Answer:
b. The capital structure that minimizes the firm's weighted average cost of capital is also the capital structure that maximizes its earnings per share.
Explanation:
The optimal capital structure is estimated by calculating the mix of debt and equity that minimizes the weighted average cost of capital (WACC) while maximizing its market value. The lower the cost of capital, the greater the present value of the firm’s future cash flows, discounted by the WACC. Thus, the chief goal of any corporate finance department should be to find the optimal capital structure that will result in the lowest WACC and the maximum value of the company (shareholder wealth).
The correct statement is that if a firm finds the cost of debt is less than the cost of equity, increasing its debt ratio must reduce its WACC.
Explanation:The correct statement from the given options is c. If a firm finds that the cost of debt is less than the cost of equity, increasing its debt ratio must reduce its WACC.
When the cost of debt is lower than the cost of equity, adding more debt in the firm's capital structure will lower the overall weighted average cost of capital (WACC). This is because debt is cheaper for the firm, and by increasing the amount of debt, the firm can reduce the overall cost of capital.
Using the example of a student loan, if a student finds a loan with a lower interest rate than their other student loans, taking on more of the lower-interest loan will reduce the average interest rate across all their loans, resulting in a lower cost of borrowing.
Assume that X-Men has an unadjusted Accounts Receivable balance of $10,000 and Allowance for Sales Discounts balance of $0. $1,000 of accounts receivable are within the 2% discount period and X-Men expects that buyers will take $20 in future-period discounts arising from this period's sales. The adjusting entry for sales discounts is:
Answer:
For X-Men, the Sales Discount should be recorded at the estimated discount amount that will be taken by the X-Men's customers, which is calculated as: $1,000 * 2% = $20.
The adjusting for sales discount X-Men should be recorded as followed:
Dr Sales Discount 20
Cr Allowance for Sales Discount 20
( to record the estimated sales discount taken)
in which, Sales Discount is a contra-revenue account which helps to record the Net Sales amount from the Gross Sales amount.
Explanation:
Answer: Debit sales discount and credit allowance for sales discounts for $20
Explanation: look at attached image
What are long-term decisions that set the direction for the entire organization called?a. Tactical b. Operational c. Directional d. Distant e. Strategic
Answer:
The correct answer is letter "E": Strategic.
Explanation:
Strategic decisions imply analyzing what direction is the overall company going to take in the long run. It represents the groups of decisions high-rank executives must take to conduct the operations of the firm, the resources that will be used and how they will combine those factors to reach the organization's objectives.
Long-term decisions that set the organization's direction are known as strategic decisions, focusing on its long-term goals and broad changes.
Explanation:Long-term decisions that set the direction for the entire organization are called strategic decisions. These decisions have a significant impact on the company's future and typically involve changing various aspects of operations. Unlike tactical or operational decisions, which are more short-term and focus on the day-to-day or technical aspects of a company's function, strategic decisions are designed for the long haul and are foundational in nature. They guide the company towards its long-term goals and objectives, requiring careful planning and consideration of broader outcome scenarios.
Suppose a flood changes the production capacity in a country. How would you represent this situation with a production possibilities frontier?
Explanation:
The flood will lead to the destruction of the resources in the country.This will result in the shifting of the PPC curve leftward in the economy.
Earlier PPC is represented by PP curve.After the floods and destruction of resources,the curve shifts to P1P1.It is due to the availability of the number of possible combinations which decreases with the destruction of resources.
Assume the following information pertaining to Moonbeam Company:
Beginning Finished Goods Inventory = $130,000
Ending Finished Goods Inventory = $124,000
Beginning WIP Inventory = $85,000
Ending WIP Inventory = $104,000
Beginning Direct Materials = $117,000
Ending Direct Materials = $130,000
Costs incurred during the period are as follows:
Total Manufacturing Costs = $896,000
Factory Overhead = $199,000
Direct Materials Used = $156.000
Materials purchases are calculated to be:
a) $143,000.
b) $156,000.
c) $91,000.
d) $169,000.
e) $140,000.
Answer:
d. Material Purchases = $ 169,000
Explanation:
Cost Of Goods Statement.
Beginning Direct Materials = $117,000
Add Material Purchases = $ 169,000
Less Ending Direct Materials = $130,000
Direct Materials Used = $156,000 ( given)
Direct Labor= $ 697,000
Factory Overhead = $199,000
Total Manufacturing Costs = $896,000
Beginning WIP Inventory = $85,000
Ending WIP Inventory = $104,000
Cost of Goods Manufactured= $ 1033,000
Beginning Finished Goods Inventory = $130,000
Ending Finished Goods Inventory = $124,000
Cost Of Goods Statement = $ 1039,000
Materials purchases for Moonbeam Company are calculated using the formula: Ending Direct Materials + Direct Materials Used - Beginning Direct Materials, yielding a total of $169,000. The correct answer is d.
Explanation:The student has asked for assistance with calculating materials purchases for Moonbeam Company given a set of financial inventory information and costs incurred during a period. To derive the materials purchases, we need to use the following formula:
Materials Purchased = Ending Direct Materials + Direct Materials Used - Beginning Direct Materials
Now, plugging in the given values:
Materials Purchased = $130,000 + $156,000 - $117,000
Therefore, the materials purchased are calculated to be $169,000, which corresponds to option (d).
A sales representative sees the report and sends Mike a letter praising him on his ability to connect to vendors. He asks Jim, Mike's supervisor, if he could "borrow" Mike for several weeks for brainstorming sessions and vendor meetings in the Marketing department. He feels some fresh blood and a new perspective may help them solve some of TriState's vendor issues. What should Jim do?
Answer and explanation:
Mike represents a valuable employee for the company he works for. If he leaves his position for several weeks in the attempt to help the sales representative Marketing Department company, that could imply potential losses in Mike's organization. Thus, Jim should inform the sales representative that Mike cannot leave work for several weeks because it is too long but he could ask if there could be another way Mike can help without affecting Jim and Mike's company interests.
A responsibility report provided to a manager typically includes: A) A list of all the items under the manager's control B) The differences between the budgeted and actual amounts for each item on the report C) The budgeted amount for each item on the report 12)- D) All of these are coIrect answers
Answer:
The correct answer is letter "D": All of these are correct answers.
Explanation:
Responsibility reports are pools of information comparing the expected duties of different departments compared to what was budgeted at the beginning of the period of the operations of the company. Also, it ratifies what the duties of the managers are on behalf of those departments' performance. The information of responsibility reports may vary according to the manager that the report is directed to: the higher the rank, the complex the report will be.
You are thinking about starting a new organization to design and deliver fashionable touchscreen accessories. But you want your company to be maximally creative. Which of the following organizational principles would help to make your company more innovative? Check all that apply.
a. Specialists: make sure that all problems are handled by people who have a great expertise in that area
b. Freedom: the ability to choose which problems to work on and how to address them
c. Decentralization: letting everyone control their own work and having few layers of management
d. Contact with outsiders: employees regularly meet with people who are not part of the organization
Answer: B, C, D
Explanation:
just took the test
NPV Valuation. The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is "looking up." As a result, the cemetery project will provide a net cash inflow of S109,OOO for the firm during the first year, and the cash flows are projected to grow at a rate of 5.1% per year forever. The project requires an initial investment of $1,425,000. a. If Yurdone requires a return of 12 percent on such undertakings, should the cemetery business be started? b. The company is somewhat unsure about the assumption of a 5.1 percent growth rate in its cash flows. At what constant growth rate would the company just break even if it still required a return of 12 percent on its investment?
Answer:
a. The cemetery business be started
b. The company will just break even at a constant growth rate of 4.4%
Explanation:
A. To know whether to start the cemetery business or not, we need to subtract the present value of the initial outlay to generate the NPV and if the result is positive, it will be advisable to start the business and if otherwise, it won't be advisable to start the cemetery business.
This is a question on perpetuity growth. let us extract the information in the question
Initial investment = $1,425,000
Cash inflow in year 1 (C) = $109,000
Cost of capital (r) = 12%
Growth Rate (g) = 5.1%
Net Present Value (NPV) = PV of Growing Perpetuity - Initial
investment
NPV = {C/(r-g)} - Initial Investment
NPV = {109,000 /(12% - 5.1%)} - 1,425,000
NPV = {109,000 /(0.12 - 0.5.1)} - 1,425,000
NPV = {109,000 /(0.69)} - 1,425,000
NPV = 1,579,710.15 - 1,425,000
NPV = $154,710.15
Since the net present value (NPV) of the project is positive, the cemetery business should be started.
b. At break even, PV of Growing Perpetuity = Initial investment
C/(r-g) = Initial investment
Initial investment = 1,425,000
C = $109,000
r = 12%
g = Unknown
109,000 /(12% - g) = 1,425,000
109,000 /(0.12 - g) = 1,425,000
1,425,000 (0.12 - g) = 109,000
171,000 - 1,425,000g = 109,000
- 1,425,000g = 109,000 - 171,000
- 1,425,000g = -62,000
- 1,425,000g/ - 1,425,000 = -62,000/- 1,425,000
g = 0.04351
Convert the answer to percentage 0.04351 * 100% = 4.4%
That is, the company will just break even at a constant growth rate of 4.4%
By applying the NPV valuation and Gordon Growth Model, it was found that the cemetery business should not be started as the NPV is -$325,000. Additionally, the assumed growth rate must be approximately 7.64%, rather than 5.1%, for the company to break even on its investment.
Explanation:This problem is a classic case of evaluating an investment decision using the net present value (NPV) method. The NPV model is a financial model that computes the present value of cash inflow and outflow of a project or business venture.
a. We first need to calculate the present value of the cash inflows with a growth rate and then subtract the initial investment. Using the Gordon Growth Model (a variant of the Dividend Discount Model) to find the present value of perpetual cash flows with a growth rate, we get: NPV = CF / (r - g) where CF= Cash flows of the first year, r = Required rate of return, g = Growth rate. So, NPV = 109,000 / (0.12 - 0.051) - 1,425,000 = -$325,000
Since the NPV is negative, the cemetery business should not be started as the present value of the cash inflows is less than the initial investment.
b. To break even, the NPV must be 0. So, 0 = 109,000 / (0.12 - g) - 1,425,000. Solving for g, we find the growth rate that would make the company break even is approximately 7.64%.
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The increased financial return on staffing investment is an example of a process goalA. TrueB. False
Answer: True.
Explanation:
Process goals are conscious steps taken to achieve a desirable outcome for an organization. The process goal is also focused on the process used to get to the goal and not just the desired outcome alone. Therefore if an increased investment in staffing yields an increased financial return, it is an example of process goal.
Suppose the growth of production in Country A follows Harrod-Domar Model. Country A has 100 people(labors) in Year 1. The capital K in Year 1 is 60. The incremental capital-output ratio v = 5 and the constant savings rate s = 0.1. There is no depreciation in capital. What is the growth rate of aggregate productions in Year 1?
Answer:
2%
Explanation:
Given that,
Number of people in year 1 = 100 labors
Capital K in year 1 = 60
According to Harrod-Domar model,
Growth rate in total output:
= savings rate ÷ capital output ratio
So, g = s ÷ v
g = 0.1 ÷ 5
= 0.02 or 2%
Thus, growth rate of aggregate productions (or total output) in year 1 is 2%.
According to the author of the textbook, offshore oil production presents _____ challenges. Select one or more:
a. atmospheric
b. logistics
c. human resources
d. geological
Answer:
(b). and (c).
Explanation:
Offshore oil production involves drilling below the sea bed level and involves exploration and extraction of petroleum.
The production also applies to drilling beneath lakes or inshore waters.
The major challenges which it presents are in the form of difficulty of assembling human resources at such a site and movement of supplies and transportation i.e logistics.
Off shore oil production thereby involves huge cost and immense efforts.
Thus, off shore oil production presents both human resources and logistics challenges.
Answer:
a. atmospheric
Explanation:
According to the author of the textbook, offshore oil production presents atmospheric challenges.
The harsh offshore atmospheres which pose technical challenges for offshore drilling machinery are the reason for the risk. Extreme weather, snow and winds carry risks to the usability of the rigs, and their gap from the ground makes it more difficult for increased rescue workers to attain the areas quickly in emergencies.
Tiger Trade has the following cash transactions for the period.
Accounts Amounts
Cash received from sale of products to customers $ 36,500
Cash received from the bank for long-term loan 41,500
Cash paid to purchase factory equipment (46,500 )
Cash paid to merchandise suppliers (11,300 )
Cash received from the sale of an unused warehouse 12,300
Cash paid to workers (23,300 )
Cash paid for advertisement (3,300 )
Cash received for sale of services to customers 26,500
Cash paid for dividends to stockholders (5,300 )
Assume the balance of cash at the beginning of the period is $4,300.
Required:
1. Calculate the ending balance of cash.
2. Prepare a statement of cash flows.
Answer:
1. Ending balance of cash is $31400
Explanation:
1.
Balance of cash at the beginning of the period is $4,300
+Cash received from sale of products to customers $ 36,500
+Cash received from the bank for long-term loan 41,500
-Cash paid to purchase factory equipment (46,500 )
-Cash paid to merchandise suppliers (11,300 )
+Cash received from the sale of an unused warehouse 12,300
-Cash paid to workers (23,300 )
-Cash paid for advertisement (3,300 )
+Cash received for sale of services to customers 26,500
-Cash paid for dividends to stockholders (5,300 )
Balance of cash at the beginning of the period is $31,400
2.
Cash Flow Statement
Cash flow from Operating Activities
Cash received from sale of products to customers $ 36,500
Cash received for sale of services to customers 26,500
Cash paid to merchandise suppliers (11,300 )
Cash paid to workers (23,300 )
Cash paid for advertisement (3,300 )
Total Cash Inflow / outflow from Operating Activity 25,100
Cash flow from Investing Activities
Cash paid to purchase factory equipment (46,500 )
Cash received from the sale of an unused warehouse 12,300
Cash paid for dividends to stockholders (5,300 )
Total Cash Inflow / outflow from Investing Activity (39,500 )
Cash flow from Financing Activities
Cash received from the bank for long-term loan 41,500
Total Cash Inflow / outflow from Financing Activity 41,500
Net cash Inflow / Outflow 27,100
Balance of cash at the beginning of the period is 4,300
Balance of cash at the beginning of the period is 31,400
To calculate the ending balance of cash, add the inflows and subtract the outflows. The ending balance of cash is $900. To prepare a statement of cash flows, categorize the cash transactions into operating, investing, and financing activities.
Explanation:To calculate the ending balance of cash, we need to calculate the total cash inflows and subtract the total cash outflows. Starting with the beginning balance of cash ($4,300), we add the cash received from sales of products ($36,500), cash received from the bank for a long-term loan ($41,500), and cash received from the sale of an unused warehouse ($12,300). Next, we subtract the cash paid to purchase factory equipment ($46,500), cash paid to merchandise suppliers ($11,300), cash paid to workers ($23,300), cash paid for advertisement ($3,300), and cash paid for dividends to stockholders ($5,300).
Adding the inflows and subtracting the outflows, we can calculate the ending balance of cash. The cash inflows total $90,600 ($36,500 + $41,500 + $12,300) and the cash outflows total $89,700 ($46,500 + $11,300 + $23,300 + $3,300 + $5,300). Subtracting the outflows from the inflows, the ending balance of cash is $900 ($90,600 - $89,700).
To prepare a statement of cash flows, we categorize the cash transactions into operating activities, investing activities, and financing activities. The operating activities include cash received from the sale of products and services to customers, cash paid to suppliers, and cash paid to workers. The investing activities include the cash received from the sale of the unused warehouse and the cash paid to purchase factory equipment. The financing activities include the cash received from the bank for a long-term loan and the cash paid for dividends to stockholders.
Carl and Karina file a joint return. Karina earned a salary of $38,000 and received dividends of $3,000, taxable interest income of $2,000, and nontaxable interest of $1,000. Carl received $9,000 of social security benefits and a gift of $6,000 from his brother. What amount of social security benefits is taxable to Carl and Karina?
Answer:
The amount of social security benefits is taxable to Carl and Karina is $7650.
Explanation:
For joint filing return combined income of $32,000 to $44,000 you will pay 50% of your social security income and if you have combined income more than $44,000 you can expect to pay taxes up to 85% of your social security amount.
Social security amount that is taxable = $9,000*85/100
= $7650
Therefore, The amount of social security benefits is taxable to Carl and Karina is $7650.
Grandma's Applesauce, Inc. has a 0.60 probability of a good year with operating cash flow of $50,000; and 0.40 probability of a bad year with operating cash flow of $30,000. The company has a debt of $35,000 with 8 percent interest due next year. Assuming the company has no means of servicing its debt other than operations, and a 0% tax rate, which of the following is true?O Shareholders expected claim is $12,200O Creditors expected claim is $37,800O Creditors expected claim is $34,680O None of the above
Answer:
Creditors expected claim is $37,800
Explanation:
If operation cash flows are enough to pay off the debt, then creditors are expected to claim the whole debt amount while shareholders will claim the residual value. The expected cash flow from operations is:
[tex]CF = 0.6*50,000+0.4*30,000\\CF=\$42,000[/tex]
The debt value next year at an 8% interest rate is:
[tex]D = 35,000*1.08\\D=\$37,800[/tex]
Since Cash flows exceed debt, creditors are expected to claim $37,800
While Shareholders are expected to claim:
[tex]S= 42,000 - 37,800\\S= \$4,200[/tex]
The correct answer is: Creditors expected claim is $37,800.
Your tuition for the coming year is due today. You borrow $8,000 from your uncle and agree to repay in the three years an amount of $9,250. What is the interest rate on this loan
Answer:
Interest rate on the loan is approximately 5%
Explanation:
The interest rate on the loan can be found by using the compound interest formula.
FV = P(1 + r)^t
Where: FV = Future value
P = Principal amount
r = Interest rate
t = Time period in years.
FV = $9,250
P = $8,000
t = 3 years
r = unknown
Substitute the values above into the formula
9,250 = 8,000 (1+r)^3
Divide both sides by 8000
9,250/8000 = (8,000 (1+r)^3)/8000
1.15625 = (1+r)^3
Find the cube root of both sides
[tex]\sqrt[3]{ 1.15625}[/tex] = [tex]\sqrt[3]{(1+r)^3}[/tex]
1.049584113 = 1+r
Subtract 1 from both sides
1.049584113 - 1 = 1+r - 1
0.049584113 = r
r = 0.049584113
r ≈ 0.05 = 5%
That is, the interest rate on the loan is approximately 5%
Final answer:
The interest rate on the $8,000 loan that is repaid with $9,250 after three years is calculated to be 5.208%.
Explanation:
To calculate the interest rate on the loan from your uncle, we use the formula for simple interest: I = PRT, where I is the interest, P is the principal amount, R is the rate of interest per year, and T is the time in years. Since we know the total interest paid (which is the difference between the amount repaid and the original loan) and the time, we need to rearrange the formula to solve for R.
First, let's find the total interest paid: $9,250 (final amount) - $8,000 (principal loan) = $1,250 (total interest).
Now we rearrange the simple interest formula to solve for R: R = I / (PT).
Plugging the values in, we get: R = $1,250 / ($8,000 * 3 years) = R
= $1,250 / $24,000 = R = 0.05208.
To express R as a percentage, we multiply by 100: interest rate = 0.05208 * 100 = 5.208%.
You purchased a stock eight months ago for $36 a share. Today, you sold that stock for $41.50 a share. The stock pays no dividends. What was your annualized rate of return?
Answer:
23.77%
Explanation:
Given that,
Purchased a stock eight months ago for $36 a share
Today, you sold that stock for $41.50 a share
Return for 8 months:
= (selling price today ÷ Purchasing price)
= ($41.50 ÷ $36) - 1
= 15.28%
Annualized rate of return:
= (1 + Return for 8 months) ^(12 ÷ 8) - 1
= (1 + 15.28%)^(12 ÷ 8) - 1
= 23.77%
Hence, the annualized rate of return is 23.77%.
Answer:
Capital Gain on stock = Selling price of stock - Purchase price
= $ 41.5 - $ 36
= $ 5.5
% rate of return = (Capital gain on stock / Purchase price of stock) * 100
= ( $ 5.5 / $ 36 ) * 100
=0.1527 * 100 = 15.27%
Now, the holding period was 8 months. This implies that 15.27% is rate of return for 8 months.
Hence, annualized rate of return = ( 15.27 / 8 ) * 12
= 1.90875 * 12
= 22.905 %
Explanation:
Refer to the answer.
Suppose Russia produces only trucks and cars. The resources that are used in the production of these two goods are not specialized—that is, the same set of resources is equally useful in producing both cars and trucks.The shape of Russia's production possibilities frontier (PPF) should reflect the fact that as Russia produces more cars and fewer trucks, the opportunity cost of producing each additional car _______________-
Answer:
Remains constant
Explanation:
Since the same set of resources are useful in producing both cars and trucks, it shows that resources are not specialized hence Russia has a straight line PPC. A straight line (linear) PPC connotes constant returns to scale. In this case, resources are mobile and can easily be reallocated and redirected from the production of one good to another thus, opportunity cost is constant and so is the marginal rate of transformation (MRT). The MRT is the number of units or amount of a good that must be foregone in order to attain one unit of another. If Russia decides to produce more cars and fewer trucks, the resources deployed in producing more cars would be well suited as the resources already used in car production. The opportunity cost in producing each additional unit of car remains constant as more cars are produced.
The slope of a linear PPC determines the marginal rate of transformation; that is, a flatter slope would mean producing more cars requires trading-off fewer trucks while a steeper slope would mean that producing more cars requires trading-off more trucks.
the opportunity cost of producing each additional car is remains constant.
The following information should be considered;
Since the company produced two goods. Also, the country resources should be equally useful for the production of two goods Due to this, the trade off between the two goods productions should be the same.Learn more: https://brainly.com/question/18269454?referrer=searchResults
The income statement presents an explanation of the changes in the beginning and ending balances of stockholders’ equity.
a. a comparison of the benefits and the sacrifices a company experiences from its operations.
b. information in three categories including operating, investing, and financial activities.
c. a list of a company’s assets and the sources of those assets.
Answer:
a. a comparison of the benefits and the sacrifices a company experiences from its operations.
Explanation:
As we know that the income statement records only revenues earned and the expenses incurred.
If the total revenue exceeds total expenditure then the company earns net income And if the total income is below the total expenditure then the company has a net loss This net income or net loss would be expressed in the retained earnings account statement.
So, the benefits represents the revenues and sacrifice represents the expenditure
The rest options are related to the statement of stockholder equity, cash flow statement and the balance sheet
The Enron debacle created what one public official reported was a "crisis of confidence" on the part of the public in the accounting profession. List the parties who you believe were most responsible for that crisis. Briefly justify each of your choices.
Answer:
Following parties were responsible for the Enron crisis:
1) Management of Enron
2) Management of Arthur Enderson (Auditors)
3) Regulators
4) Bankers to the Issue
5) Accounting Professionals
Explanation:
1) Management of Enron Corporation
The front runners of the scam, the top management of the Enron Corporation hide billions of dollars in debt from failed deals and projects. They also influenced the auditors with their scheme. Chief Financial Officer Andrew Fastow and other executives not only misled Enron's Board of Directors and Audit Committee on high-risk accounting practices, but also pressured Arthur Andersen to ignore the issues.
2) Management of Arthur Enderson
Arthur Andersen was Enron's auditors and also providing them consultancy services, they were responsible for the negligence in their audit procedures because of the significant consulting fees generated by Enron. Their methods were questioned as either being completed solely to receive its annual fees or for its lack of expertise in properly reviewing Enron's revenue recognition, special entities, derivatives, and other accounting practices.
3) Regulators
The role of SEC is also questionable as they could have played a stronger role and took serious stance to stop them in manipulating the accounting records and influencing the auditors
4) Bankers to the Issue
In the midst of the financial crisis and the post 9/11 scenario where securities were facing the turmoil, investors, bankers i.e. the underwriters should have placed stronger due diligence procedures.
5) Accounting Professionals / Industry Unions
The technical group responsible to regulate auditing and accounting standards should have understand the gravity of the situation and help out the auditors with their ethical responsibilities and in understanding of the issue whether it was about the disclosure requirements or the special purpose entities.
What is the term for the "process of hiring external HR professionals to do the HR work that was previously done internally"?
Answer:
HR Outsourcing
Explanation:
Human Resources (HR) outsourcing is a popular business practice where firms in order to allow its HR employees concentrate on the core HR functions of the organization, engages consultants who are experts in HR matters to manage some of the HR tasks of the organization.
The need to sub-contract human resources functions always become necessary when HR tasks arise that may be considered complex, time consuming and capable of shifting management focus from the core HR functions
Nina McRidder became an embarrassment to her company when she joked about the ruling monarchy in England in front of a group of visiting English businesspeople. She should have known that political ridicule by a foreigner is rarely accepted. Ms. McRidder has violated what is known as a cultural
A) intelligence.
B) standard.
C) exclusive.
D) elective.
E) imperative.
Answer:
Option E
Explanation:
Cultural imperatives refer to the customs to which you must adhere if you wish to succeed. Relationship management is one instance of a social imperative. Business understands the meaning of establishing a relationship in several Asian countries like china and Japan as well as the Latin American countries.
Individuals living inside the borders of societies identified with very different ethnicity frequently permeate vastly different moral principles via generative identity processes. These cultural norms (e.g. Confucian) predominant within one society may not have any real equivalent in some other (e.g. Islamic) community.
Nina McRidder violated a cultural imperative by joking about the monarchy, showing a lack of understanding of the cultural importance of respecting foreign dignitaries in a professional setting.
Explanation:Nina McRidder has violated what is commonly referred to as a cultural imperative. A cultural imperative refers to standard practices or rules of behavior that are considered essential in specific cultural or social contexts.
Making jokes about a monarch in front of a visiting group from a country which is still influenced by monarchy demonstrates a lack of understanding of this cultural imperative, especially since in many cultures, political ridicule by foreigners may be viewed as disrespect rather than humor. Understanding and conforming to cultural imperatives is important in international business and social interactions to maintain respect and harmony.
The theory based on the idea that the best managerial actions in a given situation depend on the elements of that situation is known as:
A. the equifinality theory.
B. Theory X and Y.
C. the contingency approach.
D. the systems theory.
E. quantitative management.
Answer:
C. the contingency approach
Explanation:
The contingency approach -
According to this concept , there is not proper and precise set of rules and regulations for the management principles of the organisation , is referred to as the contingency approach.
It is also called , situational approach.
As, the condition or the situation only plays a significant role , because the management changes according to the situation of the scenario.
Hence , from the information of the question,
The correct option is C. the contingency approach .
A corporation had the following assets and liabilities at the beginning and end of this year.Assets LiabilitiesBeginningofd'ieyear......... $60,000 $20,000Endoftheyear............. I05,000 36,000Determine the net income earned or net loss incurred by the business during the year for each of the following separatecases:a. Owner made no investments in the business and no dividends were paid during the year.b. Owner made no investments in the business but dividends were $1,250 cash per month.c. No dividends were paid during the year but the owner did invest an additional $55,000 cash iex-change for common stoclcd. Dividends were $1,250 cash per month and the owner invested an additional $35,000 cash in ex-change for commonstoclc
Answer:
Explanation:
The computation of the net income earned or net loss incurred by the business during the year is shown below:
Particulars a b c d
Opening Balance of Equity $40,000 $40,000 $40,000 $40,000
Owner investments $55,000 $35,000
Less: Dividends -$15,000 -$15,000
Net income(loss) $29,000 $44,000 -$26,000 $9,000
Ending balance of equity $69,000 $69,000 $69,000 $69,000
The opening and ending balance of equity has come by considering
= Total assets - Total liabilities
What song lyric from the Rolling Stones expresses a powerful economic idea?
Answer:
The correct answer is: "You can't always get what you want".
Explanation:
British well-known rock band "The Rolling Stones" was formed in 1962. Along their hits, we can identify "Paint it black", "Give me shelter", "Wild Horses", "Waiting on a friend" or "You can't always get what you want" (released in 1996) which is a song encouraging people to fight for what they want to achieve even if not all the time what is desired can be obtained.
Final answer:
The Rolling Stones' song 'You Can't Always Get What You Want' and the song 'Brother, Can You Spare a Dime?' both reflect powerful economic ideas, with the former speaking to the concept of scarcity and the latter illustrating the economic troubles during the Great Depression.
Explanation:
The Rolling Stones' song lyric that expresses a powerful economic idea is from their track 'You Can't Always Get What You Want'. This lyric reflects an economic concept that resources are limited and thus individuals cannot always obtain everything they desire. This mirrors the sentiments expressed by English economist Lionel Robbins in his Essay on the Nature and Significance of Economic Science in 1932. Robbins highlighted the fundamental problem of scarcity in economics, where unlimited wants clash with limited resources, hence not everyone can get what they want.
Topic: Performance Management When it comes to performance management and measurement, it is said that "you get what you measure" or "you get what you set." When studying issues in this area, it is very useful to see cases where management motivated the unintended behavior from employees. For this Discussion, research and summarize an article that discusses a situation in which the performance management and measurement systems put into place either failed to promote the desired behavior, or outright backfired. Include the following details: Brief description of the situation. The desired outcome. The actual outcome. Reasons why the effort failed.
Answer:
Performance management and measure is a tricky tool. It's success and failure depends upon few factors
1) Company's Culture
2) Training programs for employees related to performance management tool.
What actually makes performance management fail is to ignore company's culture while implementing performance management system. If your system is traditional in vibrant or democratic cultured company then it may fail and vise versa. We call it need assessment, in this process HR assess the need and factors that affect the performance system and then suggest and implement appropriate system that is aligned with the company's culture.
Second factor is training for employees, if management implements a system or tool for performance measure and failed to train their employees on that system and measure then it will fail.
For performance management system to work, management may needs to change their policies too.
Actual situation:
Well, i have been working in HR department for 6 years now. We implemented 360 degree system in which not only manager but peer, subordinate and client also evaluate the employee's performance. We also did training sessions for employees to better cope up with the new system.
Desired Outcome:
Real picture of an employee performance.
Actual Outcome:
Fake picture of employees performance and buttering culture.
Reason for failure:
We failed to incorporate the culture of the organization. We didn't made any effort to understand and transform the culture according to the evaluation system that we are going to use. That actually creates the problem. Employees started to evaluate their peers and managers good, only because in return they will be graded good. So, it creates a buttering culture in the company. Which was far from actual measure of performance for an employee.
Solution:
To solve this problem, we actually transformed company's culture by valuing the truth and changing company's policy.
Final answer:
In a business scenario, focusing solely on sales targets can lead to unintended consequences such as neglecting customer service and long-term client relationships.
Explanation:
Brief description of the situation: In a business setting, a situation arose where employees were incentivized solely based on achieving sales targets.
The desired outcome: The desired outcome was to increase sales performance and revenue for the company.
The actual outcome: However, the unintended consequence was that employees focused solely on making sales, neglecting customer service and long-term client relationships.
Reasons why the effort failed: The effort failed because the measurement system did not consider other important factors beyond sales, leading to a decline in overall customer satisfaction and potential long-term business growth.
Which of the following is NOT one of Peter Drucker’s contributions to management theory?a. The analysis of how organizations select managers, how managers act, and how organizations are structured in different units. b. The understanding of the role large organizations play in modern society. c. The focus on the role of human interactions, flows of information, and the decision-making process within organizations. d. The analysis of how social organizations become corporations.
Answer:
The incorrect statement is letter "D": The analysis of how social organizations become corporations.
Explanation:
Peter F. Drucker (1909-2005) was an Austrian business professor and statistic who developed concepts on Decentralization as the principle of effectiveness and productivity, the emphasis on high-quality personnel management, and the education, training, and development of the manager for future needs.
An analysis in how social organizations become corporations is not attributed to Drucker.
Final answer:
Option d, the analysis of how social organizations become corporations, is NOT one of Peter Drucker’s contributions to management theory; his focus was on managerial practices and the role of large organizations.
Explanation:
The question pertains to Peter Drucker’s contributions to management theory. Among the options provided, the choice that is NOT one of Drucker’s contributions is d. The analysis of how social organizations become corporations. Drucker’s work primarily focused on the practices within management such as how managers act in an organisation.
It also looks into the structure of organizations, and the role of large organizations in society. He did not specifically analyze the process of social organizations turning into corporations, which is more in the domain of organizational development and corporate strategy.
When your manager, Novak, talks about a , he means a set of interrelated parts that function as a whole to achieve a common purpose. ?
Answer:
A System
Explanation:
Novak is referring to a system. A system is a complex union of several interrelated parts that have different specific functions, but share a common goal, and a more or less common mechanism.
Society is a system, a computer as well. Firms are systems, they have different parts: employees, stockholders and management that have specific functions but work together toward a common goal: generating revenue.
The penalty for a substantial understatement is triggered when ____
A. The taxpayer understates their tax by the larger if $5,000 or 10% of the correct tax,
B. The taxpayer shows negligence or disregard of the rules of regulations, causing an underpayment,
C. The taxpayer fails to pay the tax owed by the due date,
D. The taxpayer fails to file the return by the due date, including extentions, and there is a balance due.
Answer:
The correct answer is A
Explanation:
A substantial understatement may occur when tax return is understated by an amount greater than 10% of the tax required to be shown on the tax return.
Example: If a tax payer that is suppose to report a $6000 tax due and choose to report a $2000 instead, to know if a penalty will be charged or not it has to be greater than 10% of the amount which is suppose to be reported (i.e $6000 x 10% = 600) . therefore in the case shown above the penalty will be applied
Ken Company purchased $7,000 of merchandise from Marilyn Company with terms of 4/10, n/45. What percent discount will Ken Company get if it pays within the allowed discount period? Answer % If Ken Company fails to pay within the discount period, how many days does Ken Company have from the date of purchase before the payment is considered to be late?
Answer:
4% and 45 days
Explanation:
Given that
Purchase value of merchandise = $7,000
Discount made within 10 days = 4%
Number of given days for payment = 45 days
So
In the first case, for eligible to discount, the discount rate is 4%
And, the prescribed time limit for paying the amount is 45 days which is already mentioned in the question
After 45 days, the payment is late.
Mr. Sizemore learns details about a large potential job Obtain information that is about to go out for bids.
Answer:
The best thing is to gather information and conduct predictions about the future.
Explanation:
If there is a significant amount of job going out for bids, it is advisable to conduct extensive research and market survey on the type and specifications of the job. This will enable the bidder the gather enough information about the job and also make necessary plans in form of predictions and other necessary arrangement for the future.