cost leadership of our direct competition through ________________ (use of publicist, advertising, promotions, TV, etc.).
Strategy #2
Goal #3: Execute cultural values to embrace market to build concept loyalty and build repeat customer trial to 12 visits per quarter by July 31, 2021.
Strategy #1 – How are you going to establish a guest list and measure repeat patronage?
Actions:
one word for they have a higher than normal price to create an image of exclusivity
Answer:
Everything which is exclusive is always expensive the higher price but quality work to create an image can give you a better result you should not compromise with the quality of the image to fit it in your budget a good image can give you a better reputation in the market the experience ones should be chosen in this manner always
Explanation:
The only aim of a firm's marketing objectives revolves around buying the right media at the right price. B. They are usually defined in terms of specific outcomes such as sales volume, market share, profits, or return on investment. C. They are stated only in a company's strategic action plan. D. They are statements of what various aspects of the IMC pro
Answer: B. They are usually defined in terms of specific outcomes such as sales volume, market share, profits, or return on investment.
Explanation:
Question asks which options is true about marketing objectives.
Marketing objectives are defined in such a way that the company is able to see what it is they hope to accomplish and whether the marketing campaign will be yield a positive return on the investment put in.
They would therefore like to see if the advertisements created higher sales volume, gave them a larger market share and/or gave them more profit. These will be the objectives of the marketing campaign and will help support the decision to engage more or less in marketing.
Which scenario would best be resolved using precedent cell tracers?
A. Leon opens an Excel spreadsheet and notices that someone types the wrong formula in cell D12.
B. Leon needs to know which other cells use the contents in D12.
C. Leon opens an Excel spreadsheet and notices a formula in cell D12. He wants to know which other cells in different workbooks use that formula. Leon opens an Excel spreadsheet and notices an error in the formula. The formula is very complex, and Leon cannot find the cells that are identifiers in the formula.
D. Leon opens an Excel spreadsheet and sees a Pivot Table. He notices an error in the formula in one of the cells. The formula is very complex, and Leon cannot find the cells that are identifiers in the formula.
Learners who prefer listening to music while they learn have a _____ learning style.
bodily/kinesthetic
rhythmic/musical
logical/mathematical
verbal/linguistic
A letter of application should be written on:
•Lined tablet paper
•Fancy or decorative stationary
•Neon paper
•Plain white or pale-colored paper
Answer:
•Plain white or pale-colored paper
Explanation:
An application letter is a formal document that must obey a standardized format, therefore it must be written on plain white or light colored paper, with clear and precise wording in the cultured norm. The text must be understood effectively without double interpretations or containing slang and regional expressions, the sender must be objective and cordial, making it easy to understand the central purpose of the letter to the recipient.
Net credit sales $120,000 Average accounts receivable 20,000 Cash collections on credit sales 100,000 What is the receivables turnover ratio
Answer:
6:1
Explanation:
Net credit sales is $120,000
Account receivable is $20,000
Cash collection on credit sales is $100,000
.
Therefore the receivables turnover ratio can be calculated as follows
= 120,000/20,000
= 6:1
Hence receivable turnover ratio is 6:1
Which statement is true? Portfolio A dominates portfolio B if: Portfolio A has a higher return that portfolio B Portfolio A has a lower volatility than portfolio B Portfolio A has a higher Sharpe ratio than portfolio B Portfolio A has either a higher expected return and a volatility at least as low as B, or a lower volatility and an expected return at least as high as B
Answer:
The answer is "The last choice"
Explanation:
While comparing 2 assets or portfolio management, the risk of each portfolio and the rates of return of each portfolio should be taken into consideration. Whether the same danger is in the two assets. One should be preferred with both the higher return and one from the lowest risk should be recommended unless the two have the same rate of return. Portfolio A consequently either has a higher return and an at least as low fluctuation as B, or even lower volatility as well as an anticipated return at least as strong as B.
Fred has been assigned to conduct a SWOT analysis for his organization, Acme, Inc. As part of this assignment, Fred will: a. conduct an external wage survey. b. choose a grand strategy for his firm. c. search for the strengths, weaknesses, opportunities, and threats that impact his firm. d. develop a mission. e. do a cost/benefit analysis.
Answer:
c. search for the strengths, weaknesses, opportunities, and threats that impact his firm.
Explanation:
Environmental scanning is a management strategy that focuses on systematically acquiring informations about occasions, trends, events or patterns through surveys and analysis of these information in an organisation's external and internal environment. The informations acquired through environmental scanning is then used by the executive management in strategically planning the organisation's future and exploitation of available opportunities for the success of the organization.
The internal environmental scanning offers an organization strength and weakness while the external environmental scanning provides information about opportunities and threats.
Generally, the external environmental scanning gives an overview of the opportunities in the market as well as potential threats to an organization.
In this scenario, Fred has been assigned to conduct a SWOT analysis for his organization, Acme, Inc. As part of this assignment, Fred will search for the strengths, weaknesses, opportunities, and threats that impact his firm.
Additionally, SWOT analysis is a strategic technique which is used by various companies or business firms to plan through the identification of its strength, weakness, opportunities and threats in relation to its business.
Geraldine, an attorney, rendered legal services in organizing an oil and gas partnership in the current year. Instead of submitting a bill for her services. Geraldine accepted a 10% capital interest in the partnership. Geraldine's normal charge for the services performed would have been $10,000. The fair market value of the 10% interest received by Geraldine was $12,000. How much should Geraldine report on her current year's income tax return
Answer:
Geraldine
The amount that Geraldine should report on her current year's income tax return as income from the above exchange is:
= $10,000.
Explanation:
a) Data and Calculations:
Geraldine's normal charge for the services performed = $10,000
The fair market value of the 10% interest received by Geraldine = $12,000
Geraldine's partnership interest = 10%
This is because $10,000 is also her basis in the partnership interest and not $12,000 the fair market value of the 10% interest.
In January, 2018, ABC. sells a gift card for $50 and receives cash. In February, 2018, the customer comes back and spends $20 of their gift card on a water bottle. What would be the appropriate journal entry for the purchase of the water bottle?3
Answer and Explanation:
The journal entry to record the purchase of the water bottle is shown below:
Deferred Revenue $20
To Sales Revenue, $20
(being the purchase of the water bottle is recorded)
The deferred revenue is debited as it decreased the liability and the sales revenue is credited as it increased the revenue
The above journal entry should be recorded
The returns from an investment are 3% in Year 1, 7% in Year 2, and 19.8% in the first half of Year 3. Calculate the annualized return for the entire period. (Round your intermediate calculations to at least 4 decimal places and final answer to 2 decimal places.)
Answer:
i hhhhhhh 136t8
Explanation:
dont kno
Hilary had an outside basis in LTL General Partnership of $18,000 at the beginning of the year. LTL reported the following items on Hilary's K-1 for the year: ordinary business income of $13,000, a $18,000 reduction in Hilary's share of partnership debt, a cash distribution of $28,000, and tax-exempt income of $11,000. What is Hilary's adjusted basis at the end of the year
Answer:
$4,000 of capital gain leaving her with a $0 basis in her partnership interest.
Explanation:
Calculation to determine What is Hilary's adjusted basis at the end of the year
Ending adjusted basis =($18,000 + $13,000 + $11,000 - $18,000 - $28,000 = $(4,000) + $4,000 = 0).
Based on the above calculation Hilary's adjusted basis at the end of the year will be the amount of $4,000 of CAPITAL GAIN leaving her with a $0 BASIS in her partnership interest.
Wichita Industries' sales are 10% for cash and 90% on credit. Credit sales are collected as follows: 30% in the month of sale, 50% in the next month, and 20% in the second following month. Wichita Industries' had $12,000 from November sales and $42,000 from December sales. Assume that total sales for January and February are budgeted to be $50,000 and $100,000, respectively. What are the expected cash receipts for February from current and past sales
Answer:
$67,060
Explanation:
February collection :
February Sales = $100,000 x 10 % + $100,000 x 90 % x 30 % = $37,000
January Sales = $50,000 x 90 % x 50 % = $22,500
December Sales = $42,000 x 90 % x 20 % = $7,560
Total = = $67,060
therefore,
the expected cash receipts for February from current and past sales is $67,060
g reported pretax accounting income of $860 million for the current year. Depreciation reported in the tax return in excess of depreciation in the income statement was $1,140 million. The excess tax will reverse itself evenly over the next three years. The current year's tax rate of 25% will be reduced under the current law to 30% next year and 35% for all subsequent years. At the end of the current year, the deferred tax liability related to the excess depreciation will be:
Answer: $380 million
Explanation:
To solve the question, first we have to calculate the depreciation that'll be reported for each year and this will be:
= $1140 million/3 years
= $380 million
Then, the deferred tax liability related to the excess depreciation will be:
= ($380 million × 30%) + ($380 million ×
35%) + ($380 million × 35%)
= $114m + $133m + $133m
= $380 million
Hearn Enterprises orally agreed to buy 100 turbines from Midwest Turbine, Inc. at a cost of $1,000 each (for a total contract price, therefore, of $100,000. Midwest sent 40 turbines and Hearn accepted the shipment, sending payment for $40,000. However, Hearn had its major client cancel a job, so they no longer needed the turbines. Hearn attempted to rescind, reasoning that because there was no writing and the contract fell within the Statute of Frauds they were not bound. A court would probably conclude: Group of answer choices
Answer: a. There was not an enforceable agreement. However under the UCC, part performance makes that portion of the agreement binding on Hearn. Hearn may not return the 40 turbines, but is not obligated to purchased the remaining 60.
Explanation:
The Statute of Frauds under the Uniform Commercial Code requires that for a contract with a value higher than $500 for goods to be enforceable, it needs to be in writing. This contract is therefore not enforceable.
However, there is an exception to this rule for performance or partial performance. If the parties have already partially completed the contract for instance, the completed portion is enforceable. The remaining portion however, is not, and therefore can be renegaded upon.
An outside supplier has offered to make the part and sell it to the company for $29.80 each. If this offer is accepted, the supervisor's salary and all of the variable costs, including the direct labor, can be avoided. The special equipment used to make the part was purchased many years ago and has no salvage value or other use. The allocated general overhead represents fixed costs of the entire company, none of which would be avoided if the part were purchased instead of produced internally. In addition, the space used to make part U16 could be used to make more of one of the company's other products, generating an additional segment margin of $25,000 per year for that product. The annual financial advantage (disadvantage) for the company as a result of buying part U16 from the outside supplier should be:
Answer:
-$79000
Explanation:
The computation of the annual financial advantage (disadvantage) is shown below;
Particulars Per unit Total 13000 units
Make Buy Make Buy
Direct materials 2.90 37700
Direct labor 7.50 97500
Variable manufacturing
overhead 8.00 104000
Supervisor's salary 3.40 44200
Contribution margin 25000
Purchase cost 29.80 387400
Total 308400 387400
Now the finacial disadvantage is
= 308400 - 387400
= -$79000
When an interviewer says, “Tell me about yourself,” you should feel free to talk openly about your personal life.
False
True
Answer:
False
Explanation:
You should tell them about your personality and how others see you. Take for example your strengths and weaknesses as a person, or about your traits. If they ask you about your personal life keep it brief, they don't need too much info about that rather a small aspect of it.
Answer:
TRUE
Explanation: