Answer:
Decrease by $40,000
Explanation:
The correct answer is Chief's retained earnings will Decrease by $80,000. The dividends distribution is made out of the business profits and these are accumulated in a reserve called retained earnings.
Dividends Calculation = 80,000 shares x $5 x 10% = $40,000
An Internet company located in Southern California has season tickets to the Los Angeles Lakers basketball games. The company president always invites one of the six vice presidents to attend games with him, and claims he selects the person to attend at random. One of the six vice presidents has not been invited to attend any of the last seven Lakers home games.
Required:
What is the likelihood this could be due to chance?
Answer:
27.91%
Explanation:
We are told that the company president invites one of the six vice presidents to attend the games with him. Thus, probability of a vice president getting invited is;
P(vice president invited) = 1/6
Now, we are told that One of the six vice presidents was not invited to attend any of the last seven Lakers home games.
Thus, the likelihood this could be due to chance is;
(1 - 1/6)^(7) = (5/6)^(7)
This gives; 0.2791 or 27.91%
You have acquired a new CT scanner at a cost of $750,000. You expect to perform 7,000 procedures per year over the estimated 5-year life of the scanner. Assuming no salvage value and an annual increase in replacement cost of 10 percent, what capital charge per procedure should the hospital levy to provide for replacement cost in the second year
Answer:
The capital charge per procedure that the hospital should levy to provide for replacement cost in the second year is:
= $64.82 per procedure.
Explanation:
a) Data and Calculations:
Cost of CT Scanner = $750,000
Annual increase in replacement cost = 10%
Estimated useful life of the scanner = 5 years
Number of procedures per year over the estimated 5-year life = 7,000
Total number of procedures = 35,000 (7,000 * 5)
Replacement cost in 2 years = $750,000 * FV factor
= $750,000 * 1.21
= $907,500
Amount to charge per procedure = $907,500/14,000
= $64.82
Esquire Comic Book Company had income before tax of $1,750,000 in 2021 before considering the following material items:
1. Esquire sold one of its operating divisions, which qualified as a separate component according to generally accepted accounting principles. The before-tax loss on disposal was $415,000.
2. The division generated before-tax income from operations from the beginning of the year through disposal of $650,000. The company incurred restructuring costs of $80,000 during the year.
Required:
Prepare a 2021 income statement for Esquire beginning with income from continuing operations. Assume an income tax rate of 25%.
Answer:
Net income = $1,548,750
Explanation:
The 2021 income statement for Esquire can be prepared as follows:
Esquire Comic Book Company
Income Statement
For the Year Ended 20201
Details $ $
Income from continuing operations
Operating income 1,750,000
Restructuring costs (80,000)
Income from continuing operations 1,830,000
Income (loss) from discontinued operation
Loss on disposal of discontinued operation (415,000)
Income from discontinued operation 650,000
Net income (loss) from discontinued operation 235,000
Income before tax 2,065,000
Income tax expense (25% * 2,065,000) (516,250)
Net income 1,548,750
Dominant religions in certain parts of the world have an effect on entrepreneurship as well as religious ethics pertaining to the cost of doing business.
a. True
b. False
Answer:
a. True
Explanation:
Religion can be defined as a collection of ritu-als and shared beliefs that are typically inclined or hin-ged on a sacred realm.
There are different types of religion practiced across the world and these includes; Islam, Christianity, Buddhism, Hinduism, etc.
Dominant religions in certain parts of the world have an effect on entrepreneurship as well as religious ethics pertaining to the cost of doing business.
This ultimately implies that, emphasis on ethics and values taught by these dominant religions usually have an effect on the followers, as they express it in the various areas of their lives such as in business (entrepreneurship).
What’s the anti-money laundering (AML)
program ?
Answer: An anti-money laundering (AML) program is a set of procedures designed to guard against someone using the firm to facilitate money laundering or terrorist financing.
Explanation:
leases telecommunications equipment from Photon Company. Assume the following data for equipment leased from Photon Company. The lease term is 5 years and requires equal rental payments of $31,000 at the beginning of each year. The equipment has a fair value at the commencement of the lease of $150,000, an estimated useful life of 8 years, and a guaranteed residual value at the end of the lease of $15,500. Photon set the annual rental to earn a rate of return of 6%, and this fact is known to Callaway. The lease does not transfer title or contain a bargain purchase option, and is not a specialized asset.
Required:
How should Callaway classify this lease?
Answer:
Financial lease
Explanation:
The computation is shown below:
The Present value of minimum lease payments is
= Present value of rental payments + Present value of GRV
= $31,000 × Cumulative PV factor at 6% for 5 periods of annuity due + $15,500 × PV Factor at 6% for 5th period
= $31,000 × 4.46511 + $15,500 × 0.79209
= $138,418 + $12,277
= $150,695
Since the lease payments present value would be more than 90% of the fair value so it would be classified as the financial lease
In Year 1, Lobo Corp. reported for financial-statement purposes the following revenue and expenses that were not included in taxable income:
Premiums on officers' life insurance under which the corporation is the beneficiary $5,000
Interest revenue on qualified-state or municipal bonds $10,000
Estimated future warranty costs to be paid in Year 2 and Year 3 $60,000
Lobo's enacted tax rate for the current and future years is 30%. Lobo has paid income taxes of $170,000 for the three-year period ended December 31, Year 1. There were no temporary differences in prior years. The deferred tax benefit to be applied against current income tax expense is:_________
a. $21,000
b. $19,500
c. $18,000
d. $22,500
Answer: $18,000
Explanation:
Interest from municipal bonds is tax free and will therefore result in a permanent difference along with the premium on officers' insurance.
Temporary difference will arise from the estimated future warranty costs to be paid in Year 2 and 3 and this will be a tax benefit because they will only be recognized in Year 2 and 3 but have already been recognized by the tax authority:
= 60,000 * 30%
= $18,000
Lewis Company has employed a bookkeeper who is inexperienced. On December 29, after reviewing the records for the year, you discover the following error. On June 1, Lewis Company paid a supplier $300 on account. The bookkeeper recorded this by debiting Cash for $300 and crediting Accounts Payable for $300.
Required:
Prepare a correcting entry on December 26.
Answer:
See below
Explanation:
With regards to the above, wrong entry was;
Cash a/c Dr $300
................................ To Accounts payable Cr $300
However, the correct entry shid have been;
Accounts payable Dr $600
..............................To Cash $600 Cr
(Being an amount paid by Lewis company to a supplier)
Supplies expenses Dr $300
................To Cash $300
Imagine that you are the newly appointed HR manager for a 500-employee health care provider organization. Using features of the various HR service models described in the chapter and any other information you might need, develop an ideal human resources organization. Identify the HR models from which you are borrowing and explain why this particular orientation or perspective is needed in your ideal organization. Next, describe how the philosophy or outlook of the chief executive officer (CEO) might cause you to modify your model.
Answer:
Answer is explained in the explanation section below.
Explanation:
As the newly appointed HR manager of a 500-employee health care provider organization, I will focus on employee development and training because skilled and trained employees will demonstrate high efficiency in the health organization and less error in medical reports, which could lead to patient dissatisfaction if their problem is not resolved due to medical report errors or lacunae.
So, I'd go with the Counseling model, in which our health-care service providers provide employee training and development through techniques like job training, internships, role plays, and learning classes, all of which are essential in health-care organizations because we provide health-care solutions to our patients and want to hire and retain highly skilled and professional personnel in our organizations.
Since qualified and skilled workers are capable of operating at a high level of productivity, have the ability to evaluate challenges and produce solutions, support both technical and non-technical activities in the organization, are experts in their fields, and so on, this model is required to transform my company into an ideal organization.
Since I would look out for what is best for employees and their growth as an HR manager, but the CEO is more concerned with cost and profit, and training and development for 500 employees could be a little more costly, the CEO will want me to adapt my model based on cost and budget.
Sarah is working on the layout of a company newsletter. What should she keep in mind?
Answer:
should understand deeply to put well the newsletter in approximately file card so as to avoid misplace and disappear of potential file.
Garland Inc. offers a new employee a single-sum signing bonus at the date of employment, June 1, 2021. Alternatively, the employee can receive $44,000 at the date of employment plus $15,000 each June 1 for four years, beginning in 2024. Assuming the employee's time value of money is 9% annually, what single amount at the employment date would make the options equally desirable
Answer: $84,902.17
Explanation:
Find the present value of the $44,000 and the $15,000 each June for 4 years.
First find the present value of the $15,000 in June 2024:
= 15,000 * Present value interest factor of Annuity due, 4 years, 9%
= 15,000 * 3.5313
= $52,969.50
Then present value it to 2021:
= 52,969.50 / (1 + 9%)³
= $40,902.17
Add this to the $44,000 on June 2021:
= 44,000 + 40,902.17
= $84,902.17
Employee will be indifferent if $84,902.17 is received.
credit default swap definition.
Answer:
a financial contract whereby a buyer of corporate or sovereign debt in the form of bonds attempts to eliminate possible loss arising from default by the issuer of the bonds. This is achieved by the issuer of the bonds insuring the buyer’s potential losses as part of the agreement. if that makes sense.
Desert Company exchanged 3,000 shares of its stock, for equipment from Jungle Company. Desert's stock has a par value of $50 per share and at the time of the exchange was not actively traded on a market but 12 months ago was sold at a value of $49 per share. The quoted fair value of the equipment is $170,993. What is the amount Desert should record as the historical cost of the equipment?
Answer:
Desert Company
The amount that Desert should record as the historical cost of the equipment is:
= $170,993.
Explanation:
a) Data and Calculations:
Value of stock exchanged = $150,000 (3,000 * $50)
Fair value of equipment = $170,993
Gain from exchange of Equipment for shares = $20,993
b) The quoted fair value of Jungle's equipment should be used to record the historical cost in the financial statement of Desert Company. This value represents the only verifiable value. This value should then be compared to the value of the Desert shares exchanged with Jungle to determine if there is a loss or a gain from the exchange.
Which of the following would be considered a subtopic for a mind map?
uses
social media
photo sharing
blogging
Among the given terms, "uses" is most likely to be a subtopic for a mind map. Hence, the correct option is A.
A mind map is a visual tool that is used to organize and connect information in a hierarchical and organized way. It is often used to help generate ideas, plan projects, and solve problems. Among the given answers, options b, c and d could be used as main heading depending on topic. Uses is more likely to be a subtopic.
Therefore, the ideal selection is option A.
Learn more about, mind maps, here:
https://brainly.com/question/30403888
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Remsco has taxable income of $73,000 and a charitable contribution limit modified taxable income of $78,500. Its charitable contributions for the year were $8,020. What is Remsco's current-year charitable contribution deduction and contribution carryover (assuming Remsco does not elect to use the 25% of modified taxable income to determine its charitable contribution deduction)
Answer:
$7,850 and $170
Explanation:
The computation of the Remsco's current-year charitable contribution deduction and contribution carryover is given below:
The deduction is limited to 10% of the modified taxable income i.e.
= $78,500 × 10%
= $7,850
And, the carryover amount is
= $8,020 - $7,850
= $170
Cornerstone Exercise 6-21 Recording Sales Transactions Mathis Company and Reece Company use the perpetual inventory system. The following transactions occurred during the month of April:
a. On April 1, Mathis purchased merchandise on account from Reece with credit terms of 2/10, n/30. The selling price of the merchandise was $3,100, and the cost of the merchandise sold was $2,225.
b. On April 1, Mathis paid freight charges of $250 cash to have the goods delivered to its warehouse.
c. On April 8, Mathis returned $800 of the merchandise which had originally cost Reece $500.
d. On April 10, Mathis paid Reece the balance due.
Required: Prepare the journal entries to record these transactions on Reece's books. Assume that Reece uses the net method to record sales on account. For a compound transaction, if an amount box does not require an entry, leave it blank. April 1 Accounts Receivable 3,038 Sales Revenue 3,038 (Recorded sale on account) April 1 Cost of Goods Sold 3,100 Inventory 3,100 x (Recorded cost of merchandise sold) April 8 Sales Revenue 3,100 Accounts Receivable 3,100 x (Recorded return of merchandise)
Answer:
April 1
Dr Accounts Receivable $3,100
Cr Sales $3,100
April 1
Dr Cost of Goods Sold $2,225
Cr Inventory $2,225
April 8
Dr Sales Returns and Allowances $800
Cr Accounts Receivable $800
April 8
Dr Inventory $500
Cr Cost of Goods Sold $500
April 10
Dr Cash $2,254
Cr Sales Discount $46
Cr Accounts Receivable $2,300
Explanation:
Preparation of the journal entries to record these transactions on Reece's books
April 1
Dr Accounts Receivable $3,100
Cr Sales $3,100
(Recorded sale on account)
April 1
Dr Cost of Goods Sold $2,225
Cr Inventory $2,225
(Recorded cost of merchandise sold)
April 8
Dr Sales Returns and Allowances $800
Cr Accounts Receivable $800
(Record return of merchandise)
April 8
Dr Inventory $500
Cr Cost of Goods Sold $500
(Recorded cost of merchandise returned)
April 10
Dr Cash $2,254
($2,300-$46)
Cr Sales Discount $46
($2,300*2%)
Cr Accounts Receivable $2,300
($3,100-$800)
(Received customer payment within)
During 2021, Oriole Company, which uses the allowance method of accounting for doubtful accounts, recorded bad debt expense of $52000 and in addition it wrote off, as uncollectible, accounts receivable of $9300. As a result of these transactions, net cash flows from operating activities would be calculated (indirect method) by adjusting net income with a:________
Answer:
$52,000 Increase
Explanation:
In the cash flow from operating activities only those transactions are listed which involves actual exchange of cash. When a company writes off some of account receivable it has not recorded as bad debt expense. When the company is confirmed about the uncollectible amounts then the company will write off the uncollectible amounts. These will be then adjusted in the net income to calculate net cash flow from operating activities.
Culture is a system of values and norms shared among a group of people and that when taken together constitute a design for living.
a. True
b. False
Answer:
a. True
Explanation:
The above is true because culture constitute a way of life of people who share common value. Culture refers to the beliefs, values and norms among group of people. For instance, in some culture, the male when greeting lay flat on the ground, while the female knee; these actions symbolizes respect for the people whom they are greeting.
Examples of cultural beliefs includes but not limited to tradition beliefs, religion beliefs, social standards etc.
Consider the following Specific Factors model. Suppose two countries, Home and Foreign, produce two goods, timber and televisions. Assume that land is specific to timber, capital is specific to televisions, and labor is free to move between the two industries. When the Home country moves into doing free trade with the Foreign country, the Home country exports timber. 16 points total, 2 points each.
For each statement below, determine whether it is true or false, and then briefly explain why?
a. The Home country produces only timber under free trade.
b. Going from closed economy to free trade, the opportunity cost of TV increases in the.
c. Labor employment increases for the TV industry in Home.
d. The workers’ purchasing power for TV increases in the Home country.
e. Capital owners are better off under free trade in the Home country.
f. After free trade, the rental rate for land increases relative to the price of TV in the Home country.
g. The marginal product of labor for the timber industry increases under free trade in the Home country.
Answer:
a. True
b. True
c. True
d. False
e. True
f. False
g. False
Explanation:
There are two countries which are about to enter into the free trade. Under the free trade circumstances the Home country will produce timber but it does not completely specializes in producing the timber. The labor is mobile factor which can move in the free trade therefore they will move towards their employability in the TV industry.
Which bank deals with short term of credit A. Agricultural bank B. Comersial bank C. Industrial Bank D. None of these
Answer:
B) commercial bank
Explanation:
i hope it helps you :)
Presented below is a condensed version of the comparative balance sheets for Ravensclaw Corporation for the last two years at December 31.
2019 2018
Cash $230,100 $101,400
Accounts receivable 234,000 240,500
Investments 67,600 96,200
Equipment 387,400 312,000
Accumulated Depreciation-Equipment (137,800 ) (115,700 )
Current liabilities 174,200 196,300
Common stock 208,000 208,000
Retained earnings 399,100 230,100
Additional information:
Investments were sold at a loss of $13,000; no equipment was sold; cash dividends paid were $39,000; and net income was $208,000.
Required:
Create a Statement of Cash Flows for 2019.
Answer:
Ravensclaw Corporation
Statement of Cash Flows for the year ended December 31, 2019:
Net income $208,000
Add non-cash expense:
Depreciation expense 22,100
Loss from sale of investment 13,000
Cash from operations $243,100
Adjustments of working capital:
Accounts receivable $6,500
Current liabilities -22,100
Net cash from operations $227,500
Investing activities:
Cash from investment sale 15,600
Equipment -75,400
Financing activities:
Cash dividends paid -39,000
Net cash flows $128,700
Explanation:
a) Data and Calculations:
2019 2018 Differences
Cash $230,100 $101,400 +$128,700
Accounts receivable 234,000 240,500 -$6,500
Investments 67,600 96,200 -$28,600
Equipment 387,400 312,000 +$75,400
Accumulated Depreciation-
Equipment (137,800) (115,700) +$22,100 Depreciation Exp.
Current liabilities 174,200 196,300 -$22,100
Common stock 208,000 208,000 $0
Retained earnings 399,100 230,100 +$169,000
Cash dividends +$39,000
Net income = $208,000 ($169,000 + $39,000)
Cash from sold investments = $15,600 ($28,600 - $13,000)
Ted owns a small florist shop. Since his business is booming, his realizes he will soon need one more delivery van. He decides he will purchase a full size van versus a minivan, which he currently owns. The van he is looking to buy in 3 years will cost him $25,000. How much should he invest each quarter into an account that pays 3% per year compounded quarterly, so that he can have the desired funds in 3 years
Answer:
$1998.79
Explanation:
Quarterly payment = future value /annuity factor
Annuity factor = {[(1+r)^mn] - 1} / r
r = interest rate = interest rate / number of compounding 3%/4
N = number of years
m = number of compounding
Annuity factor =[ (1.0075)^12 - 1] / 0.0075 = 12.507586
Quarterly payment = $25,000 / 12.507586 = $1998.79
1. Compute the throughput time. 2. Compute the manufacturing cycle efficiency (MCE) for the quarter. (Round your percentage answer to nearest whole percent.) 3. What percentage of the throughput time was spent in non–value-added activities? (Round your percentage answers to the nearest whole percent.) 4. Compute the delivery cycle time. 5. If by using Lean Production all queue time during production is eliminated, what will be the new MCE? (Round your percentage answer to 1 decimal place.)
Answer:
1. Throughput time.
This is the length of time it takes to transform a raw material into finished goods.
= Inspection time + Process time + Move time + Queue time
= 0.7 + 2.8 + 1.3 + 4.1
= 8.9 days
2. Manufacturing Cycle Efficiency:
= Value added time / Throughput time * 100%
= 2.8 / 8.9 * 100%
= 31%
3. Percentage of time spent on none valuable activities:
= 1 - Manufacturing cycle efficiency
= 1 - 31%
= 69%
4. Delivery Cycle time:
= Wait time + Throughput time
= 16.2 + 8.9
= 25.1 days
5. New MCE.
Queue time is eliminated:
= 8.9 - 4.1
New Throughput time = 4.8 days
MCE = 2.8 / 4.8
= 58%
Bruce Corporation makes four products in a single facility. These products have the following unit product costs: Products A B C D Direct materials $ 14.40 $ 10.30 $ 11.10 $ 10.70 Direct labor 19.50 27.50 33.70 40.50 Variable manufacturing overhead 4.40 2.80 2.70 3.30 Fixed manufacturing overhead 26.60 34.90 26.70 37.30 Unit product cost $ 64.90 $ 75.50 $ 74.20 $ 91.80 Additional data concerning these products are listed below. Products A B C D Grinding minutes per unit 3.90 5.40 4.40 3.50 Selling price per unit $ 76.20 $ 93.60 $ 87.50 $ 104.30 Variable selling cost per unit $ 2.30 $ 1.30 $ 3.40 $ 1.70 Monthly demand in units 4,100 4,100 3,100 2,100 The grinding machines are potentially the constraint in the production facility. A total of 53,700 minutes are available per month on these machines. Direct labor is a variable cost in this company. How many minutes of grinding machine time would be required to satisfy demand for all four products
Answer:
59,120 minutes
Explanation:
Computation of total minutes of grinding machine time required to satisfy the demand for all products:
Products Minutes per unit Demand (Units) Total Minutes Required
A 3.90 4100 15990
B 5.40 4100 22140
C 4.40 3100 13640
D 3.50 2100 7350
Total minutes required 59,120
Splish Company took a physical inventory on December 31 and determined that goods costing $217,700 were on hand. Not included in the physical count were $26,450 of goods purchased from Pelzer Corporation, f.o.b. shipping point, and $23,320 of goods sold to Alvarez Company for $29,820, f.o.b. destination. Both the Pelzer purchase and the Alvarez sale were in transit at year-end. What amount should Splish report as its December 31 inventory?
Answer: $267470
Explanation:
Based on the information given in the question, the amount that Splish should report as its December 31 inventory will be:
Goods in hand = $217,700
Add: Goods purchased from Pelzer Corporation = $26,450
Add: Goods sold to Alvarez Company = $23320
Total inventory value = $217,700 + $26,450 + $23320
= $267470
Therefore, the amount that Splish should report as its December 31 inventory will be $267470
Explain the difference between a depository institution and a non-depository institution.
Explanation:
First, Depository institution
Institution that collect money from people and pay interest . You may can deposit your cash and withdraw it anytime . If you put longer they pay interest. Interest may be fixed or variable. On other words, from that institution you can send your money to other people ,can get credit or debit card to withdraw or shopping. They gave you loans. Such institution are:
Commercial bank , Saving institution,credit union and so on.
In last remember that those who pay you interest ,give loan facilities, business transaction and collect your money they are Depository. They have 3 types of account for people who want to deposit their money. 1. Current account 2. Saving Account 3. Fixed
Non Depository institution
Where you cannot put your money and withdraw it . You would not get interest. They are intermediary between borrowers and saver. They are:
Mutual funds: where you buy scheme in units. It like investment . Then they pay you bonus and even you can sales it on market. Don't confuse mutual funds collect money from public invest it on market and share their profit.
Insurance companies: they insure your belonginess. They pay when your things goes beyond the normal level. Like. Car theft,goods damage.
Pension fund:
Security firms: investment companies ,broker house.
Answer: A. Depository institutions earn money from what customers put into the institution.
Explanation:
Took quiz. You're welcome ;)
Burgundy, Inc., and Violet are equal partners in the calendar year BV LLC.
Burgundy uses a fiscal year ending April 30, and Violet uses a clean year.
Burgundy receives an annual guaranteed payment of $100,000 for use of capital contributed by Burgundy.
BV's taxable income (after deducting the payment to Burgundy, Inc.) is $80,000 for 2016 and $90,000 for 2017.
1. What is the amount of income from the LLC that Burgundy must report for its tax year ending April 30, 2017?
2. What is the amount of income from the LLC that Violet must report for her tax year ending December 31, 2017?
Answer: a. $141667
b. $45000
Explanation:
1. What is the amount of income from the LLC that Burgundy must report for its tax year ending April 30, 2017?
Guaranteed payments = $100,000
Share of 2016 income = ($80000 × 50% × 8/12) = $80000 × 0.5 × 0.67 = $26667
Share of 2017 income = ($90000 × 50% × 4/12) = $15000
Income = $100000 + $26667 + $15000
= $141,667
2. What is the amount of income from the LLC that Violet must report for her tax year ending December 31, 2017.
This will be the share of 2017 income which will be:
= 50% × $90000
= 0.5 × $90000
= $45000
Sheffield Corp. uses dollar-value LIFO method of computing its inventory cost. Data for the past three years is as follows: Year ended December 31 Inventory at End-of-year Prices Price Index 2019 $ 654000 1.00 2020 1261000 1.05 2021 1345250 1.10 What is the 2021 inventory balance using dollar-value LIFO
Answer:
2021 inventory balance using dollar-value LIFO = $1,384,025
Explanation:
Note: Before answering the question, the data in it are sorted first as follows:
Year ended December 31 Inventory at End-of-year Prices Price Index
2019 $ 654000 1.00
2020 1261000 1.05
2021 1345250 1.10
The explanation of the answer is now given as follows:
Change in inventory in 2020 = Inventory at End-of-year Prices in 2020 - Inventory at End-of-year Prices in 2019 = $1,261,000 - $654,000 = $607,000
Change in inventory in 2021 = Inventory at End-of-year Prices in 2021 - Inventory at End-of-year Prices in 2020 = $1,345,250 - $1,261,000 = $84,250
2021 inventory balance using dollar-value LIFO = (Inventory at End-of-year Prices in 2019 * Price Index in 2019) + (Change in inventory in 2020 * Price Index in 2020) + (Change in inventory in 2021 * Price Index in 2021) = ($654000 * 1.00) + ($607,000 * 1.05) + ($84,250 * 1.10) = $1,384,025
Muecke Inc. is working on its cash budget for April. The budgeted beginning cash balance is $40,000. Budgeted cash receipts total $150,000 and budgeted cash disbursements total $158,000. The desired ending cash balance is $50,000. To attain its desired ending cash balance for April, the company needs to borrow: Group of answer choices $18,000 $0 $50,000 $82,000
Answer:
See
Explanation:
Suppose a monopolist is producing a level of output such that MR > MC. Which of the following best describes what will happen as the firm moves to its profit-maximizing equilibrium? A) Marginal revenue will rise and marginal cost will fall. B) Marginal cost and marginal revenue will both rise. C) Marginal revenue will fall and marginal cost will rise. D) Marginal cost and marginal revenue will both fall.
Answer: C) Marginal revenue will fall and marginal cost will rise.
Explanation:
The profit-maximizing equilibrium is the production point where the Marginal Revenue equals the Marginal cost.
As the monopolist moves towards this point, they will see their marginal costs increase because they will be producing more goods.
For a monopolist to sell more goods however, they will need to reduce their prices. This means that Marginal revenue will come down.
Marginal revenue will keep decreasing and Marginal cost will keep increasing until both of them become equal to each other.