The answer to the question is that a true MNC with operations in dozens of different countries must effectively manage foreign exchange risk. This is because they are exposed to fluctuations in exchange rates between the various currencies they deal with, which can affect their profitability and financial performance.
While it may be true that a diversified MNC is less susceptible to foreign exchange risk than a company with limited international exposure, it is still important for them to actively manage this risk in order to minimize its impact.
It is also not true that an MNC with operations in multiple countries will not pay taxes in only its home country. In fact, MNCs are often subject to tax obligations in the countries where they do business, and must comply with various tax laws and regulations in each jurisdiction.
In summary, while an MNC with diversified operations may be better positioned to handle foreign exchange risk, it is still important for them to effectively manage this risk in order to ensure their financial stability and success in the global marketplace.
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When specific guidelines are used to control the appearance of business marketing material, such as layouts and color, this is known as what
When specific guidelines are used to control the appearance of business marketing material, such as layouts and color, this is known as brand standards or brand guidelines.
Brand standards or brand guidelines are a set of rules and instructions that dictate how a company's brand should be presented across all marketing materials. This includes the use of logos, fonts, color palettes, images, and even the tone and voice used in messaging. Brand standards ensure consistency in branding and help to establish a recognizable and trustworthy identity for the company. Following these guidelines helps to maintain a strong brand image and prevents confusion or dilution of the brand over time.
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Ghost Riders Company has an EPS of $1.61 that is expected to grow at 8.1 percent per year. If the PE ratio is 18.75 times, what is the projected stock price in 4 years
Ghost Riders Company has an EPS of $1.61 that is expected to grow at 8.1 percent per year. If the PE ratio is 18.75 times then projected stock price in 4 years for Ghost Riders Company is $44.24.
What is stock?A stock represents ownership in a company, typically in the form of shares of common or preferred stock, that entitles the shareholder to a portion of the company's profits and voting rights.
What is EPS and PE ratio?EPS (Earnings per share) is a company's net profit divided by the number of outstanding shares, while PE (Price-to-earnings) ratio is a valuation ratio that compares a company's stock price to its EPS.
According to the given information:
To calculate the projected stock price in 4 years, we need to use the formula:
Projected Stock Price = EPS * PE Ratio * (1 + Growth Rate) ^ Number of Years
Substituting the given values, we get:
Projected Stock Price = $1.61 * 18.75 * (1 + 0.081) ^ 4
Simplifying the expression inside the parentheses first:
(1 + 0.081) ^ 4 = 1.3577
Now, substituting the simplified value:
Projected Stock Price = $1.61 * 18.75 * 1.3577
Projected Stock Price = $44.24
Therefore, the projected stock price in 4 years for Ghost Riders Company is $44.24.
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The biggest problem faced by developing countries in financing development is Group of answer choices inability to repay loans. currency inflation. trade negotiations with more developed countries. identifying unique economic assets. promoting dependency.
The biggest problem in promoting development through the international trade alternative is the unequal distribution of resources. International trade can be an important driver of economic growth and development, as it allows countries to specialize in producing goods and services that they have a comparative advantage in and trade them for other goods and services that they need. Option ( D )
However, not all countries have equal access to the resources necessary to produce goods and services that are in demand on the global market. This can lead to a situation where developed countries with abundant resources are able to dominate global markets, while developing countries struggle to compete. This unequal distribution of resources can perpetuate poverty, limit economic growth, and make it difficult for developing countries to achieve sustainable development. Therefore, addressing the issue of unequal resource distribution is critical to promoting development through international trade.
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Full Question ;
The biggest problem in promoting development through the international trade alternative is
A) increased demand for many goods.
B) increased price of petroleum.
C) regional cooperation.
D) unequal distribution of resources.
E) consumer demand expanding faster than manufacturing can increase.
The Federal Reserve announces that it wants to increase interest rates at a faster pace than it said previously. In this case, people want to:
If the Federal Reserve announces that it wants to increase interest rates at a faster pace than it said previously, people will likely want to take advantage of the current lower interest rates and borrow money before the rates increase.
This could lead to an increase in borrowing and spending, which could stimulate economic growth in the short term. However, it could also lead to higher inflation and ultimately slower economic growth in the long term. Investors may also shift their portfolios towards assets that perform well in a higher interest rate environment, such as bonds or dividend-paying stocks. Overall, the announcement may cause some uncertainty and volatility in financial markets, as investors and businesses adjust their strategies to account for the changing interest rate environment.
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The investor uses the proceeds from the sale of the 10% bond to purchase a 6% bond with semiannual coupons, maturing at par at the end of 8 years. Find the par value of the 8-year bond.
The par value of the 8-year bond is $1,045.79.To find the par value of the 8-year bond, we need to use the information provided :
The investor has sold a 10% bond and used the proceeds to purchase a 6% bond with semiannual coupons, maturing at par at the end of 8 years.
First, we need to calculate the present value of the 10% bond. Let's assume that the face value (par value) of the bond is $1,000, and the investor sells the bond at a discount rate of 8%. Using the present value formula, we can calculate the present value of the bond as follows:
PV = $1,000 / (1 + 0.08)⁸
PV = $1,000 / 1.58687
PV = $630.96
The investor then uses the proceeds of $630.96 to purchase the 6% bond with semiannual coupons. Let's assume that the semiannual coupon payment is $30. Using the present value formula again, we can calculate the present value of the bond as follows:
PV = ($30 / 0.03) x [1 - (1 / (1 + 0.03)¹⁶)]
PV = $1,045.79
Therefore, the par value is $1,045.79.
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Now suppose rRF increases to 7%. The market risk premium, RPM, (i.e., the slope of the SML) remains constant. How would this affect rM and rUT?
In finance, the SML (Security Market Line) is a graphical representation of the Capital Asset Pricing Model (CAPM), which relates the expected return on an asset to its systematic risk or beta.
The formula for CAPM is:
r_i = r_f + β_i * (r_m - r_f)
where:
r_i is the expected return on asset i
r_f is the risk-free rate (i.e., the return on a risk-free investment such as a government bond)
β_i is the systematic risk or beta of asset i (i.e., how much it moves in relation to the market)
r_m is the expected return on the market portfolio (i.e., the return on a diversified portfolio of all assets in the market)
(r_m - r_f) is the market risk premium (RPM), which compensates investors for taking on market risk.
Now, suppose r_f (the risk-free rate) increases to 7%. This would shift the entire SML upwards, because investors would now require a higher expected return to compensate for the increased risk-free rate. However, the slope of the SML (i.e., the RPM) remains constant, because the market risk premium is not affected by changes in the risk-free rate.
As a result, r_m (the expected return on the market portfolio) would also remain constant, because it is equal to r_f plus the RPM. So if r_f increases by the same amount as the RPM, the two effects cancel out and r_m stays the same.
However, rUT (the expected return on an asset with a beta of zero, such as a Treasury bill) would increase to 7%, because it is directly tied to the risk-free rate. In other words, the expected return on a risk-free investment would increase by the same amount as the risk-free rate itself.
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which chicago neighbourhood receives the highest average number of reviews per month?
West Town
Lake View
Ohare
Roseland
None of the Above
Its location near the lake, vibrant nightlife, and diverse community contribute to its high level of interest and positive reviews.
The Chicago neighborhood that receives the highest average number of reviews per month is Lake View. Lake View is a popular and lively area known for its diverse community, entertainment options, and picturesque surroundings near Lake Michigan. This neighborhood attracts many visitors and residents, leading to a high volume of reviews and recommendations.
West Town, O'Hare, and Roseland, while each having their own unique characteristics and attractions, do not receive as many reviews per month compared to Lake View.
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bree has identified three protential market segments for her on demand car retal company. She is concered that the local market isn;t large enough and wonders if she should introduce this concept in a large citiy instead. which characteristicof segment attractiveness is Bree addressing
Three possible market niches for Bree's on-demand automobile rental business have been identified. She questions whether she should instead present this idea in a big city since she worries that the local market isn't big enough. Bree addressing is a key component of segment attraction.
The process of assessing the desirability of each market sector and choosing one or more to enter is known as market targeting (targeting). A market segment's typical attributes include its hobbies, way of life, age, gender, etc.
Geographical, demographic, psychographic, and behavioural market segmentation are typical examples. A target market is considered to be "substantial" if the product-market segment is "homogeneous" inside. A market sector that is "substantial" is one that is big enough to be successful. describing a market sector as "substantial".
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If starting accounts receivable are $100, sales are $200, and cash collections are $50, then the formula for ending accounts receivable is ___.
Starting accounts receivable + Sales - Cash collections = Ending accounts receivable
$100 + $200 - $50 = $250
Therefore, the formula for ending accounts receivable is $250.
The formula for ending accounts receivable, given starting accounts receivable of $100, sales of $200, and cash collections of $50, is: Ending Accounts Receivable = Starting Accounts Receivable + Sales - Cash Collections
1. Begin with the starting accounts receivable, which is $100.
2. Add the sales amount, which is $200.
3. Subtract the cash collections, which is $50.
So the formula for ending accounts receivable is:
Ending Accounts Receivable = $100 + $200 - $50 = $250
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Jamba Juice offers its customers a stamp card that allows them to receive a free smoothie after they have filled an entire card. This is an example of a
Jamba Juice's stamp card program is an example of a customer loyalty program.
Jamba Juice's stamp card program is an example of a customer loyalty program. Customer loyalty programs are marketing strategies that are designed to encourage repeat business from customers by offering rewards, discounts, or other incentives for their continued patronage. These programs are aimed at building customer loyalty and increasing customer retention, as well as attracting new customers through word-of-mouth referrals. The stamp card program offered by Jamba Juice rewards customers for making repeated purchases at their stores. Customers who purchase a certain number of smoothies can receive a free smoothie after they have filled an entire card. This incentivizes customers to continue buying smoothies from Jamba Juice in order to earn the reward, and can help to build brand loyalty among its customers. Overall, customer loyalty programs like the stamp card program offered by Jamba Juice can be effective ways to build customer loyalty and increase customer retention, while also providing customers with tangible rewards for their continued business.
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While you are planning for a campaign, you review an organization’s website, read past news articles about that organization, and search for PR/Ad case studies that are similar to what that organization seeks to do. What type of research are you most likely doing?
The type of research that you are most likely doing for the organization is secondary research. This type of research involves gathering information from sources that have already been published, such as news articles, case studies, and the organization's website.
Secondary research is an important step in planning a campaign as it allows you to gain a better understanding of the organization, its goals, and the industry in which it operates. This information can then be used to inform the development of the campaign strategy and tactics. Additionally, secondary research can help identify potential challenges or opportunities that the organization may face during the campaign. Overall, conducting thorough research is essential to creating an effective and successful campaign for the organization.
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Which step in the risk management process is designed to identify and assess the perceived imminence of intended aggression by a capable entity to harm a nation, a government, or its instrumentalities
The step in the risk management process that is designed to identify and assess the perceived imminence of intended aggression by a capable entity to harm a nation, a government, or its instrumentalities is threat assessment.
Threat assessment is the process of evaluating potential threats that may cause harm to a nation, government, or its instrumentalities. This process involves identifying and assessing the likelihood and potential impact of threats based on available intelligence and other relevant information.
In the context of risk management, threat assessment is a crucial step in identifying and mitigating potential risks. By identifying and assessing potential threats, organizations and governments can take proactive measures to reduce the likelihood and potential impact of harm, and develop contingency plans to respond effectively if a threat does materialize.
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Gulfport Corporation's taxable income differed from its accounting income computed for this past year. An item that would create a permanent difference in accounting and taxable incomes for Gulfport would be
One item that could create a permanent difference in accounting and taxable incomes for Gulfport Corporation is the use of accelerated depreciation methods for tax purposes.
Under tax laws, companies are allowed to use faster depreciation rates for tax purposes than for accounting purposes. This creates a permanent difference in taxable and accounting incomes because the amount of depreciation expense recognized for tax purposes is greater than the amount recognized for accounting purposes.
As a result, taxable income is reduced by a larger amount than accounting income, leading to a lower tax liability for the company. Other examples of permanent differences include income or expenses that are recognized for accounting purposes but are not taxable, such as interest on municipal bonds or expenses related to fines and penalties.
On the other hand, temporary differences arise when income or expenses are recognized in different periods for tax and accounting purposes, leading to a timing difference in the recognition of taxable income.
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What Work Requires of Schools: A SCANS Report for America 2000. The Secretary's Commission on Achieving Necessary Skills, a publication of the US Department of Labor, June 1991.
The publication titled "What Work Requires of Schools: A SCANS Report for America 2000" is a report that was published by the Secretary's Commission on Achieving Necessary Skills (SCANS) of the US Department of Labor in June 1991.
The report highlights the skills and knowledge that are required in the workplace of the 21st century and suggests that schools need to prepare students to meet these demands. The report outlines five competencies that are crucial for success in the workplace:
Resources: This competency includes the ability to allocate time, money, materials, space, and staff efficiently and effectively.Interpersonal Skills: This competency includes the ability to work in teams, understand and manage diverse perspectives, and communicate effectively.Information: This competency includes the ability to gather, analyze, and use data to make informed decisions.Systems: This competency includes the ability to understand complex systems, think critically, and solve problems.Technology: This competency includes the ability to use technology to enhance productivity and communication.The report emphasizes that schools must incorporate these competencies into their curriculum to prepare students for the demands of the workforce. It also suggests that schools should focus on teaching students how to learn, rather than just providing them with information.
The report provides detailed recommendations for schools and policymakers on how to integrate these competencies into the education system. In summary, "What Work Requires of Schools: A SCANS Report for America 2000" is a comprehensive report that highlights the skills and knowledge required for success in the workplace of the 21st century.
It provides a detailed analysis of the competencies needed and recommends that schools must prepare students for these demands by incorporating these competencies into their curriculum.
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Comparable Sale A was recently sold for $1,449,861. Assume the PGI of the property is $450,000 and its effective gross income is $343,551. The operating expense ratio of the property is 84%. What is the overall capitalization rate extracted from the effective gross income multiplier of Sale A
The overall capitalization rate extracted from the effective gross income multiplier of Sale A is 1.58%.
To calculate the overall capitalization rate, we need to first find the effective gross income multiplier (EGIM) of Sale A:
EGIM = Sale Price / Effective Gross Income
EGIM = $1,449,861 / $343,551
EGIM = 4.22
Next, we can use the operating expense ratio (OER) to calculate the net operating income (NOI) of the property:
NOI = Effective Gross Income x (1 - OER)
NOI = $343,551 x (1 - 0.84)
NOI = $54,968.16
Finally, we can use the NOI and the EGIM to calculate the overall capitalization rate (OAR):
OAR = NOI / Sale Price x EGIM
OAR = $54,968.16 / $1,449,861 x 4.22
OAR = 0.0158 or 1.58%
Therefore, the overall capitalization rate extracted from the effective gross income multiplier of Sale A is 1.58%.
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In which step of the ethical decision-making framework might a company halt its marketing research project
The ethical decision-making framework is a process that helps companies make decisions that align with their values and ethical standards. There are several steps in this framework, including identifying the problem, gathering information, evaluating options, making a decision, and taking action.
When it comes to marketing research projects, a company might halt the project at any stage if it determines that it is not ethical. For example, if the research methods are invasive or unethical, the company might stop the project during the information gathering stage. Additionally, if the research findings are likely to cause harm to individuals or groups, the company might decide to halt the project during the evaluation stage. Ultimately, companies must make ethical decisions throughout the entire process of marketing research to ensure that they are acting in accordance with their values and ethical standards.
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A cost of quality system is based on the trade-off between incurring costs to meet product (or service) specifications and the costs of failing to meet those specifications.Group startsTrue or False
A cost of quality system is a management technique used to measure and analyze the costs associated with meeting product or service specifications. True
This system is based on the trade-off between incurring costs to meet specifications and the costs of failing to meet them. It is a framework that helps organizations assess the financial impact of quality-related activities, such as inspections, testing, and preventive maintenance. By evaluating the cost of quality, companies can identify areas for improvement and make informed decisions about how to allocate resources.
The goal of a cost of quality system is to minimize the total cost of producing a product or providing a service while maximizing customer satisfaction. Therefore, the statement "A cost of quality system is based on the trade-off between incurring costs to meet product (or service) specifications and the costs of failing to meet those specifications.
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Modifications to certain characteristics of what is being marketed are integral to the ________ approach.
Modifications to certain characteristics of what is being marketed are integral to the adaptation approach. In this approach, the product or service is adapted to suit the needs and preferences of the target market.
This may involve changes to the physical design, packaging, pricing, or even the promotion of the product. The adaptation approach is particularly useful when entering new markets or when targeting diverse consumer groups. By making modifications to the product, companies can increase its appeal and competitiveness, and ultimately, improve sales and market share.
However, it is important to balance the need for adaptation with the desire to maintain the core values and identity of the product. Through careful research and analysis, companies can determine the optimal level of adaptation required for success in different markets.
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jPhone, Inc., has an equity multiplier of 1.42, total asset turnover of 1.71, and a profit margin of 9 percent. What is the company's ROE
iPhone, Inc., has an equity multiplier of 1.42, total asset turnover of 1.71, and a profit margin of 9 percent. What is the company's ROE
We can use the DuPont formula to calculate the ROE:
ROE = Profit margin × Total asset turnover × Equity multiplier
Given: Equity multiplier = 1.42 Total asset turnover = 1.71
Profit margin = 9% ROE = 0.09 × 1.71 × 1.42 ROE = 0.2171 or 21.71%
Therefore, iPhone, Inc.'s ROE is 21.71%.
We can use the DuPont model to calculate the return on equity (ROE) of a company, which is expressed as the product of the profit margin, total asset turnover, and equity multiplier:
ROE = Profit margin x Total asset turnover x Equity multiplier
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Many MNCs choose to hedge only in those situations in which they expect the currency to move in a direction that will make hedging feasible. That is, they may hedge future ________ if they foresee ________ in the underlying currency.
Many MNCs choose to hedge only in those situations in which they expect the currency to move in a direction that will make hedging feasible. That is, they may hedge future cash flows if they foresee appreciation or depreciation in the underlying currency.
For instance, if an MNC expects a favorable move in the underlying currency, it may hedge future currency payments. The rationale behind this is that hedging can be an expensive process, and it may not always be worth it if the currency moves in a direction that is unfavorable to the company.
Therefore, MNCs tend to evaluate the expected movements in the currency before deciding to hedge. If they anticipate a favorable move, they may choose to hedge to lock in the gains.
On the other hand, if they expect unfavorable movements, they may choose to leave their currency exposure unhedged and take the risk. In either case, the decision to hedge or not depends on the MNC's risk management strategy and its evaluation of the currency markets.
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Xerox uses a formal training program that includes classroom training and assigning a mentor to newer sales representatives. Salesforce training is part of the ________ function of sales management.
Salesforce training is an important aspect of the training function of sales management. It involves providing new sales representatives with the necessary skills and knowledge to effectively use the Salesforce software, which is a vital tool for managing customer relationships, tracking sales activities, and analyzing sales data.
Xerox is a company that has successfully implemented a formal training program that includes classroom training and assigning a mentor to newer sales representatives. This type of program ensures that new sales representatives receive the necessary training and support to be successful in their roles.
The role of a mentor in this training program is crucial. A mentor is an experienced sales representative who can provide guidance, advice, and support to the newer sales representatives.
Mentors can help new sales representatives learn the ins and outs of the sales process, understand the company's products and services, and develop important sales skills such as communication, negotiation, and relationship building.
In conclusion, Salesforce training is a critical function of sales management that ensures new sales representatives are equipped with the necessary skills and knowledge to be successful in their roles.
Xerox's formal training program, which includes classroom training and assigning a mentor to newer sales representatives, is a great example of how companies can effectively implement a Salesforce training program to support their sales team.
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mama mia restaurant purchased two large ovens for its kitchen. these ovens are an example of which type of business
The purchase of the two large ovens for Mama Mia restaurant's kitchen is an example of a capital expenditure.
A capital expenditure is a long-term investment in a company's property, plant, and equipment (PP&E) or other fixed assets that are expected to provide benefits over several years. These types of investments are typically significant in amount and have a useful life of more than one year.
The ovens are considered a fixed asset that will provide benefits to the restaurant for several years, and their cost will be depreciated over time. This is in contrast to an expense, which is a cost incurred in the ordinary course of business and is expensed immediately.
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mama mia restaurant purchased two large ovens for its kitchen. these ovens are an example of which type of business?
How a sales tax is divided between buyers and sellers is determined by the government's choice of whom to tax. who the law says must pay the tax. the elasticities of supply and demand. the revenue needs of government.
The way a sales tax is divided between buyers and sellers is largely determined by the elasticities of supply and demand. Elasticity refers to the responsiveness of buyers and sellers to changes in price.
If the supply and demand for a product are relatively elastic, meaning that buyers and sellers are very responsive to price changes, then the burden of the tax will be divided more evenly between buyers and sellers. This is because if the government imposes a tax on sellers, they will raise the price of the product, and buyers will respond by buying less of it. As a result, sellers will end up bearing some of the burden of the tax in the form of lower sales.
On the other hand, if the supply and demand for a product are relatively inelastic, meaning that buyers and sellers are not very responsive to price changes, then the burden of the tax will fall more heavily on one group or the other. If the government imposes a tax on sellers, for example, they may simply pass the cost of the tax onto buyers in the form of higher prices, and buyers will have little choice but to pay the higher price.
In general, however, the government's choice of whom to tax and the revenue needs of government are also important factors in determining how a sales tax is divided between buyers and sellers. The law may require either the buyer or the seller to pay the tax, which can affect the final price of the product. Additionally, if the government needs to raise a certain amount of revenue, it may need to impose a higher tax on either buyers or sellers to meet its needs.
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Which transfer pricing method is more appropriate to allow related parties to maintain their decentralized authority
The most appropriate transfer pricing method to allow related parties to maintain their decentralized authority would be the transactional profit split method.
This method involves dividing the profits between related parties based on the contributions each party makes to the overall profitability of the transaction. This approach allows each party to maintain their autonomy and decision-making power, while ensuring that profits are fairly allocated based on the value added by each party. Additionally, the transactional profit split method is flexible and can be tailored to the specific circumstances of each transaction, making it a valuable tool for maintaining decentralized authority in related party transactions.
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When a consumer is preapproved for a line of credit and can use this line freely, making repeat transactions, and can pay it off at any time without closing the line, this is an example of:
When a consumer is preapproved for a line of credit and can use this line freely, making repeat transactions, and can pay it off at any time without closing the line, this is an example of a revolving line of credit.
This type of credit allows a consumer to borrow money up to a predetermined credit limit and make repeat transactions as needed. The consumer can choose to pay off the outstanding balance at any time, without having to close the line of credit. Interest is only charged on the amount borrowed and outstanding, making it a flexible and convenient way to access credit.
Revolving lines of credit are often used for personal loans, credit cards, and home equity lines of credit. They provide consumers with the flexibility to manage their finances in a way that works best for their needs. It offers flexibility in managing finances, as the consumer only pays interest on the outstanding balance and can make payments according to their financial situation. Common examples of revolving credit include credit cards and home equity lines of credit.
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On December 31, 2020, Extreme Fitness has adjusted balances of $860,000 in Accounts Receivable and $67,000 in Allowance for Doubtful Accounts. On January 2, 2021, the company learns that certain customer accounts are not collectible, so management authorizes a write-off of these accounts totaling $16,000. Required: Assume that on February 2, 2021, Extreme Fitness received a payment of $1,100 from one of the customers whose balance had been written off. Prepare the journal entries to record this transaction
The net effect of these two journal entries will be an increase in Cash by $1,100 and a decrease in Allowance for Doubtful Accounts by $1,100. The Accounts Receivable balance will remain the same as before the write-off.
The journal entries to record the transaction on February 2, 2021, are as follows:
1. To reinstate the customer's account:
Debit: Allowance for Doubtful Accounts $1,100
Credit: Accounts Receivable $1,100
2. To record the receipt of payment:
Debit: Cash $1,100
Credit: Accounts Receivable $1,100
Firstly, the company reinstates the customer's account by debiting the Allowance for Doubtful Accounts and crediting Accounts Receivable with the amount of $1,100. This will increase the Accounts Receivable balance, which was previously written off, and reduce the Allowance for Doubtful Accounts balance.
Secondly, the company records the receipt of payment by debiting Cash and crediting Accounts Receivable with the same amount of $1,100. This will increase the Cash balance and decrease the Accounts Receivable balance.
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Lattimer Company had the following results of operations for the past year: Contribution margin income statement Per Unit Annual Total Sales (15,000 units) $ 12.00 $ 180,000 Variable costs Direct materials 1.50 22,500 Direct labor 4.00 60,000 Overhead 1.00 15,000 Contribution margin 5.50 82,500 Fixed costs Fixed overhead 1.00 15,000 Fixed selling and administrative expenses 1.40 21,000 Income $ 3.10 $ 46,500 A foreign company offers to buy 5,000 units at $7.50 per unit. In addition to variable costs, selling these units would add a $0.25 selling expense for export fees. Lattimer annual production capacity is 25,000 units. If Lattimer accepts this additional business, the special order will yield a: Multiple Choice
To determine the effect of the special order on Lattimer Company's income, we need to calculate the incremental contribution margin. This is the difference between the revenue from the special order and the incremental variable costs (i.e., the additional costs that will be incurred to produce and sell the 5,000 units).
Revenue from special order = 5,000 x $7.50 = $37,500
Incremental variable costs = 5,000 x ($1.50 + $4.00 + $1.00 + $0.25) = $31,250
Incremental contribution margin = $37,500 - $31,250 = $6,250
Since the incremental contribution margin is positive, accepting the special order will increase Lattimer Company's income. However, we need to check whether the special order will affect the company's regular business.
Specifically, we need to determine whether Lattimer can still sell the remaining 10,000 units at the regular price of $12.00 per unit.
Total demand for Lattimer's product = 15,000 (regular sales) + 5,000 (special order) = 20,000 units
Production capacity = 25,000 units
Available units for regular sales = 25,000 - 5,000 (special order) = 20,000 units
Since the total demand (20,000 units) is equal to the available units for regular sales (20,000 units), accepting the special order will not affect Lattimer's regular business. Therefore, the special order will yield a positive incremental contribution margin of $6,250.
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Once the new systems operations are stabilized, ________ are performed during operation to assess the system's capabilities and determine if it is being used correctly.
Once the new systems operations are stabilized, performance evaluations are performed during operation to assess the system's capabilities and determine if it is being used correctly.
Performance evaluations are crucial to the success of any new system implementation. These evaluations help ensure that the system is working as intended and meeting the needs of the users. Performance evaluations typically involve measuring various system metrics, such as response time, throughput, and error rates. These metrics are compared against established benchmarks or service level agreements to determine if the system is performing as expected.
Additionally, user feedback may be collected to gauge user satisfaction and identify areas for improvement. Performance evaluations should be conducted on a regular basis to ensure that the system remains stable and effective over time. As the system is used, new issues may arise or new features may need to be added to address changing user needs.
By regularly evaluating the system's performance, these issues can be identified and addressed in a timely manner. In summary, performance evaluations are essential for ensuring that new systems are meeting the needs of their users and functioning as intended. These evaluations should be conducted regularly to identify and address any issues that arise and to ensure that the system remains stable and effective over time.
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An MP3 player in Singapore costs 200 Singaporean dollars. In the U.S. it costs 120 US dollars. What is the nominal exchange rate if purchasing-power parity holds?
The nominal exchange rate if purchasing-power parity holds is:0.5988. The nominal exchange rate is the rate at which two currencies can be exchanged for one another.
In order to determine the nominal exchange rate if purchasing-power parity holds, we need to look at the relative purchasing power of the two currencies in question.
If an MP3 player costs 200 Singaporean dollars in Singapore and 120 US dollars in the U.S., then we can assume that the purchasing power of the two currencies is not equal. In other words, it takes more Singaporean dollars to purchase the same good as it does U.S. dollars.
To determine the nominal exchange rate if purchasing-power parity holds, we need to adjust the exchange rate so that it reflects the relative purchasing power of the two currencies. This is done by dividing the exchange rate by the ratio of the price levels of the two countries.
In this case, the price level ratio is (200/120) = 1.67. This means that it takes 1.67 Singaporean dollars to purchase the same goods as 1 U.S. dollar. Therefore, the nominal exchange rate if purchasing-power parity holds is:
Exchange rate / Price level ratio = 1 / 1.67 = 0.5988
So, if purchasing-power parity holds, then 1 U.S. dollar is equal to 0.5988 Singaporean dollars.
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Though the most common items sold through ________ are candy, snacks, and beverages, newer versions offer electronics as well. Multiple choice question. direct selling direct mail automatic vending television home shopping
Though the most common items sold through Automatic vending machines are candy, snacks, and beverages, newer versions offer electronics as well. The correct answer is automatic vending.
Automatic vending machines are a common way of selling various items such as candy, snacks, and beverages. These machines are typically found in public areas such as airports, schools, and offices. The primary advantage of automatic vending is convenience as customers can easily purchase items without having to interact with a salesperson. However, vending machines are limited in terms of the types of products they can sell due to their size and design. In recent years, newer versions of vending machines have been developed that offer electronics such as headphones, phone chargers, and even laptops.
These newer vending machines are equipped with touchscreen displays, which allow customers to browse and select products. These machines have proven to be popular among consumers, particularly those who are always on-the-go and need access to tech gadgets. In conclusion, while candy, snacks, and beverages remain the most common items sold through vending machines, the introduction of newer versions that offer electronics has expanded their product range.
The convenience and accessibility of vending machines make them a popular choice for consumers who are looking for a quick and hassle-free shopping experience.The correct answer is automatic vending.
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