Answer:
$1.55
Explanation:
Interest rate parity = (1+Rh) / (1+Rf) = F1 / S0
Rh = rate on home currency here US is home 3% p.a = 3%/4 = 0.75%
Rf= rate on foreign currency here Germany 3.5% p.a = 3.5%/4 = 0.875
F1 = Forward rate , S0= Spot market rate
So, (1+0.0075) / (1+0.00875) = F1 / 1.56
1.0075/1.00875 = F1 / 1.56
0.998761 = F1 / 1.56
F1 = 0.998761 * 1.56
F1 = 1.55806716
F1 = $1.55
Thus, the 90-day forward rate is $1.55
The average age of engineering students at graduation is a little over 23 years. This means that the working career of most engineers is almost exactly 500 months. How much would an engineer need to save each month to become a millionaire by the end of her working career
Answer:
$450.18
Explanation:
Missing word "Assume a 6% interest rate, compounded monthly?"
FV = P/i*[(1+i)^n - 1]
FV = 1,000,000. P = ? , I = 6%/12 = 0.5%
1,000,000 = P/0.005[(1 + 0.005)^500 - 1)
1,000,000 = P/0.005[(1.005)^500 - 1)
5,000 = P[12.1068 - 1]
5,000 = P[11.1068]
P = 5,000/11.1068
P = 450.174667771
P = $450.18
Thus, the engineer needs to save $450.18 each month to become a millionaire by the end of her working career.
Suppose a food pantry received a donation and allowed volunteers to vote on how the funds were to be spent. Three options were provided, with the donation only covering the cost of one project. The projects included improvements to the building, additional purchases of food, and purchasing a vehicle for food delivery. The majority of volunteers voted for purchasing a vehicle for food delivery with building improvements coming in second. Since only one project could be funded, what is the opportunity cost of the decision to purchase a vehicle
Answer:
improvements to the building,
Explanation:
Opportunity cost is the foregone advantage of not setting certain options in decision making. When a particular option is preferred over others, then benefit from the other options not selected are forfeited. The forfeited benefits represent the opportunity cost.
The value of opportunity cost is equated to the value of the next best alternative. Where there were more than two alternatives available, the next best alternative from the chosen option becomes the opportunity cost. In this case, improvement to the building was voted the second preferred option; hence it becomes the opportunity cost.
Maria, a new assistant manager, expects her employees to report to her every week with a detailed productivity report. Maria's attitude best reflects ______. Group of answer choices The Halo Effect Theory X Theory Z Theory Y The Hawthorne Effect
Answer:
The Halo Effect
Explanation:
To download your presentation as pictures, choose this option. Download a Copy Download as Images Download as ODP Download as PDF Question 4(Multiple Choice Worth 5 points) (04.07 LC) What is the name of the spelling checker in PowerPoint Online that can be used to check the spelling in the entire presentation? Check Slide Proof Check Review Slide Slide Check Question 5(Multiple Choice Worth 5 points) (04.07 MC) Ava is at her first job interview, and the interviewer asks her a difficult question she hasn't prepared to answer. What should Ava do? Just start talking. She'll eventually get to an answer. Ask the interviewer for an easier question. Take a deep breath and gather her thoughts. Tell an unrelated story that makes her look smart. You must check the box below prior to submitting your exam! Check this box to indicate you are ready to submit your exam FDK71.10 Previous QuestionNext Question
Answer: Its choose a pdf
Explanation:
when you download a pic it goes to a pdf
Answer:
download a pdf
Explanation:
A tax preparer is part of
A Business management
B Administrative support
C Financial planning and management
D. Accounting
Answer:
c
Explanation:
i took the test
Vaughn Manufacturing has fixed costs of $30000 per year. Its warehouse sells wine with variable costs of 90% of its unit selling price. How much in sales does Vaughn need to break even per year
Answer:
$300,000
Explanation:
Calculation for How much in sales does Vaughn need to break even per year
Using this formula
Sales needed to break even=Fixed cost/(1-Unit selling price Variable costs)
Let plug in the formula
Sales needed to break even=$30,000 / (1 -.9)
Sales needed to break even=$30,000 / (0.1)
Sales needed to break even=$300,000
Therefore How much in sales does Vaughn need to break even per year will be $300,000
Kohl Company lent $49,587 to Hemingway, Inc, accepting Hemingway's 2-year, $60,000, zero-interest-bearing note. The implied interest rate is 10%. Prepare Kohl's journal entries for the initial transaction, recognition of interest each year, and the collection of $60,000 at maturity.
Answer:
Date Account Titles Debit Credit
Notes Receivable $60,000
Discount on Notes Receivable $10,413
Cash $49,587
Discount on Notes Receivable $4,959
Interest Revenue $4,959
Discount on Notes Receivable $5,454
($49587+$4959)*10%
Interest Revenue $5,454
Cash $60,000
Notes Receivable $60,000
Suppose the real rate is 4.5 percent and the inflation rate is 6.1 percent. What rate would you expect to see on a Treasury bill
Answer:
10.87%
Explanation:
real rate of return = [(1 + nominal rate of return) / (1 + inflation rate)] - 1
real rate of return = 4.5%inflation rate = 6.1%1 + 4.5% = [(1 + nominal rate of return) / (1 + 6.1%)]
1.045 x 1.061 = 1 + nominal rate of return
1.108745 = 1 + nominal rate of return
0.108745 = nominal rate of return
A resort hotel is planning to install a computerized inventory system to manage complementary guest items such as soap and shampoo. The daily demand for bars of soap appears to be distributed normally, with mean = 16 and standard deviation = 3. Assume there are 365 days considered for this inventory system. Once an order is placed, it takes seven days before delivery is made. The effort for the staff person to place an order is $10. The annual holding cost of a bar of soap is $0.05. The hotel is concerned about stock-outs of such a basic item and, thus, desires a 99.9% service level.
a. Recommend an order quantity and reorder point for this inventory system.
b. What is the total annual cost for this inventory system?
Answer:
a) safety stock = z-score x √lead time x standard deviation of demand
z-score for 99.9% = 3.29053
√lead time = √7 = 2.6458
standard deviation of demand = 3
safety stock = 3.29053 x 2.6458 x 3 = 26.12 ≈ 26 soaps
reorder point = lead time demand + safety stock = (7 x 16) + 26 = 138 soaps
EOQ = √[(2 x S x D) / H]
S = order cost = $10
D = annual demand = 16 x 365 = 5,840
H = $0.05
EOQ = √[(2 x $10 x 5,840) / $0.05] = 1,528.40 ≈ 1,528 soaps
b) total order costs per year = (5,840 / 1,528) x $10 = $38.22
total holding costs = (1,528 / 2) x $0.05 = $38.20
total annual ordering and holding costs = $76.42
A stock has an expected return of 15.1 percent, the risk-free rate is 5.95 percent, and the market risk premium is 7.8 percent. Required: What must the beta of this stock be
Answer:
1.17%
Explanation:
Expected return is 15.1 %
Risk free rate is 5.95 %
Market risk premium is 7.8%
Therefore the beta can be calculated as follows
Expected return= risk free rate + (beta×market risk premium)
15.1%= 5.95% + (beta × 7.8%)
15.1%-5.95%= 7.8% beta
9.15%= 7.8% beta
beta= 9.15%/7.8%
beta= 1.17%
Cullumber Products plans to produce 10200 units in January. Each unit requires 6 pounds of plastic, which costs $5 per pound. What standard material cost would the company use to plan for production?
Answer:
Standard direct material cost= $306,000
Explanation:
Giving the following information:
Cullumber Products plans to produce 10,200 units in January. Each unit requires 6 pounds of plastic, which costs $5 per pound.
First, we need to calculate the standard pounds needed:
Standard pounds of plastic= 10,200*6= 61,200 pounds
Now, the standard cost:
Standard direct material cost= 61,200*5
Standard direct material cost= $306,000
Suppose a public good that is worth $1 billion is not produced by the market, and so the government provides it, but at a cost of $3 billion. This attempt to correct a market failure has:
Answer: resulted in a government failure since use of resources is now less efficient
Explanation:
Market failure is an economic situation when there is an inefficient distribution of goods and services which occurs in the free market. The main cause of market failure is disequilibrium as a result of distortion on the market.
When a public good that is worth $1 billion is not produced by the market, and so the government provides it, but at a cost of $3 billion, this attempt to correct a market failure has resulted in a government failure since use of resources is now less efficient. This is because the cost of the public good is more than its worth. This signifies wastage and results in government failure.
Suppose that the market for painting services is perfectly competitive. Painting companies are identical; their long-run cost functions are given by: Market demand is: The long-run equilibrium price in this industry is $____. 173.5 162.5 194.5 155.5
Answer:
b. 162.5
Explanation:
Missing question "long-run cost functions are given by TC(Q)= 6Q^3-30Q^2+200Q"
TC(Q)= 6Q^3-30Q^2+200Q"
Marginal cost = 18Q^2 - 60Q + 200
Average Total Cost = 6Q^2 - 30Q + 200
ЭATC / ЭQ = 0
12Q - 30 = 0
Q = 2.5
ATC = 6Q^2 - 30Q + 200
ATC = 6*(2.5)^2 - 30(2.5) + 200
ATC = 37.5 - 75 + 200
ATC = 162.5
Thus, P = 162.5
What is the term used to describe the reduction of the balance owed on a loan with each payment made over a period of time?
a. a buy-down.
b. shared-appreciation.
c. prepaid interest.
d. amortization.
e. a rate cap.
Answer:
The term used to describe the reduction of the balance owed on a loan with each payment made over a period of time is:
d. amortization.
Explanation:
Amortization of a loan is the gradual reduction of the balance owed on a loan because payments are being made over a period of time. Each payment is, therefore, a reduction of the borrowed fund. This gradual reduction through periodic payments is called amortization of the borrowed fund. Loan amortization, therefore, implies the spreading out of the loan payments over time. It is not the same as asset amortization, which is a kind of depreciation.
Data for Yipuum207, a large merchandiser, is below:
a. Sales are budgeted at $305,000 for November, $325,000 for December, and $225,000 for January.
b. Collections are expected to be 65% in the month of sale and 35% in the month following the sale.
The cost of goods sold is 80% of sales.
Yipuum207 desires to have an ending merchandise inventory at the end of each month equal to 70% of the next month's cost of goods sold. Payment for merchandise is made in the month following the purchase.
Other monthly expenses to be paid in cash are $22,600.
Monthly depreciation is $28,500.
Ignore taxes.
(ID#80825)
Assets
Cash $29,000
Accounts receivable 78,000
Merchandise inventory 182,400
Property, plant and equipment, net of $624,000 accumulated depreciation 1,006,000
Total assets $1,295,400
Liabilities and Stockholders' Equity
Accounts payable $241,000
Common stock 742,000
Retained earnings 312,400
Total liabilities and stockholders' equity $1,295,400
Required:
What are the expected cash collections for Yipuum207 in December?
Answer:
Yipuum207
The expected cash collections for Yipuum207 in December is:
$318,000.
Explanation:
a) Data and Calculations:
November December
Budgeted sales $305,000 $325,000
65% month of sale 198,250 211,250
35% month following 78,000 106,750
Total collections $276,250 $318,000
b) The expected cash collection for December is made up of the 65% cash collected from December sales and the 35% of November sales. Other months' sales will not affect the cash collection in December under the given scenario. Therefore, the total cash collection for the month of December is $318,000.
What is the term for the price Kelley blue book considered to be the correct amount expect to pay for a car
Answer:
book value
Explanation:
a p e x
How accurately can managers plan for future human resources needs?
Answer:
Planning for future human resources needs is not an exact science. There are many contributing factorsthat can alter the plan. Planners have to account for promotions, retirements and employees leaving aswell as how sales affect the number of people needed.
credits to coursehero.
The Manhattan Shoe Co. maintains an inventory of shoes in a warehouse they rent locally. The monthly demand for shoes is 930 units. The shoes cost $35 per pair and the replenishment order is placed when the inventory reaches a certain level. The cost of placing the replenishment order is estimated to be $21. The annual inventory holding cost for each pair of shoes is 28% of the cost of the item.
a. Based on the above data, calculate the EOQ for the All Star Shoe Co.
b. Based on the above data, calculate the corresponding total cost purchase lot (TCp).
c. How valid are the assumptions for the simple EOQ model?
Answer:
a) EOQ = √[(2 x S x D) / H]
S = order cost = $21D = annual demand = 930 x 12 = 11,160H = annual holding cost = $35 x 28% = $9.80EOQ = √[(2 x $21 x 11,160) / $9.80] = 218.7 ≈ 219 shoes
b) total ordering costs = (11,160 / 219) x $21 = $1,070.14
total holding costs = $9.80 x (219 / 2) = $1,073.10
total purchases = $35 x 11,160 = $390,600
total inventory costs = $392,743.24
c) The EOQ model faces two main problems:
first, it assumes that the demand is constant and can be predicted with 100% accuracy and that is not usually the case. Also, demand might be seasonal which makes the EOQ model useless. second, it assumes costs are constant and they are generally not, e.g. the price of shoes might change
This tool (refer to the graphic), which helps the Ritz-Carlton (a luxury hotel) is known as the Zone of Tolerance concept. Its purpose is to:_________
a) evaluate employee performance in a service context
b) evaluate the quality of its service relative to that of competitors
c) understand consumer behavior in a service context
d) measure financial performance of a service
Answer: understand consumer behavior in a service context
Explanation:
The zone of tolerance typicall has to with how consumers perceive a product which can either be the desired satisfaction or meet the consumers minimum standard.
Therefore, the purpose of the zone of tolerance is to understand consumer behavior in a service context
Company is a popular car-wash operation that measures its activity in terms of number of cars washed. Last month, the budgeted level of activity was 1,240 cars washed and the actual level of activity was 1,230 cars washed. The cost formula for the washing expenses is $4.80 per car washed plus $26,000 per month. The actual washing expense was $25,000.
Required:
What was the spending variance for the washing expenses last month?
Answer: $6,904 favorable
Explanation:
Cost formula is $4.80 per car + $26,000.
1,230 cars were actually washed last month.
Budget for washing expense = (4.80 * 1,230) + 26,000
= $31,904
Actual washing expense = $25,000
Variance = Budgeted - Actual
= 31,904 - 25,000
= $6,904 favorable
The text specifies three people-oriented guidelines that can raise the quality of discussions: rephrasing ideas already expressed, bringing all members into active participation, and stimulating further thought by members. To get group members to think even further, Finance Director Debenditti mentions that she also asks ______.
Question Completion with Options:
A. Should we take a break and come back in an hour?
B."What if we proceed down this path and it fails?
C. Do we have at least three alternatives to consider?
D." How long do we have to rehash these alternatives before we can move on?
E. Why are you not participating in this discussion?"
Answer:
C. Do we have at least three alternatives to consider?
Explanation:
By asking for at least three other alternatives or solutions to the overriding problem under discussion, the Finance Director will be motivating her team members to think further on the solutions. She is broadening the groupthink so that all ramifications and considerations are brought to the fore before any conclusions can be reached. This is the most relevant question that elicits further discussions in any group.
These are goals that you will achieve over a longer period of time, anywhere from one to twenty years. These are often our most meaningful and important goals. Short-term goals
Long-term goals
Intermediate goals
Specific goals
Janos Corporation, which has only one product, has provided the following data concerning its most recent month of operations: What is the net operating income for the month under absorption costing
Answer:
$12,200
Explanation:
Note: Question is attached as picture below
Under absorption costing net operating income
Details Amount
Sales per unit $111
Less: Variable cost
Direct materials ($29)
Direct labors ($30)
Variable manufacturing overheads ($4)
Variable selling and administration overheads ($9)
Contribution per unit = Sales less variable cost $39
Contribution in value ($39 * 2,200 units) $85,800
Less: Fixed manufacturing over heads ($34,000)
Fixed selling and admin over heads ($39,600)
Net Operating Income $12,200
Write an essay on the industry on which you want to focus. Research and discuss the kinds of
jobs that are available in that industry, the average wage, the economy's effect on the industry,
and so on.
Answer:
Film industry
The film industry is the cinema business under which several different movies are made throughout the year. In India, particularly more than 10 established movie industries work on different regional areas with the Hindi movie industry in Mumbai leading its way to the top.
The movie industry of India is not only the backbone of economy in their regional areas but also provide a lot of revenue to the Country in form f taxes. They are also a good source of employment for a number of individuals.
The wages in the industry are variant based upon the work done withe actors getting the biggest part and the crew workers getting the lowest. The crew members usually get daily wages for their work.
describe the difference between autonomous expenditure and induced expenditure. Which sectors of the economy are assumed to have both types of spending and which are not
Answer:
The difference between autonomous expenditure and induced expenditure is as follows:
The autonomous expenditure is incurred even without a disposable income. The expenditure is incurred to provide basic necessities of life. In such a situation, the person spends from savings account or borrows to ensure that the basic necessities are provided.
On the other hand, induced expenditure is a disposable income-based expenditure. This implies that when disposable income rises, induced expenditure also rises, and vice versa. Induced expenditure is usually incurred to fund normal goods and services and not necessities. Without disposable income, there is no induced expenditure.
All the four sectors of the economy engage in these expenditures. The public (government) and household sectors are mostly affected. However, even the business and non-profit sectors are also affected by these types of expenditure.
Explanation:
We can distinguish between two types of aggregate expenditure. The first one is autonomous aggregate expenditure, which does not vary with the level of real GDP while induced aggregate expenditure varies with real GDP.
Kevin McCormick is buying a sports utility vehicle at a car dealership. The base price is $25,565; the factory installed options totaled $2,764; and the destination charge is $495. What is the sticker price?
Answer:
$28, 824
Explanation:
The sticker price is also known as the MSRP, or the manufacturer recommended retail price. It includes any dealer-installed accessories, any fees, and add-on products plus dealer markup.
The sticker price is this scenario will include
The base value $25,565, plus factory installed options $2,764, plus the destination charge $495.
= $25,565 + $2,764 + $495.
= $28, 824
A company issues 10%, 6-year bonds with a par value of $230,000 on January 1 at a price of $240,486, when the market rate of interest was 9%. The bonds pay interest semiannually. The amount of each semiannual interest payment is:______
Answer:
the amount of each semiannual interest payment is $11,500
Explanation:
The computation of the amount of each semiannual interest payment is shown below:
= Par value × rate of interest × given months ÷ total months
= $230,000 × 10% × 6 months ÷ 12 months
= $11,500
Hence, the amount of each semiannual interest payment is $11,500
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Assume new machines have a new cost-saving technology that is not in older machines. What characteristics is true of a perfectly competitive industry which is in the period of adjustment to this new technology?
Answer:
The correct option is (3) At the end of the adjustment period the newer-technology firms will be making economic profit because costs are lower.
Explanation:
According to the given scenario, in the case when the new machine have a saving technology with respect to the cost as compared with the older machines so here the attribute that should be true with regard perfect competitive industry is that at the closing period of adjustment the new technology firm would earned more economic profit as there is a lesser cost compared with the older technology firm
Therefore the correct option is (3)
Your company is considering the replacement of an old delivery van with a new one that is more efficient. The old van cost $40,000 when it was purchased 5 years ago. The old van is being depreciated using the simplified straight-line method over a useful life of 8 years. The old van could be sold today for $7,000. The new van has an invoice price of $80,000, and it will cost $6,000 to modify the van to carry the company's products. Cost savings from use of the new van are expected to be $28,000 per year for 5 years, at which time the van will be sold for its estimated salvage value of $23031. The new van will be depreciated using the simplified straight-line method over its 5-year useful life. The company's tax rate is 35%. Working capital is expected to increase by $5525 at the inception of the project, but this amount will be recaptured at the end of year five. What is the terminal cash flow, to the nearest dollar?
Answer:
$51,164
Explanation:
The project's terminal cash flow is basically the cash flow of the project's last year.
depreciable value = $80,000 + $6,000 - $23,031 = $62,969
depreciation expense per year = $62,969 / 5 = $12,593.80 per year
net cash flow year 5 = [(savings - depreciation expense) x (1 - tax rate)] + depreciation expense + salvage value + recovery of net working capital = [($28,000 - $12,593.80) x (1 - 35%)] + $12,593.80 + $23,031 + $5,525 = $51,163.83 ≈ $51,164
Tweaking the Initial Assembly-Line Design From past experience, Toshihiro has found that the initial assembly-line design supplied by the engineers often needs to be tweaked. Consider the following questions that Toshihiro is considering: What is the daily capacity of the assembly line designed by the engineers
Answer:
259 units per day.
Explanation:
The line operates for 7.5 hours per day. Workstation 4 is the bottleneck in the initial line balance, limiting the cycle time to 1.73 minutes, so output is limited to 34.61 units/hours × 7.5 hours = 259 units per day.
