True or False: A price ceiling below $25 per box is not a binding price ceiling in this market. True False Because it takes many years before newly planted orange trees bear fruit, the supply curve in the short run is almost vertical. In the long run, farmers can decide whether to plant oranges on their land, to plant something else, or to sell their land altogether. Therefore, the long-run supply of oranges is much more price sensitive than the short-run supply of oranges. Assuming that the long-run demand for oranges is the same as the short-run demand, you would expect a binding price ceiling to result in a that is in the long run than in the short run.
Answers
Answer:
1. False
2. Shortage; Larger
Explanation:
1. A binding price ceiling is one that prevents the market from reaching its equilibrium. In this market, the equilibrium price is $25 therefore anything below $25 will be binding. A price ceiling below $25 per box is a binding ceiling.
2. Assuming that the long-run demand for oranges is the same as the short-run demand, you would expect a binding price ceiling to result in a shortage that is larger in the long run than in the short run.
In the long run, supply is more sensitive because farmers can decide to plant oranges on their land, to plant something else, or to sell their land altogether.
This means that a price ceiling in the long run will be less attractive to farmers so they might leave the market. If they do this then the shortage will be more as there are now less supplies in the market.
Related Questions
Imagine that a small manufacturing company decides to invest in a materials resources planning (MRP) system. This is a computerized information system that improves efficiency by automating such work as planning needs for resources, ordering materials, and scheduling work on the shop floor. The company hopes that with the new MRP system, it can grow by quickly and efficiently processing small orders for a variety of products. Which of the human resource functions are likely to be affected by this change? How can human resource management help the organization carry out this change successfully?
Answers
The correct answer to this open question is the following.
Although there are no options attached, we can say the following,
The human resource functions that are likely to be affected by this change are Resource Management, Personal Data Management, Training, and Performance Management.
Human Resource Management helps the organization carry out this change successfully, explaining how these modifications can benefit the employees and the entire organization. HR has to use the proper means of internal communication to explain in advance the kinds of oof changes that are coming. This will prevent fear and anxiety, and eliminate rumors about the situation of the employees in the organization.
HR has to be careful in confirming that nobody is going to be fired by the arrival of new technologies. Then, HR has to explain in detail the many benefits in planning, scheduling, organizing, inventory, and many other benefits for each department. If employees do not feel threatened by this new technology they would welcome changes that allow them to do their work more productively.
The human resource functions that are likely to be affected by this change are Resource Management, Personal Data Management, Training, and Performance Management.
What is human resource?Human resources (HR) is the department within a business that is responsible for all things worker-related. That includes recruiting, vetting, selecting, hiring, onboarding, training, promoting, paying, and firing employees and independent contractors.
In simplest terms, the HR department is a group who is responsible for managing the employee life cycle (i.e., recruiting, hiring, onboarding, training, and firing employees) and administering employee benefits.
Learn more about human resources here,
https://brainly.com/question/27759633
#SPJ5
Which of the following is a duty of a personal finance manager?
A. Selling property insurance
B. filing tax returns
C. tracking clients' investments
D. selling houses
Answers
Answer:
Filling rax return is a duty of a personal finance manager
Tony purchased 100 shares of T-Rex stock for $43 a share. On the same day, Sam also purchased 100 shares of T-Rex stock for $43 a share. Tony paid cash for his purchase while Sam used margin. The initial margin requirement on this stock is 60% while the maintenance margin is 40%. Both Tony and Sam sold their shares after eight months at a price of $40 a share. The stock pays no dividends. Tony had a holding period percentage return of ________% as compared to Sam's ________% return. Ignore margin interest and trading costs.
Answers
Answer and Explanation:
The computation is shown below:
For Tom, without margin is
= Number of shares × (price after eight months - purchased value) ÷ ( number of shares × purchased value)
= (100 × ($40 - $43) ÷ (100 × $43)
= -6.98%
For sam, with margin is
= Number of shares × (price after eight months - purchased value) ÷ ( number of shares × purchased value × initial margin requirement )
= (100 × ($40 - $43) ÷ (100 × $43 × 60)
= -11.63%
Which organizational theory focuses on interactions and relationships between employees?
Modern
Neoclassical
Administrative
Scientific
Answers
Honda Motor Company is considering offering a rebate on its minivan, lowering the vehicle's price from to . The marketing group estimates that this rebate will increase sales over the next year from to vehicles. Suppose Honda's profit margin with the rebate is per vehicle. If the change in sales is the only consequence of this decision, what are its costs and benefits? Is it a good idea? Hint: View this question in terms of incremental profits.
Answers
Answer:
the numbers are missing, so I looked fro a similar question:
"Honda Motor Company is considering offering a $2,000 rebate on its minivan, lowering the vehicle's price from $30,000 to $28,000. The marketing group estimates that this rebate will increase sales over the next year from 40,000 to 55,000 vehicles. Suppose Honda's profit margin with the rebate is $6,000 per vehicle."
additional revenue generated by the rebate = 15,000 minivans x $6,000 = $90 million
the total economic cost of the rebate (money lost due to the rebate) = number of minivans sold without the rebate x rebate = 40,000 x $2,000 = $80 million, since the rebate includes all minivans, not just the additional 10,000 units.
Honda will gain = $90 - $80 = $10 million with the rebate, so it is a good idea.
Inspection costs at one of Ratulowski Corporation's factories are listed below: Units Produced Inspection Costs April 922 $ 17,912 May 983 $ 18,300 June 928 $ 17,965 July 912 $ 17,810 August 934 $ 17,994 September 919 $ 17,880 October 936 $ 18,032 November 876 $ 17,290 December 915 $ 17,838 Management believes that inspection cost is a mixed cost that depends on units produced. Using the high-low method, the estimate of the fixed component of inspection cost per month is closest to: (Round your intermediate calculations to 2 decimal places.)
Answers
Answer:
Fixed costs= $9,021.27
Explanation:
Giving the following information:
April 922 $ 17,912
May 983 $ 18,300
June 928 $ 17,965
July 912 $ 17,810
August 934 $ 17,994
September 919 $ 17,880
October 936 $ 18,032
November 876 $ 17,290
December 915 $ 17,838
To calculate the variable and fixed component, we need to use the following formulas:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (18,300 - 17,290) / (983 - 876)
Variable cost per unit= $9.4392
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 18,300 - (9.4392*983)
Fixed costs= $9,021.27
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 17,290 - (9.4392*876)
Fixed costs= $9,021.27
The cycle view of the supply chain is useful when considering operational decisions, because Select one: a. it focuses on processes that are external to the firm. b. processes are identified as either reactive or speculative. c. it specifies the roles and responsibilities of each member of the supply chain. d. it focuses on processes that are internal to the firm. e. it categorizes processes based on whether they are initiated in response to or in anticipation of customer orders.
Answers
Answer:
c. it specifies the roles and responsibilities of each member of the supply chain.
Explanation:
Supply chain management (SCM) can be defined as the effective and efficient management of the flow of goods and services, as well as all of the production processes involved in the transformation of raw materials into finished products that meet the insatiable want and need of the consumers. Generally, the supply chain management involves all the activities associated with planning, execution and supply of finished goods and services to the consumers.
The key principle of supply chain management can be best summed up as collaboration between multiple firms. These multiple firms include a company that is saddled with the responsibility of manufacturing, a wholesaler, and a retailer who typically sells the products to the customers or consumers.
Basically, these three (3) firms or individuals are required to collaborate with each other so as to meet the needs of the customers in a timely manner or fashion and at a fair price too.
Hence, the supply chain comprises of processes which are typically divided into four (4) cycles;
1. Customer order cycle: it involves the process of receiving an order from a customer, entry and fulfillment of orders.
2. Replenishment cycle: it includes receiving, entry and fulfillment of retail orders.
3. Manufacturing cycle: it includes the process of converting raw materials into finished products.
4. Procurement cycle: this includes shipping or receiving raw materials and production schedules.
The cycle view of the supply chain is useful when considering operational decisions, because it specifies the roles and responsibilities of each member of the supply chain.
What can you do to help choose the best idea?
Answers
Answer:
you can double check like go through and make sense of whatever it is i like to go through them and see which one makes the most sense
Explanation:
The records of Bentler Shoppers, Inc. for December 2018 shows the following information:
Sales $2,050,000
Selling and administrative expenses 250,000
Direct materials purchases 205,000
Direct labor 298,000
Factory overhead 350,000
Direct materials, December 1 50,000
Work-in-process, December 1 85,000
Finished goods, December 1 64,000
Direct materials, December 31 41,000
Work-in-process, December 31 72,000
Finished goods, December 31 55,000
The net income for the month of December is:__________.
Answers
Answer:
The net income for the month of December is: $916,000.
Explanation:
First Prepare a Manufacturing Schedule as follows :
Note : this gives us cost of goods manufactured
$
Direct Materials ( 50,000 + 205,000 - 41,000) 214,000
Direct labor 298,000
Factory overhead 350,000
Add Opening Work-in-process Inventory 85,000
Less Closing Work-in-process Inventory (72,000)
Cost of goods manufactured 875,000
Then Prepare a Finished Goods Account as follows :
Note : This gives us the cost of goods sold
Finished Goods T - Account
$
Debit :
Opening Balance 64,000
Transfer from Manufacturing Account 875,000
Totals 939,000
Credit:
Ending Balance 55,000
Transferred to Trading Account (Balancing figure) 884,000
Totals 939,000
Lastly, Prepare the Income Statement for the Year Ended December 2018.
Note : This gives us the required Net Income
Income Statement for the Year Ended December 2018
Sales $2,050,000
Less Cost of Goods Sold ($884,000)
Gross Profit $1,166,000
Less Expenses :
Selling and administrative expenses ($250,000)
Net Income/ (Loss) $916,000
Abel, Baker, and Charlie all run competing bakeries, where each makes loaves of bread. a. At Abel’s bakery, the marginal product of labor is 15, and the average product of labor is 12. Would Abel’s average product increase or decrease if he hired another worker? b. At Baker’s bakery, the marginal product of labor is 7, and the average product of labor is 12. Would Baker’s average product increase or decrease if he hired another worker? c. At Charlie’s bakery, the marginal product of labor is –12. Does this mean her average product must also be negative?
Answers
Answer:
a. It would increase
If the Marginal product of labor is higher than the average product of labor then it means that for every additional person hired, production will increase more than it did when they hired the last person thereby increasing the average product. Production is increasing at an increasing rate. Abel should hire more people.
b. It would decrease
If the Marginal product of labor is less than the average product, this means that for every additional person hired, the additional production quantity is less than when they hired the last person therefore average product will decrease. Production is increasing at a decreasing rate. Baker should not hire more people.
c. It does not mean average product is also negative.
A negative marginal product means that for every additional person hired, the total production quantity reduces. This does not mean that average production will be negative. This in fact, is not possible. Charlie's Bakery cannot produce less than zero but they can produce less than they have been and this is what a negative marginal product of labor is.
The City of Park Ridge reported appropriations in the amount of $40,000,000 for its General Fund for the fiscal year ended December 31, 2020. During that year, expenditures amounted to $37,900,000 (related to current year purchase orders that have been filled). In addition, $1,600,000 in encumbrances had been issued this year, but not filled. The amount that Park Ridge would report for expenditures (and encumbrances, if applicable) in its 2020 General Fund Statement of Revenues, Expenditures, and Changes in Fund Balances (GAAP Basis) would be:
Answers
Answer: $37,900,000
Explanation:
Encumbrances simply means the money that is saved or reserved in order to use it for a particular thing.
The amount that Park Ridge would report for expenditures (and encumbrances, if applicable) in its 2020 General Fund Statement of Revenues, Expenditures, and Changes in Fund Balances (GAAP Basis) would be $37,900,00.
This is because we are informed that during that year, the expenditures of $37,900,000 which related to the current year purchase orders that have been filled.
Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the next month’s budget appear below: Selling price per unit $ 23 Variable expense per unit $ 15 Fixed expense per month $ 7,040 Unit sales per month 1,030 Required: 1. What is the company’s margin of safety? (Do not round intermediate calculations.) 2. What is the company’s margin of safety as a percentage of its sales? (Round your percentage answer to 2 decimal places (i.e. 0.1234 should be entered as 12.34).)
Answers
Answer:
Margin of safety= 150 untis
Margin of safety ratio= 15%
Explanation:
Giving the following information:
Selling price per unit $23
Variable expense per unit $15
Fixed expense per month $ 7,040
Unit sales per month 1,030
First, we need to calculate the break-even point in units:
Break-even point in units= fixed costs/ contribution margin per unit
Break-even point in units= 7,040 / (23 - 15)
Break-even point in units= 880
Now, the margin of safety in units and as a percentage:
Margin of safety= (current sales level - break-even point)
Margin of safety= 1,030 - 880
Margin of safety= 150 untis
Margin of safety ratio= (current sales level - break-even point)/current sales level
Margin of safety ratio= 150/1,030
Margin of safety ratio= 0.146
Margin of safety ratio= 15%
Personal Marketing Plan: SWOT Analysis
In this chapter we discussed the elements and importance of the situation analysis. The next step in developing a full marketing plan for yourself is to conduct a SWOT analysis on yourself. It should tie back to the objectives you developed at the end of Chapter 1. Be sure to think through each element and honestly assess where you are today. This will help you focus on what you need to accomplish over the rest of your college career.
Strengths. Most people have some notion of their strengths—maybe you’re an effective public speaker, pay a great deal of attention to detail, or work well with others, for example. It's likely that you've had those strengths reinforced by those around you over the course of your life.
To effectively complete the strengths part of your personal SWOT analysis, list three to five strengths that you possess that will most affect your ability to achieve the objectives you identified in Chapter 1.
Answers
Answer:
Strengths that will most affect my ability to achieve the objectives I have Identified are:
Explanation:
Ability to spot trends very earlyAbility to network with people easily. I have a very strong network across various industries of key decision-makersHistory with setting goals and achieving themKnowledge of Business Law. This enables me to make sound business decisions especially when closing deals and signing off on contractsPrior experience in the same industryCheers
Mary's last bank statement showed an ending balance of $. This month, she deposited in her account and withdrew a total of $. Furthermore, Mary wrote a total of five checks, two of which have cleared. The two checks that have cleared total $. The three remaining checks total $. Mary pays no fees at her bank. What is the balance shown this month on Mary's bank statement? What is the adjusted bank balance?
Answers
Answer:
1. $305.05
2. $217.71
Explanation:
The computation of balance shown this month on Mary's bank statement is shown below:-
Balance as per bank book (ending)
= Opening balance + Deposit - Withdrawal - Cheque cleared
= $129.97 + $476.23 - $185.54 - $115.61
= $305.05
The computation of adjusted bank balance is shown below:-
Adjusted bank balance = Ending bank balance - Uncleared cheque
= $305.05 - $87.34
= $217.71
The following information applies to Caroline, who is single, for 2017:
Salary $44,000
Alimony received 9,600
Child support received 4,800
Cash inheritance from her mother's estate 15,000
Jury duty fees 75
Penalty for early withdrawal from savings (630)
Life insurance proceeds received as a result of the death of her mother 50,000
Contributions to Health Savings Account (3,600)
Number of potential dependents ?
Age 38
Caroline's mother lived with her for 10 months (until her death). Her mother's income consisted of $12,000 in Social Security benefits.
The personal exemption amount for 2017 is $4,050. Click here to access the standard deduction table to use.
Indicate whether the following items are taxable or nontaxable to Caroline.
1. Child support received
2. Life insurance proceeds received as a result of the death of her mother
3. Alimony received
4. Salary
5. Jury duty fees
Identify which items Caroline can deduct (fully or partially).
6. Penalty for early withdrawal from savings
7. Contributions to Health Savings Account
8. Caroline's taxable income in 2017 is $.
Answers
Answer:
1. Child support received ⇒ NOT TAXABLE
2. Life insurance proceeds received as a result of the death of her mother ⇒ NOT TAXABLE, ONLY INTERESTS RECEIVED FROM A LIFE INSURANCE POLICY ARE TAXABLE, THE PRINCIPAL IS NOT TAXABLE.
3. Alimony received ⇒ TAXABLE IN 2017. THE TC&JA ESTABLISHED THAT ALL ALIMONY RECEIVED STARTING 2019 WOULD BE TREATED AS CHILD SUPPORT, BUT ANY ALIMONY PAYMENTS ESTABLISHED AND ALREADY PAID UNTIL 2018 ARE CONSIDERED INCOME FOR THE RECEIVING PARTY AND ARE TAX DEDUCTIBLE FOR THE GIVING PARTY.
4. Salary ⇒ TAXABLE INCOME
5. Jury duty fees ⇒ TAXABLE INCOME
Identify which items Caroline can deduct (fully or partially).
6. Penalty for early withdrawal from savings ⇒ YOU CANNOT DEDUCT ANY PENALTIES FROM EARLY WITHDRAWALS FROM IRA ACCOUNTS, YOU CAN DEDUCT PENALTIES FROM CASHING A CASH DEPOSIT EARLY, BUT I DON'T THINK THIS IS THE CASE.
7. Contributions to Health Savings Account ⇒ 100% TAX DEDUCTIBLE
8. Caroline's taxable income in 2017 is $.
Salary $44,000
Alimony received $9,600
Jury duty fees $75
Contributions to Health Savings Account ($3,600)
Standard deduction for single filer 2017 ($6,350)
Personal exemption ($4,050)
Her mother cannot be claimed as a dependent because her income was higher than the gross income limit. Since we are not given the number of children, or if they continued to be minors during more than half of 2017, we cannot include them in our calculations. That is also why I considered Caroline a single filer and not a head of household.
total taxable income = $39,675
Luther owns a bakery. He has been trying to obtain a long-term contact with the owner of Martha’s Tea Salons for some time. Luther starts a local advertising campaign on radio and television and in the newspaper. This advertising campaign is so persuasive that Martha decides to break the contract she has had with Harley’s Bakery so that she can patronize Luther’s bakery. Is Luther liable to Harley’s Baker for the tort of wrongful interference with a contractual relationship? Is Martha liable for this tort? Explain each part fully and completely.
Answers
Answer:
Even though Luther was trying to obtain a long term contract with Martha's Tea Salons for a while, he is not responsible for them breaking apart. In order for wrongful interference of a contractual obligation (which is a tort) to exist, Luther must have actively done something to break their contractual relationship. Luther started an advertising campaign, but that does not directly interfere with Martha's and Harley's relationship. It is like saying that because Coke has a lot of advertising, if any of Pepsi's clients breaks up with them, Coke would be responsible for it.
Martha cannot be liable for wrongful interference, she might be responsible for breaching her contract with Harley, but that is something else. Depending on the specific terms of Martha's contract with Harley, Martha may or may not have breached the contract. If the contract allowed Martha to terminate it at will, then there is no breach, but if the contract was supposed to last a specific amount of time, then the possibility of a breach really exists.
A first-rate SWOT analysis is a way to measure whether a company's value chain is longer or shorter than the chains of key rivals. is a tool for benchmarking whether a firm's strategy is closely matched to industry key success factors. reveals whether a company is competitively stronger than its closest rivals. provides a good basis for crafting a strategy. identifies the reasons a company's strategy is or is not working very well.
Answers
Answer:
The answer is "provides a good basis for crafting strategy".
Explanation:
The SWOT analysis creates the foundation for something like a plan that also builds mostly on advantages of the business, tries to acquire the maximum opportunities for the industry, which defends it against threats to its well-being.
This strategic thinking uses to support an individual in identifying strengths, weaknesses, opportunities, and threats associated with both the competition of enterprises or programs.
Golden Enterprises started the year with the following: Assets $111,000; Liabilities $39,000; Common Stock $69,000; Retained Earnings $3,000. During the year, the company earned revenue of $5,900, all of which was received in cash, and incurred expenses of $3,450, all of which were unpaid as of the end of the year. In addition, the company paid dividends of $1,900 to owners. Assume no other activities occurred during the year. The amount of Golden's assets at the end of the year is:
Answers
Answer:
$115,000
Explanation:
Ending assets= assets at the start of the year + revenue - dividend
Asset at the start of the year= $111,000
Revenue= $5,900
Dividend= $1,900
Therefore the amount of Golden assets at the end of the year can be calculated as follows
= $111,000 + $5,900-$1,900
= $116,900-$1,900
= $115,000
Hence the amount of Golden assets at the end of the year is $115,000
Cranford Company completed and transferred out 3,400 units in May 2020. There were 250 units in the Work-in-Process Inventory on May 31, 2020, 40% complete as to conversion costs and 100% complete as to materials. The month's charges for conversion costs and material costs were $17,850 and $13,140, respectively. There was no beginning inventory on May 1, 2020. What is the cost of the work transferred-out during May, assuming that Cranford uses weighted-average process costing
Answers
Answer:
$29,580
Explanation:
we must first determine equivalent units:
EUP for materials = 3,400 + 250 = 3,650 EUP
EUP for conversion costs = 3,400 + (250 x 40%) = 3,500 EUP
conversion cost per EUP = $17,850 / 3,500 EUP = $5.10
materials per EUP = $13,140 / 3,650 EUP = $3.60
total costs per EUP = $8.70
total units transferred out = 3,400
total cost of units transferred out = 3,400 x $8.70 = $29,580
Is the percentage of Flying Cow’s expected long-term cash flows consistent with the value cited in the professional studies? No, because only 50.05% of the firm’s share price is derived from its expected long-term free cash flows. Yes, because 75.42% of the firm’s share price is derived from its expected long-term free cash flows. No, because the percentage of Flying Cow’s expected long-term cash flows is actually 14.30%. Yes, because 85.70% of the firm’s share price is derived from its expected long-term free cash flows.
Answers
Answer: The question is incomplete. The complete question is :
The multi-stage valuation model Consider the case of Flying Cow Aviation Inc.: Flying Cow Aviation Inc. is expected to generate a free cash flow (FCF) of $1,180,000 this year, and the FCF is expected to grow at a rate of 14% over the following two years (FCF 2 and FCF3). After the third year, however, the company's FCFs are expected to grow at a constant rate of 6% per year, which will last forever (FCF 4-0). If Flying Cow's weighted average cost of capital (WACC) is 12%, complete the following table and compute the current value of Flying Cow's operations. Round all dollar amounts to the nearest whole dollar, and assume that the firm does not have any nonoperating assets in its balance sheet and that all FCFs occur at the end of each year. Year PV(FCF) CFt $1,180,000 FCF1 FCF2 FCF3 FCF4 Horizon Value4 Vop= Flying Cow's debt has a market value of $16,875,959, and Flying Cow has no preferred stock in its capital structure. If Flying Cow has 100,000 shares of common stock outstanding, then the total value of the company's common equity is $ , and the estimated intrinsic value per share of its common stock is $ per share. Assume the following: • The end of Year 3 differentiates Flying Cow's short-term and long-term FCFs. • Professionally-conducted studies have shown that more than 80% of the average company's share price is attributable to long-term- rather than short-term-cash flows.
Assume the following: • The end of Year 3 differentiates Flying Cow's short-term and long-term FCFs. • Professionally-conducted studies have shown that more than 80% of the average company's share price is attributable to long-term- rather than short-term-cash flows.
Is the percentage of Flying Cow’s expected long-term cash flows consistent with the value cited in the professional studies? No, because only 50.05% of the firm’s share price is derived from its expected long-term free cash flows. Yes, because 75.42% of the firm’s share price is derived from its expected long-term free cash flows. No, because the percentage of Flying Cow’s expected long-term cash flows is actually 14.30%. Yes, because 85.70% of the firm’s share price is derived from its expected long-term free cash flows.
The answer is : Percentage of long term cash flow is 85.70 %
Explanation:
Cash flow may be defined as the net amount of the cash and all cash-equivalents that is transferred into a business as well as out of the business.
In other words, the ability of the company to create some value for the shareholders is calculated or estimated by the ability of the company to generate a positive cash flows, to be specific, to maximize long-term free cash flow (FCF).
In the given question, the long term cash flow percent is 85.70 %
When the price of a bar of chocolate is $1.00, the quantity demanded is 100,000 bars. When the price rises to $1.50, the quantity demanded falls to 60,000 bars. Calculate the price elasticity of demand using the mid-point method. Instructions: Round your answers to two decimal places. If you are entering any negative numbers be sure to include a negative sign (-) in front of those numbers. a. Suppose the price increases from $1.00 to $1.50. The price elasticity of demand is: -1.25 . b. Suppose the price decreases from $1.50 to $1.00. The price elasticity of demand is: -1.25 .
Answers
Answer:
a. -1.25
b. -1.25
Explanation:
Price elasticity is used to measure the change in demand as a result of a change in price.
Formula is;
= % change in Quantity/ % change in Price
a. Suppose the price increases from $1.00 to $1.50. The price elasticity of demand is:
% change in Quantity using the midpoint formula;
[tex]=\frac{Q2 - Q1}{\frac{Q1 + Q2}{2} } \\\\= \frac{60,000 - 100,000}{\frac{100,000 + 60,000}{2}} \\\\= -0.5[/tex]
% Change in Price using midpoint formula
[tex]=\frac{P2 - P1}{\frac{P1 + P2}{2} } \\\\= \frac{1.5 - 1.00}{\frac{1.00 + 1.50}{2} } \\\\= 0.4[/tex]
= -0.5/0.4
= -1.25
b. Suppose the price decreases from $1.50 to $1.00. The price elasticity of demand is:
% change in Quantity using the midpoint formula;
[tex]=\frac{Q2 - Q1}{\frac{Q1 + Q2}{2} } \\\\= \frac{100,000 - 60,000}{\frac{100,000 + 60,000}{2}} \\\\= 0.5[/tex]
% Change in Price using midpoint formula
[tex]=\frac{P2 - P1}{\frac{P1 + P2}{2} } \\\\= \frac{1.00 - 1.50}{\frac{1.00 + 1.50}{2} } \\\\= -0.4[/tex]
= 0.5/-0.4
= -1.25
Jewelry stores want to provide their customers with the highest quality of diamonds available at the lowest possible prices. Unfortunately, the lowest priced diamonds these days are sold by African rebels who use the profits to engage in genocide. Human rights organization have asked jewelers to buy diamonds that are "conflict free"––that is, from South Africa, Australia, or Canada. LeeBrant is one retail jewelry store that sells only diamonds that are certified to be from these countries. LeeBrant is exhibiting which marketing management orientation?
Answers
Answer:
Social Marketing
Explanation:
Social marketing is the marketing approach that established the activities in order to modify or balancing the behaviour of a people so that it could give the benefit to the individuals and the society at large
Since in the question it is mentioned that LeeBrant is the retail jewelry store that sells the diamonds only so here it deals in social marketing and the same is to be considered
On June 1, 2014, Nott Corp. loaned Horn $800,000 on a 12% note, payable in five annual installments of $160,000 beginning January 2, 2015. In connection with this loan, Horn was required to deposit $5,000 in a noninterest-bearing escrow account. The amount held in escrow is to be returned to Horn after all principal and interest payments have been made. Interest on the note is payable on the first day of each month beginning July 1, 2014. Horn made timely payments through November 1, 2014. On January 2, 2015, Nott received payment of the first principal installment plus all interest due. At December 31, 2014, Nott's interest receivable on the loan to Horn should be
Answers
Answer:
$16,000
Explanation:
the journal entry to record this loan would be:
June 1, 2014, loan handed out to Horn
Dr Notes receivable 800,000
Cr Cash 800,000
on December 31, 2014, accrued interest receivable for November and December
Dr Interest receivable 16,000
Cr Interest revenue 16,000
interest revenue = $800,000 x 12% x 2/12 (Nov. + Dec.) = $16,000
The following data relate to the operations of Slick Software, Inc., during 2018. Continuing operations:
Net sales $ 19,850,000 Costs and expenses (including applicable income tax) 16,900,000
Other data:
Operating income during 2018 on segment of the business discontinued near year-end (net of income tax) 140,000 Loss on disposal of discontinued segment (net of income tax benefit) 550,000 Prior period adjustment (increase in 2017 depreciation expense, net of income tax benefit) 350,000 Cash dividends declared 950,000
Required:
a. Prepare a condensed income statement for 2018, including earnings per share figures. Slick Software, Inc., had 200,000 shares of $1 par value common stock and 80,000 shares of $6.25, $100 par value preferred stock outstanding throughout the year.
b. Prepare a statement of retained earnings for the year ended December 31, 2018. As originally reported, retained earnings at December 31, 2017, amounted to $7,285,000.
c. Compute the amount of cash dividend per share of common stock declared by the board of directors for 2018. Assume no dividends in arrears on the preferred stock.
d. Assume that 2019 earnings per share is a single figure and amounts to $8.00. Assume also that there are no changes in outstanding common or preferred stock in 2019. Do you consider the $8.00 earnings per share figure in 2019 to be a favorable or unfavorable figure in comparison with 2018 performance?
Answers
Answer:
A. $5.70
B. $7,625,000
C. $2.25
D. UNFAVORABLE amount of $4.25
Explanation:
a.Preparation of a condensed income statement for 2018,
SLICK SOFTWARE, INC.Condensed Income StatementFor the Year Ended December 31, 2018
Net sales $19,850,000
Costs and expenses $16,900,000
Income from continuing operations$2,950,000
Discontinued operations:
Operating income $140,000
Loss on disposal (net of income tax benefit)(550,000)
Income before extraordinary item $2,540,000 Extraordinary loss (net of income tax benefit)(900,000)
(550,000+350,000)
Net income$1,640,000
($2,540,000-900,000)
Earnings per share:
Earnings from continuing operations$12.25
[($2,950,000 - $500,000) ÷200,000]
Loss from discontinued operations (2.05)
($410,000 ÷ 200,000 shares)
Earnings before extraordinary items $10.20
[($2,540,000 - $500,000 preferred dividends) ÷ 200,000]
Extraordinary loss (4.50)
($900,000 ÷200,000 shares)
Net earnings $5.70
[($1,640,000 - $500,000 preferred dividends)÷200,000 shares]
Calculation for Preferred dividends:
Preferred dividends: 80,000 shares x $6.25 =$500,000
b.Preparation of a statement of retained earnings for the year ended December 31, 2018
SLICK SOFTWARE, INC.Statement of Retained Earnings For the Year Ended December 31, 2018
Retained earnings, December 31 2017 $7,285,000
Less: prior period adjustment350,000
Restated$6,935,000
Net income1,640,000
Subtotal$8,575,000
($6,935,000+1,640,000)
Cash dividends(950,000)
Retained earnings, December 31, 2017 $7,625,000
($8,575,000-$7,625,000)
c.Computation for the amount of cash dividend per share of common stock
Total cash dividends declared during 2018 $950,000
Less: Preferred stock dividend 500,000
(80,000 shares x $6.25 per share)
Cash dividends to common stockholders $450,000
Number of common shares outstanding 200,000
Cash dividend per common share $2.25
($450,000 ÷ 200,000 shares)
D. The amount of $8.00 earnings per share figure in 2019 will have unfavorable figure when compared with the year 2018 reason been that
the year 2019 has one Earnings Per Share amount which is why we should compared it to the earnings per share from continuing operations in year 2018, which gave us the amount of $12.25 per share[($2,950,000 - $500,000) ÷200,000] which inturn makes Slick Software, Inc.’s earnings per share from continuing operations to reduce to the amount of $4.25 per share ($12.25-$8.00) from the year 2018 to 2019
The Sanding Department of Quik Furniture Company has the following production and manufacturing cost data for March 2017, the first month of operation. Production: 7,000 units finished and transferred out; 3,000 units started that are 100% complete as to materials and 20% complete as to conversion costs. Manufacturing costs: Materials $33,000; labor $21,000; overhead $36,000.
Prepare a production cost report. (Round unit costs to 2 decimal places, e.g. 2.25.)
Answers
Answer:
Quik Furniture Company
The Sanding Department
Production Cost Report
For the month of March 2017:
Materials Conversion Total Costs
Cost of finished units $23,100 $52,500 $75,600
Ending Work in process 9,900 4,500 $14,400
Total Costs $33,000 $57,000 $90,000
Explanation:
a) Data and Calculations:
Finished and transferred out = 7,000 units
Units started but not completed:
Materials 3,000 100%
Conversion costs 600 20%
Equivalent units Materials Conversion Total Costs
Started and completed 7,000 7,000
Started but not completed 3,000 600
b) Computation of equivalent units:
Equivalent units 10,000 7,600
Costs: $33,000 $57,000 $90,000
Cost per equivalent unit $3.30 $7.5 $10.80
c) Calculation of costs:
Cost of finished units $23,100 $52,500 $75,600
Ending Work in process 9,900 4,500 $14,400
Total costs $33,000 $57,000 $90,000
d) The costs of finished units and Ending WIP for materials are obtained by multiplying the units by the cost per equivalent unit. The same is also done for conversion cost. The conversion cost is the addition of labor and overhead costs.
Net capital spending is equal to:_________.
a. ending net fixed assets minus beginning net fixed assets plus depreciation.
b. ending total assets minus beginning total assets plus depreciation.
c. beginning net fixed assets minus ending net fixed assets plus depreciation.
d. ending net fixed assets minus beginning net fixed assets minus depreciation.
e. ending total assets minus beginning total assets minus depreciation.
Answers
Answer:
a. ending net fixed assets minus beginning net fixed assets plus depreciation.
Explanation:
Net capital spending can be defined as the total amount of money being spent by a business firm or an organization for the acquisition of fixed assets such as equipment, plants or factory, property, vehicle, software applications etc in a specific accounting period.
Net capital spending is equal to ending net fixed assets minus beginning net fixed assets plus depreciation. Thus, a change in net fixed assets (ending net fixed assets minus beginning net fixed assets) plus depreciation is used to calculate the net capital spending of a business.
Mathematically, the net capital spending is given by the formula;
[tex]N = (En - Bn) + D[/tex]
Where;
N = net capital spending.
En = ending net fixed assets.
Bn = beginning net fixed assets.
D = depreciation of the fixed assets.
Net capital spending is equal to ending net fixed assets minus beginning net fixed assets plus depreciation, option A is correct.
Net capital spending is the entire amount of money spent by a company or organization for the purchase of fixed assets like as machinery, buildings or factories, real estate, cars, software, etc. over a certain accounting period.
Net capital spending is the difference between ending net fixed assets and starting net fixed assets plus depreciation. Therefore, to determine a business's net capital expenditure, net fixed assets (ending net fixed assets minus starting net fixed assets) are changed together with depreciation.
Formula of Net capital spending:
N = (En - Bn) +D
Where;
N = Net capital spending.
En = Ending net fixed assets.
Bn = Beginning net fixed assets.
D = Depreciation of the fixed assets.
Thus, the correct option is A.
Learn more about Net capital spending, here:
https://brainly.com/question/30714546
#SPJ6
Perpetual Batteries recently came under criticism when a newspaper article revealed that the company's production plant had leaked a chemical compound into a sensitive wetland ecosystem. Although use of the chemical was not technically prohibited by law, the local government levied a small fine for cleaning up the spill. Environmental groups, however, argued that continued use of the chemical was damaging to the local wildlife and threatened to organize a boycott against Perpetual Batteries. What should Perpetual Batteries do to ensure that it meets its ethical responsibilities?
Answers
Answer:
Perpetual batteries has 2 options in order to meet its ethical responsibilities:
Try to make sure that their system is 100% leak proof, but that would be very hard to do (systems are rarely perfect) and the public might not believe them. If the public does not believe them, they might still suffer form lower sales. Change the design of their batteries so that they no longer need to use the harmful chemical, and instead use environmentally friendly processes. This option is better because this change can be used to both solve environmental issues and helps to promote the company's image as green or environmentally friendly which can increase their sales volume.What is a subsidy wedge? the combined reduction in consumer surplus and producer surplus that results from a subsidy the amount by which a subsidy reduces the price that buyers pay for a good the amount by which a subsidy increases the price firms receive for their good the difference between the amount of a good that is produced before and after a subsidy is imposed the difference between the price that sellers receive and the price that buyers pay, resulting from a subsidy government cheese the difference between the price that sellers receive and the price that buyers pay, resulting from a commodity tax the difference between the quantity supplied and the quantity demanded that results from a subsidy
Answers
Answer:
the difference between the price that sellers receive and the price that buyers pay, resulting from a subsidy government cheese.
Explanation:
In Economics, subsidy can be defined as the amount of money or benefits such as tax reduction given by the government to sellers in order to sustain production and enable the buy to continuously purchase the product.
A subsidy wedge can be defined as the difference between the price that sellers receive and the price that buyers pay, resulting from a subsidy government cheese.
"The new owner thinks that inventories are excessive and can be lowered to the point where the current ratio is equal to the industry average, 2.5×, without affecting sales or net income. If inventories are sold and not replaced (thus reducing the current ratio to 2.5×), if the funds generated are used to reduce common equity (stock can be repurchased at book value), and if no other changes occur, by how much will the ROE change? Do not round intermediate calculations. Round your answer to two decimal places."
Answers
Answer: ROE will increase by 5.54% if inventory is sold off
Explanation:
Return on Equity before the inventories are sold of;
= Net Income/ Equity
= 15,000 / 200,000
= 7.5%
Inventories sold off
Inventories were sold off such that Current ratio is now 2.5 and the funds reduced equity, the inventory sold is;
Current ratio = Current Assets / Current Liabilities
2.5 = (Cash + Receivables + Inventories ) / (Accounts Payable + Other Current Liabilities)
2.5 = 10,000 + 50,000 + Inventories / 30,000 + 20,000
50,000 * 2.5 = 60,000 + Inventory
Inventory = $65,000
Inventory decreased by = 150,000 - 65,000
= $85,000
Equity therefore reduced by $85,000 as well to;
= 200,000 - 85,000
= $115,000
New Return on Equity = 15,000/115,000
= 13.04%
ROE will therefore change by;
= 13.04% - 7.5%
= 5.54%Pizza Express Inc. began the Year 2 accounting period with $2,500 cash, $1,400 of common stock, and $1,100 of retained earnings. Pizza Express was affected by the following accounting events during Year 2:
1. Purchased $3,600 of supplies on account.
2. Earned and collected $12,300 of cash revenue.
3. Paid $2,700 cash on accounts payable.
4. Adjusted the records to reflect the use of supplies. A physical count indicated that $250 of supplies was still on hand on December 31, Year 2.
RequiredShow the effects of the events on the financial statements using a horizontal statements model given below. In the Statement of Cash Flows column, use OA to designate operating activity, IA for investing activity, FA for financing activity, and NC for net change in cash. The beginning balances have been recorded as an example. (Enter any decreases to account balances with a minus sign. Not all cells in the "Statement of Cash Flows" column may require an input - leave cells blank if there is no corresponding input needed.)
Answers
Answer:
Assets = Liabilities + Stockholders' Equity => $12,350 = $900 + $11,450
Net income = $8,950
Net cash flow for the year = $9,600
Explanation:
Note: See the attached excel file for the financial statements.
From the attached excel file, we have the following totals:
Assets = $12,100 + $250 = $12,350
Liabilities = $900
Stockholders' Equity = $1,400 + 10,050 = $11,450
The accounting equation therefore holds as follows:
Assets = Liabilities + Stockholders' Equity => $12,350 = $900 + $11,450
Also, we have:
Revenue = $12,300
Expenses = $3,350
Net income = $8,950
Net cash flow for the year = $9,600
