Answer and Explanation:
a.
Retain earnings, year 2
= retained earnings year 1 + earning for year 2
= $825,000 + ($245,000 - $65,000)
= $825,000 + $180,000
= $1,005,000
Therefore, The December 31, Year 2, Retained Earnings balance is $1,005,000.
b.
trading inverstments are classified under current assets. the closing balance of trading inverstments is:
trading inverstments purchased at cost in year 2 $346,000
trading inverstments sold at cost in year 2 $66,000
balance of trading inverstments at cost $280,000
The balance sheet is present like:
D-Tec Inc
balance sheet
particulars amount($)
current asstes
trading inverstments(at cost) 280,000
valuation allowance for trading inverstment (72,500)
trading inverstments(at fair value) 207,500
The Retained Earnings of Delta-tec Inc. as of December 31, Year 2, is $1,005,000. The balance sheet disclosure for Trading Investments on December 31, Year 2, would show an ending balance of $280,000.
To determine the Retained Earnings balance of Delta-tec Inc. as of December 31, Year 2, we begin by starting with the Retained Earnings balance from the previous year. To this, we add the net income for the current year and subtract any dividends paid. The calculation is as follows:
Retained Earnings (Beginning balance) = $825,000
Net Income (for Year 2) = $245,000
Dividends Paid (during Year 2) = $65,000
Retained Earnings (End balance) = $825,000 + $245,000 - $65,000
Retained Earnings (End balance) = $1,005,000
For the balance sheet disclosure of Trading Investments on December 31, Year 2, we must account for the cost of purchases and subtract any sales. The company had purchased trading investments costing $346,000 and sold investments with a cost of $66,000, which resulted in a gain (included in net income). Hence:
Trading Investments (Purchased) = $346,000
Less: Investments Sold = $66,000
Trading Investments (Ending balance) = $346,000 - $66,000
Trading Investments (Ending balance) = $280,000
A principal advantage of statistical methods of attributes sampling over nonstatistical methods is that they provide a quantifiable basis for establishing the A. tolerable exception rate. B. expected population exception rate. C. sample size. D. risk of assessing control risk too low.
Answer:
The correct answer is (C )
Explanation:
There are huge difference between statistical methods and a non-statistical techniques. Some consider the results of statistical methods more reliable. The main advantage of using a statistical method is that it helps to identify a proper sample size which is very critical to estimate the whole population. Sample size is a number that will be used in a statistical method to forecast or estimate a population.
An effective minimum wagea. imposes a price ceiling on the wages of various categories of low-skill workers.b. increases the demand for low-skill workers.c. makes it easier for low skill workers to find jobs.d. increases the earnings of some low-skill workers while reducing the employment and training opportunities available to others.
Answer:
d. increases the earnings of some low-skill workers while reducing the employment and training opportunities available to others.
Explanation:
Minimum wage is a form of price floor. It is the lowest amount that should be paid to labour for their services rendered. It is usually set by the government or an agency of government.
Minimum wage causes supply of Labour to exceed demand for Labour. Firms would demand less of Labour because of higher cost of Labour. Decreased demand for Labour would increase unemployment.
Minimum wage isn't a price ceiling but a price floor.
Minimum wage increases the income of Labour.
Dry Gulch Farms hires Elliot to repair its irrigation system on site on a certain date for $2,500, but Elliot does not show up as agreed. Dry Gulch hired Fernando to go the job for $2,000. Dry Gulch may recover from Elliot:a. nothingb. compensatory damagesc. consequential damagesd. nominal damages
Answer:
d. nominal damages
Explanation:
Based on the information provided within the question it can be said that Dry Gulch may recover from Elliot nominal damages. These are non-financial damages that have occurred because of someone not abiding by an agreement. Which in this case Elliot did not fix the irrigation system as he was hired to do and may be sued for this, since the damages were not financial since Dry Gulch Farms never paid the agreed upon price.
You are a technical consultant for many businesses in your community one of your clients a small law firm has a single active directory domain and two windows servers both servers are configured as domain controllers while also serving as file and printer servers this client is calling you on a regular basis because users are deleting or damaging their files you must vist the client's site and restore the files from backup your client has asked you to create an alternate solution what should you do?
Answer:
Implement shadow copies on the relevant data.
Explanation:
A shadow copy, like a file or directory, is a preview of a set of information.
Shadow copies provide us with the ability to recover directories based on screenshots of storage drives. After taking a snapshot, previous versions of files and folders from that snapshot can be viewed and potentially restored.
For each screenshot, a shadow copy does not make a full copy of all files. Alternatively, Windows Server 2016 will track changes to the drive after a screenshot is taken.
For monitoring the modified disk blocks, a specific amount of disk space is reserved. Some of the content may be in the current version of the file when you access a previous version of a file, and some may be in the snapshot.
Cesar, a satellite architect accepted an overseas assignment for his company when his company agreed to provide car, beach villa , sailboat and lump sum of $600,000. What kind of factor was used?a.Base payb.Differentialsc.Bonusesd.Incentivese.Assistance programs
Answer:
d.Incentives
Explanation:
Cesar receives a higher reward for the job thus, it receives more incentives to perform the company's request. The difference with bonuses is that Cesar will receive this either way it do not hae an objetive that once acomplished release this benefit.
The ______ is the price at which a foreign currency option can be exercised--that is, the price at which the foreign currency is bought or sold.
a. exercise price
b. terms of trade
c. strike price
d. rate of exchange
Answer:
C
Explanation:
Identify each of the following transactions as:
Operating activity (O)
Investing activity (I)
Financing activity (F)
Noncash investing and financing activity (NIF)
For each item, indicate whether it represents and increase(+) or a decrease(-) in cash. The indirect method is used to report cash flows from operating activities.
a. Cash sale of land
b. Issuance of long-term note payable in exchange for cash
c. Depreciation of equipment
d. Purchase of treasury stock
e. Issuance of common stock for cash
f. Increase in accounts payable
g. Net income
h. Payment of cash dividend
i. Decrease in accrued liabilities
j. Loss on sale of land
k. Acquisition of building by issuance of notes payable
l. Payment of long-term debt
m. Acquisition of building by issuance of common stock
n. Decrease in accounts receivable
o. Decrease in inventory
p. Increase in prepaid expenses
Answer:
Explanation:
Basically there are three types of activities under the indirect method is shown below:
1. Operating activities: It includes those transactions which affect the working capital, and it records gain or loss on sale of the assets. Increase in current assets and decrease in current liabilities would be subtracted and the decrease in current assets and increase in current liabilities would be added
2. Investing activities: It records those activities which include purchase and sale of the fixed assets
3. Financing activities: It records those activities which affect the long term liability and shareholder equity balance.
So, the item categorization under each activities are shown below:
a. Cash sale of land - Investing activity (I) (+)
b. Issuance of long-term note payable in exchange for cash - Financing activity (F) (+)
c. Depreciation of equipment - Operating activity (O) (+)
d. Purchase of treasury stock - Financing activity (F) (-)
e. Issuance of common stock for cash - Financing activity (F) (+)
f. Increase in accounts payable - Operating activity (O) (+)
g. Net income - Operating activity (O) (+)
h. Payment of cash dividend - Financing activity (F) (-)
i. Decrease in accrued liabilities - Operating activity (O) (-)
j. Loss on sale of land - Operating activity (O) (+)
k. Acquisition of building by issuance of notes payable - Non-cash investing and financing activity (NIF) as no cash transactions involves
l. Payment of long-term debt - Financing activity (F) (-)
m. Acquisition of building by issuance of common stock - Non-cash investing and financing activity (NIF) as no cash transactions involves
n. Decrease in accounts receivable - Operating activity (O) (+)
o. Decrease in inventory - Operating activity (O) (+)
p. Increase in prepaid expenses - Operating activity (O) (-)
The transactions were categorized as operating, investing, financing, and noncash investing and financing activities, and the effect on cash flow (increase or decrease) was identified for each. Transactions involving cash sales, issuance of stocks or notes for cash, and increases in payable accounts typically increase cash, while purchases, payments, and losses usually decrease cash. Non-cash-based transactions do not directly affect cash flow.
Explanation:The category and cash flow effect of each transaction is as follows:
a. Cash sale of land: Investing activity (I), Increase (+)b. Issuance of long-term note payable in exchange for cash: Financing activity (F), Increase (+)c. Depreciation of equipment: Noncash investing and financing activity (NIF), No effectd. Purchase of treasury stock: Financing activity (F), Decrease (-)e. Issuance of common stock for cash: Financing activity (F), Increase (+)f. Increase in accounts payable: Operating activity (O), Increase (+)g. Net income: Operating activity (O), Increase (+)h. Payment of cash dividend: Financing activity (F), Decrease (-)i. Decrease in accrued liabilities: Operating activity (O), Decrease (-)j. Loss on sale of land: Investing activity (I), Decrease (-)k. Acquisition of building by issuance of notes payable: Noncash investing and financing activity (NIF), No effectl. Payment of long-term debt: Financing activity (F), Decrease (-)m. Acquisition of building by issuance of common stock: Noncash investing and financing activity (NIF), No effectn. Decrease in accounts receivable: Operating activity (O), Increase (+)o. Decrease in inventory: Operating activity (O), Increase (+)p. Increase in prepaid expenses: Operating activity (O), Decrease (-)Learn more about Cash Flow Activities here:https://brainly.com/question/32239179
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A company introduced the Funday film to compete with lower-priced brands, but it found many of its regular customers bought Funday instead of its usual, higher-priced film. The company experienced ________.
Answer:
cannibalization
Explanation:
Based on the information provided within the question it can be said that in this scenario the company is experiencing cannibalization. In the context of business strategies, this term refers to when a company experiences loss in sales revenue, volume, or even market share caused by introducing a new product by the same producer into the market. Which is what happened in this scenario as the company introduced Funday Film.
Erin Reinhardt and her friend Carol Newman have just arrived in the country Bologna for a summer holiday.
While renting a car on their first day in Bologna they notice that the car rental rates are so much higher than rates back home.
Carol says that in a matter of time, competition should drive prices down. Erin feels that the market for car rentals is probably competitive enough; it could just be the high cost of operations in Boloni that are responsible for the high prices.
Which of the following, if true, would weaken Erin's argument that high costs are responsible for high prices?
a. The car rental industry in Boloni is valued at $50 million.
b. Most households in Boloni own at least one car.
c. After global oil prices increased, the government of Boloni decided to ration the quantity of gasoline sold.
d. Only 3 firms account for almost 88 percent of the car rental market.
e. Most of the growth in the car rental industry comes from the high-value rentals of luxury cars.
Answer:
D) Only 3 firms account for almost 88 percent of the car rental market.
Explanation:
Erin says that rental rates are high because the cost of running car rental companies is very high in Boloni, but if 88% of the market is controlled by only 3 companies, then the lack of competition is responsible for the high prices. The car rental market in Boloni is an oligopoly since the 3 big firms control the prices and probably keep them artificially high due to their market power.
Time lags associated with policy decision making and implementation suggest that______.a.increases in spending to fight a recessionary gap may occur too early.b.increases in spending to fight a recessionary gap may occur too late.c.increases in spending to fight a recessionary gap can be timed correctly.d.most information is old before the public is aware of it.
Answer:
B) increases in spending to fight a recessionary gap may occur too late.
Explanation:
Time lags refers to the time that passes between making a decision and implementing the decision. For example, the FED announces its intention to increase or decrease their interest rate with a lot of anticipation, and sometimes it would be better if they just did it.
Politicians are famous for talking a lot and doing very little, and that happens in every country in the world. During recessions words aren't needed, actions are needed. The problem is that many times words are abundant and actions are scarce. A small problem that is not dealt swiftly and properly can become a huge problem.
Consider a two-firm oligopoly facing a market inverse demand curve of P = 100 – 2(q1 + q2), where q1 is the output of Firm 1 and q2 is the output of Firm 2. Firm 1's marginal cost is constant at $12, while Firm 2's marginal cost is constant at $20. In Cournot equilibrium, how much output does each firm produce?
1. q1 = 14; q2 = 11
2. q1 = 16; q2 = 12
3. q1 = 18; q2 = 8
Answer:
option (2) q1 = 16; q2 = 12
Explanation:
Given:
P = 100 - 2(q1 + q2)
here,
q1 is the output of Firm 1 and q2 is the output of Firm 2
Firm 1's marginal cost = $12
Firm 2's marginal cost = $20
Now,
Profit maximising level of output is attained where the marginal revenue equals the marginal cost
Thus,
for firm 1,
Total revenue, TR = P×Q
TR = (100 - 2q1 - 2q2) × q1
or
TR = 100q1 - 2(q1)² - 2(q1)(q2)
also,
MR = [tex]\frac{\delta TR}{\delta Q}[/tex]
thus,
MR = 100 - 4q1 - 2q2
MC = $12
now
MR = MC
or
100 - 4q1 - 2q2 = 12
or
88 = 4q1 + 2q2
or
q2 = 44 - 2q1 ............... (1)
also,
for firm 2, we have
TR = (100 - 2q1 - 2q2) × q2
or
TR = 100q2 - 2(q1)(q2) - 2(q2)²
and,
[tex]MR = \frac{\delta TR}{\delta Q}[/tex]
or
MR = 100 - 2q1 - 4q2
and
MC = $20
Now,
MR = MC
or
100 - 2q1 - 4q2 = 20
or
80 - 4q2 = 2q1
or
40 - 2q2 = q1 .....................(2)
Now,
substituting the value of q2 from (1), we get
q1 = 40 - 2(44 - 2q1)
or
q1 = 40 - 88 + 4q1
or
3q1 = 48
or
q1 = 16 units
substituting the value of q1 in equation (1) , we get
q2 = 44 - 2 × 16
or
q2 = 12 units
Therefore,
The correct answer is option (2) q1 = 16; q2 = 12
In the current year, Chastain takes a trip from Charleston, South Carolina to France primarily for business purposes. He is away from home from March 5 through March 16. He spends four days vacationing and eight days (including two travel days) conducting business. His airfare is $2,900, his meals amount to $180 per day, and lodging and incidental expenses are $420 per day. He is self-employed. In your computations, round any division to two decimal places and use rounded amounts in subsequent calculations. Chastain's deductible expenses are:Plane and taxi expenses: $ _________.Lodging and incidental expenses: $ ___________.Meals: $ _________.
Answer:
Plane and taxi expenses - $1,943
Lodging and incidental expenses - $3,360
Meals expenses - $720
Explanation:
Certain business expenses are fully deductible limited to the amount used for business purpose. Some such expenses are travel expenses (air or roadways), lodging and other commutation charges. Expenses on meals are 50 percent deductible.
Chastin spends 4 days vacationing. So expenses incurred during that time are not deductible under business expenses.
He was conducting business for 8 days. Proportional amount of plane and taxi expenses will be deductible under business expenses as calculated below:
Plane and taxi expenses (Proportion for business) = 8 / 12 = 0.67
12 are total number of days for which expenses were incurred and 8 out of 12 days were for business purpose.
Deductible Plane and taxi expenses = 0.67 × 2,900 = $1,943
Lodging and incidental expenses = $420/day
Deductible lodging and incidental expenses = 420 × 8 = $3,360
Meals expenses = $180/day
Deductible meal expenses = 180 × 8 × 0.5
= $720
Only 50% of meals expenses are deductible under business expenses.
The production team of a company that manufactures cricket balls has determined the quantity of leather, threads, labor, and electricity required to make one cricket ball. The collective effort of all these resources would help the company determine its _____.
Answer:
Multifactor productivity.
Explanation:
Multifactor productivity is basically known as total factor productivity (TFP) are used as measurements to compare the amount of goods and services in terms of output to the actual amount of combined inputs used to produce those goods and services.
Under the Uniform Commercial Code (UCC), evidence of ______________can be used as evidence for interpreting an otherwise valid written contract.
Answer:
Parol evidence principle
Explanation:
The Parol evidence principle usually forbids the inclusion of proof of previous or contemporary arrangements and contracts that oppose, change or alter the terms of the contract of any written agreement. It is induced whenever the signed agreement is supposed to be include as full and permanent representation of the contract between the parties.
The investor-supplied items—debt, preferred stock, and common equity—are called capital components. Increases in assets must be financed by increases in these capital components. True or false?
Answer:
True
Explanation:
The statement is true; companies usually attain extra financing either by debt or equity (Preferred stock or common stock). Organisations for the most part have a decision with respect to whether to look for Preferred stock, common stock or Debt financing. The decision frequently relies on which source of financing is most effectively available for the organisation. Firms and organisation use that extra funds from stock to invest in new ventures and to buy new machinery, which increases the overall assets of the company.
In a study, when asked to rate the rewards from work, Japanese and American salespersons showed surprising similarity barring one aspect which the Japanese rated as more important than what their American counterparts did. Identify the one from the following.a. Job securityb. Promotionc. Feeling of worthwhile accomplishmentd. Social recognition (sales club awards)
Answer:
D) Social recognition
Explanation:
Japanese companies have stronger corporate cultures than American companies and Japanese salespeople tend to be more motivated when the company's values are consistent with their individual values. Japanese culture is more paternalistic and that is why individual bonuses are not very effective ways of motivating salespeople. Instead, group bonuses are extremely effective in motivating them since the group will recognize who are the best salespeople within the group.
In an attempt to have funds for a down payment, Jan Carlson plans to save $3,700 a year for the next five years. With an interest rate of 6 percent, what amount will Jan have available for a down payment after the five years?
Answer:
$20,857.24
Explanation:
This is an ordinary annuity question which can be solved using a financial calculator. The inputs are as follows;
Total duration of investment; N = 5
Interest rate per year; I/Y = 6%
Recurring annual payment; PMT = 3,700
One time cashflow; PV = 0
then compute the future value of the annuity; CPT FV = 20,857.244
Therefore, Jan will have $20,857.24 as down payment in 5 years.
Jan Carlson can save up to approximately $21,578.01 for a down payment after five years with an annual saving of $3700 at an interest of 6% per year.
Explanation:Jan Carlson's available funds for a down payment depends on the concept of compound interest, which is typically the case when saving money in an interest-bearing account for several years. We'll need to use the formula for future value of an annuity since the money is saved annually. Interest is being compounded yearly as well.
The formula is: FV = P * ((1 + r)^n - 1) / r, where:
- FV is the future value of the annuity
- P is the amount deposited each year
- r is the interest rate (decimal)
- n is the number of years
Substituting Jan's values into the formula:
FV = $3700 * ((1 + 0.06)^5 - 1) / 0.06. After doing the math, the amount Jan will have available for a down payment after five years will be approximately $21,578.01.
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A bank may establish a multinational operation for the reason of low marginal costs. The underlying rationale being that is______.
a) banks follow their multinational customers abroad to prevent the erosion of their clientele to foreign banks seeking to service the multinational's foreign subsidiaries.
b) multinational banking operations help a bank prevent the erosion of its traveler's check, tourist, and foreign business markets from foreign bank competition.
c) managerial and marketing knowledge developed at home can be used abroad with low marginal costs.
d) the foreign bank subsidiary can draw on the parent bank's knowledge of personal contacts and credit investigations for use in that foreign market.
Answer:
c) managerial and marketing knowledge developed at home can be used abroad with low marginal costs.
Explanation:
Low marginal cost represents low cost associated with the functioning of bank at low cost for each additional transaction of business. This basically provides for low costing.
Since the bank is able to exercise the low marginal cost in domestic market it expects to have a low marginal cost in international market also with the expertise of management.
As the bank feels confident with the management that it would be able to keep the cost low even in international domains thus, it expects low marginal cost in international domains also.
When preparing a consolidated balance sheet, the noncontrolling interest amount is:
a. Not disclosed on the balance sheet.
b. Generally presented as a part of liabilities.
c. Generally presented as a part of stockholders' equity.
d. Always presented as a part of stockholders’ equity.
Answer:C - Generally presented as a part of stockholders' equity
Explanation: The non controlling interest amount is generally presented in the consolidated financial statement as part of stakeholders equity. The non controlling interest is also known as the minority interest. The non controlling interest arises where the parent company has less than 100% ownership in the business.
Annabel is an information specialist. Last year her boss evaluated her with an essay appraisal. She and several of her coworkers were so dissatisfied with the general and qualitative nature of the process that they requested a change. This year he wrote about several key behaviors that she exhibited throughout the year that were very important for her job performance. For instance, he described how she spent extra time evaluating network security protocol options. What appraisal technique is he using?
a) Graphic rating scale
b) BARS
c) Critical incident
d) Checklist appraisal
e) Essay appraisal
Answer:
c) Critical incident
Explanation:
With the information provided it seems that the appraisal technique that he is using is a critical incident. This term refers to analyzing and documenting employee behaviors during certain events, and then stating in which ones they performed well and which ones need improvement. Such as is the case in this scenario as the amount of time that Annabel spent evaluating network security protocol options was documented and analyzed, among other behaviors.
Throughout the course of your life, you have converted some of your cash on hand to certificates of deposit and bonds. You also own several shares of Disney stock, gifted to you by your great-grandmother. Your bonds, certificates of deposit, and stock certificates are examples of ________ property.
Answer:
intangible property
Explanation:
Intangible property can be defied as property that doesn't have any physical attributes that give them value. For example, a car is a tangible since you can drive it around, but a certificate of deposit is just a piece of paper (or even a computer code) and nothing else. The same applies to bonds and stocks, you know they are valuable but their value is not provided by their physical characteristics.
Other intangible property include patents, software, licenses, copyrights and trademarks. All of these can be extremely expensive, for example Microsoft is worth hundreds of billions and it sells digital ones and zeros.
If the reserve ratio increased from 5 percent to 10 percent, then the money multiplier would a. rise from 5 to 10. b. fall from 10 to 5. c. fall from 20 to 10. d. rise from 10 to 20.
Answer:
c. fall from 20 to 10.
Explanation:
The formula for the money multiplier is 1/reserve ratio,this means that the lower the reserve ratio the higher the multiplier, the reason for this is when the reserve ratio is lower banks can loan out a higher proportion of money therefore more money is created thus the multiplier and reserve ratio have an inverse relationship.
when the reserve ratio is 5% the multiplier is 1/0.05=20
When the reserve ratio is changed to 10% the multiplier is 1/0.1= 10
So the multiplier changes from 20 to 10.
Blossom Company purchased a machine with a list price of $168000. They were given a 10% discount by the manufacturer. They paid $1000 for shipping and sales tax of $6500. Blossom estimates that the machine will have a useful life of 10 years and a salvage value of $40000. If Blossom uses straight-line depreciation, annual depreciation will be
Answer:
$11,870
Explanation:
Given:
List price = $168,000
Discount = 10%
Shipping cost = $1,000
Sales tax = $6,500
Salvage value = $40,000
Useful life = 10 years
Now,
Purchasing price = List price - Discount
Purchasing price = $168,000 - [10% × $168,000]
Purchasing price = $168,000 - $16,800
Purchasing price = $151,200
Costs that are directly related to the purchase of asset are capitalized.
Thus,
Cost = Purchasing price + Shipping costs + Sales tax
Cost = $151,200 + $1,000 + $6,500
Cost = $158,700
Now,
Annual straight line depreciation = [tex]\frac{Cost-Residual Value}{Useful life}[/tex]
Annual straight line depreciation = [tex]\frac{158,700 - 40,000}{10}[/tex]
Annual straight line depreciation = [tex]\frac{118,700}{10}[/tex]
Annual straight line depreciation = $11,870
Expert systems are expensive and time-consuming to maintain_________________.
a. because their rule base is so complex.
b. because they rely on equipment that becomes outdated.
c. because their rules must be reprogrammed every time there is a change in the environment, which in turn may change the applicable rules.
d. because only the person who created the system knows exactly how it works, and may not be available when changes are needed.
Answer: Option C
Explanation: In simple words, expert systems refers to the software of artificial intelligence that helps humans in decision making by solving complex problems through using if- then rules rather than conventional methods.
These software are used by entities such as financial and technical research organisations and the problems it solves highly depends on rapidly changing environmental factors , thus, a change in environment would demand a change in the system which cost heavy money to the entities using it.
Which of the following indicates that the functional currency of a foreign subsidiary is the US dollar? Group of answer choices
a) Cash flows of the foreign entity do not immediately affect the US parent's cash flow.
b) Financing is primarily denominated in foreign currencies.
c) Sales markets of the foreign entity are primarily in foreign countries.
d) The volume of intraentity transactions is high. Labor, materials, and other costs consist primarily of local costs to the foreign affiliate.
Answer:
C) Sales markets of the foreign entity are primarily in foreign countries.
Explanation:
The US dollar is the most commonly used currency in the world, and most of foreign trade is carried out using the US dollar. If the foreign entity sells most of its production overseas (exports) then they will use the US dollar as their functional currency since all their exports will be valued in US dollars.
For a product like video cassette recorders (VCRs), which is in the decline stage of its product life cycle__________.
Final answer:
VCRs, in the decline stage of their product life cycle, face diminished demand due to the rise of digital streaming services and the introduction of alternative media formats such as DVDs and Blu-Ray players.
Explanation:
For a product like video cassette recorders (VCRs), which is in the decline stage of its product life cycle, a decrease in demand and relevance is evident. Physical media's decline, as seen in the decline of video rental giants like Blockbuster, is partly due to the rise of digital alternatives such as streaming services like Netflix, which offer convenience and instant access to a wide library of content. As Netflix explores releasing movies online simultaneously with theater premieres, it may capture even more of the home entertainment market, pushing physical media like VCRs further into obsolescence.
The market for VCRs previously encountered a format battle between Betamax and VHS, with VHS ultimately prevailing. However, the introduction of DVDs and then Blu-Ray players, followed by digital streaming technologies, has led to the decline of VCRs as they were replaced by newer media formats. This progression underscores the fast-paced change in consumer preferences and the impact of technological advancements on product life cycles, leading to the phase-out of older technologies like the VCR.
Apex Manufacturing Corporation mass production eight different products. The controller who is interested in strengthening internal control over the accounting for materials used in production is most likely to implement a(n)A. Economic order quantity (EOQ) system.B. Job-order cost accounting system.C. Perpetual inventory system.D. Segregation of duties among production personnel.
Answer:
C. perpetual inventory system
Explanation:
Based on the information provided within the question it can be said that the controller is most likely to implement a perpetual inventory system. This is a system that documents transactions as they happen (stock coming in or going) completely autonomously and efficiently. This would save time and money by strengthening internal control over the accounting for materials.
Billy's Goat Coats has a preferred share issue outstanding with a current price of $38.89. The firm last paid a dividend on the issue of $3.50 per share. What is the firm's cost of preferred equity if billy goats coats has a 34% marginal tax rate?
a) 5.94%
b) 8%
c) 9%
d) 10%
Answer:
option (c) 9%
Explanation:
Data provided in the question:
current price of outstanding shares = $38.89
Last Dividend paid = $3.50
Marginal tax rate = 34%
Now,
cost of preferred equity = Dividend ÷ Price per share
thus,
cost of preferred equity = $3.50 ÷ $38.89
or
cost of preferred equity = 0.0899
or
cost of preferred equity = 0.0899 × 100%
= 8.99% ≈ 9%
Hence,
The correct answer is option (c) 9%
At December 31 year-end, Crain Corporation has an $8,400 note receivable from a customer. Interest of 10% has accrued for 10 months on the note. What will Crain's financial statements report for this situation?a.) The balance sheet will report the note receivable of $8,400.b.) The balance sheet will report the note receivable of $8,400 and interest receivable of $700.c.) Nothing because the business has not received the cash yet.d.) The income statement will report a note receivable of $8,400.
Answer:
B) The balance sheet will report the note receivable of $8,400 and interest receivable of $700.
Explanation:
The note receivable is an asset account that should be included in the balance sheet at face value, $8,400.
Since 8 months have passed since the note was made, we can include the interest receivable in the balance sheet, but only the 10 months: $8,400 x (10/12) x 10% = $700
When a service ranks low on the dimensions of customer contact, labor intensity, and customization, the service providers need to emphasize on _____ to provide a high quality service to the customers.
Answer:
The correct answer is d. physical facilities and procedures .
Explanation:
The decisions that lead to the definition of the productive facilities of a company are planning decisions, that is, with a long-term horizon, since the objectives to be achieved are basically the definition of the investments to be made, and the foreseeable costs to incur, which will condition us, to some extent, such investments.
For this, it is necessary to have the most complete information (field work), not only of the market to which we intend to supply, but also, and in particular, of those data that can directly influence the design of our facilities and exploitation processes, such as:
Technologies and processes used in this type of business Level of the qualities demanded by the market Raw material suppliers and their degree of concentration (associations) Product distribution channels Regulations and regulations in this type of activity, and particularly those related to Workplace Safety.The methodology to be followed for the design of the facilities is set out in the following table, and constitutes the set of tasks that must be performed before the start-up of a business.
Final answer:
When a service ranks low on customer contact, labor intensity, and customization, service providers need to emphasize standardization to provide high-quality service to customers.
Explanation:
When a service ranks low on the dimensions of customer contact, labor intensity, and customization, the service providers need to emphasize on standardization to provide a high quality service to the customers.
Standardization refers to the process of establishing uniform procedures, guidelines, and specifications for delivering a service. By standardizing their processes, service providers can ensure consistency, efficiency, and reliability in their service delivery.
For example, a fast food restaurant that ranks low on customer contact, labor intensity, and customization may adopt standardized procedures for food preparation, order taking, and customer service to ensure consistent quality and quick service.