Natalie upgrade the website by Preparing the journal to record,Calculating the monthly expenses before and after the accumulated amortization, calculation of revised monthly expenses, calculate the accumulated amortization and book value
(a) Preparing the journal to record for the upgrade
at
31-Aug-21
web site is upgraded $ 1800 is
debited in the form of cash
(b) Calculating the monthly expenses before and after the accumulated amortization
the original value of the website is $600
life of the website is 24 months
amortization per month is $25
accumulated amortization is $225
book value on 31-aug-21 is $375
(c) calculation of revised monthly expenses for 1- Sep- 2021:-
new value of website on 1-Sep-2021 is ($1800+$375)
=> $2,175
Amortization per month is ($2175/15)
=> $145
(d) calculate the accumulated amortization and book value as
on 31-Dec-2021 :-
the accumulated depreciation is ($580+$225)
=> 805
the booked value of the website is ( $ 2175-$805)
=> $1370
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Assume that people have rational expectations and that the economy is described by the sticky-price model.
a. Because people take into account all information available to them in forming their expectations of the price level EP,
only_______changes in the money supply affect real GDP. Changes in the money supply that are_________when prices were set do not have any real effects.
b. If the Fed sets the money supply at the same time as people are setting prices, so that everyone has the same
information about the state of the economy, then monetary policy_______be used systematically to stabilize
output. Hence, a policy of keeping the money supply constant will have________a policy of adjusting the money supply in response to the state of the economy.
c. Suppose the Fed sets the money supply well after people have set prices, so that the Fed has collected more
information about the state of the economy. Then monetary policy_____be used systematically to stabilize output.
a) Because people take into account all information available to them in forming their expectations of the price level EP, only unanticipated changes in the money supply affect real GDP. Changes in the money supply that are anticipated when prices were set do not have any real effects.
b) If the Fed sets the money supply at the same time as people are setting prices so that everyone has the same information about the state of the economy, then monetary policy cannot be used systematically to stabilize output. Hence, a policy of keeping the money supply constant will have the same real effects as a policy of adjusting the money supply in response to the state of the economy.
c) Suppose the Fed sets the money supply well after people have set prices so that the Fed has collected more information about the state of the economy. Then monetary policy can be used systematically to stabilize output.
(a) Since people base their expectations of the price level EP on all the information at their disposal, only unexpected changes in the money supply have an impact on real GDP. Prices were set with the expectation of changes in the money supply, but these changes had no real consequences.
(b) Monetary policy cannot be employed consistently to stabilize output if the Fed sets the money supply at the same time that prices are set, giving everyone the same understanding of the state of the economy. Therefore, maintaining a steady money supply will have the same practical results as changing it in response to the health of the economy.
(c) Monetary policy can be used systematically to stabilize output if the Fed sets the money supply after market participants have fixed prices and have gathered more data about the status of the economy.
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Anticipated sales for Safety Grip Company were 42,000 passenger car tires and 19,000 truck tires. Rubber and steel belts are used in producing passenger car and truck tires according to the following table:The purchase prices of rubber and steel are $1.20 and $0.80 per pound, respectively. The desired ending inventories of rubber and steel belts are 40,000 and 10,000 pounds, respectively. The estimated beginning inventories for rubber and steel belts are 46,000 and 8,000 pounds, respectively.
Total cost of anticipated sales of rubber and steel belts is $3,826,400.
It is given in the question that rubber and steel belts are in producing passenger car and truck tires
Passenger tires :
Rubber - 1470000
Steel Belts - 210000
Truck tires:
Rubber - 1482000
Steel Belts - 152000
Plus desired ending inventory :
Rubber - 40000
Steel Belts - 10000
Total Pounds required for production:
Rubber -2992000
Steel Belts - 372000
Less estimated beginning inventory:
Rubber- 46000
Steel Belts- 8000
Total units purchased :
Rubber - 2946000
Steel Belts- 364000
Unit price :
Rubber - $1.20
Steel Belts-$0.80
Total direct materials to be purchased:
Rubber- $3,535,200
Steel Belts- $291,200
Total cost = $3,826,400
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suppose a firm operates in the short run at a price above its average total cost of production. in the long run the firm should expect
Priced over its typical total cost of production in the short term. Long-term, the company should prepare for the entry of new competitors. falling market value and declining profits
To what performance are you alluding?
Producing anything involves assembling it from components or raw resources. To put it another way, manufacturing employs inputs to produce a thing or product that has value for a consumer or end-user—an output that is acceptable for consumption.
What are production and examples?
It simply refers to a process of production or its result in its most basic form. Economists refer to producers as businesses that generate goods and services. These companies manufacture products that they sell to customers.
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A production budget should include which of the following?
- types and capacities of machines
- economic quantities to produce
- available resources
The sales forecast and the anticipated amount of finished goods inventory are combined to generate the production budget, which determines the required number of product units.
A creation spending plan ought to incorporate kinds and limits of machines, monetary amounts to deliver, accessible assets.
What is the first step in the process of controlling the budget?Having a written strategic plan is the first step in budgeting. This guarantees that the organization's resources are utilized to support its strategy and growth.
What are the four budgeting stages?The national government's budgeting process consists of four distinct phases: preparation, authorization, implementation, and accountability of the budget Even though they are distinct processes, their implementation during a budget year overlaps.
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Compared to other retail formats, the greatest benefit that store shopping offers is:
a. the ability to touch and feel the products
b. acceptance of multiple forms of payment
c. cash and carry
d. broader and deeper assortmentsa. the ability to touch and feel the products
When compared to other retail formats, the opportunity to touch and feel the items is the most appealing feature of in-store shopping.
When you shop in-store, you don't have to wait for an item to arrive. You get what you need straight now, with no shipping costs. It may be enticing to visit the store and depart with your purchase for customers who want to swiftly eliminate items from their shopping list.The store is an essential component of material management. The items are stored in such a way that they are carefully accounted for, kept safe, and readily available when needed.Retail is the sale of goods and services to individuals, as opposed to wholesale, which is the sale of goods and services to corporations or organizations. A retailer buys things in bulk from manufacturers, either directly or through a wholesaler, and then sells them in smaller amounts to customers for a profit.Thus the correct option is A.
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consider the following five procedures followed by eikenberry company several individuals operate the cash register using the same register drawer
The procedures followed by Eikenberry Company and analysis are shown below:
Internal control procedures are put in place by an entity for a number of reasons. By implementing appropriate control procedures an entity can reduce the risk of misstatement due to fraud or error in addition to reducing the risk of misappropriation of assets.
Number Item Good or Weak Principle
1. Several individuals operate the cash register using the same register drawer. Weak Physical controls over cash
2. A monthly bank reconciliation is prepared by someone who has no other cash responsibilities. Strong Segregation of duties is adhered to
3. The same person writes checks and also records cash payment journal entries. Weak Segregation of duties is not adhered to
4. One individual orders inventory while a different individual authorizes payments. Strong Segregation of duties between order and authorized
5. Unnumbered sales invoices from credit sales are forwarded to the accounting department every four weeks for recording. Weak Invoices are unnumbered and may be missed. Sales may be incomplete.
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FILL IN YHE BLANK. ________ refers to the number of distributors or other intermediaries that it takes to get the product from the manufacturer to the market.
Channel length refers to the number of distributors or other intermediaries that it takes to get the product from the manufacturer to the market.
The number of middlemen in a specific distribution channel between the manufacturer and the customer is referred to as the channel length. Long or short distribution channels are both possible. Short channel: A few successive intermediaries labor to deliver items to the consumer.
The quantity of intermediaries affects the length of the distribution channel. Company > VAR > Customer could be a condensed distribution channel. The following is an example of a lengthy distribution chain: Company > Distributor > Wholesaler > Retailer > Customer.
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metlock inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product.
The material, labour and total price variance is computed in the tables as below for metlock inc.
Both the direct materials and the direct labour variances in cost accounting have a price/rate and a quantity/efficiency component. These variances are favourable if the actual cost is lower than the standard allowed, and unfavourable if it is higher.
Actual quantity x actual price/rate Actual quantity x standard price/rate Standard quantity x standard price/rate
Direct materials $7,600 $7,410 (1,900 x $3.90) $8,073 ((230 units x 9 pounds) x $3.90)
Direct labor $7,630 $7,700 (700 x $11) $7,590 ((230 units x 3 hours) x $11)
Material variances:
Formula Variance
Total material variance (AQ x AP) - (SQ x SP) $7,600 - $8,073 = $473 F (because actual is better than budget)
Material price variance (AQ x AP) - (AQ x SP) $7,600 - $7,410 = $190 U
Material quantity variance (AQ x SP) - (SQ x SP) $7,410 - $8,073 = $663 F
Labour variances:
Formula Variance
Total labour variance (AH x AR) - (SH x SR) $7,630 - $7,590 = $40 U (because actual is worse than budget)
Labor Rate variance (AH x AR) - (AH x SR) $7,630 - $7,700 = $70 F
Labor efficiency variance (AH x SR) - (SH x SR) $7,700 - $7,590 = 110 U
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Which of the following is NOT a typical source selection criterion that an organization would use to evaluate potential contractors?
(C) Personalities is NOT a typical source selection criterion that an organization would use to evaluate potential contractors.
Make sure to Employ Qualified Contractors:
Always request proof of a possible contractor's Skills, Knowledge, Attitude, Training, and Experience (competence) before considering them for a job. This would include their credentials and training, memberships in trade associations and industry associations, and samples of prior similar work. Inquire about their familiarity with the relevant laws, industry standards, and best practices.Verify their references. Inquire from the contractor's past clients about the quality of their work and how they handled health and safety on the job.Always insist on seeing documentation of the job-specific risk assessment.Verify if the company has identified the risks specific to the activity and your specific site.Always insist on seeing documentation of the job-specific risk assessment. Verify if the company has identified the risks specific to the activity and your specific site.Make sure the contractor can demonstrate that they have safe working practices in place, and that the safety measures and controls they identify as essential are really implemented both before and during the course of the project.Verify the managerial presence that the company will have to oversee the work before it begins. Plan monthly progress meetings, and make sure you have the contact information for management staff in case of an issue on the job site.Inquire about any HSE enforcement actions, including any possible prosecutions, the company may have experienced in the three to five years prior. To verify the provided information, visit the websites of the HSE enforcements.complete question
Which of the following is NOT a typical source selection criterion that an organization would use to evaluate potential contractors?
a. life cycle cost
b. references
c. personalities
d. technical approach
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on a statement of cash flows for a provider of tutoring services, the cash flows from financing activities would include: the flashcards used to tutor math students the promotional sign at the entrance to the building where the tutoring takes place the money borrowed to purchase the furniture in the tutorial area and the interest owed on that debt the reputation of the tutors working for the service the students who benefit from the service
On a statement of cash flows for a provider of tutoring services, the cash flows from financing activities would include the money borrowed to purchase the furniture in the tutorial area and the interest owed on that debt.
The net movement of cash and cash equivalents into and out of an organization is referred to as cash flow. Outflows are represented by the money spent, while inflows are represented by the money received.
In order to fulfill your current financial responsibilities and make plans for the future, you need to have a positive cash flow. But for small firms, cash flow is a regular problem. Contrarily, cash flow statements offer a clearer account of the cash on hand. In other words, a business may look lucrative "on paper," but it may not have the cash on hand to restock its inventory or cover other pressing costs, like rent and utilities.
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Functional structures work best for firms for all of the following strategies EXCEPT
a. cost leadership strategy.
b. differentiation strategy.
c. related constrained diversification strategy.
d. single or dominant business corporate strategy.C
Functional structures work best for firms for all of the following strategies except related constrained diversification strategy. Hence, option (c) is correct.
A functional structure is a type of business structure that organizes a company into different divisions based on areas of expertise. These departments work as functional units and are overseen by project managers or department heads. In each department, the members of the group report a series of orders to the heads of the departments, where they also report to the senior officials of the company, informing them of the status of their working areas.
With related constrained diversification strategy, a company shares resources and services between its businesses. Cable companies such as Comcast and Time Warner Inc., share resources and technology-based services in their television programming, high-speed Internet connections, and phone service businesses.
Hence, Functional structures work best for firms for:
cost leadership strategy.differentiation strategy.single or dominant business corporate strategybut not for related constrained diversification strategy.
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assume that the central bank buys securities from member banks using open-market operations. which of the following will decrease in the short run? group of answer choices investment taxes interest rate aggregate demand
With an assumption that the central bank buys securities from member banks using open-market operations, it will decrease B: interest rate in the short run.
The term open market operations refer to the sale and purchase of government securities in the open market by the central bank of any country. The purpose is to regulate the money supply in the economy. When the central bank purchases securities on the open market, then it will have some effects such as increasing the reserves of commercial banks increasing the price of government securities, and decreasing interest rates in order to encourage business investment.
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Determine which of the following statements below regarding a merchandiser are correct. (Check all that apply.)
1. Merchandisers are also identified as wholesalers.
2. Wholesalers only sell services to customers.
3. Merchandisers are often identified as retailers.
4. A merchandiser earns net income by buying and selling merchandise.
You can show off your understanding of a consumer and a merchandiser. By buying and reselling also products, merchandisers make money. The right answer is 4. A merchandiser makes money by buying and selling goods.
Merchandisers are responsible for overseeing every step of the process from the time a product enters the shop until a consumer takes it off the shelf. They monitor the products' availability and presentation at various retailers within the designated geographic area.
It concentrates on luring clients through effective product placement and attractive product displays. There are two different types of merchandisers retail and wholesale. Unlike wholesalers who purchase goods from producers and resale them to retailers, retailers sell their items straight to customers.
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under the prudent investor act, a trustee's investment and management decisions should be evaluated: i based on each individual transaction ii based on the context of the portfolio as a whole iii as part of the investment strategy of each single trust beneficiary iv as part of the overall investment strategy for all beneficiaries of the trust
A trustee's investment and management choices should be assessed in light of the portfolio's broader context and place within the context of the trust's overall investment strategy for all beneficiaries. ( Option ii and iv )
- When investing trust assets on behalf of a trustor, trustees must adhere to rules outlined in the Uniform Prudent Investor Act (UPIA). It also applies to financial experts who execute deals or make recommendations on behalf of clients.
- Fiduciary accounts, or those in which someone is operating on someone else's behalf, are subject to the prudent investor rule. The fiduciary must exercise caution while handling these accounts.
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which of the following represents an ethical responsibility that an independent insurance agent owes to the general public?
The option that represents an ethical responsibility that an independent insurance agent owes to the general public is The same sizes print as the agent's address or telephone number.
What is Ethical responsibility?Ethical responsibility can be described as the ability to recognize, interpret and act upon multiple principles as well as the values according to the standards within a given field .
It should be noted that the Ethics guides us to make the world a better place through the choices we make however the Ethics in business can be used by the Business leaders sdo the can posses the unique role and a great responsibility in shaping the ethical culture of their businesses, hence in the case above it can be seen that same sizes print as the agent's address or telephone number serves as the ethical responsibility.
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missing options:
The same sizes print as the agent's address or telephone number.
The difference size of the polpulation
________ selling involves sales of goods and services to consumers through personal interactions and demonstrations in their home or office.
Personal selling, commonly referred to as face-to-face selling, is a sales technique where a single salesperson tries to persuade a consumer to purchase a product.
Describe Personal SellingWhen a salesperson meets with a potential customer to close a deal, this is known as personal selling. A sequential sales process with typically nine steps is used by many salespeople. For all or a portion of the sales process, some sales professionals write scripts.
Personal selling is described as "the process of person-to-person conversation between a salesperson and a prospective customer, in which the latter strives to meet the latter's requirements by providing the latter with the chance to purchase something of value, such as a good or service."
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________ is a state of reduced attention that is expressed in behavior that is rigid or thoughtless. This state is natural because human beings simply cannot keep up with all the stimuli they receive.
Nonverbal communication
Mindlessness
Cognitive distortion
The mirror effect
Mindfulness
Mindlessness is a state of reduced attention that is expressed in behavior that is rigid or thoughtless. This state is natural because human beings simply cannot keep up with all the stimuli they receive.
MindlessnessMindlessness is frequently interpreted and characterized as a state of being, as opposed to mindfulness, which is connected with enhanced general well-being and improved physical and mental health. It is not the same as being ignorant. Mindlessness is an inert state of consciousness defined by dependence on previous distinctions. People who are thoughtless are caught in a fixed worldview, oblivious to the ways in which meaning changes based on tiny changes in context. We all experience mindlessness at some point in our lives, whether it's because we're weary, overloaded, bored, or just because it's simpler to function on autopilot.
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snow corp sells bonds to sled corp on january 1, 2010 that will mature in 10 years. the face value of the bonds is $50,000 and the annual stated rate is 6%. the bond pays interest annually on december 31. the market rate for the snow corp bonds is 4% on 1/1/2010, 8% on 6/30/2010, and 10% on 12/31/2010. the fair market value of the bonds on december 31, 2010 is equal to $38,481.95. assume that all fair-market value adjustments (if needed) are made at the end of the year (december 31). answer the following questions with the above information.
As per the market rate, the fair-market value adjustments are made at the end of the year is 6%
The term market value in economics refers the price of something, such as an asset that's determined by the supply and demand of the asset in the marketplace.
Here we have given that
And we need to find the fair-market value adjustments (if needed) are made at the end of the year.
Here let us assume a corporation issues $10,000,000 of bonds having a stated interest rate of 6% and maturing in 10 years.
Which means that the corporation agrees to pay interest of $300,000 semiannually, then it can be computed as,
=> ($10,000,000 X 6% X 1/2 year) at the end of each of the 20 semiannual periods.
Here at the time the bonds mature the corporation agrees to also pay $10,000,000.
Therefore these cash amounts will not change even if there are significant changes in the market interest rates.
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suppose an economy is operating above full employment. which of the following fiscal policy actions and resulting changes in aggregate demand will move the economy back towards full employment?
A fiscal policy actions and resulting changes in aggregate demand will move the economy back towards full employment is increasing taxes, which will shift the AD curve leftward.
The desire for all final products and services generated in an economy is measured as aggregate demand. The entire amount of money spent on those products and services at a certain price point and period is referred to as aggregate demand.
Consumption, investment, government expenditure, and net exports are the total of four components that make up aggregate demand. Consumption can alter for a variety of reasons, such as changes in income, taxes, expectations for future income, and changes in asset levels.
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step 1 of preparing a spreadsheet for the statement of cash flows is to a.enter the balance of each balance sheet account. b.list the title of each balance sheet account in the accounts column. c.add the column totals. d.analyze the change during the year in each noncash account and classify the change.
List the names of all the balance sheet accounts in the accounts column as the first step in creating a spreadsheet for a statement of cash flows. The right response in this case is option B.
A "statement of cash flows," also known as a cash flow statement, is created using a cash flow template, which is a prestructured document. One of the four important financial statements provides information on how much money entered and left your company over a given time period.
The goal of a cash flow statement is to give a thorough account of what occurred to a company's cash over a given time period, sometimes referred to as an accounting period. Based on how much money is coming into and going out of a firm, shows how well-equipped an organization is to run both short- and long-term.
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the term is best defined as the difference between the benefits that are gotten and costs that must be given up by consumers to acquire or use a product.
Value is the discrepancy—ideally a negative one—between the advantages of using and owning a thing and the costs that go along with it.
The ability of any branded product to solve problems or meet needs is another way to define value. A market is a gathering place for consumers and sellers where they can exchange goods and services. Markets might be real-world, like a physical store, or digital, like an online discrepancy. Price, quality, and what the good or service can do for that specific person are a few examples. Consumers take into account monetary, time, energy, and emotional expenditures when determining the worth of a purchase.
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A natural gas monopoly currently sells 100 cubic feet of gas at $1.10 per cubic foot. To sell one more cubic foot, the natural gas company must lower the price of gas to $1.09. Which of the following best describes the marginal revenue of the 101st cubic foot of natural gas?The marginal revenue is less than $1.09.
The marginal revenue is less than $1.09.( Marginal revenue is an excess revenue resulting from the sale of additional units of production.)
What is the formula for marginal income?
To calculate marginal revenue, a company divides the change in total revenue by the change in total output. Marginal revenue is the retail price of his one additional item sold. Below is the formula for marginal income.
Marginal income = change in income / change in quantity.
What is Marginal Income in Examples?
Example: You sell 100 shirts on Monday for $10 for $1,000. On Tuesday, he will sell 110 shirts for $1,100. The difference in earnings between Monday and Tuesday is $100. $100 marginal revenue.
Why is Marginal Income Important?
Marginal revenue is important because it measures the increase in revenue from selling more products or services. Marginal revenue follows the law of diminishing returns. The law is that each increase in production results in a smaller increase in production.
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the time series competitive efforts section of the cir which provides every company's management team with a means of reviewing how the regional competitive efforts of any company of interest have changed over the years is particularly useful for
Estimating the amounts of competitive effort that the best-performing companies in the sector would use in the coming years and figuring out what strategies they might need to use to close the performance gap.
Why is it vital to be competitive?Your sense of accomplishment and a desire to succeed at the task drive you. During a competition, you make a concerted effort to perform to the best of your ability—not the best—and to advance your knowledge or abilities. Higher self-esteem, self-development, self-discovery, and task satisfaction may result from this.
Which 12 factors make up competitiveness?Institutions, infrastructure, technological maturity, macroeconomic environment, health, education, and skills, as well as the markets for goods and labor, the financial system, market size, business dynamics, and innovation capacity are all factors.
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FILL IN THE BLANK. the___ is too powerful to be changed very often because a small change is magnified throughout the banking system. (check all that apply)
The reserve ratio is too powerful to be changed very often because a small change is magnified throughout the banking system
The reserve ratio is the percentage of deposits that a bank is required to hold in reserve, rather than lending out or investing. It is a key tool that central banks use to influence the money supply and credit conditions in the economy. Because the reserve ratio is a percentage of deposits, a small change in this ratio can have a significant impact on the amount of money that banks have available to lend.
If the reserve ratio is increased, banks will be required to hold more of their deposits in reserve, which means they will have less money available to lend. This can tighten credit conditions and reduce the economic money supply. Conversely, if the ratio is decreased, banks will hold less of their deposits in reserve, which means they will have more money available to lend. This can loosen credit conditions and increase the money supply in the economy.
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Robert has two cryptographic keys, and he needs to determine which of them is less prone to being attacked. The cryptoperiod is limited and equal for both the keys. The first key has a length of 2 and uses 16 characters, while the other key has a length of 3 and uses 15 characters. Which of the following is the best conclusion for Robert to come to?
a. Both the keys are equally secure.
b. The first key is more secure than the second key.
c. Neither of the keys are secure because they both have a limited cryptoperiod.
d. The second key is more secure than the first key.
The security of the second key exceeds that of the first key. The answer is option (d).
What is cryptographic key?A key is a piece of data that may encode or decode cryptographic data in cryptography. It often takes the shape of a string of numbers or characters that is saved in a file.
In the field of cryptography, a key is a string of letters that is a component of an encryption algorithm that modifies data and makes it appear random. It locks (encrypts) data, much like a real key, so that only those who have the proper key may decrypt it. An encryption key is a constant value used in cryptography thatis applied to a block or string of unencrypted text using an algorithm to create encrypted text or to decode encrypted material.
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paul drives a truck as an employee for quick delivery, inc. paul would most likely be considered acting outside of the scope of her employment if he group of answer choices crashed into a car at the airport while off-duty hit a pedestrian in a parking lot during a working lunch ran over an attendant at a gas station while refueling his company truck smashed into a store-front window while driving on-duty
Paul drives a truck as an employee for quick delivery, inc. paul would most likely be considered acting outside of the scope of her employment if he a. crashed into a car at the airport while off duty.
Off-duty time manner any length apart from on-obligation time and consists of “sleeper berth time.” The necessities of these obligation statuses in addition to the “using time” obstacles could be defined in an extra element later on in this module. off-obligation time approach any length apart from on-responsibility time.
Whilst the registered nurse is on obligation he or she will perform the nursing care for the organization of patients. at some point of off duty, one or extra associate nurses are responsible to the number one nurse to perform the planned care for the patients.
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Zhang Company reported Cost of goods sold of $835,000, average Inventory of $41,750, and Net sales of S2,338,000. The Inventory turnover ratio is: A. S times B. 418 times C. 20 times D. 56 times E 19 times
Inventory turnover ratio is 20 times in this case. It is calculated by dividing Cost of goods sold by average Inventory. In this case, the ratio is 835,000 divided by 41,750, which is equal to 20 times.
Inventory turnover ratio is an important measure to know how good a company is managing its inventory. It helps in measuring how quickly a company sells its inventory during a given period of time. The higher inventory turnover ratio means that a company is selling its inventory at a faster rate and more efficiently. A lower inventory turnover ratio means that a company might be holding too much of inventory or not selling it quickly enough which is required. This ratio also useful in helping businesses to assess their inventory management strategies and work thereon for improvement.
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Bonus Obligation
Raymond Moss, vice president of Moss Auto Parts, gets an annual bonus of 16% of any income, before deducting bonus and income taxes, above $100,000. Income before bonus and income taxes is $304,000. The effective income tax rate is 30%.
Required:
1. Compute the amount of Raymond Moss's bonus.
Bonus = $____________
2. Compute the income tax expense.
Income tax expense = $____________
Raymond Moss, vice president of Moss Auto Parts, gets an annual bonus of 16% of any income, before deducting bonus and income taxes, above $100,000. Income before bonus and income taxes is $304,000. The effective income tax rate is 30%. Required: 1. Bonus = $32,640
Raymond Moss’s bonus is computed as the excess of $100,000 of income before bonus and income taxes. In other words, the income before bonus and income taxes of $304,000 minus $100,000 is the amount upon which the bonus is computed.
Bonus=excess of income before bonus and income taxes rate of bonus
Income before bonus and income
Taxes.=$304,000-$100,000
Income before bonus and income
Taxes.=$204,000
Bonus rate=16%
Bonus=$204,000×16%
Bonus=$32,640
Bonus, refer to something extra beyond stipulated payment. A bonus is a gift to reward performance, paid either by a private employer or by a government: a bonus based on salary; a soldiers’ bonus.
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(i) historically, countries with colonial settlers who planned on staying for long periods of time set up sound economic institutions. (ii) countries with harsh environments not suitable for permanent settlements resulted in colonial settlers favoring extractive institutions because they were often primarily interested in resource extraction.
(i) In the past, nations with colonial settlers who intended to stay for a long time established reliable economic systems. (ii) Because colonial settlers were frequently primarily concerned in resource extraction, they favored extractive institutions because nations with hostile conditions made it difficult to establish long-term colonies. Both the statements are true.
what are extractive institutions?
The goal of extractive institutions, which are the antithesis of inclusive ones, is to direct the economic benefits toward a relatively tiny elite. Extractive institutions either limit people's ability to engage in economic initiative (since they are aware that little of the gain will go to themselves) or discourage them from doing so.
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if a country changes its corporate tax laws so that foreign businesses build and manage more business in that country, then the net capital outflow of that country group of answer choices falls and the net capital outflow of other countries rise. none of the above are correct. rises and the net capital outflow of other countries fall. and the net capital outflow of other countries rise. next
If a country changes its corporate tax laws so that foreign businesses build and manage more business in that country, then the net capital outflow of that country will falls and the net capital outflow of other countries rise
Net capital surge alludes to the net progression of assets that is contributed abroad by a specific country at a specific period. It ought to be noticed that a positive net capital stream just implies that such nation invests more external more than what different regions of the planet puts resources into it.
Given the inquiry above, since the nation changes its corporate tax laws regulations so homegrown organizations construct and oversee more business in different nations, it implies that the net capital surge of that nation falls and the net capital outpouring of different nations rise.
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