At the end of April, the first month of the company's year, the usual adjusting entry transferring rent earned to a revenue account from the unearned rent account was omitted. Indicate which items will be incorrectly stated, because of the error, on (a) the income statement for April and (b) the balance sheet as of April 30. Also indicate whether the items in error will be overstated or understated.

Answers

Answer 1

Answer:

Overstatement is the situation where the amount of any item has been stated more than its actual figure

Understatement is the situation where the amount of any item has been stated less than its actual figure

a. The rent earned will be understated, as a result of which the income statement will give a lower net income.

b. Because of lower net income, retained earnings in stockholders' equity will be understated, and the liability account of unearned rent will be overstated

Related Questions

If a vendor has correctly used marginal analysis to select its stock levels for the day (as in the newsperson problem in the text), and if the profit resulting from the last unit being sold (Cu) is $120 and the loss resulting from that unit if it is not sold (Co.) is $360, which of the following is the probability of the last unit being sold?

Answers

The probability of the last unit being sold is mathematically given as

x Greater than 0.75

What is the probability of the last unit being sold i?

Generally, the equation forthe Probability is mathematically given as

[tex]P= P\leq C_{u}/(C_{u}+C_{o})[/tex]

Therefore

P = 120/(120+360)

P= 120/480

P=0.25

P represents the likelihood that a unit will not be sold, whereas 1-p represents the likelihood that a unit will be sold.

1-p = 1-0.25 = 0.75

In conclusion, The likelihood of the last unit selling should be higher than 0.75

Answers

The Mute's margin of safety (MOS) in sales dollars is: d. $54,290,602.

Margin of safety

First step

Breakeven=$12,143,500/( $3,350-$1,480)/$3,350

Breakeven=$12,143,500/$1870/$3370

Breakeven=$12,143,500/0.5548961424332

Breakeven=$21,884,275

Second step

Margin of safety:

Margin of safety=(22,700×$3350)-$21,884,275

Margin of safety=$54,290,602

The correct option is D.

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Transportation is a big part of the logistics picture. Freight can represent 50% of your logistics cost and up to 10-20% of your retail price. In a world of “free shipping” every importer knows that freight is not free. According to statement, discuss the operational factors that effects the transportation modes.

Answers

Some of the operational factors that affect the transportation modes chosen for freighting goods include:

CostService ReliabilityService RegularitySafety.

What are the transportation modes?

Transportation modes refer to the means of transportation. They include:

RailRoadAirMarinePipelinesInter-modal transportation.

However, the choice of a transportation mode is determined by the comparative cost, reliability, regularity, and safety of service.

Thus, when one is considering the choice of a transportation mode, the operational factors must be considered.

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When Subway uses selective stores around the country to introduce a new food item, the food item
is in the growth stage of its product life cycle.
Select one:
O True
O False

Answers

Answer: True

Explanation:

Because Subway is getting lot of profit on their selective stores around the country to introduce a new food item and from its growth stage.

What are hollow corporations? A. companies that market their products through franchisees B. companies that outsource all production to suppliers C. companies that have liabilities exceeding their assets D. companies that are horizontally integrated E. companies that do not have any physical presence and only operate online

Answers

Hollow corporations are b. companies that outsource all production to suppliers

What are hollow corporations?

Hollow corporations can be defined as those companies that outsource their production to supplier, which means that they do not produce within the company but all production are carried out supplier .

Hence, the correct option is B, because hollow corporation tend to outsource all production to supplier.

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construction loan avoidable interest

Answers

Avoidable interest serves as one that is used in the estimation of interest without expenditure.

What is an avoidable interest?

Avoidable Interest can be regarded as the computation that can be used to find the interest when trying to avoid expenditures .

To calculate the Avoidable interest , the equation that can be used is

(the weighted average accumulated expenditures ) *( the proper interest rate)

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When a monopolist increases the amount of output that it produces and sells, average revenue.

Answers

Monopolists can increase the amount of output and sell easily because they are in no competition, the revenue is also great as their is no competition the price charged is not challenged by any other organization.

What is Monopoly?

Monopoly is when there is no competition in the market and the seller is the sole seller of the product or service and therefore all the customers in the market purchase products or services from the said organization.

The organization can charge any price for the products or services as there is no competition the prices are not challenged by the other organizations as the sole seller of the commodity is the organization and this sole seller in the entire market is called a monopoly business.

It is difficult to be in a competitive environment but it is comparatively easier being a monopolist.

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What methods can be used to predict demand for healthcare

Answers

The methods used to predict demand for healthcare are:

percent adjustment, 12-month moving average, trendlineseasonalized forecast. This is further explained below.

What is healthcare?

Generally, the administration of organized medical treatment to individuals or to a community of patients.

In conclusion, there are many other quantitative approaches for predicting, but the four most prevalent methods are the seasonalized forecast, the trendline forecast, the percent adjustment prediction, and the moving average of the last 12 months. The organization's recent historical need served as the foundation for each of these four approaches.

Answers

The term that is not related to good Agricultural management is Ordering supplies and equipment.

What is Agricultural management?

Agricultural management can be regarded as the force that affect soil processes and functions.

This involves the rapid structural as well as the technological developments and new management practices to bring about good yield in production of crops and animal.

Some of the gricultural management practices that are common are;

Tillage and reconsolidationNo-tillage and surface residues Plants and crop rotations.IrrigationManure, and fertilization practices.Grazing management.

It Should be noted that farm management as well as implemention of the decisions are needed in organizion and operation of a farm so as to be able to maximize production as well as profit.

Farm management do utilizes the agricultural economics to get information on prices as well as markets situation.

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Answer:

A - Getting to work on time

Explanation:

I took the test and got it right.

Accenture is helping a retail company increase efficiency in the management of customer transactions, payment processing, and answering customer queries using Machine Learning. The client uses blockchain technology to share data with their wholesale suppliers, delivery service providers, and customer organizations.

Answers

For the retail company, Blockchain will ensure only admins can modify the data being sent to the Machine Learning model.

What is Blockchain technology?

Blockchain is a shared, unchangeable, and immutable digital ledger, duplicated and distributed across the entire network of computer systems.

Blockchain technology facilitates transaction recording and asset tracking.

Some other advantages of using the Blockchain technology include:

High-level securityTransparencyTraining data using the ML model.

Thus, for the retail company, Blockchain will ensure only admins can modify the data being sent to the Machine Learning model.

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Question Completion:

How will Blockchain ensure the integrity of the data sent to the Machine Learning model?

define formula p(1+i)n-p

Answers

Answer:

Or 1 hp =746 watt. Also, One Horsepower equals to 33,000 lb. ft/min. Horsepower formula is: Horsepower = \frac{Torque × speed}{ ...

Horsepower is a popular imperial unit of power of an engine. It is defined as the work done by a person or machine per unit amount of time. This term of Horsepower was invented by James Watt. It is a unit of power that compares the power of a machine to the muscle power of the horse.

In earlier days it was used to measure steam engine power output compared to the power of draft horses. But later on, its usage was expanded to different types of piston engines, electric motors, turbines, and other machinery.

Horsepower Formula

The formula for Horsepower calculation:

First, we will see some equations to help in calculating the horsepower:

Power = worktime

For the electric motors, we can calculate the power or horsepower from the torque and speed. For example, if we have a motor with 3,000 rpm and 6 in-lbf then the horsepower can be calculated below.

Horsepower = 300×663025

i.e. horsepower = 0.286

Here, 63025 is a constant when using rpm for speed and in-lbf for torque units. 5252 is another common constant if the speed is in rpm and torque is in ft-lbf. If the units are different then first we have to make the unit conversion.

Get the huge list of Physics Formulas here

The derivation of these constants is as follows:

33,000 ft-lbf /min = 1 horsepower.

Though horsepower units is a derivative of the 33,000 ft-lbf / min, it is not critical to understanding how to calculate motor horsepower for speed and torque.

Another common but popular unit of power that motors are rated in is watts. The conversion from watts to horsepower is:

745.7 watts = 1 horsepower

Or 1 hp =746 watt.

Also, One Horsepower equals to 33,000 lb. ft/min.

Horsepower formula is:

Horsepower = Torque×speed5252

With another computation,

Horsepower = weight × velocity(234)2

Solved Examples on Horsepower Formula

Q.1: Determine the horsepower of a vehicle which moves with a speed of 500 revolutions per minute and has a torque of 100 pound-foot.

Solution:

Given parameters in the problem are:

Torque = 100 pound foot

Speed = 500 revolutions per minute

Now we may apply the Horsepower formula as below:

Horsepower = Torque×Speed5252

Substituting the known values, we get

Horsepower = 100×5005252

= 500005252

Horsepower = 9.52 HP

Therefore the horsepower of the engine of the vehicle will be 9.52 HP.

The least-squares regression line for predicting the ribeye price from the corn price is y = 4.8188 + 1.3103x

Predict the ribeye price in a month when the corn price was $6.63 per bushel

$13.51 per lb
$14.37 per lb
$8.69 per lb
$12.83 per lb

Answers

The price of ribeye is option A. $13.51 per lb using Least Squares Regression

The Least Squares Regression Line is the line that minimizes the sum of the residuals squared. The residual is the vertical distance among the discovered factor and the anticipated factor, and it is calculated with the aid of subtracting.

The regression line is every so often known as the "line of fine fit" due to the fact it's miles the road that suits first-rate while drawn through the points. it is a line that minimizes the gap of the actual rankings from the anticipated rankings.

Ordinary least squares regression is a manner to find the line of satisfactory fit for a fixed of information. It does this by creating a model that minimizes the sum of the squared vertical distances (residuals). The distances are squared to keep away from the problem of distances with a poor signal.

The corn price (x)= $ 6.63

Commodity (ribeye price) = 4.8188 + 1.3103x

= 4.8188 + 1.3103( 6.63)

= 4.8188 +8.687289

= $ 13.506089

= $13.51

Hence the price of ribeye is option A. $13.51 per lb.

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In addition to innovation, which strength can Accenture apply to help a global telecom solve security problems?
a.legitimacy and commercial experience
b.cadence expertise and closing experience
c.global experience and industry expertise
d.governance and tenancy knowledge

Answers

In addition to innovation, governance, and tenancy knowledge Accenture applies to help a global telecom solve security problems.

Irish-based Accenture is a provider of professional services. This business specializes in offering services in information technology, operations, strategy, and consulting. Accenture has the expertise to operate on even the most complicated customer issues and can find the most innovative solutions.

Accenture uses its expertise in governance, tenancy, and innovation to assist a multinational telecom with security issues. One of the biggest independent technology service companies around the globe is Accenture. The biggest technology businesses in the world, including Microsoft, and SAP, have partnered with this business. They are therefore familiar with every possible security issue that a telecom company may encounter.

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The money supply (Ms) in the economy is defined as the circulation of money (that consists of currency coins, paper notes, and bank balances) in the economy. Alternatively, the money supply refers to the safe assets that individuals and businesses hold for the purpose of either making payments or short-term investments.

The central bank in the economy has developed various measures of money of which the M1 and M2 are two measures. The M1 is the most liquid measure of money and is comprised of the currency, traveler’s check, and checking account deposits. Mathematically, M1 is derived as:

M1 = Currency + traveler check + checking account deposits.

The M1 is the most liquid form of money since the components included in it are easily convertible into cash without a loss in their original value.

M2 is a relatively broader measure of Ms but is also a relatively less liquid measure compared to M1. This is because M2 consists of currency, traveler’s checks, checking deposits, savings accounts, and money market mutual funds. As such, M2 is the sum of M1 and savings accounts and money market deposits. Mathematically, M2 can be described as:

M2 = M1 + savings accounts deposits + money market mutual funds.

Mutual funds are components of the M2 money supply while checking account balances are the components of the M1 money supply. When $2,000 are taken away from the mutual funds and deposited in the checking accounts, there would be an increase of $2,000 in the M1 money supply since the checking account component of M1 would increase by $2,000.

However, there would be no change in the M2 money supply because the withdrawal of $2,000 from the mutual funds would decrease the M2 by $2,000 initially. However, when this $2,000 amount is kept in the checking account, the M1 increases, and since M1 is also included in M2, M2 will increase by $2000. As such, the net effect in the M2 measure would be zero.

Answers

As the money supply consists of both currency & balances in different accounts, it is used by top financial institution to make economic decisions.

What is a money supply?

This refers to the total amount of money such as cash, coins, balances in bank accounts that are in circulation in a year.

The M1 means the most liquid money that comprised of the currency, traveler’s check, and checking account deposits.

M1 = Currency + traveler check + checking account deposits.

The M2 is broader measure of Ms although it is has a less liquid measure compared to M1 and consists of currency, traveler’s checks, checking deposits, savings accounts, money market mutual funds etc

M2 = M1 + savings accounts deposits + money market mutual funds.

The M3 is broader measure of Ms as it includes M2 money as well as large time deposits, institutional money market funds, short-term repurchase agreements, larger liquid funds etc.

M3 = M1 + Time deposits with commercial banks (Fixed deposits, Recurring deposits).

Answers

Mentoring is a act or process of helping and giving advice to a younger or less experienced person, especially in a job or at school.whiles Coaching is a form of development in which an experienced person, called a coach, supports a learner or client in achieving a specific personal or professional goal by providing training and guidance.

1. It helps employees forge meaningful professional relationships.
Mentoring creates relationships where employees will protect one another. Praise on another. Give support to one another at work when it is needed. If an employee doesn’t quit because of their boss, then it’s likely because they have no support network at work. Mentoring in the workplace provides that support network. It doesn’t have to be in that 1-on-1 role either. Mentors can introduce new employees to their entire professional network.

2. It creates productivity levels that are more consistent.
A workplace needs to have a predictable level of productivity in order to operate efficiently. Bringing in a new employee disrupts that predictability until their skill levels can be brought up to appropriate levels – which may take 12+ months. Mentoring in the workplace can dramatically shorten that time period by giving new employees an experienced insight into the expectations which exist.

3. It helps with internal politics.
When you put a group of people together, there will always be political jockeying involved at some level. A mentoring in the workplace program can help to stabilize the gossiping and positioning that each worker does to protect their position. Instead of trying to throw the new employee “under the bus,” this type of system gives new workers the tools they need to insert themselves onto a team almost immediately.

4. It helps new workers begin to speak the company language.
Every company has their own jargon that is used. Mentors help new workers be able to start learning this unique language so everyone can communicate with efficiency. Even highly skilled and experienced workers who can jump right into a project can benefit from a mentor in this regard so that there isn’t an issue with miscommunication that creeps up.

Company A has 800 employees, and it decides to grant each of the employees 50 share options as part of its new rewards plan. The options are exercisable over 5 years and subject to a 3-year service condition. The fair value of each option at the grant date is $16. The company estimates that 80% of its employees will meet the service condition required for receiving the options. Calculate the total share-based payment expense for Company A assuming that 80% of the employees actually meet the service condition.

Answers

The total share-based payment expense for Company A is mathematically given as

TS= $512,000.

What is the total share-based payment a expense for Company A?

let number of Employees satisfying service condition be x

Hence

x= 800* 0.8

x=640.

let the total No of options Estimated to be exercised be y

y= 640*50

y=32000.

Generally, the equation for Total Share is mathematically given as

TS= The total number of options expected to be exercised Muiltiplied by Fair value

Therefore

TS= 32000* 16

TS= 512,000.

In conclusion, the total share-based payment expense for Company A

TS= $512,000.

Answers

It can lead to burnout, low performance, stress leave,sick leave

is natalie davis actively involved in the decisions of the business woolworths

Answers

Yes, Natalie Davis is actively involved in the decisions of the business Woolworths.

The Board of Directors has a unified structure, consisting of an independent chairman, senior independent directors, a chief executive officer, and an appropriate number of executive and non-executive directors, with a majority of non-executive directors.

The company employs approximately 5,610 people, operates in Australia, New Zealand, Hong Kong, Singapore, and South Africa, and is managed by its headquarters in Burnley, Victoria. Woolworths International (Australia) is a wholly-owned subsidiary of South Africa-based Woolworths Holdings Limited.

Woolworths' food strategy focuses on its three key principles: Growth: Innovate to meet more demands from these customers. When. Efficiency: Bring more benefits to your customers through efficient organization and the introduction of a lean retail model.

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XYZ Co. manufactures bicycles. Demand for this year’s model is expected to occur at a constant annual rate of 9200 items. One bicycle costs $165. The holding cost is based on a 6% annual rate, and production setup costs are $420. The manufacturing plant has an annual production capacity of 16000 units. Acme has 280 working days per year, and the lead time for a production run is 3 days. Use the production lot size model to compute the following values:
a) Minimum cost production lot size
b) Number of production runs per year
c) Cycle time
d) Length of a production run
e) Maximum inventory
f) Total annual cost
g) Reorder point

Answers

The business rate is very high which means the mode of the car is very new and the equation is 6(2)^2-6/5

a) The minimum production lot size is 884 units,

b) The number of production runs per year is 10 runs.

c) The cycle time is 30 days (10 x 3)

d) The length of a production run is 3 days.

e) The Maximum inventory is 653 units.

f) The total annual cost is $1,523,180.

g) The Reorder point is 99 units (33 x 3).

What is the production lot size model?

The production lot size model is the same as the economic order quantity model, which is given as the EOQ = square root of: [2(setup costs)(demand rate)] / holding costs

The model shows the production lot size that minimizes total costs.

Data and Calculatiaons:

Annual demand = 9,200 units

Unit product cost = $165

Holding cost = $9.90 ($165 x 6%)

Setup costs = $420

Annual production capacity = 16,000 units

Working days per year = 280 days

Lead time for a production run = 3 days

EOQ = square root of: (2 x $420 x 9,200)/$9.90

= square root of 780,606

= 884 units

Production runs per year = 10 (9,200/884)

Daily demand = 33 units (9,200/280)

Total annual cost = ($165 x 9,200 + 99 x $9.90 + $420 x 10)

= $1,523,180 ($1,518,000 + $980. + $4,200)

Maximum inventory = Reordering Level + Reorder Quantity – (Minimum Consumption x Reorder period)

= 99 + 884 – (33 x 10)

= 653 units

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A free enterprise system provides individuals the opportunity to make their own economic decisions without restrictions from the government. It allows the supply and demand of consumers to determine the success or failure of an economic endeavor. It also requires entrepreneurs to rise or fall on their own without government support. Do you believe this type of economic system is more or less helpful, and why? Write an argumentative essay that explains your position.

Answers

A free enterprise system allows the supply and demand of consumers to determine the success or failure of an economic endeavor.

What is a free enterprise?

It should be noted that a free enterprise simply means the freedom of individuals and businesses to regulation.

Here, free enterprise system provides individuals the opportunity to make their own economic decisions without restrictions.

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Answer:

Explanation:

free enterprise system

How do you determine when a business is not succeeding, and how do you determine what needs to change?

Answers

A company's management and leadership determine success or failure of business. The management and leadership of a company are two of the most important factors that determine its success or failure. Successful businesses hire managers and leaders who understand the organization's vision and know how to put it into action; such leaders can also motivate employees and align them with the company's vision.

According to the National Business Association, the majority of businesses fail due to poor management and a failure to hire professionals in areas where they require assistance. When comparing successful and unsuccessful business ventures, one of the most noticeable differences is the importance and effectiveness of leadership.

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Two firms Apple and Samsung in the smart phone market have combined demand given by Q = 200 – P . Their total costs are given by TC Apple = 5 Q Apple + Q 2 Apple and TC Samsung = 5 Q Samsung + Q 2 Samsung . If they successfully collude, their total output will be: 45 units

Answers

Based on the profit functions of Apple and Samsung, their output if they successfully collude will be 65 units.

What is the total output if there is collusion?

Because Apple and Samsung are two major producers of smartphones, collusion between them would increase their demand and allow them more control over their pricing.

In order to find out their total output after collusion, solve for their profit functions first.

Apple profit function:

= Price - (5Q - Q²)

= 200Q - Q² - Q(apple)Q(samsung) - 5(apple) - Q(apple)²

= 195Q(apple) - Q(apple)Q(samsung) - 2Qapple²

Samsung profit function:

= Price - (5Q - Q²)

= 195Q(samsung) - Q(apple)Q(samsung) - 2Qsamsung²

When differentiated, the formulas become:

2Qs + 4Qa = 195

4Qa + 8Qs = 390

After differentiating their profit functions, solve simultaneously to find out what their quantities would be to make profit.

This can then be solved simultaneously:

2Qs + 4Qa = 195

4Qa + 8Qs = 390

-6Qs = -195

Qs = 195/6

Qs = 32.5 units

Qa will be:

2Qs + 4Qa = 195

4Qa = 130

Qa = 32.5 units

Add up these units to find the total units between them.

The total units are:

= 32.5 + 32.5

= 65 units

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True or False The summer vpk programs are 300 program hours and require one teacher for every ten children

Answers

The correct answer is True, although the program is usually between 200-300 instructional hours

See explanation below

What are the summer vpk programs?

Simply put, the summer vpk programs can be defined as a preparatory program usually between 200-300 instructional hours aimed at preparing children for Kindergarten school.

It should be noted that the summer vpk program is a voluntary service

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The two most basic inventory questions answered by the typical inventory model are:.

Answers

The two most basic inventory questions answered by the typical inventory model are the timing of orders and order quantity

What is the timing of orders and order quantity?

The time elapsed between the start of a stock replenishment activity and the submission of a requisition or order. The amount of time that passes between the submission of a requisition or order and the shipment of material by the supplying activity is known as timing of orders.

Economic Order Quantity, also known as Economic Purchase Quantity, is the order quantity in inventory management that minimizes overall holding costs and ordering expenses. It is one of the most ancient traditional production scheduling models.

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Question: You have recently been appointed as a marketing manager for a marketing consultancy firm, and you have been asked to conduct a review of operations in your firm with a view to attracting new clients. In this context you have been asked to produce a brief report that gives details of:

a. Possible internal sources of data that you will refer to in your review of operations using suitable examples.

b. Possible external sources of data that you will refer to in your review of operations using relevant examples.

Answers

This question is about the correct source of data for a Marketing Strategy Report. See the possible list of sources below.

What are the possible internal sources of data that one will refer to in your review of operations?

Sources to be used in this case are statistics relating to sales and marketing data. Examples are;

Demography of existing clientsCurrent Marketing strategies that have been deployed in the past

What are the possible external sources of data that you will refer to in your review of operations?

Business intelligence on the competitionStatistics related to the size of the market.

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For this assignment, respond to each of the questions presented in that lecture. You do not need to submit a completed outcomes planning wheel for this assignment, but should use it in drafting your response to the questions.

What organizational goal is driving this training? · What will the benefit be? · What is the skill gap? · What competencies (knowledge, skills, or attitudes) will this program need? · What evaluation will be used to measure the level of goal achievement? · Who will be trained? · What is the estimated class size? · How many classes will there be and how long will this training last? · What are the knowledge and skill prerequisites? · What type of program is being proposed? · What media, if any will be used in the training? · What will happen if we do not deliver the training? · What are the restrictions or limitations for delivering a program? · What other methods may be used to reach the goal (include limitations and advantages)?

Answers

In the above case, a skill acquisition will be the aim of the program.

What organizational goal is driving this skill acquisition training?

The purpose of skill acquisition is so that student can be able to learn one or more trade so that they can earn a living after school

What will the benefit be?

The benefit of acquiring a skill is that one will be equipped with a lot of good resources and also the skill of financial management, one will have improved strategic planning and others.

What competencies will skill acquisition need?

It just need your presence, one's talents and expertise that has been obtained via education or or life experience.

What is the skill gap? Critical thinking/problem solvingPaying Attention to detail.Leadership. Teamwork.

What evaluation will be used to measure the level of goal achievement?

Output based on work done, practical work and result.

Who will be trained - student.

The estimated class size- 50 - 100

How many classes will there be and how long will this training last - 20 class and it will last 2 month.

knowledge and skill prerequisites -Ability to read and understand and also just come and you will be taught.

The type of program that is being proposed - skill and handwork training.

What media, if any will be used in the training - visual, media and communication tools will be used·

What will happen if we do not deliver the training - giving of certificates and graduation.

What are the restrictions or limitations for delivering a program - financial restriction.

What other methods may be used to reach the goal - use of the mass media for dissemination of information concerning the program. Its advantage is that it will benefit all and the disadvantage is financial constrain.

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True or false: Personality tests tend to be the best and most useful way to assess someone's personality due to its objectivity and lower potential for bias/human error.

Answers

This Andrew is True because personality tests tend to be the best and most useful way.

Answer:

True!

Explanation:

By learning and observing different peoples personalities you can often learn how they're going to act in certain situations.

Evaluating the possible positive and negative outcomes of different
economic decisions is called:
A. marginal cost analysis.
B. cost-benefit analysis.
C. revenue projection analysis.
D. opportunity cost analysis.

Answers

Answer:

marginal cost analysis

When the insured knows more about their circumstances than the insurer, there is

A. adverse selection.

B. All of these

C. propitious selection.

D. moral hazard.

E. asymmetric information.

Answers

When the insured party knows more about his or her circumstances than the insurer, then there is: B. All of these.

What is an insurance company?

An insurance company is a business firm that is establish to collect premium from all of the insured for losses which may or may not occur, so they can easily use this cash to compensate or indemnify for losses incurred by those having high risk.

In Economics, when the insured party knows more about his or her circumstances than the insurer, then there is:

Adverse selectionPropitious selectionMoral hazardAsymmetric information

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Explain how financial managers can assess the company’s debt structure and determine how reasonable it is.

Answers

The use of debt-to-equity ratio will allow managers to assess the company’s debt structure and determine how reasonable it is.

What is a debt-to-equity ratio?

This refers to the financial ratio of ordinary shareholders' equity and the stake of creditors in a company.

Hence, this use of debt-to-equity ratio will allow managers to assess the company’s debt structure and determine how reasonable it is.