The entry to record the payment should include debit to Interest Expense for $750.
What is an interest-bearing note?
A lender will lend money to a borrower on an interest-bearing note, and interest will be charged in accordance with the terms of the agreement. There are numerous uses for these notes. For instance, an account receivable may be changed into a note, under which a client is now regarded as a borrower and is responsible for making interest payments on what was once an account receivable. Another option is to get a mortgage, which requires a homeowner to commit to a protracted series of payments that, based on the terms, may contain both interest and principal payback components. A long-term loan to a business that is utilized to meet its funding needs over a number of years is a third example of an interest-bearing note.
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you log on to amazon to purchase a new ink cartridge for your printer. you notice that amazon has a "recommended for you" section on the website based on past purchases and searches. this is an example of , an advantage of online shopping.
This is a good illustration of planned obsolescence, which is a benefit of online shopping.
What is planned obsolescence?
The term "planned obsolescence" refers to a strategy in economics and industrial design where a product is planned or designed with an artificially limited useful life or a purposely frail design so that it becomes obsolete after a specific predetermined period of time upon which it decrementally functions or suddenly ceases to function, or may be perceived as being out of style. The goal of this tactic is to increase long-term sales volume by shortening the interval between repeat transactions. To compel customers to buy usable replacements, manufacturers purposefully reduce a product's lifespan.
When a producer has at least an oligopoly, planned obsolescence frequently works best.
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Discuss one of the main disadvantages of MNC's/FDI to Nigeria. Describe the pattern of FDI in Nigeria in recent years
Hindering Domestic Investment Foreign direct investment can hamper domestic investment. Due to foreign direct investment, local companies in each country are losing interest in investing in domestic products.
Risk of Political Change Political trends in other countries can change constantly, which can deter investors. Negative exchange rates Foreign direct investment can affect exchange rates, benefiting one country and detrimental to another. Poor performance Multinationals have been criticized for poor working conditions in foreign factories.
Higher Costs Investors may find that investing abroad is more expensive than exporting goods. In many cases, more money is invested in machinery and intellectual property than the wages of local employees. There is no guarantee that an investment will pay dividends in the future. The global political situation is also inherently unstable. This means companies can lose their investments in the event of a foreclosure or takeover.
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After eating at a local restaurant, in which you had a heated disagreement with the owner, you decide to go online and post a review. Your review states that not only would you never eat their again due to their unprofessionalism, but that your food was bad and the restaurant was so unclean that it should be inspected by the health department, because you saw a rat run across the floor of the kitchen. If your review is posted anonymously, does the restaurant owner have any legal recourse so they may find out who you are and possibly sue you for defamation?.
After eating at a local restaurant, in which you had a heated disagreement with the owner, you decide to go online and post a review. If your review is posted anonymously, Yes, the business may have the right to uncover your identity in order to bring a suit against you. Option B
This is further explained below.
What is defamation?Generally, A false remark that is presented as truth and that hurts or destroys the reputation of the person about whom the statement is made is considered to be defamation.
An example of this would be saying that "Tom Smith stole money from his employer." If this is not the case, and if Tom's reputation or ability to find job suffers as a result of your comment, you have committed defamation.
Following a meal at a nearby establishment during which you engaged the proprietor in a heated debate, you make the decision to go online and write a review of the establishment.
Yes, the company may have the right to discover your name in order to file a lawsuit against you if the review you put on their website was done so in an anonymous manner. Alternative
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CQ
After eating at a local restaurant, in which you had a heated disagreement with the owner, you decide to go online and post a review. Your review states that not only would you never eat there again due to their unprofessionalism but that your food was bad and the restaurant was so unclean that it should be inspected by the health department because you "saw a rat run across the floor of the kitchen."
If your review is posted anonymously, does the restaurant owner have any legal recourse so they may find out who you are and possibly sue you for defamation?
a. No, the first amendment protects all freedom of speech, even online.
b. Yes, the business may have the right to uncover your identity in order to bring a suit against you.
c. No, because you posted anonymously, you are protected.
d. Yes, any business can find out who posts any statements about their business whether defamatory or not.
all spare parts belong to a product. a product must exist before spare parts become available, and when a product is removed, spare parts are also removed. what type of entity is product?
All spare parts are associated with a specific product. Spare parts must exist before they can be obtained, and when a product is removed, spare parts are also removed. The Master Entity is a type of entity product.
What is the product entity?A product and a customer are separate entities, whereas a sale is the result of a relationship between a customer and a product. The Entity Relationship (ER) model is a popular approach to conceptual design that helps transform conditions into a standard description of the entities and associations that materialize in the database. A single person, a single product, or a single organization are all examples of entities. The type of entity. A person, organization, type of object, or concept about which data is kept. The Entity Data Model's entity type is the fundamental building block for describing data structure (EDM). An entity type in a conceptual model represents the structure of top-level concepts such as customers or orders.To learn more about Entity product, refer to:
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what is the book value per share for a firm with 2 million shares outstanding at a price of $50, a market-to-book ratio of 0.75, and a dividend-payout ratio of 50%?
The book value per share for a firm with 2 million shares outstanding will be $66.67.
Market to book value ratio = 0.75
Market value of stock/ Book value per share = 0.75
$50/book value per share = 0.75
Book value per share = $50 / 0.75 = $66.67
Shares are part ownership interests in a corporation. For some businesses, shares are a type of financial instrument that enables for the efficient allocation of any declared residual earnings in the form of dividends. A stock with no dividend payouts does not disperse its income to its shareholders. Instead, they look forward to further stock price growth as business profits rise.
Shares are a company's equity capital, and there are two primary kinds of shares: common shares and preference shares.
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Suppose your investment returns are taxed at a 25% rate. If you invest $10,000 today and expect to earn a rate of return of 8%, what will your investment be worth in 15 years?.
Answer:
6.91%
Explanation:
In this question we use the RATE formula that is shown on the attachment below:
Given that,
Present value = $1,050
Assuming figure - Future value or Face value = $1,000
PMT = 1,000 × 8% ÷ 2
NPER = 15 years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
So, after solving this, the rate of return is 6.91%
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monopolistically competitive firms are unable to produce enough output to reach the average total cost because of the presence of other monopolistically competitive firms in the industry.
Monopolistically competitive firms are unable to produce enough output to reach the average total cost because of the presence of other monopolistically competitive firms in the industry.
Monopolistic competition arises when several businesses provide rival goods or services that are comparable but imperfect replacements.Entry barriers are low in monopolistic competitive industries, and actions made by one business do not immediately impact those of its rivals. Pricing and marketing choices are how the rival firms set themselves apart.Businesses engaged in monopolistic rivalry distinguish their goods through price and marketing tactics.The expenses or other impediments that prohibit new rivals from joining a market are minimal in monopolistic competition.Between perfect and monopolistic competition, known as monopolistic competition, there is monopolistic competition, which incorporates aspects of both and entails businesses with comparable but distinct product offers.Learn more about Monopolistic competition, here
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If the minimum wage for teenagers increased to a rate higher than their market equilibrium wage, what would be the effect on their wage and employment?.
The effect on wage is increase. In the other side, if the minimum wage for teenagers increased to a rate higher than their market equilibrium wage than the effect of employment is decrease.
A minimum wage can be described as the lowest remuneration that employers can legally pay their employees—the price floor below which employees may not sell their labor. Minimum wage had introduced in the end of the 20th century by most countries. Minimum wage cannot be reduced by an individual contract or collective agreement. Now days, the minimum wage in US for employee is $7.25 per hour.
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6. calculating portfolio betas you own a stock portfolio invested 15 percent in stock q, 25 percent in stock r, 40 percent in stock s, and 20 percent in stock t. the betas for these four stocks are .75, .87, 1.26, and 1.76, respectively. what is the portfolio beta?
Thus the beta portfolio comes out to be 1.231.
The data from the question is summarized below
Q R S T
Beta : 0.85 0.91 1.31 1.76
Portfolio: 15% 25% 40% 20%
Portfolio beta is calculated by finding the weighted average of the betas of al the stocks weighted by their relative percentages in the portfolio. The equation is as below
[tex]\beta_{portfolio}=\sum w_{i} \beta_{i}[/tex]
The weight of the stock in portfolio (percentage of portfolio the stock forms)
[tex]\beta_{i}[/tex] is the beta of the stock
substituting the values for our stock in the equation
[tex]\beta_{portfolio}=\beta_{Q}w_{Q}+\beta_{R}w_{R}+\beta_{S}w_{S}+\beta_{T}w_{T}[/tex]
[tex]\beta_{portfolio}=0.85 \times 15\%+0.91 \times 25\%+1.31 \times 40\%+1.76 \times 20\%[/tex]
[tex]\beta_{portfolio}[/tex]=1.231
Thus the beta portfolio comes out to be 1.231
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Cheryl was listening to instructions given by her boss to learn how to complete a project. Which listening skill is she primarily using in this scenario?.
Active listening skills she primarily used in this scenario.
The way to enhance your listening skills is to exercise "active listening." that is wherein you are making a conscious effort to listen no longer best to the words that every other individual is pronouncing but, greater importantly, to the complete message being communicated.
A way to try this, you must take note of the opposite individual very cautiously.
The responding degree is the level of the listening process in which the listener offers verbal and/or nonverbal reactions based totally on brief- or lengthy-time period memory.
Following the remembering degree, a listener can reply to what they pay attention to either verbally or non-verbally.
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the total cost (in hundreds of dollars) to produce x units of perfume is . (a) find the average cost function. (b) find the marginal average cost function. (c) find the average cost and the marginal average cost for a production level of units. interpret your results.
The average cost is the cost of producing a specific quantity per unit. It is critical to understand that the average cost is not always the same as the cost of producing a single item. The average cost is determined by both fixed and variable expenses.
The average cost function is defined as so that x > 0. This demonstrates that dividing the total cost function by the number of units produced yields the average cost.
The term marginal relates to a rate of change, or derivative. Thus, if C(x) is the total cost of manufacturing x things, then indicates the instantaneous rate of change of total cost about the number of items.
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The Total Cost (In Hundreds Of Dollars) To Produce ( X ) Units Of Perfume Is ( C(X)=[tex]\frac{6 X-5}{5 X+3}[/tex]. (a) find the average cost function. (b) find the marginal average cost function. (c) find the average cost and the marginal average cost for a production level of 20 units. interpret your results.
a materials price variance would not be caused by a.not taking a quantity discount. b.ordering the wrong quality of materials. c.requiring laborers to work overtime. d.ordering from the wrong supplier.
A materials price variance would not be caused by requiring laborers to work overtime. The whole cost of construction materials, including planning, design, labor, and material costs, ranges from 1000 to 1500 rupees per square foot.
The cost of the materials price is influenced by the type and quality caused of the building materials. The rising cost of raw materials is terrible news for the Indian real estate market, which is recovering from the pandemic. The business is in good shape since home loan rates are at an all-time low and there is plenty of unmet demand in the market.
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he clause protects individuals and businesses from an overly intrusive government by requiring the government to give one notice and some type of procedure whenever the government interferes with our life, liberty, or property.
The Due Process Clause covers people and industries from an extremely pushy state by requiring the government to give one notice and some type of system whenever the state interferes with our life, liberty, or possessions.
What Is Due Process?Due process requires that legal issues be resolved in accordance with established rules and principles, and that individuals be treated fairly. Both civil and criminal proceedings are subject to due process. Due process of law is the application by the state of all legal rules and principles pertaining to the case in order to respect all legal rights owed to the person. Due process balances the power of the law of the land while protecting the individual from it. Due process ensures fairness in the criminal justice system. Individuals may be detained and deprived of their freedom and life without just cause if due process is not followed. If a criminal defendant is denied their civil rights, they have the right to sue the state on those grounds.To learn more about Due Process, refer to;
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A bond has a par value of $1,000, a current yield of 6. 45 percent, and semiannual coupon payments. The bond is quoted at 95. 32. What is the amount of each coupon payment?.
Coupon payment = [.0645 × (.9532 × $1,000)/2] = $30.74. Hence the amount of each coupon payment is $30.74.Most bonds pay interest semi-annually, so bondholders receive two payments per year.
The semi-annual rate is a simple annual interest quote compounded twice a year. Semi-annual coupon rates are commonly used for bonds that pay interest twice a year.
Semiannual bonds compound at twice the rate of annual bonds. If the bond's interest rate is lower than the prevailing rate, an annual bond will be more expensive than its semiannual counterpart, since bond investors are willing to shell out more for the additional six months of reasonably high accrued interest.
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according to michele, gaga's sherbetter targets specialty stores because it is positioned as a super-premium product. gaga's distribution strategy is an example of .
Gaga's distribution strategy is an example of merchandising strategy.
Mechandising strategy can be defined as a strategy that involves the tactics (or business processes) that contribute to the sale of goods and services to the customer for profit.
There are 4 basic of merchandising, such as:
Convenience goodsConvenience goods can be defined as a necessary items that people require for basic survival and health.
Impulse goodsImpulse goods can be defined as an items that customers buy without originally planning to when they entered the store.
Shopping productsShopping products can be defined as an items that customers typically research or want to learn information about before buying.
Specialty goodsSpecialty goods can be defined as an items that may be in limited stock, possess luxury associations or come from particular companies that may not have many convenient locations.
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A goal that you want to achieve by next year is which type of goal?
A.
Short-term
B.
Intermediate
C.
Long-term
D.
Lifestyle
martys anual salary is 56,000 as a computer aided designer if the state tax rate is 4% what does he pay yearly in a state taxes
Marty's annual salary is $56,000 as a computer aided designer. If the state tax rate is 4%, Marty pays $2,240 in state taxes yearly.
What is salary?
An employment contract may include a salary clause as a type of recurring payment from an employer to an employee. In contrast, piece wages are paid separately for each job, hour, or other unit rather than on a regular schedule. Salary can also be seen from the perspective of operating a corporation as the expense of obtaining and keeping employees to carry out operations; this is known as a personnel expense or salary expense. Payroll accounts are used in accounting to record salaries. A salary is a set sum of money or other remuneration that a company gives to an employee in exchange for work completed. Salary is frequently paid at predetermined periods, such as monthly instalments equal to one-twelfth of the annual salary.
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nick has a project in mind that will require $100 of money to run the business. the project will last for only one year and cease existence after that. nick has only $45 of his own money and he needs to attract the remaining $55 by borrowing it from his buddy sam. the loan has an 8% annual interest rate. if the end-of-year cash generated by the business activities is $80, what is nick’s rate of return
For long-term stock market investments, the majority of investors would consider an average annual rate of return of 10% or above to be a decent ROI. Just remember that this is an average.
How is rate of return determined?
ROI is determined by deducting the investment's original cost from its end value, dividing the result by the investment's cost, and then multiplying the result by 100. ROI has several applications.
What Is a Return on Investment (RoI)?
The net gain or loss of an investment over a given time period, stated as a percentage of the investment's starting cost, is known as a rate of return (RoR). 1 You determine the percentage change from the start of the period to the end when computing the rate of return.
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"i am thinking about decentralizing, allowing employees lower in the organization to make more decisions. When does decentralizing usually make sense?" check all that apply.
As we think about decentralizing which allows an employees lower in the organization to make more decisions, as such, an decentralizing usually make sense:
c. when environmental conditions are changing rapidly and the company needs empowered employees to make decisions quicklyd. when running a company which serves different customers in different regions differentlyWhat is known as decentralizing?In business, the term decentralization refers to the specific form of organizational structure where the top management delegates decision-making responsibilities and daily operations to middle and lower subordinates. It is also defined as the process by which the activities of an organization (especially planning and decision making), are delegated away from a central, authoritative location or group.
With this delegation, top management can concentrate on taking major decisions with greater time abundance. The business houses most time feels the requirement of decentralization to continue efficiency in their operation.
Missing option a. when different areas of the company do not agree on which course of action to take and require coordination b. when activities can be done more efficiently on a larger scale c.when environmental conditions are changing rapidly and the company needs empowered employees to make decisions quickly d. when running a company which serves different customers in different regions differently"
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in classifying the kinds of projects an organization has in its portfolio, projects that are typically those needed to meet regulatory conditions required to operate in a region are projects.
compliance (must do) projects that are typically those needed to meet regulatory conditions required to operate in a region are projects.
Obedience is an action, deed or change in a person's attitude and behavior to accept, obey, and follow the requests or orders of others with full awareness. Compliance can occur in any form, as long as the individual shows obedient attitudes and behavior towards something for someone, for example compliance with regulations.
Compliance is a condition that is created and shaped through the process of a series of behaviors that demonstrate compliance values, such as loyalty, order and order. Compliance relates to one's prestige in the eyes of others. In addition, compliance is also related to the power of law enforcement. Where the rules are something that contains the words commands and prohibitions, as well as what to do and what not to do, and not a few that contain coercion.
Compliance is an attitude that shows a sense of obedience by accepting and carrying out the demands or orders of others. In obedience there is a power that requires the individual to do something. Individuals do accept a norm based on their own desire to be accepted by the group, but also a norm is accepted by individuals on the basis of coercion.
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quizlet a furniture seller believes that people who have just moved are more likely to need new furniture. what targeting dimension should this furniture seller use for their ad campaign?
Answer:
Life Events
Explanation:
The company realizes that people who have just moved are more likely to buy furniture.
Moving is a major life event so the company would advertise based on that criteria.
The right answer is D. Life events as life events marketing promotes life milestones. Please rate this answer positively if you believe it was helpful
What is marketing?Marketing is the process of investigating, developing, and providing value in terms of products and services to fulfill the needs of a target market. Potentially includes the selection of a target audience; the selection of certain traits or themes to emphasize in advertising;
Marketing is the activity of investigating, generating, and supplying value in the form of goods and services to fulfill the demands of a target market, potentially including the identification of a target audience; the selection of specific traits or themes to stress in advertising
Therefore, The right answer is D
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As a huge math fan, you think it would be fun to have a prime number of partners in your business (including yourself) and at least 3 partners. If every partner gets one vote on major decisions, can a vote ever end in a tie (2-way, 3-way, 4-way, etc.)?
It would be fun to have a prime number of partners in your business and at least 3 partners. So, if every partner gets one vote on major decisions, a vote can end in a tie.
Prime numbers are considered to be the numbers which are greater than 1. They only have two factors, 1 and the number itself. So which means that these numbers cannot be divided by any number other than 1.
Suppose, you have a prime number of partners in your business with at least 3 partners, and if every partner gets one vote on major decisions, a vote can end in a tie. Prime numbers are used for a number of reasons.
Hence, prime numbers are natural numbers which are divisible by only 1 including the number itself.
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Martinez co. Borrowed $50,000 on march 1 of the current year by signing a 60-day, 9%, interest-bearing note. Assuming a 360-day year, when the note is paid on april 30, the entry to record the payment should include a?.
The record of the payment should include an entry of $750
A method for calculating how much interest was paid on a sum of money during a certain time period at a specific rate is called simple interest.
Simple interest is a straightforward and easy way to calculate financial interest since it has a single principal amount.
Interest = Principle x Rate x Time
Interest = $50,000 x 0.09 x 60 / 360 ( As per values given)
= $750
Thus, it will be debited to Interest Expense for $750
Therefore, in order to know the charge of the debt that has occurred throughout the 60 days, one must debit the Interest Expenditure, which is the typical side of an expense account.
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sofiya attends a helpful sales training session, and she starts to use the skills she learned right away when she makes sales calls. however, this doesn't result in any more sales, so the organization doesn't make any additional money as a result of this training. in this case, the training demonstrated good results on the criterion and poor results on the criterion.
The complete Statement "Sofiya attends a helpful sales training session, and she starts to use the skills she learned right away when she makes sales calls. However, this doesn't result in any more sales, so the organization doesn't make any additional money as a result of this training. In this case, the training demonstrated good results on the learning criterion and poor results on the behavioral criterion." Option C
This is further explained below.
What is the learning criterion?Generally, In the process of evaluating conduct, certain factors or aspects are taken into consideration known as behavior criteria.
The evaluator is the one who determines how much, how often, or to what standard a certain behavior criterion is shown by a particular person.
The learning experience is considered to be valid when its linked goals are in any of the following three domains: cognitive, emotional, or psychomotor.
In order for the learning experience to be valid, it must be holistic and incorporate all three areas.
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CQ
Sofiya attends a helpful sales training session, and she starts to use the skills she learned right away when she makes sales calls. However, this doesn't result in any more sales, so the organization doesn't make any additional money as a result of this training. In this case, the training demonstrated good results on the _____ criterion and poor results on the _____ criterion.
a.
reaction; learning
b.
behavioral; results
c.
learning; behavioral
d.
reaction; results
the clinique division of estée lauder, inc., markets cosmetics and built its business in traditional department stores. clinique now reports 80 percent of current customers who visit its website later purchase a clinique product at a department store. clinique has become a marketer. multiple choice
division of estée lauder, inc., markets cosmetics and built its business in traditional department stores. clinique now reports 80 percent of current customers who visit its website later purchase a clinique product at a department store. clinique has become a marketer. multiple choice
subsidiary of estée lauder, inc. sells cosmetics and started off by establishing itself in conventional department shops. 80 percent of current clients who visit clinique's website now go on to buy a clinique product at a department store. The clinic has mastered marketing. multiple selection
What do you know about department stores?From front to back, the home measures 150 feet, and its width is proportional. It is tastefully decorated and split into four sections by glazed barriers for the various branches of the vast business that is conducted there.
The first section is located right outside the front door and is dedicated solely to the selling of fans and furs.
The second one has haberdashery items of every kind, including gloves, silks, muslins, lace, and other items. You can find a wide selection of jewelry, ormolu ornamental items, French clocks, etc.
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liam is neely’s supervisor. during neely’s yearly written evaluation, liam states that neely has not performed her job well at all, constantly comes in late to work, and stirs up trouble with the other employees. neely is understandably upset and wants to sue liam for defamation. if neely files a lawsuit against liam for libel, neely will probably:
If neely is understandably upset and wants to sue liam for defamation. if neely files a lawsuit against liam for libel, neely will probably: not be successful if Liam's comments on Neely's written evaluation were made in good faith.
What is defamation?Defamation which is also known as libel occur when a person makes a false report or statement about another person which in turn led to damage of the person character or reputation.
Based on the given scenario Neely can only be successful with the lawsuit she file against her supervisor which is Liam in a if her supervisor did not make the statement in utmost good faith.
On the other hand Neely may not be successful with the lawsuit she file if the comments her supervisor made on Neely written evaluation were made in utmost good faith.
Therefore we can conclude that Neely lawsuit may be unsuccessful if the her supervisor comment was made in good faith.
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a fixed alternative question requires respondents to select one or more response option from the set of predetermined choices. another name for this kind of question is a(n)
The another name for this kind of question is a(n) (fixed- alternative)
A fixed alternative question required respondents to select one or more response option from a set of predetermined choice.
( Developing the research plan)
There are the 5 steps of the marketing research approach:
● Define the problem
●Develop your marketing research plan
●Collect Relevant data and information
●Analysis data and report finding
●Put your research into action.
fixed alternative on a test or survey when multiple different answers are provided, and participants are asked to select the one that best fits their preference or the correct response.
Complete Question
A(n) question requires respondents to select one or more response options from a set of predetermined choices.
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Based on the profit-loss statement, name two ways Janet and Omar can improve their cash flow
Offering incentives for early payments, leasing rather than purchasing, increasing inventory, checking consumer credit, and employing high-interest savings accounts are all ways for a firm to enhance cash flow.
Why do we need to improve cash flow?You can accurately forecast your account payables if you manage your cash flow well. Consequently, you'll be able to buy the ingredients you require when you require them. You can even consider increasing your product range once you realize that you are constantly sustaining a good cash flow.
Positive cash flow is a sign that a company's liquid assets are growing, allowing it to meet commitments, reinvest in its operations, distribute profits to shareholders, cover costs, and act as a safety net against upcoming financial difficulties.
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after graduation, leila is determined to live in one of the country's 10 largest cities. her top priorities are to save money and be car-free. which two factors do you think are most important for her to consider when choosing a city?
Quality of public transportation and cost of license and registration are two factors which are most important for her to consider when choosing a city.
High-quality public transportation is dependable, regular, fast, comfortable, available, efficient, affordable, and safe, and it serves popular routes.
Cars are convenient, but they are expensive: in addition to the purchase price and monthly payments, you must pay for gas, insurance, maintenance, and parking. Life without a car is not free. It is less expensive than driving, but there are costs users may not have considered.
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three steel plants control 90 percent of the steel production sector of a country. the steel industry in the country would be an example of a(n) multiple choice oligarchy. perfectly competitive market. monopoly. oligopoly.
If three steel plants control 90 percent of the steel production sector of a country. the steel industry in the country would be an example of a(n) oligarchy.
What is oligarchy?Oligarchy can be defined as the way in power or authority is vested on some persons or people in which this people have control over others.
The example best illustrate what is called oligarchy based on the fact that oligarchy makes it possible for the some people to be in charge or to rule over others because of the power that is vested on them.
Therefore we can conclude that the scenario is an example of oligarchy.
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