Answer:
B. Quality
Explanation:
Quality of goods and services rendered by a supplier could be affected by government standards as a result of the established methods by the government. For example, meat supplier has to abide to government standards when supplying to markets and retail sellers.
The following data relates to Spurrier Company's estimated amounts for next year. Estimated: Department 1 Department 2 Manufacturing overhead costs $1,360,000 $3,560,000 Direct labor hours 553,000 DLH 803,000 DLH Machine hours 103,000 MH 37,000 MH What is the company's plantwide overhead rate if direct labor hours are the allocation base? (Round to two decimal places)
Answer:
$3,628 per direct labour hour.
Explanation:
Total manufacturing overhead cost and total direct labour hours
Particulars Dep 1 Dep 2 Total
Manufacturing overhead cost 1,360,000 3,560,000 4,920,000
Direct labour hours 553,000 803,000 1,356,000
Plant-wide overhead rate = Total manufacturing overhead / Total direct labour rate
Plant-wide overhead rate = $4,920,000 / 1,356,000
Plant-wide overhead rate = $3,628
Therefore, the Plant-wide overhead rate is $3,628 per direct labour hour.
An agent has successfully negotiated a sales contract. Because he is the listing agent, multiple listing service (MLS) rules require him to A) notify the MLS of the status change. B) give a copy of the signed contract to the MLS. C) pay additional MLS fees because of the negotiated contract. D) give a copy of the signed agreement to the broker.
Answer: A) notify the MLS of the status change
Explanation:
The Multiple Listing Service (MLS) is a platform that serves to connect Real Estate professionals and the properties they are trying to sell that way they can each market the other's properties and increase the reach of the listing.
As the listing agent of a property, the agent was the one who posted the listing on the MLS and so when the property is sold, the agent should contact the MLS and let it know that the property has been sold so that they may take appropriate action.
On October 17, Nikle Company purchased a building and a plot of land for $750,000.
The building was valued at $500,000 while the land carried a value of $250,000.
Nikle paid $300,000 down in cash and signed a note payable for the balance.
Prepare the journal entry for this transaction.
Answer:
Building (debit) $500,000
Land (debit) $250,000
Cash (credit) $300,000
Note payable (credit) $450,000
Explanation:
Recognize the Assets : Building $500,000 and Land $250,000, de-recognized the assets of cash $300,000 and recognize liability arising from the note payable of $450,000.
Explain the differences among dealer-broker networks, alternative trading systems, and registered stock exchanges.
Answer:
A dealer-broker networks means that the broker and dealer is a counterpart in all trades,the broker dealer buys stocks from a seller and sells them to a buyer.
Some trading avenues in which broker and dealer is no longer a counterpart in all trades instead buyers can trade directly with sellers is called an Alternative Trading Systems. Broker dealer must register an Alternative Trading Systems with Securities and Exchange Commission (SEC) which imposes more regulatory requirements than the standard broker dealer network. It is costly for broker-dealer to provide the infrastructure for an Alternative Trading Systems, therefore they charged subscription fees.
Registered stock exchanges are registered with Securities and Exchange Commission (SEC), they are more regulated than Alternative Trading Systems and broker dealer network and its major objectives is to promotes orderly trading and fair dissemination of information including price and number of shares and pre-trade information.
Chester's balance sheet has $105,038,000 in equity. Further, the company is expecting net income of 3,000,000 next year, and also expecting to issue $4,000,000 in new stock. If there are no dividends paid what will beChester's book value?
Answer:
The answer is $112,038,000
Explanation:
The total equity will be equity brought forward, the net income(retained earnings) and the newly issued shares.
Book value equals asset minus liability which this formula is the same as equity. So in order words book value is also the same as total equity.
Therefore, the book value is:
$105,038,000 + 3,000,000 + $4,000,000
= $112,038,000
bank pays interest quarterly with an EAR of 9%. What is the periodic interest rate applicable per quarter
Answer:
2.18%
Explanation:
Effective interest rate = (1+i/m)^n - 1
i is stated as interest rate
m is the compounding frequency
Here, the compounding is quarterly and the effective interest rate is 8%
Since one year is equal to 4 quarter, the value of m is equals to 4
Effective interest rate = (1 + i/4)^4 - 1
9% = (1 + i/4)^4 - 1
0.09 + 1 = (1 + i/4)^4
(1.09)^1/4 = 1 + i/4
1 + i/4 = 1.02178
i/4 = 1.02178 - 1
i/4 = 0.2178
i/4 = 2.18%
Erickson Inc. is considering a capital budgeting project that has an expected return of 25% and a standard deviation of 30%. What is the project's coefficient of variation
Answer:
The project's coefficient of variation is 1.2
Explanation:
Coefficient of variation is the measure of variability relative to the mean.
Coefficient of variation = Standard Deviation / Average Return
Coefficient of variation = 0.30 / 0.25
Coefficient of variation = 1.2
Therefore, coefficient of variation is 1.2
Arnell Industries has $35 million in permanent debt outstanding. The firm will pay interest only on this debt. Arnell's marginal tax rate is expected to be 30% for the foreseeable future. a. Suppose Arnell pays interest of 9% per year on its debt. What is its annual interest tax shield? b. What is the present value of the interest tax shield, assuming its risk is the same as the loan? c. Suppose instead the interest rate on the debt were 7%. What is the present value of the interest tax shield in this case?
Answer:
a. Annual Interest tax shield = Debt * Interest * Tax Rate
Annual Interest tax shield = $35 million *9% *30%
Annual Interest tax shield = $0.945 million
b. PV of tax shield = $35 million *9% *30% / 9%
PV of tax shield = $10.50 million
c. PV of tax shield at 7% = 35million *7% *30% / 7%
PV of tax shield at 7% = $10.50 million
The following data are available for the Northwestern Division of Dempsey, Inc. and the single product it makes. Average operating assets $3,000,000
Annual fixed costs 560,000
Unit selling price 40
Variable cost per unit 24
How many units must the division sell each year to achieve an ROI of 16%?
Answer:
65,000 units
Explanation:
Let the number of units be sold = x
Operating Income= Sales- Variable cost – Fixed Cost
Operating Income = 40x - 24x - 560,000
Operating Income = 16x - 560,000
Return on Investment = Operating Income / Net Operating Assets
16% = (16x - 560,000 )/ 3,000,000
480,000 = 16x - 560,000
16x = 480,000 + 560,000
16x = 1,040,000
x = 65,000 units
You decided to buy apples at a grocery store somewhere in the mountains. You buy 5 pounds of apples, which are sold for $1.99/lb. (One pound is the unit of force equal to 0.454 kgx9.80 m/s where g = 9.80 m/s2 is the standard value of the acceleration due to the gravity). You overpaid for the apples, since the value of the acceleration due to the gravity at this mountain location is only gmountain 9.79 mis.
Determine how much you overpaid for your 5 pounds of apples.
Answer:
Amount overpaid = $0.0104 (Approx)
Explanation:
Given:
Quantity of apple = 5 lb
Amount paid = $ 1.99 / lb
Gravity on mountain = 9.79 m/s²
Find:
Amount overpaid
Computation:
Actual mass of apple = 5 (9.79/9.80)
Actual mass of apple = 4.9948
Actual amount = 4.9948 × 1.99
Actual amount = $9.9396
Amount overpaid = Amount paid -Actual amount
Amount overpaid = [5 x 1.99] - $9.9396
Amount overpaid = $0.0104 (Approx)
May Bakery, Inc. reported a prior-period adjustment in 2016.An accounting error caused net income of prior years to be overstated by $6,000.Retained Earnings at December 31, 2015, as previously reported, was $39,000.Net income for 2016 was $72,000, and dividends declared were $23,000.Prepare the company's statement of retained earnings for the year ended December 31, 2016.
Answer:
Particulars Amount
Retained earnings January 1,2016 $39,000
as originally posted
Prior period adjustment $6,000
Retained earnings as adjusted $33,000
Net Income for the year $72,000
$105,000
Dividends declared $23,000
Retained earnings December 31, 2016 $82,000
Suppose you bought a bond with an annual coupon rate of 4.6 percent one year ago for $930. The bond sells for $955 today.
a. Assuming a $1,000 face value, what was your total dollar return on this investment over the past year?
b. What was your total nominal rate of return on this investment over the past year?
Answer:
a. $71
b. 7.63%
Explanation:
a) The total dollar return is = Increase in Price + the coupon payment
Total dollar return = $955 – 930 + 46
Total dollar return = $71
b) The total percentage return of the bond is = Total dollar return / Previous Bond Price
R = [($955 – 930) + 46] / $930
R = 0.0763
R = 7.63%
On decemeber 1, 2018 shamrock company receieved $3600 from destiny, Inc. for rent of an office owned by shamrock company. The payment covers the period from December 1, 2018 through February 28, 2019. Shamrock Company recorded this as Deferred Rent Revenue when it was received on December 1. The adjusting entry on December 31 would include a:_________
a. debit to Rent Revenue of $4,800.
b. credit to Rent Revenue of $3,200.
c. debit to Deferred Rent Revenue of $4,800.
d. credit to Deferred Rent Revenue of $3,200.
Answer:
Credit to Rent revenue of $1,200.
Explanation:
Date Account Titles and explanation Debit Credit
Dec 31 Deferred Rent Revenue $1,200
Rent Revenue $1,200
Thus, answer is Credit to Rent revenue of $1,200.
Workings
December - February = 3 month
Deferred Rent Revenue = $3,600 * 1 month / 3 month = $1,200
If a life insurance applicant's answers on the application indicate that he/she is in good health, when in fact the applicant has a disease that he/she is not aware of, the statement on the application is considered:
Answer: d. A representation
Explanation:
A Representation refers to a statement that a person seeking insurance makes on their insurance application that to the best of their knowledge represents the truth in the questions asked.
This is what the applicant in the question did because they did not know that they had a disease that should be disclosed. Representations can be legal grounds to void a statement by an insurance company if information provided is eventually proven wrong.
g Cole Co. began constructing a building for its own use in January 2021. During 2021, Cole incurred interest of $50,000 on specific construction debt, and $20,000 on other borrowings. Interest computed on the weighted-average amount of accumulated expenditures for the building during 2021 was $40,000. What amount of interest should Cole capitalize
Answer: $40,000
Explanation:
Interest that is accrued as a result of a building should be capitialized to the cost of that building. The amount of interest payment that is due to the building will simply be the interest payment that the company would have avoided incurring had it not undertaken the construction of the building.
This amount is represented by the interest computed on the weighted-average amount of accumulated expenditures which in this case is $40,000 so that is the amount that should be capitalized by Cole Co.
Describe how to use project documents to help a team progress through the stages of development.
Answer with Explanation:
The objectives of the project at each stage are defined and well documented. Project documents are very useful in understanding of the issues with the project and how to resolve and when to act. All this is possible if we use the project documents in effective manner which will help in running of project very smoothly.
Furthermore, the project documents also helps the project team to understand what they are expected to perform and what are their next responsibility associated with project. The documentation also helps them to understand what are the set objectives of the project which both as an individual and as a team they have to accomplish.
Paxton Company can produce a component of its product that incurs the following costs per unit: direct materials, $10; direct labor, $14, variable overhead $3 and fixed overhead, $8. An outside supplier has offered to sell the product to Paxton for $32. Compute the net incremental cost or savings of buying the component.
A. $5.00 savings per unit. eBook
B. $3.00 cost per unit.
C. $0 cost or savings per unit.
D. $5.00 cost per unit.
E. $3.00 savings per unit.
Answer:
D. $5.00 cost per unit.
Explanation:
The computation of the incremental cost or saving of purchasing the component is shown below;
Selling price = $32
And, the making cost is
= Direct material + direct labor + variable overhead
= $10 + $14 + $3
= $27
So, the net incremental cost is
= Selling price - making cost
= $32 - $27
= $5 cost per unit
Hence, the correct option is d.
Why are daily scrums likely to reduce the time that is normally required for new team members to become productive
Answer:
Daily scrums provide the opportunity for the team members to think, reflect on, and adjust the work done on a project. This opportunity helps new team members to learn fast because of the interaction they share with experienced team members. This means that the experience of other team members rob off on the new team members during timeboxed scrums, making them to become more productive.
Explanation:
Scrum is an agile project framework or approach that requires team members to meet regularly to solve emerging problems, reflect on their work through a process of iteration, and map out ways to accomplish tasks quickly. Tasks are also prioritize based on the value that they contribution to the project development.
Classify each of the ofllowing as either a policy instrument or an intermediate target, and explain why?
a. The ten-year Treasury bond rate
b. The monetary base
c. Ml
d. The fed funds rate
Answer: The answers are given below
Explanation:
An intermediate target is a variable this isn't controlled directly under the central bank, but one that has a quick response to policy actions. e.g money supply.
A policy instrument is a tool used to manipulate a variable in the economy and achieve a desired objective. e.g. tax rates, interest rates, subsidies etc.
a. The ten-year Treasury bond rate
It is an intermediate target because isn't controlled directly under the central bank but can be linked to an activity in the economy.
b. The monetary base
This is a policy instrument because used to manipulate a variable in the economy and achieve a desired objective.
c. Ml
This is an intermediate target as it cannot be affected directly by the Federal tools.
d. The fed funds rate
This is a policy instrument as it can be affected directly by Fed tools.
Under monopolistic competition, a firm's ability to influence the price of the product it sells arises because:
Answer:
The answer is because of product differentiation
Explanation:
Under monopolistic competition, the sellers' product are differentiated from one another and this gives the sellers the power to influence prices.
Like perfect competition, the market has many buyers and sellers, free entry and exit but the major difference between the two is the product differentiation.
For example in the mobile phone market, we have Samsung, Infinix, Iphones, Oppo etc. They are all mobile phones but they are different from from one another in the aspect of specifications. iPhones usually charge highest. There is customers' loyalty in this market.
find the maximum profit and number of untis that must be produced and sold in order to yield the maximum profit
Brainly.com
What is your question?
OUR OFFER
FOR PARENTS
FOR TEACHERS
HONOR CODE
thanhnguyen138
03/27/2020
Business
College
+10 pts
Answered
Find the maximum profit and the number of units that must be produced and sold in order to yield the maximum profit. Assume that revenue, Upper R left parenthesis x right parenthesisR(x), and cost, Upper C left parenthesis x right parenthesisC(x), are in thousands of dollars, and x is in thousands of unitsR(x)=6x-2x^2 , C(x)=x^3-3x^2+4x+1The production level for the maximum profit is about ____ units.
1
SEE ANSWER
ADD ANSWER
thanhnguyen138 is waiting for your help.
Add your answer and earn points.
Answer
1.0/5
0
alizaybhatti43
Ambitious
881 answers
43.2K people helped
Answer:
The production level for the maximum profit is about 1215 units.
Explanation:
The given income is R(x)= 6x-2x2 and the given cost is C(x)= x3-3x2+4x+1 where x is the quantity of units created and sold.
At that point the benefit work is P(x) = R(x)- C(x) = (6x-2x2) – (x3-3x2+4x+1) = - x3+x2+2x - 1.
The benefit will be most extreme when dP/dx is 0 and d2P/dx2 is negative. Here, dP/dx = - 3x2+2x+2 and d2P/dx2 = - 6x+2 .
On utilizing the quadratic recipe, on the off chance that dP/dx = 0, at that point x = [ - 2 ± √{ 22-4*(- 3)*2]/2*(- 3) = [-2 ± √(4+24)]/(- 6) = (2± √ 28)/6 = (1 ± √7)/3 . Since x can't be negative, consequently x = (1 + √7)/3 = 1.215250437 , state 1.215 ( on adjusting to the closest thousandth).
Likewise, d2P/dx2 is negative when x = 1.215, at that point .
Subsequently, the benefit will be greatest when 1215 units are created and sold.
The creation level for the greatest benefit is around 1215 units.
Although debt financing is usually the cheapest component of capital, it cannot be used in excess because
Answer:
C. the financial risk of the firm may increase and thus drive up the cost of all sources of financing.
Explanation:
As we know that debt financing is the cheapest source of capital but it could not be used in excess as it rises the financial risk in terms of high interest payments made to the debt holders
Also at the time of recession, the firm is not able to earn properly so it would be very difficult to make the fixed payments i.e. interest and principal payments
Also the weighted average cost of capital also rises in the case when there is an excess of debt financing
Hence, the option c is correct
White House officials often exude more confidence than they actually feel about future prospects for the economy. Why might this be a good strategy? Are there any dangers inherent in it?
Answer:
Following are the answer to this question:
Explanation:
It is a great approach since it encourages and guarantees enhanced investment in infrastructure. Even so, a reduction in the possible future investment funds caused by government confidence will also result in business mistakes or failures throughout the investment process, and that's why the officials of the White House frequently exude a greater level of pride in prospects for the economic system than they feel.
Blazer Sports Store is preparing to pay its quarterly dividend of $7.75 a share this quarter. The stock closed at $105.64 a share today. What will the ex-dividend stock price be if the relevant tax rate is 19 percent and all else is held constant
Answer:
$99.3625
Explanation:
The computation of ex-dividend stock price is shown below:-
Ex-dividend stock price = Stock closing price - Stock dividend × (1 - tax rate)
= $105.64 - $7.75 × (1 - 19%)
= $105.64 - $7.75 × 0.81
= $105.64 - 6.2775
= $99.3625
Therefore for computing the ex-dividend stock price we simply applied the above formula.
Mia has an outside basis of $50,000 in the Brimstone Partnership, including her share of liabilities of $25,000. In a liquidating distribution, she receives cash of $10,000 and inventory worth $8,000 (inside basis to Brimstone of $20,000). What is Mia's recognized gain or loss on the liquidation and basis in the property received
Answer:
$0 gain or loss
Cash basis $10,000
Inventory $15,000
Explanation:
Calculation for Mia’s recognized gain or loss on the liquidation and basis in the property received
First step is for us to calculate for the outside adjusted basis
Using this formula
Outside adjusted basis=Outside basis - Liabilities
Let plug in the formula
Outside adjusted basis=$50,000 - $25,000
Outside adjusted basis= $25,000
Second step is to calculate for theGain or loss
Using this formula
Gain/Loss=Outside adjusted basis- Cash received - Inside basis
Let plug in the formula
Gain/Loss =$25,000 -$10,000 -$20,000
Gain/Loss = ($5,000)
Based on the above calculation for Mia Gain/loss in which Mia had ($5,000) this means there is $0 gain or loss
Third step is to calculate for the Inventory
Using this formula
Inventory = Cash + Gain/Loss
Let plug in the formula
Inventory =$10,000 + $5,000
Inventory = $15,000
In summary Mai will have $0 gain or loss, the Cash basis amount will be $10,000 while the Inventory amount will be $15,000
On January 9, a company pays $5,910 for salaries and wages of which $2,870 was reported as Salaries and Wages Payable on December 31. Give the entry to record the payment. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)
Answer: Please find answer in explanation column
Explanation:
Journal entry to record payment of Salaries and wages
Dates Account title Debit Credit
Jan 9 Salaries and Wages Payable $2,870
Salaries and Wages Expenses $3,040
Cash $5,910
Calculation
Salaries and wages Expense = Cash -Salaries and Wages Payable
= $5,910- $2,870=$3,040
Pearl Corporation issues $380,000 of 9% bonds, due in 10 years, with interest payable semi-annually. At the time of issue, the market rate for such bonds is 10%. Compute the issue price of the bonds.
Answer:
the issue price of the bonds is $356,321.80.
Explanation:
The issue price of the bonds, PV can be determined using a Financial Calculator as follows :
Pmt = ($380,000 × 9%) ÷ 2 = $17,100
n = 10 × 2 = 20
P/yr = 2
YTM = 10%
Fv = $380,000
PV = ?
The issue price of the bonds, PV is $356,321.80
An estimate of an asset's value to the company, calculated by discounting the future cash flows from the investment at the project's required rate of return and then subtracting the initial amount of the investment, is known as:
Answer: Net present value
Explanation:
The net present value are series of cash flows made by an economic agent that occurs at different times and it is based on the discount rate as it denotes time value of money.
It is the estimate of an asset's value to the company, calculated by discounting the future cash flows from the investment at the project's required rate of return and then subtracting the initial amount of the investment.
Creative Sound Systems sold investments, land, and its own common stock for $31 million, $15.1 million, and $40.2 million, respectively. Creative Sound Systems also purchased treasury stock, equipment, and a patent for $21.1 million, $25.1 million, and $12.1 million, respectively. What amount should the company report as net cash flows from investing activities
Answer:
Net cash provided from Investing activities is 8,900,000
Explanation:
Statement of cash flows from investing activities
Amount$
Sale of investment 31,000,000
Sale of land 15,100,000
Purchase of equipment -25,100,000
Purchase of patents -12,100,000
Net cash provided from 8,900,000
Investing activities
The combination of firm-specific and valuable _______________ and firm-specific ______________ allows a company to possess a core competency.
Answer:
Resources; productivity.
Explanation:
Core competency can be defined as the set of skills, experience and technical know-how, which an organization possesses and distinguishes them from their competitors (rivals) in the same industry. Basically, measuring the core competence of an organization is beyond its financial assets or physical value. Core competency of an organization is rather the defining capabilities and resources which gives it a competitive advantage over its rivals in the same industry.
Hence, the combination of firm-specific and valuable resources and firm-specific productivity allows a company to possess a core competency. A company that possesses core competence are characterized by;
1. They are not so easy to imitate or not imitable by their rivals in the industry.
2. They have a very large market capital share and as such are able to diversify.
3. A core competent company should be able to provide significant satisfaction or benefits to the consumers of its products.