Marriott reported the debt in its balance sheet as long-term, based on their ability and intent to refinance the outstanding borrowings on a long-term basis.
Marriott International's annual report contained a section on "Liquidity and Capital Resources" which discussed the company's debt. At the end of the year, Marriott had a revolving credit agreement outstanding worth $4.5 billion.
Although the commercial paper borrowings and borrowings under their Credit Facility had short-term maturities, Marriott classified the outstanding debt as long-term. This classification was based on their ability and intention to refinance the debt on a long-term basis. The Credit Facility was set to expire on June 28, 2024.
This information was included in the annual report to provide transparency to stakeholders about the company's financial position and debt management strategy. By reporting the debt as long-term, Marriott is indicating its confidence in its ability to repay the debt over an extended period of time.
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say you own an asset that had a total return last year of 11.8 percent. if the inflation rate last year was 7.1 percent, what was your real return?
Subtracting the inflation rate from the total return yields the real return. The true return in this scenario would be 4.7 percent, or 11.8 percent Minus 7.1 percent.
The investment return that has been adjusted for inflation is the real return on your investment. The rise in an investment's buying power is referred to as the real return.
You deduct the inflation rate from the overall return to determine the real return. The overall return in this instance was 11.8 percent, and because inflation was 7.1 percent, the actual return may be computed as follows: 11.8% - 7.1% = 4.7%
Therefore, the asset's true return for the previous year was 4.7%. This indicates that while the asset's nominal return was 11.8 percent, the actual return was 4.7 percent after taking inflation rate into account, which rose by 7.1 percent.
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which of the following exemplifies a political/legal trend in the general organizational environments? group of answer choices scarcity of medical equipment suppliers recruitment of highly skilled nurses regulations concerning the disposal of biological wastes high attrition rate of the medical staff
A political/legal tendency in the overall organisational environment is exemplified by the rule governing the disposal of biological wastes.
The government created laws and policies to address environmental issues related to the disposal of biological waste, which led to the regulation. The organization's operations and decision-making are impacted by this trend since they must abide by these rules to do so without incurring legal repercussions. The tendency puts pressure on the company to implement safe and responsible disposal practices, which may have an impact on costs and possibly change the suppliers and service providers the company chooses.
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When General Mills noticed that the Go-gurt brand was not performing as expected, it conducted focus group sessions to determine why consumers were not purchasing the products. Focus groups are an example of which type of research?
The focus group that applied by General Mills is the example of exploratory research. It is because in the focus group, they used questions to determine why consumers were not purchasing the products.
In the term of business research, Exploratory research generally can be defined as an investigates research questions that have not been studied in depth. In practical, Explanatory research usually use some questions tend to start with “why” or “how”, and the goal is to explain why or how a previously studied phenomenon takes place. There are several types of exploratory research, such as case studies, field observations, focus groups, and interviews.
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what are the annual sales for a firm with $414,000 in debt, a total debt ratio of 0.4, and an asset turnover of 3? (enter your answer as a whole number (no decimal places and not in $m or $k, whole dollars).
We must first determine the firm's total assets before we can determine the annual sales. The overall debt ratio might be used for this. The annual sales for the firm are $3,105,000.
We must apply the total debt ratio method in order to get the company's annual sales:
Total Debt Ratio is calculated as Total Debt / Total Assets
To solve for Total Assets, we can rearrange this formula as follows:
Total Debt / Total Debt Ratio = Total Assets
The overall debt is $414,000, and the total debt ratio is 0.4, as far as we are aware. When these values are added to the formula, we obtain:
Total Assets is equal to $1,035,000 divided by $414,000
Now, we can calculate the annual sales using the asset turnover formula:
Sales / Total Assets equals asset turnover.
We are aware that the total assets are $1,035,000 and that the asset turnover is 3. When these values are added to the formula, we obtain:
3 = Sales / $1,035,000
Solving for Sales, we get:
Sales = 3 x $1,035,000 = $3,105,000
Therefore, the annual sales for the firm are $3,105,000.
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giving a refund to a dissatisfied customer an admission of liability? a. yes and you should contact your insurance representative as soon as one is requested. b. yes, but you should issue one anyway. c. no and you can issue one as a gesture of good faith. d. no and you can never be required to give refunds.
No, giving a refund to a dissatisfied customer is not an admission of liability.
An admission of liability is a formal statement or acknowledgment that one is responsible for a certain act, either because of negligence or intentional wrongdoing. A refund, on the other hand, is the return of money or goods to the customer, either in part or in full. Refunds are generally offered as a means of making amends with a customer who is not satisfied with the product or service they purchased. Refunds are not necessarily an admission of liability, and are often used as a way to rectify the situation and maintain a positive customer relationship. In most cases, issuing a refund is simply a gesture of good faith, and does not necessarily have any legal implications.
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dto, incorporated, has sales of $42 million, total assets of $24 million, and total debt of $8 million. a. if the profit margin is 7 percent, what is the net income?
If the profit margin is 7 percent, the net income is is $2.94 million. A company's net income can be calculated by multiplying sales by profit margin. The company's revenue is $42 million and the profit margin is 7%.
By multiplying these two numbers, we can calculate the company's net income, which is $2.94 million. This calculation is important for determining the profitability of the business and for evaluating the performance of the business over time. It is also an important factor in determining the amount of taxes a company must pay.
It can be calculated as :
Net Income = Sales x Profit Margin
Net Income = $42 million x 0.07
Net Income = $2.94 million
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how does the volkswagen scandal highlght the need for itnergating esg cators into an investor's decision making
The scandal highlights the need to increase corporate transparency and is another argument in favor of integrating ESG factors into the investment decision-making process.
Some consumers have lost interest in diesel vehicles. We found that consumer preference for diesel vehicles has decreased. As BMW and Mercedes-Benz continued to sell such vehicles after the scandal, that power was to their detriment. In our model, this effect resulted in $0.7 billion in lost sales for non-VW German automakers.
The scandal, when it became known, had a drastic effect on Volkswagen's reputation and immediately caused a drop in the company's share price. In the long run, however, the causes and effects were more complex and reached the wider market, ultimately causing a contraction of the diesel car market.
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if an organization asks you to disclose your social security number, but decides to use it for a different purpose than the one stated in the organization's privacy policies, the organization has likely violated which of the generally accepted privacy principles?
If an organization asks you to disclose your social security number and decides to use it for a different purpose than the one stated in the organization's privacy policies, the organization has likely violated the principle of purpose specification.
Purpose specification is a fundamental privacy principle that requires organizations to be transparent about the purpose for which personal information is collected, used, and shared. This principle requires organizations to obtain informed consent from individuals before collecting and using their personal information, and to use the information only for the specific purposes for which it was collected. If an organization uses personal information for a purpose other than the one for which it was originally collected, without the individual's consent, it is a violation of this principle and may be illegal in some jurisdictions.
In this scenario, if an organization collected an individual's social security number for a specific purpose and then used it for a different purpose, the organization would likely be in violation of the principle of purpose specification. This could result in a loss of trust and damage to the organization's reputation, as well as potential legal consequences, such as fines or lawsuits.
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if lucky louie won a lottery and chose to take $1,000,000 in cash (disregarding taxes), how much money would he have in 30 years if he invested at 6% per annum?
So, if Lucky Louie invested $1,000,000 at 6% per annum, he would have $2,100,616.56 in 30 years. This is an estimate and assumes that the interest rate remains constant and that there are no withdrawals or additional contributions made to the investment.
To calculate how much money Lucky Louie would have in 30 years if he invested $1,000,000 at 6% per annum, you can use the formula for compound interest:
A = P * (1 + r/n)^(nt)
where:
A is the final amount,
P is the initial principal or investment amount ($1,000,000 in this case),
r is the annual interest rate (6%),
n is the number of times the interest is compounded per year (let's assume it's compounded annually, so n = 1),
t is the number of years (30).
Plugging in the values, we get:
A = $1,000,000 * (1 + 0.06/1)^(1 * 30)
A = $1,000,000 * (1.06)^30
A = $1,000,000 * 2.100616564
A = $2,100,616.56
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yves is an excellent barber. however, all customers who come to him for a haircut must buy a bottle of shampoo. this type of arrangement is known as a. a tie-in sale. b. an exclusive contract. c. a cross subsidy. d. a sweetheart deal.
Yves is an excellent barber. However, all customers who come to him for a haircut must buy a bottle of shampoo. This type of arrangement is known as "a tie-in sale". The correct option is A.
The tie-in sale is the method of arrangement in which the sellers or shopkeeper typing to sale of one product to another. And, it is the method to gain the sales in other markets and obtain sales to customer.
The type of business arrangement is like the partnership, sole proprietorships, limited liability companies and the corporation. On the other hand, the type of business contract is bill of sale, enterprise service agreement, franchise agreement and the employment agreement.
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what should an entrepreneur focus on during early growth
Entrepreneurship is an exciting and challenging journey that can be very rewarding when approached with the right mindset and focus. During the early stages of growth, an entrepreneur needs to focus on several critical areas to ensure that their business thrives and achieves its objectives.
One of the most important areas that an entrepreneur should focus on during early growth is creating a sustainable business model. This involves developing a clear understanding of the market and identifying the customer needs that the business can satisfy.
Entrepreneurs need to create a product or service that solves a significant problem or fills a gap in the market. They should also focus on developing a strong value proposition and positioning their offering as unique and valuable to their target audience.
Another key area for an entrepreneur to focus on during early growth is building a team of talented and motivated individuals. The team should be composed of individuals with complementary skills and a shared vision for the business.
The entrepreneur needs to identify the roles and responsibilities that need to be filled and hire the best individuals to fill those roles. Additionally, they should create a culture of teamwork, open communication, and continuous learning to ensure the team works effectively together.
Entrepreneurs need to keep accurate and up-to-date financial records to understand the performance of the business and make informed decisions. They should also focus on building a cash reserve and managing expenses to ensure that the business remains profitable and sustainable in the long run.
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going along with the majority of a group without analyzing alternatives and placing too much emphasis on conformity is typical of
Conformity is an important part of human behavior in societies, as it helps to maintain social norms, group dynamics, and relationships.
Going along with the majority of a group without analyzing alternatives and placing too much emphasis on conformity is a typical example of conformity. It involves a situation where people subordinate their own beliefs and opinions to those of the majority, and do not question the accepted views of the group. This behavior is often seen in situations where there is a lack of information or knowledge. Conformity can also be seen in situations where individuals are trying to gain acceptance or approval from the group. In such cases, people may blindly follow the majority without questioning the validity of their own beliefs or opinions. In addition, individuals may also conform to the majority out of fear, as they may not want to risk being judged or rejected by the group. Conformity can be beneficial in some situations, as it can help to promote group cohesion, but it can also have negative effects, as it can lead to a lack of critical thinking and creativity.
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one safe investment pays 10% per year, and a more risky investment pays 18% per year. a woman who has $144,500 to invest would like to have an income of $19,810 per year from her investments. how much should she invest at each rate?
The woman should invest $77900 at a 10% interest rate and $66,000 at an 18% interest rate.
A woman makes a $143900 investment.
She expects her $19670 investment to generate an annual income for her.
The interest rate for a secure investment is 10%.
The risky investment has an interest rate of 18%.
Allow "x" to represent the amount invested at 10% annually, and "y" to represent the amount invested at 18% annually.
In response to the query, we can write,
x + y = 143900 ….. I
and,
10% of x plus 18% of y equals 19670.
Or, 0.1x + 0.18y = 19670 ….. (ii)
Equation I is multiplied by 0.1, and Equation (ii) is then subtracted to provide Equation I
0.1x + 0.18y - 0.1x - 0.1y = 19760 – (143900 * 0.1)
Or, 0.08y = 5280
Or, y = 5280/0.08 = $ 66000
By changing y = 66000 in equation I we obtain
x + y = 143900
Or, x = 143900 – 66000 = $ 77900
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ted doesn't seem to care about anything at work -- his job, his coworkers, or even the company. he's just biding his time, exerting just enough effort to keep his job, and counting the days until retirement. ted would best be described as a(n)
Ted doesn't appear to care about anything at work, not even the firm or his employees. He is simply passing the time, making only enough effort to maintain his employment, and counting down the minutes till retirement. Ted is best characterised as an Apathethic.
Lack of feeling, emotion, interest, or concern is referred to as apathy. It is a state of apathy or the repression of feelings like worry, enthusiasm, motivation, or passion. Apathetic people have little interest in, or care for, the emotional, social, spiritual, intellectual, virtual, or real worlds. A person's lack of goal orientation is another way to describe apathy.
Apathetic people may not feel that their lives have any value or significance. People with extreme apathy frequently lead lower-quality lives and are more likely to die young or enter institutions early. Additionally, they might show sluggishness or insensibility. Apathy is defined in positive psychology as the state in which a person feels they lack the degree of ability necessary to face a problem.
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What three factors determine a product’s elasticity?
Alternative products' accessibility, the amount of a consumer's income that must be spent on a product, and the availability of other items, such as luxuries not required for survival.
Flexibility of a product definitionElasticity is a concept used in economics to describe how the price of a thing or service and the total amount that is requested of those goods or services alter in response to price changes. If a product's demand varies more than proportionally to price changes, it is said to be elastic.
What three factors have an impact on elasticity?Demand elasticity is influenced by a number of variables, including the availability of substitutes, how much a person's income goes toward the cost of the good, and the passage of time.
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the following categories are on a classified balance sheet. list them in the order that they would appear. need help? review these concept resources.
An organised balance sheet includes the following categories:
Existing assetEnduring investmentAsset for plants Intangible assetCurrent obligationsLong-term obligationsThese categories each have a line item that represents the company's status at that specific period.
An asset is anything that belongs to a firm. Money, equipment, computers, desks, seats, and even intangibles like patents and trademarks can be included.
Short-term certificates of deposit and treasury bills are examples of cash equivalents. They are known as "cash equivalents" because, given their quick conversion into cash.
The stock of items that a company has at any given time is referred to as inventory. This is categorized as current assets.
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your company will generate $71,000 in annual revenue each year for the next seven years from a new information database. if the appropriate discount rate is 8.75 percent, what is the present value? (do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
If the appropriate discount rate is 8.75 percent, then the present value is $2,859,028
A series of equal payments that are due or payable in the future over a predetermined number of years is referred to as an annuity. Ordinary annuity is one of two (2) types of annuities.
The sum that must be invested today in order to produce a series of equal annual cash flows in the future is known as the annuity's present value.
The idea behind present value is that $1 today and $1 tomorrow are not equivalent because the former can be invested to earn interest, making it higher than the latter. This is referred to as the time value of money.
The series of future cash flows are discounted by a necessary rate of return known as the discount rate in order to determine the present value (PV) of an annuity. The discount percentage in this scenario is 8.75%.
Using the formula below we can can calculate the present value (PV):
PV = A × (1 - ((1+r)^(-n))/r)
where- PV- Present value, A- annual cash flow, n- number of years, r- interest rate
= 71,000 ×( 1-(1 +0.0875)^(-7))/0.0875)
=71,000 × 40. 268
Present Value = $2,859,028
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personal income is a. the sum of all payments to suppliers of the factors of production. b. another term for disposable income. c. equal to gdp. d. that portion of national income that can be used for consumption and saving. e. the amount of income that individuals actually receive.
Personal income is the amount of income that individuals actually receive. Hence, the correct option is (E).
What Is A Personal Income?Personal income is a term in the world of economics that refers to all forms of income earned by a person. This personal income can also be considered as gross income because this personal income does not include income deductions, such as taxes or insurance premiums. This personal income can come from a variety of sources, such as dividends, investments, and salary. Personal income is also one of the factors that most influence a person's consumption pattern. The greater a person's personal income, the level of consumption will also be greater.
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an engineer working for a large consulting firm has decided to establish his own business. although the new business is several months from start-up, the engineer should:
To start a successful business, an engineer should conduct market research, develop a business plan, register the business, secure funding, establish a strong network, develop a marketing plan, and hire a team while staying organized with accurate financial records.
As an engineer who is starting a new business, there are several steps you can take to prepare and set yourself up for success:
Conduct market research: Research the market to understand your target customers and their needs. This will help you develop a product or service that is in demand and can help you position your business for success.
Develop a business plan: A business plan will help you outline your business goals and strategies, including financial projections and marketing plans. It will also be helpful when seeking funding from investors.
Register your business: Register your business with the relevant government agencies and obtain any necessary licenses and permits.
Secure funding: Consider various funding options, such as loans, investments, or grants, to help finance your business start-up costs.
Establish a strong network: Network with other business owners and entrepreneurs in your industry to gain valuable insights and make connections that can help your business grow.
Develop a marketing plan: Create a marketing plan that outlines how you will reach your target customers and promote your products or services.
Hire a team: As your business grows, you may need to hire additional employees to help manage operations and support growth.
Stay organized: Maintain accurate financial records and establish systems to manage operations, sales, and customer service.
Starting a new business can be challenging, but by taking the time to properly prepare and plan, you can set yourself up for success and achieve your goals.
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core competencies are unrelated to the amount of resources that a firm has access to. group of answer choices true false
A core competency is a collection of abilities that are challenging for rivals to duplicate, that can be used in various industries, and that adds value.
A proposed diversification move must pass three requirements in order to be approved (Porter, 1987). How appealing is the market a company is thinking about entering? Entering a new industry can be exceedingly hazardous unless it has significant profit potential. How much will it cost to get started in the business? Executives must be certain that their company can recover the costs it incurs in order to diversify. The average cost of a medicine produced by a big pharmaceutical company and given regulatory approval ranges from $4 billion to $11 billion. Will the company, as well as the new entity, benefit? Diversification ought to be avoided until one party or the other acquires a competitive advantage. The costs may be high when creating new medications because
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financial statements are prepared from which of the following trial balances? multiple choice post-closing trial balance. unadjusted trial balance. financial trial balance. adjusted trial balance.
Financial statements are prepared from adjusted trial balance.
The correct option is D.
The trial balance is a list of all the ledger accounts for a company, together with the amount that each account changed during a specific time period. All general ledger account totals are shown in a trial balance.
Due to the fact that it should be a single worksheet summarising all of your activities for a specific time period, it is also known as trial balance sheet.
Financial statements are documents that describe a company's operations and financial performance.
Financial data is used by investors and financial analysts to assess a company's performance and forecast the course of its stock price in the future.
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an adjusting entry that has the effect of moving a portion of deferred revenue liability from the balance sheet to the income statement has the effect of:
An adjusting entry that transfers a portion of the cost of an asset from the balance sheet to the income statement reduces assets and raises expenses.
What is an income statement?You can see the company's income and expenses on an income statement, which is a financial statement. It also reveals if a business is profitable or losing money over a specific time frame. You can better grasp your company's financial situation with the aid of the income statement, balance sheet, and cash flow statement.
What causes a reduction in an asset and an increase in a cost?In an accounting ledger, debits are always recorded on the left side. Debits affect liability, equity, and income accounts negatively while positively affecting asset and cost accounts.
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samuel is taking off from work for four hours this afternoon and going to a baseball game. the ticket to the game costs $25, and it costs $15 to park at the stadium. samuel earns $15 an hour at his job. samuel's opportunity cost of going to the ball game is:
The opportunity cost of an action is the value of the next best alternative that is given up as a result of making a certain choice.
In this case, the opportunity cost of Samuel going to the baseball game is the value of the work he could have done during the four hours he is taking off. Since he earns $15 per hour, the opportunity cost of his time is $15 x 4 = $60. In addition to the opportunity cost of his time, the ticket to the game costs $25 and the cost of parking is $15, so the total cost of attending the game is $25 + $15 = $40. Hence, the total opportunity cost of going to the baseball game is $60 + $40 = $100. This means that for Samuel to attend the game, he has to give up the opportunity to earn $100. This is the opportunity cost of attending the baseball game and represents the highest-valued alternative use of his time and money. By weighing the benefits of attending the game against the opportunity cost, Samuel can make an informed decision about whether or not the game is worth it for him.
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What do many ceos believe is the essence of the best companies?
Many CEO's believe that essence of best companies is strong culture and values, clear mission and vision, effective leadership, and focus on innovation and growth.
What is innovation?Innovation is the process of introducing new ideas, methods, or products into a particular field. It can involve the development of new technologies, processes, services, or products that have the potential to change the way people live and work. Innovation is critical for organizations to stay competitive and relevant, and it is often a key driver of economic growth and prosperity. There are many different approaches to innovation, including incremental improvements, disruptive innovations, and open innovation. The key to successful innovation is being able to recognize opportunities and leverage resources and expertise to turn these opportunities into tangible outcomes.
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what are the main factors that increase the likelihood of a cartel being successful? a cartel is more likely to be successful if
A cartel is more likely to be successful if the following factors are present Market concentration: The higher the concentration of the market, the easier it is for a cartel to control prices and output.
Lack of substitutes: If there are few substitutes for the goods or services provided by the cartel, it is less likely that customers will switch to alternative suppliers. Limited entry barriers: If there are high factors to entry in the market, it makes it more difficult for new competitors to enter the market and challenge the cartel. Strong enforcement mechanisms: A cartel is more likely to be successful if the members have strong enforcement mechanisms in place to ensure compliance substitutes with the agreement. Cooperation and coordination among members: A cartel is more likely to be successful if the members factors and coordinate their activities effectively. This includes market sharing information and working together to enforce the agreement.
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if you invest 400 at year zero, then that same amount more every subsequent year, letting it accumulate and compound, at an interest rate of 4%, then after 20 years you'd have how much in total?
after 20 years you'd have how much in total : In 20 years, you will have 876.45.
Compound interest, also known as interest on principle and interest, is the practise of adding interest to the principal amount of a loan or deposit. It occurs when interest is reinvested, or added to the loaned capital rather than paid out, or when the borrower is required to pay it, so that interest is generated the next period on the principle amount plus any accrued interest. In finance and economics, compound interest is common.
In contrast to simple interest, which does not compound since past interest is not added to the principal for the current period, compound interest allows interest to build over time.
formula:
A = [tex]p(1+r/n)^{nt}[/tex]
A = 400(1+.04/1)[tex]^{1*20}[/tex]
A = 876.45
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fill in the blank: the process of identifying and evaluating potential risks and issues that could impact a project is known as .
Option C. risk analysis. Risk analysis is a systematic and structured approach to identifying, evaluating, and prioritizing risks that could impact a project.
This process helps project managers to assess the likelihood and potential impact of each risk and to develop strategies to mitigate or avoid the risks. By identifying and analyzing potential risks, project managers can make informed decisions to ensure the success of the project. Risk analysis is a critical component of overall risk management, which is the process of identifying, assessing, and prioritizing risks in order to minimize their impact and maximize the chances of project success.
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Fill in the blank: The process of identifying and evaluating potential risks and issues that could impact a project is known as _____.
A. risk identification
B. risk mitigation
C. risk analysis
D. risk management
enter your answer and show all the steps that you use to solve this problem in the space provided. a. find the unit price for each option shown below. round to the nearest cent when necessary. option i: 10 candy bars for $6.75 option ii: 12 candy bars for $7.25 b. which option is the better buy.
Buying 12 candy bars for $7.25 is the better option. It costs less amount than buying 10 candy bars at $6.75.
The given data is as follows:
case-1
Number of candy bars = 10
The cost of 10 candy bars is $6.75
To calculate the cost of one candy bar, we need to use the formula,
The cost of one candy bar = The cost of all candy bars/ Number of candy bars
The cost of one candy bar = (6.75/10) = $0.675
case-2
Number of candy bars = 12
The Cost of 10 candy bars is $7.25
To calculate the cost of one candy bar, we need to use the formula,
The cost of one candy bar = The cost of all candy bars/ Number of candy bars
The cost of one candy bar = (7.25/12) = $0.604
So, we can conclude that buying 12 candy bars for $7.25 is the better option.
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a market segment is an individual customer who shares similar inclinations toward your brand. select one: true false
This statement is True. Market segmentation is the process of dividing a market into different groups of customers who share similar characteristics, needs, wants, or behaviors. It's a way to divide a large, heterogeneous market into smaller, more homogeneous groups that can be more easily targeted and served.
By segmenting the market, marketers can better understand their customers and how best to meet their needs. It allows marketers to identify and target specific groups of customers, giving them the ability to tailor their marketing strategies to meet the needs of each segment. This allows them to tailor their products and services to better suit the needs of each segment, ultimately increasing their chances of success.
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Classify each of the listed statements as either positive or normative.a. Firms can increase sales by lowering product prices. b. Lower tax rates encourage more work and more saving. c. Economic development should not take place at the expense of social Justice.
Firms can increase sales by lowering product prices and Lower tax rates encourage more work and more saving is positive and Economic development should not take place at the expense of social Justice is normative.
Tax rates are the percentage of income, sales, or property value that individuals and organizations must pay to the government in taxes. These taxes are used to fund public goods and services, such as roads, schools, and law enforcement. Tax rates can vary depending on the type of tax and the jurisdiction in which it is collected. In many countries, individuals and organizations are subject to progressive tax systems, in which tax rates increase as income or wealth increases. This is designed to ensure that those who can afford to pay more contribute a larger share of their income to support public goods and services. Tax rates can also vary based on the type of goods and services being purchased.
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