Answer:
Changing people
Explanation:
The targeted area of change mostly needed is change in people. The idea here is to change attitude, motivation and effect new behaviors. Since Juan and Rita are having problems with the new employees the targeted area that they need mostly is changing people. As this aspect would bring about a resolution to the issues they are having with the new employees.
The management of Heider Corporation is considering dropping product J14V. Data from the company's accounting system appear below:
Sales: $980,000
Variable expenses: $394,000
Fixed manufacturing expenses: $376,000
Fixed selling and administrative expenses : $256,000
In the company's accounting system all fixed expenses of the company are fully allocated to products. Further investigation has revealed that $245,000 of the fixed manufacturing expenses and $206,000 of the fixed selling and administrative expenses are avoidable if product J14V is discontinued. What would be the effect on the company's overall net operating income if product J14V were dropped?
Answer:
financial disadvantage of dropping product J14V = $135,000, so net operating income would decrease by that amount
Explanation:
net loss generated by product J14V = $980,000 - $394,000 - $376,000 - $256,000 = ($46,000)
unavoidable fixed costs:
Fixed manufacturing expenses = $376,000 - $245,000 = $131,000
Fixed selling and administrative expenses = $256,000 - $206,000 = $50,000
total unavoidable fixed costs = $181,000
the overall effect = total unavoidable fixed costs - net loss = $181,000 - (-$46,000) = $135,000 financial disadvantage since unavoidable costs are higher than current losses
The implication of efficient capital markets and a lack of superior analysts have led to the introduction of
Answer: index funds
Explanation:
The implication of efficient capital markets and a lack of superior analysts have led to the introduction of index fund.
Capital market is a market whereby the buyers and sellers have to engage in the trading of financial securities such as stocks, bonds, etc.
An index fund is simply a form of mutual fund that has a portfolio that was constructed in order to track and also match components of the index of the financial market. An index fund provide low operating expenses, broad market exposure, and low portfolio turnover.
Baldwin has an asset turnover of 1.55 (Asset Turnover = Sales/Assets). That means:________.
1. Every $1.00 of assets in the firm generates $1.55 of profit.
2. Every $1.55 of profit in the firm comes from each $1.00 of sales.
3. Every $1.55 of assets in the firm generates $1.00 of sales.
4. Each $1.00 of assets in the firm generates $1.55 of sales revenue.
Answer:
4. Each $1.00 of assets in the firm generates $1.55 of sales revenue.
Explanation:
Given that
The asset turnover ratio is 1.55 times
Also, it could be calculated by applying the following formula
Asset turnover ratio is
= Sales ÷ Average assets
In this the comparison is made for generating the sales by considering the assets
Therefore in the given case, the last option is correct and hence the same is to be considered
A 20-year maturity bond with par value of $1,000 makes semiannual coupon payments at a coupon rate of 8%. Find the bond equivalent and effective annual yield to maturity of the bondif the bond price is:a. $950b. $1,000c. $1,050
Answer:
a. $950
yield to maturity = YTM = {40 + [(1,000 - 950)/40]} / [(1,000 + 950)/2] = 41.25 / 975 = 4.23% x 2 = 8.46%
effective yield = [1 + (r/n)]ⁿ - 1 = [1 + (0.08/2)]² - 1 = 8.16%, measures the coupon yield
since the effective yield is lower than the YTM, the bond is sold at a discount
b. $1,000
YTM = 8%, since the bond is sold at par
effective yield = [1 + (r/n)]ⁿ - 1 = [1 + (0.08/2)]² - 1 = 8.16%, measures the coupon yield
since the bond yield semiannual coupons, the effective yield is slightly higher than the YTM
c. $1,050
yield to maturity = YTM = {40 + [(1,000 - 1,050)/40]} / [(1,000 + 1,050)/2] = 38.75 / 1,025 = 3.78% x 2 = 7.56%
effective yield = [1 + (r/n)]ⁿ - 1 = [1 + (0.08/2)]² - 1 = 8.16%, measures the coupon yield
since the effective yield is higher than the YTM, the bond is sold at a premium
Economic conditions are a ______ predictor of U.S. presidential election outcomes. a. fair b. poor c. volatile d. good
Answer: d. good
Explanation:
Economic conditions in the U.S. directly affect the citizenry and so they will act to vote for a person who will either bring about better conditions if conditions are currently bad, or the incumbent if conditions are good.
If economic conditions are not so great, the person who will be voted for is probably the person who promised more to the people in the way of combating the poor economic performance.
So yes, economic conditions are a good predictor of U.S. presidential election outcomes.
The statement of cash flows for Baldwin Company shows what happens in the Cash account during the year. It can be seen as a summary of the sources and uses of cash (sources of cash are added, uses of cash are subtracted). Please answer which of the following is true if Baldwin makes plant improvements:
a) It is a use of cash, and will be shown in the financing section as a subtraction.
b) It is a source of cash and will be shown in the financing section as an addition.
c) It is a source of cash, and will be shown in the investing section as an addition.
d) It is a use of cash, and will be shown in the investing section as a subtraction.
Answer:
d) It is a use of cash, and will be shown in the investing section as a subtraction.
Explanation:
The plant improvements will result in cash outflow and is to be considered as an investing activity and not financing activity. It is not a source of cash. So, this option is incorrect.
There will be cash outflows when a company makes plant improvements. It is reported under the investing activity and not under financing activity. So, this option is incorrect.
There will be cash usage when their plant improvements. It is not a source of cash which does not result in cash inflows. So, this option is incorrect.
How much would Israel’s nominal GDP growth be next year if it experienced real GDP growth next year the same as its average over the past 50 years, with an inflation rate of 3% and population growth of 1%?
Please find part of questiom attached Answer:
6.25%
Explanation:
If inflation rate is 3%
And real GDP growth rate is 3.25 from question attachment
Nominal GDP growth rate which adds up inflation and output
=real GDP rate +inflation rate +population growth
=3.25%+3%
=6.25%
Therefore nominal GDP growth rate is 6.25%
This is because nominal GDP adds up the monetary value of all goods for the current year at current prices of all output and does not remove inflation like real GDP does. Also Population of 1% is already used in calculating real GDP so no need to add it nominal GDP calculation here
The international equilibrium price (or world price) and quantity for a traded item is determined by:
Answer: The intersection of the export supply schedule and the import schedule
Explanation:
An equilibrium price is the price that is derived at the point where the supply of goods and demand of goods matches.
It should be noted that the international equilibrium price (or world price) and quantity for a traded item is determined by intersection of the export supply schedule and the import schedule. At the point they intersect, the price will be gotten. Than, the market can be said to be in a state of equilibrium.
On december 2017 coolwear had a balance in its prepaid insurance acount of 68,400. During 2018, 106,000 was paid for insurance. At the end of 2018, after adjusting entries were recorded, the balance in the prepaid insurance account was $42,000. Insurance expense recorded for 2018 would be:_____.
A. $86,000.
B. $134,400.
C. $74.400.
D. $92,400.
Answer:
$132,400
Explanation:
Calculation for the Insurance expense
Using this formula
Insurance expense= 2017 Ending Balance in prepaid insurance account+ Amount paid for insurance-2018 Ending Balance in prepaid insurance account
Let plug in the formula
Insurance expense=$68,400+$106,000-$42,000
Insurance expense=$132,400
Therefore the Insurance expense recorded 2018 would be $132,400
A project that costs $23,500 today will generate cash flows of $9,300 per year for seven years. What is the project's payback period?
Answer:
It will take 3 years and 192 days to cover for the initial investment.
Explanation:
Giving the following information:
Initial investment= $23,500
Cash fow= $9,300
Time period= 7 years
The payback period is the time required to cover for the initial investment.
Year 1= 9,300 - 23,500= - 14,200
Year 2= 9,300 - 14,200= - 4,900
Year 3= 9,300 - 4,900= 4,400
To be more accurate:
(4,900/9,300)*365= 192
It will take 3 years and 192 days to cover for the initial investment.
The net income available to stockholders is $230,000. The beginning number of common shares outstanding was 100,000. The ending number of common shares outstanding was 150,000. What is the earnings per share
Answer:
$1.84
Explanation:
The formula for earning per share (EPS) is given as;
= Net income of the company / Average outstanding shares of the company
Given that ;
Net income = $230,000
Average outstanding shares = (100,000 + 150,000) / 2
= 125,000
Therefore,
EPS = $230,000 / 125,000
= $1.84
Ulrica wants to initiate a suit against Valley Farms by filing a complaint. The complaint should include
Answer:
the facts establishing Ulrica's basis for relief
Explanation:
A relief is a term used in legal proceedings or judicial process to describes the standards in which the court of law rules on either right, penalty or ensure previous court order stands, for the purpose of ensuring compensation is made for unlawful act meted out on people or party to the dispute.
Hence, in this case, Ulrica's complaint should include the facts establishing his basis for relief
You write one MBI July 127 call contract (equaling 100 shares) for a premium of $12. You hold the option until the expiration date, when MBI stock sells for $135 per share. You will realize a ______ on the investment.
Answer:
The answer is "$400"
Explanation:
The price value of the exercise:
= $127
The expiration date price value is:
= $135
Calculating the profit for Calls buyer:
= $135-$127
= $8
The value of 1 call = 100 shares
calculating the total profit :
=$ 8 × 100
= $ 800
One alternative purchase price:
= $12
Call option Total purchase price:
= $12 × 100
= $1200
The buyer's total loss:
= $1200 - $800
= $400
The Loss for the buyer: [tex]\frac{\text{profit for the seller}}{\text{writer}}[/tex]
Hence profit for the writer = $400
Suppose that on January 6, 2018, Excel Motors paid $240,000,000 for its 45% investment in Dynamic Motors. Excel has significant influence over Dynamic after the purchase. Assume Dynamic earned net income of $10,000,000 and paid cash dividends of $15,000,000 to all outstanding stockholders during 2018. (Assume all outstanding stock is voting stock.) Read the requirements Requirement 1. What method should Excel Motors use to account for the investment in Dynamic Motors?2. Journalize all required 2018 transactions related to Excel Motors's Dynamic investment. Include an explanation for each entry.3. Post all 2018 transactions to the investment T account. What is its balance after all transactions are posted? How would be this balance be classified on the balance sheet dated December 31 2018?
Answer:
1. What method should Excel Motors use to account for the investment in Dynamic Motors?
equity method since Excel Motors exercises significant influence (more than 20% of outstanding stocks) over Dynamic Motors
2. Journalize all required 2018 transactions related to Excel Motors's Dynamic investment. Include an explanation for each entry.
January 6, 2018, investment in Dynamic Motors
Dr Investment in Dynamic Motors 240,000,000
Cr Cash 240,000,000
Sometime during 2018, cash dividends are distributed
Dr Cash 6,750,000
Cr Investment in Dynamic Motors 6,750,000
Under equity method, cash dividends decrease investment account
December 31, 2018, net income is reported
Dr Investment in Dynamic Motors 4,500,000
Cr Investment revenue 4,500,000
Under equity method, net income increases investment account
3. Post all 2018 transactions to the investment T account. What is its balance after all transactions are posted? How would be this balance be classified on the balance sheet dated December 31 2018?
Investment in Dynamic Motors
debit credit
240,000,000 (January 6, 2018)
6,750,000 (sometime during 2018)
4,500,000 (December 31, 2018)
$237,750,000 ⇒ Investment account should be reported as a non-current asset account.
Cash
debit credit
240,000,000 (January 6, 2018)
6,750,000 (sometime during 2018)
$233,250,000 ⇒ negative balance since we were not given the initial cash amount. Cash is a current asset account.
Investment revenue
debit credit
$4,500,000 (December 31, 2018)
*Revenues are not reported on the balance sheet, but they do increase retained earnings account.
A company purchased equipment and signed a 6-year installment loan at 8% annual interest. The annual payments equal $9,400. The present value of an annuity factor for 6 years at 8% is 4.6229. The present value of a single sum factor for 6 years at 8% is .6302. The present value of the loan is:_________.
a. $9,400.
b. $5,924.
c. $14,916.
d. $56,400.
e. $43,455.
Answer: e. $43,455
Explanation:
Annual payments are constant so this is an annuity. To calculate the present value of an annuity, multiply the annity by the present value of an annuity factor corresponding with its discount rate and number of periods.
Present value of loan = 9,400 * present value of an annuity factor, 6 years, 8%
= 9,400 * 4.6229
= $43,455.26
= $43,455
The net sales of department X were 46,780. the customer returns were 2,342. What were gross sales?
Answer:gross sales=49,122
Explanation: Gross sales is defined as the sum of all the values of a sales receipts for a company. The formula to calculate gross sales is given as –
Gross sales= Net Sales + Discount + Sales returns + Sales allowances
Given that
net sales of department X =46,780
the customer returns were 2,342.
Gross sales for department X = Net sales + Sales Return
46,780 + 2,342.=49,122
Michael can produce the following combinations of x and Y: 10X and 10Y, 5X and 15Y, and OX and 20Y combinations of X and Y: 100X and 20Y, 50X and 30Y, or OX and Vernon can produce the following 40Y. It follows that:_______
a. Michael has the comparative advantage in producing X and Vernon has the comparative advantage in producing Y
b. Michael has the comparative advantage in producing Y and Vernon has the comparative advantage in producing X.
c. Neither Michael nor Vernon has a comparative advantage in producing X
d. Neither Michael nor Vernon has a comparative advantage in producing Y.
e. There is not enough information to answer the question.
Answer:
b. Michael has the comparative advantage in producing Y and Vernon has the comparative advantage in producing X.
Explanation:
Given that there are the following combinations that names x and y
As it can be seen from the above combinations that Michael has the comparative benefit over the Y that indicates the less opportunity cost while on the other hand side Vernon has the comparative benefit over the X that indicates the opportunity cost
hence, the correct option is B.
g Discuss the benefits and pitfalls of using social media within businesses and if you think it is ethical for business to fire employees for personal use of social media. How can you monitor and control your own social media activities to prevent such a professional conflict
Explanation:
The use of social media within companies can generate some essential benefits for organizations, if social media are used in a professional way to promote business, they can generate greater interaction and relationship building with the potential audience that helps a lot in increasing the value and positioning of a company in the market.
However, the personal use of social media in the workplace, can generate significant conflicts, such as idleness, loss of productivity, delay in the delivery of tasks, etc.
When judging whether it is ethical or not for companies to fire employees for personal use of social media, the set of company policies should be considered, if there is a well-established rule about banning the use of social media during working hours and the employee does not comply after being warned, then the dismissal was not carried out unethically.
Therefore, the ideal is that the personal use of social media should be carried out only during free time if allowed, and always complying with the set of policies and procedures of each company.
"PDQ Corporation has declared a rights offering to stockholders of record. The company has 5,000,000 shares outstanding and is selling an additional 1,000,000 shares via the rights offer. Which statements are TRUE regarding a customer who owns 500 shares of PDQ stock?"
Answer: C. II and III
Explanation:
There are 5,000,000 shares of PDQ Corporation as of when they declared the rights offering. This means that every share will get a right to buy stock.
However, as only 1,000,000 shares are being offered per the 5,000,000 shares outstanding it means that one stock may be purchased for every 5 rights.
A customer who owns 500 shares will therefore get 500 rights.
However with one stock up for sale per 5 rights they will receive the opportunity to buy;
= 500/5
= 100 shares
Hadley, a business researcher, believes that organizations will have to spend a lot of money on employee health care in the future. Her colleague Owen argues that organizations will not have to increase their spending on employee health care benefits. Which statement weakens Owen's argument
Answer: A. The fastest-growing share of the workforce is at least 55 years old.
Explanation:
The options to the question are:
A. The fastest-growing share of the workforce is at least 55 years old.
B. The fastest-growing age group is workers 16-25, who are prone to having accidents.
C. The largest proportion of the labor force is expected to be in the 16- to 25-year age group.
D. The total cost of labor in the United States will decrease considerably in the near future.
E. The labor force is expected to grow at a greater rate by 2026 than at any other time in U.S. history.
From the question, we are informed that Hadley, a business researcher, believes that organizations will have to spend a lot of money on employee health care in the future while Owen argues that organizations will not have to increase their spending on employee health care benefits.
The statement that weakens Owen's argument is that the fastest-growing share of the workforce is at least 55 years old. This simply means there are more old people incthe the workforce and that means there'll be more tendency for them to go to hospitals when ill compared to youths who'll be stronger.
The Soda Pop Shoppe has adopted a policy of increasing its annual dividend at a constant rate of 1.35 percent annually. The company just paid its annual dividend of $1.84. What will the dividend be nine years from now
Answer:
$2.08
Explanation:
Calculation for what will the dividend be nine years from now
Using this formula
Dt-1=Div1(1+g)^t
Where,
Dt-1=9years-1
Div1=$1.84
(1+g)=(1+0.0135
t= 9 years
Let plug in the formula
D9-1= $1.84(1+0.0135)^9
D8=$1.84(1.0135)^9
D8=$1.84(1.1282)
D8 = $2.08
Therefore what will the dividend be nine years from now will be $2.08
Programs that award certificates that can have in securing jobs are called: A: high-school diploma programs B: secondary school programs C: vocational or technical education programs D: internships or on-the-job training
Answer:
C: vocational or technical education programs
Explanation:
A vocational/technical training program often results in certification useful for obtaining a job.
__
The other educational programs listed may be helpful, but typically don't offer skill certification.
Answer:
vocational or technical education programs
Explanation:
Sam's total revenue from pilot training classes equaled $90,400. Sam's implicit costs for this year are equal to
Answer: $45,600
Explanation:
The Implicit cost is the opportunity cost. In other words, it is cost that was incurred because a revenue opportunity was sacrificed.
Sam sacrificed his salary as a pilot, his interest payment and the building he could be renting out.
His total implicit cost is;
= 40,000 + (10,000 * 6%) + 5,000
= $45,600
Assuming a 360-day year, when a $20,000, 90-day, 5% interest-bearing note payable matures, total payment will be
Answer:
total payment will be $21,000.
Explanation:
The Payment at maturity will include, the Principle amount (amount borrowed) and the Interest that accrued over the period of the note payable.
Total Payment Calculation :
Principle amount = $20,000
Interest ($20,000 × 5%) = $1,000
Total Payment = $21,000
Which of the following affects the wage a firm is willing to pay its workers?
A. The productivity of workers.
B. Consumer demand for the goods and/or services that the firm creates.
C. The amount of fringe benefits the firm is required by law to pay.
D. The level of payroll taxes the firm must pay.
E. All of the above affect the wage a firm is willing to pay its workers.
Answer: E. . All of the above affect the wage a firm is willing to pay its workers
Explanation:
The wage a firm is willing to pay its workers is affected by:
• The productivity of workers.
• Consumer demand for the goods and/or services that the firm creates.
• The amount of fringe benefits the firm is required by law to pay.
• The level of payroll taxes the firm must pay.
It should be noted that when there's increase in productivity and rise in demand for a good by consumers, companies will be willing to pay more for their workers.
Likewise a decrease in tax and fringe benefits affects companies paying ability.
A food handler washes hands after using the restroom is an example of ?
To achieve the social optimum,the government could set a tax equal to ________ per unit sold.
A) $6
B) $4
C) $2
D) $3
E) $5
Answer:
A) $6
Explanation:
The equilibrium price arises when the marginal cost of private i.e. demand is $12 and when the social production cost is to be considered then the equilibrium price is $18
So, to accomplish the social optimum, the government should set a tax of
= $18 - $12
= $6
This shifted the private marginal cost to the left and there is yield to the social optimum
Hence, the correct option is A. $6
On October 1st, a company received $30,000 in cash and a building worth $200,000, and in return, issued common stock to an investor. Create the complete journal entry and post to the appropriate T-accounts.
Answer:
1. Journal:
October 1:
Debit Cash $30,000
Debit Building $200,000
Credit Common Stock $230,000
To record the receipt of cash and building for common stock.
2. T-accounts:
Cash Account
Date Description Debit Credit Balance
Oct. 1 Common Stock $30,000 $30,000
Building Account
Oct. 1 Common Stock $200,000 $200,000
Common Stock
Oct. 1 Cash $30,000 $30,000
Oct. 1 Building $200,000 $200,000
Explanation:
Journal entries show the accounts to be debited and credited respectively. They are the initial records of a business transaction. They can be used to post any transaction, make adjustments to the accounts, and close the accounts at the end of the accounting period.
Currently Baldwin is paying a dividend of $16.58 (per share). If this dividend were raised by $3.64, given its current stock price what would be the Dividend Yield? Select: 1Save Answer $20.22 8.9% $3.64 10.9%
Information Missing was:
Stock Market Summary
Company Close Change Shares MarketCap ($M) Book Value EPS Dividend Yield P/E
Andrews $1.00 $0.00 2,461,289 $2 $19.10 ($10.20) $0.00 0.0% -0.1
Baldwin $203.72 $73.28 1,908,475 $389 $63.83 $28.01 $19.85 9.7% 7.3
Chester $35.32 $9.33 3,490,508 $123 $26.71 $2.27 $2.39 6.8% 15.6
Digby $49.20 $9.01 3,149,499 $155 $36.95 $3.17 $0.86 1.7% 15.5
Answer:
11.5%
Explanation:
The dividend yield of Baldwin Co can be calculated by using the following formula:
Dividend Yield = (Current Dividend + Increase in Dividend) / Current Stock Value
Here
Current Dividend is $16.58 per share
Dividend Increase is $3.64 per share
Current Stock Value is $203.72
By putting values we have:
Dividend Yield = ($16.58 - $3.64) / $203.72
Dividend Yield = $23.49 per share / $203.72
Dividend Yield = 11.5%
A corporation issued 7000 shares of its $10 par value common stock in exchange for land that has a market value of$82,000. The entry to record this transaction would include:_______
a) A credit to Land for $70,000.
b) A debit to Land for $7oooo.
c) A credit to common stock for $82,000.
d) A debit to Common Stock for $70,000.
e) A credit to Contributed Capital in Excess of Par value. Common Stock for $12,000.
Answer:
Option e is the correct answer.
Explanation:
The issuance of common stock in exchange of land would mean a debit to the asset account for land at the market value for the land which is $82000. The other side of the transaction would contain two accounts- a credit to the Common Stock account and a credit to the Paid in/Contributed Capital in excess of Par value, Common Stock.
The value of Common Stock will be = 7000 * 10 = 70000
The remaining of 82000 - 70000 = 12000 will be credited to the contributed capital in excess of par value account.
The entry to record this transaction will be,
Land 82000 Dr
Common Stock 70000 Cr
Contributed Capital in excess of par value-Common Stock 12000 Cr