Answer:
1) Buy 10 ounces of gold with the 350 dollars
2) Sell the 10 ounces of gold for £200
3) Exchange £200 for 360 dollars
Explanation:
Due to the difference between the exchange rate in gold and currency, a 2.1% (1.80 / 1.75) advantage can be obtained.
You start in the gold market with 350 dollars which are equal to 10 ounces of gold which are equal to £200. This according to the gold prices, witch generate a 1.75 exchange rate.
Then you go to the financial market where the exchange rate is larger (1.80) and with the £200 you get 360 dollars.
Question 5: DuckThat! is a brand of prank tool boxes. A retail box from DuckThat! costs $18.50, and a wholesale carton of 5 boxes costs $90. If 45% of the target sales of $2,700,000 is already coming from retail sales, how many boxes would have to be sold through wholesale?
Answer:
It will need to sale 16,500 boxes of 5 boxes each
the total boxed sales through wholesales will be 82,500
Doing so, will achieve the sales target of 2,700,000
Explanation:
sales target: 2,700,000
retail sales fulfil 45% of 2,700,000 = 1,215,000
wholesale target 2,700,000 - 1,215,000 = 1,485,000
each carton of 5 boxes cost 90:
1,485,000 / 90 = 16500
It will need to sale 16,500 cartyon of 5 boxes each
total boxes: 16,500 x 5 = 82,500
The demand curve for a good is ____________________________.
a) a line that relates price and quantity demanded
b) a line that relates income and quantity demanded
c) a line that relates quantity demanded and quantity supplied
d) a line that relates price and income
Answer: Option (a) is correct.
Explanation:
The demand curve for a particular good represents the relationship between the price of a good and quantity demanded for a good. The demand curve of a good is normally downward sloping. Law of demand states that there is an inverse relationship between the price of a good and quantity demanded for a good. This means that an increase in the price of a good will lead to reduce the quantity demanded for that good and a decrease in the price of a good will lead to increase the quantity demanded for that good.
Final answer:
The demand curve relates the price and quantity demanded of a good, showing a negative relationship known as the law of demand.
Explanation:
The demand curve for a good is a) a line that relates price and quantity demanded. A demand curve is a graphical representation that shows the relationship between the price of a good and the quantity of that good that consumers are willing and able to purchase at each price, assuming all other factors remain constant (ceteris paribus).
This relationship typically shows that as the price increases, the quantity demanded decreases, which is known as the law of demand.
In economics, the assumption of ceteris paribus, meaning 'other things being equal,' is crucial when analyzing a demand or supply curve.
This implies that no relevant economic factors, other than the product's price, are changing. Variations such as perfectly elastic demand or supply curves illustrate extreme responsiveness to price changes, but these are theoretical extremes rather than the norm.
A circular flow model shows the interrelationship between the ____ markets and the ____ markets. A. goods; factor B. expenditure; income C. business; household D. household; goods E. household; factor
Answer:
A.
Explanation:
The assumptions of the circular flow model are the characteristics of capitalism.
A capitalist system is based in voluntary exchanges, that are necessary to ensure a competitive marketplace. Consumers are not forced to purchased from a single seller.
In a simple circular flow model exchanges take place between two major sectors:
-business firms, want to sell goods and services and purchase factors of production.
-consumer households, want to purchase goods and services and sell their factors of production.
Exchanges take place between business firms and consumer households in the markets of the economy. This exchanges are called flows of economic activity.
In each market ther is a money flow (payment). And real flow, good, service or factor of production for which a payment is made.
The circular flow model in economics shows the interrelationship between the goods and services market and the factor markets. The goods and services market involves the exchange of finished products, while the factor markets involve the exchange of resources.
Explanation:According to the circular flow model in economics, there are two markets that interrelate: the goods and services market and the factor markets. The goods and services market represents the exchange of finished products between firms and households, where firms sell and households buy goods and services. On the other hand, the factor markets represent the exchange of resources, such as labor, capital, and land, between households and firms, where households sell their resources to firms.
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If a radio station holds an online contest in which you must log in to its website and submit personal details such as name, phone number, and e-mail in order to participate, the radio station is
A. has offered an exchange.
B. is behaving unethically.
C. is hoping to receive feedback.
D. is implementing a CRM program.
E. none of these.
Answer: has offered an exchange
Explanation: In the given case, the radio station has been organizing a contest, thus, whoever win such contest will receive something in return. Thus, we can conclude that the registration formalities fixed by the radio station is an offer for exchange.
As in an offer of exchange process, both the parties on different ends receive something.
A small cruising ship that can hold up to 66 people provides three-day excursions to groups of 42 or more. If the group contains 42 people, each person pays $64. The cost per person for all members of the party is reduced by $1 for each person in excess of 42. Find the size of the group that maximizes income for the owners of the ship.
Answer:
size of group is 53 people
Explanation:
given data
person = 42
per person pay = $64
to find out
size of the group that maximizes income for the owners of the ship
solution
we will consider here number of additional person is = x
so
total passenger = x + 42
and price per person = 64 - x
so
total income is
R ( x) = ( x + 42 ) × ( 64 - x )
R ( x) = −x² + 22 x + 2688 .......................1
and maximize the total income will be when R (x) is a quadratic function
so
f (x) = ax² + bx + c is maximum
when a ≤ 0 and x = [tex]\frac{-b}{2a}[/tex]
so
income will maximum when x from equation 1
x = [tex]\frac{-22}{2(-1)}[/tex]
x = 11
so
size of group is 42 + 11 = 53
When a parent uses the partial equity method throughout the year to account for its 80% investment in an acquired subsidiary, which of the following statements is true at the date immediately preceding the date on which adjustments are made on the consolidated worksheet?
A) Parent company net income equals consolidated net income.B) Parent company retained earnings equals consolidated retained earnings.C) Parent company total assets equals consolidated total assets.D) Parent company dividends equal consolidated dividends.E) Goodwill is recorded on the parent's books.
Answer:
The correct answer is D) Parent company dividends equal consolidated dividends.
Explanation:
When economic, financial and administrative links are created between two legally independent entities, where it presents a subordination relationship, a series of reports that integrate the financial statements must be prepared, consolidating those of one company with the other.
The consolidation of the balances between a parent and a subsidiary is achieved by integrating the accounts of each of them, eliminating accounts such as:
The investment of the parent company in the subordinate. Accounts receivable generated by transactions between the parent and the subsidiary. Accounts payable generated by transactions between the parent and the subsidiary. Sales and purchases between companies. Dividends between the two companies. Earnings between entities in the initial or final inventory.Your ________ is found by dividing monetary assets by current liabilities and is a good measure of liquidity.
A. debt ratio
B. net worth
C. current ratio
D. net cash flows
The current ratio is found by dividing monetary assets by current liabilities and is a good measure of liquidity. Option C.
The current ratio is a financial ratio that measures a company's ability to cover its short-term liabilities with its short-term assets. It is calculated by dividing the total current assets by the total current liabilities.
Current Ratio = Current Assets / Current Liabilities
The current assets include cash, accounts receivable, inventory, and other assets that are expected to be converted into cash within one year. Current liabilities, on the other hand, include obligations that are due within one year, such as accounts payable, short-term debt, and accrued expenses.
The current ratio is an important measure of liquidity because it indicates the company's ability to pay off its short-term obligations using its short-term assets. A higher current ratio implies a stronger liquidity position, as it indicates that the company has more current assets available to cover its current liabilities.
A current ratio of 1 or higher is generally considered acceptable, as it suggests that the company has enough current assets to meet its short-term obligations. However, a very high current ratio may indicate an inefficient use of resources.
In summary, the current ratio is a good measure of liquidity as it provides insights into a company's ability to meet its short-term liabilities with its short-term assets. SO Option C is correct.
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When the Lego Movie was released to movie theaters, the intent was not necessarily to sell more Legos, but the firm did have a say in decisions about details of the movie. This is an example of _____ content.
Answer:
branded
Explanation:
According to my research on different business strategies, I can say that based on the information provided within the question this is an example of branded content. This is a product that is produced by a specific company under a specific name, and anything under that name is in term owned by the company that owned that name. Therefore they can make decisions on how to use that product.
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The profit P (in hundreds of dollars) that a company makes depends on the amount x (in hundreds of dollars) the company spends on advertising according to the model P = 200 + 50x − 0.5x2. What expenditure for advertising yields a maximum profit?
Answer:
50 (hundred dollars)
Explanation:
To get maximum profit, we differentiate P and the result, P', we set equal to zero.
[tex]P(x)=200+50x-0.5x^{2}\\ \\P'(x)=50-x\\\\0=50-x\\\\x=50[/tex]
Every time you need to optimize a function, you differentiate and equal to zero to get the answer or answers!
In this case if we plug 50 into P we get:
[tex]P(x)=200+50x-0.5x^{2}\\\\P(50)=200+50(50)-0.5(50)^{2}\\\\P(50)=200+2500-1250\\\\P(50)=1450\\\\[/tex]
Remember that the function yields results in hundred of dollars, so the profit would be equal to 145000 dollars.
Look at the graph of the P function, at x= 50 we see the vertex of the parabola which is the highest point over the entire graph, which is also its maximum profit or value.
To find the advertising expenditure that yields maximum profit according to the model P = 200 + 50x − 0.5x^2, we differentiate the model and set it to zero. The solution to this give us an expenditure of $5,000 on advertising.
Explanation:
The question asks what expenditure for advertising yields a maximum profit according to the model P = 200 + 50x − 0.5x^2. In order to find the maximum profit, we perform differentiation on the model and set it to zero to find the critical points. Differentiating gives us dP/dx = 50 - x. Setting this equal to zero, we find that x = 50. Thus, according to the model, the company should expend $5,000 on advertising (since x is in hundreds of dollars) to maximize profit.
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Consider the following demand schedule for bags. Price Quantity $99 5252 $1111 4848 $1313 4040 When the price of bags rises from $99 to $1111, the price elasticity of demand is approximately nothing. (Calculate using the midpoint formula, round your answer to one decimal place, and enter a "-" if your answer is negative.)
Answer:
PED= "0.1"
Explanation:
The price elasticity of demand indicates how the quantity demanded changes when the price changes. Is defined by this equation:
Price Elasticity of Demand(PED)= Percentage change in Q (Δ%Q)/ Percentage change in P (Δ%P) .
To fine the percentage change in Q and in P we use the midpoint formula:
Δ%Q= q2-q1/(q2+q1/2)
Δ%Q= 4848-5252/(5252+4848/2)
Δ%Q= -404/5050
Δ%Q= -0.08
Δ%P= p2-p1/(p2+p1/2)
Δ%P= 1111-99/(1111+99/2)
Δ%P= 1012/605
Δ%P= 1,672
PED=-0.08/1,672
PED= -0.047
Rounded to one decimal place:
PED= "0.1"
A company whose products reach foreign markets even though the company is not actively involved in cultivating customers outside the national boundaries is at the ________ stage of international marketing. Multiple Choice active foreign marketing infrequent foreign marketing no direct foreign marketing regular foreign marketing global marketing
Answer:
no direct foreign marketing stage
Explanation:
According to my research on different stages of international marketing, I can say that based on the information provided within the question the company is in the no direct foreign marketing stage. Like mentioned in the question, in this stage the company may not be actively involved in international marketing.
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Candace owns a small business that is financially struggling. In order to respond to economic pressures, Candace is now obliged to lay off an employee, close operations on Sundays, and cut budget costs in a few other ways that will affect employees and how they do business. If conflict arises, the root cause will likely be
a. adversarial management.b. organizational change or competition over resources.c. ineffective communication of new work practices.d. value and personality clashes
Answer:
The answer is both: B) organizational change or competition over resources
Explanation:
Organizational change usually takes place due to external or internal pressures. In this specific case, Candace´s business is not doing well, probably her sales are down. We don´t know the reason why, I can guess probably more competition, but we know she must act fast.
Money is the most scarce resource of all. So if money is not flowing in like Candace would expect she must be able to make difficult decisions. Laying off a worker (out of how many?) is usually seen as a bad sign for the rest of the employees. Reducing labor days (Sundays) will probably also affect the rest of the employees negatively because they will simply work less hours and get paid less.
But the bottom line is Candace as the owner (probably also the manager) has to make the decisions that are necessary for her business to continue. It would always be worst for everyone involved (Candace and her employees) if they go out of business. That way everyone loses.
At this point Candace will need to communicate with her employees and let them know how bad the situation is and the necessary steps to be taken. Her actions will be unpopular but its her job to convince her employees that its for everyone´s best interest. Well, for everyone except the one employee already fired. Leaders must show up in difficult times and make tough choices.
Final answer:
The likely root causes of conflict in Candace's business are organizational change and competition over resources, exacerbated by potential ineffective communication of new work practices. These factors can lead to misunderstandings, stress, and conflict among employees adjusting to new dynamics and reduced resources. Hence, the correct options are B and C.
Explanation:
If conflict arises in Candace's business due to the new changes she is implementing to respond to financial struggles, the root cause will likely be organizational change or competition over resources. Since Candace is laying off an employee, closing operations on Sundays, and cutting budgets, these actions can lead to heightened competition among the remaining staff for the reduced resources and may create uncertainty or resistance to change. The stress of organizational change often leads to conflict in the workplace as employees adjust to new roles, responsibilities, and the associated fears of job security and altered work conditions.
Another potential cause is ineffective communication of new work practices. If Candace does not clearly and effectively communicate the reasons for the changes and the new expectations to her employees, misunderstandings and frustrations can lead to conflicts within the team. Proper communication and negotiation are key to managing and resolving conflicts effectively, ensuring that they do not escalate to damaging levels for the individuals or the organization.
Producer surplus is:
a. the opportunity cost of production minus the cost of producing goods that go unsold.
b. measured using the demand curve for a good.
c. always a negative number for sellers in a competitive market.
d. the amount a seller is paid minus the cost of production.
Answer: Option (d) is correct.
Explanation:
Producer surplus is associated with the producer of a good. Graphically, producer surplus is the area between the upper portion of supply curve and equilibrium price level. Producer surplus is also defined as the difference between the price at which sellers are willing supply and the actual price they received.
Producers surplus = Price paid by buyers - Cost of production
Producer surplus refers to the amount a seller is paid for a product minus the production cost of that product. This is often used as a measure in economic analysis.
Explanation:Producer surplus is defined as the difference between the amount the producer is willing to sell goods for and the actual amount received from the sale. In other words, it is the amount a seller is paid for a good minus the seller's cost of producing it. Therefore, the correct answer to the question 'Producer surplus is:' would be 'd. the amount a seller is paid minus the cost of production.'
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MIS is a business function, like accounting or sales, which moves information about people, products, and processes across the company to facilitate decision making and problem solving. What does MIS stands for?a. Management Information Strategy.b. Management Intelligence System.c. Management Information System.d. Management Information Strategist.
Answer:
The correct answer is c. Management Information System.
Explanation:
A Management Information System is a computer system that gathers, stores, analyzes, displays and reports data with the purpose of aiding decision-makers to be informed and make high quality decisions that are useful to a company. It consists of:
People, that take advantage a MIS to make effective decisions.Hardware, physical structure that supports the MIS.Software, computer programs that aid in all the processes to handle the data e.g. analysis, retrieval, etc.Databases, that store the data of a MIS.The information can be related to any area of the company, for example Research & Development (R&D), Marketing, Finances, Project development, Human Resources, etc.
The use of a MIS allows a company to have easy access to information, fast data processing and information retrieval, accurate data analysis, reduction of duplicates and reliable backup for the information stored.
"__________________ are ways that a nation can draw up regulations, inspections, and paperwork to make it more costly or difficult to import products.A. TariffsB. Nontariff barriersC. QuotasD. Import ceilings"
Answer:
The correct answer is b) Nontariff barriers
Explanation:
The term nontariff barriers refer to the ways that a nation can restrict trades to control the amount of trade they conduct with other countries, as part of their political strategy. Through regulations, inspections, and paperwork to make it more expensive or complicated to import products.
At the beginning of the current accounting period Blazer Company had a $40,000 balance in its Finished Goods Inventory account. During the period cost of goods manufactured amounted to $280,000. The ending balance in the Finished Goods Inventory account was $42,000. Based on this information the amount of cost of goods sold is _______.
Answer:
Based on this information the amount of cost of goods sold is $278,000.
Explanation:
The Cost Of Goods Sold (COGS) are the costs directly related to the production of goods that a company sells. To find this value, we have the following formula:
[tex]COGS = Beginning Inventory + Purchases during period - Final inventory[/tex]The beginning inventory is the inventory that was not sold from a previous period, plus the purchases during the period make the total inventory that was available for sale during the period at hand. To that, we substract the Final inventory, which were the products that were not sold during this period. The result is the inventory that was effectively sold. Replacing the values, we have:
[tex]COGS = 280,000 + 40,000 - 42,000\\COGS = 278,000[/tex]The Cost Of Goods Sold for the period is $278,000.
British investors frequently invest in the u.s. or italy, depending on the prevailing interest rates. if italian interest rates suddenly rise high above u.s. rates, the investors will ____ the supply of pounds to be exchanged for dollars and thus put ____ pressure on the value of the pound against the u.s. dollar.
Answer:
decrease, upward
Explanation:
When Italian interest rates increase, their demand in Italy would increase, hence a downward pressure on the supply of the same would be required. as the demand of the currency in italy increases, its value also increases. hence there is an upward pressure on the value of the pound against the u.s. dollar.
An increase in consumer saving for any given level of income will shift the:
a. LM curve upward and to the left.
b. LM curve downward and to the right.
c. IS curve downward and to the left.
d. IS curve upward and to the right."
Answer:
IS curve upward and to the right.
Explanation:
Since consumer saving are increasing , this means that the interest rate is high. This means that the curve will go right and upward sin Y axis is Interest and X axis is Income
Answer:i think its d
Explanation:
Exeter enterprise inc reported net sales of $300 million last year and generated a net income of $ 65 million. last years accounts receivable increase by $8 million. what is the maximum amount of cash that exeter enterprise inc received from sales last year
Answer:
The correct answer would be $73 Millions.
Explanation:
The amount of cash a company possesses is the net income which it generates over a period of time. Account receivables are also considered to be the cash amount for the company which it collects within that period. So as given in this question, we would not take $300 million Sales, as company will exclude app expenses from this amount and then the remaining amount will be considered as the Cash in hand. So $65 Million will be the net income and as the account receivables also increased to $8 Millions, we will include this amount in the net income as:
Total Cash = Net Income + Account Receivables
Total Cash = $65M + $8M
Total Cash = $73 Millions.
Final answer:
The maximum amount of cash that Exeter Enterprise Inc could have received from sales last year is $292 million, which is the net sales of $300 million minus the $8 million increase in Accounts Receivable.
Explanation:
The question is asking to calculate the maximum amount of cash that Exeter Enterprise Inc received from sales last year. To find this, we must consider the reported net sales and the change in Accounts Receivable. Exeter Enterprise Inc had net sales of $300 million, and Accounts Receivable increased by $8 million. The increase in Accounts Receivable implies that not all sales were collected in cash. Therefore, the maximum cash received from sales is the total sales minus the increase in Accounts Receivable.
Maximum Cash Received = $300 million - $8 million = $292 million
If a company emphasizes that "no purchase is complete until the customer is satisfied," then it's: a. utilizing a symbol. b. using customers to harass the employees. c. utilizing a hero for the purpose of conveying values. d. communicating its values to customers. e. using a slogan to present their values to customers and employees.
Answer: If a company emphasizes that "no purchase is complete until the customer is satisfied," then it's: "e. using a slogan to present their values to customers and employees.".
Explanation: The company seeks to communicate the values that represent the company and that employees must keep in mind when serving their customers through a phrase or slogan.
Suppose the United States is currently producing 200 tons of hamburgers and 60 tons of tacos and Mexico is currently producing 40 tons of hamburgers and 50 tons of tacos. If the United States and Mexico each specialize in producing only one good (the good for which each has a comparative advantage), then a total of _____ additional ton(s) of hamburgers can be produced for the two countries combined (enter a numeric response using an integer) and a total of _____ additional ton(s) of tacos can be produced.
Answer:
Explanation:
United States is producing 200 tons of hamburgers and 60 tons of tacos.
United States' opportunity cost for producing 1 ton of hamburgers
= [tex]\frac{60}{200}[/tex]
= 0.3
United States' opportunity cost for producing 60 tons of tacos.
= [tex]\frac{200}{60}[/tex]
= 3.33
So we see that US has a lower opportunity cost in producing hamburgers, so it has a comparative advantage in producing hamburgers.
Mexico is producing 40 tons of hamburgers and 50 tons of tacos.
Mexico's opportunity cost of producing a ton of hamburgers
= [tex]\frac{50}{40}[/tex]
= 1.25
Mexico's opportunity cost of producing a ton of tacos
= [tex]\frac{40}{50}[/tex]
= 0.8
So we see that Mexico has a lower opportunity cost in producing tacos, so it has a comparative advantage in making tacos.
Since US specializes in making hamburgers, it will produce 200 tons of hamburgers and 0 tons of tacos.
Mexico specializes in making tacos, it will produce 50 tons of tacos and 0 tons of hamburgers.
The United States can produce an additional 200 tons of hamburgers, while Mexico can produce an additional 50 tons of tacos through specialization and trade.
Explanation:To determine the additional production that can be achieved through specialization and trade, we need to compare the production levels of each country before and after specialization. Before specialization, the United States produced 200 tons of hamburgers and Mexico produced 40 tons of hamburgers. After specialization, the United States would specialize in producing hamburgers, while Mexico would specialize in producing tacos. Based on the given information, we can assume that the United States and Mexico would fully specialize in their respective goods. Therefore, the United States can produce an additional 200 tons of hamburgers, while Mexico can produce an additional 50 tons of tacos.
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_____ generally receive fixed payments regardless of how the firm does, while ______ earn higher returns when the firm's earnings are higher.
Answer:
Bondholders
stockholders
Bondholders receive fixed payments irrespective of a company's performance while stockholders' returns depend on the company's profitability.
Explanation:In a business environment, bondholders generally receive fixed payments regardless of how the firm is performing, while stockholders earn higher returns when the firm's earnings are higher. This is because bondholders are the creditors of the company who provide loans, and they receive fixed interest payments irrespective of the company's performance. On the other hand, stockholders are the owners of the company, and their returns, which come in the form of dividends and capital appreciation, depend on the company's profitability.
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for having a manuscript typed at a certain typing service are $5 per page for the first time a page is typed and $3 per page each time a page is revised. If a certain manuscript has 100 pages, of which 40 were revised only once, 10 were revised twice, and the rest required no revisions, what was the total cost of having the manuscript typed?
Answer:
total cost of having the manuscript type is $680
Explanation:
given data
first time = $5 per page
revised = $3 per page
manuscript = 100 pages
revised only once = 40
revised twice = 10
to find out
total cost of having the manuscript typed
solution
we know for 1st time page cost is
page 1st time = 100 - 40 - 10 = 50 page
cost 1st time = 50 × $5 per page = $250 .................1
and
for first revision
first revision page = 40
cost of first revision = 40 × ( first time $5 + first revision $3 )
cost of first revision = 40 × 8 = $320 ......................2
and
for second revision
second revision page = 10
second revision cost = 10 × ( first time $5 + first revision $3 + second revision $3 )
second revision cost = 10 × 11 = $110 ..........................3
add all 3 equation
total = $250 + $320 + $110
so total cost of having the manuscript type is $680
1. Assume that the money demand function is (M / P)d = 2,200 – 200r, where r is the interest rate in percent. The money supply M is 2,000, and the price level P is 2. If the price level is fixed and the supply of money is raised to 2,800, then the equilibrium interest rate will:
Answer:
r= 3
Explanation:
Due that the level price does not changed, the first thing that you have to do to find the equilibrium is put the two equations with an equal
Money demand =Supply of money
2,200 – 200 r= 2,000
Now you have to find the value of r and you have to clear the formula and first you have to:
2,800- 2,200 = 200r
Now that you have the number together you have to apply the operation
600 = 200r
As the 200 is multiplying the r you have to pass the 200 to divided the 600
r= (600/200)
r= 3%
The interest rate is 3%
After much anticipation a company releases a new smartphone. The smartphone doesn't work as well as expected and lacks many of the features buyers had been expecting. The unexpectedly negative reaction to the smartphone would
a. raise the present value and reduce the price of the corporation's stock.
b. raise the present value and the price of the corporation's stock.
c. reduce the present value and the price of the corporation's stock.
d. reduce the present value and raise the price of the corporation's stock.
Answer:
The answer is: C) Reduce the present value and the price of the corporation´s stock.
Explanation:
The price of any company is determined mostly on its estimated future earnings calculated through a cash flow analysis. In this case consumers and investors were expecting the smartphone to be a hit. So they estimated the future sales in XYZ levels, with profits according to that XYZ sales. Thus the stock price was probably high due to the future sales numbers and the projected earnings for the corporation.
When the new smartphone disappoints, sales will then be expected to be lower than XYZ, so the estimated future earnings will also be lower. Therefore the stock price will fall and adjust to the new lower sales and earnings levels expected for the corporation.
An unexpectedly negative reaction to a new product typically reduces the present value and the price of the corporation's stock, as it can diminish investor confidence and projected earnings.
Explanation:The unexpectedly negative reaction to the smartphone would reduce the present value and the price of the corporation's stock. When a highly anticipated product fails to meet expectations, it can lead to disappointment among buyers and investors. This can result in a decrease in the perceived value of the company and a drop in stock prices.
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During 2015, Blevert Co. introduced a new line of machines that carry a three-year warranty against manufacturer's defects. Based on industry experience, warranty costs are estimated at 1% of sales in the year of sale, 3% in the year after sale, and 5% in the second year after sale. Sales and actual warranty expenditures for the first three-year period were as follows:
Sales Actual Warranty Expenditures
2015 $500,000 $6,000
2016 1,500,000 25,000
2017 2,000,000 105,000
$4,000,000 $136,000
What amount should Blevert report as a liability at December 31, 2017?
Final answer:
To determine Blevert Co.'s warranty liability for 2017, we calculate the estimated expenditures based on sales data and subtract the actual warranty expenses. The calculation shows that Blevert Co. has spent more on warranty claims than the amount they estimated, resulting in no warranty liability that needs to be reported at the end of 2017.
Explanation:
To compute the warranty liability that Blevert Co. should report at December 31, 2017, we need to calculate the expected warranty expenditures based on the given percentages and sales data, and then subtract the actual warranty expenditures to determine the remaining liability. Here's a breakdown of the estimated warranty costs based on sales:
For 2015 sales ($500,000): 1% in 2015, 3% in 2016, and 5% in 2017. Total estimated = 1% + 3% + 5% = 9% of $500,000 = $45,000.
For 2016 sales ($1,500,000): 1% in 2016 and 3% in 2017. Total estimated = 1% + 3% = 4% of $1,500,000 = $60,000.
For 2017 sales ($2,000,000): 1% in 2017. Total estimated = 1% of $2,000,000 = $20,000.
Now sum these up for the total estimated warranty costs: $45,000 (2015) + $60,000 (2016) + $20,000 (2017) = $125,000. From this, we then subtract the total actual warranty expenditures up to the end of 2017: $6,000 (2015) + $25,000 (2016) + $105,000 (2017) = $136,000. Thus, the estimated warranty liability at the end of 2017 is negative, indicating that Blevert Co. has spent more on warranties than they initially estimated.
However, companies cannot report a negative warranty liability. In this situation, Blevert Co. would report a warranty liability of $0 on their balance sheet at December 31, 2017, because the actual expenses exceeded the estimated expenses.
The management of Minstrel Magik, an event management company, ensures to use gender-neutral language in its emails to both customers and employees. In the given scenario, it can be inferred that the management follows the business communication guideline of _____.
Answer: avoiding bias
Explanation:
In simple words, avoiding bias means keeping oneself or others away from any kind of discrimination on any basis.
In the given case, Minstrel magik management is using gender neutral words in their internal and external communication. This could be seen as an attempt of the management to depict gender equality in their organisation.
They are not assuming that the receiving party would be a male or a female.
Hence, from the above we can conclude that management follows avoiding bias guideline.
Minstrel Magik follows the business communication guideline of using gender-inclusive language to ensure non-discriminatory communication towards any gender, promoting respect and equality in the workplace.
In the scenario provided, it can be inferred that the management of Minstrel Magik, an event management company, follows the business communication guideline of using gender-inclusive language.
Companies have become more aware of gender bias in language, and organizations like the National Council of Teachers of English have developed guidelines for nonsexist language. For instance, instead of saying "Hey, guys" a more inclusive approach would be, "OK, everyone".
By adhering to these guidelines, Minstrel Magik ensures their communication does not discriminate against any sex or gender identity, promoting a respectful and equitable workplace environment.
Effective workplace communication is further enhanced by written guides provided to new employees, which are essential tools that encourage courtesy and common sense that align with company values.
Lisa is the vice president of sales and marketing for a software development company. She's been working with her sales force in recent months to develop a promotion strategy to sell obsolete software quickly at a reduced price, rather than the original suggested price. Which strategic manager role is Lisa fulfilling with this approach?
a. Functional-level manager
b. Corporate-level manager
c. Business-level manager
d. Chief Financial Officer (CFO)
Answer: Functional level manager
Explanation: Functional level managers are those managers who have authority over a department or unit in the organisation. These managers are the second in hierarchy and have reporting obligation towards senior managers.
In the given case, Lisa is the vice president of sales department and is working in strategy formation for the assignment given to her.
Thus, we can conclude that Lisa is a functional level manager.
The normal order in which the financial statements are prepared is:
A) Income statement, annual report, balance sheet.
B) Income tax return, income statement, balance sheet.
C) Balance sheet, income statement, statement of retained earnings.
D) Income statement, statement of retained earnings, balance sheet.
Answer:
D) Income statement, statement of retained earnings, balance sheet.
Explanation:
The order is
1)Income Statement
2)Statement of Retained Earnings – also called Statement of Owners’ Equity
3)The Balance Sheet
$)The Statement of Cash Flows
Financial statements are generally prepared in the sequence of Income Statement, Statement of Retained Earnings, and Balance Sheet due to their interdependent nature. The net income from the Income Statement feeds into calculating retained earnings, which are used to prepare the Balance Sheet.
Explanation:In the field of accounting and finance, financial statements are usually prepared in a certain order due to their interdependent nature. The standard sequence of preparation is Income Statement, followed by the Statement of Retained Earnings, and finally the Balance Sheet.
The rationale behind this sequence is as follows: First, the Income Statement is prepared to calculate the Net Income for the period. The net income from the Income Statement is then used in the Statement of Retained Earnings to calculate the ending retained earnings. Finally, the ending retained earnings from the Statement of Retained Earnings is used to prepare the Balance Sheet. Thus, the correct answer to your question would be option D) Income Statement, Statement of Retained Earnings, Balance Sheet.
Learn more about Financial Statements here:https://brainly.com/question/32573447
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Omega, Inc. is an early entrant for its fitness product in the country of Malnesia. As an early entrant, Omega, Inc. may find itself at a disadvantage if it
A. is trying to realize location and experience curve economies.
B. incurs low development costs.
C. faces a subsequent change in business regulations in Malnesia.
D. has a core competence based on control over technological know-how.
E. considers a greenfield strategy.
Answer:
C.
Explanation:
According to my research on different business operations and tactics, I can say that based on the information provided within the question Omega, Inc. may find itself at a disadvantage if it faces a subsequent change in regulations in Malnesia. This is because since they are new in Malnesia they are not used to these changes and therefore do not know how to handle this situation.
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