Answer:
The correct answer is c. Prospect theory.
Explanation:
Prospective theory belongs to behavioral economics and stands out as an alternative model to the expected utility theory, since the validity of the rational agent's neoclassical assumption is questioned. This theory was developed by Nobel laureate Daniel Kahneman and his collaborator Amos Tversky in his »Prospect Theory: An Analysis of Decision under Risk” (1979). They used the results obtained from both his own empirical observations, as of several experiments.
Individuals set preferences based on a specific situation and circumstances, rather than in absolute terms. This means that depending on their initial situation, agents will act in one way or another. One of the results of this reasoning leads to behavioral asymmetries between situations of possible losses or gains. Individuals, for example, are generally more risk averse than profit lovers. An endowment effect is also derived from this analysis, since the compensation required by someone to dispose of a good is greater than what they would be willing to pay to acquire it.
Eureka Pizza is considering investing in new infrared oven technology that allows them to cook their pizzas faster and more completely. Because none of his competitors are making this investment, they will be a first mover. According to the text, what is the biggest issue with Eureka being a first mover?
Answer:
The risk of being the first mover can be a few. The first and most important of all is the copy effect. Competitors, seeing the success the first mover is having, will try to copy and improve upon said new technique. Another one is that being the first mover is expensive since it is the first one to invest in new techniques. And, with that cost, comes the risk of losing investment in something that we can't know if it will make success because there's no history about it. We can mention regulatory resistance as well since depending on what new technique it is, it can be harder to obtain a regulatory license for it.
13. The work day has just started and you receive reports that the inventory management server is not accessible on your company's network. You recall that the new network administration assistant was working on that server last night. Which tool can you use to determine if the network administration assistant left that server's NIC disabled?
Answer:
Server Manager
Explanation:
Based on the scenario being described within the question it can be said that the best tool for this would be Server Manager. This is a management console tool that allows individuals to manage servers from a desktop computer either locally or remotely. This tool will allow you to determine if the network administration assistant left that server's NIC disabled remotely from anywhere with an internet connection.Thus making it the best option.
Beginning inventory, january 1: $4,000 net sales: $80,000 net purchases: $78,000 the company's gross margin ratio is 25%. using the gross profit method, the estimated ending inventory value would be:
Answer:
$26,000
Explanation:
Beginning inventory, january 1: $4,000
net sales: $80,000
net purchases: $78,000
If the company's gross margin ratio is 25%. using the gross profit method, the estimated ending inventory value would be derived from the formula -
1. Beginning inventory + Purchases - ending inventory = Cost of Goods Sold.
and
2. Sales - Cost of Goods Sold = Gross profit.
Therefore beginning from 2. If the gross profit is 25%, then the Cost of Sales is 75% of Sales value which is 0.7 x $80,000 = $56,000
Therefore going to formula 1 above, and using 56,000 as the value of Cost of goods sold:
Beginning inventory + Purchases - Ending inventory = Cost of Goods Sold. which implies that 4,000+78,000 - ending inventory = $56,000
Therefore ending inventory = 78,000 + 4000 - 56,000 = $26,000
Answer:
$22,000
Explanation:
cost of goods sold = beginning inventory + purchases - ending inventory
beginning inventory = $4,000net purchases = $78,000COGS = ?ending inventory = ?COGS = 75% of total sales = 75% x $80,000 = $60,000
$60,000 = $4,000 + $78,000 - ending inventory
ending inventory = $82,000 - $60,000 = $22,000
Dynamic Production Services started the year with total assets of $120,000 and total liabilities of $55,000. The revenues and the expenses for the year amounted to $100,000 and $80,000, respectively. During the year, the company did not issue any common stock, but it distributed dividends of $50,000. Calculate Dynamic's net income for the year.
Answer:
$20,000
Explanation:
The income statement shows the revenue and expenses of an entity for a period. The difference between the entity's revenue and expenses gives the net income.
The balance sheet on the other hand shows the company's assets and liabilities, the difference of these is the owners equity.
Hence Dynamic's net income for the year,
= $100,000 - $80,000
= $20,000
Unlike a cost competitive advantage, a sustainable competitive advantage: a. is not attractive because of its durability. b. cannot be copied by the competition. c. lowers costs by removing frills. d. does not offer any low-priced products. e All the Above
Answer: b. cannot be copied by the competition
Explanation: Sustainable competitive advantage is an advantage that cannot be copied by the competition.
It is difficult for the competition to copy due to the rapid emergence of new products and competitors.
The money interest rate is the percentage of the amount borrowed that must be paid to the lender in addition to the repayment of the principal. The real interest rate reflects the actual burden on borrowers and the payoff to lenders after accounting for the impact of inflation. True or false?
The given statement is TRUE
Explanation:
When the modification is done in order to remove the results of inflation and to show the real cost of the amount or money that has been raised, or the real yield on the amount of money that is given by the lender is the real interest rate.
When the total amount inclusive of the principal amount that has been borrowed from the lender along with the interest on it is to be paid back, then such interest rate is known as the money interest rate.
Therefore, as per the given information in the question, the statement is TRUE.
The given statement is TRUE
Explanation:
When the modification is done in order to remove the results of inflation and to show the real cost of the amount or money that has been raised, or the real yield on the amount of money that is given by the lender is the real interest rate.
When the total amount inclusive of the principal amount that has been borrowed from the lender along with the interest on it is to be paid back, then such interest rate is known as the money interest rate.
Therefore, as per the given information in the question, the statement is TRUE.
On January 2, 2019, Kornis Corporation acquired equipment for $ 300 comma 000. The estimated life of the equipment is 5 years or 80 comma 000 hours. The estimated residual value is $ 40 comma 000. What is the balance in Accumulated Depreciation on December 31, 2019, if Kornis Corporation uses the doubleminusdecliningminusbalance method of depreciation?
Answer:
$120,000
Explanation:
The computation of the accumulated depreciation for the December 31,2019 using the double -declining method is shown below:
First we have to find the depreciation rate which is shown below:
= One ÷ useful life
= 1 ÷ 45
= 20%
Now the rate is double So, 40%
In year 1, the acquired cost is $300,000 , so the depreciation is $120,000 after applying the 40% depreciation rate
Pell Manufacturing is preparing its direct labor budget for May. Projections for the month are that 33,400 units are to be produced and that direct labor time is three hours per unit. If the labor cost per hour is $12, what is the total budgeted direct labor cost for May
Answer:
Direct labor cost= $1,202,400
Explanation:
Giving the following information:
Projections for the month are that 33,400 units are to be produced and that direct labor time is three hours per unit. The labor cost per hour is $12.
First, we need to calculate the total amount of direct labor hours required:
Total numbers of hours= 33,400 units*3= 100,200 hours
Now, we can calculate the total cost:
Direct labor cost= 100,200*12= $1,202,400
Explanation:
Below is an attachment containing the solution
An option trader writes 5 June 255 calls at 3 and 5 June 245 puts at 2. If the trader later repurchases the calls at 4 and the puts expire worthless, the trader's profit or loss will be:
Answer:
$500 profit
Explanation:
The calls are being made at 4. Therefore, the trader would be receiving
Income = 1000+1500 = $2500
The calls were purchase at 4 and puts expired worthless.
This implies; at 4 = 4×5 = 20
20×100 = $2000
Net profit/loss = 2500 - 2000
Net profit = $500
E-commerce creates a great deal of data on how consumers interact with a website. L.L.Bean keeps records that show how quickly consumers make decisions, how many alternatives they explore, and whether they stop without completing a purchase. When a manager sees an issue and proposes a solution, the company can easily test the solution. This is an example of:________.
Answer:
evidence based decision making
Explanation:
Evidence made decision making refers to making decisions about issues related to the company or person based on available information gathered through experiential evidence (i.e. things that happened before).
In this case, L.L. Bean has huge amounts of information about their customers and their purchasing habits. When the company must decide about any issue or proposed ideas, they will test those ideas with the information stored at their databases. It is a way of simulating a potential outcome based on existing evidence.
Charles purchases 20 basketball tickets per year when his annual income is $50,000 and 25 basketball tickets when his annual income is $60,000. Charles’s income elasticity of demand for basketball ticket is ________.a) 0.82, and basketball tickets are a normal good. b) 0.82, and basketball tickets are an inferior good c) 1.22, and basketball tickets are an inferior good d) 1.22, and basketball tickets are a normal good
Answer:
d) 1.22, and basketball tickets are a normal good
Explanation:
Given that
Q1 = 20
Q2 = 25
P1 = 50000
P2 = 60000
Income elasticity = (Q2 - Q1)/(Q2 + Q1) ÷ (P2 - P1)/(P2 + P1)
therefore,
IE = (25 - 20)/(25 + 20) ÷ (60000 - 50000)/(50000 + 60000)
= (5/45) ÷ (10000/110000)
= 0.11111 ÷ 0.09090
= 1.22.
Normal goods are those goods that demand increases with increases in income. Therefore, in this case basketball is a normal good as there was an increase in demand with increase in income. Also normal goods has positive income elasticity, given that 1.22 is positive, it also indicates that it is a normal good.
Answer:
d) 1.22, and basketball tickets are a normal good
Explanation:
Income elasticity of demand measures the responsiveness of quantity demanded to changes in price of the good.
Elasticity of demand = percentage change in quantity demanded/ percentage change in income
Percentage change in income = (60,000 - 50,000) / 50,000 = 0.5
Percentage in quantity demanded = (25-20)/20=0.25
0.25/0.5 = 1.25
A normal good is a good whose demand increases when income increases and falls when income falls.
It varies directly with income.
An inferior good is a good whose demand increases when income when income falls and falls when income rises.
Because the demand for tickets increases with income, the tickets are a normal good.
I hope my answer helps you
If ABC 10% bond closed at 101 3/8 down 3/4 for the day and would provide a current yield of 9.87%. The current yield if the bond had been purchased on the previous trading day would be:
The current yield of the ABC 10% bond if it were purchased the previous day at a price of 102 1/8 would have been 9.79%.
Explanation:The question revolves around the concept of the current yield of a bond and how it is affected by changes in the bond's market price. Since the ABC 10% bond closed at 101 3/8 and went down by 3/4 for the day, its previous closing price would have been 101 3/8 + 3/4, which is 102 1/8. To calculate the current yield if purchased on the previous day, use the formula for current yield, which is annual coupon payments divided by the market price of the bond.
If the bond's face value is $1,000 and the annual coupon rate is 10%, the annual coupon payment is $100. Purchasing the bond at 102 1/8 (which is $1,021.25 in market price), the current yield would have been:
Current Yield = (Annual coupon payment / Market price) * 100
Current Yield = ($100 / $1,021.25) * 100
Current Yield = 9.79%
As part of his senior project, Kevin is conducting a survey of eating attitudes and behaviors among young adults. Kevin distributes questionnaires to 150 randomly selected students enrolled in lower-level psychology courses at his university. These students make up Kevin's
Answer:
sample.
Explanation:
The 150 students that received Kevin's questionnaire are considered the research sample, while young adults in general would be considered the research population. The whole idea behind using a sample is that you can extrapolate the data obtained from the sample to the whole population.
Jerome uses the formula, P = 2DB, to find his approximate six-month premium when his driver risk factor, D, is 1.02 and the basic six-month premium is $500.What will his monthly premium be?
Answer:
Approximate one-month premium = $170
Explanation:
To find his approximate six-month premium, Jerome uses P = 2DB.
Given,
D = Driver risk factor = 1.02
B = basic six-month premium = $500
We have to find out P = approximate six-month premium.
Putting the values into the formula we can get,
Approximate six-month premium = 2DB
Approximate six-month premium = 2 × 1.02 × $500
Approximate six-month premium = $1,020
Approximate one-month premium = $1,020 ÷ 6
Approximate one-month premium = $170
Answer:
Approximate one-month premium = $85
Explanation:
Bc it has to be!!!
Btw the answer above is wrong
Two small airlines provide shuttle service between Las Vegas and Reno. The services are alike in every respect except that Fly Right bought its airplane for $500,000, while Fly by Night rents its plane for $30,000 a year. If Fly Right were to go out of business, it would be able to rent its plane to another airline for $30,000. Which airline has the lower costs?
Answer:
the economic cost is the same for both airlines
Explanation:
The economic cost considers both accounting and implicit costs. Fly by Night's economic cost = $30,000 per year which is equal to its annual lease. Fly Right's economic cost is also $30,000, because that is the opportunity cost of using the airplane. If they decided to buy a bigger (or smaller) plane, they could lease this one at $30,000, so that is its economic cost.
A college professor wants to know if the university students in the Unites States will find the new textbook that he has authored to be interesting and useful. He chooses all marketing majors at the school he teaches as his sample. He believes that this group of students will be representative of the university student population in the United States. In this scenario, the professor is most likely using:_______. a. area sampling.b. judgment sampling.c. cluster sampling.d. quota sampling.e. census sampling
Answer:
b. judgment sampling.
Explanation:
In this scenario, where he believes that this group of students will be representative of the university student population in the United States, the professor is most likely using Judgment or Expert sampling which is normally used in circumstances where the pointed population involves very intelligent people like student of the University of United States here who cannot be determined by using any different type of probability or non-probability sampling method.
The professor is using judgment sampling, where the sample is selected based on his own judgment rather than random selection, which often introduces biases.
Explanation:The college professor's belief that marketing majors at his own school can represent university students across the United States is an example of judgment sampling. Judgment sampling involves the selection of a sample based on the judgment of the researcher, rather than using random or statistical methods to ensure a representative sample. This form of sampling relies on the belief that the chosen sample will be typical or representative of the broader population, though it often introduces various biases and isn't guaranteed to accurately represent the larger group.
Which of the following completes the sentence, 'A person who shares their views about a product or service, even though they are not affiliated with the company, is referred to as ______'
Answer:
The correct answer is Citizen advertisers.
Explanation:
An advertiser is the company, organization or individual that pays for an advertising space or time to present an ad or persuasive message to the public. It comes from the Latin verb annunciare which means to announce or make known a story.
The system of presenting the advertisement is known as advertising. Through advertising, advertisers seek to generate greater consumption of their products or services through the "brand", which associates the name of the product or image with certain qualities in the minds of consumers. Advertisers are not always commercial, being able to spend money to advertise other elements than a product or service to the consumer, such as political parties, interest groups, religious organizations and government agencies.
Young children are permitted to work in the manufacturing of soccer balls in Pakistan, but this would not be legal in the United States. However, a company wants to sell these soccer balls in the United States to Kick-Rite Sports Equipment and Kick-Rite is not sure it wants to sell these particular soccer balls. This is an example of a(n) ______ dilemma.
Answer:
no jodas
Explanation:
____ are best described as unique strengths, embedded deep within a firm, that allow a firm to differentiate its products and services from those of its rivals, creating higher value for the customer or offering products and services of comparable value at lower cost.
Answer:
Core Commpetencies.
Explanation:
Core competencies are best described as unique strengths, embedded deep within a firm, that allow a firm to differentiate its products and services from those of its rivals, creating higher value for the customer or offering products and services of comparable value at lower cost. Firm can attain sustainable competitive advantage on the bsae of their core competencies as well. Every organization should work hard to find out the different products, services, channels and technology in order to generate not only sales but better positioning in the market as well which then will be harded for the competitors to imitate and copy.
Elyon holds a savings account in the Rochester City Bank in the United States. During an economic downturn, the bank suffers great losses. Elyon, however, is insured under the Federal Deposit Insurance Corporation and his savings are protected as the insurance covers his deposit value. Which of the following laws ensured the protection of depositors from a bank's failure?
A. The Sarbanes-Oxley Act
B. The Glass-Steagall Act
C. The Gramm-Bliley-Leach Act
D. The Securities Act
Answer:
Option B The Glass-Steagall Act
Explanation:
According to the Glass-Steagall Act, the commercial banking was separated from the investment banking. This was made to provide the investor investment security by creation of the Federal Deposit Insurance Corporation.
So here Elyon will be entertained with the imbursement of the amount at the deposit value which the insurance will safeguard the depositor's value due to bank failure.
Answer:
B) The Glass-Steagall Act
Explanation:
The Glass-Steagall Act was passed in 1933 and its main purpose was to divide banking activities into investment banks and commercial banks. Banks had to be either one of them, but they couldn't offer both services. It was finally repealed in 1999 by the Financial Services Modernization Act of 1999 which currently allows banks to provide both commercial and investment services.
The Glass-Steagall Act was extremely controversial at its time and it barely passed because Senator Carter Glass didn't have enough support for his law until Representative Henry Bascom Steagall joined him after the law included the creation of the Federal Deposit Insurance Corporation. The FDIC was created in 1933 just after the law was approved and since then it insures depositors from bank failures.
Earnings on pooled investments and changes in fair value of investments are allocated to the participants having an equity interest in the pool in proportion to their relative contributions to the pool.1. true2. false
Answer:
1) True
Explanation:
Generally pooled investments like mutual funds issue their own shares that basically include the value of all the securities that the pool has invested in. If you invest $2,000, then you are given shares that represent $2,000 in investments. if the value of the investment rises 10%, the value of your shares will increase to $2,200 (10%).
The statement is 1) true; earnings and changes in the fair value of pooled investments are allocated proportionally based on participants' contributions. This maintains fairness and transparency.
The statement is true. This process ensures fairness and transparency in how investment returns and value changes are distributed among participants.
For example, if a participant has contributed $10,000 to an investment pool worth $100,000, they hold a 10% stake.
Therefore, if the pool earns $5,000 in investment income or experiences a $5,000 change in fair value, this participant would receive $500, proportional to their 10% contribution.
This method of allocation helps maintain an equitable distribution of financial benefits derived from pooled investment activities, ensuring that each participant benefits in direct correlation to their level of investment.
A representative gives a seminar to investors, making a presentation about successful hedge fund strategies. It is attended by 30 retail clients and 20 institutional clients. FINRA defines this as:
A. an advertisement
B. a solicitation
C. a retail communication
D. correspondence
Final answer:
The seminar given to investors about hedge fund strategies, as per FINRA's definition, is categorized as a retail communication because it's directed at more than 25 retail investors within a 30-day period.
Explanation:
According to FINRA, the scenario described, in which a representative gives a seminar to 30 retail clients and 20 institutional clients about successful hedge fund strategies, is defined as C. a retail communication. This term is used to describe communications made to more than 25 retail investors within a 30-calendar-day period. The purpose of such a communication is typically to inform and potentially persuade investors about the merits of a particular investment strategy or product. Thus, this would fall under the umbrella of commercial speech, where an entity communicates about its goods or services to consumers.
Which of the following refers to the costs of production that fluctuate depending on the number of units produced? A. Total cost B. Contribution per unit C. Markup D. Variable cost E. Fixed cost
Variable cost refers to the costs of production that fluctuate depending on the number of units produced.
Explanation:The cost of any product that changes based on the quantity of goods that are produced. The volume that is produced decides the fluctuations in the variable cost. Fixed cost is the cost that will not change based on the number of units of the goods that is produced. Rent of a building can be considered as a fixed cost.
Example for variable cost may be raw materials cost, packaging cost,etc. Variable cost can be calculated by adding up the cost of labor and raw materials that are used in the production of one unit of a good. The total variable cost can be calculated by multiplying variable cost per unit with the number of units produced.
An investor has purchased less than 20% of the common stock available from each of 12 different investees. As part of their financial statements, they provide a report that details the cost and fair value for each of the investments. What is the purpose of this report?
Answer:
The investor wants to know about the fair value, cost and differences of these two in order to calculate the gains or losses for each of their investments
Explanation:
This helps them to calculate the losses arising because of the share prices fluctuations and best helps in assessing the future risks associated with the investment. This way of analyzing an investment and opting to whether sell or retain the investment is also reffered to as valueing investments on the basis of risks associated with investment. The investors also use this data to assess the performance of their investment in terms of gains and losses by the increase or decrease in the value of investment respectively.
ToyMax seeks to determine the number of Kanban containers needed to feed a newly established work cell. The cell requires 600 parts over an eight-hour day. Production lead time for the parts needed by the cell is 3 hours and the cell supervisor recommends a safety stock equal to 50% of the cell’s daily production. Assuming a container size of 100 parts, how many containers are needed for the new cell?
Answer:
5.25 containers are needed
Explanation:
Given:
Total Demand for 8 hour = 600
Safety stock = 50%
Container size = 100
Lead hour = 3 hour
Computation of container required:
Demand for an hour = 600/8 = 75
Safety stock = 50% of 600 = 300
Needed container = [(Demand for an hour x Lead hour) + Safety stock ] / 100
= [(75 x 3) + 300] / 100
= 525 /100
=5.25
Therefore, 5.25 containers are needed
Which of the following is true of a sole proprietorship? a. A separate tax return must be filed. b. It is not a business entity. c. There is no personal liability for the owner. d. none of the above
Answer:
b. It is not a business entity
Explanation:
From the answers provided it can be said that the statement that is true about a sole proprietorship is that it is not a business entity. This is because a sole proprietorship is a business that has only a single owner and is not registered as a corporation, partnership or limited liability company. Meaning that there is no separate existence from the owner and the business, causing the business to NOT be a legal entity.
Chevrolet has decided to focus on emergent consumers in the automobile market, which includes those individuals who are graduating from college and either heading off to college or the workforce. Chevrolet is engaging in which aspect of STP marketing?
Answer:
Targeting.
Explanation:
STP marketing stands for segmentation, targeting and positioning. The STP of a company is how it decides to compete in a market, and is tailored to a business's unique situation.
Chevrolet has decided to focus on emergent consumers in the automobile market, which includes those individuals who are graduating from college and either heading off to college or the workforce.
Chevrolet is engaging in the targeting aspect of STP.
Chevrolet's focus on emergent consumers in the automobile market, such as new college graduates, exemplifies the 'targeting' phase of STP marketing by identifying and appealing to a specific demographic segment.
Explanation:When Chevrolet decides to focus on emergent consumers in the automobile market, specifically targeting individuals who are graduating from college and who are transitioning either to further education or the workforce, it is engaging in an aspect of STP marketing known as targeting. STP stands for segmentation, targeting, and positioning, three foundational steps in developing effective marketing strategies. In this case, Chevrolet is segmenting the market by identifying a specific group of potential consumers—new college graduates—and then targeting this group with marketing strategies that appeal to their unique needs and aspirations. This approach demonstrates Chevrolet's use of demographic segmentation to tailor its marketing efforts, ensuring that its products resonate with the lifestyles, preferences, and financial situations of emerging adults.
When a seller breaches a sales contract, the Uniform Commercial Code (UCC) provides the buyer with an option to take immediate steps by canceling the contract and purchasing substitute goods from another vendor in order to continue business operations. This right is known as _____.
Answer:
Cover
Explanation:
There are various rights which protect buyers from any sort of misconduct by the sellers. This right is known as 'Cover' which force sellers to follow a contract and avoid unethical behaviour. If sales contract is not followed, buyers have a Cover right to immediately cancel the contract and look for another vendor to continue business operations.
Anita is employed as plant manager for Mojo Industries, Incorporated. Though she spends some time performing all management functions, she is particularly concerned with tactical planning and controlling. Anita's position would be classified as part of Mojo's:
Answer:
middle management
Explanation:
Based on the scenario being described within the question it can be said that Anita's position would be classified as part of Mojo's middle management. This management level is responsible for leading the line managers as well as junior staff employees and their performance/productivity, including planning and controlling to make sure that everything is running as efficiently as possible.
Because countries have different financial regulations and customs, it is common for MNEs to apply their domestic rules and regulations when doing financial business in a foreign countrya) trueb) false
Answer:
B) False
Explanation:
Any multinational corporation must follow the laws that apply on the countries that they operate in. Regarding accounting practices, this is fairly simple, since most countries accept International Financial Reporting Standards (IFRS) rules. If the multinational corporation's headquarters are located in the US, the subsidiary will probably have to elaborate two different sets of financial records, one following the US GAAP and the other one following the IFRS guidelines. But that is optional, since the SEC is currently accepting financial statements using IFRS from American multinational corporations. Corporations that only do business in the US cannot use IFRS standards and must use GAAP, the option of using IFRS applies only to multinationals.