Answer:
a major trading partner's economic slowdown
Explanation:
Unemployment is the main concern in Keynesian framework. It emphasis on the fight against the Unemployment and Inflation. The only event that major trading partner's economic slowdown will only effect the unemployment but not inflation. Decrease in prices and domestice investment is not causes of recession in the economy.
According to the Keynesian framework, a decrease in a major trading partner's export prices may cause a recession, but not inflation.
Explanation:According to the Keynesian framework, a decrease in a major trading partner's export prices may cause a recession, but not inflation. This is because when a major trading partner's export prices decrease, it leads to a decrease in the demand for imported goods, which reduces aggregate demand in the home country. This decrease in aggregate demand can lead to a recession, but it does not directly cause inflation.
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4. Which of the following is not an accurate statement about the debt problem in
LDCs?
A In some countries, debt is greater than GDP.
O
B
The rise in value of the U.S. dollar caused a rise in debt.
O
C
Debt holders often seize government property when loans are not
repaid.
O
D
A rapid increase in the price of oil caused a great rise in debt.
Answer:
The correct answer is C
Explanation:
The problem of debt in LDC, in the medium or even long term, the source of the future credit for the imports of the capital goods and such credit has been intrinsic to the fast as well as rapid growth in a economic manner and their demand for the exports from the world of the industralized.
So, the one statement which is not correct is that the debt holders usually seize the government property, if the loans are not repaid.
Although the merger between Gray Enterprises and Horack Manufacturing is expected to be a "win-win" that will increase both companies' market share and save jobs, employees are fearful because they don't know what to expect. Which technique would be most useful in overcoming their resistance to change?
Answer:
Facilitation and support
Explanation:
Facilitation and support is a technique used by managers when trying to make employees feel at ease about a certain change as a result of adjustments made the higher authority. It is also used in circumstances where people of different backgrounds, abilities and interests are to work together.
In facilitation and support of employees, the manager puts the employees into groups to work together and also support them by offering help to them along the line, whenever it is needed. This helps to remove or eliminate any uneasiness that employees might harbor towards the change during the period of transitioning like in the question.
I hope this helps.
After many years of doing his laundry at a public laundromat, Brett was glad to move into an apartment with washer and dryer hookups. he planned to buy a washer and dryer to save time and money. Which of the following needs would the purchase satisfy?utilitarian needs T/F
Answer:
I believe the question is asking for a T/F answer.
The answer is T (True)
Explanation:
Under the "Utilitarian consumption," a utilitarian need is something that is functional to a person.
Purchasing the washer and the dryer is a very practical option, since Brett has been doing his laundry at the laundromat for many years. If he buys the washer and dryer, he'd be able to save more time and money so this means that the purchase is practical and a necessity for him. This will satisfy his utilitarian need.
The utilitarian need is an opposite to the "Hedonic consumption" wherein the hedonic need allows the person to purchase products that are thrilling and fun.
Thus, this explains the answer.
Many people who want to start investing for their future want to start today, which implies an annuity stream that is paid at the beginning of the period. Beginning-of-period cash flows are referred to as:_______.
a. ordinary annuities.
b. annuities due.
c. perpetuities.
d. present values.
Answer:
b. annuities due
Explanation:
Annuities due -
It refers to the amount which need to be paid at the regular interval of time , just before the beginning of the new phase , is referred to as annuities due .
The most common example of annuities due is rent , which need to be paid after every month in the starting .
Hence , from the given information of the question ,
The correct option is annuities due.
All of the following are measures of GDP except the total: a. income from all production in the economy. b. expenditures on all final goods and services produced. c. expenditures of all businesses in the economy. d. value of all final production.
Answer:
c. expenditures of all businesses in the economy.
Explanation:
GDP is the sum of all final goods and services produced in an economy within a given period which is usually a year.
GDP can be calculated in 3 ways:
1. Expenditure approach : consumption spending + Investment spending + Government Spending + Net Export
expenditures of all businesses in the economy is used in the calculation of GDP using the expenditure approach.
2. Income approach: it is the sum of all income from all production in the economy.
3. Value added approach: it is sum of the value of all final production.
I hope my answer helps you
Suppose that the rise in the price of coffee beans resulted in a large decrease in the supply of Starbucks coffee while the lower prices by its competitor resulted in only a small decrease in demand. The net impact would be a:________.
Answer:
A price that is higher and lower quantity of Starbucks coffee
Explanation:
There was only a small decrease in demand for Starbucks coffee, and demand has been greatly decreased.
The demand for Starbucks coffee will remain high, supply will be limited and this will push the price high due to scarcity of the coffee.
Final answer:
The rise in the price of coffee beans and a decrease in demand results in a significant decrease in Starbucks coffee supply and a small decrease in demand. This leads to a reduced equilibrium quantity, while the impact on the equilibrium price is ambiguous and dependent on the relative shifts in supply and demand curves.
Explanation:
When we examine the impact of price changes on supply and demand for Starbucks coffee, we need to consider how both shifts in the supply curve and demand curve can affect the market equilibrium. A rise in the price of coffee beans leads to a decrease in supply as the cost of production increases, and this can be shown by a leftward shift in the supply curve. Conversely, a smaller decrease in demand from competitors' lower prices would yield a small leftward shift in the demand curve. When both supply and demand decrease, this simultaneously causes the equilibrium quantity of coffee to fall. However, the net impact on the equilibrium price is uncertain and depends on the relative magnitudes of the shifts in supply and demand curves.
For instance, if the supply curve shifts more than the demand curve, the equilibrium price would likely rise. But if the demand curve shifts more significantly than the supply curve, the equilibrium price could decrease. If both curves shift by equal amounts, the equilibrium price may remain unchanged. Given the more considerable decrease in Starbucks coffee supply and a smaller decrease in demand, the net impact would likely be a reduction in the equilibrium quantity and an ambiguous change in the equilibrium price.
Coercive Acts Committees of Correspondence direct tax Indirect tax A. colonial extralegal shadow governments that convened to coordinate plans of resistance against the British B. Set of 4--passed by Lord North to punish Massachusetts for destroying the tea and refusing to pay for the damage C. imposed on businesses rather than directly on consumers D. consumers pay to an entity rather than through merchants' higher prices 4 points
Answer:
I believe that two different questions have been mixed into one:
Coercive acts:
B) Set of 4 ACTS passed by Lord North to punish Massachusetts for destroying the tea and refusing to pay for the damage: THEY INCLUDED ADMINISTRATION OF JUSTICE ACT, MASSACHUSETTS GOVERNMENT ACT, PORT BILL AND THE QUARTERING ACTCommittees of Correspondence:
A) colonial extralegal shadow governments that convened to coordinate plans of resistance against the BritishExplanation:
Massachusetts was the only colony that elected their own leaders since its charter allowed them more freedom than any other colony. After the Boston Tea Party, the British parliament decided to punish Massachusetts by sending their own governor and establishes severe penalties and laws. In a practical sense, the governor only ruled in Boston because the British were there, but the rest of Massachusetts remained extremely pro-independence and basically ruled itself as it had before.
When Maria, the keynote speaker at a major business leaders' conference, arrived in the middle of the night at the Ritz-Carlton, she was exhausted and her suit was wrinkled from her 10-hour plane trip. The night clerk found someone to dry clean Maria's suit and have it ready for her morning presentation. She has been a loyal Ritz-Carlton customer ever since. In this example, Ritz-Carlton demonstrated the macro strategy of
Answer:
customer excellence
Explanation:
The night clerk is not in charge of looking for dry cleaners, he is not Maria's personal assistant nor does he own or operate a dry cleaning service. So the fact that he did more than his job requires him to do, exemplifies how Ritz-Carlton's employees are committed to providing excellent customer service. That small extra effort can really make a difference.
If, as Johnny's income decreases, his demand for Upper T dash shirts increases, then for Johnny, Upper T dash shirts are _______.
a. an inferior good
b. a complement
c. a substitute
d. a normal good
Answer:
a. an inferior good
Explanation:
An inferior good is a good whose demand increases when income decreases and falls when income rises.
A normal good gas a positive relationship with income. Its demand increases when income rises and falls when income falls.
A substitute good is a good that can be used in place of another good.
A complement is a good that is demanded for together.
I hope my answer helps you
After completing the closing entries for Revenues and Expenses, the Income Summary account has a credit balance of $1,500. The journal entry to close out the $1,500 credit balance of Income Summary would be:_______.
Answer:
Debit Credit
Income Summary $1,500
Retained Earning $1,500
Credit Balance of income Summary account will be closed by a debit entry in this account. Transfer the balance to retained earning by credit entry to this account.
Final answer:
To close out a $1,500 credit balance in Income Summary, you would debit Income Summary and credit Retained Earnings or Owner's Equity for $1,500.
Explanation:
After completing the closing entries for Revenues and Expenses, if the Income Summary account has a credit balance of $1,500, the journal entry to close out this balance would be to debit the Income Summary account and credit the Retained Earnings account (for a corporation) or the Owner's Equity account (for a sole proprietorship) by the same amount. This action transfers the net income, or loss if the balance were a debit, into the appropriate equity account.
The journal entry would look like this:
Debit Income Summary $1,500
Credit Retained Earnings/Owner's Equity $1,500
Jim is CEO for a company that produces filing cabinets and office furniture. He uses when determining that in order to increase production by 20% next year, the company will need to hire 10 new employees.
Answer:
planning
Explanation:
Based on the information provided within the question it can be said that in this scenario Jim is using the function of planning in order to determine this. The planning management function focuses on thinking ahead in order to set things into motion so that everything functions accordingly and efficiently in the future. Which is what Jim is doing by stating that in order to increase the production by 20% like they need, they have to hire 10 new employees.
Marcus wants to have the deed to his new home recorded to protect his ownership rights. In order to record the deed, it must be notarized. Marcus must go before a notary public and verify the signing of the deed. The notary then signs the deed. The verification of Marcus' signature in the signing of the deed is known as:
A. Autograph
B. Attestation
C. Recording
D. Caveat Emptor
Answer:
B. Attestation
Explanation:
Attestation is the legal acknowledgement and verification of a document to ensure that due process have been followed.
It is the process of verification of documents to see if the basic requirements have been fulfilled and it all that is needed to be done, has been done
The verification of Marcus' signature in the signing of the deed is therefore known as attestation
Suppose that Criminal Carl breaks into Vince Victim's house, steals the TV and does terrible damage to the property. However, when the police tell Vince they have footage of Carl committing the crime, Vince no longer wants to press charges because he and Carl were friends when they were children. 8. If Vince does not want to bring an action against Carl, what will happen to the civil case? There will be no civil case The government will bring the civil case against Carl Carl will be forced to testify 9. If Vince does not want to bring an action against Carl, what will happen to the criminal case? There will be no criminal case The case will be remanded The government may decide to bring a criminal case against Carl. 10. True or false: A defendant can still go to jail even if a victim does not want to go forward with a case.
Answer:
8) In civil court, one person - "plaintiff" files a lawsuit against another person "defendant" because of a dispute or problem between them. If the defendant loses the case, the person may be ordered to pay money to the plaintiff or return the stolen property like in the case of Carl and Vince, but the defendant does not go to jail just for losing the case.
If Vince does not want to bring action against Carl, the civil case would therefore be dropped.
9) If Vince does not want to bring an action against Carl, there would be no criminal case against Carl from Vince but the criminal case may be brought on by the government (note that the police already have evidence in the form of a footage of Carl committing the crime) and in this case if found guilty, then Carl may go to jail or prison.
10) A defendant can still go to jail even if a victim does not want to go forward with a case - True.
Like in this case for instance the Prosecutor can present other evidence that show the theft occurred such as the footage and if Carl is found guilty “beyond a reasonable doubt” which is a very high standard, then he can be sentenced to jail
Explanation:
The answer to question 8 is: There will be no civil case.
The answer to question 9 is: The government may decide to bring a criminal case against Carl.
The answer to question 10 is: True.
In the legal system, a civil case is a private dispute between individuals or organizations. If Vince Victim, the plaintiff, decides not to pursue a civil case against Criminal Carl, then there is no one to bring the case to court. Civil cases are initiated by the party that has suffered harm or loss, and if that party chooses not to seek legal remedy, the case cannot proceed. Therefore, if Vince does not want to bring an action against Carl, there will be no civil case.
Criminal cases are different from civil cases in that they are brought by the government on behalf of the people, not by the individual victim. The decision to prosecute a criminal case lies with the government prosecutors, not with the victim. Even if Vince Victim does not want to press charges, the government can still decide to prosecute Carl based on the evidence, such as the footage of the crime. The government's role is to enforce the law and protect the public interest, so it may choose to proceed with a criminal case against Carl regardless of Vince's wishes.
It is true that a defendant can still go to jail even if the victim does not want to go forward with the case. This is because criminal cases are a matter of public interest, and the decision to prosecute lies with the government, not the victim. The government's role is to uphold the law and ensure that justice is served, which can include sending a defendant to jail if they are found guilty of a crime. The victim's desire not to participate in the case does not necessarily absolve the defendant of criminal liability. The prosecution can use other evidence to pursue the case, and if the defendant is found guilty beyond a reasonable doubt, they can be sentenced to jail time."
Rhonda Miller wants to take out a 4 year loan to purchase a car. What type of computation would she use to calculate her monthly payments?A. Present value of a single amountB. Future value of a single amountC. Simple interestD. Present value of an annuityE. Future value of an annuity
Answer: Option D is correct.
Rhonda Miller wants to assess how much using loan finance will cost in todays value. There are also finance lease facility available to fund the asset which means Rhonda must opt to the better option to save maximum. Calculating Present Value of annuity is the suitable option which helps in understanding how much this source of finance cost opposed to the use of finance lease.
Final answer:
Rhonda Miller would use the Present value of an annuity computation to calculate her monthly payments for a 4 year car loan, which takes into account the interest rate and time value of money.
Explanation:
Rhonda Miller wants to calculate her monthly payments for a 4 year car loan. The type of computation she would use for this is the Present value of an annuity. An annuity is a series of fixed payments made over a period of time, and the present value of an annuity calculation helps to determine the current value of those future payments when considering the time value of money and interest rates. For example, if Rhonda knows the amount of the loan, the interest rate, and the number of payment periods, she can use the present value of an annuity formula:
PV = Pmt x ((1 - (1 + r)^-n) / r)
Where PV is the present value, Pmt is the payment per period, r is the interest rate per period, and n is the total number of periods. By using this computation, Rhonda will be able to determine her monthly payments for the car loan.
A multiple-step income statement is thought to be more beneficial to financial users because of the revelation of important relationships. Which of the following is not separately identified on a multiple-step income statement?
A. Gross profit
B. Net income
C. Income taxes
D. Total costs and expenses
Answer:
D. Total costs and expenses
Explanation:
As we know that
The income statement reports the total revenues earned and the total expenses incurred for a particular period.
In the case of the multi-step income statement, the gross profit, net income, income tax expense has a separately identified rather show it as total cost and expenses. It shows the various expenses like - selling and administrative expenses, cost of goods sold, etc
If quantity of tea is measured on the horizontal axis and quantity of coffee is measured on the vertical axis, an increase in the price of coffee will cause the budget constraint to: A. pivot rightward (pivot out) along the horizontal axis. B. pivot leftward (pivot in) along the vertical axis. C. pivot leftward (pivot in) along the horizontal axis. D. pivot rightward (pivot out) along the vertical axis.
Answer:
A. pivot rightward (pivot out) along the horizontal axis
Explanation:
Tea and coffee represent substitute goods. If price of a good increases, this causes an increase in quantity demanded of it's substitute.
In the given case, quantity demanded of tea is measured on horizontal axis while quantity demanded of coffee is measured on vertical axis. The budget constraint for tea and coffee shows different combinations of quantity of tea and coffee demanded within a fixed expenditure.
When price of coffee increases, within the same budget constraint, the quantity demanded of tea shall rise.
This would lead to the budget constraint to pivot rightward (pivot out) along the horizontal axis.
What is the difference in the future value of $100 at 7 percent interest for 5 years if the interest is compounded semiannually rather than annually?
Answer:
0.80
Explanation:
Compounded interest annually[tex]I=P[(1+r)^n-1]\\I=100[(1+0.07)^5-1]\\\\I=100[1.40255173-1]\\I=100[.40255173]\\I=40.255173[/tex]
Compounded interest Semiannually[tex]I=P[(1+r)^n-1]\\I=100[(1+0.035)^{10}-1]\\\\I=100[1.41059876-1]\\I=100[.41059876]\\I=41.059876[/tex]
Difference between interest = 41.059876 - 40.255173
Difference between interest = 0.804703
A period cost ________. a. is always expensed in the period in which it is incurred and NEVER becomes part of an inventory accountb. is the cost incurred by manufacturers to produce their products or incurred by merchandisers to purchase their products c. is a cost that can be traced to the cost object d. includes the cost of all resources used throughout the value chain Unselected I DON'T KNOW YET
Answer:
a. is always expensed in the period in which it is incurred and NEVER becomes part of an inventory account
Explanation:
Period cost is the cost that is incurred at the time passes. It also includes the major parts of the selling and administrative section of the income statement whether variable or fixed and it is neither capitalized also.
The examples of period cost is advertising expenses, delivery trucks depreciation, etc
So, it is never becomes part of an inventory account
Explain what is meant by a good being "excludable." Explain what is meant by a good being "rival in consumption."
Answer:
If you can prevent a nonpaying consumer from having access to a good or service, that good is excludable. For example, only clients that buy a ticket can enter a movie theater and watch the movie.
A good or service that can be consumed by only one consumer (or a specific number of consumers) is rival in consumption because other people cannot consume them simultaneously. For example, once the movie theater sold out, no more people can get inside and watch the movie.
Final answer:
Excludable goods such as private education or cell phone service, can exclude non-payers, while rivalrous goods like a slice of pizza cannot be enjoyed by more than one person at a time. In contrast, public goods are both nonexcludable and non-rival, creating the free rider problem but commonly managed by government and social measures.
Explanation:
Excludable goods are those where access can be limited or denied. An example is when private companies provide primary education and are able to exclude those who do not pay from receiving the education. Another illustration of an excludable good is cell phone service, where companies can prevent people who do not pay from using the service.
Goods that are rival in consumption are those where one person's use of the good prevents another person from using the same good at the same time. A common example of a rivalrous good is a slice of pizza, because two people cannot consume the exact same slice simultaneously. This characteristic is typical for private goods.
A public good, in contrast, is characterized by being nonexcludable and non-rival. This means that it is not feasible to exclude individuals from the use of the good, and one person's use does not diminish the ability for others to use it as well. Examples include national defense, public parks, and street lighting. The free rider problem occurs when individuals consume a public good without contributing to its cost, which is a challenge in effectively providing public goods. Sources of public goods often include government actions, social pressures, and unique situations where markets find methods to ensure payment.
In an effort to make better and more efficient purchase decisions, the Ford Motor Co. includes various people, depending on the purchase situation. Individuals may include key personnel from various departments, including research and development, finance, marketing, shipping, and sales. This is a description of Ford's________________________
Answer:
Buying Center.
Explanation:
A Buying Center is a group if individuals within an organization that are responsible for making purchase decisions.
The Buying Center is also called the Decision Making Unit (DMU), and it includes personnel from various departments.
The production plant for Ace Manufacturing has been located in the same place for over 100 years. It has just completed its new factory, which includes its new corporate offices. The planning required for moving Ace into a new facility is a single-use plan. (True/False)
TRUE OR FALSE
Answer:
True
Explanation:
A single use plan is basically a one time business transaction that is supposed to take place only once and should not be repeated in the future. In this case, the production plant has been used for more than 100 years, but once it is sold, its history and the company should no longer have any type of relationship with it.
A thirty-year U.S. Treasury bond has a 4.0 percent interest rate. In contrast, a ten-year Treasury bond has an interest rate of 3.7 percent. If inflation is expected to average 1.5 percentage points over both the next ten years and thirty years, determine the maturity risk premium for the thirty-year bond over the ten-year bond.
Answer:
The answer is 0.3%
Explanation:
nominal risk free rate for 10 years = 3.7 + 1.5 = 5.2
nominal risk free rate for 30 years = 4.0 + 1.5 = 5.5
Therefore maturity risk premium is 5.5 - 5.2 = 0.3%
The maturity risk premium for the thirty-year bond over the ten-year bond is computed by subtracting the real risk-free rates of the two bonds, which results in 0.3%
Explanation:The maturity risk premium for the thirty-year bond over the ten-year bond can be calculated by subtracting the real risk-free rate from the interest rate of the bond. The real risk-free rate is essentially the interest rate adjusted for potential inflation over a given period.
Firstly, we need to figure out the real risk-free rate for both bonds. Inflation is expected to average 1.5 percent over the next thirty years and ten years. Therefore, the real risk-free rate for the thirty-year bond = 4.0% - 1.5% = 2.5%. Similarly, the real risk-free rate for the ten-year bond = 3.7% - 1.5% = 2.2%.
Next, the maturity risk premium would be obtained by subtracting the real risk-free rate of the ten-year bond from that of the thirty-year bond. As a result, the maturity risk premium of the thirty-year bond over the ten-year bond is 2.5% - 2.2% = 0.3%.
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Firms that practice value-based marketing typically use a process known as ______, which includes a set of strategies, programs, and systems that focus on building loyalty among the firm's most valued customers.
Answer:
customer relationship management
Explanation:
Companies that successfully implement customer relationship management (CRM) should be able to customize the services and products that they offer to their customers. The company should be able to develop a good relationship with its customers and increase the exchange of information and feedback. This can help the company provide customized services that better satisfy the needs and wants of its customers.
n 2007, an unseasonably dry spring led to a sharp decline in the quantity harvested of black morels, a wild mushroom found throughout the upper Midwest. Due to the scant harvest, the price of black morels rose from $9 per pound to nearly $45 per pound. In 2008, slightly aboveminusnormal rainfall levels led to a large black morel harvest. Assuming that the demand for black morels did not change from 2007 to 2008, we would expect the 2008 black morel supply to ________ and the equilibrium price of black morels to
Answer:
Increase; fall
Explanation:
Due to the slightly above normal rainfall levels which led to a large black morel harvest, the supply of the commodity will increase.
However, since demand for the commodity is expected to remain the same as it was in 2007 despite the increase in supply, the equilibrium price is expected to fall as supply exceeds demand.
The account title used for recording a written promise that a customer will pay the business a fixed amount of money and interest by a certain date in the future is ________.A.Notes PayableB.Prepaid NoteC.Notes ReceivableD.Accounts Receivable
Answer:
A.Notes Payable
Explanation:
Notes Payable refers to a liability wherein a party signs a promissory note or an agreement in writing, agreeing to pay a certain amount of money coupled with interest on a certain future date.
A note payable specifies details such as the amount of money to be paid, the rate of interest applicable, maturity date, signature of the issuer etc.
The journal entry for issuing notes payable when an amount is payable to a supplier would be;
Accounts Payable Dr
To Notes Payable A/C
(Being notes payable recorded)
Doris's Fashions has just signed a $2.2 million contract. The contract calls for a payment of $0.6 million today, $0.8 million one year from today, and $0.8 million two years from today. What is this contract worth today if the firm can earn 8.2 percent on its money
Answer:
$2.02 million
Explanation:
We need to calculate the present value of Doris's contract given the following three cash flows:
Year 0 $0.6 million
Year 1 $0.8 million
Year 2 $0.8 million
interest rate = 8.2%
present value (in million) = $0.06 + ($0.8 / 1.082) + ($0.8 / 1.082²) = $0.6 + $0.74 + $0.68 = $2.02 million
*present value formula = future value / (1 + r)ⁿ
The contract worth today is $2.02 million.
Calculation of the today worth of the contract:We know that
present value formula = future value / (1 + r)ⁿ
So,
= $0.06 + ($0.8 / 1.082) + ($0.8 / 1.082²)
= $0.6 + $0.74 + $0.68
= $2.02 million
hence, we can conclude that The contract worth today is $2.02 million.
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*
Sinbad Cola, a soft drink manufacturer, opened a plant in Buron. The waste from the plant was released into the Buron Sea, which was situated a mile away from the plant. Releasing the wastes into the sea resulted in water pollution and groundwater contamination. The water pollution in turn negatively affected Buron's fishing business. Sinbad Cola compensated for this by bringing the contamination levels down with additional filters and paying for the damages to the local fisheries. Which theory of business social responsibility did Sinbad Cola comply with when it compensated for its harmful waste disposal methods?A) moral minimum
B) stakeholder interest
C) corporate citizenship
D) maximizing profits
Answer: (A) Moral minimum
Explanation:
The moral minimum is the term which refers to the ethical behavior in the business that basically define the principle or the various types of standards which is necessary for the moral conduct.
According to the given question, the Sinbad cola is one of the soft drink manufacturing company and moral minimum is one of the social reputability of the company that comply for the various types of harmful waste.
The moral minimum is one of the type of ethical philosophy that majorly focuses on the various types of impact of the decision in the society. Therefore, Option (A) is correct answer.
Which of the following statements is correct?a.An advantage of the corporate form for many businesses is the fact the corporate tax rate always exceeds the personal tax rate, which is the rate at which proprietorships and partnerships are taxed.b.Because corporations enjoy the benefits of limited liability, easy transferability of ownership interest, unlimited life, and favorable tax status relative to the situation for partnerships and proprietorships, most large businesses choose to incorporate.c.Because lawyers have the incorporation process so automated (e.g., word processors for drawing up the necessary papers), it is less expensive to form a corporation than to form a proprietorship or partnership.d.There are more partnerships and sole proprietorships than corporations in the U.S., but corporations produce more goods and services than do other forms of business.e.A major disadvantage of a regular partnership or a corporation as a form of business is the fact that they do not offer their owners limited liability, whereas proprietorships do.
Answer:
C. There are more partnerships and sole proprietorships than corporations in the U.S., but corporations produce more goods and services than do other forms of business.
Explanation:
The reason of this is the complexity of the process.
In general , forming partnership and sole proprietorship have lesser requirements than forming a corporation. So most business owner choose these based on convenience purposes.
That's being said, it is far easier for corporations to gather capital for their operation. They can do it by selling stocks /part ownership of their company. Larger capital means hat corporations will have more money to buy things such as materials and machinery. This is why corporations produce more goods and services than do other forms of business.
The correct answer is that there are more partnerships and sole proprietorships than corporations in the U.S., but corporations produce more goods and services. The key benefits of corporations, such as limited liability and ease of raising capital, make them well-suited for large-scale business despite the higher costs and regulatory complexity involved.
The correct statement is that there are more partnerships and sole proprietorships than corporations in the U.S., but corporations produce more goods and services than do other forms of business. This is due to the unique benefits corporations provide, such as limited liability, potential for easy transferability of ownership, unlimited life, and the ability to raise capital more efficiently. However, incorporating a business involves more complexity and cost compared to forming a sole proprietorship or partnership, which is why many small businesses may opt for simpler organizational structures. Corporations also face a double taxation issue, where the income is taxed at the corporate level and dividends distributed to shareholders are taxed again at the personal level. Despite this, the limited liability feature significantly lowers the financial risk for shareholders, making corporations an attractive option for large businesses.
Hence, the correct option is (d).
Chandler Sporting Goods produces baseball and football equipment and lines of clothing. This year the company had cash and marketable securities worth $335,485, accounts payables worth $1,159,357, inventory of $1,651,599, accounts receivables of $1,488,121, short-term notes payable worth $313,663, and other current assets of $121,427. What is the company's net working capital?
Answer:
The company's net working capital is $2123612
Explanation:
Working Capital
Current Assets:
Cash & marketable securities worth $335,485
Inventory of $1,651,599
Accounts receivables $1,488,121
Other current assets $121,427
Total Current Asset $3,596,632
Less:
Current Liabilities:
Accounts payable worth $1,159,357
Short-term notes payable worth $313,663
Total Current Liabilities $1,473,020
Net Working Capital $2,123,612
Final answer:
Chandler Sporting Goods' net working capital is calculated by subtracting the total current liabilities ($1,473,020) from the total current assets ($3,596,632), resulting in a net working capital of $2,123,612.
Explanation:
To calculate Chandler Sporting Goods' net working capital, we need to first identify the company's current assets and current liabilities:
Current Assets include cash and marketable securities ($335,485), inventory ($1,651,599), accounts receivables ($1,488,121), and other current assets ($121,427).Current Liabilities include accounts payables ($1,159,357) and short-term notes payable ($313,663).Next, we calculate the totals for current assets and current liabilities:
Total Current Assets = $335,485 (cash) + $1,651,599 (inventory) + $1,488,121 (receivables) + $121,427 (other assets) = $3,596,632Total Current Liabilities = $1,159,357 (payables) + $313,663 (notes payable) = $1,473,020Finally, we determine the net working capital by subtracting the total current liabilities from the total current assets:
Net Working Capital = Total Current Assets - Total Current Liabilities
Net Working Capital = $3,596,632 - $1,473,020 = $2,123,612.
The company's net working capital is $2,123,612, indicating the funds available in the short term to finance ongoing operations and invest in new opportunities.
In an underwritten arrangement, the investment banker assures the company that is issuing new securities that the entire issue will be sold, which means the investment banker bears significant risks in such an offering.True / False.
Answer:
True
Explanation:
Underwritten agreement is a contract between an underwriter and issue of shares.
The firm commitment contract is where the underwriter assures the issuer the shares will be sold at an agreed price. This is safest for the issuer as the underwriter bears the risk of selling all the shares.
Underwritten agreement states the price, settlement date, and initial resale price.