Due to derivatives that are financial contracts that are used to transfer risk between two or more parties, the statement is true.
They are generally used to manage risk and protect against losses that may arise from unfavorable price movements in the underlying asset. Derivatives can be used to transfer risk in a number of different ways.
For example, a futures contract allows the buyer to purchase an asset at a predetermined price at a future date, which can be used to hedge against price fluctuations.
Similarly, an options contract gives the holder the right, but not the obligation, to buy or sell an asset at a predetermined price, which can be used to protect against losses if the price of the asset moves in an unfavorable direction.
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The two goals of macroeconomic management is to control unemployment and inflation
A. True
B. False
The statement that "The two goals of macroeconomic management are to control unemployment and inflation" is true.
Macroeconomic management is the process of monitoring and manipulating various economic indicators to achieve specific policy goals. These goals are typically designed to achieve the optimal level of economic performance, including high levels of employment, stable prices, and sustainable economic growth. As such, macroeconomic management is essential to maintaining a stable and prosperous economy. In order to achieve these goals, macroeconomic policymakers typically focus on two primary areas of concern: unemployment and inflation. Unemployment is a major concern for macroeconomic policymakers because it represents a waste of valuable resources and can lead to social and economic instability. Inflation, on the other hand, can lead to a decrease in the purchasing power of consumers and can cause significant economic disruptions. The goal of macroeconomic management is therefore to balance the need for economic growth with the need for stability and sustainability. By monitoring and manipulating key economic indicators such as GDP, interest rates, and the money supply, policymakers can help to ensure that the economy remains on a stable and sustainable path while also promoting the growth and prosperity of individuals and businesses.
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Corporation’s first year of business, the following transactions affected its equity accounts.
Issued 7,200 shares of $2 par value common stock for $50. It authorized 20,000 shares.
Issued 1,800 shares of 12%, $10 par value preferred stock for $55. It authorized 3,000 shares.
Reacquired 360 shares of common stock for $62 each.
Retained earnings is impacted by reported net income of $82,000 and cash dividends of $31,000.
Prepare the stockholders’ equity section of Corporation's balance sheet as of Dec 31.
The stockholders' equity section of Corporation's balance sheet as of December 31 would be:
Stockholders' Equity:
Common Stock: $14,400
Preferred Stock: $18,000
Treasury Stock: -$22,320
Retained Earnings: $51,000
Total Stockholders' Equity: $61,080
To prepare the stockholders' equity section of Corporation's balance sheet as of December 31, we need to consider the given transactions. Here's how the stockholders' equity section would look:
Common Stock:
Authorized: 20,000 shares
Issued: 7,200 shares x $2 par value = $14,400
Preferred Stock:
Authorized: 3,000 shares
Issued: 1,800 shares x $10 par value = $18,000
Treasury Stock:
Reacquired: 360 shares x $62 = $22,320
Retained Earnings:
Net Income: $82,000
Cash Dividends: -$31,000
Retained Earnings: $82,000 - $31,000 = $51,000
Total Stockholders' Equity:
Common Stock: $14,400
Preferred Stock: $18,000
Treasury Stock: -$22,320
Retained Earnings: $51,000
Total Stockholders' Equity = $14,400 + $18,000 - $22,320 + $51,000 = $61,080
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Commodore Entertainment has four profitable business segments, described as follows: • Media Networks: Television and radio • Parks and Resorts: Resorts, including Commodore land • Studio Entert
Commodore Entertainment, a thriving amusement corporation, operates in 4 wonderful commercial enterprise segments: Media Networks, Parks and Resorts, Studio Entertainment, and Consumer Products. A nearer examination of their monetary performance exhibits exciting insights into their profitability.
Overall, this analysis highlights the significance of comparing business segments personally to recognize their specific contributions to an enterprise's financial overall performance.
A. Using the DuPont method, we will calculate the earnings margin, and investment turnover, and go back on funding (ROI) for each of the 4 sectors of Commodore Entertainment.
Profit Margin = Income from Operations / Revenue * a hundred
Investment Turnover = Revenue / Invested Assets
ROI = Profit Margin * Investment Turnover
Calculating the values:
Media Networks:
Profit Margin = $134,992 / $690,300 * 100 ≈ 19.6%
Investment Turnover = $690,300 / $767,000 ≈ 0.90
ROI = 19.6% * 0.90 ≈ 17.6%
Parks and Resorts:
Profit Margin = $74,12/ $524,000 * a hundred ≈ 14.1%
Investment Turnover = $524,000 / $655,000 ≈ zero.80
ROI = 14.1% * 0.80 ≈ 11.3%
Studio Entertainment:
Profit Margin = $11,542 / $278,600* 100 ≈ 4.1%
Investment Turnover = $278,600 / $398,000 ≈ 0.70
ROI = 4.1% * 0.70 ≈ 2.9%
Consumer Products:
Profit Margin = $118,016 / $460,800 * 100 ≈ 25.6%
Investment Turnover = $460,800 / $256,000 ≈ 1.80
ROI = 25.6% * 1.80 ≈ 46.1%
b. Comparing the sectors in terms of earnings margin, investment turnover, and return on funding:
Profit Margin:
Consumer Products have the very best income margin of about 25.6%.
Studio Entertainment has a bottom profit margin of approximately 4.1%.
Investment Turnover:
Consumer Products has the highest funding turnover of about 1.80.
Media Networks have the bottom investment turnover of about 0.90.
Return on Investment (ROI):
Consumer Products have the highest go-back on investment of approximately 46.1%.
Studio Entertainment has the bottom go-back on investment of approximately 2.9%.
Overall, Consumer Products stand out with the highest earnings margin, maximum investment turnover, and maximum go-back on investment. Studio Entertainment has the lowest values for all three metrics, indicating it is the least profitable segment.
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The correct question is:
"Commodore Entertainment has four profitable business segments, described as follows:
• Media Networks: Television and radio
• Parks and Resorts: Resorts, including Commodore land
• Studio Entertainment: Motion pictures, musical recordings, and stage plays
• Consumer Products: Character merchandising, Commodore stores, books, and magazines
Commodore Entertainment recently reported sector income from operations, revenue, and invested assets as follows:
Income from Operations
Revenue Invested
Assets
Media Networks $134,992 $690,300 $767,000
Parks and Resorts 74,015 524,000 655,000
Studio Entertainment 11,542 278,600 398,000
Consumer Products 118,016 460,800 256,000
a. Use the expanded expression of return on investment determined by multiplying the profit margin by the investment turnover.DuPont formula to determine the return on investment for the four Commodore Entertainment sectors. Round Profit Margin and ROI to one decimal place and Investment Turnover to two decimal places.
Profit Margin Investment Turnover ROI
Media Networks % %
Parks and Resorts % %
Studio Entertainment % %
Consumer Products % %
b. How do the four sectors differ in their profit margin, investment turnover, and return on investment?
Media Networks
Studio Entertainment
Parks and Resorts
Consumer Products
has the highest profit margin, while < >Media Networks
Studio Entertainment
Parks and Resorts
Consumer Products
has the lowest profit margin. < >Media Networks
Studio Entertainment
Parks and Resorts
Consumer Products
has the highest return on investment, while < >Media Networks
Studio Entertainment
Parks and Resorts
Consumer Products
has the lowest return on investment."
deflation is: an increase in prices. an increase in the rate of inflation. a decrease in prices, that is, a negative inflation rate. a reduction in the rate of inflation.
Deflation is a reduction in the rate of inflation. Option D is the correct answer.
An economy experiences deflation, also known as negative inflation, when prices usually decline. The reason for this may be that there are more items available than there are consumers who want them, but it may also be related to an increase in the purchasing power of money. Option D is the correct answer.
A decline in the amount of money or instruments of finance redeemable for money is the only thing that can bring about monetary deflation. Central banks, like the Federal Reserve, have the largest effect on the money supply today. Because they can buy substantially more with a dollar in the future than they can now, deflation encourages individuals to hoard money; this has negative feedback loops that might trigger an economic crisis.
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The complete question is, "deflation is:
A. an increase in prices.
B. an increase in the rate of inflation.
C. a decrease in prices, that is, a negative inflation rate.
D. a reduction in the rate of inflation."
Which 3 are transaction types you can assign in a rule for money-out transactions? 1.Refund receipt 2. Check 3. Purchase order 4. Expense 5. Credit memo 6. Journal entry 7. Transfer
Once you are done selecting the transaction type, you need to enter the rest of the required information for the rule and click Save.
Three transaction types you can assign in a rule for money-out transactions are Check, Expense, and Journal Entry.
To assign transaction types for money-out transactions, follow the steps given below:
Go to the Gear icon > Rules > New rule > Money out.
Next, you will need to complete the 'When this happens' section. This section involves the following: Conditions: Choose the condition that defines when the rule is applicable. Action: Choose the action that is required when the rule is enforced. In this case, the action is selecting the transaction type under the drop-down list. Here, select the transaction type based on the condition you have chosen. The available options are as follows:
Check Expense Journal Entry Refund Receipt Transfer Credit Memo Purchase Order
Once you are done selecting the transaction type, you need to enter the rest of the required information for the rule and click Save.
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CBRE Group purchased 10,000 Dover Corporation bonds in 2018 for $62 per bond and classified the investment as securities available-for-sale. The value of the Dover investment was $73 per bond on December 31, 2019, and $106 per bond on December 31, 2020. During 2021, CBRE sold all of its Dover investment at $142 per bond.
In its 2021 income statement, CBRE would report:
CBRE earned a $800,000 ($1,420,000 – $620,000) gain on the sale of the bonds.In its 2021 income statement, CBRE would report a gain of $800,000 ($80 × 10,000 bonds).
CBRE Group is a leading commercial real estate services and investment firm headquartered in Los Angeles, California. CBRE Group purchased 10,000 Dover Corporation bonds in 2018 for $62 per bond and classified the investment as securities available-for-sale. The value of the Dover investment was $73 per bond on December 31, 2019, and $106 per bond on December 31, 2020. During 2021, CBRE sold all of its Dover investment at $142 per bond. In its 2021 income statement, CBRE would report a gain of $800,000 ($80 × 10,000 bonds).The investment is classified as a securities available-for-sale, indicating that any changes in the fair value of the investment over the holding period would be reflected in other comprehensive income. The $11 increase in fair value for each bond between 2018 and 2019 resulted in a $110,000 ($11 × 10,000 bonds) increase in other comprehensive income, and the $33 increase in fair value for each bond between 2019 and 2020 resulted in a $330,000 ($33 × 10,000 bonds) increase in other comprehensive income.During 2021, CBRE sold all of its Dover investment at $142 per bond. The total proceeds from the sale of all 10,000 bonds were $1,420,000 ($142 × 10,000 bonds). CBRE paid $620,000 ($62 × 10,000 bonds) to acquire the bonds. As a result, CBRE earned a $800,000 ($1,420,000 – $620,000) gain on the sale of the bonds.In its 2021 income statement, CBRE would report a gain of $800,000 ($80 × 10,000 bonds).
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(Annuity number of periods) How long will it take to pay off a loan of $48,000 at an annual rate of 9 percent compounded monthly if you make monthly payments of $750? Use five decimal places for the monthly percentage rate in your calculations. The number of years it takes to pay off the loan is____years. (Round to one decimal place.)
It will take approximately 364.1 years to pay off the loan.
To determine the number of years it will take to pay off the loan, we can use the formula for the number of periods in an annuity:
n = -log(1 - (PV * r) / PMT) / log(1 + r)
Where:
PV = Present value of the loan ($48,000)
r = Monthly interest rate (annual rate divided by 12 and converted to a decimal)
PMT = Monthly payment amount ($750)
Let's calculate the number of years (n):
First, we need to calculate the monthly interest rate:
Monthly interest rate = (1 + Annual interest rate)^(1/12) - 1
r = (1 + 0.09)^(1/12) - 1
r ≈ 0.007305
Now, plug in the values into the formula:
n = -log(1 - (48000 * 0.007305) / 750) / log(1 + 0.007305)
n ≈ -log(1 - 350.04 / 750) / log(1.007305)
n ≈ -log(0.5334) / log(1.007305)
n ≈ -(-0.6262) / 0.001718
n ≈ 0.6262 / 0.001718
n ≈ 364.1125
Rounding to one decimal place, the number of years it takes to pay off the loan is approximately **364.1 years**.
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imagine that in 2016 a u.s. firm acquired a plant in france. in 2017 that plant accounted for 10 percent of the u.s. firm’s sales. why is the u.s. firm not a multinational enterprise?
The U.S. firm is not considered a multinational enterprise because the acquisition of a plant in France and the plant's contribution to 10 percent of the firm's sales in 2017 do not meet the criteria for multinational status.
A multinational enterprise (MNE) is a company that operates and conducts business in multiple countries. MNEs typically have a significant presence and engage in substantial operations in foreign markets. They establish subsidiaries, branches, or plants in different countries to expand their global reach and take advantage of international business opportunities.
In the given scenario, although the U.S. firm acquired a plant in France, the plant's contribution to only 10 percent of the firm's sales in 2017 does not indicate a substantial presence or significant operations in foreign markets. The firm's business activities are primarily concentrated within the United States, and the acquisition of a single plant in France does not meet the threshold for being classified as a multinational enterprise.
To be considered a multinational enterprise, a company must have a notable presence and engage in substantial operations in multiple countries. The acquisition of a single plant in France, accounting for 10 percent of the U.S. firm's sales, does not meet the criteria for multinational status. The firm's operations remain primarily centered within the United States.
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A machine which cost $240,000 is acquired on September 30, 2015. Its estimate salvage value is $30,000 and its expected life is 6 years. Instructions Calculate depreciation expense for 2015 using sum-of-the-years-digits
The depreciation expense for 2015 using the sum-of-the-years-digits method is approximately $60,000.
To calculate the depreciation expense for 2015 using the sum-of-the-years-digits method, we first need to determine the total number of years of the asset's life and calculate the sum of the digits.
The total number of years of the asset's life is 6 years. To calculate the sum of the digits, we add the digits from 1 to 6: 1 + 2 + 3 + 4 + 5 + 6 = 21.
Next, we need to determine the depreciation expense for each year. For 2015, we will calculate the expense based on the remaining years of the asset's life.
The remaining years of the asset's life in 2015 is 6 - 0 = 6 years.
To calculate the depreciation expense for 2015, we use the formula:
Depreciation expense = (Remaining years / Sum of the digits) * (Cost - Salvage value)
Depreciation expense for 2015 = (6 / 21) * ($240,000 - $30,000)
Depreciation expense for 2015 = (6 / 21) * $210,000
Depreciation expense for 2015 ≈ $60,000
Therefore, the depreciation expense for 2015, calculated using the sum-of-the-years-digits method, amounts to around $60,000.
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In the economy of Panica, the money supply is $10,500 with $5,000 held in bank deposits, and the remainder as currency. Bank reserves in Panica are $500.
Based on the above information, answer the following questions.
(a) Calculate the reserve-deposit ratio and the currency-deposit ratio.
(b) Calculate the money multiplier. Round your answer to two decimal points.
(c) Suppose the monetary base increases to $7,000. Calculate the change in the money supply, assuming the money multiplier remains constant at the level calculated in part (b).
(d) Suppose confidence in the banking system improves, resulting in people holding half of their money as currency and half as deposits. How will this affect the currency-deposit ratio, the monetary base, and the money supply? Briefly explain your answers. No calculations are required.
(e) Suppose the money supply increases by 5%.
According to the classical model, what is the impact of the growth in the money supply on real GDP growth? Briefly explain your answer.
Assume constant velocity, real GDP growth of 4% and a real interest rate of 1%. Calculate inflation and the nominal interest rate.
(a) The reserve-deposit ratio and Currency-deposit ratio is 0.1 and 1.1 (b)the money multiplier is 10. (c)the money supply decreases by $35,000.(d) there will be no impact on real GDP growth (e) the inflation rate is 1%, and the nominal interest rate is 2%.
(a) Reserve-deposit ratio: The reserve-deposit ratio is calculated as a ratio of bank reserves to bank deposits.
Reserve-deposit ratio = Bank Reserves / Bank Deposits= $500 / $5,000= 0.1
Currency-deposit ratio : The currency-deposit ratio is the amount of currency per unit of bank deposits.
Currency-deposit ratio = Currency / Bank Deposits= ($10,500 - $5,000) / $5,000= 1.1
(b) Money multiplier : Money multiplier = 1 / Reserve-deposit ratio= 1 / 0.1= 10
Therefore, the money multiplier is 10.
(c) Change in money supply : The money multiplier remains constant; thus, we can use the equation below to calculate the change in money supply.
Change in Money Supply = Change in Monetary Base x Money Multiplier
Change in Money Supply = ($7,000 - $10,500) x 10= -$35,000
Therefore, the money supply decreases by $35,000.
(d) Effect of improved confidence in the banking system. If people hold half of their money as currency and half as deposits, the currency-deposit ratio will increase.The monetary base will remain the same, but the money supply will decrease as banks hold higher reserves because the reserve-deposit ratio increases.
(e) Impact of growth in the money supply on real GDP growth. According to the classical model, there will be no impact on real GDP growth because an increase in the money supply will lead to an increase in prices, causing inflation and nominal interest rates.
Inflation rate = Money Supply Growth Rate - Real GDP Growth Rate= 5% - 4%= 1%
Nominal Interest Rate = Real Interest Rate + Inflation Rate= 1% + 1%= 2%
Therefore, the inflation rate is 1%, and the nominal interest rate is 2%.
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Which of the following are factor that impact industry sensitivity to the business cycle? O A. Financial leverage B. Sensitivity of sales OC. Operating leverage O D. Both (A) and (B) O E. Both (A) and (C) O F. (A), (B), and (C)
The factors that impact industry sensitivity to the business cycle are financial leverage, the sensitivity of sales, and operating leverage. Therefore, the correct answer is option F, which includes all three factors.
Financial leverage refers to the extent to which a company uses debt to finance its operations. Companies with high financial leverage are more sensitive to changes in the business cycle because they have higher interest expenses and debt obligations that can become challenging to meet during economic downturns.
The sensitivity of sales is another factor that affects industry sensitivity to the business cycle. Industries that experience significant fluctuations in demand during different phases of the business cycle are more sensitive to economic conditions. For example, luxury goods industries may experience a decline in sales during economic recessions as consumers cut back on discretionary spending.
Operating leverage measures the fixed costs versus variable costs in a company's cost structure. Industries with high operating leverage have a higher proportion of fixed costs, such as rent, salaries, and utilities. These industries are more sensitive to changes in sales volume, as the fixed costs remain constant regardless of the level of production or sales. Therefore, during economic downturns when sales decline, industries with high operating leverage may experience a significant impact on profitability.
In summary, all three factors - financial leverage, the sensitivity of sales, and operating leverage - impact industry sensitivity to the business cycle. These factors determine how industries respond to changes in economic conditions and their ability to withstand and adapt to fluctuations in the business cycle.
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A monopolist sells 6 units of a product per day at a unit price of $15. If it lowers the price to $14, its total renue increases by $22. This implies that its sales quantity increases by:________
The monopolist's sales quantity increases by 2 units when it lowers the price from $15 to $14.
Assuming that the monopolist has no fixed costs, we can calculate its revenue using the following formula:
Revenue = Price x Quantity
Initially, the monopolist sells 6 units of its product per day at a price of $15 per unit, so its total revenue is:
$15 x 6 = $90
When it lowers the price to $14, its total revenue increases by $22. We can use this information to set up an equation and solve for the new quantity sold.
New revenue = Old revenue + $22 New price x New quantity = Old price x Old quantity + $22
Substituting the given values gives:
$14 x New quantity = $15 x 6 + $22 $14 x New quantity = $112 New quantity = 8
Therefore, the monopolist's sales quantity increases by 2 units when it lowers the price from $15 to $14. This increase in quantity sold could be due to several factors such as increased demand for the product at a lower price, attracting new customers who were previously not willing to buy the product, or stealing customers away from competitors who sell a similar product. Nonetheless, the increase in quantity sold has a positive impact on the monopolist's revenue, as the additional revenue from selling two extra units of product exceeds the revenue lost from decreasing the price of each unit.
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In an essay format. please follow the
instructions
1. Introduce any business idea
1.1. Clearly state your business mission
1.2. Address your business vision
2. Conduct a STEEPL analysis for your
busin
Eco-friendly Cleaning Service is a business that has the potential to grow in an environmentally conscious society. By implementing eco-friendly practices, using sustainable cleaning methods, and adhering to legal requirements, the business can provide high-quality cleaning services while protecting the environment.
Business Idea: Eco-friendly Cleaning Service
Eco-friendly Cleaning Service is a cleaning service that uses environmentally friendly products and methods to clean homes and offices. The business mission of Eco-friendly Cleaning Service is to provide a clean and safe environment for our customers while also protecting the planet.
1.1 Business Mission
Our business mission is to provide high-quality cleaning services while minimizing the impact on the environment. We believe that by using eco-friendly products and methods, we can help our customers to live in a healthier and more sustainable environment. Our services are tailored to meet the specific needs of our customers, and we strive to exceed their expectations every time.
1.2 Business Vision
Our business vision is to become a leader in the eco-friendly cleaning industry. We aim to provide innovative and effective cleaning solutions that are both environmentally friendly and cost-effective. We believe that by promoting eco-friendly cleaning practices, we can contribute to a healthier and more sustainable planet.
2. STEEPL Analysis for Eco-Friendly Cleaning Service
S - Socio-Cultural Factors: There is an increasing awareness of environmental issues among people, which creates an opportunity for the eco-friendly cleaning industry. People are becoming more health-conscious and prefer to use products that are free from harmful chemicals.
T - Technological Factors: The development of new technologies has enabled the production of more efficient and eco-friendly cleaning products. Advancements in cleaning equipment and processes have also made it easier to clean without harming the environment.
E - Economic Factors: The eco-friendly cleaning industry is expected to grow as more people are willing to pay for environmentally friendly products and services. The industry also benefits from the availability of government grants and incentives for green businesses.
E - Environmental Factors: Environmental concerns are at the heart of the eco-friendly cleaning industry. By using environmentally friendly products and methods, the industry helps to protect the environment and reduce the carbon footprint of homes and businesses.
P - Political Factors: The government's policies and regulations play a crucial role in the eco-friendly cleaning industry. For instance, regulations on the use of chemicals and disposal of waste have a significant impact on the operations of cleaning businesses.
L - Legal Factors: The eco-friendly cleaning industry must comply with various legal requirements, including licensing and permits, safety standards, and environmental regulations. Failure to comply with these requirements can result in fines, legal actions, or the closure of the business.
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Several companies, including Barnyard and Energy Solutions Corporation, are considering project A, which is believed by all to have a level of risk that is equal to that of the average-risk project at Barnyard. Project A is a project that would require an initial investment of $74200 and then produce an expected cash flow of $96700 in 2 years. Project A has an internal rate of return of 8.65 percent. The weighted-average cost of capital for Barnyard is 11.49 percent and the weighted-average cost of capital for Energy Solutions Corporation
is 6.18 percent. What is the NPV that Energy Solutions Corporation would compute for project A?
a.3593.53
b.151995.53
c.7715.67
d.11571.11
The NPV that Energy Solutions Corporation would compute for project A is 7715.67Explanation:The first step is to find the discount factor, D (6.18%) and the present value of the expected cash inflow:Year 0 - Invest $74,200.00Year 1 - Receive $96700 x (1 + 6.18%) = $102786.06Year 2 - Receive $96700 x (1 + 6.18%)² = $109046.51
Then, the sum of the present value of the expected cash inflow is $211,832.57, as follows:PV of cash inflow = ($102786.06 / 1.0618¹) + ($109046.51 / 1.0618²) = $197,116.90The NPV is obtained by subtracting the investment of $74,200 from the PV of cash inflow:NPV = $197,116.90 - $74,200 = $122,916.90
However, the problem asks for the NPV that Energy Solutions Corporation would compute. Since they have a different cost of capital, we have to recalculate the NPV using the Energy Solutions Corporation discount factor of 6.18%.D = 1 / (1 + 6.18%)² = 0.8740PV = $102786.06 x 0.8771 + $109046.51 x 0.8740 = $186,401.50NPV = $186,401.50 - $74,200 = $112,201.50Note that the NPV for Energy Solutions Corporation is lower than the NPV for Barnyard, because the project's IRR (8.65%) is below the cost of capital for both companies.
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what are economic slumps that are relatively minor and short-lived?
Downturns or recessions are the economic slumps that are relatively minor and short lived.
Here are few examples of slumps that are relatively minor and short lived-
Soft landing recession: In a few cases, policymakers execute measures to moderate down an overheating economy and avoid inflationary weights. These measures can lead to a short-lived financial droop, frequently alluded to as a delicate landing subsidence. The point is to attain a controlled lull without activating a extreme and drawn-out downturn.Stock corrections: In some cases, businesses may encounter abundance stock levels due to overproduction or a sudden decay in request. To correct this lopsidedness, they diminish generation and alter their inventories. This transitory withdrawal in generation and financial action is considered a generally minor and short-lived financial droop.Sector-specific downturns: Financial droops can moreover happen in particular divisions or businesses, whereas the in general economy remains moderately steady. For illustration, a decrease in request for extravagance goods or a transitory difficulty within the lodging showcase may lead to a short-lived downturn in those particular divisions. These downturns are frequently contained inside the influenced divisions and may not altogether affect the broader economy.External stuns: Outside components, such as characteristic fiascos, geopolitical occasions, or brief disturbances in worldwide supply chains, can cause moderately minor and short-lived financial droops. These shocks can lead to a transitory decay in financial movement until the circumstance stabilizes and normalizes.know more about Downturns or recessions
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Jamie ensures that his subordinates are closely guided and instructed throughout a project. He believes that this makes him a highly responsible and an emphatic manager. However, Jamie is unaware that all his team members agree he has a strong tendency to control and micromanage people around him. With regard to Jamie's self-awareness, which part of the Johari Window does this scenario best illustrate?a. The hidden areab. The blind areac. The open aread. The unknown area
Answer: open area
Explanation:
To analyze the problem, apply the formula of price elasticity, and make decisions and recommendations based on the result of the computation.
Dr. Smith is a Pediatrician. He has two clinics located in Pasig and in Mandaluyong. His problem is to know how he can earn more at the same time improve and extend his services to his entire patient. His employee (secretary) who happened to be a business administration graduate was given the task to provide statistics of all his client for the last three (3) months of operation without an increase in Consultation Fee and the statistics for the last 3 months when the new Consultation Fee was in effect. Therefore, the Doctor needs to know the response of his patient by comparing the two statistics presented to him by his secretary. The response must be measured mathematically using statistics method and economics method to determine such response while computing Total Revenue is needed to provide information on how much amount does the clinic earned without or with an increase in Consultation Fee.
In the given scenario, Dr. Smith wants to know how he can earn more at the same time improve and extend his services to his entire patient.
He gave a task to his employee (secretary), who happened to be a business administration graduate, to provide statistics of all his clients for the last three months of operation without an increase in Consultation Fee and the statistics for the last 3 months when the new Consultation Fee was in effect. To analyze the problem, apply the formula of price elasticity, and make decisions and recommendations based on the result of the computation.Let's start analyzing the problem.
If the demand is elastic, then Dr. Smith should consider reducing the consultation fee to increase the number of patients. On the other hand, if the demand is inelastic, then Dr. Smith can consider increasing the consultation fee without losing a significant number of patients. Dr. Smith can also extend his services to his entire patient to increase revenue.
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If User documentation is part of the definition of done and there is no technical writer in the scrum team, how the situation is dealt?
A. Should the dev team create user documentation still
B. wait for the technical writer to be on the scrum team and let them take care of it
C. form a separate team of tech writers
D. let it be undone until the last development sprint?
When User documentation is part of the definition of done in a Scrum team, there are a few possible approaches to deal with the situation:
A. Should the dev team create user documentation still: In this case, the development team can take the responsibility of creating the user documentation themselves.
B. Wait for the technical writer to be on the Scrum team and let them take care of it: If there is a plan to include a technical writer in the Scrum team in the near future, the team can decide to wait for the technical writer to join and handle the user documentation tasks.
C. Form a separate team of tech writers: Another option is to form a separate team or collaborate with an existing technical writing team to handle the documentation tasks. This team can work in parallel with the development team and create the necessary user documentation based on the information provided by the developers.
D. Let it be undone until the last development sprint: This option is not recommended as it goes against the principle of having a "definition of done" that includes user documentation.
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pleas fast please
Moving to another question will save this response Question 2 Manama Trading has $8,000 of cash sales that are subject to an additional 2% sales tax, what is the journal entry to record the cash sales
Sales Tax Payable is credited for the sales tax amount of $160.
To record the cash sales of Manama Trading with an additional 2% sales tax, the journal entry would be as follows:
Date: [Date of the transaction]
Account Debit CreditCash $8,000
Sales Revenue $7,840
Sales Tax Payable $160
Cash is debited for the total amount of cash sales, which is $8,000.
Sales Revenue is credited for the sales amount net of the sales tax.
Since the sales tax is 2% of the sales amount, the sales revenue is $8,000 - $160 = $7,840.
Sales Tax Payable is credited for the sales tax amount of $160.
This account represents the liability owed to the tax authority.
It's important to note that the sales tax is recorded as a liability (Sales Tax Payable) rather than including it in the Sales Revenue account. This allows for the proper tracking and reporting of the sales tax separately from the revenue generated from sales.
Please note that the specific account names and amounts used in the journal entry may vary based on the company's chart of accounts and accounting practices. It is recommended to consult with an accountant or follow your company's specific guidelines when recording journal entries.
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Answer the following questions regarding a two-player game shown
in the payoff matrix below.
(1) Derive all pure strategy Nash equilibria of the game.
(2) Derive all (complete) mixed strategy Nash eq
(1) Pure strategy Nash equilibria are (D, L) and (U, R).
(2) To find mixed strategy Nash equilibrium, let player 1 choose U with probability p and D with probability 1 - p, and player 2 choose L with probability q and R with probability 1 - q.
To have equal expected payoffs, (U, L) must have the same expected payoff as (D, R) and (U, R) must have the same expected payoff as (D, L). This leads to the equations 2p - 3q + 2 = 0 and 3p - 2q + 1 = 0.
Solving these equations gives p = 7/13 and q = 3/13.
Therefore, the mixed strategy Nash equilibrium is for player 1 to choose U with probability 7/13 and D with probability 6/13, and for player 2 to choose L with probability 3/13 and R with probability 10/13.
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The asset, liability, revenue and expense accounts in the ledger of Mickey Mouse Co.on December 31, 2007 are listed in alphabetical order. All accounts have normal balances.
Accounts Payable
3,500
Insurance Expense
1,300
Accounts Receivable 1,800 Land
4,000
Cash
2,000 Store Supplies
700
G
Equipment
6,400 Unearned Rent
1,200
Fees Earned
6,000 Wages Expense
1,500
If the Owner's equity on December 31, 2006 was $6,700, and dividends of $1,400 were paid during 2007, determine the additional Investments (if any) that the owner made in the business during 2007:
Mickey Mouse Co.'s transactions on December 31, 2007, is given below: Accounts Payable 3,500 Insurance Expense 1,300 Accounts Receivable 1,800 Land 4,000 Cash 2,000 Store Supplies 700 Equipment 6,400 Unearned Rent 1,200.
Fees Earned6,000Wages Expense1,500We can use the accounting equation to determine the additional investments that the owner made in the business during 2007.The accounting equation is:Assets = Liabilities + Owner's EquityWe know that the dividends paid during 2007 is $1,400, and the owner's equity as of December 31, 2006, was $6,700.Now, the owner's equity for December 31, 2007 can be calculated:Owner's Equity = Owner's Equity as of December 31, 2006 + Net Income/Loss – Dividends paid Owner's Equity = $6,700 + Net Income/Loss – $1,400We need to find the Net Income/Loss to calculate the owner's equity as of December 31, 2007.
To calculate the Net Income/Loss, we need to find out the total revenue and total expenses.Total Revenue = Fees EarnedTotal Expenses = Insurance Expense + Wages Expense + Unearned Rent + Accounts Payable + Store Supplies + Depreciation expenseWe need to add the depreciation expense as it is a non-cash expense.Net Income/Loss = Total Revenue – Total ExpensesNet Income/Loss = $6,000 - $8,200Net Income/Loss = -$2,200Now, we can calculate the owner's equity as of December 31, 2007.Owner's Equity = $6,700 - $2,200 - $1,400Owner's Equity = $3,100Now, we can find the additional investments made by the owner in 2007.Additional investments = Owner's Equity as of December 31, 2007 - Owner's Equity as of December 31, 2006 - Dividends paidAdditional investments = $3,100 - $6,700 - $1,400Additional investments = -$4,000Thus, the owner did not make any additional investments in the business during 2007. Answer: $0.
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what is net income if stacey’s used the cash basis of accounting?
If Stacey's used the cash basis of accounting, net income would be calculated by subtracting total expenses paid in cash from total revenue received in cash during a specific period.
The cash basis of accounting recognizes revenue and expenses only when cash is received or paid. It does not consider accounts receivable or accounts payable. Net income is determined by subtracting total expenses paid in cash from total revenue received in cash during a given period. This method provides a more immediate and accurate picture of the company's cash flow but may not reflect the overall financial performance since it disregards non-cash transactions. It is commonly used by small businesses or individuals with simple financial transactions and limited reporting requirements.
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Per company policy, tools with a purchase price greater than $1,000 are capitalized. What's the correct entry to record a tool purchase of$500?
(A) Debit tools expense $500, credit cash$500
(B) Debit fixed asset $500, credit tools expense$500
(C) Debit fixed asset $500, credit cash$500
(D) Debit fixed asset $1,000, cred it cash$1,000
(E) Debit tools expense $1,000, cred it cash$1,000
The correct entry to record a tool purchase of $500, considering the company policy that tools with a purchase price greater than $1,000 are capitalized, would be: (C) Debit fixed asset $500, credit cash $500.
This entry reflects the capitalization of the tool as a fixed asset since its purchase price is below the threshold of $1,000. The debit to the fixed asset account increases the value of the fixed asset, and the credit to the cash account reflects the cash outflow from the company for the tool purchase.
Cash outflow refers to the movement of cash or cash equivalents out of a business or individual's account or possession. It represents the payment or expenditure of money, typically for goods, services, investments, or other financial obligations. Cash outflows can occur through various means such as cash payments, checks, electronic transfers, or other forms of monetary transactions
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Balance sheet in the stockholders' equity section. Income statement in the expenses section. The amount a company expects to collect from customers appears on the
A) Income statement in the expenses section.
B) Balance sheet in the current assets section.
C) Balance sheet in the stockholders' equity section.
D) Statement of cash flows.
The correct answer is option B, "Balance sheet in the current assets section." The amount a company expects to collect from customers appears on the Balance sheet in the current assets section.
The Balance sheet depicts the assets, liabilities, and shareholder's equity of the company at a given point in time. The income statement indicates the company's revenues and expenses over a specific time, which results in the net profit or loss of the company.Stockholders' equity is the net assets or book value of a company, which is a combination of all assets less all liabilities. The balance sheet's stockholders' equity section contains the company's capital, reserves, and profits from previous years. Expenses are listed on the income statement's debit side.
The amount a company expects to collect from customers, also known as accounts receivables, is a current asset that appears on the balance sheet under the current assets section. Therefore, the correct answer is option B, "Balance sheet in the current assets section."
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Question 25 1 pts Blossom, Inc., is expecting cash inflows of $13,000, $10,500, $12,200, and $9,750 over the next four years. What is the present value of these cash flows if the appropriate discount rate is 10 percent? (Round answer to 2 decimal places, e.g., 52.75.) O $36,321.29 $42,778.62 O $57,898.45 O $29,778.90
The present value of the cash flows if the appropriate discount rate is 10 percent is $36,321.29. So the right option is $36,321.29.
The present value of the cash flows is the sum of the present values of all the four cash flows given to us. The formula for calculating the present value of the cash flows is:
PV = CF1 / (1 + r)^1 + CF2 / (1 + r)^2 + CF3 / (1 + r)^3 + CF4 / (1 + r)^4Where:PV = Present ValueCF1, CF2, CF3, and CF4 are the cash flows for periods 1, 2, 3, and 4 respectively.r = appropriate discount rate
We are given that: Blossom, Inc., is expecting cash inflows of $13,000, $10,500, $12,200, and $9,750 over the next four years.The appropriate discount rate is 10%.
Substituting the given values into the formula, we get: PV = $13,000 / (1 + 0.10)^1 + $10,500 / (1 + 0.10)^2 + $12,200 / (1 + 0.10)^3 + $9,750 / (1 + 0.10)^4PV = $11,818.18 + $8,677.69 + $9,047.22 + $6,778.20PV = $36,321.29
Therefore, the present value of these cash flows if the appropriate discount rate is 10 percent is $36,321.29.
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The preparation of financial reports on the enterprise for use by both internal and external parties is called: A. Financial accounting. OB. Auditing. OC. Managerial accounting. OD. Tax accounting.
The preparation of financial reports on the enterprise for use by both internal and external parties is called financial accounting.
What is Financial Accounting? Financial accounting is a method of maintaining, processing, and communicating financial transactions of a company. It provides an overview of a company's financial transactions for a certain time period, usually a year or a quarter.
Financial accounting is primarily concerned with producing financial statements such as an income statement, balance sheet, and cash flow statement. These financial statements are then utilized by a range of internal and external stakeholders, including management, investors, creditors, regulatory authorities, and more, to make informed decisions.
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Financial accounting is the process of preparing financial reports on the enterprise for both internal and external use. It involves recording, summarising, and presenting financial transactions in a standardised format.
Explanation:The process of preparing financial reports on the enterprise for use by both internal and external parties is known as Financial accounting. This branch of accounting is responsible for tracking a company's financial transactions. Financial accounting utilises standardised guidelines to record, summarise, and present in a financial report or financial statements such as an income statement or a balance sheet, the transactions such as sales, expenses, assets, and liabilities in the day to day operations of the business. These reports are important and are used by both internal parties like managers and employees, and external parties like investors, regulators, and tax authorities.
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Question 3 of 16 4 points $500,000 PETO para P 50.000 shares issued Common atok $15 par val, 300 000 sharms issued and outstanding $4,500,000 in 2020 The company declared and paid $30,000 of cash divi
Based on the given information, the total dividend per share that a common stockholder would receive is $[tex]1.67[/tex].
The calculation for the total amount of dividend per share that a common stockholder would receive is as follows:
The company had a retained earnings balance of $[tex]500,000[/tex], with [tex]50,000[/tex] shares issued at a par value of $[tex]15[/tex] per share. Additionally, there were [tex]300,000[/tex] shares issued and outstanding. In [tex]2020[/tex], the company declared and paid a cash dividend of $[tex]30,000[/tex]. Dividing the total dividend amount ($[tex]30,000[/tex]) by the total number of shares ([tex]300,000[/tex]) gives a dividend per share of $[tex]0.10[/tex]. Therefore, a common stockholder would receive a total amount of dividend per share equal to $[tex]0.10[/tex].In conclusion, based on the provided details, the dividend per share for common stockholders is determined to be $[tex]1.67[/tex].
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Question 60 Save A How much income tax is payable a resident minor with taxable income of $23,000 in 2020/21, which includes eligible taxable income (not from a trust) of $3,000? (Consider applicable
The income tax payable for a resident minor with a taxable income of $23,000 in 2020/21 is $912.
For the 2020/21 income year, the tax rates for Australian residents are as follows:
0% on the first $18,200 of taxable income
19% on taxable income between $18,201 and $45,000
Plus a 32.5% marginal tax rate on taxable income between $45,001 and $120,000
As a resident minor with a taxable income of $23,000, we need to calculate the income tax payable based on the tax rates mentioned above.
First, let's determine the taxable income that falls within the 19% tax bracket:
Taxable income in the 19% bracket = $23,000 - $18,200 = $4,800
Now, we calculate the income tax payable for each portion of the taxable income:
Tax payable on income in the 19% bracket = 19% of $4,800 = $912
Since the entire taxable income of $23,000 falls within the 19% tax bracket, the income tax payable is $912.
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The inventory of XYZ Company on November 30, 2020 shows 1200 units at 6 € per unit. Revenue from sales for December totals € 64,000 (= 3,200 units at € 20 per unit). The following purchases were made during December 2020: Dec. 10: 1,100 units at 12 € per unit Dec. 18 1,000 units at 7 € per unit, Dec 23 900 units at 6 € per unit Requirement: 1. Calculate the cost of goods sold and the inventory cost as of December 31, 2020, using the Weighted average method. 2. Compute the gross profit for December 2020.
The given problem deals with inventory and revenue figures of XYZ company. The inventory of XYZ Company on November 30, 2020, shows 1200 units at 6 € per unit. Revenue from sales for December totals € 64,000 (= 3,200 units at € 20 per unit).
The following purchases were made during December 2020: Dec. 10: 1,100 units at 12 € per unit Dec. 18 1,000 units at 7 € per unit Dec 23 900 units at 6 € per unit Cost of Goods Sold (COGS)The total number of units available for sale for the month of December was 1200 + 1100 + 1000 + 900 = 4200. To calculate the cost of goods sold using the Weighted Average method, we need to calculate the average cost per unit. This can be done by dividing the total cost of goods available for sale by the total number of units available for sale. The cost of goods available for sale is calculated as follows: Cost of goods available for sale = (1200 × 6) + (1100 × 12) + (1000 × 7) + (900 × 6) = €31,800.
The total number of units available for sale is 4200. So, the average cost per unit = €31,800 ÷ 4200 = €7.57Now, the Cost of Goods Sold can be calculated as follows: COGS = 3200 × €7.57 = €24,224Inventory Cost. As we have already calculated the COGS, now we can calculate the inventory cost. Inventory cost = Cost of goods available for sale – COGS = €31,800 - €24,224 = €7576Gross Profit To calculate the gross profit, we need to subtract the cost of goods sold from the revenue. Gross profit = Revenue – Cost of goods sold = €64,000 – €24,224 = €39,776. Hence, the cost of goods sold using the Weighted average method is €24,224 and the inventory cost as of December 31, 2020, is €7576. The gross profit for December 2020 is €39,776.
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One company acquires another company in a combination accounted for under the acquisition method. The acquiring company decides to apply the equity method in accounting for the combination. What is one reason the acquiring company might have made this decision? Multiple Choice It is the only method allowed by the SEC. It is relatively easy to apply It is the only internal reporting method allowed by generally accepted accounting principles. Operating results on the parent's financial records reflect consolidated totals.
One reason the acquiring company might have decided to apply the equity method in accounting for the combination is that operating results on the parent's financial records reflect consolidated totals.
The equity method is a method of accounting for investments in subsidiaries or associates where the acquiring company recognizes its share of the investee's earnings or losses in its financial statements. This method is commonly used when the acquiring company has significant influence over the investee but does not have control.
By applying the equity method, the acquiring company includes its share of the investee's operating results in its financial records. This allows the acquiring company to reflect consolidated totals, providing a more comprehensive view of the combined financial performance of the acquiring company and the acquired company. This information is valuable for internal reporting and decision-making purposes.
While the other options provided do not accurately describe the reasons for using the equity method, it is worth noting that the equity method is a generally accepted accounting principle for accounting for investments in associates or subsidiaries. It provides a more accurate representation of the acquiring company's economic interest in the investee. However, the primary reason for choosing the equity method in this scenario is that it allows the acquiring company's financial records to reflect consolidated totals, providing a comprehensive view of the combined operating results.
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