Business College

Please provide at least 3 similarities and 3 differences between insurance companies and depository institutions both in terms of their function as well as the make-up of their balance sheet.

Answers

Answer 1

Answer:

Explanation:

I will be starting with the similarities first. 3 of the similarities both of them share are

1) They both have a financial leverage that is quite high

2) they both can be subjected to national oversight as regards to their balance sheet quality.

3) they both are institutions that accepts funds and also gives out funds to finance commercial firms

Moving on to the differences, differences that exists between both includes

1) Insurance companies can are invest in stock markets but depository institutions do not have that leverage.

2) Insurance companies do not have fixed composition of liabilities, while depository institutions have.

Related Questions

Discuss the economic landscape in Philippines?

Answers

Answer:

Low economic mobility, poverty and income inequality, poor health care and nutrition.

Explanation:

Use the following information to work Problems 8 and 9.

Consumer prices drop as falling oil costs push inflation lower Falling oil prices pushed the CPI down 0.1 percent in December 2015. Energy prices fell 2.4 percent and the price of gasoline fell by 3.9 percent.

Source: Los Angeles Times, January 20, 2016

Given the further information that the weight on energy prices in the CPI is 8 percent, by how much would the CPI have changed in December 2015 if energy prices had not changed?

Answers

Answer:

Change in CPI = 0.092%

Explanation:

As we know that ,

CPI - Consumer price index

As given,

CPI is fell down by 0.1%

the weight on energy prices in the CPI is 8%

If energy is not changed means energy is constant , then

Change in CPI = 0.1% - (0.1%)(8%)

= 0.001 - (0.001)(0.08)

= 0.001 - (0.00008)

= 0.00092

= 0.092%

⇒Change in CPI = 0.092%

Culver Corporation was organized on January 1, 2022. It is authorized to issue 22,800 shares of 6%, $50 par value preferred stock and 468,000 shares of no-par common stock with a stated value of $3 per share. The following stock transactions were completed during the first year.

Jan.10 Issued 74,000 shares of common stock for cash at $6 per share.
Mar.1 Issued 1,280 shares of preferred stock for cash at $54 per share.
May1 Issued 119,000 shares of common stock for cash at $5 per share.
Sept.1 Issued 5,800 shares of common stock for cash at $4 per share.
Nov.1 Issued 3,800 shares of preferred stock for cash at $60 per share.

Required:
Post to the stockholders' equity accounts.

Answers

Answer:

Date Account title and explanation Debit Credit

Jan-10 Cash (74,000*$6) $444,000

Common Stock (74,000*$3) $222,000

Paid in capital in excess of stated value $222,000

Mar-01 Cash (1,280*$54) $69,120

Preferred Stock (1,280*$50) $64,000

Paid in capital in excess of par value $5,120

May-01 Cash (119,000*$5) $595,000

Common Stock (119,000*$3) $357,000

Paid in capital in excess of stated value $238,000

Sep-01 Cash (5,800*$4) $23,200

Common Stock (5,800*$3) $17,400

Paid in capital in excess of stated value $5,800

Nov-01 Cash (3,800*$60) $228,000

Preferred Stock (3800*$50) $190,000

Paid in capital in excess of par value $38,000

Those arguing against being socially responsible might make the claim that costs for social goals are ultimately
higher prices

Answers

어떤 하는 라인 라인 참 팬 프리뷰 텐데

Initially, suppose Bellissima uses 1 million hours of labor to produce rye and 3 million hours to produce jeans, while Dolorium uses 3 million hours of labor to produce rye and 1 million hours to produce jeans. Consequently, Dolorium produces 32 million pairs of jeans and 24 million bushels of rye, and Bellissima produces 72 million pairs of jeans and 12 million bushels of rye. Assume there are no other countries willing to trade goods, so in the absence of trade between these two countries, each country consumes the amount of rye and jeans it produces.
Dolorium's opportunity cost of producing one bushel of rye is_________ of jeans, and Bellissima's opportunity cost of producing one bushel of rye is _______ of jeans. Therefore, ________ has a comparative advantage in the production of rye and ________ has a comparative advantage in the production of jeans.
Suppose that each country completely specializes in the production of the good in which it has a comparative advantage, producing only that good. In this case, the country that produces rye will produce_________ bushels, and the country that produces jeans will produce _____ pairs. In the table at the end of this problem, enter each country's production decision on the second row (marked "Production").

Answers

Answer:

Bellisima's opportunity cost:

Production of rye per million hours of labor = 24 / 12 = 2 pairs of jeans

Production of jeans per million hours of labor = 12 / 24 = 0.5 bushels of rye

Dolorium's opportunity cost:

Production of rye per million hours of labor = 32 / 8 = 4 pairs of jeans

Production of jeans per million hours of labor = 8 / 32 = 0.25 bushels of rye

Dolorium has a comparative advantage in the production of jeans while Bellisima has a comparative advantage in the production of rye.

If both countries specialize:

Bellisima will produce 48 million bushels of rye.

Dolorium will produce 128 million pairs of jeans.

Total production of rye has increased by 12 million bushels.

Total production of jeans has increased by 24 million pairs.

Claremore Industries uses a weighted-average process-costing system. All materials are added at the beginning of the process; conversion costs are incurred evenly throughout production. The company finished 40,000 units during the period and had 15,000 units in progress at year-end, the latter at the 40% stage of completion. Total material costs amounted to $220,000; conversion costs were $414,000. The cost of the ending work in process is: Multiple Choice $54,000. $78,000. $114,000. $195,000. None of the answers is correct.

Answers

Answer:

$78,000

Explanation:

Calculation for The cost of the ending work in process

First step is to calculate the Material cost per unit.

Material cost per unit = $220,000 / (40,000+15,000)

Material cost per unit= $220,000 / 55,000

Material cost per unit= $4

Second step is to calculate the Conversion cost per unit

Conversion cost per unit= $414,000 / (40,000 + (15,000*40%)

Conversion cost per unit= $414000 / 46000

Conversion cost per unit= $9

Third step is to calculate total cost per equivalent unit

Total cost per equivalent unit= $4 + $9

Total cost per equivalent unit= $13

Fourth step is to calculate the equivalent unit of the ending work in process

Equivalent unit of the ending work in process= 15,000 × 40%

Equivalent unit of the ending work in process= 6,000

Now let calculate cost of the ending work in process

Cost of the ending work in process = 6,000 × $13

Cost of the ending work in process = $78,000

Therefore The cost of the ending work in process is $78,000

Different perspectives on management have been dominant at different times. Place these management perspectives in the order in which they would appear on a timeline of management history. Dominant Management Perspective Timeline Order Management science perspective
A. Humanist perspective
B. Open (collaborative) innovation
C. Contingency view
D. Systems thinking

Answers

Answer:

1.) Humanist perspective

2.) Management science perspective

3.) Systems thinking

4.) Contingency view

5.) Open (collaborative) innovation

It should actually be in that order^^^

But u didnt include the Management science perspective in any of the options, so just do this one instead, unless you forgot to put the Management science perspective one.

1.) Humanist perspective (A)

2.) Systems thinking (D)

3.) Contingency view (C)

4.) Open (collaborative) innovation (B)

A, D, C, B

Hope this helped!

Have a supercalifragilisticexpialidocious day!

Chuck, a single taxpayer, earns $79,000 in taxable income and $10,000 in interest from an investment in City of Heflin bonds. (Use the U.S. tax rate schedule.)
Income and $19,900 in interest from an investment in City of Heflin bonds. (Use the U.S tax rate schedule.)
Required:
a. How much federal tax will he owe?
b. What is his average tax rate?
c. What is his effective tax rate?
d. What is his current marginal tax rate?
Complete this question by entering your answers in the tabs below Req B Req D Req A Req C What is his average tax rate? (Do not round intermediate calculations. Round total tax to 2 decimal places.) Average Tax Rate Choose numeratorChoose denominator Total tax Taxable income 8,479.50 14.88% 57,000

Answers

Answer:

Base 98900 79000

tax excess 85525 40125

Excess 13375 38875

% 24% 22%

tax 1 3210 8552.5

tax 2 additional 14605.5 plus 24% of the excess 85.525

4617.5 plus 22% of the excess 40.125

total tax (tax1+tax2) 17815.5__13170

Change in tax

(17.815 - 13.170) / (98,900 - 79,000) =

4.645,5 / 19.900 = 23.34%

Explanation:

Base 98900 79000

tax excess 85525 40125

Excess 13375 38875

% 24% 22%

tax 1 3210 8552.5

tax 2 additional 14605.5 4617.5

total tax 17815.5 13170

Change in tax

(17.815 - 13.170) / (98,900 - 79,000) =

4.645,5 / 19.900 = 23.34%

What pathway in the Arts av technology a communication cluster does Jason work in

Answers

answer: av technology and film
explanation: he works with film

Spud, Inc. a manufacturer of gourmet potato chips, employs activity-based costing. The budgeted data for each of the activity cost pools is provided below for the year 2020.
Activity Cost Pools Estimated Overhead Estimated Use of Cost Drivers per Activity Ordering and receiving$94,72012,800 orders Food processing 492,00060,000 machine hours Packaging 1,695,450445,000 labor hours For 2020, the company had 11,800 orders and used 51,100 machine hours, and labor hours totaled 497,000.
Calculate the overhead rates for each activity. (Round answers to 2 decimal places, e.g. 12.25.)
Overhead Rates
Ordering and receiving
$Entry field with incorrect answer
per order
Food processing
$Entry field with correct answer
per machine hour
Packaging
$Entry field with correct answer
per labor hour
LINK TO TEXT
Spud, Inc. a manufacturer of gourmet potato chips,
Spud, Inc. a manufacturer of gourmet potato chips,
What is the total overhead applied?
Total overhead applied
$Entry field with incorrect answer now contains modified data
Digger Inc. sells a high-speed retrieval system for mining information. It provides the following information for the year.
Budgeted
Actual
Overhead cost $975,000 $950,000
Machine hours 50,000 45,000
Direct labor hours 100,000 92,000
Overhead is applied on the basis of direct labor hours.
Spud, Inc. a manufacturer of gourmet potato chips,
Spud, Inc. a manufacturer of gourmet potato chips,
Compute the predetermined overhead rate. (Round answer to 2 decimal places, e.g. 12.25.)
Predetermined overhead rate
$Entry field with incorrect answer now contains modified data
per direct labor hour
LINK TO TEXT
Spud, Inc. a manufacturer of gourmet potato chips,
Spud, Inc. a manufacturer of gourmet potato chips,
Determine the amount of overhead applied for the year.
Amount of overhead applied
$Entry field with incorrect answer now contains modified data
Morgana Company identifies three activities in its manufacturing process: machine setups, machining, and inspections. Estimated annual overhead cost for each activity is $150,000, $375,000, and $87,500, respectively. The cost driver for each activity and the expected annual usage are number of setups 2,500, machine hours 25,000, and number of inspections 1,750.
Compute the overhead rate for each activity.
Machine setups
$Entry field with correct answer
per setup
Machining
$Entry field with incorrect answer
per machine hour
Inspections
$Entry field with correct answer
per inspection

Answers

Answer:

a. Spud, Inc.

1. Overhead rates:

Ordering and receiving $7.40 ($94,720/12,800) per order

Food processing $8.20 (492,000/60,000)per machine hour

Packaging $3.81 (1,695,450/445,000) labor hour

2. Total overhead applied = $2,399,890

b. Digger Inc.

Overhead rate = $9.75 per DLH

Total overhead cost applied = $897,000

c. Morgana Company

Overhead rates:

Machine setups $60 ($150,000/2,500) per setup

Machining $15 ($375,000/25,000) per machine hour

Inspections $50 ($87,500/1,750) per inspection

Explanation:

a) Data and Calculations:

Spud, Inc. budgeted data:

Activity Cost Pools Estimated Estimated Use of Cost Drivers

Overhead per Activity

Ordering and receiving $94,720 12,800 orders

Food processing 492,000 60,000 machine hours

Packaging 1,695,450 445,000 labor hours

Actual data:

Actual orders = 11,800

Machine hours = 51,100

Labor hours = 497,000

Overhead rates for each activity:

Ordering and receiving $94,720/12,800 = $7.40 per order

Food processing 492,000/60,000 = $8.20 per machine hour

Packaging 1,695,450/445,000 = $3.81 labor hour

Actual data:

Actual orders = 11,800 * $7.40 = $87,320

Machine hours = 51,100 * $8.20 = 419,020

Labor hours = 497,000 * $3.81 = 1,893,570

Total overhead applied = $2,399,890

Digger Inc:

Budgeted Actual

Overhead cost $975,000 $950,000

Machine hours 50,000 45,000

Direct labor hours 100,000 92,000

Overhead is applied on the basis of direct labor hours

Overhead rate = $975,000/100,000 = $9.75 per DLH

Total overhead cost applied = $897,000 (92,000 * $9.75)

Morgana Company:

Activity Cost Pool Estimated Overhead Cost Driver

Machine setups $150,000 2,500 number of setups

Machining 375,000 25,000 machine hours

Inspections 87,500 1,750 number of inspections

Overhead rates:

Machine setups $60 ($150,000/2,500) per setup

Machining $15 ($375,000/25,000) per machine hour

Inspections $50 ($87,500/1,750) per inspection

Makers Corp. had additions to retained earnings for the year just ended of $298,000. The firm paid out $178,000 in cash dividends, and it has ending total equity of $4.83 million. The company currently has 140,000 shares of common stock outstanding.

What are earnings per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

Earnings $ per share

What are dividends per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

Dividends $ per share

What is the book value per share? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

Book value $ per share

If the stock currently sells for $70 per share, what is the market-to-book ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

Market-to-book ratio times

What is the price-earnings ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16.)

Price-earnings ratio times

If the company had sales of $4.27 million, what is the price-sales ratio? (Do not round intermediate calculations and round your final answer to 2 decimal places, e.g., 32.16.)

Price-sales ratio times

Answers

Answer:

Makers Corp.

a. Earnings per share = $3.40

b. Dividends per share = $1,27

c. Book value per share = $34.50

d. Market to book ratio times = 2.03 times

e. Price-earnings ratio times = 20.59 times

f. Price-Sales ratio times = 2.30 times

Explanation:

a) Retained Earnings = $298,000

Cash Dividends paid = $178,000

Total earnings = $ 476,000 ($298,000 + $178,000)

Ending total equity = $4.83 million

Outstanding common stock = 140,000 shares

Earnings per share = $476,000/140,000 = $3.40 per share

Dividends per share = $178,000/140,000 = $1.27 per share

Book value per share = $4.83 million/140,000 = $34.50

Market-to-book ratio = $70/$34.50 = 2.03 : 1

Price-earnings ratio = $70/$3.40 = 20.59 : 1

Sales per share = $4.27 million /140,000 shares = $30.50

Price-sales ratio = $70/$30.50 = 2.30 : 1

Productivity is defined as the Group of answer choices amount of goods and services produced from each unit of labor input. number of workers required to produce a given amount of goods and services. amount of labor that can be saved by replacing workers with machines. actual amount of effort workers put into an hour of working time.

Answers

Answer:

A,)amount of goods and services produced from each unit of labor input.

Explanation:

Productivity can be regarded as the measure of efficiency in production. It can be calculated by dividing aggregate output by single input over a particular period of time. It should be noted that Productivity is the amount of goods and services produced from each unit of labor input.

Tax evasion versus tax avoidance
Money Management and Tax Planning
Money management includes effective tax planning. Your financial plan should include ways to lower your tax liability so you have more money to spend, invest, or donate. The key to effective tax planning is to reduce your taxable income, rather than your gross income, through all appropriate and legally available opportunities.
The act of reducing taxes by deliberately understating income or overstating deductions is called ______
Tax evasion or tax avoidance?
Ayesha is preparing her tax return for the year and is looking at ways to save on her tax bill Ayer women ur time in the day and tended bar at night. Her daytime employer reported her income for her job, but her tips from tending bar at night were not reported to the IRS. Ayesha is thinking about leaving the tip earnings out of her income on her tax return. Is this tax evasion or tax avoidance?
Tax avoidance
Tax evasion

Answers

Answer:

1. The act of reducing taxes by deliberately understating income or overstating deductions is called ______

Tax evasion

2. Leaving the tip earnings out of her income on her tax returns is

Tax evasion

Explanation:

Tax evasion is deliberate reduction of gross income either by excluding, understating, omitting income, or overstating deductions. It is not legal. Tax avoidance is managing taxable income by effective tax planning (e.g. through investments, insurance, etc.) so that less tax is paid. It is legal and allowed.

Which of the following illustrates economies of scale , diseconomies of scale , and constant returns to scale ?

Liza's average total cost changes from $4.50 to $2.20 when she increases salad production from 7 to 9 an hour. Sam's average total cost changes from $1.30 to $2.80 when he increases smoothie production from 5 to 8 gallons an hour. Tina's average total cost remains at $3 when she increases pizza production from 12 to 13 an hour.

a. Sam faces economies of scale; Liza faces diseconomies of scale; Tina faces constant returns to scale.
b. Sam faces economies of scale; Tina faces diseconomies of scale; Liza faces constant returns to scale.
c. Tina faces economies of scale; Sam faces diseconomies of scale; Liza faces constant returns to scale.
d. Liza faces economies of scale; Sam faces diseconomies of scale; Tina faces constant returns to scal

Answers

Answer: d. Liza faces economies of scale; Sam faces diseconomies of scale; Tina faces constant returns to scale

Explanation:

Economies of scale occurs when the increase in production by companies brings about a reduction in cost. Diseconomies of scale is when a rise in production leads to an increase in cost as well. For a constant return to scale, the cost remains the same.

Therefore, the answer will be option D "Liza faces economies of scale; Sam faces diseconomies of scale; Tina faces constant returns to scale".

Sheridan Company had these transactions during the current period. June 12 Issued 84,000 shares of $1 par value common stock for cash of $315,000. July 11 Issued 3,400 shares of $102 par value preferred stock for cash at $107 per share. Nov. 28 Purchased 1,350 shares of treasury stock for $8,150.

Prepare the journal entries for the Sheridan Company transactions shown above.

On January 1, Marigold Corp. had 61,700 shares of no-par common stock issued and outstanding. The stock has a stated value of $4 per share. During the year, the following transactions occurred.

Apr. 1 Issued 12,600 additional shares of common stock for $12 per share.
June 15 Declared a cash dividend of $1.50 per share to stockholders of record on June 30.
July 10 Paid the $1.50 cash dividend.
Dec. 1 Issued 5,600 additional shares of common stock for $11 per share.
Dec. 15 Declared a cash dividend on outstanding shares of $1.70 per share to stockholders of record on December 31.
(a) Prepare the entries, if any, on each of the three dates that involved dividends.

Answers

Answer:

The table is shown below

Explanation:

The table is as follows :

Speedy Delivery Company purchases a delivery van for $36,000. Speedy estimates that at the end of its four-year service life, the van will be worth $6,400. During the four-year period, the company expects to drive the van 148,000 miles.

Required:
Calculate annual depreciation for the first two years using each of the following methods. Round all amounts to the nearest dollar.
1. Straight-line.
2. Double-declining-balance.
3. Activity-based.

Actual miles driven each year were 40,000 miles in year 1 and 46,000 miles in year 2.

Answers

Answer:

Straight line method

Year 1. $7,400

Year 2. $7,400

Double - Declining Balance method

Year 1= 18,000

Year 2= 9,000

Activity Based method

Year 1= 8,000

Year 2=9,200

Explanation:

Calculation for the annual depreciation for the first two years using Straight line method for year 1 & 2

STRAIGHT LINE METHOD

Year 1 =(36,000 - 6400) / 4 year

Year 1 =29,600/4 year

Year 1= 7,400

Year 2 =(36,000 - 6400) / 4 year

Year 2 =29,600/4 year

Year 2= 7,400

Calculation for the annual depreciation for the first two years using Double - Declining Balance method

DOUBLE DECLINE BALANCE METHOD

Year 1= (2/4) x (36,000 - 0)

Year 1= (2/4) x 36,000

Year 1= 18,000

Year 2= (2/4) x (36,000 - 18,000)

Year 2= (2/4) x18,000

Year 2= 9,000

Calculation for the annual depreciation for the first two years using Activity Based method

ACTIVITY BASED METHOD

Year 1= [ (36,000 - 6,400) / (148,000) ] x (40,000 miles)

Year 1=( 29,600/148,000)×40,000 miles

Year 1=0.2×40,000 miles

Year 1= 8,000

Year 2= [ (36,000 - 6,400) / (148,000) ] x (46,000 miles)

Year 2 =(29,600/148,000)×46,000 miles

Year 2=0.2×46,000 miles

Year 2 = 9,200

Therefore the annual depreciation for the first two years is:

Straight line method

Year 1. $7,400

Year 2. $7,400

Double - Declining Balance method

Year 1= 18,000

Year 2= 9,000

Activity Based method

Year 1= 8,000

Year 2=9,200

how stockholders can earn a return on their investments

Answers

Answer:

Dividends Capital gains

Explanation:

When people buy shares in a company, they become stockholders. These shares mean they have an ownership interest in the company and when the company makes a certain amount of profit, it may decide to share some of that profit with its shareholders as Dividends.

Another way is through Capital Gains. Capital gains are the result of the shares increasing in value after the stockholder has bought it. For instance, if you bought a Tesla share in December 2016 it would have cost you $50. Today it would be worth $872. That difference of $822 is the capital gain.

Suppose that at a local farmers' market there are a large number of vegetable sellers. Some sell zucchini, some sell broccoli, some sell Brussels sprouts, and so on. This week, the zucchini sellers decide to gang together and fix the price of zucchini at a price higher than they would sell otherwise. Which of the following statements is most likely true?

a. The zucchini sellers will not sell any zucchini.
b. The zucchini sellers will be able to earn a lot more money.
c. The zucchini sellers have limited market power because consumers have many alternatives.
d. The zucchini sellers will enjoy a large degree of market power.

Answers

Answer: c. The zucchini sellers have limited market power because consumers have many alternatives.

Explanation:

As the Zucchini sellers have fixed the price such that it is the same for all of them, they will have market power in the sale of Zucchini.

In terms of the whole market however, they will have only limited power because even though they control the pricing of Zucchini, there are other alternatives there that they do not control and can be switched to by other consumers.

The true statement is the zucchini sellers have limited market power because consumers have many alternatives.

What is a monopolistic competition?

A monopolistic competition is when there are plenty sellers of unidentical goods and services in an industry.

A monopolistic competition has characteristics of both a monopoly and a perfect competition. The demand curve in a monopolistic competition is downward sloping.

Broccoli is a substitute for zucchini. So, if zucchini sellers increase the price of their good, consumers can begin to consumer more broccoli.

To learn more about monopolistic competition, please check: https://brainly.com/question/1622043

Assume that a manufacturing company incurred the following costs: Direct labor $ 90,000 Advertising $ 40,000 Factory supervision $ 36,000 Sales commissions $ 15,000 Depreciation, office equipment $ 4,000 Indirect materials $ 5,000 Depreciation, factory building $ 20,000 Administrative office salaries $ 1,000 Utilities, factory $ 2,500 Direct materials $ 106,000 Insurance, factory $ 10,000 Property taxes, factory $ 7,000 What is the total amount of manufacturing overhead

Answers

10092796 tents mei e seen

The manufacturing overhead is calculated by taking all the costs that are incurred directly for the manufacturing process of goods.

Costs incurred are as follows:

Direct labor $90,000

Indirect Material $5,000

Depreciation factory building $20,000

Utilities (Factory) $2,500

Direct Materials $106,000

Factory $,7000

Total Manufacturing Overhead = $230,500

Therefore the answer to the question is $230,500

Learn more at https://brainly.com/question/7870499

The owner of a bicycle repair shop forecasts revenues of $236,000 a year. Variable costs will be $69,000, and rental costs for the shop are $49,000 a year. Depreciation on the repair tools will be $29,000. Prepare an income statement for the shop based on thee estimates. The tax rate is 20%. Calculate the operating cash flow by using dollars in minus dollars out, adjusted accounting profits, after tax operating cash flow.

Answers

Answer:

A. $71,200

Bi)$100,200

Bii)$100,200

Biii)$100,200

Explanation:

A. Preparation of an income statement for the shop based on thee estimates

INCOME STATEMENT

Revenues $236,000

Expenses:

Variable costs $69,000

Rental cost $49,000

Depreciation $29,000

Total Expenses $147,000

Tax profit $89,000

($236,000-$147,000)

Less Income Tax (at 20%) $17,800

(20%*$89,000)

Net Income $71,200

($89,000-$17,800)

Therefore Net Income will be $71,200

bi) Calculation for the operating cash flow by using dollars in minus dollars out method

Using this formula

Operating cash flow=Revenue-Cash expenses-Taxes

Let plug in the formula

Operating cash flow=$236,000-($69,000+$49,000)-$17,800

Operating cash flow=$236,000-$118,000-$17,800

Operating cash flow=$100,200

Therefore the operating cash flow by using dollars in minus dollars out method will be $100,200

bii) Calculation of the operating cash flow by using adjusted accounting profits,

Adjusted accounting profit=$71,200+$29,000

Adjusted accounting profits=$100,200

Therefore the operating cash flow by using adjusted accounting profits will be $100,200

biii)Calculate the operating cash flow by using after tax operating cash flow

After tax operating cash flow=[$236,000-($69,000+$49,000)]*(1-0.20)+(0.20*$29,000)

After tax operating cash flow=($236,000-$118,000)*0.80+$5,800

After tax operating cash flow=($118,000*0.80)+$5,800

After tax operating cash flow=$94,400+$5,800

After tax operating cash flow=$100,200

Therefore the operating cash flow by using after tax operating cash flow will be $100,200

You paid $100 for a ticket to the Broadway show Hamilton, for which your value of
attending is $250. In NYC the day the show, you legally sell your ticket on the secondary
market for $1,000. This is an example of?

Answers

Answer:

avoiding the hidden or sunk cost fallacy.

Explanation:

The hidden or sunk cost fallacy refers to not realizing that a sunk cost has occurred and no matter what you do, you will not recover it or in this case, enjoy it. A classic example are all you can eat buffets and people simply eating too much because they paid for it.

In this case, if you had not sold the ticket and not earned the profit, you would have incurred in the sunk cost fallacy by not recognizing that you could benefit more from selling the ticket instead of just insisting on going to see the play.

Dmitri lives in Houston and runs a business that sells guitars. In an average year, he receives $793,000 from selling guitars. Of this sales revenue, he must pay the manufacturer a wholesale cost of $430,000; he also pays wages and utility bills totaling $301,000. He owns his showroom; if he chooses to rent it out, he will receive $15,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Dmitri does not operate this guitar business, he can work as a financial advisor, receive an annual salary of $50,000 with no additional monetary costs, and rent out his showroom at the $15,000 per year rate. No other costs are incurred in running this guitar business.

Identify each of Charles's costs in the following table as either an implicit cost or an explicit cost of selling guitars.

a. The wages and utility bills that Charles pays
b. The wholesale cost for the guitars that Charles pays the manufacturer
c. The rental income Charles could receive if he chose to rent out his showroom
d. The salary Charles could earn if he worked as a financial advisor

Answers

Answer:

Implicit costs are opportunity costs. They are the cost of the next best alternative that one could have taken from the one they took.

Explicit costs are normal accounting costs which represent the expenses involved in running a business.

a. The wages and utility bills that Charles pays. EXPLICIT COSTS.

These are normal accounting expenses so they are explicit costs.

b. The wholesale cost for the guitars that Charles pays the manufacturer. EXPLICIT COSTS.

Another cost of doing business so this is explicit as well.

c. The rental income Charles could receive if he chose to rent out his showroom. IMPLICIT COST.

By not renting out his showroom and using it instead, he is losing the rental income he could be making so this is an implicit cost.

d. The salary Charles could earn if he worked as a financial advisor. IMPLICIT COST.

Another income he could be making if he wasn't selling guitars. This make it an implicit cost.

Your generous grandmother has just announced that she’s opened a savings account for you with a deposit of $10,000. Moreover, she intends to make you 9 more similar gifts, at the end of this year, next year, etc. If the savings account pays 8% interest, how much will you have
accumulated at the end of 10 years (one year after the last gift)?

Answers

Answer:

$156,454.87

Explanation:

Future Value of an annuity due: FV = Pmt x ((1+r)n -1))/r) x (1+r)

When Payment per period (PMT) = $10,000, Discount Rate per period= 8%,Number of periods (n) = 10

Future Value = $10,000 * ((1+0.08)^10 -1))/0.08) * 1.08

Future Value = $10,000 * [(1.08)^10 - 1 ]/ 0.08 * 1.08

Future Value = $10,000 * 2.15892499727-1/0.08 * 1.08

Future Value = $10,000 * 1.15892499727/0.08 * 1.08

Future Value = $10,000 * 14.486562465875 * 1.08

Future Value = 156454.87463145

Future Value = $156,454.87

The worth of a collection of regular payments at a future date, assuming a given discount rate, or rate of return (ROR) is called the future value of an annuity. (FAPThe present value (PV) of an annuity is the amount of money required to fund a series of future annuity payments (FAP) today.

COMPUTATION OF FUTURE VALUE OF ANNUITY DUE:

[tex]\text{Future Value of an annuity due (FV)} =[ \frac{\text{Pmt} \text{ x } ((1+r)^{n}}{r} -1] \text{ x } (1+r)[/tex]

[tex]\text{Where,}\\\text{Payment per period (PMT)} = 10,000, \\\text{Discount Rate per period(r)} = 0.08,\\\text{Number of periods (n)} = 10[/tex]

[tex]\text{(FV)} =[ \frac{\ 10,000 \text{ x } ((1+0.08)^{10}}{0.08} -1] \text{ x } (1+0.08)[/tex]

[tex]\text{(FV)} =[ \frac{\ 10,000 \text{ x } ((1.08)^{10}}{0.08} -1] \text{ x } (1.08)[/tex]

[tex]\text{(FV)} =[ \frac{\ 10,000 \text{ x } 2.1589}{0.08} -1] \text{ x } (1.08)[/tex]

[tex]\text{(FV)} =[ \frac{\ 10,000 \text{ x } 1.15892499727}{0.08} ] \text{ x } (1.08)[/tex]

[tex]\text{(FV)} =[ 10,000 \text{ x } 14.486562465875} ] \text{ x } (1.08)[/tex]

[tex]\text{(FV)} = 156454.87463145[/tex]

[tex]\text{Future Value} = 156,454.87[/tex]

Therefore, the accumulated amount at the end of 10 years is $156,454.87.

For more information regarding the future value (FV), refer to the link:

https://brainly.com/question/13369387

Choose the response that correctly completes the following sentence about the Harrisons' refund or balance due. The Harrisons will:

a. Receive a refund that is greater than $ 4,500 but less than $4,800
b. Receive a refund that is greater than $4,200 but less than $4,500
c. Have a balance due that is greater than $200 but less than $500
d. Have a balance due that is greater than $500 but less than $800

Answers

Answer:

Explanation:

bnn

Holly wants to have $200,000 to send a recently born child to college. She sets up a 529 plan and wants to know how much she must invest at the end of the year for the next 18 years if the funds can earn 5 percent. If she can earn 7 percent, how much less will she have to invest each year?

Answers

Answer:

The amount Holly will have to invest less each year is $1,226.72.

Explanation:

This can be calculated using the following 3 steps:

Step 1: Calculation of monthly payment at 5% interest rate

This can be calculated using the formula for calculating the Future Value (FV) of an Ordinary Annuity is used as follows:

FV = P_5% * (((1 + r)^n - 1) / r) ................................. (1)

Where,

FV = Future value or the amount Holly wants to have = $200,000

P_5% = Annual investment at 5% = ?

r = Annual interest rate = 5%, or 0.05

n = number of years = 18

Substituting the values into equation (1), we have:

$200,000 = P_5% * (((1 + 0.05)^18 - 1) / 0.05)

$200,000 = P_5% * 28.1323846738217

P_5% = $200,000 / 28.1323846738217

P_5% = $7,109.24

Step 2: Calculation of monthly payment at 7% interest rate

This can be calculated using the formula for calculating the Future Value (FV) of an Ordinary Annuity is used as follows:

FV = P_7% * (((1 + r)^n - 1) / r) ................................. (2)

Where,

FV = Future value or the amount Holly wants to have = $200,000

P_7% = Annual investment at 7% = ?

r = Annual interest rate = 7%, or 0.07

n = number of years = 18

Substituting the values into equation (2), we have:

$200,000 = P_7% * (((1 + 0.07)^18 - 1) / 0.07)

$200,000 = P_7% * 33.9990325104648

P_7% = $200,000 / 33.9990325104648

P_7% = $5,882.52

Step 3: Calculation of the amount Holly will have to invest less each year

Amount to invest less each year = P_5% - P_7%

Amount to invest less each year = $7,109.24 - $5,882.52

Amount to invest less each year = $1,226.72

Therefore, the amount Holly will have to invest less each year is $1,226.72.

The following information applies to the questions below.
Wells Technical Institute (WTI), a school owned by Tristana Wells, provides training to individuals who pay tuition directly to the school. WTI also offers training to groups in off-site locations. WTI initially records prepaid expenses and unearned revenues in balance sheet accounts. Its unadjusted trial balance as of December 31 follows along with descriptions of items a through h that require adjusting entries on December 31.
Additional Information Items
1. An analysis of WTI's insurance policies shows that $3,864 of coverage has expired.
2. An inventory count shows that teaching supplies costing $3,349 are available at year-end.
3. Annual depreciation on the equipment is $15,458.
4. Annual depreciation on the professional library is $7,729.
5. On September 1, WTI agreed to do five courses for a client for $2,800 each. Two courses will start immediately and finish before the end of the year. Three courses will not begin until next year. The client paid $14,000 cash in advance for all five courses on September 1, and WTI credited Unearned Training Fees.
6. On October 15, WTI agreed to teach a four-month class (beginning immediately) for an executive with payment due at the end of the class. At December 31, $12,000 of the tuition has been earned by WTI.
7. WTI's two employees are paid weekly. As of the end of the year, two days' salaries have accrued at the rate of $100 per day for each employee.
8. The balance in the Prepaid Rent account represents rent for December.
WELLS TECHNICAL INSTITUTE
Unadjusted Trial Balance
December 31
Debit Credit
Cash $ 27,849
Accounts receivable 0
Teaching supplies 10,710
Prepaid insurance 16,068
Prepaid rent 2,143
Professional library 32,133
Accumulated depreciation—Professional library $ 9,641
Equipment 74,968
Accumulated depreciation—Equipment 17,139
Accounts payable 36,341
Salaries payable 0
Unearned training fees 14,000
T. Wells, Capital 68,123
T. Wells, Withdrawals 42,845
Tuition fees earned 109,254
Training fees earned 40,702
Depreciation expense—Professional library 0
Depreciation expense—Equipment 0
Salaries expense 51,415
Insurance expense 0
Rent expense 23,573
Teaching supplies expense 0
Advertising expense 7,498
Utilities expense 5,998
Totals $ 295,200 $295,200
a. Post the balance from the unadjusted trial balance and the adjusting entries in to the T-accounts.
b. Prepare an adjusted trial balance.