Answer:
D) negativity, positively
Explanation:
Equilibrium levels of income and interest rates are negatively related in the goods and services market because an equilibrium in interest and income will mean less goods and services and equilibrium levels of income and interest rates are positively related in the market for real money balances because an equilibrium in income and interest will lead to an increase in real money balances
Jones Co. borrowed money that is to be repaid in 12 years. So that the loan will be paid back at end of the 12th year, the company invests $8,000 at end of each year at 5% compounded annually. The amount of the original loan was :
a. $127,336.80
b. $70,905.60
c. $127,636.80
d. $70,950.60
Answer:
The amount of the original loan was :
b. $70,905.60
Explanation:
Loan Amount 70.905,60
Annual Interest Rate 5,00%
Term of Loan in Years 12
First Payment Date 31/10/2018
Payment Frequency Annual
Compound Period Annual
Payment Type End of Period
Annual Payment 8.000
Outsourcing companies must accept some loss of control when hiring other organizations to perform certain services. A disadvantage related to the loss of control is that it __________.
Answer:
The correct answer is It is not easy way of exiting the outsourcing agreement
Explanation:
Subcontracting is a business process through which a company transfers responsibility for its external tasks to another company specialized in that task.
The subcontracted company is one that by means of an agreement with another company (usually called a contractor or client) carries out the performance of certain activities and services. The way in which this commercial relationship develops is usually defined previously by means of a contract. Sometimes the name is used in English, outsourcing.
It is also common to call this type of subcontracted companies as subcontractors or suppliers. Usually outsourcing serves as a very recurring formula when outsourcing the company's activities.
In the globalized business environment in which we currently live, the outsourcing of productive processes is becoming more frequent by outsourcing activities that companies do not consider key to the level of competition and attending to the main activity in which they work.
In that sense, outsourced companies enjoy certain advantages that help them be useful in the market and meet various needs and services instead of other companies.
This step of the general plan, sometimes known as the master plan, should encompass all aspects of the projected growth, including the social, economic, and physical features. Due to this step, while considered long-range, the plan must allow for short-range flexibility. Which step is described?
Answer:
The correct answer is Formulation of Community goals.
Explanation:
The objectives refer to the purpose of the activity being performed or desired. They are related to the purpose, with the final achievements of the work or action, which guide the future of it. The objectives have the following requirements:
The formulation of the objective must begin with a verb in infinitive. The objectives must be attainable by the end of the activity. They must be clearly formulated, as they constitute the criteria for evaluating the effectiveness of the work performed. The objectives differ from "doing" (from the activity) because they contain a result or an achievement.The step described in the question is the creation of a master plan. This master plan outlines the long-term development goals of a region or municipality considering social, economic, and physical aspects while allowing for flexibility.
Explanation:The step described is the process of creating a master plan, which is designed to guide the future growth of a city or region by addressing its social, economic, and physical development. A master plan often acts as a blueprint, outlining long-term objectives while allowing for alterations and flexibility to address short-term needs and changes. The creation of such a plan anticipates future demands by considering a wide array of factors, such as infrastructure needs, population growth, and environmental conservation. It also requires careful consideration of maps and land-use regulations, which help in forecasting and managing growth. Moreover, the plan is not static; it is subject to updates and revisions to remain relevant and effective.
As the chief executive officer of Hayden Corp., Kim found an effective way to reward high-performing employees and boost their morale during an economic downturn. Which of the following management functions was Kim engaged in?
a. Planning
b. Organizing
c. Leading
d. Controlling
Answer:
c. Leading
Explanation:
According to my research on the different management functions, I can say that based on the information provided within the question the management function that Kim is engaged in is called Leading. This is the act of a manager influencing or motivating his/her employees so that they perform at optimal capacity in order to achieve the organizational goals. Which is what Kim is doing by looking for a way to reward the best employees.
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Kim, as the CEO, was engaged in the management function of leading by finding ways to reward high-performing employees and boost morale.
Explanation:As the chief executive officer of Hayden Corp., Kim's engagement in finding an effective way to reward high-performing employees and boost their morale during an economic downturn aligns with the management function of leading. Leading involves motivating staff, communicating the company's vision, and leading by example to drive the execution of business strategies. In this context, boosting morale and rewarding employees are actions that fall under the purview of leadership.
Your Business Law professor believes that law is "discovered" by humans through the use of reason and choosing between good and evil. She points to the U.S. Constitution as an example of her philosophy.
Your professor most likely subscribes to which school of philosophy?
Answer:
The answer is: Ethics or Moral Philosophy
Explanation:
Ethics (or moral philosophy) can be described as the study of morality. This basically establishes that ethical behaviour is good/right. On the contrary, bad behaviour is unethical. It deals with the concepts of right and wrong.
If we read the preamble of the U.S. Constitution:
"We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defense, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America."
We can basically see a lot of good and ethical intentions. At the time it was written, no other country in the world considered their citizens as highly and respected as the U.S. did.
If opportunity cost were to suddenly increase, total cost would a) decrease and net benefit would increase. b) decrease and net benefit would decrease. c) increase and net benefit would increase. d) increase and net benefit would decrease.
Answer:
The correct answer is option d.
Explanation:
The total economic costs include both explicit as well as implicit costs. The explicit costs are the direct costs incurred and the implicit costs are opportunity costs.
An increase in the opportunity cost will cause the total economic costs to increase. The net benefit is the difference between the total revenue earned and the total cost incurred. An increase in the opportunity cost will cause a net benefit to decrease as total costs will increase.
If opportunity cost were to suddenly increase, total cost would increase and net benefit would decrease.
Explanation:If opportunity cost were to suddenly increase, the total cost would increase and the net benefit would decrease.
Opportunity cost refers to the value of the next best alternative that is given up when making a choice. When the opportunity cost increases, it means that the potential benefits from choosing an alternative option become more valuable, resulting in higher costs and lower net benefits.
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Which type of company enjoys the benefit of passing along deductions and credits of the company on to partners to file on their individual tax returns? The credits and deductions of this type of business entity are divided by the percentage of individual interest each partner has in the company.
Answer:
The correct answer is Limited Liability Partnerships.
Explanation:
A Limited Liability Company is a type of mercantile company, in which the liability is limited to the capital contributed, and therefore, in the event that debts are incurred, it does not respond with the personal assets of the partners, but to the one contributed in said Limited company. It presents as a capitalist-type society in which capital, which will be divided into social interests, will be integrated by the contributions of all partners, who will not respond personally to social debts.
Social ACTIONS are not equivalent to the actions of corporations, as there are legal obstacles to their transmission. In addition, they do not have a "value" character and cannot be represented by means of securities or account entries, and their transmission by means of the public document that will be registered in the partner register book is mandatory. It will be constituted in a public deed and subsequently in the registration of the commercial register, at which time it acquires legal personality.
A partnership is the business structure where deductions and credits are passed to partners to file individually, based on their respective interest in the company. Partnerships allow for flow-through taxation, which is different from corporate taxation where the corporation is taxed separately.
Explanation:The type of company that enjoys the benefit of passing along deductions and credits to the partners to file on their individual tax returns is a partnership. In a partnership, the business itself is not taxed on its profits. Instead, each partner is taxed on their share of the partnership's income. The profits and losses of a partnership are shared among the partners according to their ownership interest in the business. This arrangement allows for the direct flow-through of income and tax benefits, which makes the administration of taxes in a partnership simpler compared to corporation taxes, where corporate entities pay taxes at the company level, and shareholders are then taxed on dividends.
Partnerships are subject to little government regulation and can raise more capital than a sole proprietorship due to combined assets from all partners. While corporations provide limited liability to their shareholders, partnerships do not, and thus partners are usually liable for losses incurred by the partnership. This makes it essential for partners to have proper insurance to protect against personal liability.
What is the main disadvantage of moving to e-money loading... or moving to a cashless society?
The main disadvantage of a cashless society is it can exclude unbanked individuals, heighten cybersecurity risks, and reduce privacy. These issues can lead to significant social and technical challenges.
Main Disadvantage of Moving to a Cashless Society
The main disadvantage of moving to a cashless society is the potential exclusion of certain populations, particularly the unbanked and underbanked individuals who lack access to digital financial services. Additionally, it increases the risk of cybercrimes and reduces privacy for users.
Exclusion: Moving to a cashless economy can exclude people who do not have access to bank accounts or credit facilities, such as low-income individuals, the elderly, and those living in rural areas.Cybersecurity Risks: Increased dependence on digital transactions makes financial systems more vulnerable to hacking, fraud, and other cyber attacks.Privacy Concerns: Every transaction in a cashless society is trackable, which can lead to privacy issues as personal financial data can be monitored and potentially misused.Technical Issues: Dependence on technology can be problematic during outages or technical failures, causing significant disruptions in daily transactions.
A cost-cutting project will decrease costs by $37,400 a year. The annual depreciation on the project's fixed assets will be $4,700 and the tax rate is 34 percent. What is the amount of the change in the firm's operating cash flow resulting from this project?
Answer:
What is the amount of the change in the firm's operating cash flow resulting from this project?
26018
Explanation:
Change in operating cash flow =37000*(1-0,34)+(4700x.34)
=24420 + 1598
=26018
Economic decisions are made at every level in society. When we try to decide which production method to use among several alternatives, which of the following key economic questions are we trying to answer?
Answer: How to produce ?
Explanation: This question relates to the problem of choosing between labor intensive and capital intensive technique for the process of production.
This questions makes economists analyze what factor of production is relatively cheap, that is, capital or labor. If the capital is cheap then production should be done using capital intensive technique.
Otherwise, if the labor is easy and cheap to get than labor intensive technique should be adopted.
Costs Benefits
1. Hire more workers 1. Set own hours of operation
2. Take on more operations costs 2. Have more space and control over appearance
3. Divide time between market and shop—or close stall at market 3. Serve more customers
4. Accept more financial risk 4. Make and sell more food items
Ezra runs a gyro stall at the local farmers' market. He would like to expand and open his own shop downtown. He has made the chart above, listing some potential costs and benefits of expansion. What concept does this chart most clearly illustrate?
Answer:
Opportunity cost
A trade-off
Explanation:
Opportunity cost measures the cost of a choice made in terms of the next best alternative foregone or sacrificed.
Trade-off arises where having more of one thing potentially results in having less of another.
Answer:
3rd option is correct
Explanation:
At first Ezra needs to divide his time between market and shop. Because when you are expanding the business it's a great risk. She needs to experiment with the shop downtown while running stall. After her experiment is successful with the shop, he can close the stall and work full time at shop. In this way he will be able to serve more customer and earn more profit which will be utilized in expansion.
Clay, "a production manager, believes that some of his workers are unhappy with their job, so they are not working as hard as they could be. Which principle should Clay apply"
Answer:
The answer is: Develop a positive work culture
Explanation:
Ever since the Hawthorne experiments by Elton Mayo way back in the 1920´s it has been proved over and over again that happy and positive employees are more efficient, have lower staff turnover, are more creative, etc.. Simply they are better workers.
It is not always easy to achieve the goal of a happy working environment and there is no formula for doing so. Management knows the benefits (better recruitment, worker loyalty, higher job satisfaction, more job collaboration, better morale, less stress, better work performance, etc) but not everyone can make it happen.
Some ideas about how to make a positive work culture include:
Let every employee know the vision of the company and the values the company stands for. Hire the right people.Make employees feel part of the unique story of the organization. The company must practice its values. Create a work environment were employees can connect with each other not only for working reasons but also on informal levels. And many more that can be unique for every company (i.e. Google is famous for offering its employee lots of perks)Clay should apply Theory X to address potential worker dissatisfaction by focusing on incentives and recognition to improve productivity, based on McGregor's theories. Employee satisfaction and productivity are improved when rewards align with efforts, as per research.
The principle that Clay should apply in this situation is Theory X. Theory X, as identified by McGregor, suggests that managers who believe employees are lazy and need to be controlled through threats or punishments will create rigid work environments. Employees under Theory X are assumed to lack ambition and initiative.
This theory contrasts with Theory Y, which presents a more positive view of employees' attitudes and behaviors, assuming they are motivated and enjoy work. Applying Theory X, Clay should consider addressing potential dissatisfaction among workers by focusing on incentives, recognition, and clear expectations to improve productivity.
Workers tend to be happier and more productive when they perceive their efforts are adequately rewarded, as stated by research. Creating a work environment that aligns rewards with employees' efforts can lead to increased job satisfaction and performance.
On Saturday morning, you rank your choices for activities in the following order: go to the library, work out at the gym, have breakfast with friends, and sleep late. Suppose you decide to go to the library. Your opportunity cost is__________
Answer:
work out at the gym
Explanation:
Opportunity cost may be explained as a situation where a positive loss is made in selecting one alternative from the list of other alternatives.
Here it is given the list of activities in a serial order :
1. go to the library
2. work out at the gym
3. have breakfast with friends
4. sleep late
So out of these four options or alternatives, one activity has to be chosen. And we decide to go the library as an activity to be accomplish.
By doing this we loose a potential gain from the other alternatives by choosing a certain option. That is by going to the library we lost the opportunity of going to the gym and doing exercise which is beneficial for our health.
Thus, the answer is work out at the gym.
why might an individual pursue a career in education and training career cluster pursue a career helpppppp
Individuals might pursue careers in education and training to acquire knowledge, improve quality of life, and for economic reasons that lead to professional opportunities and higher income.
Individuals might pursue a career in the education and training career cluster for various motivations, including the pursuit of knowledge for its inherent value, the desire to improve the quality of life, and economic reasons.
Education and training can be gateways to professional careers, offering access to job opportunities that might otherwise be unavailable. Accumulating human capital through additional education can lead to enhanced job skills and soft skills, which are vital in preparing for the workplace.
Moreover, the choice of career significantly affects one's income, as certain professions require substantial education and training but also tend to offer lucrative salaries. It's also important to consider factors such as one's location, which can impact job availability and cost of living.
While some career paths do not necessitate a college degree, a university or college education often serves as the entry point to many professional careers, such as medicine, law, and engineering. Furthermore, as industries like healthcare are experiencing significant growth, there is a demand for a variety of roles, which require different levels of training and education.
This demand underpins the importance of education in accessing a broad range of career options with varying wage potentials.
Panache, a fashion design company, organizes an online contest. Participants are asked to design women’s apparel to be posted on a social media website where its members can vote and provide feedback. Based on those votes, Panache will announce the winner and offer that individual a job at its firm. In this scenario, Panache is involved in
A. brandjackingB. taggingC. bloggingD. crowdsourcing
Answer: Crowd sourcing
Explanation: In simple words, crowd sourcing refers to collection of data or opinions from a large number of internet users. These users often do this as freelancer or voluntary basis.
In the given case, Panache's contest to design women apparel would provide them with designs and a suitable employee for their company.
Hence, from the above we can conclude that the correct option is D.
Which of the following value chain activities involves assisting users with handling of the products after sale, thus maintaining and enhancing the products' value?a. Inbound logisticsb. Customer servicec. Operationsd. Outbound logisticse. Sales and marketing
Answer: Customer service
Explanation: In simple words, customer service refers to the after sales assistance provided by the company to those individuals who buy their product. It focuses on keeping the customer happy and to maintain positive relationships with them.
This includes teaching customers to use the product, or solving their query or any problem they have with the product etc.
Thus, from the above we can conclude that the right option is B.
Gerard is a mid-level manager who believes that people do not like to work and try to avoid it. He therefore controls, directs, coerces, and threatens employees to get them to work toward organizational goals. Which of the following theories would best explain Gerard actions?a. Maslow's hierarchy of needs theoryb. McGregor's Theory Yc. McGregor's Theory Xd. Systems Theory
Answer:
The correct answer is c. McGregor's Theory X.
Explanation:
Theory X is defined by Douglas McGregor in his 1960s book "The Human Side of Enterprise" as an authoritarian style of management. In the book, McGregor explains that styles of management are greatly influenced by how the manager views people. Theory X is based on the view that workers are inherently lazy and unmotivated, prefer to be directed, do not like to take responsibility and dislike to work in general. In this style of management, it is assumed that the only way to push employees to work is to provide them with incentives or punishments, according to their performance. Also, authority is centralized on a select few and employees are strictly controlled and supervised.
In this particular case, Gerard fits the Theory X style of management, as he coerces and threatens employees to push them to do their jobs. He has the belief that people don't like to work and avoid it.
Assume that an economy produces only two goods, pizza and wings. Which of the following are ways to increase the maximum possible number of pizzas produced?
a) Growth in labour force
b) More efficient use of existing production assets
c) Improved wing-making technology
d) Improved pizza-making technology
Answer:
A, B, and D
Explanation:
According to my research on production optimization, I can say that based on the information provided within the question all of the answers provided except for improved wing-making technology would maximize the possible number of pizzas produced. This is because each of these answers provides a method of producing more pizza in the same time frame as before.
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Which of the following does not describe some of the functions of the Federal Reserve Bank? A. Regulates the money supply and intervenes in foreign exchange markets. B. Acts as the government's fiscal agent, supervises banks and acts as a lender of last resort. C. Supplies the economy with fiduciary currency, provides a system for check clearing and holds depository institutions' reserves. D. Acts as a medium of exchange, a unit of accounting, a store of value and a standard of deferred payment.
Answer: Option (D) is correct.
Explanation:
Federal Reserve Bank is the reserve bank of united states. There are some functions of central bank such as:
(a) Banker's Bank
(b) Monetary regulatory authority
(c) Lender of last resort
(d) Controller of credit
(e) It is a clearing house for the transfer and settlement
Option (D) explain the functions of money and these functions are not related with the Federal Reserve Bank.
Madison Corporation reported taxable income of $400,000 in 20 X 3 and accrued federal income taxes of $136,000. Included in the computation of taxable income was regular depreciation of $200,000 (E&P depreciation is $60,000) and a net capital loss carryover of $20,000 from 20X2 utilized in 20X3. The corporation's current earnings and profits for 20X3 would be:
A. $424,000B. $404,000C. $380,000D. $344,000
Answer:
A. $424,000
Explanation:
current income = Taxable income - Federal tax + Depreciation disallowed + net capital loss carryover
= $400,000 - $136,000 + ($200,000 - $60,000) + $20,000
= $424000
Therefore, The corporation's current earnings and profits for 20X3 would be $424000.
A mass transit authority charges bus fares of $1.25 during morning rush hours but only $1.00 during late morning non-rush hours. Economists explain the fare difference by the fact that the demand for bus rides during the morning rush hours is __________ but during the late morning it is __________.
more elastic; more inelastic
perfectly elastic; perfectly inelastic
more inelastic; more elastic
unitarily elastic; relatively inelastic
Answer:
The correct answer is more inelastic; more elastic.
Explanation:
Inelastic demand is that demand that is not very sensitive to a change in price. In this way, before a variation in the price the quantity demanded reacts in a less than proportional way. For example, if the price increases by 10% and in response the quantity demanded is reduced by less than 10%, then the demand is said to be inelastic.
The elasticity of demand, also known as the elasticity-price of demand, is defined as the percentage change of the quantity demanded before a percentage change in the price.
An elastic demand is that demand that is sensitive to a change in price. In this way, a small variation in the price causes a more than proportional change in the quantity demanded. Thus, for example, if the price increases by 10% and in response the quantity demanded is reduced by more than 10%, then the demand is said to be elastic.
Final answer:
The demand for bus rides during morning rush hours is more inelastic, meaning people are less sensitive to price changes due to the necessity of travel at this time. During late morning non-rush hours, the demand becomes more elastic, indicating a higher sensitivity to price changes as there are more travel alternatives available.
Explanation:
The question revolves around the concept of price elasticity of demand related to bus fares at different times of the day. Price elasticity of demand measures how much the quantity demanded of a good responds to a change in the price of that good. During morning rush hours, when people need to get to work or school, the demand for bus rides is more inelastic because there are fewer substitutes and commuting by bus becomes a necessity. Therefore, a higher fare does not significantly decrease the quantity demanded. Conversely, during late morning non-rush hours, the demand is more elastic. There are more substitutes for traveling at these times, such as walking, biking, or simply choosing to travel at a different time, making people more sensitive to price changes.
An international business is defined as Multiple Choice one that implements homogenous practices across countries. the basis for a multinational enterprise. a business that is restricted by U.N. regulations. any firm that engages in international trade.
Answer:
one that implements homogeneous practices across countries.
Explanation:
The process of trading across the national boundaries are said to be an international business. The business process like trading of the good and services and the process of technological and capital investment globally fall under the practice of international business. The transactions of the goods and services are practiced across the borders. Globalization is another term of international business.
A single public utilities company is responsible for supplying electricity for an entire state. As a result, the utilities company can set the price of electricity.
True / False.
Answer: True
Explanation: Because the company is the sole supplier of electricity in this market, they have all the market power. Market power is the ability the company has to manipulate the market by influencing prices, the level of supply it provides and thus the demand within that market. Companies within markets such as these are known as "price makers", because they are able to change prices of their goods without losing market share.
Because the public utilities company is the sole provider of electricity within this market, they have no pressure or competition from other suppliers within the market. Therefore they have the market power to freely charge higher prices by limiting the supply of electricity. Or charge lower prices by over supplying electricity to consumers.
On a bank's balance sheet, ________ are assets and ________ are liabilities.
a) reserves; loans and transactions deposits
b) loans and transactions deposits; reserves
c) transactions deposits; reserves and loans
d) reserves and loans; transactions deposits
Hey Friend.
C) is the answer. Transaction deposit is an asset since it increases what you already have, while reserves and loans decrease what you have, because you'll have to take out.
HEY.
C) IS THE CORRECT ANSWER.
Italy and India are countries that trade with each other. If Italy has a comparative advantage in cell phones and India has a comparative advantage in hats, which of the following is a correct statement about the effects of trade between these nations?
A. Italy will lose jobs in the cell phone industry.
B. Both countries are likely to be better off, and world production will increase.
C. There will be a net loss of employment in India.
D. Both countries will lose jobs through trade and be worse off.
Answer: Option B
Explanation: It would be better for both the countries to trade with each other. India will save its opportunity cost of producing cell phones and Italy will save it on production of hats. Also the employment will increase in both countries in the relative sector in which they have competitive advantage over the other.
Thus, from the above we can conclude that the correct option is B.
Final answer:
The correct statement is that both countries are likely to be better off, and world production will increase. This is because trade based on comparative advantage benefits both countries, encouraging them to specialize in goods where they have a comparative, not necessarily an absolute, advantage. The correct option is B. Both countries are likely to be better off, and world production will increase.
Explanation:
If Italy has a comparative advantage in cell phones and India has a comparative advantage in hats, the correct statement about the effects of trade between these nations is that both countries are likely to be better off, and world production will increase. This outcome aligns with the principle that trade based on comparative advantage can make everyone in both countries better off after trade. Additionally, it is understood that the higher price received for each country's comparative advantage good would lead each country to specialize in that good, necessitating labor to move from the comparative disadvantage industry into the comparative advantage industry.
In theory, although this specialization means that one industry goes out of business in each country, the model assumes full employment and costless mobility of labor, suggesting that all displaced workers will find new employment in the specialized industry. Furthermore, even if one country has an absolute advantage in all goods, it can still benefit from trading with another country, because gains from trade come from specializing in one's comparative advantage, not absolute advantage.
Matt was passionate about Hollister. It was the only place he'd buy his clothes. If anyone asked him about clothes, he would talk for what seemed like hours about why he only shopped there. From a strictly marketing perspective, this word of mouth is an element of _______________.
Answer:
The correct answer is Brand loyalty.
Explanation:
From the point of view of Marketing, brand loyalty refers to the repeated purchase of a product or service as a result of perceived value, trust and the link generated between customer-company.
Depending on the degree of satisfaction in relation to your products and the added value that you contribute to your consumption experiences, your customers will become ambassadors of your brand or they will jump from one company to another with total carelessness.
The study "Brand Keys Loyalty Leaders 2011" conducted by Forbes magazine, showed that the brands that enjoy greater loyalty are those that have a real influence on people's daily lives. A very interesting fact to keep in mind.
Matt's endless promotion of Hollister to anyone who asks about his clothes is an element of word-of-mouth marketing. His satisfaction with the brand, formed based on the information he has about it, leads him to repeatedly purchase their clothes and recommend them to others. This phenomenon underpins the importance of a good reputation and repeat customers in marketing strategies.
Explanation:From a strictly marketing perspective, Matt's passionate promotion of Hollister to anyone who asks about his clothes can be considered an element of word-of-mouth marketing. Word-of-mouth marketing refers to the phenomenon where satisfied customers share their positive experiences and advocate for a product or service, influencing potential buyers. In Matt's case, his belief in the satisfaction that Hollister clothes provide leads him to purchase from there repeatedly and recommend it to others, reflecting the influence of his available information about Hollister.
Repeat customers and recommendations are key aspects of this form of marketing. Companies aim to foster good reputations in order to secure repeat customers and recommendations, as evident from the example of a well-established grocery store with a good reputation that can charge higher prices than a temporary stand at a local market. Trust in the firm's concern for its reputation reduces buyer worries about receiving poor-quality products.
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A business renders services to a client and issues a sales invoice. The amount will be collected from the customer at a later time. Which of the following is true at the time the invoice is issued?
a) net income will increase
b) total liabilities will increase
c) total assets will decrease
d) equity will decrease
Answer:
a) net income will increase
Explanation:
According to my research on different financial processes, I can say that based on the information provided within the question in this situation net income will increase. This is because at the time the sales invoice is issued, the client has not paid. Therefore once he pays in the future the business will receive that money and in term cause the net income to increase. Net income is what remains of a company's revenue after subtracting all costs, in other words the earnings of the business.
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Answer:
Option d) equity will decrease
Explanation:
The value of goods and services have a certain shelf-life. In other words, the goods have their highest value whilst they are on the shelves or before the invoice is issued out. This is the equity of the property or services. However, as soon as that invoice is written down, the value of the goods will not be equal, in some cases, to how they were a few days ago. Here is an example:
When someone's house is worth $ 200 000 and the person owes the back $ 180 000. The house has an equity of $ 20 000.
Marcella operates a small, but very successful art gallery. All but one of the following can be classified as a variable cost arising from the physical inputs Marcella required to operate her business. Which is it?a) physical space for the galleryb)wages paid to three part-time employeesc)accountants fees for preparing tax returnsd)costs of purchasing art work to sell in the gallery
Answer:
The correct answer is a) Physical space for the gallery.
Explanation:
Variable costs fluctuate according on the production of goods of a company, while fixed costs stay the same regardless of the production output. Reviewing all the options:
Wages paid to three part-time employees vary depending on the amount of hours they work. Accountant's fees for preparing tax returns vary depending on the time spent preparing the records. The costs of purchasing art work to sell in the gallery vary depending on the amount of art purchased and its value.That leaves us with option A. The physical space for the gallery. Buildings and rent are known to be a Fixed cost for companies because they stay the same regardless of the production output.
Lucia and Kenji need to decide which one of them will take time off from work to complete the rather urgent task of shearing their llamas. Lucia is pretty good with a pair of shears; she can shear the llamas in 1 hour. Kenji is somewhat slow; it takes him 4 hours to shear the llamas. Lucia earns $120 per hour as a psychiatrist, while Kenji earns $20 per hour as a cobbler.
Keeping in mind that either Lucia or Kenji must take time off from work to shear the llamas, who has the lowest opportunity cost of completing the task?
a. Lucia and Kenji face identical opportunity costs
b. Kenji
c. Lucia
Final answer:
Kenji has the lowest opportunity cost of shearing the llamas because he would forgo $80, compared to Lucia's $120, in lost earnings from their respective jobs.
Explanation:
To determine who has the lowest opportunity cost of shearing llamas between Lucia and Kenji, we must consider how much income each would forgo by not working their regular job. Lucia earns $120 per hour and can shear the llamas in 1 hour, so her opportunity cost is $120. Kenji earns $20 per hour and takes 4 hours to shear the llamas, which makes his total opportunity cost $80 ($20 per hour multiplied by 4 hours).
Therefore, Kenji has the lowest opportunity cost of shearing the llamas because he would forgo less in terms of lost earnings from his job compared to Lucia. The answer to the question is b. Kenji.
_______________ is a cost-effective way that many companies outsource the production of goods, such as clothing, shoes, and cell phones. The domestic firm contracts with a foreign company to produce and private-label the goods, because the price is much cheaper than the domestic firm could produce in its' home market.
Franchising
Foreign direct investment
Contract manufacturing
Exporting
Answer:
Contract manufacturing
Explanation:
A contract manufacturer is a company for parts or product lines that contracts with a corporation. It's an subcontracting type.
Businesses can make profit by collaborating with a supplier who already understands the production process, may have specialized in the suitable machinery and operates comparable but non-competing products in their plant in order to benefit from efficiency gains.