Answer: the industry competitors
Explanation:
A business model simply refers to the strategy that a company will use in making profit and achieving its goals.
The components of the business model of a company include the strategic resources, core strategy, partnership network, and the customer interface.
It should be noted that the industry competitors isn't among the components.
LB Limited is a price taker in a perfectly competitive market. It produces and sells canned spices. The following information is available for the company: Current output 5000 units Current market price $3 Total cost $25,000 Marginal cost $3 Total variable cost $20,000 What is the best action for LB limited? a) Operating in the short run and in the long run b) Increase output in the short run and in the long run c) Shut down in the short run and exit in the long run d) Shut down in the short run and produce in the long run e) Reduce output in the short run and increase output in the long run
Answer:
The answer is "Option c".
Explanation:
In this question c, the short-term Shut - down as well as the long-term departure. Since overall revenues are lower than the entire variable cost, it means that a producer is not capable of covering the variable cost, thus stopping the output in the short term and the business leaving it market on account of losses inside the long term.
how does minimum wage influence the demand and supply in the labour market?
When an organization assigns a new employee a mentor and takes an employee out to lunch to meet other members of the organization during their first week on the job, this would most strongly be an example of:
Answer:
Connection.
Explanation:
An employee can be defined as an individual who is employed by an employer of labor to perform specific tasks, duties or functions in an organization.
Basically, an employee is saddled with the responsibility of providing specific services to the organization or company where he is currently employed while being paid a certain amount of money hourly, daily, weekly, or monthly depending on the contractual agreement between the two parties (employer and employee).
Generally, when a new employee working for an organization is assigned a mentor and given the opportunity to go out on a lunch to meet other members working in the organization during their first week on the job, this would most strongly be an example of connection.
Connection simply means creating a favorable and mutually beneficial meetings between two or more individuals such as the employees working in an organization. Thus, it avails the employees the opportunity to socialize and know each other better while stimulating a good work relationship.
January 400 $ 31,000 February 800 $ 37,000 March 1,600 $ 49,000 April 2,400 $ 61,000 Using the high-low method, the estimated total fixed cost is
Answer:
$25,000
Explanation:
The computation of the estimated total fixed cost is shown below:
But before that the variable cost per unit is
= ($61,000 - $31,000) ÷ (2,400 - 400)
= $30,000 ÷ 2,000
= $15
Now the estimated fixed cost is
= $61,000 - $15 × 2,400
= $61,000 - $36,000
= $25,000
____________ is a performance assessment in which companies identify which customers are leaving and measuring the rate at which they are leaving.
Refer to the following information about the Finishing Department in the Gallagher Factory for the month of June. Gallagher Factory uses the FIFO method of inventory costing.
Beginning Work in Process inventory:
Physical units..... 5000
% complete for materials 70%
% complete for conversion costs 25%
Materials cost from May 7350
Conversion costs from May 3125
Product started:
Physical units 44000
Ending Work in Process inventory:
Physical units 4000
% complete for materials 40%
% complete for conversion costs 10%
Manufacturing costs for June:
Materials 96975
Conversion costs 79470
Compute equivalent units for direct materials for June.
Answer:
the equivalent units for direct material is 43,100 units
Explanation:
The computation of the equivalent units for direct material is shown below:
= Ending work in process units + units started and completed + opening work in process units
= 40% of 4,000 units + (44,000 - 4,000) + 30% of 5,000
= 1,600 units + 40,000 units + 1,500 units
= 43,100 units
hence, the equivalent units for direct material is 43,100 units
A company has an overhead application rate of 124% of direct labor costs. How much overhead would be allocated to a job if it required total labor costing $24,000?
Answer:
$29,760
Explanation:
Overhead application rate = 124% of direct labor cost
The required total labor costing = $24,000
Total overhead applied = Overhead application rate * $24,000
Total overhead applied = 124% * $24000
Total overhead applied = $29,760
Spirit Company's sales budget shows quarterly sales for the next year as follows: Unit sales Quarter 1.......... 10,000 units Quarter 2.......... 8,000 units Quarter 3.......... 12,000 units Quarter 4.......... 14,000 units Company policy is to have a finished goods inventory at the end of each quarter equal to 20% of the next quarter's sales. Budgeted production for the second quarter of the next year would be:
Answer:
8,800 units
Explanation:
Calculation to determine what Budgeted production for the second quarter of the next year would be:
Second Quarter - Sales 8,000
Less: Beginning Finished Goods
(8,000 x 20%) (1,600)
Add: Desired Ending Finished Goods (12,000 x 20% ) 2,400
Budgeted Production 8,800 units
(8,000-1,600+2,400)
Therefore Budgeted production for the second quarter of the next year would be:8,800 units
Suppose that $1 lottery tickets have the following probabilities and values: 1 in 5 to win a free ticket (worth $1), 1 in 100 to win $5, 1 in 100,000 to win $1000, and 1 in 10 million to win $1 million. What is the expected value of a lottery ticket to the consumer
Answer:
$0.36
Explanation:
Expected value of the lottery ticket = (p1 x a1) + (p2 x a2) + (p3 x a3) + (p4 x a4)
p1 = probability of winning $1 = 1/5 = 0.2
a1 = $1
p2 = probability of winning $5 = 1/100 = 0.01
a2 = $5
p3 = probability of winning $1000 = 1/100,000 = 0.00001
a3 = $1000
p4 = probability of winning $1 million = 1/10,000,000 = 0.0000001
a4 = $1 million
(0.2 x 1) + (0.01 x 5) + (0.00001 x 1000) + (1,000,000 x 0.00001) = $0.36
The price elasticity of demand for a good is likely to be elastic __________.
A. the budget share spent on the good.
B. the number of close substitutes for the good.
C. the available time during which consumers can adjust.
D. all of the above.
Answer:
The price elasticity of demand for a good is likely to be elastic :
A. the greater the proportion of budget share spent on the good.
B. the greater the number of close substitutes for the good.
C. the longer the available time during which consumers can adjust.
Explanation:
Price elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.
Price elasticity of demand = percentage change in quantity demanded / percentage change in price
If the absolute value of price elasticity is greater than one, it means demand is elastic. Elastic demand means that quantity demanded is sensitive to price changes.
Demand is inelastic if a small change in price has little or no effect on quantity demanded. The absolute value of elasticity would be less than one
Demand is unit elastic if a small change in price has an equal and proportionate effect on quantity demanded.
Infinitely elastic demand is perfectly elastic demand. Demand falls to zero when price increases
Perfectly inelastic demand is demand where there is no change in the quantity demanded regardless of changes in price.
Price is more elastic in the long run than in the short run because consumers have more time to search for suitable alternatives
The more close substitutes a good has, the more elastic its demand. This is because if price is increased, consumers can easily shift to the consumption of an alternative product
the greater the proportion of budget share spent on the good, the more elastic the demand for the good
You are annoyed by receiving identical marketing messages from an online shopping site you have used. If the company wishes to maintain a good relationship with you, which of the following CRM components needs to be addressed to improve customer satisfaction?
a. Privacy.
b. Mining social media inputs.
c. Cleaning up the data.
d. Customers expect more.
Answer: c. Cleaning up the data.
Explanation:
Cleaning up data in regards to Customer Relationship Management (CRM) refers to making changes to the messages sent to customers such that they are different or at the very least offer some new information that the customer has not seen before.
It is very important to do this because people do not like receiving the same messages over and over again as this could be considered spamming. This would lead to them unsubscribing from the service.
Wagner Assets Management Group holds 3 stocks in their investment portfolio. The amount of the investment and beta of each stock is listed below.
Stock Investment Beta
A $ 200,000 1.50
B 300,000 ??
C 500,000 1.20
If the beta of the portfolio is 0.75, what is the beta of stock B?
Answer:
-0.5
Explanation:
Stock Investment (W) Beta (B) W*B
A 200,000 1.50 300,000
B 300,000 X 300,000X
C 500,000 1.20 600,00
1,000,000 900,000+300,000X
Using the formula of Beta of Portfolio to find out X
0.75 = 900,000 + 300,000X / 1,000,000
0.75 * 1,000,000 = 900,000 + 300,000X
750,000 = 900,000 + 300,000X
750,000 - 900,000 = 300,000X
-150,000 = 300,000X
X = -150,000 / 300,000
X = -0.5
So, the beta of stock B is -0.5.
as students, what plan can you suggest to prevent the spread of these observable practices in your community
Answer:
[tex]\\ \dashrightarrow \:\bf \red{ ( 0.2×336)× (t-30) = (0.5×4.2×10³×30)}[/tex]
Quad Enterprises is considering a new three-year expansion project that requires an initial fixed asset investment of $2.32 million. The fixed asset will be depreciated straight-line to zero over its three-year tax life, after which time it will be worthless. The project is estimated to generate $1.735 million in annual sales, with costs of $650,000. The project requires an initial investment in net working capital of $250,000, and the fixed asset will have a market value of $180,000 at the end of the project. The tax rate is 21 percent.
a) what is the projects year 0,1,2,3 net cash flow?
b) if the required return is 12 percent, what is the project's NPV?
Answer:
Quad Enterprises
a. The project's net cash flow:
Year 0 -$2.32 million
Year 1 $857,150
Year 2 $857,150
Year 3 $857,150
b. The project's NPV is -$261,126
Explanation:
a) Data and Calculations:
Initial cost of investment in fixed asset = $2.32 million
Estimated annual sales = $1,735,000
Estimated annual costs = 650,000
Before-tax income $1,085,000
Company tax (21%) 227,850
Net income/cash flow $857,150
a. The project's net cash flow:
Year 0 -$2.32 million
Year 1 $857,150
Year 2 $857,150
Year 3 $857,150
b. The project's NPV, if the required return is 12%:
Period Cash Flows
Annuity Factor for 3 years at 12% = 2.402
Year 0 -$2.32 million -$2.32 million
Year 1 $857,150
Year 2 $857,150
Year 3 $857,150 $2,058,874 ($857,150 * 2.402)
NPV = -$261,126
Consider using income approach to compute US GDP. Suppose there is a Mexican citizen working at a US firrm located in US, and earned wages of $500. There is also a US citizen that earns wages of $800 in a Mexican firm located in Mexico. If US GNP is $3000, what is US GDP?
Answer:
According to the information in the text, the US GDP would be $500, because GDP only accounts for all the goods and services produced within the country, or under the income approach, for all the forms of income (rent, dividends, wages) earned by nationals or foreigners in domestic soil.
In this case, the Mexican citizen working in the US and earning $500 adds the same amount to US GDP of that year regardless of his nationality.
Suppose a country has government expenditures of $3,500, taxes of $2,200, consumption of $9,000, exports of $2,500, imports of $2,700, transfer payments of $750, capital depreciation of $800 and investment of $3,000. GDP equals:_______.A. $24,450B. $11,550C. $15,300D. $20,700
Answer:
C. $15,300
Explanation:
Calculation to determine what GDP equals:
Using this formula
GDP = Consumption + Investment spending + Government Spending + Net Export
Where,
Net Export = Export - Import
Let plug in the formula
GDP=$9,000 + $3,000 + $3,500 + ($2500 - $2700)
GDP= $15,300
Therefore GDP equals:$15,300
Camden Biotechnology began operations in September 2013. The following selected transactions relate to liabilities of the company for September 2013 through March 2014. Camden's fiscal year ends on December 31.Its financial statements are issued in April.2013a. On September 5, opened checking accounts at Second Commercial Bank and negotiated a short-term line of credit of up to $15,000,000 at the bank's prime rate (10.5% at the time). The company will pay no commitment fees.b. On October 1, borrowed $12 million cash from Second Commercial Bank under the line of credit and issued a five-month promissory note. Interest at the prime rate of 10% was payable at maturity. Management planned to issue 10-year bonds in February to repay the note.c. Received $2,600 of refundable deposits in December for reusable containers used to transport and store chemical-based products.d. For the September-December period, sales on account totaled $4,100,000. The state sales tax rate is 3% and the local sales tax rate is 3%. (This is a summary journal entry for the many individual sales transactions for the period.)e. Recorded the adjusting entry for accrued interest.2014f. In February, issued $10 million of 10-year bonds at face value and paid the bank loan on the March 1 due date.g. Half of the storage containers covered by refundable deposits were returned in March. The remaining containers are expected to be returned during the next six months.Required:1. Prepare the appropriate journal entries for these transactions.2. Prepare the current and long-term liability sections of the December 31, 2013, balance sheet. Trade accounts payable on that date were $252,000.
Answer:
Cash (Dr.) $12,000,000
Short term notes payable (Cr.) $12,000,000
Cash (Dr.) $2,600
Liability of refundable (Cr.) $2,600
Interest Expense (Dr.) $250,000
Interest Payable (Cr.) $250,000
Accounts receivable (Dr.) $4,100,000
Sales Revenue (Cr.) $3,977,000
Sales Tax Payable (Cr.) $123,000
Cash (Dr.) $10,000,000
Bond Payable (Cr.) $10,000,000
Explanation:
Liability Schedule 2013,
Accounts Payable $252,000
Current Portion of notes payable $2,000,000
Interest Payable $250,000
Sales tax Payable $123,000
Liability for refundable deposit $2,600
Total Current Liability $2,627,600
A company just starting business made the following four inventory purchases in June:
June 1 150 units $ 390
June 10 200 units 585
June 15 200 units 630
June 28 150 units 510 $
2,115
A physical count of merchandise inventory on June 30 reveals that there are 250 units on hand. Using the FIFO inventory method, the amount allocated to cost of goods sold for June is:________
a. $683.
b. $825.
c. $1,290.
d. $1,432.
Answer:
c. $1,290
Explanation:
FIFO assumes that the units to arrive first are the first to be sold. This means that the cost of sales is based earlier prices.
Step 1 : Units Sold
Units Sold =Units available for sale - Units in Inventory
= 700 - 250
= 450
Step 2 : Cost of Sales
Cost of Sales = $390 + $585 + 100/200 x $630
= $390 + $585 + $315
= $1,290
Using the FIFO inventory method, the amount allocated to cost of goods sold for June is $1,290
Brinker accepts all major bank credit cards, including First Savings Bank's, which assesses a 5% charge on sales for using its card. On May 26, Brinker had $6,200 in First Savings Bank Card credit sales. What entry should Brinker make on May 26 to record the deposit
Answer:
Date Account titles and explanation Debit Credit
May 20 Cash ($6,200 - $310) $5,890
Credit card expenses ($6,200*5%) $310
Sales $6,200
(To record the deposit)
Knoll Company started Year 2 with a $1,000 balance in its Cash account, a $200 balance in its Supplies account and a $1,200 balance in its common stock account. During Year 2, the company experienced the following events:_______.
(1) Paid $600 cash to purchase supplies.
(2) Physical count revealed $50 of supplies on hand at the end of Year 2. Based on this information the amount of supplies expense reported on the Year 2 income statement is:_______.
Answer:
$750
Explanation:
Calculation to determine what the amount of supplies expense reported on the Year 2 income statement is:
Using this formula
Supplies expense=Balance in Supplies account
+Cash paid to purchase supplies)-Supplies on hand
Let plug in the formula
Supplies total amount =($200 + $600) -$50
Supplies total amount=$800-$50
Supplies total amount=$750
Therefore the amount of supplies expense reported on the Year 2 income statement is:$750.
When using the Time-Cost Critical Path Method (CPM) Scheduling Model to "crash" a project, you know when you have arrived at the optimal solution when _____.
a) You have found the critical path
b) You have run out of crash time
c) You no longer have a linear relationship with costs
d) You have reached the minimum total cost
e) You have run out of crash costs
Answer:
a) You have found the critical path
Explanation:
The Time Cost Critical Path Method(CPM) in project management works by adding up/calculating duration of all tasks/activities in the project in order to find the longest time possible to complete the project. It is a method to estimate project duration using a flow chart that shows a network of tasks and estimated duration(start and finish times). The critical path is reached when project time is at the maximum/longest time of completion.
) An organization that evaluates the performance of automobiles wants to predict the performance of used cars (cars that are more than one year old). The objective is to predict COST, the maintenance cost (in dollars) of used cars for the first year after they are purchased by a new owner. The explanatory variable is:
Answer:
The explanatory variable is:
period of usage.
Explanation:
As the explanatory variable, the period of usage of the car does not depend on the maintenance cost or its performance. Instead, the maintenance cost and the performance of the automobile, which are response or dependent variables, depend on the period of usage. Period of usage (time) is always an independent or explanatory variable. In this organization, the performance of the automobile does not depend on the maintenance cost, but the two dependent variables (performance and maintenance cost) depend on the period of usage.
According to the authors, price controls on water, designed to ensure that lower income people can afford water, have resulted in
Answer: a. a reduced supply of usable water
Explanation:
I am unsure as to the text being referred to but this should be the correct answer.
The market allocates resources efficiently based on price. This means that it sets the price such that people who can afford the goods are able to buy them. This ensures that not everybody gets the good and the good can be sustainably used.
If the government imposes price controls on a good as they did here. The market would be unable to efficiently allocate the water so more people than before would be able to access it. This would lead to the supply being used up so there will be a reduced supply of the good which in this case is water.
Suppose you invest every quarter, for 20 years, in an annuity that pays 5% interest, compounded quarterly. At the end of the 20 years, you have $100,000. How much of this total is interest
Answer: $41,228
Explanation:
The first step is to determine the amount that was being invested, in other words, the annuity.
First find the future value of annuity factor:
= 1 * Future value of annuity formula
= 1 * ( ( 1 + rate)^ number of periods) - 1) / rate
Rate = 5% / 4 = 1.25%
Number of periods = 20 * 4 quarters = 80 quarters
Annuity factor = 1 * ( ( 1 + 1.25%) ⁸⁰ - 1) / 1.25%
= 136.118795
The annuity is:
Future value of annuity = Annuity * Future value of annuity factor, 80 years, 1.25%
100,000 = Annuity * 136.118795
Annuity = 100,000 / 136.118795
= $734.65
The interest is:
= Future value of annuity - (Annuity * number of periods)
= 100,000 - (734.65 * 80)
= $41,228
Suppose advances in computer technology lead to a surge in worker productivity. In the long run, output will ________ and the price level will ________.
Answer:
increase; decrease.
Explanation:
Technology can be defined as a branch of knowledge which typically involves the process of applying, creating and managing practical or scientific knowledge to solve problems and improve human life. Technologies are applied to many fields in the world such as medicine, information technology, cybersecurity, engineering, environmental etc.
Generally, technology has impacted the world significantly and positively as it has helped to automate processes, increased efficiency and level of output with little or no human effort.
Assuming advances in computer technology led to a surge in the level of productivity by the workers working in a company. In the long run, output will increase and the price level will decrease.
Assume that you purchase a 6-year, 8% certificate of deposit for $1,000. If interest is compounded annually, what will be the value of the certificate when it matures
Answer:
$ 1,586.8743
Explanation:
Calculation to determine what will be the value of the certificate when it matures
Compounded annually
Principal P= 1000
Rate r=0.08
Period n = 6
Using this formula
A = P (1+r)^n
Let plug in the formula
1000 (1.08)^6
= 1586.8743
Therefore what will be the value of the certificate when it matures is $1586.8743
The life of a sole proprietorship is limited. A sole proprietor can generally raise large sums of capital quite easily. Transferring ownership of a sole proprietorship is easier than transferring ownership of a corporation. A sole proprietorship is taxed the same as a C corporation. A sole proprietorship is the most regulated form of organization.
Answer: The life of a sole proprietorship is limited.
Explanation:
A sole proprietorship simply means a one man business where the owner manages, controls the business and enjoys the profits alone.
A sole proprietorship has a limited liability as its life is limited. Normally, the death of the owner would result in the end of the business and the owner bears the loss alone.
A A sole proprietorship is not taxed the same as a C corporation and it isn't the most regulated form of organization.
Dehner Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Total direct labor-hours 85,000 Total fixed manufacturing overhead cost $ 306,000 Variable manufacturing overhead per direct labor-hour $ 6.00 Recently, Job P951 was completed with the following characteristics: Number of units in the job 25 Total direct labor-hours 100 Direct materials $ 700 Direct labor cost $ 8,500 The total job cost for Job P951 is closest to:
Answer:
Total job cost $10,160
Explanation:
The computation of the total job cost is shown below:
Predetermined fixed overhead rate
= total fixed manufacturing overhead expense ÷ total direct labor hours
= $306,000 ÷ $85000
= $3.60 Per hour
Now
Particulars Cost
direct materials $700
Direct labor cost $8500
Fixed manufacturing overhead cost (100 × 3.60) $360
Variable manufacturing overhead cost (100 × 6.00) $600
Total job cost $10,160
One year ago, Richard purchased $1,260 worth of Double GG Corporation common stock for $42 per share. During the year, Richard received two dividend payments, each equal to $.05 per share. The current market value of the stock is $44 per share. What yield did Richard earn on his investment during the year
Answer:
Yield earned by Richard on his investment during the year is 5%.
Explanation:
This can be calculated as follows:
Number of shares purchased = Worth of common stock one year ago / Price per share one year ago = $1,260 / $42 = 30 shares
Total dividend received during the year = Number of shares purchased * Dividend per share * 2 = 30 * $0.05 * 2 = $3
Current worth of common stock = Number of shares purchased * Current market value per share = 30 * $44 = $1,320
Yield earned during the year = (Current worth of common stock - Worth of common stock one year ago + Total dividend received during the year) / Worth of common stock one year ago = ($1,320 - $1,260 + $3) / $1,260 = 0.05, or 5%
Therefore, yield earned by Richard on his investment during the year is 5%.
How does the current organizational and operational structure, including the system of corporate governance, benefit the firm
Answer:
The organizational and operational structure of a company must be aligned with the core values and objectives of the business, as it impacts and determines the relationships and culture in the organizational environment.
Therefore, when there is an organizational structure where the hierarchical positions and the decision-making system match the way the company operates in the market, it is correct to say that such organization has a culture that enables its development and the correct progress of the business. Combined with corporate governance, which is a system of inspection, control and incentive to interested parties, the company will benefit from being well structured, positioned and oriented to achieve quality and continuous process improvement.