She would be indifferent between the two alternatives at the lump-sum payment amount of $3,387,590 is equal to $250,000 times 13.55036 (PVAD of $1: n = 25; I = 6%).
The amount of money that flows in and out of a business over the course of a fiscal year is referred to as its "annual cash flow."The primary distinction between cash flow and profit is that the former refers to the money that remains after all costs have been met, whereas the latter refers to the net flow of cash into and out of a business.Cash flow is crucial because it makes it possible for you to both fulfill your current financial obligations and make plans for the future. Cash flow, however, is a problem that many small businesses face.Hence, At the lump-sum payment amount of $3,387,590, which is equal to $250,000 times 13.55036 (PVAD of $1: n = 25; I = 6%), she would be unconcerned about either option.
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Understanding pricing implications of product differentiation
Consider the market for a new snack food produced by two firms: Taste-tastic and Yumm. Although the snacks are quite similar, Taste-tastic's snacks have a stronger chocolate flavor than Yumm's snacks. To illustrate how each firm chooses a price for its snack, the following graph presents each firm's best-response function.
now suppose that both firms discover that the majority of consumers prefer a level of nuts in-between the levels currently provided by each, and thus tastibite reduces the amount of nuts it uses, and goodum increases the amount of nuts. in this case, the resulting equilibrium price for both firms will be the price predicted when the products are more differentiated.True or False: If consumers started caring more about product differentiation, the equilibrium price would move closer to m
True. A product will have a competitive edge and expand its market share if it can stand out from its rivals in some distinctive way and appeal to consumers. As a result, product differentiation helps the market forces function and maintain low consumer costs.
How does market impact of product differentiation work?
The trait or characteristics that set your product or service apart for your target market consumers are known as product differentiation. It helps you set yourself apart from your competition and boosts brand loyalty, sales, and growth.What is product differentiation? What is the definition of product differentiation?
Product differentiation is a business strategy whereby companies seek to obtain a competitive edge by elevating the perceived value of their goods and services in comparison to that of goods and services offered by rival companies.
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FILL IN THE BLANK A(n) ____ is a specific collection of business processes used to identify customers, market to those customers, and generate sales to those customers.
A Revenue Model is a specific collection of business processes used to identify customers, market to those customers, and generate sales to those customers.
What does revenue model include?A revenue model is a structure for producing money. The value to be provided, how to price the value, and who will be paying for the value are all determined. It is an important part of a business model. It essentially outlines what goods or services will be developed in order to make money, as well as how they will be sold. New businesses are more likely to struggle as a result of costs they won't be able to cover if they don't have a clear and well-defined revenue model, or, in other words, a clear plan of how to produce revenues. A company can concentrate on a specific market and finance product development goals by having a clear revenue model.
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the doctrine of respondeat superior is applied differently to a multi-national corporation than it is to a small-town store with one clerk.
It is a false statement that the doctrine of respondeat superior is applied differently to a multi-national corporation than it is to a small-town store with one clerk.
What is the doctrine of respondeat superior?Under doctrine of respondeat superior, an employer or company is vicariously liable for an employee's negligent acts if the employee was acting within the scope of employment.
In other word, the doctrine embodies the general rule that an employer is responsible for the negligent acts or omissions of its employees, or that an employer is liable for the negligent act or omission of any employee acting within the course and scope of his employment.
Full question "The doctrine of respondeat superior is applied differently to a multi-national corporation than it is to a small-town store with one clerk. True/False"
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nakama corporation is considering investing in a project that would have a 4 year expected useful life. the company would need to invest $120,000 in equipment that will have zero salvage value at the end of the project. annual incremental sales would be $400,000 and annual cash operating expenses would be $280,000. in year 3 the company would have to incur one-time renovation expenses of $72,000. working capital in the amount of $12,000 would be required. the working capital would be released for use elsewhere at the end of the project. the company's tax rate is 30%. the company uses straight-line depreciation on all equipment.
Income tax is taxed directly on the income of a person or company. It takes into account the circumstances or income level of the individual or business.
Directly, the income tax of Verona can be based on one of these tax systems: progressive, proportional or regressive. Income tax is therefore an example of a direct tax.We have to assume specific tax rate to come up with the income tax expenses. Let assume the tax rate is 30%.The income tax expense in year 2: $53,400.
We have:
Depreciation expenses of the equipment in the second year = (Initial cost - salvage value) / Useful life = (168,000 - 0)/4 = $42,000.
Profit before tax in year 2 = Sales in year 2 - operating expenses in year 2 - Depreciation expenses in year 2 = 520,000 - 300,000 - 42,000 = $178,000.
Income tax expense in year 2 = Profit before tax in year 2 x tax rate = 178,000 x 30% = $53,400.
So, the answer is $53,400.
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A company issued 60 shares of $100 par value common stock for $7,300 cash. The journal entry to record the issuance is:
a. Debit Cash $7,300; credit Common Stock $7,300.
b. Debit Investment in Common Stock $7,300; credit Cash $7,300.
c. Debit Cash $7,300; credit Common Stock $6,000; credit Paid-in Capital in Excess of Par Value, Common Stock $1,000.
d. Debit Common Stock $6,000, debit Investment in Common Stock $1,000; credit Cash $7,300.
The concept mentioned is Common stock. The answer is option C, Debit Cash $7,300; credit Common Stock $6,000; credit Paid-in Capital in Excess of Par Value, Common Stock $1,000.
Common stock is a representation of partial power in a company and is the type of stock utmost people invest in. Common stock comes with voting rights, as well as the possibility of tips and capital appreciation.
In account, you can find information about a company's common stock in its balance distance. Common stock is a type of tradeable asset, or security, that equates to power in a company.
Still, your profit from its trade is treated as a short-term capital gain, If you hold the common stock for one time or less. However, the income is treated as a long-term capital gain, If you hold the stock for further than a time.
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foreign bonds are bonds sold by a foreign borrower but denominated in the currency of the country in which the issue is sold.
From the question is true or false?. The question is true because foreign bonds are bonds sold by a foreign borrower.
What is foreign bonds?Foreign borrowing creates a channel for borrowers to access new capital markets and also allows access to foreign currencies. It also provides investors with the opportunity to invest in foreign companies in local currency. A foreign bond is a bond issued by a foreign company in the domestic market in the domestic market currency as a means of raising capital. Issuing foreign bonds such as Bulldog, Matilda and Samurai bonds is a common practice for foreign companies with significant operations in the domestic market.
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listed below are definitions of the six principles of professional conduct. for each, identify the principle being defined.a member should observe the profession's technical and ethical standards, strive continually to improve competence and the quality of services, and discharge professional responsibility to the best of the member's ability.members should exercise sensitive professional and moral judgments in all their activities.a member should be free of conflicts of interest in discharging professional responsibilities.a member in public practice should observe the principles of the code of professional conduct in determining the type and extent of services to be provided.members should accept the obligation to act in a way that will honor the public trust and demonstrate commitment to professionalism.to maintain and broaden public confidence, members should perform all professional responsibilities with the highest sense of blank.
To maintain and broaden public confidence, members should perform all professional responsibilities with the highest sense of due care.
What does professionalism entail?Professionalism is the behavior of oneself with responsibility, integrity, accountability, and quality rather than the wearing of a suit or the carrying of a briefcase. It entails having proper and effective communication as well as consistently looking for methods to be productive.
What is a good illustration of professionalism?Being kind to others, refraining from using insulting or demeaning phrases, and acting in a way that promotes the profession are just a few examples of professional behavior.
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Consider the following account balances for Tana Company in 2015 (10 points).
Beginning
Ending
Direct materials inventory
Br. 22,000
Br. 26,000
Work-in-process inventory
21,000
20,000
Finished goods inventory
18,000
23,000
Purchases of direct materials
75,000
Direct manufacturing labor
25,000
Indirect manufacturing labor
15,000
Plant insurance
9,000
Depreciation—plant, building, and equipment
11,000
Repairs and maintenance—plant
4,000
Marketing, distribution, and customer-service costs
93,000
General and administrative costs
29,000
Required: Based on the above information,
a) Prepare a schedule for the cost of goods manufactured for 2015.
b) Prepare the income statement for 2015 assuming that revenue for 2015 is Br 500,000
Answer:
Explanation:
solve consider the following account balancesfor tana company in 2015
bonds are usually in denominations of: multiple choice $10,000 $100 $1,000 none of the answer choices are correct. $100,000
Bonds will often be issued in denominations of C. $1,000 .
What are bonds ?A bond is a loan given to a business or the government that provides investors with a fixed return over a predetermined period of time. Companies, municipalities, states, and sovereign governments utilize bonds to finance operations and initiatives.
Bondholders are the issuer's debtors or creditors. The risk of a bond is mostly determined by the issuer's creditworthiness. The value of a bond is also impacted by interest rates.
It is standard that bonds will often be issued in denominations of $ 1, 000 which allows for the calculation of their yields with greater ease.
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Answer: $ 1, 000
Explanation:
When the fair value of an investment in securities exceeds its carrying amount, how should each of the following assets be reported at the end of the year?
Held-to-Maturity
Available-for-Sale
Securities
Securities
Carrying amount
Carrying amount
Fair value
Fair value
Carrying amount
Fair value
Fair value
Carrying amount
Bonds that are categorized as being held until maturity are presented at amortized Debt securities that are categorized as being offered for sale are represented at fair value.
Meaning of held to maturity?A non-derivative speculative instrument with predetermined date payment and a fixed maturity is a held-to-maturity security if an entity has the capacity and the desire to hold it till maturity.
What exactly is fair value?Major Takeaways. When a buyer and a seller voluntarily reach an agreement for an object, the anticipated purchase or sale price is known as fair value. Comparing present market value, future growth potential, and cost of replacement can help people and businesses decide what is fair the worth of an asset.
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With this type of account, earnings accrue tax free and are not subject to tax until they are withdrawn (after the individual reaches age 59 1/2).
a. Keogh plan
b. SEP plan
c. Individual retirement arrangement
d. Traditional IRA
e. Nondeductible IRA
f. Self-directed retirement plan
g. Withdrawal
h. Rollover
i. A possible investment decision
The type of account which would see earnings being accrued tax free and not being subject to tax until they are withdrawn is a d. Traditional IRA.
What is a traditional IRA ?Traditional IRAs are a form of individual retirement account that allow for pre-tax contributions and tax-deferred growth of investments. The owner of a typical IRA must pay income tax on withdrawals made in retirement.
The IRS considers withdrawals from a regular IRA to be ordinary income and taxes them accordingly. At age 59 ¹ / ₂, account holders can begin receiving distributions. Required Minimum Distributions (RMDs) from regular IRAs are necessary after age 72.
In a traditional IRA, the money is not taxed until it is withdrawn, and the investor will be charged a 10% penalty if any withdrawals are taken before the account reaches maturity. A lower tax rate in retirement is viewed as preferable.
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find an advertisement with strong nonverbal messages from an internet ad, or take a photo of one from a magazine or newspaper. include the ad in your post, and discuss what advertising message is being sent and what nonverbal elements contribute to that message. how did you personally react to the message? do you think that others might interpret the message differently? (adapted from adams
An advertising, sometimes referred to as an advert or ad, is typically seen as a form of public discourse that supports a good, service, organization, or event.
This particular advertising makes it clear that the marketer wants to spread the idea that staying fit through training and activities. The message being delivered by this specific advertisement is that by avoiding but good for the help we may easily be fit. This commercial depicts a human body that yearns to be physically fit but is unable to do so since it consumes alcohol and harmful foods.This gives the appearance of being appropriate for the human body. indirectly encourages exercise and fitness in order to prevent problems brought on by obesity.A human body image was used by the designer to apply the Gestalt theories.To know more about advertisement here
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Quadros Inc., a Portuguese firm was acquired by a U.S. company on January 1, 2020. Selected account balances are available for the year ended December 31, 2021, and are stated in Euro, the local currency.
Sales € 400,000 Inventory (bought on February 1, 2021) 20,000 Equipment (bought on January 1, 2020) 90,000 Dividends (paid on September 1, 2021) 20,000 Accumulated depreciation−Equipment 12/31/21 45,000 Depreciation expense−Equipment, 2021 9,000 Relevant exchange rates for 1 Euro are given below:
January 1, 2020 $0.91
January 1, 2021 0.93
February 1, 2021 0.94
September 1, 2021 0.97
December 31, 2021 1.01
4th quarter average, 2020 0.90
4th quarter average, 2021 0.98
Average, 2021 0.95
Assume the functional currency is the U.S. Dollar; compute the U.S. income statement amount for depreciation expense for 2021.
Multiple Choice
a. $8,190.
b. $8,370.
c. $8,820.
d. $9,090.
the functional currency is the U.S. Dollar; compute the U.S. income statement amount for depreciation expense for 2021 is $9090.
ExpenseAn expense is defined as any thing that necessitates the payment of money, or any type of fortune in general, to another person or organization in exchange for an item, service, or other category of charges. Rent is a cost for a renter. Tuition is an expenditure for both students and parents. Purchasing food, clothing, furniture, or a car is frequently referred to as a cost. A cost that is "paid" or "remitted" in return for anything of value is referred to as an expense. "Expensive" refers to something that appears to be very expensive. "Inexpensive" refers to something that appears to be inexpensive. "Table expenditures" are expenses for meals, refreshments, a feast, and so on.
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Which of the following would potentially lead to reductions in average inventory?
Reducing lead times
Increasing safety stock
Increasing order size
Decreasing unit purchasing cost
The following would potentially lead to reductions in average inventory Reducing lead times.
Average stock is a calculation of stock gadgets averaged over or extra accounting periods. To calculate the common stock over a year, upload the stock counts on the give up of every month after which divide that via way of means of the range of months.
The common fee approach assigns a fee to stock gadgets primarily based totally on the overall fee of products bought or produced in a length divided via way of means of the overall range of gadgets bought or produced. The common fee approach is likewise referred to as the weighted-common approach.
The common stock figures may be used as a factor of assessment whilst searching at basic income volume, permitting a commercial enterprise to song stock losses which could have befell because of robbery or shrinkage, or because of broken items due to mishandling. It additionally debts for any perishable stock that has expired.
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a loreal salesperson that visits a walgreen's store to help replenish sold cosmetics and assist in setting up a display for a promotion of its line of shampoos is most likely an blank
A Loreal salesperson that visits a Walgreen's store to help replenish sold cosmetics and assist in setting up a display for a promotion of its line of shampoos is most likely an outside order taker.
An outside order taker is a salesperson who visits clients to record orders but is not tasked with convincing them to make purchases. An order taker is a specific category of salesperson who takes orders for goods and commodities but who makes no efforts to boost current sales, raise the frequency of orders, or acquire new clients.
Order takers are not required by the firm to convince customers to buy its items; instead, they are just responsible for recording and taking customer orders and relaying the information to the appropriate parties inside the organisation. In order to get specific information about customers' demands and needs, the company also expects order takers to be precise and accurate.
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If the central bank increases the money supply such that aggregate demand shifts from AD 1 to AD 2, then, according to this classical model, the price level would:
increase from P 1 to P 3.
The classical model suggests that any increase in the money supply will lead to an increase in aggregate demand and a corresponding increase in the price level.
In this case, the money supply is increased, shifting aggregate demand from AD1 to AD2. This shift in aggregate demand leads to a corresponding increase in the price level from P1 to P3.
Aggregate demand is an economic term that refers to the total demand for all goods and services in an economy. It is typically represented by a graph that measures the total amount of spending in an economy at all levels of price. Aggregate demand is determined by the sum of consumer spending, investment, government spending, and net exports.
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1. (6 pts.) consider the following relation: employees(eid: integer, sal: real, age: real, did: integer), where attribute eid is the primary key of the relation. employees is stored as a heap file. there is a hash index on did and also a b -tree index on sal. according to the database catalogs, employees has 50,000 tuples, in 1,000 disk blocks (i.e., each disk block holds 50 employees tuples). attribute sal has values between 30,000 and 100,000; attribute did has 1,000 distinct values in employees. consider a query:
Yes, as it progresses, the application must compare each record to the "distinct" records cache. Utilizing an index can boost performance, particularly on date and numerical fields.
In SQL, what is a distinct value?By removing all duplicate records from the table, the DISTINCT keyword returns unique values for a single column. Additionally, aggregate SQL functions like COUNT, MAX, SUM, and AVG can be used with DISTINCT.
Is distinct a query slowed down?You probably shouldn't ever use DISTINCT for MAX and MIN because the results won't change, and the DISTINCT function will make your query take a lot longer to return results.
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in the short run, a perfectly competitive firm always maximizes profit when average total cost is at minimum. T/F
False, in the short run, a perfectly competitive firm always not maximizes profit when average total cost is at minimum.
The most profitable option for a perfectly competitive firm will occur where marginal revenue equals marginal cost—that is, where MR = MC.
A firm seeking profit should expand as much as MR > MC. But at the level of output where MR = MC, the firm must recognize that it has achieved the highest level of economic profit.
For a perfectly competitive firm, profits are maximized when price, also known as marginal revenue, is equal to the marginal cost associated with production. As long as revenue is greater than cost, a perfectly competitive firm can choose to produce more to maximize profits in the short run.
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People buy more of a good when the price falls and there are several theoretical explanations for this behavior. From the list below, match the explanation for why people buy more at lower prices with the proper term.
The Substitution Effect The income Effect The total Effect? ? ?
Options:
a. Increases in quantity demanded that are attributable to changes in purchasing power as the price of a good falls.
b. Increases in quantity demanded that are attributable to the good becoming cheaper relative to other goods.
c. Increase in quantity demanded attributable to the combination of the income and substitution effect.
This is due to the substitution effect: increases in quantity demanded that are attributable to the good becoming cheaper relative to other goods.
This is due to the income effect: Increases in quantity demanded that are attributable to changes in purchasing power as the price of a good falls.
This is due to the total effect: Increase in quantity demanded attributable to the combination of the income and substitution effect.
What is the income and substitution effect?When the price of a good changes, there are two effects, the income effect and the substitution effect, that lead to a change in the quantity demanded of the good.
The substitution effect looks at the change in price of a good relative to other goods. When the price of a good falls, it becomes cheaper relative to other goods. As a result, consumers buy more of that good and less of the other good.
The income effect looks at how a change in price affects real disposable income. When the price of a good decreases, real disposable income increases. As a result, consumers can afford to buy more of that good as the consumers purchasing power has increased, holding money income constant.
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crane inc has 6 computers which habe been part of the inventroy for over toe years each computer cost 450 and originally retailed for 850 at the statement date each computer has a net realizable vlaue of 350 how much loss hould crane
The present realisable value of an asset is the value used to record inventory. Instead of the initial retail price, we base our calculations on the current disposable price. Computers are worth $2,700.
How does inventory work?
Inventory is the collective term for all the goods, products, and supplies that a business maintains on hand with the intention of reselling them for a profit. If a newspaper vendor uses a vehicle to deliver newspapers to customers, just the newspaper will be considered inventory.
What exactly does inventory mean at work?
The products or materials in inventory are those that a company plans to resell to consumers for a profit. Inventory management involves following inventory from producers to warehouses and is a crucial component of the supply chain.
Briefing:
Value of computers = Net realizable value* number of computers
Value of computers= 450* 6
Value of computers= $2,700
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which one of the following is not an effective or attractively profitable way to try to reduce total production costs per pair at a particular production facility?
Spending on Six Sigma/TGM programs is being reduced from $1.00 for every pair to $0.10 for every pair.
What exactly do you imply by costs?
Costs are the dollar cost of spendings for supplies, assistance, labor, products, equipment, and other pay for the goods for use by a biz or other accounting entity in accounting. It is the quantity denoted as the price on invoices and recorded as an expenditure or asset fee basis in bookkeeping records.
What are some cost examples?
Cost Varieties
Some intangibles (i.e. patents)Tools used to build (i.e. equipment, vehicles)Insurance.Fixed interest rates are included in loan agreements.Rent.Salaries are fixed amounts of money paid to employees.Utility companies (i.e. electricity, phones)To know more about Costs visit:
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the period in which the premiums are paid toward the purchase of an annuity is called the period. the period when the annuity payments are made is called the period. the principal is the premium paid by the individual buying the annuity (called the ). interest is earned between the time annuities are , accruing tax free but paid for with after-tax dollars. if any portion of the principal and interest has not been returned, it is referred to as the benefit.
The correct answers are:
Accumulation period
Accumulation period
Lump sum amount
Annuity-immediate
Employee
The period in which the premiums are paid toward the purchase of an annuity is called the Accumulation period.The period when the annuity payments are made is called the Accumulation period. The principal is the premium paid by the individual buying the annuity (called the lump sum amount).Interest is earned between the time annuities are annuity-immediate. If any portion of the principal and interest has not been returned, it is referred to as the Employee benefit.
The period in which the premiums are paid toward the purchase of an annuity is called the accumulation period. The period when the annuity payments are made is called the distribution period.
In investment, an annuity is a series of payments made at equal intervals. Examples of annuities are regular deposits to a savings account, monthly home mortgage payments, monthly insurance payments and pension payments. Annuities can be classified by the frequency of payment dates.
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—-----------------------CORRECT QUESTION IS HERE--------------------—-------
The period in which the premiums are paid toward the purchase of an annuity is called the__________.The period when the annuity payments are made is called the _________ period. The principal is the premium paid by the individual buying the annuity (called the _________).Interest is earned between the time annuities are ___________. If any portion of the principal and interest has not been returned, it is referred to as the ____________ benefit.
If my appraisal system is comprised of a series of scales where the end points are defined by the terms "poor" and "excellent", then I am probably using a(n):
A. Absolute Rating System
B. Comparative rating system
C. Trait Rating System
D. Both A and C
If my appraisal system is comprised of a series of scales where the end points are defined by the terms "poor" and "excellent", then I am probably using a(n) Absolute Rating System and Trait Rating System
Appraisal systems assess worker performance in relation to previously established objectives, establish future goals, and advise personnel on their professional development and training requirements. They provide a framework to direct future performance improvements and assist management in identifying both accomplishments and gaps.
The phrase "performance appraisal" describes the routine evaluation of a worker's productivity and overall value to a business. A performance assessment, sometimes referred to as a yearly review, performance review or evaluation, or employee appraisal, assesses the abilities, successes, and growth—or lack thereof—of an employee.
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Ophelia works for Banderos Mexican Grill and is responsible for writing clear communications with employees, as well as for owned, paid, shared, and earned media that reach other publics. This is an example of the ability to write for _________.both internal and external publics
Ophelia works for Banderos Mexican Grill and is responsible for writing clear communications with employees, as well as for owned, paid, shared, and earned media that reach other publics. This is an example of the ability to write for both internal and external publics.
A communication professional may work with public members of the family, media, or promotions to deliver public focus to an organization's services or products. they will also paint with advertising, sales, and public members of the family teams to broaden techniques that assist construct and sell an emblem's popularity inside purchaser markets.
Verbal exchange is a method that includes sending and receiving messages through verbal and non-verbal methods. verbal exchange is a two-way means of communicating facts in the shape of thoughts, critiques, and thoughts among two or more people with the cause of building expertise.
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Explain why organizations should treat near misses in the same way that they treat sentinel events, using error-reduction tools such as root-cause analysis or failure mode and effects analysis in an effort to prevent future occurrences.
By addressing issues like near misses and sentinel occurrences, the firm will be able to develop and provide its intended outcome. Being strategically strong will benefit the company and increase market confidence.
Near misses are any unanticipated occurrences that had the potential to cause property damage, injury, or sickness but did not. Any important event that has a material impact on an entity's operations, finances, or legal status is referred to as a sentinel event. The way a company reacts to a sentinel incident is crucial in determining whether or not it will endure and continue to enjoy the trust of its clients. Root cause analysis is a method used to identify the true, frequently unidentified cause of a business issue and then to provide a workable strategy to resolve it. Instead than only providing output, it can assist in determining the root cause of failures or difficulty in accomplishing business.
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transaction processing system (tps) the level of detail or summarization appropriate for a certain level of employee regardless of report type output from an information system to facilitate decision-making a highly detailed and generated directly from the transaction processing system collects and stores a highly detailed report about every transaction for a given day
A type of information system known as a Transaction Processing System (TPS) is responsible for acquiring, storing, modifying, and retrieving an organization's data transactions.
Even though this isn't as important as it is for real-time systems, transaction processing systems make an effort to provide predictable response times to requests.
Give an example of a transaction processing system (TPS) and explain what it is.
A computerized system that manages and records the day-to-day business transactions is known as a transaction processing system. Entry of sales orders, hotel reservation systems, payroll, employee records, and shipping are all examples.
What level of the executives utilizes TPS?
Transaction Processing System (TPS) at the operational management level Transaction processing systems are used to keep track of the organization's day-to-day business operations. Users at the operational management level make use of them.
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which of the following steps are necessary to determine the profit-maximizing level of output, profit-maximizing price, and economic profit in pure monopoly?
The step essential for determining profit maximization is finding the combination of cost and output or MR = MC.
Profit maximization is the process through which a business is able to maximize the overall profit it could make from the sale of its goods. When the marginal profit is zero or when the marginal revenue and cost are equal, the overall profit is maximized. The difference between marginal revenue and marginal cost is the marginal profit.
A monopolist would produce the amount of commodities where marginal revenue is equal to marginal cost (MR = MC) in the near run to maximize profits or minimize losses. The firm should expand production until both are equal if the marginal revenue is higher than the marginal cost. If the firm's marginal revenue is less than its marginal cost, it should stop expanding its output and cut back until both are equal.
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two years ago, mr. young paid $40,000 to buy a publicly traded corporate bond through his broker. the bond's stated redemption value was $45,000. this year, mr. young sold the bond for $47,100. compute and characterize his gain or loss on sale. multiple choice $7,100 ordinary income. $7,100 long-term capital gain. $2,100 long-term capital gain. $5,000 ordinary income and $2,100 long-term capital gain.
The correct answer is option 4: $5,000 ordinary income and $2,100 long-term capital gain.
Mr. Young's gain on the sale of the bond is $7,100. However, since he held the bond for more than one year, the gain is classified as a long-term capital gain. Since the bond was purchased two years ago, the gain is split between $5,000 of ordinary income and $2,100 of long-term capital gains.
The gain or loss resulting from the sale of an eligible investment that was held for more than a year at the time of sale is referred to as a long-term capital gain or loss. In contrast, investments that are sold off in less than a year may see short-term gains or losses.
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A consumer consumes two normal goods, popcorn and Pepsi. The price of Pepsi rises. The substitution effect, by itself, suggests that the consumer will consume a. more popcorn and more Pepsi. b. less popcorn and less Pepsi. c. more popcorn and less Pepsi. d. less popcorn and more Pepsi.
A typical customer purchases popcorn and Pepsi. The cost of Pepsi increases. By itself, the substitution effect implies that the customer will consume more popcorn and Pepsi. Hence, the correct choice is option A.
What does it mean to have substitute goods?In microeconomics, two things are replacements if the customers may utilize them for the same purpose. In other words, a customer considers both things as identical or equivalent, therefore having more of one drives the buyer to desire less of the other. In contrast to complementary and independent commodities, replacement products may replace each other in usage when economic conditions change. Coca-Cola and Pepsi are two examples of replacement commodities; their interchangeability stems from the similarity of their functions, which is to satisfy customer's demand for a soft drink. These sorts of substitutions are known as near substitutes.
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an occupational health organization published a study showing an increase in the number of injuries that resulted from elderly people falling in the bathtub. in response to this increase, a medical supply company decided to drop its price on bathtub lifts from $450 to $375, hoping to still break even on the lifts. the company breaks even when its total revenue (income from selling n bathtub lifts) is equal to its total cost of producing the lifts. if the cost, c, in dollars, of producing the lifts is c If the cost in dollars, of producing the lifts is , how many more of the lifts does the company need to sell at the new price to break even than at the old price? A. 7, B. 12, C.14, D.21
As per me the company need to sell (B) 12 for the new price to break even than at the old price.
What is break-even point?The break-even point (BEP) is the point at which total costs and total revenues are equal, or "even," in economics, business, and particularly cost accounting. Although opportunity costs have been paid and capital has received the risk-adjusted, projected return, there is no net loss or gain, and one has "broken even." In other words, all necessary expenses are covered, and neither a profit nor a loss is realized. The break-even point (BEP) or break-even level denotes the sales amount necessary to cover all costs, including both fixed and variable costs to the business, in either unit or revenue terms. A company can only surpass the break-even point if revenues are more expensive than variable costs per unit. Total profit at the break-even point is zero.
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