The statement that is/are correct regarding the long run elasticity of the demand are: A. If oil prices rise by 4%, the quantity of oil demanded will fall by 8%, C. If oil prices fall by 10%, the quantity of oil demanded will rise by 5%,
Elasticity is the degree to which supply, or demand varies in response to price changes. Elasticity is used to determine how much buyers and sellers change their behavior in response to a price change in economics. When demand or supply is sensitive to price changes, we say it is elastic.
The quantity of goods or services that buyers are willing and able to acquire at a given price is referred to as demand. Demand is determined by a variety of factors, including consumer preferences, prices, and consumer income. When the price of a good or service changes, the amount demanded changes as well.
Therefore, the correct option is A and C.
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a technological improvement causes steel production to increase. as a result steel market prices fall from $300 per ton to $150 per ton. consequently, weekly light-truck steel frame production by ccnt technologies increases from 250 to 275 units. using the arc method (or midpoint formula) what is the cross-price elasticity of supply for light-truck steel frames?
The cross-price elasticity of supply for light-truck steel frames is 0.1. The cross-price elasticity depends upon factors like quantity supplied and prices both initial and final of steel frames.
This formula is: Ep = (Change in Quantity Supplied / Average of Initial and Final Quantity Supplied) / (Change in Price / Average of Initial and Final Price). Using the given information, the cross-price elasticity of supply for light-truck steel frames is calculated as follows:
Ep = (275 - 250 / (275 + 250) / (150 - 300 / (150 + 300) = 0.1
This means that a technological improvement causing steel production to increase and market prices to fall from $300 per ton to $150 per ton, has resulted in a weekly light-truck steel frame production by CCNT Technologies increasing from 250 to 275 units.
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which approach to analysis of trade deficits indicates that in the absence of excess capacity in the economy, currency devaluation provides only a temporary improvement in a country's trade deficit, and that long-term improvement requires either a smaller fiscal deficit or a larger excess of domestic savings over domestic investment?
Approach to analysis of trade deficits is: The J-curve approach.
This analysis of trade deficits indicates that in the absence of excess capacity in the economy, currency devaluation provides only a temporary improvement in a country's trade deficit, and that long-term improvement requires either a smaller fiscal deficit or a larger excess of domestic savings over domestic investment.
The J-curve approach to analysis of trade deficits suggests that when a country devalues its currency, the nation’s trade deficit tends to worsen before it improves. This is because the cost of imported goods initially rises and the cost of exported goods initially falls.
However, if the devaluation is successful, then over time, exports become more competitive and imports become less competitive, leading to a decrease in the nation’s trade deficit. In order for this to happen in the long-term, the country must also have a smaller fiscal deficit or a larger excess of domestic savings over domestic investment.
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demand is the demand for a good or service that reflects both the private and external benefits of its consumption.
The demand for a good or service that reflects both the private and external benefits of its consumption, Social Demand
Social demand refers to the total demand for a good or service in a particular market, which includes both the private demand and externalities associated with its consumption. Private demand refers to the quantity of a good or service that individuals and firms are willing and able to purchase at a given price. Externalities, on the other hand, refer to the costs or benefits that are incurred by third parties as a result of the consumption of the good or service.
For example, the social demand for renewable energy sources like solar and wind power includes not only the private demand from households and businesses that use these energy sources, but also the positive externalities associated with reducing greenhouse gas emissions and mitigating climate change.
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european pastries has an isurable loss of 82,500, while having insurance coverage beyond coinsurance reuirements. the insurance is divided between company a with $125,000 coverage, company b with $100,000 coverage, and company c with 175,000 coverage. find the amount of loss paid by each of the insurance companies
The amount of loss paid by each insurance companies is that Company A will pay $29,464.29, Company B will pay $23,571.43, and Company C will pay $29,464.29.
European Pastries has an insurable loss of $82,500, with insurance coverage beyond coinsurance requirements. The insurance is divided between company A with $125,000 coverage, company B with $100,000 coverage, and company C with $175,000 coverage.
The amount of loss paid by each of the insurance companies is given below:
Calculation of insurance coverage ratios:Company A = 125,000 / (125,000 + 100,000 + 175,000) = 0.3571
Company B = 100,000 / (125,000 + 100,000 + 175,000) = 0.2857
Company C = 175,000 / (125,000 + 100,000 + 175,000) = 0.3571
Calculation of insurance coverage amountsCompany A = 0.3571 * $82,500 = $29,464.29
Company B = 0.2857 * $82,500 = $23,571.43
Company C = 0.3571 * $82,500 = $29,464.29
Therefore, the amount of loss paid by each of the insurance companies is as follows: Company A: $29,464.29, Company B: $23,571.43, Company C: $29,464.29.
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The value of a firm is derived using the firm's ---- rate and its ---- rate.
The value of a firm is derived using the firm's discount rate and its growth rate.
The discount rate is the rate at which future cash flows are discounted to their present value, while the growth rate is the rate at which future cash flows are expected to increase over time. The growth rate is a term used in business valuation that refers to the projected rate of increase of a company's earnings or revenue in the future.
In order to perform a financial valuation, an analyst must make predictions about future growth rates based on a company's history and other data sources.
The growth rate is a key factor in determining the value of a business. The rate at which earnings or revenue are projected to rise is known as the growth rate. The growth rate has an impact on the valuation of a company because it affects the level of future cash flows that will be generated by the firm.
This rate reflects the time value of money and the risk associated with an investment. A higher discount rate implies greater risk, which leads to lower valuations. Conversely, a lower discount rate implies lower risk, which leads to higher valuations
.The discount rate is used to calculate the net present value of a company's future cash flows. The net present value is the sum of the present values of all future cash flows that are expected to be generated by the business.
This value is an estimate of the total value of the business.
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As a purchasing professional you can trust your suppliers to bid you the right capabilities at the right costs. True False 3 Small-volume purchases or commodities that don't deserve a lot of time are considered what kind of buy? a. Routine O b. Critical O c. Leverage O d Bottleneck O e. None of the above
The given statement in the question is False and correct option is a) Routine buy.
Small-volume purchases or commodities that don't deserve a lot of time are considered a "routine buy." This refers to purchases that are made frequently, involve small amounts of money, and have minimal impact on the company's operations if they are not delivered on time or are of poor quality. Routine buys are typically commodities that can be easily sourced from multiple suppliers, and do not require a significant amount of negotiation or supplier evaluation. In contrast, critical buys are purchases that are essential to the company's operations and have a significant impact if they are not delivered on time or are of poor quality. Leverage buys involve using the company's purchasing power to negotiate better prices or terms with suppliers, and bottleneck buys refer to purchases that are critical to the production process and can cause delays if they are not delivered on time.
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· What is a destination contract and when does risk of loss pass?
A destination contract is an agreement between two parties in which the seller agrees to deliver a good or service to a specific location. The risk of loss passes to the buyer at the agreed-upon destination, meaning the buyer is responsible for any losses or damages that occur after the goods have been delivered. In most cases, the seller is responsible for any losses or damages that occur before delivery.
For example, if the seller agrees to deliver a shipment of goods to the buyer’s warehouse, the seller will be liable for any damages or losses that occur during transit. Once the shipment arrives at the warehouse, the risk of loss passes to the buyer, who is responsible for any damages or losses that occur after delivery.
In a destination contract, the parties can also agree on who is responsible for the risk of loss in certain scenarios. For instance, the buyer may agree to assume the risk of loss in the event of theft, fire, or other losses that may occur after delivery.
Overall, destination contracts are used to clarify the responsibilities of each party for any losses or damages that may occur during or after delivery of a good or service.
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Assume that the monetary benefit of an information system is $40,000 when the project starts. After the completion of the start, the project has increasing benefits of $10,000 a year for the next five years (year 1 = $50,000, year 2 = $60,000, year 3 = $70,000, year 4 = $80,000, year 5 = $90,000). One-time development costs at the start of the project were $75,000, and recurring costs were $44,000 per year throughout the information system’s life. The discount rate for the company was 11 percent. Using a time horizon of y0, y1, y2, y3, y4, y5; do the following:
1. Calculate the net present value of these costs and benefits
2. Calculate the overall return on investment
3. Complete a break-even analysis the calculation of the break-even analysis (In Excel)
4. Generate a graphical representation of the break-even analysis, in case it occurs at any point from y0 to y5
in order to answer this question, you must calculate the net present value (NPV) of the costs and benefits, calculate the overall return on investment (ROI), calculate the break-even analysis, and create a graphical representation of the break-even analysis in Excel.
In order to calculate the net present value (NPV) of the costs and benefits, you will need to discount the future cash flows back to the present. The formula for the NPV is as follows:
NPV = -75000 + [(40000/1.11^1) + (50000/1.11^2) + (60000/1.11^3) + (70000/1.11^4) + (80000/1.11^5) + (90000/1.11^6)] - [(44000/1.11^1) + (44000/1.11^2) + (44000/1.11^3) + (44000/1.11^4) + (44000/1.11^5) + (44000/1.11^6)].
The overall return on investment (ROI) can be calculated by taking the present value of the benefits and subtracting the present value of the costs, then dividing the result by the present value of the costs. The formula for the ROI is as follows:
ROI = [(40000/1.11^1) + (50000/1.11^2) + (60000/1.11^3) + (70000/1.11^4) + (80000/1.11^5) + (90000/1.11^6)] - [(75000/1.11^0) + (44000/1.11^1) + (44000/1.11^2) + (44000/1.11^3) + (44000/1.11^4) + (44000/1.11^5) + (44000/1.11^6)]/[(75000/1.11^0) + (44000/1.11^1) + (44000/1.11^2) + (44000/1.11^3) + (44000/1.11^4) + (44000/1.11^5) + (44000/1.11^6)].
For the break-even analysis, you will need to calculate the break-even point. This is done by calculating the total cash flow and dividing it by the total number of years in the project's life. This will give you the amount of cash flow needed to break even. You can also create a graphical representation of the break-even analysis in Excel by plotting the total cash flow and the break-even point.
To summarize, in order to answer this question, you must calculate the net present value (NPV) of the costs and benefits, calculate the overall return on investment (ROI), calculate the break-even analysis, and create a graphical representation of the break-even analysis in Excel.
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True or False? exporting has an advantage compared to other types of international involvement, because it is usually easier to drop or change arrangements as the firm's needs change.
True. Exporting has an advantage compared to other types of international involvement because it is usually easier to drop or change arrangements as the firm's needs change.
Exporting allows firms to reduce their investment costs and enter foreign markets without having to undertake the risks of establishing a new business in a foreign country. Exporting also provides firms with the opportunity to try out different markets before making the decision to establish a foreign subsidiary. By exporting, a firm can test a foreign market before investing a large amount of money in a foreign operation. Exporting also allows firms to easily diversify their product portfolio and reach out to a larger customer base. Additionally, exporting allows firms to avoid the risks and complexities associated with foreign direct investment, such as currency risk, governmental regulations, and tariffs. In summary, exporting is advantageous compared to other types of international involvement because it is usually easier to drop or change arrangements as the firm's needs change.
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Assume that the amount of ending inventory is overstated in Year 1. Further assume the overstatement in Year 1 is not discovered and the ending inventory in Year 2 is reported accurately. Under these circumstances,A: cost of goods sold in Year 2 will be understated.B: total assets in Year 2 will be understated.C: the Year 2 ending balance in retained earnings will be accurate.D: none of the answers are correct
Year 2's cost of goods sold will be underestimated. This is so that the cost of goods sold (COGS), which is determined by deducting beginning inventory from the total of purchases and ending inventory.
What happens if the ending inventory for the current year is overstated?When the closing inventory is overestimated, the cost of goods sold is understated, which causes the gross margin and net revenue to be inflated.
The net income for the period will be understated if inventory is inflated at the end of the quarter.Response and justification Net profits will be overstated if ending inventory is understated. Hence, if ending inventory is understated.
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What large trade organization covers licensed professionals, salons, and manufacturers and produces various large events, offers scholarships,
provides information, and offers free basic memberships?
A. American Association of Cosmetology
B.Professional Beauty Association
C.Skills USA
D.Federal Board of Cosmetology Professionals
The American Association of Cosmetology offers free basic memberships, covers licenced professionals, salons, and manufacturers, and organises a number of significant events.(option a)
What level of cosmetology education is highest?An associate degree, typically offered by private cosmetic school and community or technical institutions, is the highest hairdressing degree that is currently accessible. The ability to pursue a bachelor's degree inside a related profession, such as commerce or hospitality management, exists for people who already hold an associate in cosmetology. The applicant must hold a 10+2 diploma from an accredited institution. After completing high school and graduating, non-medical cosmetologists can enrol in a cosmetology diploma or certificate programme. It also offers scholarships, information, and provides informational materials.
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GDP can be calculated by adding:Select one:a. consumption, gross investment, government purchases, exports, and imports Incorrectb. gross investment, government purchases, consumption, and net exportsc. consumption, net investment, wages, and rentsd. consumption, gross investment, government purchases, and importse. consumption, gross investment, government purchases, and exports
The correct answer is (b). GDP can be calculated by adding gross investment, government purchases, consumption, and net exports.
Gross Domestic Product (GDP) refers to the total value of goods and services produced by a country in a given period of time.
It is used to assess the economy's strength and growth rate. Consumption, gross investment, government purchases, and net exports are the four components used to calculate GDP.
GDP can be calculated using the following equation: GDP = C + I + G + NX
Where: C is consumption, I is gross investment, G is government purchases, NX is net exports.
To calculate GDP, we sum the total consumption (C), gross investment (I), government purchases (G), and net exports (NX). All four of these components must be included in the GDP calculation.
The correct answer to the given question is option b: gross investment, government purchases, consumption, and net exports.
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What international organizations is the US part of?
The United States is a member of many international organizations, including the United Nations, World Trade Organization, North Atlantic Treaty Organization, Organization of American States, World Bank, International Monetary Fund, World Health Organization, and others.
The United Nations (UN) is a multilateral organization that promotes international cooperation and works to maintain global peace and security. The US is a permanent member of the UN Security Council, a 15-member body that has the power to make binding decisions on matters of international security.
The World Trade Organization (WTO) is an international organization that helps to liberalize and regulate global trade. The US is one of the founding members of the WTO and continues to play an active role in its decision-making.
The North Atlantic Treaty Organization (NATO) is an intergovernmental military alliance between 28 countries, of which the US is one of the founding members. NATO’s mission is to protect the security of its members by collectively responding to threats.
The Organization of American States (OAS) is a regional organization made up of all 35 independent countries in the Americas. The US is a founding member of the OAS and is an active participant in its discussions.
The World Bank and the International Monetary Fund (IMF) are international organizations that provide financial and technical assistance to countries for development. The US is a major contributor to the World Bank and IMF and has a significant influence over their decisions.
The World Health Organization (WHO) is an international organization that works to improve public health, promote medical research, and provide technical assistance to countries. The US is one of the founding members of the WHO and is a major donor to the organization.
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In general, developers must get a construction loan before they can line up permanent (long-term) financing that will be used once the project is complete and being operated with tenants. (T/F)
In general, developers must get a construction loan before they can line up permanent (long-term) financing that will be used once the project is complete and operated with tenants. This statement is true.
What is a construction loan? A construction loan is a form of bank or another lender financing that assists in the construction of a new home or another type of real estate project. The lender will generally pay out the funds to the builder or contractor in tranches as the work progresses. When the work is completed, the loan is then repaid by the borrower via a new, more permanent loan that covers the property's entire value.
There are various forms of loans available in the market that can be used to finance your dream house; however, a construction loan is a special type of loan that is used for the construction of a new property. Once the project has been completed and the property has been occupied by tenants, the construction loan is replaced by a long-term, permanent financing arrangement that will cover the entire value of the property.
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A small open economy with perfect capital mobility is characterized by all of the following except that: A) its domestic interest rate always exceeds the world interest rate. B) it engages in international trade. C) its net capital outflows always equal the trade balance. D) its government does not impede international borrowing or lending,
A small open economy with perfect capital mobility is characterized by all of the following except that (A) its domestic interest rate always exceeds the world interest rate.
A country's open economy is a system that combines domestic and foreign trade by allowing the unrestricted flow of goods and services, as well as capital and labor, across borders. International trade, such as imports and exports, is important in an open economy, and it often contributes to the country's economic growth. A small open economy is characterized by all of the following except that its domestic interest rate always exceeds the world interest rate. A small open economy is defined as a country that is open to trade and has a high degree of capital mobility. Open economies can trade with other countries, and there are no trade barriers, such as tariffs or quotas, between them.The perfect capital mobility definition: Capital mobility refers to the ease with which capital can be exchanged between two countries. When a country has unrestricted access to capital, it is said to have perfect capital mobility.
A small open economy with perfect capital mobility implies that the country is free to borrow or lend internationally without any constraints. The country's interest rate would be equivalent to the world interest rate in a perfect capital mobility setting. The interest rate in a small open economy with perfect capital mobility would not exceed the world interest rate.
Therefore, a small open economy with perfect capital mobility is characterized by all of the following except that its domestic interest rate always exceeds the world interest rate (option D).
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The Crater Manufacturing Company recorded overhead costs of $14,192 at an activity level of 4,250 machine hours and $8,760 at 2,310 machine hours. The records also indicated that overhead of $9,735 was incurred at 2,610 machine hours. What is the variable cost per machine hour using the high-low method to estimate the cost equation? $2.80 $3.34. O $2.72 O $3.73
The high-low method is a common technique used to estimate cost equations. This method uses the highest and lowest activity levels to calculate the variable cost per unit (in this case, machine hour). To do this, we must first calculate the total overhead cost change between the two points.
The total overhead cost change is calculated by subtracting the overhead costs at the lower activity level (8,760) from the overhead costs at the higher activity level (14,192). This yields a total overhead cost change of 5,432. We then calculate the activity level change by subtracting the lower activity level (2,310) from the higher activity level (4,250). This yields an activity level change of 1,940.
The variable cost per machine hour is then calculated by dividing the total overhead cost change (5,432) by the activity level change (1,940). This yields a variable cost per machine hour of $2.80.
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Why forecast exchange rates Consider Franco Co, the parent of a US-based multinational corporation (MNC) that uses forecasted exchange rates to assist with various business functions. Suppose that Franco Co is considering issuing bonds to raise funds. The company is considering denominating those bonds in Japanese Yen. Franco Co uses the forecasted value of the yen to make this decision. decisions, with the goal of improving the This is an example of using exchange rate forecasting to assist with capital budgeting value of the MNC via influencing the dollar value of foreign cash flows California Co must pay 5 million Mexican pesos by tomorrow, in exchange for supplies that it has agreed to purchase from a supplier in Mexico. The peso depreciated today against the dollar by 5 percent. Using time series data of past currency fluctuations, California observes whenever the peso depreciates against the dollar by more than 1 percent, then the peso tends to depreciate again by about 60 percent of the initial change. Given the results of the forecasting by California Co, the firm will most likely decide to
By forecasting exchange rates, companies can make better-informed decisions and increase the value of the MNC.
The question asks why forecast exchange rates are considered. Forecasted exchange rates are used to assist with various business functions, such as denominating bonds to raise funds, capital budgeting decisions, and to influence the dollar value of foreign cash flows.
An example of this is when California Co must pay 5 million Mexican pesos in exchange for supplies. Time series data of past currency fluctuations are used to predict when the peso depreciates against the dollar by more than 1 percent, as it has a tendency to depreciate again by about 60 percent of the initial change.
Thus, by forecasting exchange rates, companies can make better-informed decisions and increase the value of the MNC.
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2.2. park company acquired an 80% interest in the common stock of southdale company for $1,540,000 on july 1, 2013. southdale company's stockholders' equity on that date consisted of: common stock $800,000 other contributed capital 400,000 retained earnings 330,000 compute the total non-controlling interest to be reported in the consolidated balance sheet. hint: a cad could be used to solve this problem. (5 points for correct answer; 5 points for formatting; 10 points total)
the concept focuses on identifying and understanding consumer needs - then, creating, delivering, and communicating value to target customers. what concept is this?
The concept focuses on identifying and understanding consumer needs - then, creating, delivering, and communicating value to target customers is called the marketing concept.
The marketing concept is a business philosophy that involves focusing on identifying and understanding consumer needs and wants, and then creating and delivering products and services that meet those needs and wants.
The goal of the marketing concept is to create value for target customers, which can lead to customer satisfaction, loyalty, and long-term profitability for the business.
In addition to identifying and understanding consumer needs, the marketing concept also involves creating and delivering value through effective product design, pricing, distribution, and promotion strategies. This requires a deep understanding of the target market, as well as the ability to effectively communicate with and engage target customers.
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Data previously collected for purposes other than the one at hand are an important source of information as the researcher defines the problem. These data are called ______ data
These data are called secondary data.
Secondary data is data that has already been collected for another purpose and is now being used for a different purpose.
Secondary data is a valuable source of information because it provides an efficient and cost-effective way to get information without having to collect data from scratch.
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as cassette tapes became increasingly popular in the 1980s, larger 8-track tapes were no longer being advertised and were available in fewer stores. which stage of the product life cycle were 8-track tapes in when this happened? multiple choice question. growth decline introduction maturity
Answer:
8-track tapes were in the Decline stage of the product life cycle when they became less popular in the 1980s and were no longer being advertised and available in fewer stores.
Explanation:
As cassette tapes became increasingly popular in the 1980s, larger 8-track tapes were no longer being advertised and were available in fewer stores. The stage of the product life cycle that 8-track tapes were in when this happened is "decline."
A product life cycle can be defined as a series of stages a product goes through during its lifetime. Product life cycle stages are introductory, growth, maturity, and decline stages. These stages describe the stages a product goes through from the moment it is launched to the time when it is no longer being produced. The product life cycle is determined by a product's sales volumes and revenues over time, and it is separated into four stages: introduction, growth, maturity, and decline. When a product enters the decline stage of the product life cycle, sales volumes decline as customers become increasingly disinterested in the product, and it is no longer profitable for businesses to produce the product. It is at this stage that the product is no longer being advertised and is available in fewer stores. The correct answer is "decline."
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Operational or transaction databases are product oriented, handling transactions that update the database. In contrast, data warehouses are
A) product-oriented and volatile.
B) subject-oriented and nonvolatile.
C) subject-oriented and volatile.
D) product-oriented and nonvolatile
The correct answer is option B) subject-oriented and nonvolatile. What are Operational Databases? Operational databases refer to databases that are frequently updated in real-time.
It is a database that has undergone various modifications and updates throughout its existence. The main use of operational databases is for running applications and providing services to people. The primary focus of an operational database is to capture data from daily business operations.Types of Operational DatabasesTransactional databases are one of the most prevalent types of operational databases. This is the database that is utilized to store transactional information, and it is structured to ensure that transactions are consistent and accurate.Other types of operational databases include analytical databases, distributed databases, and centralized databases, and so on.What are Data Warehouses?A data warehouse is a repository of data used to support the management's decision-making process. It gathers, organizes, and maintains data from various sources for analysis and querying. It enables the data to be structured, and it is a central source of data for any organization. Because data warehouses only read data, they are non-volatile. Data warehouses concentrate on the present and historical data to provide more knowledge into current patterns and long-term trends. Data Warehouses are subject-oriented and provide a consolidated view of data gathered from numerous databases. Therefore, the answer to this question is B) subject-oriented and nonvolatile.
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Tioga Company manufactures sophisticated lenses and mirrors used in large optical telescopes. The company is now preparing its annual profit plan. As part of its analysis of the profitability of individual products, the controller estimates the amount of overhead that should be allocated to the individual product lines from the following information.Lenses Mirrors Units produced 22 22 Material moves per product line 17 7 Direct-labor hours per unit 230 230 The total budgeted material-handling cost is $71,720.
Required:
1. Under a costing system that allocates overhead on the basis of direct-labor hours, the material-handling costs allocated to one lens would be what amount?
2. Under a costing system that allocates overhead on the basis of direct-labor hours, the material-handling costs allocated to one mirror would be what amount?
3. Under activity-based costing (ABC), the material-handling costs allocated to one lens would be what amount? The cost driver for the material-handling activity is the number of material moves.
4. Under activity-based costing (ABC), the material-handling costs allocated to one mirror would be what amount? The cost driver for the material-handling activity is the number of material moves.
Under a costing system that allocates overhead on the basis of direct-labor hours, the material-handling costs allocated to one lens would be:
First, we need to calculate the total direct labor hours for producing 22 lenses:
22 lenses x 230 direct-labor hours per unit = 5,060 total direct-labor hours
Next, we can use the direct-labor hours as the cost driver to allocate the material-handling cost:
Material-handling cost per direct-labor hour = $71,720 total material-handling cost / 5,060 total direct-labor hours
Material-handling cost per direct-labor hour = $14.16 per direct-labor hour
Finally, we can allocate the material-handling cost to one lens:
Material-handling cost per lens = $14.16 per direct-labor hour x 230 direct-labor hours per lens
Material-handling cost per lens = $3,254.80
Under a costing system that allocates overhead on the basis of direct-labor hours, the material-handling costs allocated to one mirror would be:
Using the same approach as in question 1, we can calculate the material-handling cost allocated to one mirror:
Material-handling cost per mirror = $14.16 per direct-labor hour x 230 direct-labor hours per mirror
Material-handling cost per mirror = $3,254.80
Under activity-based costing (ABC), the material-handling costs allocated to one lens would be:
The cost driver for the material-handling activity is the number of material moves. From the information given, we know that 22 lenses require 17 material moves each, for a total of 374 material moves:
22 lenses x 17 material moves per lens = 374 total material moves
The cost per material move can be calculated as:
Cost per material move = $71,720 total material-handling cost / 374 total material moves
Cost per material move = $191.73 per material move
Finally, we can allocate the material-handling cost to one lens:
Material-handling cost per lens = $191.73 per material move x 17 material moves per lens
Material-handling cost per lens = $3,257.41
Under activity-based costing (ABC), the material-handling costs allocated to one mirror would be calculated in the same way:
Material moves per product line for mirrors = 7 moves
Total material moves for mirrors = 22 units x 7 moves = 154 moves
Overhead rate per material move = Budgeted material-handling cost / Total material moves = $71,720 / 154 moves = $465.84 per move
Material-handling costs allocated to one mirror = Material moves per product line x Overhead rate per material move = 7 moves x $465.84 per move = $3,260.88
Therefore, the material-handling costs allocated to one mirror under ABC would be $3,260.88.
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the announcement of a dividend increase by a growth company may have what impact? group of answer choices increase in price due to expectation of increased cash flow. drop in price from higher shareholder scrutiny. increase in price due to enhanced growth rate. drop in price due to lower perceived growth opportunities.
The announcement of a dividend increase by a growth company may have the impact of an increase in price due to the expectation of increased cash flow. Hence option A. is correct.
What is Dividend?Dividend is defined as the amount of profit that the company distributes to its shareholders, out of the total profits earned by the company.
Dividends can either be cash or stock dividends. It is usually paid out in proportion to the number of shares held by the shareholders. The payment of dividends is not an obligation, but rather it is up to the discretion of the management of the company.
Dividends are announced at the end of the financial year of the company, and they are paid out after approval from the shareholders.
When a company announces an increase in dividend, it indicates that the company is profitable and has strong cash flow. This is viewed positively by the investors, and as a result, the price of the company's shares may increase.
Hence, an increase in dividend may be seen as a sign of growth opportunities. Therefore, option A. increase in price due to expectation of increased cash flow is correct.
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Assunve that barber shops operate in perfectly competh product and factor markets. Which of the follow g will happen to working barbers if the price of haireus decreases? (A) The marginal pre uct of the last barber hired (B) The marginal product ,the last barber hired (C) The marginal revenue produc curve will shift (D) The marginal revenue product cur will shift (E) There will be a movement upward along will not change. will decrease. to the right. to the left. the marginal revenue curve.
The answer is option C. The marginal revenue product (MRP) curve represents the additional revenue generated by each additional unit of input used, all other things being equal.
Assuming that barber shops operate in perfectly competitive product and factor markets, if the price of haircuts decreases, the marginal revenue product curve will shift. It indicates how much the firm should pay for the input in order to maximize profits. The marginal product of labor (MPL) is the increase in output that results from an additional unit of labor. When MPL > W/P, the firm hires more workers.
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When Claire purchased her new cell phone, she was offered an opportunity to purchase a car charger and a cover together at a reduced price. The cell phone provider was using a ________ strategy.A) product line pricingB) captive pricingC) price bundlingD) reference pricingE) prestige pricing
When Claire purchased her new cell phone, she was offered an opportunity to purchase a car charger and a cover together at a reduced price. The cell phone provider was using a price bundling strategy. (option C)
Price bundling is a pricing strategy where a company offers two or more products or services as a combined package at a reduced price, compared to the price of purchasing each item separately.
The purpose of price bundling is to encourage customers to purchase more items by offering a discount on the combined price. This strategy can help increase sales volume and customer loyalty.
In the given scenario, the cell phone provider is using a price bundling strategy by offering a car charger and a cover together at a reduced price with the purchase of a new cell phone. This approach is intended to encourage customers to purchase more products at a lower price, which could potentially increase the overall revenue of the cell phone provider.
Therefore, the correct answer is C) Price bundling.
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which of the shifts explains what would happen to the production possibility curve if improved technologies increased the production of prekindergarten (pre-k) toys by 25 percent and the production of children's toys by 50 percent?
Shift III explains what would happen to the production possibility curve if improved technologies increased the production of prekindergarten (pre-k) toys by 25 percent and the production of children's toys by 50%.
Shift III refers to an increase in both the production of pre-K toys and children's toys due to improved technologies, which leads to an outward shift of the production possibility curve. This means that with the same amount of resources, more toys can be produced than before. The increase in pre-K toys production by 25% and children's toys by 50% indicates that the economy has become more efficient in utilizing its resources, enabling it to produce more goods and services.
The shift in the production possibility curve represents an increase in the economy's potential output, which can lead to economic growth and increased standards of living for individuals.
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a company receives cash in march for services that it will provide in april. this scenario is an example of a(n): multiple choice prepaid expense accrued expense deferred revenue accrued revenue
The correct answer is "Deferred Revenue". This scenario is an example of deferred revenue, which is revenue that has been received in advance but has not yet been earned.
What is deferred revenue?Deferred revenue is a legal term that refers to an accounting concept. It is a future income, such as prepayments, that must be included on the balance sheet as a liability, rather than being recognized as income in the income statement at the time it is paid. Prepaid expenses are expenditures that are paid for in advance of when they will be used. Insurance premiums, rent, and other costs are examples of this.
Accrued expenses are debts that a company has incurred but has yet to pay. They include salaries, interest, and other expenses. However, in the question, the company receives cash in March for services that it will provide in April. This scenario is an example of deferred revenue.
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one of the major predictions of the rothschild-stiglitz model is a positive correlation between risk and insurance coverage. this has never been observed in practice due to the confounding influence of moral hazard.
One of the major predictions of the Rothschild-Stiglitz model is a positive correlation between risk and insurance coverage. However, this has never been observed in practice due to the confounding influence of moral hazard.
What is the Rothschild-Stiglitz model?The Rothschild-Stiglitz model is a statistical theory that aims to predict individual behavior and insurance plan behavior. The model was proposed by Michael Rothschild and Joseph Stiglitz in 1976 and describes the connection between an individual's chance of a loss and their insurance coverage's depth and price.
What is moral hazard?Moral hazard is a situation in which an individual has an incentive to conduct or pursue riskier behavior because the cost of doing so will be borne by others.
In insurance, moral hazard occurs when the insured person has a high-risk activity that they want to undertake, but they are protected by an insurance policy that will cover the cost if anything goes wrong.
The major predictions of the Rothschild-Stiglitz model are:
High-risk people are more likely to purchase full coverage, and low-risk people are more likely to purchase low coverage.There is a positive correlation between risk and the amount of insurance coverage.Higher-risk activities have a higher insurance rate due to greater expected losses.In practice, the positive correlation between risk and insurance coverage has never been observed due to the confounding effect of moral hazard.To learn more about moral hazard, refer below:
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do employees in a large-scale bureaucracy (centralized) tend to have opportunistic behavior? agree or disagree?
The answer to this question is no straightforward because different studies have produced different results, but in general, the answer is that employees in large-scale bureaucracies tend to exhibit opportunistic behavior.
Opportunistic behavior is a term used to describe the tendency of individuals to exploit opportunities for personal gain. It is a phenomenon that occurs in all types of organizations, including large-scale bureaucracies. The reason for this is that large-scale bureaucracies are often characterized by a high degree of centralization, which means that decision-making authority is concentrated at the top.
This concentration of power creates an environment where individuals may be tempted to engage in opportunistic behavior. Opportunistic behavior in large-scale bureaucracy is a topic that has been researched extensively over the years. It is a question that seeks to find out whether employees in a large-scale bureaucracy tend to exhibit opportunistic behavior.
In conclusion, it can be said that employees in large-scale bureaucracies tend to exhibit opportunistic behavior. However, it is important to note that not all employees engage in this type of behavior. Some employees are more committed to the organization and are less likely to engage in opportunistic behavior. Ultimately, it is up to the organization to create a culture that discourages opportunistic behavior and rewards employees for their contributions.
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