It is true that due to fixed expenses, net operating revenue does not fluctuate in line with changes in activity levels.
What do you mean income?The amounts of money, assets, and other exchanges of value obtained over a predetermined time frame in return for products or services are often referred to as "income." Income is defined in relation to the topic in which the word is employed; there isn't a single, universal definition.
What is an example of income?Earnings from a portfolio or passive income may be considered ordinary income. Rental income and consistent dividends from investments are two examples. Distributions from pensions or retirement accounts are also considered to be ordinary income.
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(6 points) country day's scholarship fund received a gift of $47000. the money was invested in stocks, bonds, and cds for one year. the cds paid 1% interest, the bonds paid 3% interest, and the stocks paid 8% interest. the amount invested bonds was $18000 more than the amount invested in cds, and the total income for one year from the investments was $2620. how much was invested in each type?
Amount invested in cds is 2000, bonds is 20000 and stocks is 25000
Total fund received = $47000
Interest on cds = 1%
Interest on bonds = 3%
Interest on stocks = 8%
Let x be the amount invested in CDs be x, then the amount invested in bonds = x+18000 and the amount invested in stocks will be y
Formulating the equation we get:
x + x+18000 +y = 47000
2x + y = 29000-----(1)
Another equation:
1%of x + 3% of x+18000 + 8% of y = $2620
0.01x + 0.03x + 540 + 0.08y = 2620
0.04x + 0.08y = 2080
4x + 8y = 208000
Dividing by 2 we get
2x + 4y = 104000----(2)
Equating (1) and (2) we get:
3y = 75000
y = 25000
Substituting y in (1) we get
2x = 4000
x = 2000
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a parcel contains 5.25 acres. it is worth $40,000 per acre as residential land and $200,000 as a commercial site. if the zoning allows both, what is the highest and best use?
The highest and the best use of the parcel will be that it can be used as a residential land.
This can be explained by the concept of site valuation. Site valuation may be defined as a technique that can be used to determine the worth of the site. Whether a site is worth of residential purpose or commercial purpose, it can be determined by the method of site valuation. In the question the site costs $40000 per acre as residential land and $200000 as commercial land, so it will be beneficial as residential land as it costs less. Evaluating a site before purchasing it helps the individual in many senses as it helps to determine the true cost of the land and it helps the individual to manage his/her budget and all the expenses in buying the desired piece of land.
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what type of purchase contract involves the purchaser making payments to the seller until the total purchase price is paid and then the seller delivers the deed?
In an installment agreement, the real estate purchaser agrees to pay the seller the full purchase price over time in payments; they also agree that the purchaser will take immediate possession of the property.
What is purchase contract?A sort of contract known as a purchase agreement describes the terms and conditions around the selling of goods. The agreements are a legally binding contract between the buyer and seller and usually deal with the purchase and sale of items rather than services. They encompass almost all product-related transactions.Balloon mortgage: A mortgage with constant monthly payments that amortizes over a given term, but also necessitates the payment of a lump sum at the conclusion of a previous term. Balloon Payment: The last lump sum made at a balloon mortgage's maturity date.When the buyer is taking over the seller's mortgage, the difference between the mortgage's balance and the sales price may be financed using a purchase-money mortgage.To learn more about purchase contract refer to:
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in order to assess a company's financial risk, investors and creditors frequently consider and analyze the company's:
In order to assess a company's financial risk, investors and creditors frequently consider and analyze the company's long term debt.
Long-term debt ratio is one of the financial leverage ratios used to determine how much long-term debt is being utilized to finance a company's assets. The position of the company's financial position is shown by this ratio. Analysts can gauge the corporation's ability to pay off its long-term outstanding loans using this ratio. Since most businesses only release their balance sheet once per fiscal year, the long-term debt ratio is frequently estimated annually.
The ratio indicates how dependent the company is on debt if it tends to increase over the course of the year. On the other hand, a declining ratio indicates that the company's reliance on debt is decreasing over time.
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a government official observes that there has been a long-run increase in the price level but no change in the level of potential output. this could have been caused by: multiple choice a positive demand shock that increased production in the short run. a negative demand shock that decreased production in the short run. a negative supply shock that decreased production in the short run. a positive supply shock that increased production in the short run.
A government official observes a long-run increase in the price level but no change in the level of potential output. This could be due to a positive demand shock that increased output in the short run.
An official is someone who occupies an office (role or mandate, regardless of whether it comes with an actual working space) in an organization or government and participates in the exercise of authority (their own or that of their superior and/or employer, public or legally private). An elected official is a person who became an official as a result of an election. Officials may also be appointed ex officio. Some government posts may be inherited. Something "official" is something that has governmental or other authority acknowledgment or mandate, such as official language, official gazette, or official scorer. The word official has been used as a noun since the Middle English period, with the first appearance in 1314.
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your boss has just asked you to calculate your firm's cost of capital. below is potentially relevant information for your calculation. what is your firm's weighted average cost of capital? common equity: book value
The weighted average cost of capital (WACC) is the amount that a company anticipates charging on average to all of the purchasers of its liabilities in order to fund its assets (WACC). It's significant that the external market, not management, controls it.
What is cost of capital ?The minimum rate of returns or profit that a business must achieve before creating value is known as the cost of capital. It is calculated by the accounting department of a business to evaluate financial risk and determine the suitability of an investment.
Simply multiply the yield on preferred shares and the percentage of debt and preferred stock, respectively, in a firm's capital structure. The cost of debt must be multiplied by (1 - tax rate), which is considered to as the value of the tax shield, because interest payments are tax deductible.
When calculating WACC, the cost of each financial institution (debt and equity) is multiplied by the relevant weighting by market value, and the results are added up to reach the final result. In discounted cash flow analysis, WACC is sometimes applied as the discount factor for future cash flows.
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in the it department of a large corporation, gary is responsible for purchasing software for all of the departments within the company. which organizational factor has the biggest impact on his buying decisions
After 10 years working for a large corporation, Gary wants to work for himself and own a small business. All of the following are things Gary needs to do before he starts his business EXCEPT. Hire employees to work for the business.
An organization is a corporation—commonly a collection of people or an organization—legal by the country to behave as an unmarried entity (a legal entity diagnosed by way of personal and public regulation "born out of statute"; a prison person in felony context) and diagnosed as such in law for sure functions.[1]: 10 Early incorporated entities had been mounted through a charter (i.E. Via an advert hoc act granted with the aid of a monarch or handed by means of a parliament or legislature). Most jurisdictions now permit the creation of recent corporations via registration. Organizations are available in many different types, however, are usually divided by way of the regulation of the jurisdiction where they may be chartered primarily based on two aspects: with the aid of whether they can issue stock, or by using whether they're shaped to make a profit.
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which of the following is a goal of working capital management? a.) to minimize the cash conversion cycle and, if possible, invert it b.) to balance profitability and liquidity in order to meet growth objectives c.) to maximize profitability at the expense of liquidity d.) to accumulate as much cash and cash equivalents as possible
The goal of working capital management is to accumulate as much cash and cash equivalents as possible,
Monitoring a company's assets and liabilities is necessary for maintaining enough cash flow to cover short-term operating expenses and short-term debt commitments.The working capital ratio, collection ratios, and inventory ratios are just a few of the ratios that are tracked as part of working capital management.Utilizing resources effectively through working capital management can enhance a company's cash flow management and earnings quality.The basic goal of working capital management is to make it possible for the business to keep enough cash flow to cover its short-term operating expenses and short-term debt commitments. Current assets less current liabilities equals a company's working capital.Learn more about working capital, here
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in which creative style does an advertiser make a superiority claim based on a unique product attribute that represents a meaningful, distinctive consumer benefit?
A creative technique known as the "unique selling proposition" (USP) allows a marketer to establish a superiority claim based on a special product feature that signifies an important, stand-out consumer benefit.
A unique selling proposition (USP) embodies the values that your company upholds. That characteristic of your company is what makes it stand out from the competition. Business owners are urged by the USP to be very explicit about what they want to be renowned for. This covers a variety of factors, such as cost, quality, logistics, and features.
It's critical to choose the appropriate thing because the goal of your USP is to persuasively communicate your special value proposition. Salespeople utilize a unique selling proposition, or USP, as a method to convey the salient features that set your product apart from the competitors.
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an entity with a large volume of customer remittances by mail most likely can reduce the risk of employee misappropriation of cash by using group of answer choices employee fidelity bonds. independently prepared mail room prelists. daily check summaries. a bank lockbox system.
An entity with a large volume of customer remittances by mail could most likely reduce the risk of employee misappropriation of cash by using a bank lockbox system.
A customer is someone who buys goods or services from a business. Customers are important to businesses because they are the ones who generate revenue. Employee, on the other hand, are the people who work for the business.
They are responsible for carrying out the day-to-day operations of the entity. Employees are important to businesses because they are the ones who make the business run.
Hence, "Fourth" is the correct option.
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if the company marks up its unit product costs by 40% then the selling price for a unit in job t687 is closest to:
If the company marks up its unit product costs by 40% then the selling rate for a unit in job t687 is closest to $336.
We must first determine the predefined overhead rate:
Whole expected periodical overhead expenses divided by the total amount of the allocation basis gives the predetermined manufacturing overhead rate.
(252,000/30,000) + 2.1 is the predetermined manufacturing overhead rate.
$10.5 per machine hour is the predetermined manufacturing overhead rate.
Job T687:
Units in the position: 10
30 machine hours total
$675 for direct materials
Cost of labor directly $1,050
We must now distribute overhead and calculate the overall cost:
Estimated manufacturing overhead rate* Actual amount of allocation basis = Allocated MOH
MOH allotted = 10.5 * 30 = $315
Total cost: 675 plus 1,050 plus 315 equals $2,040
The unitary cost and selling price are the following:
Cost per unit = 2,040/10 = $240
Selling price is 240 * 1.4, or $336.
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in which type of manufacturing process would each individual item in the group go through one stage of the production process before the whole group moves on to the next stage? in which type of manufacturing process would each individual item in the group go through one stage of the production process before the whole group moves on to the next stage? line flow production batch production job shop production continuous flow production
The manufacturing technique known as batch production involves the simultaneous production of a single batch of identical goods through a series of distinct stages.
What exactly is the manufacturing production process?
Beyond just a bill of materials, manufacturing production refers to the process of producing goods for sale in the most effective manner.The following are three typical types of manufacturing production processes: MTS stands for make to stock, MTO for make to order, and MTA for make to assemble.
Which of the four processes are it?
Project, jobbing, batch, line, and continuous are the most common types of manufacturing processes. Project processes result in low-volume, high-variety products. The stationary location of the product is a feature of the project process.
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how will unit (average) cost of manufacturing (materials, labor and overhead) usually change if the production leevel rises?
The unit (average) cost of manufacturing (materials, labor, and overhead) often rises in direct proportion to the rise in production.
What is manufacturing costs?The expenses incurred during the creation of a product are known as manufacturing costs. Direct material, direct labor, and manufacturing overhead expenditures are included in these expenses. Normally, the costs are shown as separate line items in the revenue statement. These expenses are incurred by an entity during the production process.Total production cost is calculated as follows: Direct materials + Direct labor + Manufacturing overheads.Materials, labor, and overhead are the three main areas of costs in the manufacturing industry. There are no indirect costs. In other words, while the foreman's salary and supplies are included, neither the corporate accountant's salary nor those of the accountant's office are.
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razor scooters gained instant popularity because walkers and runners frequently saw people on the scooters zipping by them and having fun. this information suggests the adoption rate of the razor scooter was most affected by which product characteristic?
Razor scooters quickly gained popularity since walkers and runners observed people on them zooming by and having fun. This data reveals that Observability had the greatest impact on the razor scooter's adoption rate. Thus, the right answer is Observability.
What is Observability?The observability of a system is a measure of how effectively its internal states can be deduced from knowledge of its exterior outputs.
The observability and controllability of a linear system are mathematical duals in control theory.
Rudolf E. Kálmán, a Hungarian-American engineer, developed the notion of observability for linear dynamic systems.
A state observer, or simply an observer for that system, is a dynamical system meant to estimate the state of a system based on observations of its outputs.
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eff stapleton acquired a $1,995 installment loan to pay for a new laptop computer. he will repay the loan in 12 monthly payments of $174.70. determine the approximate apr.
9.25% is the approximate APR
The annual percentage rate (APR) is the interest generated by a sum charged to borrowers or paid to investors each year. APR is a percentage that represents the actual yearly cost of funds over the life of a loan or the income earned on an investment. This includes any fees or additional costs associated with the transaction but excludes compounding. The APR provides consumers with a single number that they can use to compare lenders, credit cards, and investment products.
An annual percentage rate (APR) is the annual interest rate charged on a loan or earned on an investment.
Before any agreement is signed, financial institutions must disclose the APR of a financial instrument.
To protect consumers from misleading advertising, the APR provides a consistent basis for presenting annual interest rate information.
Because lenders have a fair amount of leeway in calculating it, an APR may not accurately reflect the actual cost of borrowing.
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in the decline stage of the industry life cycle a. the product may have reached obsolescence. b. the industry will grow at a rate less than the overall economy. c. the industry may experience negative growth. d. a and b only. e. a, b, and c.
The product may have reached obsolescence during the industrial life cycle's decline stage.
What is obsolescence?When something is no longer needed or maintained, even though it may still be in fine functioning order, it enters the state of obsolescence. The phrase "transition from available to unavailable from the manufacturer in line with the original specification" is used to define obsolescence in the international standard IEC 62402:2019 Obsolescence Management. Obsolescence typically happens when a substitute has emerged with, overall, more benefits compared to the drawbacks of maintaining or fixing the original. Another definition of obsolete is something that has already been abandoned, discarded, or outmoded. Usually, a slow drop in popularity comes before obsolescence. New components are produced and introduced to the market at a faster rate thanks to the quickening pace of technological progress.
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Kelly lives in arkansas and works in the data division of acxiom corporation. acxiom has its headquarters in conway, arkansas. acxiom is incorporated in delaware, however, because of the corporate-friendly laws in that state. kelly works in a(n):
Based on the scenario mentioned in the question, Kelly works in a(n) a) foreign corporation because Acxiom is incorporated in a different state than the division where Kelly works.
A foreign corporation can be described as a company that is incorporated in one place but has foreign branches in other countries.
In the scenario mentioned in the question, Kelly is working in the Arkansas branch of the Acxiom corporation whereas Acxiom is incorporated in Delaware. Hence, this means that Kelly is working in a foreign corporation.
Foreign corporations allow a company to expand its business to other places hence improving the output of the company.
Although a part of your question is missing, you might be referring to this question:
Kelly lives in Arkansas and works in the data division of Acxiom Corporation. Acxiom has its headquarters in Conway, Arkansas. Acxiom is incorporated in Delaware, however, because of the corporate-friendly laws in that state. Kelly works in a(n):
a) foreign corporation because Acxiom is incorporated in a different state than the division where Kelly works.
b) domestic corporation, because Acxiom’s headquarters is in the same state where Kelly works.
c) close corporation because Kelly works in a division of Acxiom located close to where she lives.
d) alien corporation because Acxiom is incorporated in a different state than the division where Kelly works.
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what is the annual rate of interest being charged on a 9-month note receivable of $53,000 if the total interest is $4,770? multiple choice 9% 18% 12% 13%
The simple interest rate is the annual rate divided by the number of payments, without taking compound interest into account. The interest rate that accounts for compounding over a specific time period is called the Effective Annual Interest Rate (EAR).
Either the annual payment of the compound or effective interest rate, or an adjustment for the consequences of compound interest
Using the formula:
Let the interest rate be X
Interest = Principal* X% * 9/12
4,770 = 53000* X% * 9/12
= 12%
The rate of interest that an investor can earn (or pay) in a year after taking into account compounding is known as the effective annual interest rate, to put it simply. EAR can be used to analyze investment returns as well as the interest that will be due on any debt, including loans.
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the income statement section of the worksheet shows total debits of $1,300 and total credits of $2,500. the income statement will show: multiple choice question.
The income statement section of the worksheet shows total debits of $1,300 and total credits of $2,500. the income statement will show net income totaling $1200.
Income is the ability to consume and save earned by a business over a specified period of time and is generally expressed in money. For U.S. households and individuals, income is defined by tax law as the total including all wages, salaries, benefits, interest payments, rent, or other forms of income earned in a calendar year.
Discretionary income is often defined as gross income less taxes and other deductions and is often used as a basis for comparing taxpayer benefits.
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you accept a mortgage for $130,000. what finance charge will you have to pay at closing if the lender charges 2 points?
$2,600 charge will have to pay at closing if the lender charges 2 points for accepting a mortgage.
What is the meaning of mortgage?
Mortgage loans are used to buy a home or to borrow money against the value of a home you already own.
What are two types of mortgages?
Fixed Rate Loan vs Adjustable Rate Loan
Mortgages are available with two different types of interest rates: fixed and adjustable. On a fixed-rate loan, the interest rate stays the same for the entire life in the loan. That means you lock in the interest rate of today's market for the next 15-30 years.
What are types of mortgages?
The main types of mortgages are Department of Veterans Affairs-insured, and U.S. Department of Agriculture-insured.
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fao schwarz is unique children's toy store where customers can play with toys in each department prior to purchasing them, can step on an oversized piano, can walk through elaborate lego castles, and can meet characters from their favorite cartoons during their visit. families typically visit the store together and stay for several hours to get the complete experience. the store can best be described as a:
The store can be described by Destination store. A destination store is a retail establishment that attracts customers for specific reasons, leading them to make extraordinary travel arrangements just to purchase there.
What is Destination store?
A destination store is a retail establishment that attracts customers for specific reasons, leading them to make extraordinary travel arrangements just to purchase there. Destination businesses typically offer something special to draw customers in, despite the inconvenience of the distance or location. Smaller merchants frequently locate themselves close to a destination store in the hopes that customers would eventually visit their stores as well.
Most individuals frequently consider leisure destinations like lakes, zoos, or amusement parks when considering a day vacation destination. However, some shops take great satisfaction in encouraging customers to travel long distances merely to explore their merchandise, have fun, and hopefully make a purchase.
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what's one way the customer 360 platform allows you to quickly transform and scale your business?
The first real-time CRM in the world, Customer 360, unites your marketing, sales, commerce, service, and IT teams around each customer.
What is real-time CRM ?Real-time In order to decide the best course of action to take or the best recommendations to make, CRM analytics often works by analysing an incoming client request against a set of predefined business rules and/or data mining algorithms.
The idea combines the necessity to react fast to shifting market conditions with the need to get the most out of client data. It is crucial in fiercely competitive industries like financial services, retail, and telecoms, where businesses are increasingly turning to CRM analytics to comprehend consumer preferences, buying habits, and patterns, as well as to pinpoint individuals who have a high value.
CRM software is frequently combined with infrastructure elements like datawarehouses, enterprise application integration technology, and tools for Olap and data mining that can analyse real-time data in real-time analytics.
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healthcare organizations often promote from within. although this is a good practice because it recognizes individuals who are good performers, individuals sometimes may be promoted to managerial positions for which they are not prepared. group of answer choices true
Although this is a beneficial practice since it honors employees who are strong performers, individuals may be promoted to managerial roles for which they are not prepared.
Employee motivation is an inner and internal urge to exert the required effort and activity in work-related activities. It has been widely defined as the "psychological influences that govern the direction of a person's conduct in an organization, as well as a person's amount of effort and perseverance." Also, "Motivation can be defined as the readiness to devote energy in order to attain a goal or receive a reward. Workplace motivation is described as "the sum of the mechanisms that drive the arousal, direction, and maintenance of behaviors relevant to work contexts."" Motivated employees are critical to an organization's success since they are more productive in the workplace.
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generally speaking, hr departments should be able to improve their performance by combining which two elements?
In general, HR departments ought to be able to boost their performance through a mix of increased effectiveness and efficiency.
Greater effectiveness here refers to the HR department’s efforts having a more positive impact on the workers and the company’s performance.
The group of individuals who work for a company, industry, or economy collectively constitute its human resources. Human capital, or the knowledge and abilities that particular people possess, is a more specific idea.
An organization's human resources department (HR department) handles human resource management, supervising various employment-related tasks like ensuring that labor laws and employment standards are followed, conducting interviews, managing employee benefits, organizing employee files with the necessary paperwork for future use, and handling some aspects of recruitment (also known as talent acquisition) and employee offboarding. They act as a conduit between a company's management and its workers.
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1. explain the effects of the following actions on equilibrium income (assume that the marginal propensity to consume is 0.8). a. government purchases rise by $10 billion. b. taxes fall by $10 billion.
The effects of the following actions on equilibrium income will be that increase in equilibrium income will be by $50 and $40 billion.
The AD curve changes to the right as a result of an increase in government spending, raising the amount of equilibrium income.
Change in income = change in Govt. Spending/ 1- MPC
= $10 billion/1 - 0.8 = $50 billion
Thus, a $10 billion increase in government spending results in a $50 billion increase in equilibrium income.
A tax cut also causes the AD curve to slant to the right and raise income equilibrium.
Change in income = MPC (change in taxes)/1 - MPC = 0.8($10bn)/1- 0.8 = $40 billion
Thus, equilibrium income increases by $40 billion.
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instead of having assembly lines in which workers repeatedly perform single, specialized tasks, such as sewing zippers or attaching buttons, a clothing manufacturer forms teams of 8 to 10 workers who are responsible for producing entire garments. this is an example of a(n) blank team.
'instead of having assembly lines in which workers repeatedly perform single, specialized tasks, such as sewing zippers or attaching buttons, a clothing manufacturer forms teams of 8 to 10 workers who are responsible for producing entire garments. this is an example of a(n) blank teamwork.
A zipper, fly or zipper, formerly known as a locker, is a device commonly used to tie two ends of cloth or other flexible material together.
The three main types are Nylon coil, Vislon (molded teeth), and metal zippers. There should be some letters and numbers behind each slider.
Zippers with plastic fittings are made of polyester or nylon, while sliders and pull tabs are usually made of steel or zinc. Cloth tapes are made of cotton, polyester, or a mixture of both.
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40 POINTS
How do you recommend the government change GDP and taxes to stabilize the economy in each of the following scenarios?
1, Economic growth has started slowing and the unemployment rate has increased over the past four months.
2, There has been strong growth in GDP over the past year, unemployment is very low, and inflation has started to rise.
3, Prices are stable, unemployment is low and the economy is growing at an average rate
To stabilize the economy in the given scenarios, the government should change GDP and taxes as follows:
Economic growth has started slowing and the unemployment rate has increased over the past four months. - Decrease taxes to increase GDP There has been strong growth in GDP over the past year, unemployment is very low, and inflation has started to rise. - Increase taxes to decrease GDP Prices are stable, unemployment is low and the economy is growing at an average rate - No change to taxes to maintain GDP growth How can taxation affect the economy?Taxation leads to less money being available to people to invest in the production of goods and services, and to consume. This means that more taxation means less economic and GDP growth.
If economic growth is slowing, reducing taxes would allow for an increase in economic growth. When inflation is starting to rise along with a strong growth in GDP, the economy might be overheated so there is a need to increase taxes so that GDP will fall. If the economy is stable however, taxes should be left as they are.
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which of the following actions of a sales leader is the primary reason it is important to develop personal sales mastery?
One of the most critical sales priorities is adaptation. As new technology becomes available, there is a shift in the way customers are making decisions.
Being a hit in sales and studying a way to turn out to be higher at income boils down to three matters: empathy, a proper desire to help, and endurance.
Income control is the act of overseeing and leading income representatives to create strong relationships with prospects and close extra offers. Income managers do this by means of enforcing income control strategies, strategies, and targets to help their team hit or exceed their goals and dreams.
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A rectangular storage container with an open top is to have a volume of 20 m3. The length of its base is three times the width. Material for the base costs $5 per square meter. Material for the sides cost $9 per square meter. Find the cost of materials for the cheapest such container.
We can conclude that the cheapest cost of such container is $481.40.
A cost is expressed in the price of money that is used to produce something or deliver a service, and hence is not available for use anymore.
To find the cost of materials, we should determine the amount of volume with this formula:
V = LWH
L = 2W
where V = volume, L = lenght
so, V = 2WWH
V = 2W²H
The value of the volume is 20 m³, then plug it in the formula below:
V = 2W²H
20 = 2W²H
10 = W²H
H = [tex]\frac{10}{W^{2} }[/tex] .........................................(1)
Thus, we determine the surface area using this formula:
A = Base + 2 x Sides1 + 2 x sides 2
To determine the cost, we have this function
C = 10 x Base + 6 x (2 x Sides1 + 2 x sides 2)
C = 10 x LW + 6 x (2 x WH + 2 x LH) ........................(2)
Because of L = 2W, then substitute it to the equation-2 below
C = 10 x 2WW + 6 x (2 x WH + 2 x 2WH)
C = 10 x 2W² + 6 x (2WH + 4WH)
C = 20W² + 6 x (6WH)
C = 20W² + 36WH ..................(3)
Therefore, we substitute equation-1 to equation 3
C = 20W² + 36WH
C = 20W² + 36W[tex](\frac{10}{W^{2} } )[/tex]
C = 20W² + [tex]\frac{360}{W}[/tex] .........(4)
After that, determine Differentiate equation-4,
C' = 40 W - [tex]\frac{360}{W^{2} }[/tex]
Set it to 0:
40 W - [tex]\frac{360}{W^{2} }[/tex] = 0
40 W = [tex]\frac{360}{W^{2} }[/tex]
divide both rights and left sides with 40
W = [tex]\frac{90}{W^{2} }[/tex]
W³ = 90
W = 4.48
After we find the value of W, then we substitute it for equation-4
C = 20W² + [tex]\frac{360}{W}[/tex]
C = 20 (4.48)² + [tex]\frac{360}{4.48}[/tex]
C = 401.4 + 80.36
C = 481.40
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integrity materials is considering expanding on some land that it currently owns. the initial cost of the land was $364,500 and it is currently valued at $357,900. the company has some unused equipment that it currently owns valued at $29,000 that could be used for this project if $8,200 is spent for equipment modifications. other equipment costing $157,900 will also be required. what is the amount of the initial cash flow for this expansion project?
The amount of the initial cash flow that will be required for this expansion project is $553,000.
What is Initial Cash Flow?
The amount of money available at the beginning of a project or firm is known as the initial cash flow. Any loans or investments made in the project are included in the sum. Since starting a business takes a financial commitment with the expectation of generating revenue in the future, it is typically a negative number.
The discounted cash flow analysis used to determine a project's viability takes initial cash flow into account.
The attractiveness of a project is assessed throughout the capital budgeting process based on the predicted lifetime cash flows of the project in comparison to the initial cash flow required to get it started.
Initial cash flows=$357,900+$29,000+$8,200+$157,900=$553,000
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