Answer:
The correct answer is A) True
Explanation:
Seasonal needs are short-term in nature. To service them using short-term funds would prove more expensive over the long run.
Long-term finance in most cases have the characteristics of being relatively cheaper than short-term finance.
Chief among the sources of short-term finance are:
trade credits, Commercial Bank overdraftsCommercial paper, promissory note, andloans that are securedShort-term finances are usually less than a year. Whilst long-term finances generally span over one year.
Examples of long term finances are:
Equity Capitalgovernment debtBondsMortgages etcInterest payable on long term debts are usually single-digit whilst those on short term loans are usually double-digit.
As indicated in the information provided, companies that keep extra "permanent" funds preserve its value by placing it in short term investments
Cheers!
Zibb is a transnational electronics company based in Germany. It has factories in China, Mexico, and India. The company aims to streamline its manufacturing operations for maximum efficiency and profit. To this end, Zibb adopts the best manufacturing and packaging practices from around the world. This also leads to the creation of a global mind-set that adopts ideas without regard to their origin. Which of the following international orientations has Zibb adopted?
A) The polycentric orientation
B) The regiocentric orientation
C) The geocentric orientation
D) The ethnocentric orientation
**ECONOMICS** A high level of education is most likely to lead to:
A. a lower overall income.
B. higher medical costs.
C. a higher unemployment rate.
D. a lower unemployment rate.
Answer:
D. a lower unemployment rate.
Explanation:
income-generating activity. It can be either full-time or part-time. One can be employed by a private firm, the government, or be self-employed.
A higher level of education equips an individual with the skills needed to get employed. Employers demand a certain level of education to hire workers. The skills to go into self-employment can be acquired through education. Therefore, the more people are educated, the higher the chances of being employed, which translates to a low unemployment rate.
Answer:
d
Explanation:
FLASH Delivery has EPS of $6.00 per share and has a payout ratio of 40%. Its dividend is expected to grow at a rate of 5.25%. If FLASH stock is trading at $22.86, then the shareholder's required return is closest to:_______
a. 14.2%
b. 15.7%
c. 16.3%
d. 16.9%
Answer:
The answer is "Option c"
Explanation:
The Dividend payout ratio is 40% so that EPS* is the dividend payout ratio of the company:
[tex]= 6 \times 40 \% \\\\= \$ \ 2.40[/tex]
Inventory market value:
[tex]= Dividend \times \frac{(1+g)}{(r-g)}[/tex]
Where r = return rate is needed
g= growth [tex]= 5.25\% = \frac{5.25}{100} = 0.0525[/tex]
[tex]\to 22.86 = \frac{(2.4 \times (1+g))}{ r-0.0525}\\\\\to 22.86 = \frac{(2.4 \times (1+0.0525))}{r-0.0525}\\\\\to (22.86 \times r)-(22.86 \times 0.0525)=2.526\\\\\to (22.86 \times r)-1.20015=2.526\\\\\to 22.86r=3.72615\\\\\to r=0.1630\\\\\to r=16.30 \%[/tex]
an underwriter enters into a firm commitment to sell 1 million shares at 20 each including a 2 spread. how much does the issuing firm receive if only 500000 shares are sold
Answer:
the issuing firm received is $9,000,000 or $9 million
Explanation:
The computation of the issuing firm received is shown below;
= Number of shares sold × (sale price per share - spread)
= 500,000 shares × ($20 - $2)
= $500,000 shares × $18
= $9,000,000 or $9 million
Hence, the issuing firm received is $9,000,000 or $9 million
We simply applied the above formula so that the accurate value could come
And, the same is to be considered
Which of these answers the following two questions: 1) how will the firm make money on the product and/or services offered, and 2) how will the firm be positioned in the marketplace
Answer:
1) use Information Technology and Information Systems.
online collaboration. virtual meetings.Big data, cloud computing, internet of things and mobile digital platforms.According to the question, the Value proposition is the answer.
What is Value Preposition?A value proposition is a succinct sentence that explains why customers should select your goods or services. It's more than simply a description of your company's goods or services; it's also the unique solution you offer and the assurance of value you make to clients.
One of the most crucial conversion criteria is the value proposition. A strong value offer may mean the difference between losing and winning a sale. Because of this, it's critical to develop one that truly depicts your goods and services and explains why you're the best option.
Your company's distinctive identification is your value proposition. Without it, customers won't be motivated to buy your products. They might even decide to go with a rival merely because of how well that company's marketing and sales efforts convey its value offer.
To know more about the Value proposition follow the link.
https://brainly.com/question/12104971
#SPJ6
An asset group is being evaluated for an impairment loss. The following financial information is available for the asset group: Carrying value $100,000,000 Sum of the undiscounted cash flows $95,000,000 Fair value $80,000,000 What amount of impairment loss, if any, should be recognized
Answer:
The amount of the impairment loss that should be recognized is:
$20,000.
Explanation:
a) Data and Calculations:
Undiscounted cash flows = $95,000
Carrying value = $100,000
Fair value = 80,000
Impairment loss = $20,000
b) Impairment loss for the asset group is the difference between the fair value and the carrying value. It is recognized when the fair value declines from the carrying value. This implies that the calculation to determine the impairment loss is achieved by deducting the fair value from the carrying value.
arrugia Corporation produces two intermediate products, A and B, from a common input. Intermediate product A can be further processed into Product X. Intermediate product B can be further processed into Product Y. The common input is purchased in batches that cost $90 each and the cost of processing a batch to produce intermediate products A and B is $36. Intermediate product A can be sold as is for $53 or processed further for $33 to make Product X that is sold for $80. Intermediate product B can be sold as is for $113 or processed further for $66 to make Product Y that is sold for $160. Required: a. Assuming that no other costs are involved in processing the common input or in selling products, what is the profit (loss) from processing one batch of the common input into the products X and Y
Answer:
if the firm processes A and B into X and Y, it will lose $25
Explanation:
total costs of producing product A and B = $90 (common input) + $36 (processing) = $126
selling price of A and B = $53 + $113 = $166
profit of selling A and B = $166 - $126 = $40
if A and B are processed further, the cost of X and Y = $126 + $33 + $66 = $225
selling price of X and Y = $80 + $160 = $240
profit of selling X and Y = $240 - $225 = $15
if the firm processes A and B into X and Y, it will lose $40 - $15 = $25
On September 1, Ziegler Corporation had 63,000 shares of $5 par value common stock, and $189,000 of retained earnings. On that date, when the market price of the stock is $15 per share, the corporation issues a 2-for-1 stock split. The general journal entry to record this transaction is:_________
a. Debit Retained Earnings $945,000; credit Common Stock $945,000.
b. Debit Retained Earnings $315,000; credit Common Stock $315,000.
c. Debit Retained Earnings $315,000; credit Stock Split Payable $315,000.
d. Debit Retained Earnings $945,000; credit Common Stock Split Distributable $945,000.
e. No entry is made for this transaction.
Answer:
e. No entry is made for this transaction.
Explanation:
When a corporation splits stocks it doesn't have to record any type of journal entry. This happens because no account balance actually changes, only the total number of stocks outstanding and the par value per stock will change. But the balance of the common stocks account will be the same.
This type of transactions are recorded in the footnotes or in a memo entry in the financial statements, but no journal entry.
Mauro Products distributes a single product, a woven basket whose selling price is $15 and whose variable expense is $12 per unit. The company's monthly fixed expense is $4,200. The company wants to have a profits of $12,000, how many units are required to be sold
Answer:
The number of units required to be sold are 5,400 units.
Explanation:
The following are given in the question:
Selling price per unit = $15
Variable expense per unit = $12
Monthly fixed expense = $4,200
Targeted profits = $12,000
Therefore, we have:
Contribution margin per unit = Selling price - Variable cost = $15 - $12 = $3
Units required to be sold = (Targeted profit + Monthly fixed expense) / Contribution margin per unit = ($12,000 + $4,200) / $3 = $16,400 / $3 = 5,400 units
Therefore, the number of units required to be sold are 5,400 units.
Analyse how an increase in government spending may create economic growth
Answer:
see below
Explanation:
An increase in government spending is an expansionary fiscal policy applied to stimulate economic growth. The government increases spending by engaging in capital and labor-intensive projects such as the building of public roads, bridges, schools, hospitals, railway lines, airports, and other public goods.
Since these projects are labor-intensive, they create employment for many people. It means previously unemployed people will have an income. The workers will spend their new income buying goods and services in the market, resulting in a general increase in demand. As demand increases, production increases resulting in a higher GDP.
The projects also consume many materials ranging from steel, timber, cement, and many others. The demand for materials will increase, resulting in higher production and an increase in employment.
An increase in government spending creates employment, increases income and aggregate demand resulting in increased economic activities and a higher GDP.
Bramble Corp. sells one product and uses a perpetual inventory system. The beginning inventory consisted of 76 units that cost $18 per unit. During the current month, the company purchased 478 units at $18 each. Sales during the month totaled 362 units for $43 each. What is the cost of goods sold using the LIFO method
Answer:
$6516
Explanation:
LIFO means last in, first out. It means that it is the last purchased inventory that is sold first.
Total sales in the month was 362 units, this would be taken from the inventory purchased during the month
= 362 x $18 = $6,516
Perfect competition is characterized by all of the following except I - Many producers and consumers II - Homogeneous products III - Heavy advertising by individual sellers IV - Each firm is a price taker
Answer:
III - Heavy advertising by individual sellers
Explanation:
Perfect competition occurs when producers supply relatively homogeneous products and consumers have all information relevant for making a purchase.
So no single entity has the power to control price of commodities in the market.
All forms are price takers meaning the prevailing price in the market will apply to all forms.
Entry and exit of firms is also free for firms.
In perfect competition heavy advertising is not necessary because funds will be wasted in promoting a homogeneous product.
A suburban specialty restaurant has developed a single drive-thru window. Customers order, pay, and pick up their food at the same window. Arrivals follow a Poisson distribution, while service times follow an exponential distribution. If the average number of arrivals is 6 per hour and the service rate is 2 every 15 minutes.
What is the average number of customers in the system?
a. 0.50
b. 1.00
c. 2.25
d. 3.00
e. None of the above
What is the average number of customers waiting in line behind the person being served?
a. 0.50
b. 0.75
c. 2.25
d. 3.00
e. None of the above
What proportion of the time is the server busy?
a. 0.25
b. 0.50
c. 0.75
d. 2.25
e. 3.00
Solution :
The average number of the arrivals, λ = 6 per hour
Average service rate, [tex]$\mu = \frac{60 \times 2}{15}$[/tex]
= 8
Average number of the customers in the system is given by,
[tex]$= \frac{\lambda}{\mu - \lambda }$[/tex]
[tex]$= \frac{6}{8 - 6 }$[/tex]
= 3
Average number of the customers that are waiting in the line behind the person who are being served is,
[tex]$=\frac{\left(\frac{\lambda}{\mu}\right)^2}{1-\frac{\lambda}{\mu}} $[/tex]
[tex]$=\frac{\left(\frac{6}{8}\right)^2}{1-\frac{6}{8}} $[/tex]
[tex]$=\frac{(0.75)^2 }{0.25} $[/tex]
= 2.25
Proportion of the time the server is busy,
[tex]$=\frac{\lambda}{\mu}$[/tex]
[tex]$=\frac{6}{8}$[/tex]
= 0.75
Mary's team is located in different countries. Because of the time zone differences, it is difficult for the team to meet all together so their meetings are conducted ________. Group of answer choices when Mary can meet because she is the leader asynchronously the end of the project is reached at the same time synchronously
Answer: asynchronously
Explanation:
Mary's team is located in different countries. Because of the time zone differences, it is difficult for the team to meet all together so their meetings are conducted asynchronously.
We should note that while synchronous means for something to happen at the same time, asynchronous means something that doesn't happen same time.
Because of the time zone differences, the meeting will be conducted asynchronous as the participants that are involved can meet at their own pace uwng their time.
Asynchronously
Countries around the world have different time zone. For instance, the time zone for countries around Asia is different from those countries in Africa.
It therefore means that while synchronous means something to happen at the same time , asynchronous means something that doesn't happen same time.
Due to the difference in time zone, the meeting will be conducted asynchronous so that the team that are involved can meet at the time it falls in their own country.
learn more at : https://brainly.com/question/5083108
Explain what is meant by a balanced scorecard.
A balanced scorecard is a strategic management performance metric used to identify and improve various internal business functions and their resulting external outcomes. Balanced scorecards are used to measure and provide feedback to organizations.
Explanation:
have a good day <3
If it is estimated that 30 persons will be living in this new chapter house, what would be the Skulls' annual cost savings by selecting the less costly location, rather than the more costly
Answer: B. $1,500
Explanation:
Cost of using Alpha Avenue
= 5,000 + (200 * 30 people)
= $11,000
Cost of using Beta Blvd.
= 8,000 + (150 * 30 people)
= $12,500
Cost savings = 12,500 - 11,000
= $1,500
Assume the following information for a company with only two products: Product A Product B Total Sales $ 600,000 $ 400,000 $ 1,000,000 Variable expenses $ 200,000 $ 100,000 $ 300,000 If the break-even sales point is $580,000, then what is the total amount of fixed expenses
Answer: $406,000
Explanation:
The following can be deduced from the question:
Total sales = $1,000,000
Variable cost = $300,000
Contribution = Sales - Variable cost
= $1,000,000 - $300,000
= $700,000
Contribution ratio = $7000,00/$1,000,000 × 100 = 70%
Fixed cost = $580,000 × 70%
= $580,000 × 0.7
= $406,000
Net sales for the year were $325,000 and cost of goods sold was $240,500 for the company’s existing products. A new product is presently under development and has an expected selling price of $40 per unit in order to remain competitive with similar products in the marketplace. The dollar amount of gross profit and the gross profit ratio for the year were:_______
a. $324,000 and 100%, respectively.
b. $84,500 and 26%, respectively.
c. $240,500 and 74%, respectively.
d. $83,500 and 74%, respectively.
Answer:
The correct answer is B.
Explanation:
Gross profit equals net sales minus cost of sales(Net sales- Cost of Sales).
Net sales = $325,000
Cost of Sales = $240,500
Therefore we have;
$325,000 - $240,500
=$84,500
Gross profit ratio is (Gross profit/net sales) x 100%
($84,500 x $325,000) x 100%
26%
Randy W. recently won the Western States Lottery. The lottery pays either a total of twenty $325,000 payments per year with the first payment today (i.e., an annuity due), or $3,500,000 today. At what interest rate would Randy be financially indifferent between these two payout choices?
Answer: 8.92%
Explanation:
The interest rate that would make Randy indifferent is the one that will discount the twenty payments of $325,000 to $3,500,000 today.
Use Excel's Rate function to find this rate;
=RATE (No of periods, annual payments, present value, future value, Annuity due = 1)
=RATE(20,350000,-3500000,0,1)
= 8.92%
Sammy, a calendar year cash basis taxpayer who is age 66, has the following source of income and expenses: Salary $90,000 IRA Distribution - Roth IRA $10,000 Medical expenses ($8,000) Sammy also made a charitable contribution of ABC Shares. The FMV at the date of the contribution was $5,000. Sammy inherited the shares 5 years ago. At that time the FMV of the shares was $3,500. Based on this information, Sammy has:
Answer:
Adjusted Gross income of $90,000
Explanation:
The computation of the adjusted gross income is as follows:
Salary income- 90,000
IRA Distribution $0
Adjusted Gross Income $90,000.
We assume the IRA distribution is a tax free
Therefore the sammy has the adjusted gross income of $90,000 and the same is to be considered
4. Matilda and Rene are also trying to forecast what their federal and state income taxes will
be for the end of the year. If Matilda and Rene had a negative cash flow of -$150.00 per
month from January through April, but a positive cash flow of $1,000.00 per month (after
expenses) from May through December, on what dollar amount will they determine their
income taxes? What expenses could be used for tax deductions? (15 points)
Answer:
what do you need help with...
Explanation:
Suppose you purchased a stock a year ago. Today, you receive a dividend of $16 and you sell the stock for $99. If your return was 11%, at what price did you buy the stock
Answer: 103.60
Explanation:
From the question, we are informed that a stock was purchased a year ago and that today, a dividend of $16 was gotten and the stock was sold for $99 while the return was 11%.
The price that the stock was bought will be:
= (Dividend + Stock sale)/(1 + Return)
= (99 + 16) /(1 + 11%)
= =(99+16)/1.11
= 103.60
Melvin receives stock as a gift from his uncle. The adjusted basis of the stock is $30,000 and the fair market value is $38,000. Melvin trades the stock for bonds with a fair market value of $35,000 and $3,000 cash. What is his recognized gain on the sale of stock and the basis for the bonds
Answer: None of the above
Explanation:
The options are:
a $0, $30,000.
b. $5,000, $33,000.
c. $5,000, $30,000.
d. $8,000, $33,000.
e. None of the above.
The information below can be deduced from the question:
Amount realized = $35000 + $3000 = $38000
Less: Adjusted basis = ($30000)
Realized gain = $8000
Based on the explanation above, the realized gain is $8,000 and the basis of the bond is $35,000.
What are the sources of economic profits for a company or an industry?
This can be seen by noting three reasons for economic profit: (1) market control, (2) risk, and (3) innovation. Market Control: One of the most common reasons for economic profit is market control by a firm. A firm has market control if it can exert some degree of influence, or control, over the market price.
Explanation:
<3
Entry into a market by new firms will increase the:_______
a. supply of the good.
b. profits of existing firms.
c. price of the good.
d. marginal cost of producing the good.
Answer:
The right approach is Option a (supply of the good).
Explanation:
Supply would increase substantially of some more production. Increasing the income of established businesses wouldn’t rise, as there has been increasing competitiveness. This similar value of the product is likely to decline due to further fulfillment as well as the same requirement. Marginal costs would never be compromised.Anyone else alternatives possible does not apply to the situation throughout the question. That's the right thing above.
Question 1: Peking Duct Tape Company has outstanding a $1,000-face-value bond with a 14 percent coupon rate and 3 years remaining until final maturity. Interest payments are made semiannually. What value should you place on this bond if your nominal annual required rate of return is 14 percent?
Answer:
Price Value of bond = $1,000
Explanation:
Given:
Face value = $1,000
Coupon rate = 14% yearly
Semi-annual rate = 14 / 2 = 7%
Number of year = 3
Semi-annual year = 3 x 2 = 6
Computation:
pmt(Semi-annual) = (coupon rate x face value)/2
pmt(Semi-annual) = (14% x 1000)/2
pmt(Semi-annual) = 140/2
pmt(Semi-annual) = $70
By using PV formula
=PV(rate,nper,pmt,fv,type) , [Semi-annual]
=PV(7%,6,70,1000,0)
Price Value of bond = $1,000
The owner of Kat Motel wants to develop a time standard for the task of cleaning a cat cage. In a preliminary study, she observed one of her workers perform this task six times, with the following results: Observation 1 2 3 4 5 6 Time (secs) 99 87 90 81 93 90 What is the normal time for this task if the employee worked at a 50 percent faster pace than average
Answer:
a. 150 seconds
Explanation
Missing word "than average, and an allowance of 10 percent of the workday is used?"
Multiple choice: 150 seconds , 99 seconds , 90 seconds , 168.8 seconds , 100 seconds
σ (Recorded Time) = 99 + 87 + 90 + 81 + 93 + 90 = 540
Observation = n = 6
Performance rating = 100% + 50% = 150%
Observed Time = σ (Recorded Time) / n
Observed Time = 540 * 6
Observed Time = 90
Normal time = Observed Time * Performance rating
Normal time = 90 * (150 / 100)
Normal time = 90 * 1.5
Normal time = 135
Standard Time = Normal time / (1 - Allowance factor)
Standard Time = 135 / (1 - (10 / 100))
Standard Time = 135 / (1 - 0.1)
Standard Time = 135 / 0.9
Standard Time = 150 seconds.
It costs Marigold Corp. $12 of variable and $5 of fixed costs to produce one bathroom scale which normally sells for $35. A foreign wholesaler offers to purchase 3800 scales at $15 each. Garner would incur special shipping costs of $1 per scale if the order were accepted. Marigold has sufficient unused capacity to produce the 3800 scales. If the special order is accepted, what will be the effect on net income
Answer:
The net income (loss) would be $3 per each bathroom scale should the wholesaler price offer be accepted. The effect is going to be a massive loss and possibly bankruptcy to the manufacturer on his net income.
Explanation:
From the information given above,
To produce 1 bathroom scale,
Fixed cost = $5
Variable cost = $12
Total cost = fixed cost + variable cost = $ 17
Selling price = $35
Profit = Selling price - Total cost = $35 - $17 = $18
For the wholesaler, for each bathroom scale
Price offered = $15
Total cost = $ 17
Shipping cost = $1
Loss incurred = Price offered - (Total cost + Shipping cost)
= $15 - ($17 + $1) = $3
Total loss = Loss X Qty ordered
= $3 X $3800 = $11 400
This shows that, it would amount to great loss to the manufacturer going by the net income to be realized when the wholesaler price offer to be accepted.
Mcniff Corporation makes a range of products. The company's predetermined overhead rate is $19 per direct labor-hour, which was calculated using the following budgeted data: Variable manufacturing overhead $ 32,000 Fixed manufacturing overhead $ 272,000 Direct labor-hours 16,000 Management is considering a special order for 730 units of product O96S at $67 each. The normal selling price of product O96S is $78 and the unit product cost is determined as follows: Direct materials $ 40.00 Direct labor 15.00 Manufacturing overhead applied 19.00 Unit product cost $ 74.00 If the special order were accepted, normal sales of this and other products would not be affected. The company has ample excess capacity to produce the additional units. Assume that direct labor is a variable cost, variable manufacturing overhead is really driven by direct labor-hours, and total fixed manufacturing overhead would not be affected by the special order. Required: The financial advantage (disadvantage) for the company as a result of accepting this special order would be:
A company purchased a tract of land for its natural resources at a cost of $1,500,000. It expects to mine 2,000,000 tons of ore from this land. The salvage value of the land is expected to be $250,000. The depletion expense per ton of ore is:
Answer:
Depletion expense per ton = $0.625
Explanation:
Given:
Total cost = $1,500,000
Total ore = 2,000,000 tons
Salvage value = $250,000
Find:
Depletion expense per ton
Computation:
Depletion expense per ton = [Total cost - Salvage value] / Total ore
Depletion expense per ton = [$1,500,000 - $250,000] / 2,000,000
Depletion expense per ton = $0.625