If during 2009, the country of Sildavia recorded a GDP of $65 billion, interest payments of $15 billion, imports of $13 billion, profits of $7 billion, exports of $15 billion, and rent of $7 billion, wages during 2009 in Sildavida were:___________.
Answer:
$36 billion
Explanation:
The computation is shown below:
For this question, we use the income approach for calculation the wages i.e shown below:
GDP = Interest payments + profits + rent + wages
$65 billion = $15 billion + $7 billion + $7 billion + wages
$65 million = $29 billion + wages
So, the wages would be
= $65 billion - $29 billion
= $36 billion
Inflation is often measured by evaluating chances in the cost of a fixed basket of goods and services. This method ____________ inflation because it does not account for changes in spending patterns that result from relative price changes. overestimates underestimates This problem in known as __________.
Inflation is often measured by evaluating chances in the cost of a fixed basket of goods and services. This method overestimates inflation because it does not account for changes in spending patterns that result from relative price changes
Explanation:
Most analysts agree that inflation indexes continue to overestimate the actual rise in living costs. This means that analysts assume the real cost of living has generally risen by less than 3% while the inflation rate is reported as 3%.
It means inflation overestimates the real rise in living prices because the customer is not better off when the new goods are launched.
Example: Assume whether you have $100,000 to invest on the Amazon marketplace of 2015 or the genuinely low cost Sears Collection, 1963. How are you going to pick? In 1963 costs were much smaller, and you could buy a lot of things, but you'd not like a lot of low quality products. So even if the collection for 2015 is so much more expensive, a greater consistency compensates for part of this issue.
Store supplies still available at fiscal year-end amount to $1,900. Expired insurance, an administrative expense, for the fiscal year is $1,650. Depreciation expense on store equipment, a selling expense, is $1,600 for the fiscal year. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $11,000 of inventory is still available at fiscal year-end. 4. Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31, 2018.
Answer:
Current Ratio = 1.67:1
Acid Test Ratio = 0.1:1
Gross Profit Margin = 66%
Explanation:
Cash.......1000
Merchandise inventory...12,500
Store supplies....5800
Prepaid Insurance...2400
Accounts Payable...................10,000
Sales..............................111950
Cost of Goods Sold....38,400
Store supplies still available at fiscal year-end amount to $1,900. Expired insurance, an administrative expense, for the fiscal year is $1,650. Depreciation expense on store equipment, a selling expense, is $1,600 for the fiscal year. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $11,000 of inventory is still available at fiscal year-end. 4. Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31, 2018.
Therefore Balance Store supplies = 5800-1900
Prepaid Insurance = 2400-1650
Balance Inventory = 11,000
Current Ratio = Current Assets/ Current liabilities
Current Ratio = (1000 cash + 11,000 inventory + 3,900 Store supplies + 750 prepaid insurance) / 10,000 Accounts payable = 16650/10000 = 1.67
Current Ratio = 1.67:1
Acid test Ratio = Current Asset - inventory / Current Liabilities
(16,650 - 11,000 inventory - 3,900 Store supplies - 750 Prepaid Insurance) /10,000 = 0.1
Acid Test Ratio = 0.1:1
Gross Profit Margin = Gross Profit / Sales x 100
Gross Profit = Sales - Cost of Goods Sold = 111,950 - 38400 = 73550
Therefore Gross profit Margin = 73550/111950 x 100 = 66%
Gross Profit Margin = 66%
Final answer:
Explanation of current ratio, acid-test ratio, and gross margin ratio based on the provided financial data.
Explanation:
Current ratio:
Current ratio is calculated by dividing current assets by current liabilities. In this case, current assets are $1,900 (store supplies still available) and current liabilities are $1,650 (expired insurance). Therefore, the current ratio is 1.15.Acid-test ratio:
Acid-test ratio, also known as quick ratio, is calculated by dividing quick assets by current liabilities. Quick assets exclude inventory from current assets. From the given information, quick assets would be $1,900 (store supplies) + $1,650 (expired insurance) = $3,550. The acid-test ratio would be 2.15.Gross margin ratio:
Gross margin ratio is calculated by dividing gross profit by net sales. Gross profit is net sales minus cost of goods sold. From the data provided, we can calculate the gross margin ratio using the figures for ending merchandise inventory and cost of goods sold.You are going to deposit $18,000 today. You will earn an annual rate of 2.9 percent for 9 years, and then earn an annual rate of 2.3 percent for 12 years. How much will you have in your account in 21 years
Answer:
$30,586
Explanation:
Using an annuity formula, we will compound at 2.9% for 9 years and the money at the end of year 9 will be used to compound at 2.3% for 12 years.
So compounding formula is:
Future Value = Present Value * (1+r)^n
For compounding at 2.9% for 9 years,
Future Value = $18,000 * (1+2.9%)^9 = $23,281
And now using the money at the end of year 9 to compound at 2.3% for 12 years:
Future Value = $23,281 * (1+2.3%)^9 = $30,586
Final answer:
The student will have approximately $30,422.79 in their account after 21 years, given the two separate periods of interest rates applied to their initial deposit of $18,000.
Explanation:
The student wants to calculate the future value of two separate investments. The first is an $18,000 deposit that grows at a 2.9 percent annual interest rate for 9 years. The second growth period is at an annual rate of 2.3 percent for 12 years. The total time for both investments is 21 years.To find the future value of these investments, we use the formula for compound interest:
A = P(1 + r/n)^(nt)
Where:
A is the amount of money accumulated after n years, including interest.
P is the principal amount (the initial amount of money).
r is the annual interest rate (decimal).
n is the number of times that interest is compounded per year.
t is the time the money is invested for in years.
For the first 9 years, the interest is compounded annually at a rate of 2.9%, so:
A1 = 18000(1 + 0.029/1)^(1 x 9)
A1 = 18000(1.029)^9
A1 = 18000 x 1.291364
A1 = $23,224.55
Now, this amount becomes the principal for the next 12 years at an interest rate of 2.3%:
A2 = A1(1 + 0.023/1)^(1 x 12)
A2 = 23224.55(1.023)^12
A2 = 23224.55 x 1.309573
A2 = $30,422.79
Therefore, after 21 years, the total amount in the account is approximately $30,422.79.
Suppose a basket of goods and services has been selected to calculate the CPI and 2014 has been selected as the base year. In 2012, the basket's cost was $50; in 2014, the basket's cost was $52; and in 2016, the basket's cost was $58. The value of the CPI in 2016 was
Answer:
$111.53
Explanation:
CPI is a statistic applied to measure the average cost of a basket of usually-used goods and services in a period relative to some base period.
Consumer Price Index (CPI) = [tex]\frac{Current Period Price of the Basket}{Base Period Price of the Basket} \times100[/tex]
= [tex]\frac{58}{52} \times100 = 111.53[/tex]
Therefore, The value of the CPI in 2016 was $111.53 taking 2014 as base year.
In reviewing his company's operations, a risk manager noticed that all of the company's finished goods were stored in a single warehouse. The risk manager recommended that the finished goods be divided among three warehouses to prevent all of the finished goods from being destroyed by the same peril. Dividing the finished goods among three warehouses illustrates
Answer: risk control
Explanation: Risk control measures are measures taken in response to a risk factor that has the potential to cause accident or harm in an organization. The control measures can either be designed to reduce the risks or eliminate them completely, with the latter obviously being preferred. It is a plan-based business strategy that aims to identify, assess, and prepare for any potential dangers or hazards, both physical and figurative that may interfere with an organization's operations and goals.
Scenario 1: Suppose savers either buy bonds or make deposits in savings accounts at banks. Initially, the interest income earned on bonds or deposits is taxed at a rate of 20%. Now suppose there is a decrease in the tax rate on interest income, from 20% to 15%.
This change in the tax treatment of saving causes the equilibrium interest rate in the market for loanable funds to ____ and the level of investment spending to ____ .
Answer:
This change in the tax treatment of saving causes the equilibrium interest rate in the market for loanable funds to DECREASE and the level of investment spending to INCREASE.
Explanation:
Since the tax rates on savings decreased, more money will be available for saving which will increase the supply of loanable funds. When the supply of any good or services increases, its price decreases. In this case, the price of money is the interest rate.
Since the interest rate decreases, the total quantity demanded for loans will increase, increasing the level of investment spending.
To increase the sales of low-involvement products, marketing managers can: Group of answer choices focus on the package design of the products. promote the products extensively to the target market. design advertisements with highly emotional messages. adopt strategies used for marketing high-involvement products.
Answer:
focus on the package design of the products.
Explanation:
Low involvement products are by definition products that are purchased without having to pay much attention to the buying process. Convenience goods are usually low involvement products, and are generally low price goods that are purchased frequently, and they do not any risk to the buyer. For example, if you forget to buy Dove soap and instead you buy a Palmolive soap, nothing bad will happen to you or your property. On the other hand, if instead of buying gasoline for your car you purchase diesel, you might end up ruining your car's engine. Soap is considered a low involvement product while gasoline is not.
Since the buying decision process regarding low involvement products is fairly quick, attractive and colorful packaging usually helps to increase sales.
Gene Craft Inc. is the market leader in the pharmaceutical industry. Though most of its resources are common to those of its competitors, a few rare resources have helped the company gain and sustain a competitive advantage. Which of the following assets of Gene Craft Inc. is most likely to be considered a rare resource that is best contributing to its competitive advantage?
A. The company's land and buildings
B. The company's plant and machinery
C. The company's raw material supplies
D. The company's chemical patents
Answer:
The company’s chemical patents; option D
Explanation:
First, to properly answer this question, we need to know what is meant by the term competitive advantage.
The term competitive advantage refers to the availability of some conditions that places the company better as a superior business compared to its contemporaries. It simply refers to the surrounding or underlying circumstances that gives a business an edge over its competitors.
Now let’s look at the options given and evaluate their correctness.
A. Is wrong
The company’s land advantage does not confer any competitive advantage to the company
B is wrong
While this might be correct to an extent, it is not entirely correct. This is because even with a a high level plant and machinery, the unavailability of something tangible to be produced renders them
C is wrong
While it may be true to an extent, it is not correct in its entirety
D is right
This is because it is the actual drive that is making the product of the company compete better in the market. It is their patents that stands them out from competition
Answer:
The answer for the resources that is best contributing to Gene Craft's Inc competitive advantage as a market leaser in the pharmaceutical industry is option D) The company's chemical patents
Explanation:
Among all the options listed here, Chemical patents is the rare resource that is best contributing the competitive advantage Gene Craft Inc enjoys in the pharmaceutical industry.
Chemical Patent is the best move that prevents other companies from replicating the success that they currently enjoy as a manufacturer.
Chemical patents is a patent for an invention in the chemical or pharmaceuticals industry. It is backed up by legislation and any defaulting party is subject to prosecution and payment of damages that may accrue.
In the pharmaceutical industry, the patent protection of drugs and medicines is of utmost importance, because competitors are looking for drugs and medicines that sell to copy.
Significant research and development spending as well as high risks is associated with the development of a new drug but once another competitor sees the formula, they can easily copy same by analyzing the pharmaceutical substance.
To prevent this from happening and maintain the status of a market leader. Chemical Patent is the best competitive advantage.
A television commercial for an apparel brand urges viewers to call its toll-free number to place an order, immediately. The commercial announces a free gift hamper to consumers who place an order before midnight. The apparel brand is making use of
A. support advertising.
B. sales promotion.
C. ambient advertising.
D. direct-response advertising.
E. publicity.
Answer:
Direct-response advertising.
Explanation:
direct-response advertising is the method of advertising where the customers are urged to respond to the market throught the use of direct response mechanisms. Example of these devices are coupon to cut and mail, business card, toll free number, and hotspot to click.
When a television commercial for an apparel brand urges viewers to call its toll-free number to place an order immediately, and announces a free gift hamper to consumers who place an order before midnight. The company is using direct response advertising.
Answer:
Direct response advertising
Explanation:
In this scenario, the kind of approach being made use of by the television commercial is the direct response advertising.
What do we understand by this?
It is a kind of strategy that involves putting mechanisms in place in form of an attachment to the advert, telling or urging prospective customers to directly respond to the advert if they wish to. It is a kind of marketing strategy that makes it seamless for the potential customer to reach out to the company advertising its products.
squash patch currently has 120 pounds of butternut squash. For each additional day in the patch, the amount of butternut squash increases by 6 pounds. If the price of butternut squash is currently 80 cents per pound, but decreases by 2 cents each day, how long should the butternut squash grow to maximize the profit
Answer:
10
Explanation:
To maximize the profit, the butternut squash should grow for 370 days.
Explanation:To maximize the profit, we need to determine the point at which the marginal revenue equals the marginal cost. The marginal revenue is the price per pound, which is 80 cents, and the marginal cost is the decrease in price per pound, which is 2 cents. The marginal cost is also the rate at which the butternut squash increases by 6 pounds. So, we can set up the equation 80 - 0.02x = 6, where x is the number of days the squash grows. Solving for x, we find x = 370.
Answer:The butternut squash should grow for 370 days to maximize the profit.
Learn more about Maximizing profit here:https://brainly.com/question/33809682
#SPJ3
Which person is responsible for the financial support of the production and, working closely with the director, also contributes to many "directorial" decisions in the production process?
Answer:
The correct answer is The producer.
Explanation:
Production managers are the professionals who guarantee the proper functioning of a company's production.
Most production managers have responsibilities both at the factory and in the office. They often act as a liaison between factory administrators and senior management of the company. The particular characteristics of their work vary according to the industry for which they work.
Its functions include:
The planning and supervision of employee work; Supervision of production or manufacturing processes in manufacturing companies; Stock control and warehouse management; The resolution of incidents (such as machinery breakdowns, for example); The management of material resources; The search for strategies to increase the efficiency and effectiveness of production; Innovation and the design of products or services, etc.Stephanie is looking to replace her coffee maker that only makes four pots of coffee. She wants a coffee maker that produces more, but has very little space in her kitchen. ___________ describes a requirement (must have) characteristic when Stephanie purchases her coffee maker?
Answer:
The size of the coffee maker describes a requirement characteristic when Stephanie purchases her coffee maker
Explanation:
Stephanie has a space constraint in her kitchen as well as output constraint with respect to the existing coffee maker,hence,in resolving the two issues she has opted a smaller coffee maker that can turn out more coffee pots.
In order to strike a balance between two opposing views,Stephanie could either create more to accommodate a bigger coffee maker or buys a smaller super-efficient coffee maker that is more expensive.
Without, I think Stephanie would prefer the latter suggestion
Harmonization of accounting standards:_______. A. Is the same as convergence of accounting standards.B. Always ensure resulting of comparable financial statements internationally.C. Forces accounting difference to be resolved through litigation.D. Refers to the reduction of alternatives while retaining a high degree of flexibility in accounting practices.
Answer:
A. Is the same as convergence of accounting standards
Explanation:
Harmonization of accounting standards mean the process of increasing the compatibility of accounting practices by setting bounds for the degree of variations.
The notion of harmonization can be replaced by the concept of convergence.
Harmonization of international accounting standards is an imposition of standards by economically superior countries.
Some companies use a 360-degree feedback process, which includes feedback from an employee's subordinates, peers (colleagues), and supervisor(s), as well as a self-evaluation by the employee him or herself. This approach would be particularly useful in a:_____________.
The 360-degree feedback process provides a comprehensive method of performance appraisal in organizational settings, encompassing feedback from various sources including the employee themselves. It helps identify improvement areas and promotes professional development among employees. However, its effectiveness depends upon the culture and alignment with other performance management strategies of the organization.
Explanation:The 360-degree feedback process is particularly useful in organizational settings where evaluation of an employee's performance and development is needed. Not only does it involve the employee's self-assessment, but also takes into account the perspectives of their subordinates, peers, and supervisors. While some studies, like Atkins and Wood (2002), suggest variability in these ratings due to their subjective nature, other perspectives, like Tornow (1993a) see these discrepancies as opportunities for greater learning and professional development.
Fundamentally, the 360-degree feedback process is used to provide performance appraisal, with the larger goal of identifying areas of improvement and promoting self-development among employees. As such, it can be instrumental in decisions about an employee's position, remuneration, and potential training needs. Through this method, the qualities being evaluated gain a holistic view, making the process more comprehensive and meaningful.
Learn more about 360-degree Feedback Process here:https://brainly.com/question/33490451
#SPJ11
The 360-degree feedback process, involving feedback from various sources like subordinates, peers, supervisors, and self-evaluation, is particularly useful in a leadership development context.
It helps leaders gain a comprehensive understanding of their strengths, weaknesses, and areas for improvement from multiple perspectives.
This approach fosters self-awareness, promotes accountability, and supports professional growth by providing valuable insights into leadership effectiveness, interpersonal skills, and overall performance. Therefore, the 360-degree feedback process is highly beneficial for developing and refining leadership capabilities in individuals and enhancing organizational effectiveness.
complete question:-
Some companies use a 360-degree feedback process, which includes feedback from an employee's subordinates, peers (colleagues), and supervisor(s), as well as a self-evaluation by the employee him or herself. This approach would be particularly useful in a:_____________.
A customer has $24,000 to invest in mutual fund shares. The registered representative advises the customer to invest $8,000 on ABCD fund; $8,000 in DEFF fund; and $8,000 in XYZZ fund; to give the customer complete diversification and reduce risk. These 3 funds all have different sponsors. This action is:________ A) appropriate for the customer B) a violation known as a breakpoint sale C) a violation known as spinning D) a violation known as interpositioning
Answer:
A) Appropriate for the customer
Explanation:
By helping the customer divest his investment through placement in 3 different funds to reduce exposure in the event of failure is at best a conservative approach, which is the intrinsic nature of mutual funds. Low risk and fairly lucrative over time.
The customer's decision to invest equally in three different mutual funds, as advised, is appropriate because it aligns with the investment strategy of diversification. This approach mitigates risk by not concentrating the investment in a single fund or company, thus, is not a regulatory violation but a prudent investment choice.
Explanation:Investing in mutual funds is a strategy recommended by financial investors to achieve diversification. Diversification involves spreading out investments among various entities to reduce risk, akin to not putting all eggs in one basket. When a customer decides to invest an equal amount in three different mutual funds with different sponsors, as suggested, it is adhering to the principles of diversification. This strategy is designed to protect against significant losses that may occur if one focuses their investment in a single company or fund. Thus, the action described is appropriate for the customer.
It does not constitute a violation like a breakpoint sale, spinning, or interpositioning. A breakpoint sale refers to selling mutual fund shares in amounts just below the level for a reduced sales charge, spinning involves the practice of allocating IPO shares for an improper benefit, and interpositioning refers to the unnecessary inclusion of a third party between a broker and the best market for a client's transaction, which usually adds additional costs without any benefit to the client. The described investment strategy does not involve these practices but rather focuses on spreading investment risk by allocating funds into multiple mutual funds managed by different sponsors.
Franklin, John, Henry, and Harry have decided to pool their financial resources and business skills in order to open up and run a coffee shop. They will share any profits or losses that the business generates and will be personally responsible for making good on any debt that their business undertakes.
Their business should be classified as a
Answer:
Their business should be classified as a Partnership.
Explanation:
The three major types of businesses are Sole Proprietorship, Partnership & Corporation. Sole Proprietorship has only one member and corporations have shared ownership and big in size. Partnerships are businesses in which a small number of people decide to pool in and start a business and are personally liable for any business debts. In this case the coffee shop opened by Franklin, John, Henry, and Harry would be classified as a Partnership.
Partnerships have a limited life and it will dissolve if any of Franklin, John, Henry, and Harry decide to leave the partnership unless stated otherwise in the charter of the partnership.
If the market for wedding cakes is perfectly competitive, and wedding cakes sell for $95 each, then at her profit-maximizing level of output, Sarah will earn a ______ of ______ per day.
Answer:
Blank 1: Loss
Blank 2: $15
Explanation:
Following table is necessary for the calculation required:
Number of cakes per day: 0, 1, 2, 3, 4, 5, 6
Total cost per day: $100, $180, $220, $300, $400, $520, $660
The workings are attached in the document below:
To determine Sarah's daily profit from selling wedding cakes in a perfectly competitive market, we need to know her marginal costs and the quantity of cakes sold. Profit is maximized when marginal cost equals marginal revenue, which is the market price in perfect competition. Without these costs, we cannot calculate exact profits but can understand the profit-maximization principle with an example from a different business.
Explanation:The question refers to finding the profit-maximizing output level for Sarah's wedding cakes in a perfectly competitive market where each cake sells for $95. To determine Sarah's profits, we would need to know her costs associated with producing the wedding cakes. However, since these details are not provided, we cannot calculate her exact profit. Typically, in a perfect competition, profit is maximized when a firm's marginal cost (MC) equals its marginal revenue (MR), which is the price of the product in this market structure. Therefore, if Sarah's marginal cost of making a wedding cake is less than $95, her economic profit per cake would be the difference between $95 and her MC. Multiplying this profit per unit by the number of cakes she sells per day would give us her total profit.
In a scenario exemplified by Mama's pizzeria, where the marginal cost and the average total cost can be determined, the profit per unit can be calculated. For instance, if Mama's sells pizzas for $10.40 each and the cost per unit is $9.20, the economic profit per unit is $1.20. Given a production of 2,150 pizzas per week, the total economic profit amounts to $2,580 per week. Similarly, for Sarah's wedding cakes, we would need to know her costs per cake and the quantity produced to calculate her profits accurately.
If Delta Airlines were to significantly change its fare structure and flight schedule to enhance its competitive position in response to aggressive price cutting by Southwest Airlines, this would be an example of
72) ______
A) explicit collusion.
B) competitive dynamics.
C) a harvest strategy.
D) tacit collusion.
Answer: Option B
Explanation:
Competitive dynamics means the business organisations take actions based on the competitors in the market in order to maintain their competitiveness in the business. The businesses try to protect their competitive advantages by reacting similarly to the competitors in the market.
Explicit collusion means businesses together try to rise the market price. Harvest strategy means to reduce the market spending on the products in the market. In tactic collusion the business try to reduce the reaction of the other firms for the action taken by them.
The objective of a best-cost strategy is to: a. Deliver superior value to value-conscious buyers at a comparatively lower price than rivals. b. Out-compete rivals using low-cost provider strategies. c. Translate its best-cost status into achieving the highest profit margins of any firm in the industry.
Answer:
a. Deliver superior value to value-conscious buyers at a comparatively lower price than rivals.
Explanation:
The objective of a best-cost strategy is to: Deliver superior value to value-conscious buyers at a comparatively lower price than rivals.
A best-cost strategy is built on product offering that guarantee customers better value for money by focusing both on low cost and upscale difference.
The ultimate goal of the best-cost strategy is costs and prices reduction to a point lower than other providers of similar products with comparable quality and features.
If a surplus exists in a market we know that the actual price is
Answer:
The price is above equilibrium; quantity supplied is more than quantity demanded.
Explanation:
A surplus in the market means the actual price of a product is above the equilibrium point. The quantity supplied is much more than the quantity demanded. A considerable population of buyers will not afford the product due to its high price.
Higher prices will cause the demand for goods to decrease in the market. When there is a surplus in the market, sellers will tend to reduce the price hence increasing the quantity demanded. This will decrease the quantity supplied. The buyers will now afford the product.
A surplus in a market indicates that the actual price is above the equilibrium price, causing producers to supply more of the good than consumers are willing to purchase.
Explanation:In an economic context, if a surplus exists in a market, this suggests that the actual price of a specific good or service is above the equilibrium price. The equilibrium price, also known as the market-clearing price, is the price at which the quantity demanded by consumers equals the quantity supplied by producers. When the actual price is higher than this equilibrium level, producers are willing to supply more of the good than consumers are willing to buy, resulting in a surplus.
Learn more about Market Surplus here:https://brainly.com/question/31646697
#SPJ6
During the Bretton Woods Period the dollar was pegged to the gold at $35/oz. The German mark was pegged to the dollar at DM10/$. If the price of gold in pounds was £17.5/oz. What was the exchange rate between the German mark and the british pound?
Answer: 20 DM/GBP
Explanation:
The exchange rate is determined by following conversion:
[tex]x = (\frac{10 DM}{1 USD})\cdot (\frac{35 USD}{1 oz}) \cdot (\frac{1 oz}{17.5 GBP} ) \\x = 20 \frac{DM}{GBP}[/tex]
A monopolistically competitive market consists of __________ seller(s), an oligopoly consists of __________ seller(s), and a monopoly consists of one seller.
Answer:
very many, few
Explanation:
The monopolistic competition consists of many sellers offering differentiated products. There are minimal barriers to entry or exit of the industry. Advertising and marketing of products are high due to increased competition. No single firm has the power to set prices.
An oligopoly consists of few but large firms dominating a big market. There could be other smaller firms with a small percentage of the market share. Firms in an oligopoly market mat collaborate to look out new entrants. This market is characterized by heavy advertising, with firms offering either homogeneous or differentiated products. The objective of each firm is to maximize profits, which makes all the firm to set high prices.
Joe Smith earns $72,000 per year. His bank uses a rule that PITI must be equal to or less than one third of gross monthly income. If his home owner's insurance is $100 per month, roughly how much of a monthly payment can Joe afford including taxes over and above the $100 for insurance?
Answer:
Total Monthly payment = $1,900
Explanation:
Given:
Annual earning = $72,000
PITI (Principal, Interest, Taxes,Insurance) = 1/3 of Gross Monthly income
Monthly expenses = $100
Computation:
Gross Monthly income = Annual earning / 12
Gross Monthly income = $72,000 / 12
Gross Monthly income = $6,000
PITI (Principal, Interest, Taxes,Insurance) = 1/3 of Gross Monthly income
PITI (Principal, Interest, Taxes,Insurance) = 1/3 × ($6,000)
PITI (Principal, Interest, Taxes,Insurance) = $2,000
Total Monthly payment = PITI - Monthly expenses
Total Monthly payment = $2,000 - $100
Total Monthly payment = $1,900
Joe Smith can afford a monthly mortgage payment of $1,900 for principal, interest, and taxes, provided the total PITI does not exceed $2,000, which is one-third of his gross monthly income of $6,000, after accounting for his $100 homeowner's insurance.
Explanation:To calculate the amount Joe Smith can afford for his monthly mortgage payment, including taxes, we must adhere to his bank's rule that the PITI (Principal, Interest, Taxes, and Insurance) should not exceed one-third of his gross monthly income. Joe earns $72,000 per year, which translates into a gross monthly income of $6,000 ($72,000 divided by 12 months). One-third of this amount is $2,000 ($6,000 times one-third).
Given that Joe's homeowner's insurance is $100 per month, we need to subtract this amount from the $2,000 to determine how much is available for the rest of the monthly PITI payment. So, Joe can afford $1,900 per month for his principal, interest, and taxes after the insurance cost is deducted.
Note: This calculation does not include other potential expenses like mortgage insurance, which might be required if Joe's down payment is less than 20% of the home purchase price.
Which of the factors listed below contribute to the market value of a going concern? intangible assets market value of assets value of future investments extra earning power past share price
Answer:
intangible assets
market value of assets
extra earning power
Explanation:
As an accounting principle, going concern value means the value of a business or its assets considering that the business will continue to operate in the reasonable future. This is the opposite to the value assigned to assets or businesses that are being discarded or liquidated.
When you are trying to valuate a company, you have to consider the fair market value of its assets, its intangible assets, and its earning power (its ability to make higher than average profits).
The past share price is not useful in determining the present of the company and the value of future investments cannot be included until the investments are carried out.
Making formal statements, holding rites and rituals, utilizing employee training and coaching, demonstrating how a leader reacts to a crises, being a role model, and giving rewards, promotions, and bonuses are some of the teaching methods that organizations can utilize to ____.
effect corporate change
Answer:
Effect Corporate Change
Explanation:
Making formal statements, holding rites and rituals, utilizing employee training and coaching, demonstrating how a leader reacts to a crises, being a role model, and giving rewards, promotions, and bonuses are some of the teaching methods that organizations can utilize to effect corporate change. Change is one of the important and most difficult process for any organization. It needs to be carried out slowly as it has been manifested in the above given statement as well. Employees need to be given training, promotions, rewards and bonuses, they must be listened, their concerns should be addressed in order to make change process easy and smooth.
Patterson Corporation began the year with retained earnings of $325,000. During the year, the company issued $500,000 of common stock, recorded expenses of $1,500,000, and paid dividends of $90,000. If Patterson’s ending retained earnings was $350,000, what was the company's revenue for the year?A. $1,615,000
B. $1,800,000
C. $1,525,000
D. $700,000
Answer:
The company's revenue for the year is $1,615,000.
The correct option is A. $1,615,000.
Explanation:
Given:
Patterson Corporation began the year with retained earnings of $325,000. During the year, the company issued $500,000 of common stock, recorded expenses of $1,500,000, and paid dividends of $90,000.
If Patterson’s ending retained earnings was $350,000.
Now, to find the company's revenue for the year.
Opening Retained earnings = $325,000.
Common stock = $500,000.
Recorded expenses = $1,500,000.
Paid dividends = $90,000.
Closing Retained earnings = $350,000.
Now, to get the revenue of the company we put formula:
Revenue = (Recorded expenses + paid dividends + closing Retained earnings) - opening Retained earnings
[tex]Revenue=(1500,000+90,000+350,000)-325,000[/tex]
[tex]Revenue=1940000-325000[/tex]
[tex]Revenue=1615,000.[/tex]
Therefore, the company's revenue for the year is $1,615,000.
The correct option is A. $1,615,000.
The purpose of many business messages is to make a request or to reply to previously received communication. Familiarize yourself with the organization of these messages so you can communicate your purpose and achieve a positive outcome. Read the scenario. Your manager asks you for advice about a request e-mail she is composing to a customer. What advice would you give?A. Give an approximate date for the deadline in the body.B. Place the deadline in the opening.C. Set an end date to take action in the closing. Read the following request message.To: Customer Support From: Helen Martin Subject: Warranty Information for Netbook ComputerRevision A: 1. Where do I find my warranty information?2. How long does the average netbook repair take?3. Do I need to mail in my netbook for repairs or bring it to your local repair shop?Revision B: 1. Where is my warranty information? B. How long does the average repair take? C. Do I have to mail in my netbook?Revision C: Where do I find the information?How long does it take?Can I take it to my local shop?Which of the preceding revisions is the best revision for the body of this message?A. Revision BB. Revision CC. Revision AComplete the following sentence with the drop-down menu.Direct response messages might _______.a. include long, flowery descriptions.b. use the "me" view.c. supply explanations and additional information.Read the scenario: You manage the social media presence of a company that manufactures travel apparel and gear. A customer posts an angry comment about a suitcase that failed to function properly after its first use. This is not the first complaint the product has received. How should you respond to the customer?A. Acknowledge the problem, and let the customer know that the company is working to rectify the situation.B. Document and delete the comment. You don’t want news of the flawed product to spread.C. Let the comment stand. No response is necessary.
Answer:
These are typical day-to-day Customer engagements Businesses have to maintain to stay relevant for a long time or have a bunch of disgruntled Customers who can destroy their Business through negative reviews.
Explanation:
It is very unlikely Businesses won't encounter product failures or products not performing to the expectations they have advertised to the Buying public; hence the need for a robust Customer Service team to quickly make corrections to such failures.
Scenario A:
The Customer unsure of where to find her Netbook Computer warranty details, and also needing guidance on whether to mail the item across or come physically to the local repair shop and also requesting the average time it takes to correct the problem`requires an answer.
The correct response would be to supply explanations and provide additional information to ease the pain of this customer. The average repair time should be indicated in the body of the mail with indications on some of the type of problems that have been resolved in the past and time it took to get the repairs completed.
Scenario B:
The Customer who posted angry comment about a failed suitcase has every right to be angry. The situation he found himself may have been very embarrassing leading to having to share luggage with a Partner or shop for a new suitcase all together; as such the response needs to be re-assuring, comforting and seeking to make amends for the blunder.
Thus, the proper feedback will be to acknowledge the Problems, get the Customers details and forward it for resolution; whilst assuring the Customer the company is working to rectify the situation
To compose effective business messages, place the action date in the message's closing. Precise language such as that in Revision A is superior. Direct responses should provide additional explanations and information. Finally, handle social media criticism by acknowledging the problem.
Explanation:Regarding the advice for your manager, I would suggest option C. Set an end date to take action in the closing. This is because the conclusion of the message is the last thing the reader sees, and it leaves a lasting impression of urgency and the need for action. As for the best revision of the body message, option A. Revision A would be the best. This version is more precise, which will help avoid miscommunication. Direct response messages could c. supply explanations and additional information as they are designed to provide direct, clear responses with enough context. On handling social media criticism, option A. Acknowledge the problem would be the best approach. This shows that the company values customer feedback, is proactive in resolving issues, and favours transparency.
Learn more about Effective Business Communication here:https://brainly.com/question/32799499
#SPJ3
Indicate whether the scenarios would result in an increase, a decrease, or no change in the long-run aggregate supply (LRAS) curve for a hypothetical economy. Each label may be used more than once.1. The mandatory retirement age in Wonkaland is abolished. 2. Wonkaland's main export is candy. Candy from this country increases in popularity as consumers all over the world want to buy Wonkalandian candy. 3. Since candy from Wonkaland has become an international sensation, factories in Wonkaland double the number of candy making machines. 4. The top candy companies in Wonkaland chose to relocate their means of production to other countries around the world.
Answer:
1. The mandatory retirement age in Wonkaland is abolished.
INCREASE IN THE LONG RUN AGGREGATE SUPPLY CURVE: greater use of labor2. Wonkaland's main export is candy. Candy from this country increases in popularity as consumers all over the world want to buy Wonkalandian candy.
NO CHANGE IN THE LONG RUN AGGREGATE SUPPLY CURVE3. Since candy from Wonkaland has become an international sensation, factories in Wonkaland double the number of candy making machines.
INCREASE IN THE LONG RUN AGGREGATE SUPPLY CURVE: greater use of capital investments4. The top candy companies in Wonkaland chose to relocate their means of production to other countries around the world.
DECREASE IN THE LONG RUN AGGREGATE SUPPLY CURVE: lower use of capital investmentsExplanation:
The long run aggregate supply curve is only affected by changes in capital, labor and technology. If the use of these factors increases, the LRAS curve will increase, if their use decreases, then the LRAS curve decreases.
Center City enacts an ordinance that imposes a jail term, without a trial, on all contractors who solicit business without a city permit. A court would likely review this ordinance under the principles of:________.
a. equal protection.
b. due process.
c. free speech
d. free exercise.
Answer:
b. due process.
Explanation:
Due process -
It refers to as the legal notice , where all the legal rights of the person need to be respected by the law , is referred to as due process .
It enables to help the person from the power of law of land , as it protects the person from any harm by the government , then this law comes into action .
Hence , from the given scenario of the question ,
The correct answer is b. due process.