Answer:
$300
Explanation:
Consumer surplus refers to the gain a customer has when the price of a product is lower than what they are willing to pay. According to this, the consumer surplus would be:
Price the customer was willing to pay: $500
Price paid: $200
$500-$200=$300
According to this, your roommate enjoyed from the iPod a consumer surplus of $300 because she was willing to pay $500 and she paid $200.
The Allowance for Bad Debts account has a credit balance of $9,000 before the adjusting entry for bad debts expense. After analyzing the accounts in the accounts receivable subsidiary ledger using the aging−of−receivables method, the company's management estimates that uncollectible accounts will be $14,000. What will be the balance of the Allowance for Bad Debts reported on the balance sheet?
Answer:
$14,000
Explanation:
balance of account for doubtful accounts account = $9,000 (credit balance)
estimated collectible accounts = $14,000
the adjusting entry should be for = $14,000 - $9,000 = $5,000
December 31, 202x, bad debt expense
Dr Bad debt expense 5,000
Cr Allowance for doubtful accounts 5,000
Since the company uses the aging-of-receivables method, the balance sheet must report the amount determined using it.
The strategy in which a company sells its exports to another country at a lower price than it sells the same product in its domestic market is referred to as
Answer:
Dumping
Explanation:
Dumping is protectionist strategy in which a company sells its exports to another country at a lower price than it sells the same product in its domestic market. Dumping is usually associated with a substantial volume of export of a product, it often endangers the financial viability of the product's manufacturer or producer in the importing nation.
What is the yield to maturity of a bond that as a face value of $1,000, is currently selling for $980, has a 5% coupon (paid semi-annually) and matures in 5 years.
Answer:
5.47%
Explanation:
The computation of yield to maturity is shown in the attachment:
Given that
FV = $1000
PV = ($980)
PMT = 5% ÷ 2 × 1,000 = $25
Number of years = 5 years × 2 = 10 Years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
So, after applying the above formula, the yield to maturity is
= 2.73 × 2
= 5.46%
Therefore with the help of spreadsheets (as attached), we could explain in a better manner.
The company that you are working for has a highly available architecture consisting of an elastic load balancer and several EC2 instances configured with auto-scaling in three Availability Zones. You want to monitor your EC2 instances based on a particular metric, which is not readily available in CloudWatch. What is a custom metric in CloudWatch which you have to manually set up?
Answer:
Memory Utilization of an EC2 instance
Explanation:
An EC2 instance is a server that is in terms of virtual in the Amazon Elastic Compute Cloud (EC2) to run the applications over the web services. It is a platform that should be cloud computing for permitting the subscribers of the business in order to run the programs related to the applications
Therefore according to the given situation, the custom metric that should be manually set up is utilization of the memory for EC2 instance
A price cap regulation _______. eliminates deadweight loss is often combined wit a government subsidy, which makes the market efficient is a price ceiling sets price equal to marginal cost
Options:
A price cap regulation _______.
a. eliminates deadweight loss
b. is often combined with a government subsidy,
c. which makes the market efficient is a price ceiling
d. sets price equal to marginal cost
Answer:
c. which makes the market efficient is a price ceiling
Explanation:
Price ceilings are usually enforced in other to maintain an efficient market. They directed mainly to sellers which restricts the price of a commodity to a maximum amount.
A good example is the price of gasoline, in many countries, the law mandates a maximum price gas stations can sell.
You view tea and scones as perfect complements, and you prefer to consume one cup of tea with one scone. Also, your indifference curves are plotted with tea on the vertical axis. If you presently have 1 cup of tea and 3 scones, what this the marginal rate of substitution (MRS) at this point
Answer:
Infinity
Explanation:
The marginal rate of substitution means the consumer has forgone a certain quantity of one item in exchange for another whilst keeping the equal level of utility.
When two items were viewed (tea and scones), a certain amount of tea was forgone in exchange for scones. Now on the indifference curves, where the tea is on the vertical axis and the scones is one the horizontal axis, the marginal rate of substitution (MRS) at this point will be infinity
"A young widow who works has a $750,000 net worth and a securities portfolio valued at $200,000. The current asset allocation of the portfolio is 80% equity securities; 8% fixed income securities; and 12% money market securities. In which circumstance should she consider reallocating her portfolio?"
Answer: C. If she becomes unemployed during a recessionary period
Explanation:
If the young widow becomes unemployed during a recessionary period, she would need regular income and as it is a recession, companies might be feeling the heat so she might not get any from her Equity positions.
She would need to reduce her equity holdings and increase her fixed income and money market securities as they offer more stable and regular income that she can withdraw.
"A customer buys a $1,000 par 4 ½% Treasury Bond, maturing July 1, 2042, at 102-8 on Thursday, February 6th in a regular way trade. The bond pays interest on January 1st and July 1st. How many days of accrued interest are due?"
Answer:
37 days
Explanation:
Given the following :
Date of purchase = 6th of February
Bond interest is paid on January 1st and July 1st.
Since, the treasury bond was purchased on the 6th of February, the the accrued or accumulated interest will be calculated from January 1st till the purchase date (6th of February).
(Number of days in January) + 6 days in February
Number of days in January = 31
Days of accrued interest = (31 + 6) = 37
If at the end of Year 1 an appraiser provides a certified opinion that the market value of the land is $2,800 the company would continue to list the land on its books at $2,200. This statement is
Answer:
True
Explanation:
Based on the information given the statement is TRUE because if an appraiser which is person whose job and responsibility is to help assess the market value of things which is the amount in which a product can be sold had provide an approved and acceptable opinion that the market value of the land is the amount of $2,800 which means the company would continue to list the land on its books at the amount of $2,200 reason been that the amount of $2,200 is the book value of the land or the cost of purchasing the land while the amount of $2,800 is the market value which will enable the company to make a gain or profit of $600 ($2,800-$2,200) if the land was been sold for the amount of $2,800.
David Fisher, a recently retired corporate executive, is becoming restless in his new role and would like to make this transition smoother by participating in the business community in some limited manner. Since David is financially secure and primarily interested in some sort of volunteer work, he should consider becoming involved with which of the following SBA programs?
a. ACE
b. SBIC
c. SBDC
d. SBI
e. SCORE
Answer:
E. Score
Explanation:
Suppose the United States can produce 2,000 cars or 2,000 trucks. Japan can produce either 2,000 cars or 1,000 trucks. In terms of car production, we can conclude that
Answer: Japan has a Comparative Advantage
Explanation:
The country that has a Comparative Advantage in the production of a good is the one that has to give up less of another good to produce it. In other words, it is the country with a lower Opportunity cost.
The United States can either produce 2,000 cars or 2,000 trucks. This means that to produce 1 car the US foregoes;
= 2,000/2,000
= 1 Truck
Japan can either produce 2,000 cars or 1,000 trucks. This means that for every car produced the Japanese forgo;
= 1,000/2,000
= 0.5 trucks.
The Opportunity cost for the Japanese is less for producing cars so they have the comparative advantage.
Bronson Corporation incurs the following annual costs in producing 30,000 video cards for computers: However, if Bronson purchases the video cards from another company at a cost of $10 per card, what would be the increase (decrease) in net income if no fixed costs can be eliminated?
Answer: ($60,000)
Explanation:
Fixed cost is a cost that doesn't vary alongside production level. It should be noted that the relevant cost for production will be addition of the direct materials to the direct labour and the variable maufacturing overhead. This will be:
= $60,000 + $80,000 + $100,000
= $240,000
The relevant costs that will be bought will be:
= 30,000 × $10
= $300,000
Therefore there'll be decrease in net income by:
= $300,000 - $240,000
= $60,000
The answer will be ($60,000)
A fund starts with a zero balance at time zero. The fund accumulates with a varying force of interest : δ t = 2 t t 2 + 1 for t > 0 A deposit of $100,000 is made at time 2. Calculate the number of years from the time of deposit for the fund to double.
Answer and Explanation:
Given function
S(t) =2t/t²+1 where t > 0
and fund accumulates with a varying force of interest.
and $100,000 is deposited at time 2.
Number of years it will take from the time of deposit for the fund to double,
Substituting t in the formula given that t is 1 because t>0 and deposit begins to grow from time of deposit 2
= S(t)= 2*1/1² + 1=1
Therefore time it will take for funds to double is 1 year from time of deposit
A registered representative (RR) recommends an AAA-rated municipal general obligation bond for the investment account of one of his clients. The client profile shows the customer is 25 years old, is in a low-income tax bracket, and has an aggressive long-term growth objective. This recommendation is
Answer:
not good and inappropriate for this type of client.
Explanation:
AAA-rated municipal bonds generally yield very low interest rates and if this client is very young (only 25 years old), doesn't have a lot of money, and has an aggressive growth objective, he/she should invest in more riskier securities that can possibly yield higher returns, e.g. stock market. This client needs higher returns, and investing in low risk and low return securities will not be suitable for him/her. This type of investment is best for retired people that actually have accumulated a large capital.
Which of the following would cause an increase in the supply of chicken? A. An increase in taxes. B. An increase in the number of buyers in the market. C. A decrease in the price of inputs to chicken production. D. An increase in the price of chicken.
Answer:
C. A decrease in the price of inputs to chicken production
Explanation:
An increase in taxes would increase the cost of production which would make chicken production more expensive. As a result, the supply of chickens would fall.
A decrease in the price of inputs would reduce the cost of production and thus supply would increase
An increase in the price of chicken would increase the quantity supplied of chicken and not the supply of chicken
ABC Corporation has just completed an IPO raising $100 million. The investment bankers handling the offering made total commissions of $4 million. It is most likely that this was A) a firm commitment underwriting. B) a standby underwriting. C) a best efforts underwriting. D) an all or none underwriting.
Answer:
B) a standby underwriting.
Explanation:
This is because, the investment bankers handling the ABC Corporation IPO (Initial Public Offering) listing and selling of shares would have entered into standby underwriting where they made promises to purchase whatever that remain if they were not able to complete the shares selling to the public. Fortunately, it was successful executed hence the reason why they were able to earn a commission of $4 million.
The process of taking care of the partnership's outstanding obligations and distributing any remaining assets:
a. Winding up Operation of law
b. Dissolution
c. Alienation
d. Acts of the parties Futility
Answer:
Winding up
Explanation:
Winding up in partnership is a post dissolution procedure that entails the distribution and liquidation of any remaining partnership property and assets, settling outstanding debts owed to non partners and sharing of remaining assets among the remaining partners.
The five guiding steps to winding up partnership are
Review partnership agreementDiscuss the decision to wind up with partnersFill a dissolution formNotify concerned partiesSettle and close out all account,Question 1 of 15 A policy will pay the death benefit if the insured dies during the 20-year premium-paying period, and nothing if death occurs after the 20-year period. What type of policy is this
Answer:
a 20 year level term policy
Explanation:
A level term policy is meant to insure a certain benefit for a specific period of time. During this time, the premium is also fixed (level) which means that it will not change as time passes. A level term policy is adjusted only after it has expired and it is generally adapted upwards since the age of the insured person increased as well as the possibility of death.
An example of a firm with market power is a delicatessen in New York. cable TV provider in Tulsa. clothing store in Chicago. family farm in Kansas.
Answer: cable TV provider in Tusla
Explanation:
Market power simply refers to instances whereby organizations, companies or group of companies raise the prices in the market above the equilibrium level. This is done by companies that have huge capital base and hence send out other competitors.
An example of a firm with market power is cable TV provider in Tusla.
A movie star was paid $1 million in 1960 to do a movie. The CPI was 29.3 in 1960 and the CPI in 2014 was 240. Approximately how much did the movie star earn in 2014 dollars
Answer:
$8.19 million
Explanation:
A movie star was paid $1 million in 1960 to do a movie
The CPI was 29.3 in 1960
The CPI in 2014 was 240
Therefore the amount that was earned in dollars by the movie star in 2014 can be calculated as follows
= 240/29.3
= 8.19 × $1 million
= $8.19 million
Hence the movie star earned $8.19 million in 2014
What is the term used for the inbound movement and storage of materials in preparation for those materials to enter and flow through the manufacturing process?
Answer:
Materials management
Explanation:
Materials management is the continuous supply or provision of materials required to produce goods in a manufacturing company.
The purpose of materials management is to ensure that there are no interruption or delay in the supply of quality raw materials needed for production purposes . This is because if there are interruptions in the supply of materials , such may affect the expected output of the organization hence results in lower profit . The portion of the market controlled by the organization may be affected as well including their brand reputation.
Peterson Manufacturing and the local steelworkers' union are having a negotiation breakdown. Peterson's management is keeping employees out of the workplace and running the operation with temporary replacements. Which type of strategy is most likely being used to overcome the negotiation breakdown
Answer:
B) lockout
Explanation:
Since in the question it is mentioned the manufacturing Peterson and the local steelworkers contain the negotiation breakdown also is keep out of the work place and runs the operations with non permanenet replacements
So here to overcome this breakdown, the lockout strategy is used
And all other given options are wrong.
memorandum of association can be amended by
Answer:
Explanation:
A company's Memorandum of Association may be changed by the shareholders passing a special resolution in a general meeting or by written resolution. A copy of the resolution must be sent to Companies House within 15 days.
what is trade in economics
Answer:
Trade is a basic economic concept that involves the buying and selling of goods and services, in which compensation is paid by a buyer to a seller, for goods or services or the exchange of goods or services between parties(which is known as trade by barter )
Explanation:
Answer: Trade means we give some thing for some thing else
Hertz Car Rental has a customer loyalty program called Gold Plus Rewards that rewards members with one point per dollar spent on qualifying rentals. Free weekend rentals can be earned for as few as 500 points. By having a customer loyalty program, Hertz is using __________ marketing.
Answer:
Relationship
Explanation:
Relationship marketing refers to the marketing in which the company could maintain the loyalty with the customer and predict that the long term relationship could be maintained.
It could be in terms of price, discounts, redeem points, quality, services, after-sales services, etc
Since in the question it is mentioned that the 500 points could be earned so this represents a relationship marketing
creases in equity of a particular business enterprise resulting from transfers to it from other entities of something of value to obtain or increase ownership interests is a(n) Blank 1 of 1 by owners.
Complete Question:
Increases in equity of a particular business enterprise resulting from transfers to it from other entities of something of value to obtain or increase ownership interests is a(n) ________ by owners.
Answer:
Investments by owners.
Explanation:
Increases in equity of a particular business enterprise resulting from transfers to it from other entities of something of value to obtain or increase ownership interests is an investment by owners.
An owner investment can be defined as the amount of assets that is invested into a company by the owner or founder as a startup or for its smooth operations.
Generally, this type of account has a credit balance and is typically a temporary equity account.
an insured savings account is also known as a _______ savings account
Answer:
An FDIC insured account
Explanation:
A bank account at an institution where deposits are federally protected against bank failure or theft.
"XYZ Corporation announces a 10% stock dividend, followed by a 5% "spin off" of a subsidiary business. A customer who owns 200 shares of XYZ will receive:"
Answer:
20 shares of XYZ and 11 shares of the spin-off
Explanation:
The 20 shares of XYS comes from
= 200 shares × 10%
= 20 shares-
So, the total number of shares now is
= 200 shares + 20 shares
= 220 shares
And there is 5% spin off
So, the number of shares contains spin off is
= 220 shares × 5%
= 11 shares
This represents the separate company
hence, there is 20 shares of XYZ and 11 shares of the spin-off
6. The EPA has a green building benchmark program in which buildings submit energy data about their building to see where they stand among like building in the country with regards to energy use. This program is known as:
Answer:
Energy Star Portfolio Manager
Explanation:
The Energy Star Portfolio Manager is available online and there you can check and compare how "green" a building or group of building is compared to others. Several environmentally issues are measured by this program, e.g. energy or water consumption, waste disposal, etc.
Historical evidence on the returns of large portfolios of stock and bonds shows that investments with higher volatility have rewarded investors with higher returns.
a. True
b. False
Answer:
true
Explanation:
investments with higher volatility helps in achieving higher returns by the investors and this will helps to boost the the organization morale
It should be noted that Historical evidence on the returns of large portfolios of stock and bonds shows that investments with higher volatility have rewarded investors with higher returns.