Answer: A. Operational risk
Explanation:
Operational risk is a possibility of loss that happens as a result of inefficient system or policies, it could also be a result of someone not following internal policies or due process. Operational risk can be as a result of factors such as natural disasters, unfavourable or weak financial policies, fraudulent acts, etc.
Brendan and sean combined their love of baseball with a business venture. they purchased a small cart and began selling memorabilia outside of their hometown stadium. their first year went well, but the past two years have been quite a struggle. due to poor economic conditions and the team’s horrible record, ticket sales at the stadium are down, which has significantly hurt their sales as well. as a recent business graduate, you explain to brendan and sean thata) this type of business is always high risk because it is seasonal.
b) the business does not fill a sufficient need for most people.
c) environmental circumstances are dynamic and tough to control.
d) social entrepreneurs are currently getting most of the attention.
Answer:
The correct answer is C
Explanation:
Environmental Circumstance is the term which is defined as the any circumstances which is forming the grounds of any alleged violation or liability under the Law or Permit of Environmental.
Under this situation, both of them started a business, which performed well in its 1st year, but in the second year the business does not perform well due to the horrible record of team and poor economic conditions. Therefore, this condition will be explained as the environmental circumstances are tough to control as well as are dynamic in nature.
In a business environment, you need to consider ____ consequences of your communication because anything you write and say may become public if your company is sued or is part of a government investigation.
Answer:
LEGAL
Explanation:LEGAL CONSEQUENCES these are the outcomes of what ever actions a person or an organization receives due to some initial activities. In making comments or Communications publicly or privately can be tendered as an evidence against you in the Court of Law.
Before making any verbal or written statement it is better to do proper review and ensure it doesn't go against the Law and if sued it should not result in any legal consequences. That is why it is expected that most Organisations have legal unit which help to analysis it publications before making them.
Procter & Gamble's introduction of All-Temperature Cheer laundry detergent in Japan was a flop at first. The problem was that Japanese women wash clothes in cold water—either tap water or leftover bath water—so they don't care about all-temperature washing (which is a big selling point in the United States). Also, Cheer was first introduced in Japan at a time when the market for fabric softeners in Japan was rapidly expanding. However, when Japanese housewives added lots of fabric softener to the water, Cheer didn't produce many suds (Americans don't use as much fabric softener). P&G reformulated the product so it wouldn't be affected by fabric softeners, and ads for Cheer in Japan pledged superior cleaning in cold water, not all temperatures. Which of the following might have helped P&G avoid the initial problems with Cheer?a. Maslow’s hierarchyb. high- versus low- context culturec. diffusion of innovationd. self-reference criterione. ethnocentric orientation
Answer:
self-reference criterione. ethnocentric orientation
Explanation:
Self-reference criterion could be defined as unconsciously making reference to your own cultural values and experiences, thinking that everyone thinks and does things the way you do and using that knowledge as a basis for decisions.
Ethnocentric Criterion is closely associated is ethnocentrism, which implies the notion that your own company is the best and knows how best to do things.
This obviously was the case for Procter and Gamble in Japan because it is stated in the scenario that ''Japanese women wash clothes in cold water—either tap water or leftover bath water—so they don't care about all-temperature washing (which is a big selling point in the United States).''
Procter and Gamble suffered a product failure because they suffered from Self-reference criterion by thinking 'as it is in America, so it is in Japan.' Furthermore P&G was guilty of being ethnocentric because they must have assumed there products were always the best and failed to conduct proper analysis on culture-related consumer preferences.
Vanity Fair, the makers of Lee jeans, learned from market research that young men perceived the brand as being for women. As a result, they developed an advertising campaign targeted to young men and used Buddy Lee, which is a little doll in dungarees that is portrayed as "cool," to alter this market's perception of this brand. Vanity Fair's deliberate decision to significantly alter the way the market views its brand is an example of ________.A. product positioning
B. product repositioning
C. brand extension
D. brand leveraging
E. brand revival
Answer: answer is D
Explanation:
Answer:
Vanity Fair, the makers of Lee jeans, learned from market research that young men perceived the brand as being for women. As a result, they developed an advertising campaign targeted to young men and used Buddy Lee, which is a little doll in dungarees that is portrayed as "cool," to alter this market's perception of this brand. Vanity Fair's deliberate decision to significantly alter the way the market views its brand is an example of product re-positioning
Explanation:
From the above description that happened to Vanity Fair, there is no business organization that wants to run at loss in every of their dealings which makes them to change the way buyers/customers view their products in the market which is tagged as product re-positioning. This would enable their customers to have another view in such a way that it would aling with theirs and profit would be maximized.
Foreign stock markets are frequently characterized by controlling shareholders for the individual publicly traded firms. Which of the following is NOT identified by the authors as typical controlling shareholders?A) the government (for example, privatized utilities)
B) institutions (such as banks in Germany)
C) family (such as in France)
D) All of the above were identified by the authors as controlling shareholders.
Answer:
Foreign stock markets are frequently characterized by controlling shareholders for the individual publicly traded firms. Which of the following is NOT identified by the authors as typical controlling shareholders?
family (such as in France) is consider not to be part of the foreign stock markets characterized by controlling shareholders.
Explanation:
ALT Inc. conducts periodic reviews to assess the extent to which law firms support diversity in their activities. It uses this information to decide which law firms would be most suitable to represent it legally. This is an example of effective: A.stereotyping reverse discrimination B.overt discrimination C.environmental justice D.diversity management
Answer:
D. Diversity management
Explanation:
Diversity management refers to a company's will to promote inclusion of various employees of different background into the company's structure. When done effectively, it aids creative thinking process and innovations.
ALT inc. Would want a law firm that supports diversity as much as they do because for the law firm to he included in their structure, it needs to have thesame beliefs about the company's structure in order to have a good working partnership.
A farmer grows squash in his 100 by 100 foot garden. He then sells the crop at the local farmers' market. Two summers ago, he was able to produce and sell 1200 pounds of squash. Last summer, he tried a new fertilizer that promised a 50% increase in yield. He harvested 1900 pounds. Did the fertilizer live up to its promise?
Answer:
Yes, the fertilizer lived up to its promise
Explanation:
New fertilizer promised 50% increase in yield
Initial yield = 1200 pounds of squash
Expected yield with new fertilizer = 1200 + (1200×0.5) = 1200 + 600 = 1800 pounds
Actual yield = 1900 pounds
Since the actual yield surpassed the promise yield of the fertilizer, it lived up to its promise
One of the reasons Omega Distributors, a local manufacturing company, is considered a good place to work is that the managers encourage and reward their employees for developing new products and ways of improving existing products and services. In this example, Omega Distributors’ managers are carrying out the ________ role.
Answer: Entrepreneur role
Explanation:
The entrepreneur role plays an important role that helps in producing the various factors by creating the profitable business factors and it stimulating the various types of economical activities.
The entrepreneur using the various types of effective skills and bring the new ideas for developing the opportunities and growth.
According to the given question, the Omega distributors is one of the local manufacturing company and the manager is basically carried out the entrepreneur role based on the given above example.
Therefore, Entrepreneur role is the correct answer.
Specialists in which field assess and mitigate workplace hazards, such as issuing ear protection to workers in factories with high noise levels and making sure that people who spend their days in front of a computer have ergonomically designed chairs?
Answer: Industrial Hygiene
Explanation: Specialists in industrial hygiene are also known as occupational hygienists. They serve to analyze, identify, research and measure key elements to industrial hygiene which are biological, chemical, physical and ergonomic (including workplace hazards or stresses) that can cause sickness, impair health, or cause significant discomfort in workers. To do this, they help in spotting these conditions and assist in eliminating or controlling them using appropriate measures.
Kelly is the controller of a small company. One day the CFO comes in and tells her to lower the estimate of uncollectible accounts receivable. Kelly insists her numbers are correct as is. The CFO tells her it will mean her job at the company if she doesn’t go along with the smaller estimate. The primary virtue that would enable Kelly to resist the pressure to manipulate the number is:_______
A. Loyalty
B. Integrity
C. Caring
D. Objectivity
Answer:
B. Integrity
Explanation:
Integrity in business represents the virtue of honesty, consistency and adherence to one's strong principles of value, morality and ethical principles. Integrity is rooted in being truthful consistency and and to stand by the truth irrespective of the cost.
Kelly believes that the numbers of the noncollectable accounts receivables are correct and that is the true state of the values. It is the virtue of integrity that will allow her stand by the true figures and be uncompromising (not changing the figure) even at the expense of her job (irrespective of the cost).
Suppose that the organic-produce industry is composed of a large number of small firms. In recent
years, these firms have suffered economic losses, and many sellers have left the industry. Economic
theory suggests that these conditions will
a) shift the demand curve outward so that price will rise to the level of production cost.
b) cause the remaining firms to collude so that they can produce more efficiently.
c) cause firms in the organic-produce industry to suffer long-run economic losses.
d) cause the market supply to decline and the price of organic produce to rise.
Answer:
The correct answer is option d.
Explanation:
An industry is comprised of a large number of small firms.
Because of losses, many firms have left the industry.
This will cause the industry supply to decline.
The industry supply curve will move to the left.
The new supply curve will intersect the demand curve at a higher point.
This leftward shift in the supply curve will cause the equilibrium price to increase and equilibrium quantity to decline.
Final answer:
Economic theory suggests that as firms leave the organic-produce industry due to economic losses, market supply will decrease leading to a rise in the price of organic produce. This rise continues until firms can break even or earn profits. Despite more farmers switching to organic farming, higher production costs can keep organic food prices relatively high.
Explanation:
When many sellers in the organic-produce industry have suffered economic losses and have left the industry, economic theory suggests that the market supply will decline. This supply reduction happens because the firms that remain in the industry are now fewer in number. With the reduction in supply, and assuming demand remains constant, there will be an upward pressure on the price of organic produce. Therefore, the price of organic produce is likely to rise in response to the decline in supply. Over time, the price would continue to rise until it reaches a point where economic losses are eliminated, and the remaining firms can break even or make normal profits.
In the specific context of organic produce, despite an increase in the number of farmers converting to organic farming which shifts the supply curve to the right, the increased production costs associated with organic farming methods might mean that the industry will not see price reductions to the level of non-organic foods. Thus, the equilibrium price for organic foods may remain high due to higher production costs, even though the quantity of organic food supplied in the market may increase.
Suppose the price of rice increases and you view rice as an inferior good. The substitution effect results in a ________ change in rice consumption, and the income effect leads to a ________ change in rice consumption.
A. negative, negative
B. negative, positive
C. positive, negative
D. positive, positive
Answer:
B. negative, positive
Explanation:
Substitution effect : Price rise of a good makes it relatively expensive, decreases its demand. Price fall of a good makes it relatively cheap, increases its demand.
So: Substitution Effect is always negative as per above explanation.
Income Effect : Price rise of a good decreases real income/ real purchasing power of consumer & reduces demand of all goods. Price fall increases real purchasing power & increases demand of all goods.
Income effect is positive in case of Normal Goods, normal good demand is positively related to income. The effect is negative in case of inferior goods, inferior good demand is negatively related to income.
Hence: Price rise of rice - Substitution effect results in negative change in rice consumption. {∵substitution effect always negative}
Income Effect leads to positive change in rice consumption {∵price rise reduces real income & income effect is negative for inferior goods}
Answer:
Suppose the price of rice increases and you view rice as an inferior good. The substitution effect results in a ________ change in rice consumption, and the income effect leads to a ________ change in rice consumption.
B. negative, positive
Explanation:
The substitution effect in economics represents the relation between the prince change in a product with the consumption rate. So, in our case, it would result in a negative effect if it is considered as an inferior good. while the income effect is the concept that explains the consumption change thanks to the acquisitive power available for the consumer. Resulting in a positive change in rice consumption due to the lower price of rice.
Craig, a sales manager, has been asked to explain the under-performance of his team in the previous financial year. Instead of understanding and working on resolving the team's issues, Craig comes up with a number of defensive statements and denies wrongdoing from his team's part. This is known as _____ the problem.
Answer:
Stonewalling
Explanation:
Stonewalling, as the term conveys, refers to creation of a defense mechanism wherein the leader instead of paying heed to shortcomings and issues of his team's under par performance, acts to the contrary and comes up with all kinds of evasive responses so as to defend his team.
Stonewalling is regarded as a mark of poor leadership since here, the leader is not focused upon identifying weak areas and addressing them. On the contrary such a leader adopts a denial approach wherein he tends to overlook and ignore the problem.
Stonewalling leaders are unable to extract the desired performance and results from their team since such leaders adopt an ignorant approach towards problems.
Final answer:
Craig's behavior of avoiding responsibility for his team's under-performance through defensive statements and denial is known as 'denial' of the problem, a defense mechanism used to cope with cognitive dissonance and avoid unpleasant truths.
Explanation:
Craig, a sales manager, has been asked to explain the under-performance of his team in the previous financial year. Rather than addressing and resolving the issues, Craig provides defensive statements and denies any wrongdoing by his team. This behavior is known as denial of the problem, which is a defense mechanism people use to avoid confronting unpleasant truths or accepting responsibility for their actions.
Denial is not just refusing to acknowledge the truth, but it can also involve lying to oneself. It is often used as a method of coping with cognitive dissonance that arises when actions contradict personal values. However, for denial to work, at least superficially, it requires a degree of plausibility, but even so, some individuals persist in denying the obvious.
Other forms of denial include the denial of responsibility, where someone refuses to take responsibility for their actions and may blame others, and the denial of the victim, which entails justifying one's actions by believing that the victim deserved it or that no real harm was done.
Which of the steps listed below are part of the fulfillment process.a. Purchase order sent to vendorb. Goods receipt postedc. Billingd. STO processinge. Sales order processing
Answer:C. Billing, E. Sales order processing.
Explanation: Fulfilment process are the steps involved in the end stages of a business transaction some of the activities involved in the Fulfilment process include the Billing process and sales order processing.
Billing: This is a business fulfilment process,where the cost and amount to be paid for the product or service rendered,the Bill is usually made available to the buyer.
Sales order processing is sales document which states the order as it was made by the person or organization,it is made available by the business Organisation.
The competitive moves and business approaches a company's management uses to grow the business, attract and please customers, compete successfully, conduct operations, and achieve the targeted levels of organizational performance are referred to as its _____________.
Answer:
Strategy
Explanation:
Strategy refers to the blueprints that an organisation uses to achieve its stated objectives. It involves the process of using various resources within the organisation's environment to achieve the objectives of the organisation.
Strategy set direction that an organisation follows to achieve various objectives. The strategy of an organisation helps the organisation to reach goals which includes identifying and satisfying customer's needs, gaining a much larger market share, competing successfully in the market etc.
In a nutshell, all the conscious plan which the organisation uses to achieve its goal is its strategy.
teacher at a culinary arts school will conduct an experiment to investigate which of three methods of instruction works best in teaching students how to make a good pie crust. Each student in a group of 60 students will be randomly assigned to one of three methods: in-person demonstration by the instructor, watching a video, and reading a recipe. The students will be assigned so that each method will have 20 students. Each pie crust made will be judged on its taste and texture. What are the treatments of the experiment?
Answer:
The three methods of instruction
Explanation:
Based on the statement provided, the experimental treatments are based on the instruction methods. The main aim of the experiment is to study the instruction method that is suitable for teaching the students. The results obtained from the experiments will be compared and a summary will be deduced to know the best instruction method.
Answer:
The three methods of instruction are given below:
Explanation:
The experimental therapies are based on the instruction methods, according to the statement issued.
The experiment's main goal is to investigate the best technique of instruction for teaching pupils.
The outcomes of the studies will be compared, and a summary will be created to determine the optimum technique of education.
For more information, refer to the link:
https://brainly.com/question/14644310
Tori bought a dress costing $80 from Arlene's Dress Shop in a state where there is a sales tax. The tax base is the price of the dress, and the tax rate is 6 percent. What amount of tax did Tori have to pay on the purchase?
Answer:
$4.8
Explanation:
If Tori bought the dress costing $80 from Arlene's Dress Shop in a state where there is a sales tax, and the The tax base is the price of the dress,
Therefore the amount of tax did Tori have to pay on the purchase if the tax rate is 6 percent; will be:
Tax amount = 6% * $80 = $4.8
Answer:
$4.8
Explanation:
The tax is charged on the object is known as the tax base. In this case, the tax base is the price of the dress, which is $80.
The sales tax rate is 6 percent, so we multiply $80 with six divided by 100 to get the answer.
$4.8 is the sales tax that Tori has to pay for buying the dress.
Sales Tax = [tex]\frac{80 x 6}{100}[/tex] = 4.8$
Good Luck!
Tiny Corporation shows a balance in the unearned revenue account of $1,200 at the end of the month. It is determined that $500 of that amount remains unearned at this time. The adjusting entry to update the accounts is:___________.
Final answer:
To adjust for $700 of services rendered by Tiny Corporation, debit the Unearned Revenue account for $700 and credit the Revenue account for $700, reflecting the transition from unearned to earned revenue.
Explanation:
The student asked for the adjusting entry needed when $700 of unearned revenue becomes earned. Since Tiny Corporation shows a balance in the unearned revenue account of $1,200 and it is determined that $500 remains unearned, $700 has been earned during the period. The adjusting entry consists of debiting the unearned revenue account and crediting the revenue account to reflect the earned amount.
The adjusting entry would be as follows:
Debit Unearned Revenue: $700Credit Revenue: $700This entry will reduce the unearned revenue liability account and increase the revenue on the income statement, correctly reflecting the revenue that has been earned during the period.
___ is a portfolio-planning tool for identifying company growth opportunities through market penetration, market development, product development, or diversification.
Answer:
Product market expansion grid
Explanation:
Product market expansion grid -
It is used to plan for the company , when the company is indeed of expanding , is referred to as Product market expansion grid .
The strategy or information required for the company to increase sale of the goods and services or introducing a new product in the upcoming market , uses this plan.
Hence , from the given information of the question,
The correct term is Product market expansion grid .
A registered representative services the brokerage account of her father-in-law at her broker-dealer. The father-in-law has asked the registered representative to act as the trustee in a trust account for her spouse and children. The following assets are being donated by the father-in-law into the trust:
Office Building: $15,500,000
Construction Company: $20,000,000
Construction Equipment: $ 2,000,000
The registered representative has agreed not to charge a trustee's fee to do this. Does she have to get permission of her broker-dealer to act as trustee?
A. No, because it is a family relationship
B. No, because the trust does not hold securities
C. No, because she is not being compensated to be the trustee
D. Yes, because this is an outside business activity
Answer:
D. Yes, because this is an outside business activity
Explanation:
Every other "OBA" - Outside Business Activity - should be disclosed to the corporation and authorised by the company.
In addition, it should be recorded on the U4 Form of such a licensed representative and disclosed in the BrokerCheck report of that person. Keep in mind that a person doesn't have to be reimbursed for an OBA to occur.
Whenever the delegate is in a role to direct the outside business entity's investment activities, it makes it an OBA.
The notion that perhaps the licensed representative, as just a beneficiary, would be able to supervise an office building as well as a construction company's activities, which both of these organizations may have servicing and investment accounts, makes it an OBA.
Joker Corporation owns 80% of Klue Corporation. Joker Corporation also owns 45% of Lion Corporation and 45% of Mark Corporation. Klue Corporation owns 40% of Lion Corporation and 10% of Mark Corporation. Which corporations are members of a controlled group?a. Klue, Lion, and Mark Corporations b. Joker, Klue, Lion, and Mark Corporations c. Joker, Klue, and Lion Corporations d. Joker and Klue Corporations
Answer:
Option "C" is the correct answer to the following statement.
Joker, Klue, and Lion Corporations
Explanation:
A group of controlled business is described as a community of two or more companies, businesses or firms.
Joker Corporation purchases 80%, 45% and 45% of Klue, Lion and Mark Corporation respectively.
Klue Corporation purchases 40% and 10% of Lion and Mark Corporation.
In this situation, Joker corporation is created a Parent-subsidiary relationship with other firms. where Klue corporation creates brother-subsidiary relation with Lion and Mark corporation.
Which of the following statements about incorporation is true? Group of answer choices
1. A corporation has to incorporate in the state in which it is based.
2. A corporation is not subject to the laws of the state in which it is formed.
3. Articles of incorporation may vary slightly from state to state.
4. Corporations are taxed the same regardless of the state in which they are chartered.
5. Corporations must register in each state in which they want to do business.
Answer:
Correct option is (3)
Explanation:
Incorporation refers to the legal procedure of forming a corporation. The corporation has to be registered in one of the states. It is not necessary that the firm registered in a particular state need to have operations in the same state. It can conduct operations elsewhere, but, it is regulated by the laws established by the state of incorporation.
Articles of incorporation is the document which constitutes information regarding name of the company, address and details about board of directors. This is submitted at the time of incorporation. Requirements in articles of incorporation is more or less similar in every state but it can differ.
Tax rate levied on corporations vary from state to state depending on the place where operations are carried out.
Corporations can carry out operations in any state but need to be registered in only one state.
The creation of the new company, firm, NGO, association or management is called incorporation.
Embodiment makes the organisation permanent and also the transferal of the possession of the corporation can be easily done in certain cases.
The correct answer is:
Option 3. Articles of incorporation may vary slightly from state to state.
This can be explained as:
The lawful system of establishing a business is called incorporation.It has to be recorded in one of the states of a country to be legitimate.The certified firm can operate its business even from the other state not filed in the documents but it will be regulated by the laws of the registered state.At the time of consolidation, papers containing name of the firm, address and details on executives are submitted. It is the same in almost every state but can differ.Taxation on the firm varies according to the region of its administration.Therefore, articles of incorporation may vary slightly from state to state.
To learn more about incorporation follow the link:
https://brainly.com/question/17441682
Maria, the vice president of sales for an international organization, believes that employees in her foreign offices understand best how to handle the personnel and practices in their offices. So when the corporate HR manager approached Maria about reprimanding Robert, a native Parisian who is the Paris office manager, for not doing things according to corporate policy, Maria backed Robert and said, "I believe that the home office should leave Robert alone because he best understands the local culture." Maria is a(n) ___ manager.
a) global
b) polycentric
c) parochial
d) native
e) ethnocentric
Answer: (B) Polycentric
Explanation:
A polycentric manager is refers to the approach or the method in the global marketing that basically helps the organization for spread about their products and the services among the different countries.
The main objective of the polycentric approach that it helps in managing the different types of operations and services in the business.
According to the given question, maria is the vice president in an organization for the international sales process and she handle all the practices held in their office. Therefore, Maria is refers as a polycentric manger.
You are thinking of investing in Ski Sports, Inc. You have only the following information on the firm at year-end 2018: net income = $50,000, total debt = $1 million, and debt ratio = 70 percent. What is Ski's ROE for 2018?
Answer:
Roe will be equal to 11.67 %
Explanation:
We have given net income = $50000 = $0.05 million
Total debt = $1 million
Debt ratio = 70% = 0.70
We have to find the ROE
Debt ratio is ratio o debt and assets
So [tex]0.7=\frac{1}{assets}[/tex]
Assets = $1.42 million
Now equity will be equal to assets - debt
So equity = $1.42 - $1 = $0.42 million
Now equity ratio is equal to ratio of net income and equity
So equity ratio [tex]\frac{0.05}{0.42}=0.1167[/tex] = 11.67 %
Final answer:
To calculate Ski Sports, Inc.'s ROE for 2018, you need to calculate total assets from the given debt ratio and total debt, determine shareholders' equity, and then divide net income by shareholders' equity, resulting in an ROE of 11.67%.
Explanation:
To calculate the return on equity (ROE) for Ski Sports, Inc., we first need to define ROE. ROE is a measure of financial performance calculated by dividing net income by shareholders' equity. However, we're only given net income and total debt, along with the debt ratio. The debt ratio is the proportion of total debt to total assets, and since Ski Sports, Inc. has a debt ratio of 70%, we can calculate the total assets and then use that figure to determine the shareholders' equity. Once we have the shareholders' equity, we can calculate ROE.
Here are the steps to calculate Ski Sports, Inc.'s ROE:
Calculate total assets using the debt ratio: Total Assets = Total Debt / Debt Ratio = $1,000,000 / 0.70 = $1,428,571.
Calculate shareholders' equity by subtracting total debt from total assets: Shareholders' Equity = Total Assets - Total Debt = $1,428,571 - $1,000,000 = $428,571.
Calculate ROE using net income and shareholders' equity: ROE = Net Income / Shareholders' Equity = $50,000 / $428,571 = 0.1167 or 11.67%.
Therefore, Ski Sports, Inc.'s ROE for 2018 is 11.67%.
When a factory closes, why is it bad news for the local restaurants? a. Unemployed factory workers have lower incomes and are less likely to dine out. b. Unemployed factory workers are eligible for government unemployment benefits. c. Sales taxes are likely to increase. d. The opportunity cost of dining out has fallen.
Answer:
The correct answer is option a.
Explanation:
When a factory closes, its workers become unemployed. Their income declines or disappears. A decrease in income further causes decrease in demand and consumption.
The factory workers will no longer be able to afford restaurant meals, or their demand for meals will decline.
A decline in the demand for meals will adversely affect the revenue and profits of local restaurants.
So, closing up of a factory is a bad news for local restaurants.
True or False: An interest-bearing account is an account that generates interest income on the available balance in the account. → False
Answer:
False
Explanation:
Interest Bearing Account is an account which generates interest income over a specified period of time. Certificate of Deposit is an example for the interest bearing account. So, simply saying that An interest-bearing account is an account that generates interest income on the available balance in the account is wrong.
What involves the agreement on the part of multiple corporations to charge a particular price for a good or service?
Answer:
Price fixing
Explanation:
Any understanding between business contenders or between producers, wholesalers, and retailers to raise, fix, or in any case look after costs. Many, however not all, value fixing understandings are illicit under antitrust or rivalry law.
Unlawful activities might be indicted by government criminal or common authorization authorities or by private gatherings who have endured financial harms because of the lead.
I purchase a 10 percent coupon bond. Based on my purchase price, I calculate a yield to maturity of 8 percent. If I hold this bond to maturity, then my return on this asset is:_____.
A) 10 percent.
B) 8 percent.
C) 12 percent.
D) there is not enough information to determine the return.
Answer:
B) 8 percent.
Explanation:
The yield to maturity is the expected rate of return of a bonds if held until maturity.
We are asked precisely for what rate are we receiving if held at maturity so we receive the yield to maturity.
That is a rate at which the discounted coupon payment and maturity payment matches the price we urchase the bonds.
If you hold a bond with a 10 percent coupon rate and a calculated 8 percent yield to maturity until it matures, your return is 8 percent. This includes the coupon payments received and any capital gains or losses realized upon maturity.
Explanation:When calculating the bond yield, it is important to consider the purchase price, coupon rate, and yield to maturity. If you purchased a bond with a 10 percent coupon rate and you've calculated a yield to maturity of 8 percent, the yield to maturity is the return you will earn if you hold the bond until it matures, assuming all payments are made as scheduled and you are able to reinvest each coupon payment at the yield to maturity rate. Option B is correct .
In this case, the return on this asset if held to maturity is indeed 8 percent, as it is specifically stated that the yield to maturity has been calculated based on the purchase price. Yield to maturity includes both the coupon payments you receive and any capital gains or losses (difference between purchase price and face value at maturity). Therefore, if nothing changes and you hold the bond to maturity, your return will equal the yield to maturity you've calculated.
To simplify, if you buy a bond at a discount (less than its face value) and subsequently earn a higher rate (the 10 percent coupon) than the yield to maturity (8 percent) on your purchase price, the total return includes the interest income plus the capital gain achieved when the bond is redeemed at face value.
You have the opportunity to invest in several annuities. Which of the following 10-year annuities has the greatest present value (PV) Assume that all annuities have the same positive interest rate. a.An annuity that pays $500 at the beginning of every six months b.An annuity that pays $1,000 at the end of each year c.An annuity that pays $500 at the end of every six months d.An annuity that pays $1,000 at the beginning of each year
Answer:
a.An annuity that pays $500 at the beginning of every six months
Explanation:
Annuities 1 to 4 gave the following Present values of which the first is the highest. See attached for calculations
PV
6,794.52
6,144.19
6,294.52
6,758.65
Year 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 PV
Annuity 1 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500
DCF @ 10% 1 0.953462589 0.909090909 0.866784172 0.826446281 0.787985611 0.751314801 0.716350555 0.683013455 0.651227778 0.620921323 0.592025252 0.56447393 0.538204775 0.513158118 0.489277068 0.46650738 0.444797335 0.424097618 0.404361213 0.385543289
PV 500 476.7312946 454.5454545 433.392086 413.2231405 393.9928055 375.6574005 358.1752777 341.5067277 325.6138888 310.4606615 296.0126262 282.236965 269.1023875 256.5790591 244.6385341 233.2536901 222.3986673 212.0488092 202.1806067 192.7716447 6,794.52
Annuity 2 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
DCF 0.909090909 0.8264 0.751 0.683 0.620921323 0.56447393 0.513158118 0.46650738 0.424097618 0.385543289
PV 909.0909091 826.4 751 683 620.9213231 564.4739301 513.1581182 466.5073802 424.0976184 385.5432894 6,144.19
Annuity 3 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500 500
DCF 0.953462589 0.909090909 0.866784172 0.826446281 0.787985611 0.751314801 0.716350555 0.683013455 0.651227778 0.620921323 0.592025252 0.56447393 0.538204775 0.513158118 0.489277068 0.46650738 0.444797335 0.424097618 0.404361213 0.385543289
PV 476.7312946 454.5454545 433.392086 413.2231405 393.9928055 375.6574005 358.1752777 341.5067277 325.6138888 310.4606615 296.0126262 282.236965 269.1023875 256.5790591 244.6385341 233.2536901 222.3986673 212.0488092 202.1806067 192.7716447 6,294.52
Annuity 4 1000 1000 1000 1000 1000 1000 1000 1000 1000 1000
DCF 1 0.909090909 0.8264 0.751 0.683 0.620921323 0.56447393 0.513158118 0.46650738 0.424097618
PV 1000 909.0909091 826.4 751 683 620.9213231 564.4739301 513.1581182 466.5073802 424.0976184 6,758.65
A ________ demand curve for shampoo would be caused by a change in the price of shampoo.
a) leftward shift of the
b) rightward shift of the
c) movement along
d) the positively sloped
Answer:
c) movement along
Explanation:
A change in price of shampoo would lead only to a movement along the demand curve for shampoos. The movement could either be up or down. If price increases, the movement is up and if prices decreases, the movement is down.
Changes in price affect the quantity demanded. If price is increased, quantity demand falls and if price falls, quantity demanded rises.
Other factors lead to a shift of the demand curve. Some of them include:
1. Change in consumers income
2. Change in taste
3. Change in price of subsituites.
I hope my answer helps you
A change in the price of shampoo causes a movement along the demand curve, which represents a change in the quantity demanded without shifting the demand curve itself.
A movement along the demand curve for shampoo would be caused by a change in the price of shampoo. When the price of a product changes, it does not cause the demand curve to shift; instead, it causes a movement along the existing demand curve. This movement reflects the change in quantity demanded in response to the price change. If the price decreases, the quantity demanded will increase, represented as a downward movement along the curve. Conversely, if the price increases, the quantity demanded will decrease, shown as an upward movement along the curve.