Answer: One can pay $17.16 for stock
Explanation:
Stock price is referred to as The current market price which is the amount one can buy a share in a company. The P/E ratio gives investors the idea of what to expect in the current price at market level and amount to pay for current earnings per share.
PE (Price Earning ratio ) = Share Price/Stock Price per share / Earnings per Share
Therefore Price of Share = Earnings per Share x PE (Price Earning ratio )
= $1.43 x 12
$17.16
Suppose Alex and Becky are playing a game in which both must simultaneously choose the action Left or Right. The payoff matrix that follows shows the payoff each person will earn as a function of both of their choices. For example, the lower-right cell shows that if Alex chooses Right and Becky chooses Right, Alex will receive a payoff of 5 and Becky will receive a payoff of 5.
Becky
Left Right
Alex Left 6, 6 6, 3
Right 4, 3 5, 5
The only dominant strategy in this game is for___ to choose_____ .
The outcome reflecting the unique Nash equilibrium in this game is as follows:
Alex chooses______ and Becky chooses_______ .
Answer:
The only dominant strategy in this game is for__Alex_ to choose__Right___ .
The outcome reflecting the unique Nash equilibrium in this game is as follows:
Alex chooses__Right____ and Becky chooses__Left_____ .
Explanation:
The game theory of the Nash equilibrium achieves the optimal outcome of a game because Alex and Becky are not incentivized to deviate from their chosen strategies after considering the opponent's choice. Neither of these two players can increase their payoff by choosing an action different from their current strategic action. Thus, this action profile achieves a Nash equilibrium for the two players because there exists randomization in the game.
Journalize the following transactions of Trapper Jon’s Productions. Assume 360 days in a year. If an amount box does not require an entry, leave it blank.
June 23 Received a $48,000, 90-day, 8% note dated June 23 from Radon Express Co. on account.
Sept. 21 The note is dishonored by Radon Express Co.
Oct. 21 Received the amount due on the dishonored note plus interest for 30 days at 10% on the total amount charged to Radon Express Co. on September 21.
Answer:
June 23 Received a $48,000, 90-day, 8% note dated June 23 from Radon Express Co. on account.
Sept. 21 The note is dishonored by Radon Express Co.
Oct. 21 Received the amount due on the dishonored note plus interest for 30 days at 10% on the total amount charged to Radon Express Co. on September 21.
Explanation:
A firm is considering the purchase of a $500,000 machine for its business. The machine is expected to increase sales by $237,000. The machine will have a 5 year useful life and will be depreciated over 5 years via the straight line method. There is no salvage value. The firm has a required rate of return of 10% for all new capital investments. The project's pro forma income statement is shown below:
Sales $237,000
Total Cost 137,000
Depreciation 100,000
EBIT $0
Taxes 0
Net income $0
The firm should: ___________
a. Accept the project because the NPV is $2,543
b. Accept the project because the NPV is $10,011
c. Reject the project because the NPV is negative $120,921
d. Reject the project because the NPV is negative $500,000
e. It doesnt matter since the NPV is 0
f. Cant tell since there isnt enough information
Answer:
c. Reject the project because the NPV is negative $120,921
Explanation:
As we know that the depreciation is a non-cash expense so here we need to add the depreciation expense again
Now the cash inflow would be $100,000 each year i.e. for 5 years
And, the initial investment is $500,000
Now we have to use the formula of NPV in an excel by using the NPV function
=NPV(rate,Year1 to Year5 cashflows)-Year0 cashflow
=NPV(10%,Year1 to Year5 cashflows)-500000
=-120,921
So as we can see that the npv comes in negative so the project should be rejected
Therefore the correct option is c.
Ahrends Corporation makes 46,000 units per year of a part it uses in the products it manufactures. The unit product cost of this part is below:
Direct materials $14.30
Direct labor 23.90
Variable manufacturing overhead 3.00
Fixed manufacturing overhead 28.30
Unit product cost $69.50
An outside supplier has offered to sell the company all of these parts it needs for $6700 a unit If the company accepts this offer, the facilities now being used to make the pert could be used to make more units of o product that is in high demand. The additional contribution margin on this other product would be $424,000 per year f the part were purchased from the outside supplier, all of the direct labor cost of the part would be avoided. However, $28.40 of the fixed manufacturing overhead cost being applied to the pert would continue even if the part were purchased from the outside supplier. This fixed manufacturing overhead cost would be applied to the company's remaining products.
Required:
What is the maximum amount the compeny should be willing to pay an outside supplier per unit for the part if the supplier commits to supplying all 53,000 units required eoch year?
Answer: 49.10 pee unit
Explanation:
Direct materials = $14.30
Add: Direct labor = 23.90
Add: Variable manufacturing overhead = 3.00
Add: Avoidable overhead = 28.30 - 28.40 = 0.10
Avoidable cost = 41.10
The maximum amount that the company should be willing to pay an outside supplier per unit for the part if the supplier commits to supplying all 53,000 units required each year will be:
= 41.10 × 53000 + 424,000 / 53000
= 49.1 per unit
A firm has market power if it can a. maximize profits. b. minimize costs. c. influence the market price of the good it sells. d. hire as many workers as it needs at the prevailing wage rate.
Answer:
Option C: Influence the market price of the good as it sells
Explanation:
Market Power is simply when a firm is able to raise price above the equilibrium level by not and without losing all of its customers. It depends on largely on the closeness of substiutes.
A firm has market power if it can Influence the market price of the good as it sells to its customer and can regulate it when necessary.
If a business has a surplus of goods, what is something they can do to raise demand?
Answer:
They can lower the price.
Explanation:
When goods are more cheaper, more people will want to buy their products. Or they could just sabotage the entire market (just kidding) Brainliest maybe?
A Contracting Officer notifies you of an acquisition for a specific requirement and asks you to assist with market research to identify potential small businesses who could perform the work. What type of market research is this
Answer: tactical market research
Explanation:
The type of market research that will be used is the tactical market research. A tactical market research is typically done when there is a particular acquisition or need. It is designed in such a way that the specific questions can be answered.
Since the contracting officer notifies of an acquisition for a specific requirement and asks you to assist with market research to identify potential small businesses who could perform the work, the tactical market research should be used.
Your Aunt Ruth has $540,000 invested at 6.5%, and she plans to retire. She wants to withdraw $40,000 at the beginning of each year, starting immediately. How many years will it take to exhaust her funds, i.e., run the account down to zero
Answer:
It will take 28 years for Aunt Ruth to exhaust her funds.
Explanation:
This can be calculated using the formula for calculating the present value (PV) of annuity due given as follows:
PV = P * ((1 - [1 / (1 + r))^n) / r) * (1 + r) .................................. (1)
Where;
PV = Present value or amount invested = $540,000
P = Monthly withdraw = $40,000
r = interest rate = 6.5%, or 0.065
n = number of years = ?
Substitute the values into equation (1) and solve for n, we have:
540,000 = 40,000 * ((1 - (1 / (1 + 0.065))^n) / 0.065) * (1 + 0.065)
540,000 / 40,000 = ((1 - (1 / 1.065)^n) / 0.065) * 1.065
13.50 = ((1 - 0.938967136150235^n) / 0.065) * 1.065
13.50 / 1.065 = (1 - 0.938967136150235^n) / 0.065
12.6760563380282 = (1 - 0.938967136150235^n) / 0.065
12.6760563380282 * 0.065 = 1 - 0.938967136150235^n
0.823943661971833 = 1 - 0.938967136150235^n
0.938967136150235^n = 1 - 0.823943661971833
0.938967136150235^n = 0.176056338028167
Log linearizing, we have:
n log0.938967136150235 = log0.176056338028167
n = log0.176056338028167 / log0.938967136150235
n = -0.754348335711024 / -0.0273496077747565
n = 27.5816875299865
Rounding to a whole number, we have:
n = 28
Therefore, it will take 28 years for Aunt Ruth to exhaust her funds.
Mo Meek, Lu Ling, and Barb Beck formed the MLB Partnership by making capital contributions of $79,200, $308,000, and $492,800, respectively. They predict annual partnership net income of $519,000 and are considering the following alternative plans of sharing income and loss: (a) equally; (b) in the ratio of their initial capital investments; or (c) salary allowances of $85,200 to Mo, $63,900 to Lu, and $96,500 to Barb; interest allowances of 10% on their initial capital investments; and the balance shared as follows: 20% to Mo, 40% to Lu, and 40% to Barb. Required:Use the table to show how to distribute net income of $519,000 for the calendar year under each of the alternative plans being considered. Income(Loss) Sharing PlanPlan (a) Mo Lu Barb Total $519,000Balance allocated equity 1/3 $173,000 1/3 519.000 1/3 173.000 519,000 Balance of income(loss) $0Shares to the partners $173,000 173 000 173000 519,000 Plan (b) Mo Lu Barb TotalNet Income (loss) $519,000Balance allocated in proportion to initial investments 1/2 $46,710 1/2 181,650 1/2 $290,640 $519,000Balance of income (loss) Shares to the partners 1/2 $46,710 1/2 181,650 1/2 $290,640 $519,000
Answer:
which subject questions
g Suppose that the labor supply curve has the standard shape in that it continuously slopes upward. This implies that throughout the curve: a. there is no substitution effect b. the income effect is stronger than the substitution effect c. the substitution effect is stronger than the income effect d. there is no income effect
Answer:
c. the substitution effect is stronger than the income effect
Explanation:
When the labor supply curve has a continuously upward slope it means that the substitution effect is higher than the income effect. The substitution effect means that labor suppliers (households) will consider higher wages more attractive than other activities not related to work, e.g. leisure activities.
The income effect means that as the employees' total wages increase due to higher rates, they will work less and engage in more leisure activities. Since employees earn enough money to satisfy their needs, they are not motivated to work more hours.
Bob's new startup goes public and sells shares of future profits. Bob's startup is best described as a
Answer: borrower or as a demander of funds
Explanation:
Bob new startup goes public and sells shares of future profits. Bob startup is best described as a borrower or as a demander of funds.
This will be considered to be a borrower or a demander of bonds due to the fact that future profits are being provided to shareholders as shares.
SartainC orporation is planning its annual budget and has the following beginning and ending inventory levels planned for the year.
Beginning Inventory Ending Inventory
Finished goods (units) 22,000 32,000
Raw material (grams) 52,000 42,000
Each unit of finished goods requires 3 grams of raw material. The company plans to sell 170,000 units during the year. How much of the raw material should the company purchase during the year?
a. 552,000 grams
b. 540,000 grams
c. 530,000 grams
d. 582,000 grams
Answer: c. 530,000 grams
Explanation:
Finished goods that should be produced in the year;
= Units to be sold + ending inventory - beginning inventory
= 170,000 + 32,000 - 22,000
= 180,000 units of finished goods.
Each unit of finished good requires 3 grams of raw material;
= 180,000 * 3
= 540,000 grams
Raw materials to be purchased;
= Raw materials needed + ending inventory - beginning inventory
= 540,000 + 42,000 - 52,000
= 530,000 grams
In order to make sure that employees do not misuse equipment in a way that could harm personnel, assets, or the organization's legal standing, organizations will create ______________ Use Policies to govern employee behavior.
Answer:
Acceptable
Explanation:
The acceptable use policy is also known as fair use policy or the acceptable usage policy. It is a document or set of rules that is applied by the owner or by the management of nay organization or company that restricts and prevents the use of many equipment and other tools and machinery which could harm other coworker, other assets of the company or the legal standing of the company. It limits or restricts the usage of certain equipment and provides guidelines on how the equipment should be used and when to use.
A portfolio's beta is... Group of answer choices the weighted average of the individual stocks' betas, where the weights are determined by the market capitalizations of each stock. is close to zero if the portfolio is large. the same as the highest beta of all the stocks in the portfolio. the square root of the weighted average of the squares of the individual stocks' betas.
Answer:
a. the weighted average of the individual stocks beta, where the weights are determined by the market capitalization of each stock.
Explanation:
A portfolio betas is the weighted average of the individual stocks beta, where the weights are determined by the market capitalization of each stock. A portfolio betas is also known as weighted betas. Beta of the portfolio represent both the betas of the individual assets in the portfolio and their respective market value weights.
The net income reported on the income statement for the current year was $73,600. Depreciation recorded on store equipment for the year amounted to $27,400. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of YearCash $23,500 $18,700Accounts receivable (net) 56,000 48,000Merchandise inventory 35,500 40,000Prepaid expenses 4,750 7,000Accounts payable (merchandise creditors) 21,800 16,800Wages payable 4,900 5,800Required:A. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. Use the minus sign to indicate cash outflows, cash payments, decreases in cash and for any adjustments, if required.B. Briefly explain why net cash flow from operating activities is different than net income.
Answer:
A. Cash Flows from Operating Activities
Adjusted cash flow $101,000
Working capital adjustments:
Accounts receivable (8,000)
Inventory 4,500
Prepaid expenses 2,250
Accounts payable 5,000
Wages payable (900)
Net cash from operations $103,850
B. The difference in the net cash flow from operating activities and the net income results from the basis of calculating each parameter. The net cash flow from operating activities is calculated based on the cash basis while the net income is calculated based on the accrual basis and the latter takes into account all income and expenses whether cash movement is involved or not.
Explanation:
a) Data and Calculations:
Net income = $73,600
Depreciation 27,400
Adjusted cash flow = $101,000
Working capital balances:
End of Year Beginning Increase/Decrease
of Year
Cash $23,500 $18,700 $4,800
Accounts receivable (net) 56,000 48,000 8,000
Merchandise inventory 35,500 40,000 $4,500
Prepaid expenses 4,750 7,000 2,250
Accounts payable
(merchandise creditors) 21,800 16,800 5,000
Wages payable 4,900 5,800 900
Cash Flows from Operating Activities
Adjusted cash flow $101,000
Working capital adjustments:
Accounts receivable (8,000)
Inventory 4,500
Prepaid expenses 2,250
Accounts payable 5,000
Wages payable (900)
Net cash from operations $103,850
The Treasury bill rate is 3.5%, and the expected return on the market portfolio is 10.4%. Use the capital asset pricing model. a. What is the risk premium on the market?
Answer:
6.9%
Explanation:
Treasury bill rate is 3.5%
Market portfolio is 10.4%
Therefore the risk premium on the market can be calculated as follows
= 10.4%-3.5%
= 6.9%
Hence the risk premium is 6.9%
DOES ANYONE HAVE A CAMERA?
Answer:
yes, why?
Explanation:
Answer:
indeed i do, i use a photography camera that my father gave me years ago after he retired from national geographic.
Explanation:
X Corporation and its two divisions, Domestic and Foreign, appear below:
Sales revenues, Domestic $640,000
Variable expenses, Domestic $371,300
Traceable fixed expenses, Domestic $76,500
Sales revenues, Foreign $493,900
Variable expenses, Foreign $281,800
Traceable fixed expenses, Foreign $63,900
In addition, X's common fixed expenses totaled $173,300 and were allocated as follows: $90,000 to the Domestic division and $83,300 to the Foreign division.
What is the segment margin for the Domestic division?
a. $178,700
b. $371,300
c. $102,200
d. $192,200
Answer:
d. $192,200
Explanation:
Preparation for What is the segment margin for the Domestic division
DOMESTIC division FOREIGN division
Sales revenues $640,000 $493,900
Less Variable expenses ($371,300) ($281,800)
Contribution margin $268,700 $212,100
($640,000-$371,300) ($493,900-$281,800)
Less Traceable fixed expenses ($76,500) ($63,900)
SEGMENT MARGIN $192,200 $148,200
(268,700-$76,500) (212,100-$63,900)
Therefore the segment margin for the Domestic division will be $192,200
Which of the following is a characteristic of a task-oriented leader? staying accountable for assigning work ensuring everyone receives the work they are most comfortable doing focusing on employee motivation collaborating with employees on goal setting
Answer: staying accountable for assigning work
Explanation:
Task-oriented leaders are the kind of leaders that their main focus is on how a particular goal would be achieved or how a work would be completed.
These kind of leaders are motivated to complete a job and use the best resources that are available to achieve their goal. Such leaders are accountable for the work assigned.
Claire Corporation is planning to issue bonds with a face value of $240,000 and a coupon rate of 8 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 12 percent.
Required:
a. Provide the journal entry to record the issuance of the bonds.
b. Provide the journal entry to record the interest payment on March 31, June 30, September 30, and December 31 of this year.
c. What bonds payable amount will Claire report on this year’s December 31 balance sheet?
Answer:
a) issue price
PV of face value = $240,000 / (1 + 3%)⁸ = $189,458
PV of coupon payments = $4,800 x 7.0197 (PV annuity factor, 3%, 8 periods) = $33,695
market price = $223,153
January 1, bonds issued at a discount
Dr Cash 223,153
Dr Discount on bonds payable 16,847
Cr Bonds payable 240,000
b) discount amortization = ($223,153 x 3%) - $4,800 = $1,895
discount amortization = ($225,048 x 3%) - $4,800 = $1,951
discount amortization = ($226,999 x 3%) - $4,800 = $2,010
discount amortization = ($229,009 x 3%) - $4,800 = $2,070
March 31, first coupon payment
Dr Interest expense 6,695
Cr Cash 4,800
Cr Discount on bonds payable 1,895
June 30, second coupon payment
Dr Interest expense 6,751
Cr Cash 4,800
Cr Discount on bonds payable 1,951
September 30, third coupon payment
Dr Interest expense 6,810
Cr Cash 4,800
Cr Discount on bonds payable 2,010
December 31, fourth coupon payment
Dr Interest expense 6,870
Cr Cash 4,800
Cr Discount on bonds payable 2,070
c) bonds' carrying value at December 31 = $231,169
Shale, a C corporation, made two liquidating distributions of $1,000 on January 9, 2020, and February 13, 2020, to shareholder Patricia. Shale must file Form 1099-DIV, Dividends and Distributions, with the Internal Revenue Service by
Answer:
February 28, 2018.
Explanation:
Shale, a C corporation, made two liquidating distributions of $1,000 on January 9, 2020, and February 13, 2020, to shareholder Patricia. Shale must file Form 1099-DIV, Dividends and Distributions, with the Internal Revenue Service by February 28, 2018.
Weng CPAs charges for their services based on the following: Labor rate $ 171 per hour Materials markup 30 % Using time and materials pricing, what is the total price for services requiring 6 labor hours and $61 of materials
Answer: $1105.3
Explanation:
The information given in the question is used to solve the question below
Materials = $61
Materials markup = $61 × 30% = $61 × 0.3 = $18.3
Labor = $171 × 6 = $1026
The total price for the services will be:
= $61 + $18.3 + $1026
= $1105.3
what is the effect on the financial statements when adjust the prepaid insurance account at year-end for insurance coverage which has expire
Answer:
When prepaid insurance (or any other prepaid expense) is adjusted at year end in order to record accrued expenses, financial statements are affected in the following way:
income statement: costs increase, decreasing profitsbalance sheet: assets and equity decreasecash flow statement: cash from operating activities increasesowners' equity: decreasesAsking an employee if there is anything that you can do to make it easier to work together
Answer:
Communicate, every day, every way
Good communication is at the heart of great teamwork. Great teams communicate well and often, their members are happy to share ideas, brainstorm together, ask for feedback, and be contradicted.
Explanation:
Hope this helps:)
A large human population, both globally and within individual countries, has been a concern since the time of Thomas Malthus. Country X is 95% desert. The government of Country X is concerned about not having enough arable land (land capable of being used to grow crops) in the country to produce the food needed to feed its population without increasing food imports. One government official proposes a project to irrigate large areas of the desert to convert these areas of desert to agricultural fields.
Required:
Describe one potential benefit of this proposed project.
Answer:
The most obvious potential benefit is turning desert land into arable land. As total arable land increases, the country will be able to grow more crops. As more crops are grown and harvested, the country will be able to feed larger populations without having to import large amounts of food. E.g. in many Arab nations, food and water are scarce and they are forced to import most of their food. If they didn't have oil exports, they wouldn't be able to pay for these imports.
What is the expected dividend to be paid in 3 years if yesterday's dividend was $6.00, dividends are expected to grow at a constant 6% annual rate, and the firm has a 10% expected return
Answer:
D3 = $7.146096 rounded off to $7.15
Explanation:
The dividend growth projected for the stock expects the stock to grow at a constant rate of 6% each year over an indefinite period of time. This means that the $6 dividend paid by the stock in the current year will grow by 6% every year over its life. Thus, the expected dividend to be paid in 3 years will be calculated as follows,
Lets say that the dividend just paid is D0. Thus, the dividend to be paid in 3 years will be D3. So, D3 will be calculated as follows,
D3 = D0 * (1+g)^3
D3 = 6 * (1+0.06)^3
D3 = $7.146096 rounded off to $7.15
Use AutoCorrect options to expand the listed abbreviations, and then rewrite each abbreviation.
Dr.
Mr.
Ave.
Shelby Cabinets, Inc. produces custom cabinets. The following inventory balances appeared on its balance sheet.
12/31/2012
12/31/2011
Raw materials inventory
$ 8,000
$ 10,000
Work-in-process inventory
600,000
550,000
Finished goods inventory
350,000
410,000
Shelby Cabinets had $1,265,000 in sales for the year ended December 31, 2012. The company also had the following costs for the year:
Selling
$ 90,000
General and administrative
$240,000
Raw materials purchases
$100,000
Direct labor used in production
$125,000
Manufacturing overhead
$630,000
Of the total raw materials placed in production for the year, $12,000 was for indirect materials and must be deducted to find direct materials placed in production.
Using the above information, what was Shelby’s Cost of Goods Manufactured?
(Hint: You must first calculate Direct materials placed in production before calculating the Cost of Goods Manufactured.)
Group of answer choices
$795,000
$845,000
$855,000
$1,395,000
Answer:
$855,000 yippie!!!
Complete the sentence about course credit.
Amy is enrolled at the state university as well as at her high school, and she takes classes at both. She’ll get
for her courses, which will count as both high school and college classes.
Answer:
Articulated credit
Explanation:
Answer: concurrent enrollment
Explanation:
Your company will generate $74,000 in annual revenue each year for the next seven years from a new information database. If the appropriate interest rate is 7.25 percent, what is the present value of the savings
Answer:
$395,354.84
Explanation:
Present value = Payment of yearly revenue * [(1-interest rate)^n )/ Interest rate]
Present value = $74,000 * [(1-1/(1+0.0725)^7 / 0.0725]
Present value = $74,000 * 5.34263299822737
Present value = $395354.8418688254
Present value = $395,354.84
Therefore, the present value is $395,354.84
