Answer:
D. What do we want to become?
Explanation:
A mission statement refers to a statement in which the existence reason could come why it is established, its entire objectives, its products and services that are provided to the customers, and at last the location where they deal
So as per the given options the option D is correct as it represent the mission statements and the hence the same is to be considered
Therefore all the other options are wrong or incorrect
Holding other factors constant, if bad weather destroys the annual crop for carrots, it causes the supply curve for carrots to
Options:
a. Shift to the left, causing the prices of carrots to rise
b. Shift to the left, causing the prices of carrots to fall
c. Stay the same
d. The supply curve does not shift. Only the demand curve shifts.
Answer:
a. Shift to the left, causing the prices of carrots to rise
Explanation:
Indeed, going by the law of supply and holding all other factors constant, we would expect the supply curve to shift to the left, which implies that there would be an increase in the price of carrots.
What this means is that because there are now fewer carrots in the market as a result of the effects of the bad weather, there would be scarcity and so sellers would increase prices.
Bob reviews an income statement that includes percentages of how each item relates to sales. What kind of financial analysis is this?
Answer:
Common Size Analysis
Explanation:
In a common size, Statement of Comprehensive Income, sales revenue is expressed as 100% and every other item is expressed as a percentage of sales revenue.
A direct participation program shows the following operation results: Revenues: $3 million Operating expense: $1 million Interest expense: $200,000 Management fees: $200,000 Depreciation: $3 million The cash flow from program operation is
Answer:
The cash flow from program operation is $1,600,000.
Explanation:
Prepare the Cash Flow from Operating Activities Section to determine the cash flow from program operation.
Cash Flow from Operating Activities
Revenue $3,000,000
Less Expenses :
Operating Expenses $1,000,000
Interest expense $200,000
Management fees $200,000
Depreciation $3,000,000 ($4,400,000)
Operating Profit / (Loss) ($1,400,000)
Add Back Depreciation $3,000,000
Operating Cash flow $1,600,000
On December 12, 2021, Pace Electronics received $25,200 from a customer toward a cash sale of $252,000 of diodes to be completed on January 16, 2022. What journal entries should Pace record on December 12 and January 16
Answer:
(a) Debit Cash for $25,200; Credit Deferred sales revenue for $25,000.
(b) Debit Cash for $2,26,800; Debit Deferred sales revenue for $25,200; and Credit Sales revenue for $252,000.
Explanation:
(a) What journal entries should Pace record on December 12?
The receipt of part-payment of $25,200 from a customer on December 12, 2021 creates a deferred sales revenue which will appear as under current liabilities. The journal entries that Pace should record on December 12, 2021 will therefore look as follows:
Date Account Title Dr ($) Cr ($)
12 Dec '21 Cash 25,200
Deferred sales revenue 25,200
(To record a deferred sales revenue from diodes.)
(b) What journal entries should Pace record on January 16?
On this date, the customer will pay the remaining amount. The amount in the Deferred sales revenue account will now be transferred to the Sales Revenue account and there will be no liability again. The journal entries that Pace should record on January 16, 2022 will therefore look as follows:
Date Account Title Dr ($) Cr ($)
16 Jan '22 Cash (w.1) 2,26,800
Deferred sales revenue 25,200
Sales revenue 252,000
(To record sales revenue from diodes.)
Workings:
w.1: Cash = Sales revenue - Deferred sales revenue = $252,000 - $25,200 = $2,26,800
Research from the 1970s to the 1990s found that over 90 percent of a fund's returns over time is explained by
Answer: Asset allocation
Explanation:
Research from the 1970s to the 1990s found that over 90 percent of a fund's returns over time is explained by asset allocation.
It should be noted that asset allocation is simply referred to as an investment portfolio technique which balance risk through the division of assets among major categories like stocks, bonds, cash, real estate, and derivatives.
Not all buyers of an industry's product have equal degrees of bargaining power with sellers, because
Answer:
some sellers may be less sensitive than others to price, quality, or service differences.
Explanation:
Bargaining power is defined as the ability of a buyer to demand for better quality product, better service, or lower prices for goods.
Buyer bargaining power is higher in markets where products are undifferentiated from one another. So no single buyer has ability to determine price and quantity because buyer has other choices.
However where products are differentiated buyers have less bargaining power. This is because they may have no choice when a particular firm produces what they want.
Differentiated markets leads to some sellers having less sensitivelity than others to price, quality, or service differences.
Answer:
There are several reasons why this can happen and they depend on whether the market is a sellers' or buyers' market. A sellers' market is generally one where the number of buyers is very large and they tend to make small transactions. On the other hand, sellers are less sensitive to price or product differentiation because demand is higher than the supply. This results in a shortage of goods which in turn gives the sellers higher pricing power.
In fund A, $100,000 accumulates at an annual nominal rate of interest j compounded semiannually to $130,666.52 in 4 years. In fund B, $100,000 accumulates at an annual nominal rate of discount k compounded quarterly to $154,531.82 in 5 years. In fund C, $100,000 accumulates at an annual effective rate of interest j in year one and an annual effective rate of interest k in year 2. What is the balance in fund C at the end of year 2?
Answer:
at the end of year 2, the balance of fund C = $116,639.23
Explanation:
to determine the nominal semiannual interest rate j we can use the future value formula:
$130,666.52 = $100,000 x (1 + j)⁸
(1 + j)⁸ = $130,666.52 / $100,000 = 1.3066652
⁸√(1 + j)⁸ = ⁸√1.3066652
1 + j = 1.034000004
j = 0.034000004
effective annual interest j = (1 + 0.034000004)² - 1 = 0.069156 = 6.9156%
to determine the nominal quarterly interest rate k we can use the future value formula:
$154,531.82 = $100,000 x (1 + k)²⁰
(1 + k)²⁰ = $154,531.82 / $100,000 = 1.5453182
²⁰√(1 + k)²⁰ = ²⁰√1.5453182
1 + k = 1.022
k = 0.022
effective annual interest k = (1 + 0.022)⁴ - 1 = 0.090946828 = 9.094682805%
at the end of year 1, the balance of fund C = $100,000 x (1 + 6.9156%) = $106,915.60
at the end of year 2, the balance of fund C = $106,915.60 x (1 + 9.094682805%) = $116,639.23
Vision statements are used to create a better understanding of the overall purpose and direction of the organization. Vision statements:
a. are very specific
b. provide specific objectives
c. set organizational structure
d. evoke powerful and compelling mental images
Answer:
d. evoke powerful and compelling mental images
Explanation:
The organizational vision is used so that companies have as aspirations to achieve their objectives and goals that will help companies to reach a desired place that helps the company to expand and obtain new achievements.
Therefore, when making a vision statement, companies combine powerful and attractive mental images to attest to goals that generate value for stakeholders, causing greater identification with an inspiring vision where there are development plans not only for their businesses, but for company in which the company operates eg.
strategic trade-offs that are different between Walmart and Nordstrom even though they are in the same industry. Think of another industry that you know fairly well and select two firms there that also have made very different choices for these trade-offs. Describe some of the differences between these firms. What type of trade-off decisions have these firms made
Answer: The answer is given below
Explanation:
Another industry that I know fairly well that also have made very different choices for these strategic trade-offs is a restaurant such as McDonald’s and the Michelin-starred. Even though they are in food industry, it should be noted that their approach is not thesame.
McDonald’s sells cheap, fast foods and typically employs workers who have low skills while Michelin-starred restaurant sells food that are of high quality and also has excellent service. It should also be noted that McDonald's doesn't really place much focus on the experience and the atmosphere while Michelin does.
You would like to have enough money saved after your retirement such that you and your heirs can receive $100,000 per year in perpetuity. How much would you need to have saved at the time of your retirement in order to achieve this goal
The question is incomplete. The complete question is stated below,
You would like to have enough money saved after your retirement such that you and your heirs can receive $100,000 per year in perpetuity. How much would you need to have saved at the time of your retirement in order to achieve this goal? (Assume that the perpetuity payments start one year after the date of your retirement. The annual interest rate is 12.5 percent.)
Answer:
At the time of retirement, the amount that needs to be saved for this perpetuity should be $800000
Explanation:
A perpetuity is a series of constant cash flows that occur after equal intervals of time for an indefinite time period. Thus, it is a series of perpetual cash flows. To calculate the amount that need to be saved at the time of retirement to receive a perpetuity of $100000 per year starting from one year after the retirement, we need to calculate the present value of the perpetuity. The formula for the present value of the perpetuity is,
Present value of perpetuity = CF / r
Where,
CF is cash flow or constant payment by perpetuityr is the required rate or return or the interest ratePresent value of perpetuity = 100000 / 0.125
Present value of perpetuity = $800000
Opportunity costs are an important consideration for managers when deciding whether to accept special orders.
a) true
b) false
Answer:
True
Explanation:
When deciding whether to accept special orders, it is important that opportunity costs is considered by managers.
It helps managers to make a good choice and not regret later.
When deciding whether to accept special orders, it is important to compare and calculate what extra revenues that will be made against the extra costs that will be incurred.
Opportunity costs is actually a hypothetical cost which is incurred due to going for an alternative over the other available.
Answer:
True got you man
Explanation:
True
___________ not only involves thinking through what it is that the negotiator wants to achieve but also how she is going to achieve it.
Answer:
B. Preparation
Explanation:
A. Assertiveness
B. Preparation
C. Self-confidence
D. End-states
Preparation not only involves thinking through what it is that the negotiator wants to achieve but also how she is going to achieve it.
It is a management principle which allows consumers get ready on how to purchase a product.
Preparation helps consumers to think about the effective way of negotiating price with the seller and ensuring a successful negotiation.
You are trying to decide which of two automobiles to buy. The first is American-made, costs $3.0500 x 104, and travels 28.0 miles/gallon of fuel. The second is European-made, costs $4.9100 x 104, and travels 19.0 km/liter of fuel. If fuel costs $3.00/gallon, and other maintenance costs for the two vehicles are identical, how many miles must each vehicle travel in its lifetime for the total costs (puchase cost fuel cost) to be equivalent
Answer:
Both cars(American and European) must travel 8,060 kilo metres each during their lifetime for the total cost(purchase cost + fuel equivalent) to be equivalent
Explanation:
With regards to the above, the cost equation for both cars will be equated together.
Furthermore, we will convert gallons into litres while also converting miles into kilometers.
Since 1 gallon has 3.785 litres; 1 mile also has 1.609 kilo metre, hence milage of the first car in kilo metre per litre would be ;
Milage American made = [ 28 miles × 1.609 ] / 3.785
= 11.90 kilo meter per litres.
Cost of Gas per litre = $3 per gallon / 3.785
= 0.79 per litre
Gas cost per kilo metre(American made) = 0.79 per litre / 11.90
= 0.066 per km
Gas cost per kilo metre(European made) = 0.79 per litre / 19.0
= 0.042 per km
We can sum up the equation of first car which is American made( Purchase price + Fuel cost)
We can make a be the number of kilo metres where total cost for both cars would be equal.
Total cost = 317.2 + 0.066a
Also, the total cost equation - purchase price + fuel cost of European car is represented as;
Total cost = 510.64 + 0.042a
317.2 + 0.066a = 510.64 + 0.042a
Collect like terms
0.066a - 0.042a = 510.64 - 317.2
0.024a = 193.44
a = 8,060 kilo metres
Therefore, both cars(American and European) must travel each 8,060 kilo metres in their life time for the total costs( purchase cost + fuel cost) to be equivalent.
_____________ is calculated by taking the quantity of everything that is sold and multiplying it by the sale price.
Answer:
A) Total revenue
Explanation:
The total revenue could be computed by taking the sale price with the quantity to be sold
Here is the formula to determine the total revenue which is shown below:
Total revenue is
= Sale price × quantity
= P × Q
Hence, for the given situation, the total revenue is the answer and the same is to be considered
Real options analysis is appropriate to use when __________________; a ________________ investment up front can be followed by subsequent investments.
Answer:
1. investments can be staged;
2. smaller
Explanation:
Real Option is a term that describes a form of investment tool, which is utilized to assess and analyze the delicate risks involved when it comes to starting a new business venture.
Hence, Real options analysis is appropriate to use when INVESTMENT CAN BE STAGED; a SMALLER investment upfront can be followed by subsequent investments.
nother similar question, reattempt last question below, or select another question. Start of Questions A company makes greeting cards and their research shows that that price and demand are related linearly: p = m x + b . They know that for every additional card they wish to sell they need to drop the price by $0.05. They also know that in order to sell 320 cards they need to set the price at $7. Find the linear equation relating price to demand.
Answer:
p = (-0.05)x + 23
Explanation:
The linear equation relating price to demand. can be calculated by finding the value of b first and then putting the value of b in the equation
Data
Equation: p = m x + b
m = -0.05
x = 320
p = $7
Solution
p = m x + b
7 = (-0.05 x320)+b
7 = -16 + b
7+16 = b
b = 23
So the linear equation relating price to demand after putting the value of b will be
Equation: p = (-0.05)x + 23
A constraint with a positive slack value will have a positive dual price. will have a negative dual price. will have a dual price of zero. has no restrictions for its dual price.
Answer:
will have a dual price of zero.
Explanation:
Slack variables are used in linear programming equation where the equation is not balanced and to balance the equation a variable equal to zero is introduced called a slack variable.
The constraint in the slack variable will be zero, where the positive value.
It is never equal to zero, but the value is so low and so near to zero that it is considered to be equal to zero.
A firm that uses ___________ segmentation divides a market into groups based on age, income, or level of education.
Answer:
Demographic
Explanation:
Demographic segmentation is when a business divides its market according to characteristics like race, age, gender, income, religion and level of education to have a better understanding of the customer's preferences and needs to be able to design strategies that reach the target market more effectively. According to this, the answer is that a firm that uses demographic segmentation divides a market into groups based on age, income, or level of education.
What is the process of applying safeguards to avoid a negative impact? risk mitigation risk transfer risk analysis risk avoidance
Answer: risk avoidance
Explanation:
Risk avoidance is simply defined as the process by which safeguards are applied in order to avoid a negative impact. It should be noted that a risk avoidance strategy helps to eliminate all risk and organizations apply safeguards to both potential threats and vulnerabilities.
Risk avoidance helps to remove hazards, and the activities that'll have a negative impact on the business.
Which of the following are examples of long-run fixed costs:_______a. Mortgage payments b. Hourly wage costs c. Payments for production inputsd. None of the above
Answer:
a. Mortgage payments
Explanation:
Fixed costs are costs that do not vary with output. e,g, rent, mortgage payments
If production is zero or if production is a million, Mortgage payments do not change - it remains the same no matter the level of output.
Hourly wage costs and payments for production inputs are variable costs
Variable costs are costs that vary with production
If a producer decides not to produce any output, there would be no need to hire labour and thus no need to pay hourly wages.
When a seller allows a buyer an amount for old equipment traded in for new equipment having a similar use, this amount is called boot. the trade-in allowance. commercial substance. None of these choices are correct.
Answer: the trade in allowance
Explanation:
Trade alliances is an offer made by marketers to the distribution line channels like the wholesalers, retailers etc over a specific period of time particular in order to boost sales and encourage reduction in retail price.
When a seller allows a buyer an amount for old equipment traded in for new equipment having a similar use, this amount is referred to as the trade in allowance.
Suppose in year 1 the CPI is 90, in year 2 the CPI is 100, and in year 3 the CPI is 110. Then, inflation is
Answer: E) Both answers B and D are correct.
Explanation:
Inflation using the Consumer Price Index is calculated by;
= (CPI in current year - CPI in previous year) / CPI in previous year
Year 2 Inflation = (100 - 90) / 90
= 11%
Year 3 Inflation = (110 - 100) / 100
= 10%
A furniture manufacturer specializes in wood tables. The tables sell for $150 and incur $60 in variable costs. The company has $11, 700 in fixed costs per month. The company desires to earn an operating profit of $10, 800 per month. (Abbreviation used; CM = contribution margin.)
1. Calculate the required sales in units to earn the target profit using the equation method.
2. Calculate the required sales in units to earn the target profit using the contribution margin method.
3. Calculate the required sales in dollars to earn the target profit using the contribution margin ratio method.
4. Calculate the required sales in units to break even using the contribution margin method.
Answer:
1. 250 wood tables
2. 250 wood tables
3. $37,500
4. 130 wood tables
Explanation:
Sales (units) required to earn a target profit = (Fixed Costs + Target Profit) ÷ Contribution per unit
Where,
Contribution per unit = Selling Price per unit - Variable Costs per unit
= $150 - $60
= $90
Therefore,
Sales (units) required to earn a target profit = ($11, 700 + $10, 800) ÷ $90
= 250 wood tables
Contribution Margin Ratio = Contribution / Sales × 100
= $90 / $150 × 100
= 60 %
Sales (dollars) required to earn a target profit = (Fixed Costs + Target Profit) ÷ Contribution Margin Ratio
= ($11, 700 + $10, 800) ÷ 60%
= $37,500
Sales in Units to Break Even = Fixed Costs ÷ Contribution per unit
= $11, 700 ÷ $90
= 130 wood tables
________ are typically used by companies for specific applications such as data processing and financial transactions.
Answer:
Mainframe computers
Explanation:
Mainframe computers are typically large in size with large storage space, reliability, and high processing power.
They are usually used by large corporations for data processing applications such as financial transactions, industry statistics, Customer statistics, and enterprise resource planning.
Mainframe computers are different from supercomputers in the aspect of processing power. Supercomputers has have leading edge processing power.
While supercomputers are used to solve scientific and engineering problems, mainframes are mostly used for financial transactions.
Ash is the preferred wood to be used in the production of baseball bats. If a company was to buy the rights to harvesting the ash trees out of all the forests in North America, which of the following barriers of entry has this company created?
A. problems raising capital
B. patents and copyright law
C. control of resources
D. economies of scale
E. licensing
Answer:
C. control of resources
Suppose that Second Republic Bank currently has $100,000 in demand deposits and $70,000 in outstanding loans. The Federal Reserve has set the reserve requirement at 20%. Please calculate Second Republic Bank's:_________.(a) reserves(b) required reserves(c) excess reserves
Answer:
$30,000
$20,000
$10,000
Explanation:
Reserves is the total amount of a bank's deposit that is not given out as loans
Reserves = Deposits - outstanding loans
$100,000 - $70,000 = $30,000
Required reserves is the percentage of deposits required of banks to keep as reserves by the central bank
Required reserves = reserve requirement x deposits
0.2 x $100,000 = $20,000
Excess reserves is the difference between reserves and required reserves
$30,000 - $20,000 = $10,000
When a company holds stock of several different corporations, the group of securities is identified as a(n)
Complete Question:
When a company holds stock of several different corporations, the group of securities is identified as a(n)?
Group of answer choices
a) investment portfolio
b) controlling interest
c) consolidated portfolio
d) affiliated investment
Answer:
a) investment portfolio.
Explanation:
When a company such as a hedge fund, investment company etc, holds stock of several different corporations, the group of securities is identified as an investment portfolio.
An investment portfolio could comprise of cash and cash equivalents, stocks, commodities, bonds, currencies, real estate investment trusts (REITs) and other financial assets such as exchange-traded funds (ETFs) and mutual funds used by an investor to earn profits while ensuring they're well preserved.
What is the present value of a 3-year annuity of $150 if the discount rate is 7%? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answer:
PV= $393.65
Explanation:
Giving the following information:
Cash flow= $150
Number of periods= 3 years
Interest rate= 7%
To calculate the present value of the annuity, first, we need to determine the future value:
FV= {A*[(1+i)^n-1]}/i
A= annual cash flow
FV= {150*[(1.07^3) - 1]} / 0.07
FV= $482.24
Now, the present value:
PV= FV/(1+i)^n
PV= 482.24/1.07^3
PV= $393.65
On January 1, 2012, Uncle Company purchased 80 percent of Nephew Company’s capital stock for $672,000 in cash and other assets. Nephew had a book value of $806,000 and the 20 percent noncontrolling interest fair value was $168,000 on that date. On January 1, 2011, Nephew had acquired 30 percent of Uncle for $325,750. Uncle’s appropriately adjusted book value as of that date was $1,052,500.
Separate operating income figures (not including investment income) for these two companies follow. In addition, Uncle declares and pays $30,000 in dividends to shareholders each year and Nephew distributes $4,000 annually. Any excess fair-value allocations are amortized over a 10-year period.
Uncle Nephew
Year Company Company
2012 $131,000 $44,600
2013 174,000 55,000
2014 213,000 68,200
A. Assume that Uncle applies the equity method to account for this investment in Nephew. What is the subsidiary’s income recognized by Uncle in 2014?
B. What is the noncontrolling interest’s share of 2014 consolidated net income?
Answer:
a. $51,840
b. $15,440
Explanation;
a. First find the excess fair-value allocation;
= Fair value of Nephew - Book Value
Fair Value = Uncle ownership + Non-controlling interest
= 672,000 + 168,000
= $840,000
Excess fair value = 840,000 - 806,000
= $34,000
Any excess fair-value allocations are amortized over a 10-year period;
= 34,000/10
= $3,400
The Income to be recognized will be reduced by this yearly amotization so the 2014 income recognized by Uncle would be;
= (Nephew income - Amortization) * Uncle ownership stake
= ( 68,200 - 3,400) * 0.8
= $51,840
b. Nephew Company also owns 30% of Uncle which means that they will receive 30% of Uncle dividends.
= 0.3 * 30,000
= $9,000
Added to their own income;
= 9,000 + 68,200
= $77,200
The Non-controlling interest owns 20% so the income they will recognise is;
= 0.2 * 132,100
= $15,440
Store Travel Time Each Way Price of a Dress
(Minutes) (Dollars per dress)
Local Department Store 15 104
Across Town 30 87
Neighboring City 60 80
Juanita makes $36 an hour at work. She has to take time off work to purchase her skirt, so each hour away from work costs her $36 in lost income. Assume that returning to work takes Juanita the same amount of time as getting to a store and that it takes her 30 minutes to shop.
Assume that Juanita takes opportunity costs and the price of the dress into consideration when she shops. Juanita will minimize the cost of the dress if she buys it from the_______.
Answer and Explanation:
For the local departmental store
As the person travels 30 minutes but the person sacrificed $36 for an hour at work so here the opportunity cost of the time is $36
For the across town
The person J travel time is 60 minutes ( 30 + 30) and her shopping time is 30 minutes but sacrificed $36
So the opportunity cost is
= 60 minutes + 30 minutes
= 90 minutes
= $54
For the neighbor city
The person J travel time is 120 minutes (120 + 120) and her shopping time is 30 minutes but sacrificed $36
So the opportunity cost is
= 120 minutes + 30 minutes
= 150 minutes
= $90
Now the table is
Store Opportunity Cost Price of a Dress Total Cost
of Time
(Dollars) (Dollars per dress) (Dollars)
Local
Department
Store 36 104 140
Across Town 54 87 141
Neighboring City 90 80 170
So she should buy from the local department cost as it contains the minimum cost