Assuming the market is in equilibrium at D1 and S1, a shift from S1 to S2 could be caused by a decrease in the non-monetary benefits.
This would result in a decrease in the supply of labor, as workers may be less willing to work due to reduced benefits. Consequently, the supply curve would shift to the left, from S1 to S2. This would cause a new equilibrium point, with potentially higher wage rates and lower quantity of labor demanded. Other factors, such as an increase in demand for labor or a minimum wage set at W3, would impact the demand curve or price level, rather than directly causing a shift in the supply curve.
Learn more about equilibrium market here: https://brainly.com/question/30692864
#SPJ11
The correct option is "a decrease in the wage rate. When there is a decrease in the wage rate, the cost of hiring workers decreases, leading to an increase in the supply of labor from S1 to S2.
This shift results in a lower equilibrium wage rate, as the new equilibrium point is where the supply and demand curves intersect at a lower wage rate and higher quantity of labor. On the other hand, an increase in the demand for labor would lead to a shift in the demand curve to the right, resulting in an increase in both the wage rate and the quantity of labor. A minimum wage set at W3 would increase the wage rate but reduce the quantity of labor supplied, leading to a surplus of workers. A decrease in non-monetary benefits would reduce the attractiveness of the job and decrease the supply of labor.
In summary, a decrease in the wage rate is the only option that would cause a shift from S1 to S2 in the given market equilibrium. It is important to note that changes in one market can have ripple effects on other markets, and that the analysis above assumes ceteris paribus, all other things being equal.
Learn more about demand curve here:
https://brainly.com/question/30550686
#SPJ11
the introduction of the assembly line allowed gdp per hour worked to increase substainiaklly this is an example of an improvement in what
The introduction of the assembly line allowed for a significant improvement in productivity. By breaking down the production process into smaller, more specialized tasks and utilizing machinery to speed up the process, workers were able to produce more goods in less time.
This increase in efficiency led to a significant increase in GDP per hour worked, as workers were able to produce more output in the same amount of time. Overall, the assembly line allowed for an improvement in industrial efficiency, which has had a significant impact on economic growth and development.
The introduction of the assembly line allowed GDP per hour worked to increase substantially, which is an example of an improvement in labor productivity. Labor productivity refers to the output produced per hour worked, and it is a key measure of economic efficiency. Assembly lines streamlined the manufacturing process, enabling workers to specialize in specific tasks and reduce the time needed to complete a product.
This innovation led to increased production rates, contributing to higher GDP levels and reflecting an overall improvement in economic performance. In summary, the assembly line's introduction significantly enhanced labor productivity, resulting in a notable boost to GDP per hour worked.
To know more about GDP, visit:
https://brainly.com/question/31197617
#SPJ11
Malone Co. owned 70% of Bernard Corp.'s common stock. During November 2021, Bernard sold merchandise to Malone for $150,000. At December 31, 2021, 40% of this merchandise remained in Malone's inventory. For 2021, gross profit percentages were 25% of sales for Malone and 30% of sales for Bernard. The amount of intra-entity gross profit remaining in ending inventory at December 31, 2021 that should be eliminated in the consolidation process is:
The amount of intra-entity gross profit remaining in ending inventory at December 31, 2021 that should be eliminated in the consolidation process is $18,000.
When a parent business owns a controlling interest in a subsidiary, the subsidiary's financial statements must be consolidated with the parent firm's. To avoid double-counting revenue and expenses, intra-entity transactions such as sales between the parent and subsidiary must be avoided.
Malone Co. owned 70% of Bernard Corp.'s common shares in this case, and Bernard sold products to Malone for $150,000. 40% of this merchandise was still in Malone's inventory as of December 31, 2021. Malone's gross profit rate was 25% of sales while Bernard's was 30% of sales.
To eliminate intra-entity gross profit during the consolidation process, we must calculate Bernard's gross profit on the sale to Malone, which is 30% of $150,000, or $45,000. The remaining fraction of this gross profit that is still in Malone's ending inventory is 40% of $45,000, or $18,000.
For such more question on consolidation:
https://brainly.com/question/30359866
#SPJ11
What is the accounting difference between using the modified approach for infrastructure assets and depreciating infrastructure assets
The accounting difference between using the modified approach for infrastructure assets and depreciating infrastructure assets lies in the way these assets are reported on the financial statements.
Under the modified approach, infrastructure assets are not depreciated but rather are assessed for impairment on an annual basis. This means that the asset's value is reviewed each year to determine if it has suffered any impairment loss. If an impairment loss is identified, it is recognized on the financial statements as a reduction in the asset's carrying value.
On the other hand, if an organization chooses to depreciate its infrastructure assets, the assets are reported on the balance sheet as fixed assets and are subject to regular depreciation charges over their useful lives.
This means that each year, a portion of the asset's value is expensed on the income statement, gradually reducing the asset's value over time until it reaches zero.
In summary, the difference between using the modified approach and depreciating infrastructure assets is in the way these assets are reported on the financial statements. The modified approach involves assessing the assets for impairment annually, while depreciation involves regularly expensing a portion of the asset's value over time.
Read more about Assets at https://brainly.com/question/14404094
#SPJ11
The term ________ refers to the enormous amount of information that firms now have access to but cannot handle using conventional data management and data mining software
Answer:
The term "big data" refers to the enormous amount of information that firms now have access to but cannot handle using conventional data management and data mining software.
Some special limits that apply to personal property may be too low. Your jewelry or may be worth far more than the $1,000 limit of a homeowners policy. Such property can be listed and specifically insured to provide adequate coverage against all risks by adding the:
You may add a rider or endorsement to your homeowners policy to provide your high-value personal goods, such jewellery, appropriate coverage. Another name for this rider or endorsement is a floater or a scheduled personal property endorsement.
You can expressly specify and insure your precious objects for their entire evaluated worth by adding this endorsement. Including loss or damage brought by by theft, fire, or other insured disasters, this will offer protection against all dangers.
Depending on the item's worth and the danger of loss attached to it, the premium for this endorsement will change. While adding a rider or endorsement to your homes policy might give you more coverage for expensive personal goods, it's crucial to keep in mind that this is not always the case.
Learn more about homeowners policy visit: brainly.com/question/30179892
#SPJ4
Mechanistic structures operate best: Group of answer choices in stable environments. where employees dislike hierarchy and status. in rapidly changing environments. where knowledge management is a competitive advantage to the organization. where employees perform tasks with high variety and low analyzability.
Mechanistic structures operate best A. in stable environments.
What are mechanistic structures ?The mechanistic framework is heavily formalized, centralized and prioritizes hierarchical control. It operates seamlessly in stable settings where tasks and procedures are specific and anticipated.
In these surroundings, the focus lies on efficiency, standardization, and supervision that can be accomplished by utilizing a mechanistic design.
Find out more on mechanistic structures at https://brainly.com/question/30366744
#SPJ1
An investor purchased a share of stock for $100 and sold it for $140 per share. What is the return on investment
An investor purchased a share of stock for $100 and sold it for $140 per share, the return on investment is 40%.
The return on investment (ROI) can be calculated using the following formula:
ROI = (Proceeds from investment - Cost of investment) / Cost of investment
Return on investment (ROI) is a performance measure used to evaluate the efficiency or profitability of an investment. It is calculated as the ratio of the net profit or loss generated by an investment to the total amount of capital invested.
The formula for ROI is:
ROI = (Net Profit / Total Investment) x 100%
Where Net Profit = Total Revenue - Total Costs
In this case, the cost of investment is $100 and the proceeds from the investment are $140. Plugging these values into the formula:
ROI = ($140 - $100) / $100 = $40 / $100 = 0.4 or 40%
Therefore, the return on investment is 40%.
Learn more about investment here:
https://brainly.com/question/15105766
#SPJ11
If the price elasticity of supply is 0.2, and a price increase led to a 3% increase in quantity supplied, then the price increase is about Group of answer choices 0.07%. 0.60%. 6%. 15%.
The price increase is about 15%. This means that for every 1% increase in price, the quantity supplied will only increase by 0.2%. The correct option is D.
The price elasticity of supply measures the responsiveness of the quantity supplied to a change in price. If the price elasticity of supply is 0.2, this means that a 1% increase in price leads to a 0.2% increase in quantity supplied. In this scenario, a price increase led to a 3% increase in quantity supplied. Using the formula for price elasticity of supply, we can solve for the percentage change in price:
Price elasticity of supply = (% change in quantity supplied) / (% change in price)
0.2 = 3% / (% change in price)
% change in price = 3% / 0.2
% change in price = 15%
Therefore, the price increase is about 15%. It is important to note that this assumes that all other factors remain constant, such as input prices and technology. The correct option is D.
For more such questions on price
https://brainly.com/question/24266033
#SPJ11
A loan of $200,000 is given for 12 years with 6% annually, paid with a monthly payment. After three years the interest rate is reduced by two percent points. Calculate and explain what action may be taken.
The first three years of the loan, monthly payments of $1,933.28 are required. After the interest rate reduction, the monthly payments decrease to $1,687.71 for the remaining nine years. A loan of $200,000 is given for 12 years with an initial interest rate of 6% annually.
This interest rate is applied for the first three years, after which it is reduced by two percentage points. To understand the actions that may be taken, let's first calculate the monthly payments for each phase of the loan.
For the first three years (36 months) with a 6% annual interest rate, the loan is subject to a standard monthly payment calculation. Using the formula for calculating monthly mortgage payments, we find that the initial monthly payment (P1) is approximately $1,933.28.
After three years, the interest rate is reduced by two percentage points, resulting in a 4% annual interest rate. We can calculate the new monthly payment (P2) for the remaining nine years (108 months) using the same formula, taking into account the reduced principal amount after three years of payments. The new monthly payment is approximately $1,687.71.
In summary, for the first three years of the loan, monthly payments of $1,933.28 are required. After the interest rate reduction, the monthly payments decrease to $1,687.71 for the remaining nine years. The action taken is to adjust the monthly payments based on the new interest rate and remaining principal, ensuring the loan is paid off within the 12-year period.
Learn more about payments here:
https://brainly.com/question/15136793
#SPJ11
A single equivalent discount rate of .45975 means the buyer saves approximately 46 cents per $1 of list price. Group startsTrue or FalseTrue, unselectedFalse, unselected
True.
A single equivalent discount rate of .45975 means that the buyer is receiving a discount of 45.975% off the list price. This can also be expressed as a savings of approximately 46 cents per $1 of list price. Therefore, the statement "the buyer saves approximately 46 cents per $1 of list price" is true.
Learn more about list price: https://brainly.com/question/1250693
#SPJ11
A(n) ______ innovation is a change in the way a product or service is conceived, manufactured, or disseminated.
Disruptive innovation is a change in the way a product or service is conceived, manufactured, or disseminated.
Disruptive innovation is a type of innovation that disrupts the existing market and creates a new market. This type of innovation is often associated with lower-end, cheaper products or services that appeal to a new set of customers. Disruptive innovations can change the way industries operate, create new markets, and lead to the downfall of established companies that are unable to adapt to the changes. Examples of disruptive innovations include the personal computer, smartphones, and online streaming services.
Process innovation involves improvements in the methods, techniques, or procedures used to create, produce, and deliver goods or services. It can lead to increased efficiency, reduced costs, and enhanced competitive advantage for businesses.
Learn more about Disruptive innovation: https://brainly.com/question/23181265
#SPJ11
Most companies compute the material price variance when materials are ______ and the material quantity variance when materials are ______. Multiple choice question. used, purchased purchased, purchased purchased, used used, used
Most companies compute the material price variance when materials are purchased and the material quantity variance when materials are used.
Material price variance is calculated when materials are purchased to understand the difference between the actual and standard costs.
Material quantity variance is calculated when materials are used to analyze the difference between actual and standard usage of materials in production.
Summary: Material price variance is computed during the purchasing stage, while material quantity variance is calculated during the usage stage.
Learn more about variance click here:
https://brainly.com/question/9304306
#SPJ11
Hi I have three questions that are unsure with true and false.
1. If a contemplated action is legal, it certainly will be considered ethical as well.
2. The Utilitarian model of ethical reasoning emphasizes rights and duties.
3. An individual using a utilitarian ethical reasoning model will evaluate a contemplated action according to the "categorical imperative."
All of the staments that have been made from number 1 to 3 are false statements
How to know if the statements are true or falseFalse. Although there are situations wherein legality and morality stand hand in hand, these two concepts do not always equate to each other. Laws and regulations dictate legailty; yet, ethical issues may arise that are separate from the law. For instance, lying or manipulating others for personal gain is legal but viewed as unethical. On the contrary, there are alturistic actions deemed moral yet not obligatory by legislations such as generously donating to charities or treating individuals with graciousness and respect.
False. Utilitarianism is a system of ethics stressing maximization of proposed pleasure while minimizing conversely pain, making consequences the prime focus instead of duties or rights. An adherent to this moral orle would likely reason that sacrificing a small number of vulnerable people yields benefit to a greater population due to an overall increase of joyfulness and happiness – despite it being unconventionally wrong.
False. Immanuel Kant's philosophical standpoint does not encompass utilitarianism. His idea flaunts universality of moral behaviours and obligations rather than its consequence. Commonly named "Categorical Imperative", this framework establishes that behavioural modifications must be suitable for all accompanied without creating any contradictions. In other words, only legitimate if feasible to everybody involved regardless of situation and conditions at play.
Read more on ethics here:https://brainly.com/question/13969108
#SPJ1
under conditions of limited resources when a company is comparing several instruments with different amutns of iniitakl cost the decision should be made on the basis of the
When a company is faced with limited resources and is comparing several instruments with different initial costs, the decision should be made on the basis of the total cost of ownership (TCO).
What's TCOTCO takes into account not only the initial cost of the instrument, but also the costs associated with maintenance, repairs, upgrades, and disposal over its useful life.
By considering TCO, a company can make a more informed decision and select an instrument that may have a higher initial cost but lower overall costs in the long run.
It is important for companies to weigh the benefits and costs of each instrument carefully and assess which option provides the most value for their investment.
Ultimately, the goal should be to select an instrument that meets the company's needs while also maximizing the use of their limited resources.
Learn more about TCO at
https://brainly.com/question/27217274
#SPJ11
Companies often prefer to produce products in large volume as a cost-saving measure; however, consumers often prefer unique items. What is the process of combining these two opposing desires
The process of combining the opposing desires of companies to produce products in large volume as a cost-saving measure and consumers' preference for unique items is known as mass customization.
Mass customization involves the use of technology and flexible manufacturing systems to produce goods and services that meet the individual needs and preferences of customers while maintaining the efficiency of mass production. By offering customers the ability to customize certain aspects of a product, such as color, size, or features, companies can create a unique product for each customer while still benefiting from the cost savings of mass production.
Mass customization has become increasingly popular in many industries, including automotive, clothing, and technology, as companies seek to differentiate their products and provide greater value to their customers.
Know more about mass customization here:
https://brainly.com/question/13845392
#SPJ11
If you buy a European put with strike price $100 and expiration in 1 year, which costs $10, and the price on expiration is $70, what is the (annual) rate of return on your investment
Thus, the rate of return is ($20 net profit / $1,000 initial investment) x (1 / 1 year) x 100% = 2% annual rate of return.
To calculate the rate of return on your investment, we need to first determine the profit or loss that you have incurred.
When you purchase a put option, you are essentially buying the right to sell the underlying asset (in this case, the stock) at the strike price of $100. If the price on expiration is lower than the strike price, you can exercise the option and sell the stock at a higher price than its market value.
In this case, the price on expiration is $70, which is below the strike price. So, you can exercise the put option and sell the stock at $100, earning a profit of $30 per share. Since you paid $10 for the option, your net profit is $20 per share.
To calculate the annual rate of return on your investment, we need to divide the net profit by the initial investment and then annualize it. Assuming that you bought one option contract (which represents 100 shares of the stock), your initial investment was $1,000 ($10 per option x 100 shares per option).
Therefore, your rate of return is ($20 net profit / $1,000 initial investment) x (1 / 1 year) x 100% = 2% annual rate of return.
Note that this calculation assumes that you held the option until expiration and did not sell it before then. If you had sold the option before expiration, your rate of return could be different.
Know more about the rate of return
https://brainly.com/question/1789817
#SPJ11
Assume the selling division has no idle capacity and must give up outside sales, but does not lose anything by selling internally rather than outside. In addition, the buying division has an accurate assessment of how much it costs the company for the transfer to take place. Under this situation, which pricing method is being used?
The pricing method being used in this situation is the "cost-based transfer pricing method".
The cost-based transfer pricing method is a pricing approach where the transfer price is based on the cost of producing the product or service being transferred.
In this scenario, the buying division has an accurate assessment of how much it costs the company for the transfer to take place, which suggests that the transfer price is determined based on the cost of production.
Furthermore, the assumption that the selling division has no idle capacity and must give up outside sales, but does not lose anything by selling internally rather than outside, also supports the use of cost-based transfer pricing.
In this situation, the selling division has no incentive to charge more than the cost of production, as it is not losing any profits by selling internally rather than outside.
Overall, the cost-based transfer pricing method is appropriate in situations where the transfer of goods or services between divisions within a company is necessary, and where there is no market price available for the product or service being transferred.
To know more about pricing method refer here:
https://brainly.com/question/29454928#
#SPJ11
What kind of externality must exist for social marginal costs to be less than private marginal costs?
To answer your question, when social marginal costs are less than private marginal costs, it indicates the presence of a positive externality. A positive externality occurs when a third party, not directly involved in a transaction, experiences a benefit due to the actions of the parties involved in the transaction.
For example, suppose a farmer decides to plant a beautiful garden near their property. The private marginal cost of planting the garden is the cost incurred by the farmer, such as purchasing seeds and maintaining the garden. However, the social marginal cost takes into account the benefits to the community, like increased property values or the enjoyment of the garden by neighbors. In this case, the social marginal cost is lower than the private marginal cost due to the positive externality of the garden's beauty benefiting the surrounding community.
To know more about marginal costs visit:
https://brainly.com/question/7781429
#SPJ11
Which stages of the Product Life Cycle (PLC) is known to include a lot of advertising and public relations to create awareness
The stage of the Product Life Cycle (PLC) that is known to include a lot of advertising and public relations to create awareness is the Introduction stage.
The Product Life Cycle (PLC) is a marketing model used to describe the stages a product goes through from its introduction to its eventual decline. The model consists of four stages: Introduction, Growth, Maturity, and Decline. During each stage, sales, profit, and competition differ, and marketers can use this model to develop appropriate strategies for each stage. By understanding the Product Life Cycle, marketers can make informed decisions about marketing activities and product development to maximize the product's potential profitability. The PLC model is widely used by businesses of all sizes and industries to analyze and plan for the life cycle of their products, from introduction to decline.
Learn more about Product Life Cycle (PLC) here:
https://brainly.com/question/30044567
#SPJ11
At a base period, the CPIs of the countries of Tuolumne (currency is the TOL) and Bodee (currency is the BDE) are both 100, and the exchange rate is 0.90 BDE/TOL. One year later, the exchange rate is 0.75 BDE/TOL, and the CPI has risen to 110 in Tuolumne and 105 in Bodee. The real exchange rate is closest to:
The real exchange rate is closest to 0.71 BDE/TOL.
To calculate the real exchange rate, we need to adjust the nominal exchange rate using the ratio of the two countries' price levels. The formula for the real exchange rate is:
Real exchange rate = (Nominal exchange rate x Bodee CPI) / Tuolumne CPI
At the base period, both countries' CPIs are 100, so the nominal exchange rate is equal to the real exchange rate, which is 0.90 BDE/TOL.
One year later, the CPI in Tuolumne has increased by 10%, and the CPI in Bodee has increased by 5%. The new CPIs are 110 and 105, respectively. The nominal exchange rate has changed to 0.75 BDE/TOL.
To calculate the real exchange rate, we plug in the values:
Real exchange rate = (0.75 x 105) / 110 = 0.71 BDE/TOL
Therefore, the real exchange rate is closest to 0.71 BDE/TOL. This indicates that the TOL has depreciated in real terms relative to the BDE over the year.
For more such questions on exchange rate
https://brainly.com/question/4711402
#SPJ11
Preeti has vast riches and consumes thousands of dollars' worth of consumer goods each week, yet she is never satisfied. Why not?
Preeti's lack of satisfaction may be due to the hedonic treadmill and the constant pursuit of material possessions, highlighting the importance of seeking fulfillment from sources beyond consumer goods.
Preeti's lack of satisfaction despite having vast riches and consuming thousands of dollars worth of consumer goods each week may be due to a phenomenon known as the hedonic treadmill. The hedonic treadmill refers to the tendency for people to return to a relatively stable level of happiness or satisfaction despite major positive or negative events in their lives.
In Preeti's case, the initial excitement and happiness she experienced from obtaining wealth and purchasing expensive goods may have quickly faded, leaving her feeling unfulfilled and always seeking the next big purchase. Additionally, the constant pursuit of more wealth and material possessions can lead to a cycle of never feeling satisfied or content, as there is always something else to strive for.
This can also be linked to the concept of materialism, which suggests that individuals who place a high value on material possessions are less likely to experience lasting happiness or satisfaction. Ultimately, it is important for individuals like Preeti to seek fulfillment and happiness from sources beyond material possessions, such as relationships, experiences, and personal growth.
To learn more about consumers
https://brainly.com/question/27773546
#SPJ4
What is the primary reason behind the inaccessibility of most of the 1.3 billion potential consumers in China
The primary reason behind the inaccessibility of most of the 1.3 billion potential consumers in China is the uneven distribution of wealth and income, leading to a significant portion of the population living in rural areas with limited purchasing power and access to goods and services.
Another factor that can contribute to the inaccessibility of the Chinese market is the country's complex regulatory environment, which can make it difficult for foreign companies to do business in China. The Chinese government has strict regulations around foreign investment, intellectual property rights, and other areas that can make it challenging for foreign businesses to enter the market and compete with domestic companies.
Overall, while the Chinese market presents a significant opportunity for companies looking to expand their reach, the country's size, diversity, and complex regulatory environment can make it challenging to access many of the 1.3 billion potential consumers in China.
Learn more about Opportunity: https://brainly.com/question/30131899
#SPJ11
When the ______ account decreases, it means the company paid less cash for insurance than it recorded as insurance expense.
When the prepaid insurance account decreases, it means the company paid less cash for insurance than it recorded as insurance expense. Insurance is a financial product that provides protection against unexpected events that could result in financial loss.
Many businesses purchase insurance to mitigate risks that could affect their operations. Insurance can cover a variety of risks, including property damage, liability, and loss of income. When a company purchases insurance, it records the cost as an insurance expense on its income statement.
However, the amount the company actually pays for insurance may differ from the amount it recorded as an insurance expense. This difference can occur due to a variety of reasons, including changes in insurance rates or coverage levels. When the company pays less cash for insurance than it recorded as an expense, it results in a decrease in the insurance account. This decrease reflects the fact that the company has effectively overestimated its insurance expenses.
It is important for companies to monitor their insurance accounts and adjust their expenses accordingly. If a company consistently pays less cash for insurance than it records as an expense, it may need to adjust its estimated insurance expenses in the future.
On the other hand, if a company consistently pays more cash for insurance than it records as an expense, it may need to adjust its insurance coverage or seek out more competitive insurance rates. In either case, keeping a close eye on the insurance account is critical to ensuring that the company is properly protected against financial risks.
To know more about insurance, visit https://brainly.com/question/30291521
#SPJ11
A price confusion problem is best described as: Group of answer choices the problem consumers have in determining whether relative prices have changed when all prices are increasing, albeit at different rates. the difficulty consumers have in determining whether real prices have risen in order to decide whether they should buy more or less. the difficulty producers have in determining whether higher prices are due to increased demand or inflation. the difficulty that producers have in determining whether a wage increase will lead to an increase in real costs. the problem both consumers and producers face in interpreting consumer price index (CPI) data from the Bureau of Labor Statistics (BLS).
A price confusion problem is best described as the difficulty consumers have in determining whether real prices have risen in order to decide whether they should buy more or less.
Inflation can make it challenging for consumers to determine whether a price increase is due to inflation or an actual increase in the price of a product or service. If consumers perceive a price increase to be due to inflation, they may not be willing to buy as much, leading to a decrease in demand. However, if the price increase is due to an actual increase in the cost of production, producers may have no choice but to raise prices, which could lead to a decrease in sales if consumers perceive the increase to be due to inflation.
This confusion can also make it challenging for producers to determine the appropriate pricing strategy. If prices are rising due to inflation, it may be challenging for producers to determine whether they should raise their prices to maintain their profit margins or absorb the increased costs to avoid losing market share. Therefore, a price confusion problem is a challenge that consumers face in interpreting whether a price increase is due to inflation or an actual increase in the cost of production and deciding whether they should buy more or less.
Learn more about consumers here:
https://brainly.com/question/23094521
#SPJ11
Dermody Snow Removal's cost formula for its vehicle operating cost is $3,050 per month plus $335 per snow-day. For the month of December, the company planned for activity of 17 snow-days, but the actual level of activity was 19 snow-days. The actual vehicle operating cost for the month was $9,030. The spending variance for vehicle operating cost in December would be closest to:
To calculate the spending variance for vehicle operating cost in December, we need to compare the actual cost incurred with the expected cost based on the cost formula. The expected cost for December based on the cost formula would be $3,050 + ($335 x 17) = $8,995. However, the actual cost incurred was $9,030.
To calculate the spending variance, we subtract the expected cost from the actual cost:
$9,030 - $8,995 = $35
Therefore, the spending variance for vehicle operating cost in December is $35.
In summary, Dermody Snow Removal's cost formula for vehicle operating cost is $3,050 per month plus $335 per snow-day. The actual level of activity for December was 19 snow-days, which resulted in an actual cost of $9,030. The expected cost based on the cost formula was $8,995, resulting in a spending variance of $35.
In conclusion, the spending variance indicates that the actual cost incurred was slightly higher than expected based on the cost formula. However, it is a small variance and does not indicate a significant issue with the company's cost management.
To know more about operating cost visit -
brainly.com/question/15699967
#SPJ11
Concord Inc. purchased land at a price of $29,400. Closing costs were $2,390. An old building was removed at a cost of $12,540. What amount should be recorded as the cost of the land
The cost of the land should be recorded as $14,470.
To determine the cost of the land, we need to subtract the closing costs and the cost of removing the old building from the purchase price of the land.
Cost of Land = Purchase Price - Closing Costs - Cost of Removing Old Building
Cost of Land = $29,400 - $2,390 - $12,540
Cost of Land = $14,470
To know more about closing costs refer here
https://brainly.com/question/29002705#
#SPJ11
On February 22, ABC acquired 200 shares of its $5 par value common stock for $25 each. On March 15, the company reissued 70 shares for $30 each. What is true of the entry for reissuing the shares
The cash account reflects the payment received for the reissued shares, while the treasury stock account reflects the reduction in the number of shares held by the company.
Accounting entry for reassuring shares;
Accounting records are necessary to indicate transactions in which a business purchases its own stock and then reissues it. On February 22, ABC paid $25 per share for 200 shares of its $5 par value common stock. The corporation then reissued 70 shares for $30 each on March 15.
On February 22, the accounting entry for the purchase of 200 shares would be:
Debit: $1,000 in Treasury Stock - Common ($5 x 200).
Cash ($25 x 200) equals $5,000 credit
The cash account indicates the money made for the stock, whereas the treasury stock account reflects the purchase of the company's own shares.
The accounting entry for the issuance of the 70 shares on March 15 would be:
Cash ($30 x 70) equals $2,100 Debit
Credit: Common Treasury Stock ($5 x 70) = $350
Credit: Paid-In Capital from Treasury Stock Transactions = ($30-$5) multiplied by 70 equals $1,750.
For such more question on payment:
https://brainly.com/question/26049409
#SPJ11
A 60-day, 5% note for $40,800, dated May 1, is received from a customer on account. The maturity value of the note, assuming a 360-day year, is
The maturity value of the note is $41,140. To calculate the maturity value of the 60-day, 5% note for $40,800, we need to use the simple interest formula: I = PRT
where I is the interest, P is the principal or the amount of the note, R is the interest rate per year, and T is the time in years.
In this case, we know that P = $40,800, R = 5%, and T = 60/360 = 1/6 year (since the note is for 60 days, which is 2 months or 1/6 of a year).
We can now plug these values into the formula and solve for I:
I = $40,800 x 5% x 1/6
I = $340
Therefore, the interest on the note is $340.
To find the maturity value of the note, we add the interest to the principal:
M = P + I
M = $40,800 + $340
M = $41,140
Therefore, the maturity value of the 60-day, 5% note for $40,800, dated May 1, is $41,140.
Maturity Value = Principal + (Principal × Interest Rate × Time)
In this case, the principal is $40,800, the interest rate is 5% (or 0.05 as a decimal), and the time is 60 days.
To know more about maturity value visit :-
https://brainly.com/question/15174942
#SPJ11
Imagine that someone offers you $100 today or $250 in 10 years. You would prefer to take the $100 today if the interest rate is:____________
a. 2%
b. 4%
c. 6%
d. 8%
e. none of the above
If the interest rate is 2%, it would be better to take the $100 today because the present value of $250 in 10 years at 2% interest rate is $183. If the interest rate is higher than 2%, the present value of $250 in 10 years would be lower, making it more advantageous to wait for the $250. Therefore, the answer is a. 2%.
Step 1: Use the formula for the future value of a single sum: FV = PV * (1 + r)^nStep 2: Plug in the values: $250 = $100 * (1 + r)^10
Step 3: Solve for the interest rate (r):
2.5 = (1 + r)^10 Step 4: Calculate the 10th root of 2.5:
(2.5)^(1/10) ≈ 1.080 Step 5: Subtract 1 to find the interest rate:
1.080 - 1 ≈ 0.080 or 8% take the $100 today if the interest rate is d. 8%.
To know more about interest rate visit:
https://brainly.com/question/25720319
#SPJ11
Blossom Company returned $310 of goods originally purchased on credit from Blue Spruce Industries. Using the periodic Inventory approach, Blossom would record this transaction as:
Blossom Company would record this transaction as: a decrease in accounts payable and a decrease in purchases or inventory.
Using the periodic inventory approach, when Blossom Company returns $310 worth of goods purchased on credit from Blue Spruce Industries, they would record the transaction as follows. Firstly, they would decrease the accounts payable by debiting the Accounts Payable account by $310, reflecting the reduction in the amount owed to Blue Spruce Industries. This helps in reducing the liability of Blossom Company to Blue Spruce Industries.
Secondly, they would decrease the purchases or inventory account by crediting it with $310, indicating the decrease in the inventory value or the cost of goods purchased. The specific account to be credited depends on the company's accounting practices. Overall, this transaction records the reduction in the liability and the decrease in inventory value resulting from the return of goods.
You can learn more about periodic inventory approach at
https://brainly.com/question/8189650
#SPJ11