Answer:
Day order
Explanation:
This is a not held order which must be executed during that trading day. When a customer instructs their trader to execute a not-held order, they are valid only for that day. The exceptions to this rule would require that the customer specifically states a certain time period. Not held orders are instructions to buy or sell securities when the trader believes that the price is right.
What would be included in the entry to record actual Manufacturing Overhead costs incurred in a process department?
Answer:
debit to manufacturing overhead.
Explanation:
When a product is manufactured, some costs are associated with the production processes. These costs are indirect costs which includes but not limited to; depreciation, rent of buildings, salaries(maintenance and managers) , wages, utilities for the factory etc. Manufacturing overhead consist of all production costs except direct material and labor.
With regards to the above, when actual manufacturing overhead costs(machine maintenance, supervisor salary, factory utilities) are incurred in a given period, they are recorded as debit in the manufacturing over head account while the credit entry goes to account payable.
Panjim began 2015 with salaries payable balance of $75,000. It had 2015 salary expense of $80,000. Its 2015 ending salaries payable balance must be______.
a. $95,000.
b.
$55,000.
c.
$155,000.
Answer:
c. $155,000
Explanation:
The computation of the ending balance of salaries payable is shown below:
= Beginning balance of salaries payable + salary expense - payment made during the year
= $75,000 + $80,000 + $0
= $155,000
By applying the above formula, we can determined the ending balance of salaries payable and the same is to be considered
hence, the correct option is c.
"A customer owns an ABC Call option. ABC declares a dividend for shareholders on record July 10th. The last day to exercise the option and get the dividend is:"
Answer: July 7th
Explanation:
Call options are simply financial contracts whereby the option buyer is not obliged but has the right, to purchase bond, stock, asset or a commodity at a particular price and time.
It should be noted that before ABC declares a dividend for shareholders on record July 10th, the last day to exercise the option and get the dividend will be 3 days earlier which will be July 7th.
Shawnee Motors Inc. assembles and sells MP3 players. The company began operations on August 1 and operated at 100% of capacity during the first month. The following data summarize the results for August: Sales (10,000 units) Production costs (13,000 units): $1,000,000 Direct materials Direct labor Variable factory overhead Fixed factory overhead $481,000 231,400 115,700 76,700 904,800 Selling and administrative expenses: Variable selling and administrative expenses $140,200 Fixed selling and administrative expenses 54,300 194,500 If required, round interim per-unit calculations to the nearest cent. Required:Prepare an income statement according to the absorption costing concept.
Answer:
Shawnee Motors Inc.
Income Statement
For the month ended August 31, 202x
Sales revenue $1,000,000
- COGS ($696,000)
Gross profit $304,000
S&A expenses:
Variable S&A expenses $140,200 Fixed S&A expenses $54,300 ($194,500)Operating profit $109,500
Explanation:
Sales (10,000 units) $1,000,000
Production costs (13,000 units):
Direct materials $481,000Direct labor $231,400Variable factory overhead $115,700Fixed factory overhead $76,700 Total production costs $904,800Selling and administrative expenses:
Variable selling and administrative expenses $140,200 Fixed selling and administrative expenses $54,300 Total S&A expenses $194,500COGS = (10,000 / 13,000) x $904,800 = $696,000
Generally, State A may exercise "long arm" jurisdiction over a defendant located in State B if the defendant:________. a. once resided in State A. b. uses a product produced in State A. c. made a contract in State A. d. has relatives in State A.
Answer:
c. made a contract in State
Explanation:
Jurisdiction is the ability of a court to sue a person and ask him to come to court. Of a court does not have a jurisdiction on a person they will not be able to issue a judgement on that person.
Long arm jurisdiction is one that enables a court prosecute a person that does not reside in the state.
However the person must have sufficient minimum contact in the state to enable the state prosecute him.
For example if a person makes a contract in a state and violates that contract, the state can prosecute him even if he lives in another state.
On December 31, the company's Cash account had a balance of _____. $40,000 $54,000 $110,000 $124,000
Answer:
The company's Cash account had a balance of $54,000 on December 31.
Explanation:
Note: This question is not complete. The complete question is therefore provided before answering the questions as follows:
Company's cash account had balance of 14000 on January 1
Receipts from customers- 50,000
payments for dividends- 10,000
receipts for dividends- 5,000
payments for merchandise- 25,000
receipts from issuance of stock- 20,000
On December 31, the company's cash balance is?
A 40,000
B 54,000
C 110,000
D 124,000
The explanation of the answer to the question is now given as follows:
the company's Cash account balance On December 31 can be obtained by simply adding the total cash receipts to and deducting the total cash payments from the Company's cash account balance of 14000 on January 1. This can be expressed as follows:
Cash balance on December 31 = Cash account balance on January 1 + Total cash receipts - Total cash payments .............. (1)
Where we have:
a. Cash account balance on January 1 = $14,000
b. Calculation Total cash receipts
Details $
Receipts from customers 50,000
receipts for dividends- 5,000
receipts from issuance of stock 20,000
Total cash receipts 75,000
c. Calculation Total cash payments
Details $
Payments for dividends 10,000
payments for merchandise 25,000
Total cash payments 35,000
Substituting the values into equation (1), we have:
Cash balance on December 31 = $14,000 + $75,000 - $35,000 = $54,000
Therefore, the company's Cash account had a balance of $54,000 on December 31.
When the cost method is used to account for a stock investment the carrying value of the investment is affected by
Answer: b. neither the earnings nor the dividends of the investee.
Explanation:
When the cost method is used to account for a stock investment, it means that in the books, the stock is to be recorded at the price it was purchased for.
This means that even if earnings and dividends accrue on the stock, it is not to change in value but should stay being recorded at the price it cost to acquire.
If the accountant forgets to adjust the Prepaid Expenses account, there will be:_____
A) an understatement of net income.
B) an overstatement of net income.
C) an overstatement of expense.
D) no under- or overstatement of net income.
Answer:
Option B, an overstatement of net income, is the right answer.
Explanation:
Option “B” is correct because when the prepaid expenses occur then it is recorded in the balance sheet on the asset side and the cash will be reduced by the same amount. However, if the prepaid expenses have not been adjusted then it will show the overstatement of net income because cash has been gone so actual cash will be lower than the recoded cash. Thus, option B is right.
If increasing the admission charge for National Parks increases the National Park Service's total revenue, then the demand for National Park visits is: Multiple Choice inelastic. elastic. perfectly elastic. a perfectly horizontal line.
Answer: inelastic
Explanation:
If increasing the admission charge for National Parks increases the National Park Service's total revenue, then the demand for National Park visits is inelastic.
This shows that a change in price will lead to a minimal change in the quantity demanded by the consumers. Even though price was increased, the number of visitors to the park rarely changed. This will lead to increase in revenue.
For week 3, the MPS quantity is 120, the Forecast is 80, and Customer Orders are 55. Projected On-hand Inventory will be equal to
Answer:
Projected on hand Inventory = 40
Explanation:
Here, we will see which is larger out of Forecast Number and Customer Order Number, here, we will take larger value, as Forecast is 80, and Customer Orders are 55, hence, Forecast has to be taken,
Projected on hand Inventory = MPS Quantity - Forecast number
Projected on hand Inventory = 120 - 80
Projected on hand Inventory = 40
Suppose market demand and supply are given by Qd = 100 - 2P and QS = 5 + 3P. If a price ceiling of $15 is imposed what will be the resulting full economic price?
Answer: $25
Explanation:
The full economic price is the the dollar amount that a business gets as a result of a price ceiling and will be the price that equates the Quantity demanded to that supplied given the price ceiling.
Quantity demanded = 100 - 2P
= 100 - 2 * 15
= $70
Quantity Supplied = 5 + 3 * P
= 5 + 3 * 15
= $50
Qs = Qd
50 = 100 - 2P
2P = 50
P = $25
Which of the following is true regarding externalities? Group of answer choices Externalities can only be corrected with government regulation. Externalities always involve external costs. Externalities occur when the actions of an individual or group spill over onto others, without their consent. Externalities generally enhance the rate of economic growth.
Answer: Externalities occur when the actions of an individual or group spill over onto others, without their consent.
Explanation:
By definition, an Externality is the effect of an action by an individual or group that spills over onto third parties without their consent.
Externalities can be either negative or positive. A positive externality for instance would be bees from a bee farm pollinating flowers in the environment.
A negative externality would be air pollution from China for instance contributing to global warming effects experienced in Northern Africa.
Amounts received in advance from customers for future products or services:_______a) Are revenues. Increase income. b) Are liabilities. c) Are not allowed under GAAP. d) Require an outlay of cash in the future.
Answer:
The answer is B. Liabilities
Explanation:
This is known as deferred revenue and Deferred Revenue is being treated as liability.
Even though, the money for the service or product has been received, the service to be rendered or the goods to be delivered is still in the future. And because it will be enjoyed by the customer in the near future, it is being treated as a liability.
Bond appraisals are used in the municipal secondary market because:_______. I the market is thin II the market is active III trades are reported to a consolidated tape IV trades are not reported to a consolidated tape
A. I and III B. I and IV C. II and III D. II and IV
Answer: B. I and IV
Explanation:
An appraiser bond is simply an insurance form that is bought by appraisers which indicates total compliance with the regulations and the laws in their field.
Bond appraisals are used in the municipal secondary market because the market is thin and trades are not reported to a consolidated tape.
Treasury bonds paying an 8% coupon rate with semiannual payments currently sell at par value. What coupon rate would they have to pay in order to sell at par if they paid their coupons annu- ally? (Hint: What is the effective annual yield on the bond?)
Answer: 8.16%
Explanation:
The Effective Annual Yield is the interest rate that converts an interest rate that compounds more than once a year to an annual rate.
Expressed by;
= (1 + interest/number of times compounded per year)^n - 1
= ( 1 + 0.08/2)^2 - 1
= 1.0816 - 1
= 8.16%
The following information was taken from the segmented income statement of Restin, Inc., and the company's three divisions:_______.
Restin, Los Angeles Bay Area Central Valley
Inc. Division Division Division
Revenues $ 1,000,000 $ 280,000 $ 315,000 $ 405,000
Variable operating expenses 554,000 154,000 170,000 230,000
Controllable fixed expenses 240,000 75,000 85,000 80,000
Noncontrollable fixed expenses 90,000 25,000 30,000 35,000
In addition, the company incurred common fixed costs of $21,000.
The profit margin controllable by the Central Valley segment manager is:_______.
Answer:
The profit margin controllable by the Central Valley segment manager is: $ 95,000.
Explanation:
Only items directly controllable by the Manager should be included in the divisional financial performance measure.
Central Valley Division
Revenues $ 405,000
Less Variable Costs :
Variable operating expenses ($ 230,000)
Controllable Contribution $ 175,000
Less Controllable fixed expenses ($80,000)
Controllable Profit $ 95,000
Which statement is true of employee empowerment? A) Managers should ensure that employees are not linked to resources outside the organization, such as customers. B) Jobs must be designed to give employees the necessary latitude for making a variety of decisions. C) Employee empowerment shifts the recruiting focus away from cognitive and interpersonal skills toward general technical skills. D) Employee empowerment prevents holding employees accountable for the products and services they developed. E) Proper training must be provided only to supervisors so that they can exert their wider authority.
Answer:
B) Jobs must be designed to give employees the necessary latitude for making a variety of decisions.
Explanation:
The employee empowerment aims to provide resources and skills necessary for employees to have freedom and make their own decisions.
The organizational structure of a company will directly influence how employees are motivated or not to make certain decisions. In companies with a horizontal organizational structure, which is more flexible, there is an incentive for employees to make their decisions, which is a process that encourages innovation, engages employees, makes employment more motivating and valued, reduces response time of a decision and makes the decision-making process less bureaucratic and rigid.
A portfolio with a 30% standard deviation generated a return of 15% last year when T-bills were paying 6.0%. This portfolio had a Sharpe ratio of ____.
Answer: 0.3
Explanation:
The Sharpe ratio is simply used by organizations and investors in order to compare the return on an investment to its risk.
From the question, we are informed that a portfolio has a 30% standard deviation generated a return of 15% last year when T-bills were paying 6.0%.
The Sharpe ratio will be:
= (15% - 6.0%)/30%
= 9%/30%
= 0.09/0.3
= 0.3
Copper, Inc., initially issued 100,000 shares of $1 par value stock for $500,000 in 2013. In 2015, the company repurchased 10,000 shares for $100,000. In 2016, 5,000 of the repurchased shares were resold for $80,000. In its balance sheet dated December 31, 2016, Copper, Inc.’s Treasury Stock account shows a balance of:a. $ 0b. $ 20,000c. $ 50,000d. $100,000
Answer:
c. $50,000
Explanation:
Dr Cash 500,000
Cr Common stock 100,000
Cr Additional paid in capital 400,000
Dr Treasury stock 100,000
Cr Cash 100,000
Dr Cash 80,000
Cr Treasury stock 50,000
Cr Additional paid in capital 30,000
Treasury stock's balance = $100,000 - $50,000 = $50,000 debit
As families have become smaller over the past one hundred years, people are spending _____ money on goods than they were in the early 1900s.
Answer:
less
Explanation:
i just got it correct in odyssey ware
Evaluating the competitive value of the cross-business strategic fits in a diversified firm's business portfolio entails consideration of:___________.
a. whether the competitive strategies in each business possess good strategic fit with the parent company's corporate strategy.
b. whether the parent's company's strongest competitive synergies are being deployed to maximum advantage in each of its business units.
c. how much competitive value can be generated from forceful efforts to capture the benefits of strategic fits stemming from cross-business transfer of competitively valuable resources and capabilities, cost-saving efficiencies in the value chains of sister businesses, brand- name sharing, and cross-business collaboration to create new performance-enhancing competitive capabilities.
d. whether the competitive strategy employed in each business acts to reinforce the competitive power of the strategies employed in the company's other businesses.
e. how compatible the competitive strategies of the various sister businesses are and whether these strategies are optimally crafted to achieve the same kind of competitive advantage and thereby enhance the diversified company's overall performance.
Answer:
c. how much competitive value can be generated from forceful efforts to capture the benefits of strategic fits stemming from cross-business transfer of competitively valuable resources and capabilities, cost-saving efficiencies in the value chains of sister businesses, brand- name sharing, and cross-business collaboration to create new performance-enhancing competitive capabilities.
Explanation:
To carry out the evaluation of the competitive value of the cross-business strategic fits in a diversified firm's business portfolio, the firm should assess and analyze the competitive value to be derived from the undertakings in a bid to takeover the advantages of strategic fits of cross business transfer.
Hence, in this case, the correct answer is option C, as it fully details what needs to be considered.
What is the present value of the cost of the kiln if the installation cost is treated as a separate current expense
Answer: ,$446,600
Explanation:
Here is the complete question:
Ms. T. Potts, the treasurer of Ideal China, has a problem. The company has just ordered a new kiln for $464,000. Of this sum, $58,000 is described by the supplier as an installation cost. Ms. Potts does not know whether the Internal Revenue Service (IRS) will permit the company to treat this cost as a tax-deductible current expense or as a capital investment. In the latter case, the company could depreciate the $58,000 straight-line over 5 years. The tax rate is 30% and the opportunity cost of capital is 5%.
What is the present value of the cost of the kiln if the installation cost is treated as a separate current expense?
The depreciation expense is simply the decrease in an asset's cost due to its usage. For the straight-line depreciation, the cost of the asset is written off evenly over the entire economic life of the asset.
present value of the cost of the kiln if the installation cost is treated as a separate current expense is calculated as: the difference between the cost of the kiln and the tax shield on the expense of the installation costs. This will be:
= $464,000 - ($58,000 × 30%)
= $464,000 - ($58,000 × 0.3)
= $464,000 - $17,400
= $446,600
The present value of the following cash flow stream is $6200 when discounted 9% annually. What is the value of the missing cash flow?
a) Year 1- $1300
b) Year 2- ?
c) Year 3- $1950
d) Year 4- $2640
Answer:
Cash flow year 3= $1,938.2
Explanation:
Giving the following information:
PV= $6,200 when discounted 9% annually.
Cf:
a) Year 1- $1300
b) Year 2- ?
c) Year 3- $1950
d) Year 4- $2640
To calculate the missing cash flow, we need to use the following formula:
NPV= ∑[Cf/(1+i)^n]
6,200= 1,300/1.09 + x + 1,950/1.09^3 + 2,640/1.09^4
6,200= 1,192.66 + x + 1,505.76 + 1,870.24
Year 3 (PV)= 1,631.34
Cash flow year 3= 1,631.34*1.09^2
Cash flow year 3= 1,938.2
After the USA introduces a tariff in the market for gigastraps, the price of gigastraps in the USA will:
Answer: increase
Explanation:
A tariff is a tax that is levied on goods that are imported into a particular country. It should be noted that tariffs are levied on order to prevent dumping, protect the host indutries and also prevent consumption of harmful products.
If the USA introduces a tariff in the market for gigastraps, the price of gigastraps in the USA will increase. This is because the tariff will be added as production cost to the producer which will lead to increase in price.
United services automotive association is one of the largest diversified financial. What are the highest paying jobs at United Services Automobile Association?
Answer with Explanation:
According to theladder, the average pay in the United Services Automotive Association is $132,957 and the highest paying jobs are mostly taken by the CFA candidates. The highest paying job includes:
Risk Analyst is the one who analyzes the risk that the investment of the company is bearing and the relevant actions are proposed by the person. Director of Risk Management is assigned the task to manage a team of risk management team by continuous assessment of the performance of the team members, setting deadlines for achievement of tasks, formation of policies and procedures, etc.Product Owner who is responsible for managing the product backlog and setting a standard levels and designing policies for developing products.The junior level jobs usually pay somewhat between $80k to $100k which means that all the jobs in USAA are very highly paid jobs in the country.
So if you are offered a position take it and save enough to start your own business in the future.
Which of the following statements is CORRECT, assuming positive interest rates and holding other things constant?
a. The present value of a 5 year, $250 annuity due will be lower than the PV of a similar ordinary annuity. b. A 30-year, $150,000 amortized mortgage will have larger monthly payments than an otherwise similar 20-year mortgage.
c. A bank loan?s nominal interest rate will always be equal to or greater than its effective annual rate.
d. If an investment pays 10% interest, compounded quarterly, its effective annual rate will be greater than 10%.
e. Banks A and B offer the same nominal annual rate of interest, but A pays interest quarterly and B pays semiannually. Deposits in Bank B will provide a higher future value if you leave your funds on deposit.
Answer: d. If an investment pays 10% interest, compounded quarterly, its effective annual rate will be greater than 10%.
Explanation:
Effective annual interest rate = (1 + (nominal rate / number of compounding periods)) ^ (number of compounding periods) - 1)
= (( 1 + ( 10% / 4)) ^ 4) - 1
= 10.38%
10.38% > 10%
if a business with several branches did not maintain a system of branch account, what financial control element would be missing?
Answer:
Branch Performance Evaluation will be missing in such a system as the performances of the several branches cannot be determined or compared.
Explanation:
Branch performance evaluation is the sum of all the control and productive procedures to measure the activities of branches and the results they produce based on their activities and responsibilities for the corporate resources at their disposal. This branch-wide performance evaluation becomes the missing link, assuming that branches exercise some internal controls on their own.
What is the yield to maturity (YTM) on a simple loan for $1,500 that requires a repayment of $15,000 in five years’ time?
Answer:
Yield to maturity = 58.5%
Explanation:
The yield to maturity on the loan can be worked out using the Future value of a lump sum formula.
The future value of a lump sum is the amount it would amount to if interest is earned and compounded at a certain interest rate.
The formula is
FV = PV × (1+r)^(n)
PV = Present Value- 1,500
FV - Future Value, - 15,000
n- number of period- 5=
r- yield to maturity ?
15,000 = 1,500× (1+r)^(5)
(1+r)^(5) =15,000/1,500 =10
(1+r)^(5) =10
1+r = 10^(1/5)
r= 10^(1/5) -1 = 0.5848
r = 0.5848 × 100 = 58.5%
r=58.5%
Yield to maturity = 58.5%
Decker's is a chain of furniture retail stores. Furniture Fashions is a furniture maker and a supplier to Decker's. Decker's has a beta of 1.34 as compared to Furniture Fashion's beta of 1.14. The risk-free rate of return is 3.6 percent and the market risk premium is 8 percent. Both firms are all equity financed. What discount rate should Decker's use if it considers a project that involves the manufacturing of furniture?
Answer:
14.32%
Explanation:
According to the CAPM :
rate of return = risk free rate + (beta x market risk premium)
3.6% + 1.34 x 8% = 14.32%
Which of the following securities can be sold by an individual holding an investment companies/variable annuities (Series 6) registered representative's license?
I. Municipal Investment Trusts
II. Real Estate Investment Trusts
III. Municipal Bond Funds
IV. Revenue Bonds
Answer:
I and III only
I. Municipal Investment Trusts
III. Municipal Bond Funds
Explanation:
In Series 6, securities license entitles holders to register as a company's representative and enables the holder to sell certain types of mutual funds, variable annuities and even insurance. In Series 6, individual sell or buy some mutual funds, variable life insurance, municipal fund securities, etc. They are not authorized to sell corporate securities, etc.