Answer:
a. $7.75 per direct labor hour.
b. Job 200 = $19,375 and Job 305 = $23,250
c. Journal
Work In Process : Job 200 $19,375 (debit)
Work In Process : Job 200 $23,250 (debit)
Overheads $42,625 (credit)
Explanation:
Predetermined factory overhead rate = Budgeted Fixed Costs ÷ Estimated Direct Labor Hours
= $620,000 ÷ 80,000
= $7.75 per direct labor hour.
Application of Overheads.
Job 200 = Actual Labor hours × Predetermined factory overhead rate
= 2,500 hours × $7.75
= $19,375
Job 305 = Actual Labor hours × Predetermined factory overhead rate
= 3,000 hours × $7.75
= $23,250
Which of the following is not an essential part of the accounting records?
A. The journal.
B. The ledger.
C. The chart of accounts.
D. The work sheet.
Answer:
D. The worksheet
Explanation:
Accounting records are documents used to analyze and prepare financial statements. Accounting records are also documents which can be used to assess the performance of a company and also serves as source of records for audit purposes.
The followings are essential parts of accounting records; balance sheet, statement of cash flow, the ledgers , the journals, income statements etc.
Benjamin is late for an appointment with a client because he is stuck in
traffic. When he meets with the client, he apologizes and promises to be more
careful next time. This action demonstrates
A. honesty
B. respect for diversity
O C. punctuality
O D. accountability
Answer:
b
respect for diversity
The alternative to viewing management as a process is to focus on? A.people B.strategy C.resources
Answer:
C.resources
Explanation:
Given that Management is a term often used in a general sense or business-related situation to describe the process of gathering, monitoring and governing all forms of resources; which is a combination of any of the human resources, capital resources, technical resources, and material resources involved in the production of goods and services, or achieving a particular goal.
Hence, the alternative to viewing management as a process is to focus on RESOURCES.
Which of the following statements regarding a 30-year monthly payment amortized mortgage with a nominal interest rate of 8% is CORRECT?
A. Exactly 8% of the first monthly payment represents interest.
B. The monthly payments will decline over time.
C. A smaller proportion of the last monthly payment will be interest, and a larger proportion will be principal, than for the first monthly payment.
D. The total dollar amount of principal being paid off each month gets smaller as the loan approaches maturity.
E. The amount representing interest in the first payment would be higher if the nominal interest rate were 6% rather than 8%.
Answer:
C. A smaller proportion of the last monthly payment will be interest, and a larger proportion will be principal, than for the first monthly payment.
Explanation:
I prepared a summary of an amortization schedule to explain this:
principal = $100,000
r = 8% annual
n = 360 months
first payment = $733.76: $666.67 are interests and only $67.09 reduces principal
second payment = $733.76: $665.95 are interests and only $67.54 reduces principal
last payment = $733.76: $4.90 are interests and only $728.86 reduces principal to $0
You are a shareholder in an S corporation. The corporation earns $2.31 per share before taxes. As a pass-through entity, you will receive $2.31 for each share that you own. Your marginal tax rate is 35%. How much per share is left for you after all taxes are paid
Answer:
$1.50
Explanation:
Calculation for How much per share is left for you after all taxes are paid
Using this formula
Amount per share left= Amount per share-(Amount per share× marginal tax rate
Let plug in the formula
Amount per share left=$2.31-($2.31×35%)
Amount per share left=$2.31-0.8085
Amount per share left=$1.50
Therefore How much per share is left for you after all taxes are paid will be $1.50
Describe the core marketing function within an organization
Answer:
Corporate, Strategic and Product management function
Explanation
In corporate function, it serves the role of global marketing sector in setting, enforcing the brand standards and definition of the global infrastructure meant for public relations.
In strategic function, it serves the role of setting the growth strategies, assessment of competitive landscapes, collaboration with the engineering and the management towards the performance of gap analysis
In product management function, it serves the role of building and also driving the launching of those plans meant for products and service provisions, redefining of raw positions and messaging towards the crisp value positions.
Shrives Publishing recently reported Sales $9,750.00 Operating costs excluding depreciation 4,500.00 Depreciation 1,250.00 Operating income (EBIT) $ 4,000.00 During the year, the firm had expenditures on fixed assets and net operating working capital that totaled $1,550. These expenditures were necessary for it to sustain operations and generate future sales and cash flows. What was its free cash flow
Complete Question
Shrives Publishing recently reported $9,750 of sales, $4,500 of operating costs, and $1,250 of depreciation. The company had no interest expense, and its income tax rate was 35%. During the year, the firm had expenditures on fixed assets and net operating working capital that totaled $1,550. These expenditures were necessary for it to sustain operations and generate future sales and cash flows. What was its free cash flow
Answer:
$2,300
Explanation:
The formula to calculate Free cash flow, we will use the following formula:
Free Cash Flow = EBIT (STEP1)* (1 - Tax Rate) + Depreciation - Capital Investment - Investment in Working Capital
Here
Depreciation is $1,250
Investment in Capital and working capital is $1,550
EBIT is $4,000
Tax rate is 35%
By putting values, we have:
Free Cash Flow = $4,000 * (1 - 35%) + $1,250 - $1,550
Free Cash Flow = $2,300
STEP 1: Find Earnings Before Interest and Tax
EBIT = Sales - Operating Expense Before Depreciation - Depreciation
EBIT = $9,750 - $4,500 - $1,250 = $4,000
Demand is created through meeting customer buying criteria, credit terms, awareness (promotion) and accessibility (distribution). According to the Thrift segment's customers, which of these products was the most competitive at the end of last year?
a. Cake
b. Cedar
c. Dell
d. Adam
Answer: cake
Explanation:
Demand is created through meeting customer buying criteria, credit terms, awareness (promotion) and accessibility (distribution).
According to the Thrift segment's customers, the product that was the most competitive at the end of last year is Cake.
_____ has NOT been as successful because employees do not have control over the design of the work process.
Answer: Quality assurance
Explanation:
The options to the question are:
A. Continuous quality improvement
B. Total quality management
C. Quality assurance
D. Quality control
E. Quality management viewpoint
Quality assurance is simply maintaining a desired level of quality regarding a product or a service by paying attention to every production.
This has not been really successful because the employees do not have control over the design of the work process.
The financial statements for Lexington Service Company include the following items
Cash $52,500 $49,000
Short-term Investments 33,000 20,000
Net Accounts Receivable 52,000 51,000
Merchandise Inventory 160,000 46,000
Total Assets 534,000 553,000
Accounts Payable 129,500 126,000
Salaries Payable 25,000 14,000
Long-term Note Payable 58,000 55,000
Compute the current ratio for 2016. (Round answer to two decimal places.)
A) 1.19
B) 0.84
C) 3.95
D) 6.66
BULL Company has budgeted the following unit sales: 2017 2016 Quarter Units Quarter Units 1 105,000 1 90,000 2 60,000 3 75,000 4 120,000 The finished goods inventory on hand on December 31, 2015 was 21,000 units. It is the company's policy to maintain a finished goods inventory at the end of each quarter equal to 20% of the next quarter's anticipated sales. Instructions Prepare a production budget for 2016.
Answer:
357,000
Explanation:
Preparation of a production budget for 2016
BULL COMPANY Production Budget For
2016
Quarter
1 2 3 4
Expected unit sale
105,000 60,000 75,000 120,000
Desired ending finished goods units
12,000 15,000 24,000 18,000
Total required units
117,000 75,000 99,000 138,000
Less: Beginning finished goods units
21,000 12,000 15,000 24,000
Required production units
96,000 63,000 84,000 114,000
Total =357,000
(96,000 + 63,000 + 84,000 +114,000)
Calculation for Desired ending finished goods units
20%×60,000 units =12,000
20%×75,000 units =15,000
20%×120,000 units =24,000
20%×90,000 units =18,000
Total required units=Expected unit sales+Desired ending finished goods units
Calculation for Beginning finished goods units
December 31, 2015 =21,000 units
20%×60,000 units =12,000
20%×75,000 units =15,000
20%×120,000 units =24,000
Required production units=Total required units-Beginning finished goods units
weighted average cost of capital of 11.5 percent. The firm has a before-tax cost of debt of 7.8 percent and a cost of equity of 13.95 percent. The corporate tax rate is 34%. What debt-equity ratio is needed for the firm to achieve its targeted weighted average cost of capital
Answer:
38.57%
Explanation:
The computation of debt to equity ratio is shown below:
But before that we need to find out the debt which is
Let us assume the debt be X
Weighted Average cost of capital is
= [Before tax cost of Debt × (1 - tax rate) × X] + [Cost of equity × (1 - X)]
11.5% = [7.8% * (1 - 0.34) * X] + [13.95% * (1 - X)]
11.5% = 5.148% X + 13.95% - 13.95% X
8.802% X = 2.45%
X = 27.83%.
Now
Debt to equity is
= 27.83% ÷ (1 - 0.2783)
= 38.57%
The manager of a $600,000 aggressive stock portfolio wishes to hedge with OEX 600 Put contracts. The portfolio has a beta of 2. To hedge, the manager will buy:_______
Answer: 20 contracts
Explanation:
It should be noted that each OEX 600 Put contract will cover:
= 100 × 600
= $60,000 of stock
Therefore, to hedge $600,000 portfolio, ($600,000/$60,000) = 10 contracts will be needed.
Since the portfolio has a beta of 2, this means that:
=2 x 10 contracts
= 20 contracts will be needed.
Direct manufacturing labor and direct materials variances, missing data. (CMA, heavily adapted) Oyster Bay Surfboards manufactures fiberglass surfboards. The standard cost of direct materials and direct manufacturing labor is $248 per board. This includes 35 pounds of direct materials, at the budgeted price of $3 per pound, and 11 hours of direct manufacturing labor, at the budgeted rate of $13 per hour. Following are additional data for the month of July:
Units completed 5,600 units,
Direct material purchases 230,000 pounds,
Cost of direct material purchases $759,000,
Actual direct manufacturing labor-hours 43,000 hours,
Actual direct manufacturing labor cost $623,500,
Direct materials efficiency variance $ 1,200 F,
There were no beginning inventories.
1. Compute direct manufacturing labor variances for July,
2. Compute the actual pounds of direct materials used in production in July,
3. Calculate the actual price per pound of direct materials purchased,
4. Calculate the direct materials price variance.
Answer:
Instructions are below.
Explanation:
To calculate the direct labor rate and efficiency variance, we need to use the following formulas:
Direct labor time (efficiency) variance= (Standard Quantity - Actual Quantity)*standard rate
Standard quantity= 5,600*11= 61,600
Direct labor time (efficiency) variance= (61,600 - 43,000)*13
Direct labor time (efficiency) variance= $241,800 favorable
Direct labor rate variance= (Standard Rate - Actual Rate)*Actual Quantity
Actual rate= 623,500/43,000= $14.5
Direct labor rate variance= (13 - 14.5)*43,000
Direct labor rate variance= $64,500 unfavorable
Total variance= 241,800 - 64,500= $177,300 favorable
Now, we need to calculate the actual pounds used in production:
Direct material quantity variance= (standard quantity - actual quantity)*standard price
1,200= (5,600*35 - actual quantity)*3
400= 196,000 - actual quantity
actual quantity= 195,600
Actual price= 759,000/230,000= $3.3 per pound
Finally, the direct material price variance:
Direct material price variance= (standard price - actual price)*actual quantity
Direct material price variance= (3 - 3.3)*759,000
Direct material price variance= $227,700 unfavorable
Matthew, vice president of human resources at Gamma Phi Corporation, is a(n) Multiple Choice middle-level manager. board manager. team leader. upper-level manager. first-line level manager.
Answer: upper level manager
Explanation:
Upper level mangers are the individuals that are charged with the responsibility of making the main and important decisions for a company. These set of individuals are at the helm of affairs and also top of corporate ladder. They also carry a greater degree of responsibility for the company.
Therefore, Matthew, vice president of human resources at Gamma Phi Corporation, is an upper level manager.
A client invests $100,000 in a tax shelter as a limited partner, giving him a 10% interest in the program. However, the general partners cannot meet the program's expenses. A mortgage balance of $3 million remains, and the property of the program is liquidated for $1 million. How much does the investor get back from his original investment
Answer: 0
Explanation:
From the question, we are informed that a client invests $100,000 in a tax shelter as a limited partner, giving him a 10% interest in the program but that, the general partners cannot meet the program's expenses.
We are further told that a mortgage balance of $3 million remains, and the property of the program is liquidated for $1 million. The investor get back nothing from his original investment
This is because a limited partner will not get return of his investment. The creditors of the partnership have to be paid first in a failed program.
When assessing sample frame error, which two factors are to be considered?a) the cost of the frame versus the accuracy of the frame.
b) are people in the frame different from the population and are people in the population not on the frame's list.
c) the coincidence rate and the bi-incidence rate.
d) the cost versus the timeliness of the frame.
e) all of the above actually must be considered.
Answer:
Are people in the frame different from the population and are people in the population not on the frames's list ( B )
Explanation:
The two factors that are to be considered : are people in the frame different from the population and are people in the population not on the frames's list. this is because sample frame errors are caused by the presence of respondents who do not qualify for a survey, responding to a survey been carried out and this action will cause an imperfect representation of the population that the survey was intended for.
Which of the following statements about Six Sigma programs is false?
A. Six Sigma programs need to be overseen by personnel who have completed Six Sigma master black belt" training and executed by personnel who have earned Six Sigma "green belts" and Six Sigma "black belts."
B. Six Sigma programs utilize advanced statistical methods to enable an activity or process to be performed with 99.9997 percent accuracy (equivalent to 3.4 defects/errors per million terations).
C. There are two important types of Six Sigma programsâ"one is forA existing processes falling below specification and needingA incremental improvement and the other is for developing new processes or products at Six Sigma quality levels.
D. There is evidence that Six Sigma techniques stifle innovation and creativity, particularly as concerns such creative processes as R&D and new product development which very often involve outside-the-box brainstorming and trial-and-error experimentation.
E. When performance of an activity or process reaches "Six Sigma quality," there are not more than ten defects/errors per million iterations.
Answer:
E. When performance of an activity or process reaches "Six Sigma quality," there are not more than ten defects/errors per million iterations
Explanation:
Six sigma is a quality management practice aimed at improving processes, products, and services by identifying and removing defects. Process streamlining and elimination of defects in business and manufacturing is the aim of Six Sigma.
The allowable defects in when a process reaches Sigma Six quality is 3.4 defects per 1 million iterations.
So the statement - When performance of an activity or process reaches "Six Sigma quality," there are not more than ten defects/errors per million iterations.
Is false
For each scenario, select the appropriate distribution density classification.1. Snack Time-Frito-Lay knows that hunger can strike at any time and hungry consumers want snacks quickly. Thus, Frito-Lay places its snacks in vending machines, convenience stores, grocery stores, and other retail outlets. A. Intensive Distribution.B. Selective Distribution.C. Exclusive Distribution.2. Handbag Heaven-Coach handbags can be purchased in many, but not all, mid- to high-end retailers. Coach limits the number of retailers authorized to sell its line of leather goods to manage the demand for the brand. A. Intensive Distribution.B. Selective Distribution.C. Exclusive Distribution.3. Clean Up-Households use one to two rolls of paper towels each week. To make replenishment easy, P&G makes sure consumers can buy its Bounty towels in grocery stores, discounters, warehouse clubs, convenience stores, and pharmacies. A. Intensive Distribution.B. Selective Distribution.C. Exclusive Distribution.4. British Invasion-The British luxury brand Burberry can only be purchased at a few high-end retailers like Nordstrom and Saks Fifth Avenue, in addition to Burberry retail stores. JC Penney and Kohl's are not authorized to carry the brand. A. Intensive Distribution.B. Selective Distribution.C. Exclusive Distribution.5. Distribution-Apple products have high brand equity but in a category that is very competitive. To optimize its market coverage, Apple computers are available at Apple retail stores and authorized electronics retailers. A. Intensive Distribution.B. Selective Distribution.C. Exclusive Distribution.6. Luxury Ride-There are only 54 Bentley dealerships in the entire United States. The ultra-luxury car brand comes with an exorbitant starting price of $180.195 and is only targeted at the wealthiest consumers.A. Intensive Distribution.B. Selective Distribution.C. Exclusive Distribution.
Answer:
1. Intensive Distribution
2. Selective Distribution
3. Intensive Distribution
4. Exclusive Distribution
5. Selective Distribution
6. Exclusive Distribution
Explanation:
Intensive Distribution is the one in which the product is available almost everywhere. That the product is easily available and the company ensures that it has a wide range of consumers.
Selective Distribution is the one in which the product is available only at some identified places, as for example the 5. point the apple phones are available usually at apple stores or some other specified mobile sellers, thus it is easily available yet at some limited shops only.
Exclusive Distribution is the one in which the product is available only at some exclusive shops, as in the 4th point and 6th point the luxury brand is not easily available and rather at only a few outlets of the company.
An investor owns 25% of an investee, and accounts for its investment using the equity method. At the beginning of the year, the Equity Investment was reported on the investor's balance sheet at $1,000,000. During the year, the investee reported net income of $400,000 and paid dividends of $100,000. In addition, the investor sold inventory to the investee, realizing a gross profit of $120,000 on the sale. At the end of the year, 30% of the inventory remained unsold by the investee.
A. Provide the equity method journal entries required for the year.
B. What is the balance of the equity investment at the end of the year?
C. Assume the inventories are all sold in the following year, that the investee reports $450,000 of net income. How much equity income will the investor report for the following year?
Answer:
A. Journal Entries:
Debit Investment in Investee $100,000
Credit Net Income $100,000
To record the investor's share in net income of investee.
Debit Net Income from Investee $25,000
Credit Investment in Investee $25,000
To record the dividends received.
Debit Net Income from Investee $9,000
Credit Investment in Investee $9,000
To record the unrealized gain on the unsold inventory.
B. Balance of the equity investment at the end of the year:
= $1,066,000
C. Equity income for the following year if all inventories are sold:
= $112,500
Explanation:
a) Investment in investee:
Beginning balance $1,000,000
Net income share 100,000
Dividends received (25,000)
Unrealized gain (9,000)
Ending balance $1,066,000
Equity Income for the following year when all inventories are sold = 25% of $450,000 = $112,500
Given $100,000 to invest, construct a value-weighted portfolio of the four stocks listed below.
Stock Price/Share ($) Number of Shares Outstanding (millions)
Golden Seas 14 1.43
Jacobs and Jacobs 24 1.44
MAG 43 29.52
PDJB 9 11.48
Required:
Write down the the portfolio weight.
Answer:
Weight of Golden Seas in the portfolio = 1.40%
Weight of Jacobs and Jacobs in the portfolio = 2.42%
Weight of MAG in the portfolio = 88.94%
Weight of PDJB in the portfolio = 7.24%
Explanation:
This can be done as follows:
Step 1: Calculation of value of each stock
Value of stock can be calculated using the following formula:
Value of a stock = Price per share * Number of shares outstanding................ (1)
Using equation (1), we have:
Value of Golden Seas = $14 * 1.43 millions = $20.02 millions
Values of Jacobs and Jacobs = $24 * 1.44 millions = $34.56 millions
Value of MAG = $43 * 29.52 millions = $1,269.36 millions
Values of PDJB = $9 * 11.48 millions = $103.32 millions
Step 2: Calculation of value of the portfolio
This can be obtained by adding the values of all the stocks in step 1 as follows:
Value of the portfolio = Value of Golden Seas + Values of Jacobs and Jacobs + Value of MAG + Values of PDJB = $20.02 millions + $34.56 millions + $1,269.36 millions + $103.32 millions = $1,427.26 millions
Step 3: Calculation of weight of each stock in the portfolio
The weight of each stock in the portfolio is obtained as the values of each stock divided by the value of the portfolio. This can be calculated as follows:
Weight of Golden Seas in the portfolio = $20.02 millions / $1,427.26 millions = 0.0140, or 1.40%
Weight of Jacobs and Jacobs in the portfolio = $34.56 millions / $1,427.26 millions = 0.0242, or 2.42%
Weight of MAG in the portfolio = $1,269.36 millions / $1,427.26 millions = 0.8894, or 88.94%
Weight of PDJB in the portfolio = $103.32 millions / $1,427.26 millions = 0.0724, or 7.24%
What unmet needs of the consumer contributed to the success of Urban Decay?
Customer needs are unmet when the most important of them are not discussed by the current solutions. Customers frequently fail to mention these critical requirements. Then it's critical to understand both the customers' "articulated" and "unarticulated" needs.
How do you respond to unmet needs?Care in their homes provided by a professional caregiver or a family member is one way to respond to people with unmet needs who are single or living alone. People with unmet needs who are not stable financially would profit from moving into low-cost assisted living facilities or nursing homes.
Before making difficult decisions about total rewards offerings, use Mercer's Unmet Needs Analysis to listen to your employees and learn about their unmet needs. Mercer's Unmet Needs Analysis can assist you in the following ways: Define the appropriate problems. Create appropriate solutions. Invest in the appropriate areas.
Learn more about Unmet Needs here:
https://brainly.com/question/16926733
#SPJ5
Which one of the following firms would be described as having below-average sensitivity to the state of the economy?
A) A defensive firm
B) A stalwart firm
C) A cyclical firm
D) An asset play firm
Answer: A) A defensive firm
Explanation:
Defensive firms have a below-average sensitivity to the state of the Economy which is shown by them maintaining stable returns regardless of if the Economy is in boom or in a recession.
Because of this their stock are highly sough after in Recessions as opposed to Booms because in Recessions they offer better returns than other types of firms but in Booms they will offer lower.
Examples of such firms include those that supply human necessities such as electricity and water.
intext:"Jared's Co. has total assets of $60,000 and total liabilities of $40,000. Its debt-to-equity ratio is"
Answer:
Debt to Equity ratio = 2
Explanation:
The debt to equity ratio is a financial ratio to measure the proportion of debt financing in a company's capital structure in relation to the shareholders' equity. The debt to equity ratio can be calculated as follows,
Debt to Equity ratio = Total Liabilities / Total Equity
To calculate the value of total equity, we will use the basic accounting equation which is,
Total assets = Total Liabilities + Total Equity
60000 = 40000 + Total Equity
Total Equity = 60000 - 40000 = $20000
Debt to Equity ratio = 40000 / 20000
Debt to Equity ratio = 2
The Shirt Company manufactures shirts in two departments: cutting and sewing. The company allocates manufacturing overhead using a single plantwide rate with direct labor hours as the allocation base. Estimated overhead costs for the year are 200,000 and estimated direct labor hours are 100,000. In June, the company incurred 15,500 direct labor hours.
1) Compute the predetermined OH allocation rate.
2) Determine the amount of OH allocated in June. The estimated costs for the cutting dept are 259,600. They will be allocated based on direct labor hours, which are estimated to be 118,000 hours for the year. The estimated costs for the sewing department are 513,000. Those costs will be allocated based on machine hours, which are estimated to be 190,000 hours for the year. In June, the company incurred 7,000 direct labor hours in cutting and 13,000 machine hours in sewing.
3) Compute the predetermined OH allocation rates for each department.
4) Determine the total amount of OH allocated in June.
Answer and Explanation:
1. The computation of predetermined OH allocation rate is shown below:-
Predetermined OH allocation Rate = Estimated overhead cost ÷ Estimated Direct labor hours
= 200,000 ÷ 100,000
= 2
2. The computation of the amount of OH allocated in June is shown below:-
Amount of OH allocated in June = Actual Direct labor hours × Overhead allocation Rate
= 15,500 × 2
= 3,100
3. The computation of predetermined OH allocation rates for each department is shown below:-
Overhead allocation Rate Estimated overhead costs ÷ Estimated Direct labor hour
For Cutting Dept = 259,600 ÷ 118,000
= 2.2
For Sewing Dept = 513,000 ÷ 190,000
= 2.7
4. The computation of the total amount of OH allocated in June is shown below:-
Amount of overhead allocated in June
= Machine hours × Predetermined OH allocation rate
For Cutting Dept = 13,000 × 2.2
= 28,600
For Sewing Dept = 7,000 × 2.7
= 18,900
Approximately what percentage of the US labor force is employed by firms that have fewer than 100 employees
Answer:
33.4%
Explanation:
This information was obtained from the Small Business and Entrepreneurship Council and was calculated based on information obtained during 2016. There are approximately 5.6 million small business in the US (that have 500 or less employees), and firms with 100 or less employees represent 98.2% of them = 5.5 million businesses.
This information does not consider businesses that do not have any employees at all, e.g. independent contractors that are self employed but do not employ anyone else.
This number includes all types of businesses, ranging from partnerships, corporations, sole proprietorships and limited liability companies (e.g. 96.4% of corporations have less than 100 employees).
Small businesses account for almost half of the work force, 46.8%.
The allocation of the cost of a tangible fixed asset is referred to as_____, whereas the allocation of the cost of an intangible asset is referred to as______.
Answer:
Depreciation
Amortisation
Explanation:
Depreciation is a method used in expensing the cost of a tangible fixed asset e.g. machinery, building
Amortisation is a method used in expensing the cost of an intangible asset e.g. patent
Different methods of depreciation and amortisation :
Straight line
double declining
Units of activity
sum of the years
Depreciation is the allocation of cost of a tangible fixed asset while Amortization is the allocation of cost of an intabgible asset.
A tangible fixed asset are asset which are in physical form and are used to facilitate the day-to-day operation of the firm.
Therefore, the allocation of cost of a tangible fixed asset is called Depreciation.An intangible asset refers to asset that are not physical in nature. Asset such as patents, trademarks, copyrights are example of a company's intangible assets.
Therefore, the allocation of cost of an intangible asset is called amortization.Read more about this here
brainly.com/question/25078800
brainly.com/question/25152673
g If the Fed sells government securities, in the short run the nominal interest rate ________ and the real interest rate ________.
Answer:
The answer is: If the Fed sells government securities, in the short run the nominal interest rate increases and the real interest rate also increases.
Explanation:
In the open market operations tool, Fed can sell government securities, mostly bonds, to reduce the money supply by replacing outstanding cash in the market with securities. Consequently, in the short run, the nominal interest rate will increase. The real interest rate is the nominal rate minus the inflation rate. Also in the short run, when the general prices or inflation hasn't been affected by Fed's intervention, the real interest rate will increase too.
Ben Collins plans to buy a house for $188,000. If the real estate in his area is expected to increase in value by 3 percent each year, what will its approximate value be seven years from now?
Answer:
The value after seven years from now is $231,216.29
Explanation:
The computation of the expected value would be seven years from now is shown below:
Here we use the future value formula i.e. shown below:
Future value = Present value × (1 + interest rate)^number of years
= $188,000 × (1 + 0.03)^7
= $188,000 × (1.03)^7
= $231,216.29
Hence, the value after seven years from now is $231,216.29
The ________ process helps candidates learn about the organization and if employees perceive a conflict between their values and those of the organization, they can remove themselves from the applicant pool. selection institutionalization performance evaluation training orientation
Answer:
Selection
Explanation:
Selection process is method by which the right candidates are chosen for the appropriate job for them.
During this process there is matching of organisational requirements with the skills of the candidates.
The company and the candidate are both looking for a good fit.
At this stage the client learns about the company and its culture. If they see their values conflict with that of the company they can choose to remove themselves from the applicant pool.