Downer.com received cash from investors, borrowed cash, ordered and purchased computer equipment, and made partial payment for the equipment while putting the rest on account. These events affected the company's cash, assets, and liabilities.
During the first month of Downer.com's operations, the following events occurred:
a. Downer.com received $87,000 cash from the investors who organized the corporation. This cash inflow would increase the company's cash balance.
b. Downer.com borrowed $26,500 cash and signed a note due in two years. This note payable represents a liability for the company and will need to be repaid in the future.
c. Downer.com ordered computer equipment costing $14,000. This represents an increase in the company's assets, specifically in the form of computer equipment.
d. Downer.com purchased equipment worth $9,500, paying $3,300 in cash and signing a six-month note for the remaining balance. This transaction involves both cash and a note payable, similar to event b.
e. Downer.com received the equipment ordered in event c, paid for half of it in cash, and put the rest on account. This means that the company paid for part of the equipment with cash, reducing their cash balance, and the remaining amount was added to accounts payable, which represents a liability for the company.
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cardholders who fail to make the minimum monthly payment on their credit card account are considered to be [in default | overdrawn] on their account.
Credit cards are a popular way to pay for purchases and to finance large expenses. They provide cardholders with convenience and flexibility in managing their finances.
However, cardholders must be responsible for their credit card payments to avoid penalties and fees associated with delinquent payments.
Failure to make the minimum monthly payment on a credit card account is considered to be in default. When cardholders are in default, they may incur additional interest charges and late payment fees, which can increase their balance and make it more difficult to pay off their debt.
Cardholders who are in default may also damage their credit scores, which can impact their ability to obtain credit in the future. Credit scores are calculated based on a number of factors, including payment history, credit utilization, and length of credit history.
When cardholders miss a payment, it is reported to credit bureaus, which can result in a negative impact on their credit score. Over time, repeated missed payments can result in serious damage to their credit score, which can take years to repair.
Cardholders who are unable to make their minimum monthly payments should contact their credit card issuer to discuss their options.
Many credit card issuers offer assistance programs to help cardholders who are struggling to make payments, such as payment plans and temporary forbearance. By working with their credit card issuer, cardholders may be able to avoid default and the negative consequences associated with it.
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Which of the following are considered part of the five Cs of pricing? (Choose every correct answer.)
A) Customers
B) Change management
C) Channel members
D) Company objectives
E) Charter membership
F) Competition
The following options are considered part of the five Cs of pricing: A) Customers, C) Channel members, D) Company objectives, and F) Competition.
The Five Cs of pricing are important factors that companies consider when setting prices for their products or services. These factors are Customer, Company, Competition, Channel members, and Context. Among these, Customer, Company, Competition, and Channel members are considered part of the Five Cs of pricing. Customers: Understanding the needs and preferences of customers is essential in determining the price of a product or service. Companies need to consider how much value their product or service provides to the customer and how much they are willing to pay for it. Company: Companies must consider their own objectives, costs, and constraints when setting prices. They must also ensure that their pricing strategy aligns with their overall business strategy. Competition: Companies must take into account the prices of their competitors when setting prices. They must also differentiate their product or service from their competitors to justify a higher price.
Channel members: Companies need to consider the intermediaries, such as distributors and retailers, who sell their product or service to customers. They must ensure that their pricing strategy is consistent with the margins and incentives of these channel members.
Change management and Charter membership are not part of the Five Cs of pricing. Change management is a process used to manage changes in a business, while Charter membership refers to early adopters of a new product or service who receive special benefits.
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Assume that a customer shops at a local grocery store spending an average of $350 a week, resulting in a retailer profit of $35 each week from this customer. Assuming the shopper visits the store all 52 weeks of the year, calculate the customer lifetime value if this shopper remains loyal over a 10-year life span. Also assume a 9 percent annual interest rate and no initial cost to acquire the customer. The customer yields $_per year in profits for this retailer. (Round to the nearest dollar.)The customer lifetime value is $_______
The customer lifetime value is $11,680.76
What is customer value?The amount that a service or a product is valuable to a consumer is the best way to describe customer value. It is an estimate of all the expenses and advantages related to a good or service. Price, reliability, and what the good or service can achieve for that specific person are a few examples.Consumers seek goods and services with characteristics that result in the greatest value and satisfaction given their needs and economic ability. The four different categories of value are: financial value, social value, cognitive value, and functional value.Total Customer Benefit - Customers Costs = Customer Value, or B - C = CV, is the formula for calculating customer value.Operational, sociological, psychological, logical, and conditional value are the five basic categories of consumer value.To learn more about customer refers to:
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The monetary policy of jaune is controlled by the country's central bank known as the bank of jaune. the local unit of currency is the jaunian dollar. aggregate banking statistics show that collectively the banks of jaune hold $220 million of required reserves, $55 million of excess reserves, have issued $5,500 million of deposits, and hold $440 million of jaunian treasury bonds. jaunians prefer to use only demand deposits and so all money is on deposit at the bank.
The value of the money supply after banks adjust to the change in the reserve requirement is $6,875 million (option b)
Required Reserves = 220million
Excess Reserves = 55 million
Deposits = 5,500 million
In hold = 440 millions
Tazians prefer to use only demand deposits
and the bank has all of the money on deposit. Thus, the amount of money in circulation is 0.
Reserve Requirement = Required Reserves/deposit
=220/5500
=4%
Currency deposit ratio = 0%
Excess reserves to deposit ratio
= Excess Reserves / Deposits
= 55 /5,500
= 1%
Monetary base = Currency in circulation + Required reserves + Excess reserves
= 0 +220 + 55 = 275 million
If the Bank of Tazi changes the reserve
need ratio to 3% while maintaining the same level of excess reserves
Therefore total reserves Required = 3% + 1%
= 4%
Money Multiplier = 1 divide by 0.04 = 25
Therefore Money Supply = Monetary Base * Money Multiplier = $275 * 25
= $6,875 million
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The complete question is given below
The Monetary Policy of Jaune is controlled by the country's central bank known as the Bank of Jaune. The local unit of currency is the Jaunian dollar. Aggregate banking statistics show that collectively the banks of Jaune hold $220 million of required reserves, $55 million of excess reserves, have issued $5,500 million of deposits, and hold $440 million of Jaunian Treasury bonds. Jaunians prefer to use only demand deposits and so all money is on deposit at the bank.
Refer to Scenario 29-1. Suppose that the Bank of Jaune changes the reserve requirement to 3 percent. Assuming that the banks still want to hold the same percentage of excess reserves what is the value of the money supply after banks adjust to the change in the reserve requirement?
a.
$7,175 million
b.
$6,875 million
c.
$7,875 million
d.
$1,375 million
Wealth is not a scarce resource for most people (true/false)
Answer:
False
Explanation:
Wealth is scarce.
A store bought a hand-crafted toy chest at a cost of $921. 60 and marked it up 115%. Sebastian bought it and paid 2% sales tax. What was his total cost?.
The total cost that Sebastian has to pay is $1061.95.
To calculate the markup amount, we can use the formula:
markup = (selling price - cost) / cost.
We know that the markup is 115% and the cost is $921.60.
So we can set up the equation like this:
(selling price - 921.60) / 921.60 = 0.115
To find the selling price, we can solve for it:
selling price = 921.60 + (921.60 × 0.115)
selling price = $1,041.13
Now we have the selling price, we can find out the sales tax by multiplying the selling price with 2%
sales tax = 1,041.13 × 0.02
sales tax = $20.82
So the total cost for Sebastian is the selling price + sales tax
total cost = 1,041.13 + 20.82
total cost = $1,061.95
Therefore the total cost for Sebastian is $1,061.95
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Claire purchases a new dress for the prom. The dress is priced $160, but it is on sale for 30% off. Claire’s aunt works at the store and can give her an additional 10% off. If the sales tax is 7. 5%, how much does Claire pay for the dress? a. $93. 24 b. $103. 20 c. $108. 36 d. $120. 40.
Answer:
The answer is 108.36!
Explanation:
This is a tricky one lol.
First you 160 x .30 which equals 48 and then you subduct that from 160 which that is 112. Then you do the same thing for the 10% off. So that is 112 x .10 which is 11.2. Subduct that from 112 which is 100.8. Then you have to add the 7.5 sales tax. So thats 100.8 x .075 which is 7.56. Then you add that to the 100.8 which is 108.36.
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when renee got paid last week, she deposited her $1,000 paycheck in her bank account. let's say that her bank holds required reserves of 10% and excess reserves of 10%. explain why the money supply does not increase at all as a result of her being paid. g
The reason why the money supply would not increase as a result of Renee being paid is that the money was deposited in a checking account.
How does money supply increase?There are several ways that money supply can increase including the purchase of government bonds by the public, and deposit of money at banks. When people deposit money in banks, the bank would take the money and repackage it as a loan. This money would then be given to someone else who would then deposit it in their account. This process goes on and each time creates more money and increases money supply.
However, for money supply to increase this way, the money deposited would need to be in the account long enough to be a loan. This cannot happen in checking accounts as these are regularly used by the owners. It is therefore likely that Renee deposited the salary into a checking account such that the bank could not use it for loans and so money supply did not increase.
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2.which of the following statements best describes a keynesian approach to economics? a)aggregate demand is the most important driving force in the economy, but free-markets have no self-balancing mechanisms that lead to full-employment; therefore, government intervention is often necessary to stabilize an economy. b)politics determines economics, the nature of economics is conflictual, and the main actors are nation-states; therefore, the main goal of economic activity is the maximization of national interest. c)individual freedom to pursue interests/wealth in an open market free of government interference with the role of government to primarily protect property rights. d)resources flow from a periphery of poor and underdeveloped countries (global south) to a core of wealthy states (global north) enriching the latter at the expense of the former. poor countries are systemically locked into this unfavorable situation.
Option a is correct. The main economic driver is aggregate demand, but since free markets lack self-balancing mechanisms that lead to full employment, stabilising an economy frequently requires government intervention.
A macroeconomic theory known as Keynesian economics examines the total amount of spending in the economy and how it affects production, employment, and inflation. In an effort to comprehend the Great Depression, British economist John Maynard Keynes created it in the 1930s.
The fundamental tenet of Keynesian economics is that economic stabilisation may be achieved by government intervention. Keynes' theory was the first to clearly distinguish between the study of individual motivations and economic behaviour from those of broad aggregate variables and conceptions.
Keynes' theory led him to propose higher government spending and lower taxes as a way to boost demand and rescue the world economy from the Great Depression. Later, the term "Keynesian economics" was used to describe the idea that economic performance could be optimised and economic downturns might be avoided.
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The main reason that Starbucks was able to have the main share of coffeehouses in the world is just two decades is that they: used tangible resources to provide their product. capitalized on the economic climate at the most opportune time. were the only coffeehouse to offer premium coffee during extended hours. successfully applied their knowledge and skills to better serve customers.
Answer:
Were the only coffeehouse to offer premium coffee during extended hours.
Explanation:
Starbucks has a significant share in global markets, it has developed it in not so long time.
Reason behind it might be that - Its premium coffee beans & consequently coffee quality. This complimented with fair range of coffee varieties, relaxing & comfortable ambience, specially during extended hours - helped it attain the status.
Supposing you have now P100,000 and you would like to invest, to which financial market you will course through your investment taking into account the safety of your fund and the possible risks. Justify your answer.
When considering the safety of funds and the potential risks, a suitable financial market for investment would be the bond market. Bonds are considered relatively safer than other investment options such as stocks or derivatives.
Here are the reasons why the bond market is a suitable choice:
Preservation of Capital: Bonds are debt instruments issued by governments, municipalities, or corporations. When you invest in bonds, you are essentially lending money to the issuer in exchange for regular interest payments and the return of the principal amount at maturity. As long as the issuer remains financially stable, the repayment of the principal is relatively secure, ensuring the preservation of your capital.
Fixed Income and Regular Payments: Bonds offer fixed interest payments at regular intervals, providing a stable income stream. This can be beneficial if you are seeking a regular and predictable cash flow from your investment.
Diversification: Investing in a variety of bonds can help diversify your portfolio. Bonds can have different maturities, credit ratings, and issuers, allowing you to spread your risk across multiple investments.
Lower Volatility: Compared to stocks, bonds tend to have lower volatility. Their prices are generally less influenced by market fluctuations, making them a relatively stable investment option.
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Why have average trade sizes declined in recent years?A. Many large investors seek anonymity for fear that their intentions will become known to other investors. B. Large block trades attract the attention of other tradersC. Both are correct
The correct option is C. Both are correct. The average trade size has declined in recent years due to a combination of factors.
The average number of shares traded in a particular stock per day is known as the average daily trading volume. The amount of shares traded each day, or daily volume, can be averaged over several days to determine the average daily volume.
Firstly, large investors are increasingly seeking anonymity when trading as they fear their intentions will become known to other investors, which can lead to market manipulation.
Secondly, large block trades have become more prominent and can attract the attention of other traders, causing price movements and further market instability.
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Risk is an important factor for companies engaged in international business. One way a collaborative arrangement helps minimize risk when operating abroad is by ________. Group of answer choices
One form of a collaborative agreement that helps to minimize risk when operating abroad is to freeing up resources so that a company can diversify into more countries.
The internationalization of a business has added risks that require effective risk management for the protection of the company's assets and long-term sustainability in the market.
Some potential risks of operating abroad are:
Entry barriersBureaucracyLegislative barriersCultural barriersTherefore, by freeing up resources so that a company can diversify in more countries, it increases the possibility of a company adapting to different markets and not just fixing all its resources in a single international market.
This can be a strategy for an organization to gain knowledge, experience and develop better strategies to operate in the international market.
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Which two of the following are long-term sources, of finance?
A- Interest rates
B- Venture capital
C- Trade credit
D- Share capital
E- Start up costs
Answer:
the answer is B and D
How important is money
Answer:
very important
Explanation:
money is a global income source for everyone. we all have different types but it is all still money. now say one country got rid of money and had people pay for stuff using other things. if china did that lots of different countries wouldn't be able to get stuff from there unless they had so much of that product they could just give it up.
2.1.4 King Code D This shows the financial performance of a business for a financial year (4 X 1) = (4) 1.2 KINGSTON TRADERS The information relates to the financial year ended 29 February 2020. Goods are sold at a profit mark-up of 40% on cost. REQUIRED: Prepare the Income Statement (Statement of Comprehensive Income) for (46) the year ended 29 February 2020),
Both of these choices are correct as they are rightly presented.
KINGSTON TRADERS
Statement of Comprehensive Income
For the Year Ended February 29, 2020
Net income $140,000
Other comprehensive income $20,000
Comprehensive income $160,000
KINGSTON TRADERS
Income Statement
For the Year Ended February 29, 2020
Sales $625,000
Cost of goods sold $350,000
Gross profit $275,000
Operating expenses $135,000
Net income $140,000
Other comp. income $20,000
Comprehensive income $160,000
The terms "profit" and "income" are often used interchangeably in life. In corporate finance, however, those terms could have very different and specific meanings, depending on the context in which they are used.
while income does mean positive flow of cash right into a business, net income is something much more complex. profit is generally understood to refer to the cash that is left over after accounting for expenses. although each gross earnings and working profit fit this definition in the simplest sense, the kinds of income and expenses which are accounted for differ in important ways
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In terms of SUPPLY, what factors have contributed to the fall in oil prices?
Which of the following is the LEAST critical area of expatriate preparation?
A) cultural training
B) language instruction
C) technical training
D) familiarity with everyday matters
In the context of expatriate preparation, the least critical area among the options provided would be D) familiarity with everyday matters. While all areas are important in ensuring a successful expatriate assignment, familiarity with everyday matters is generally less critical compared to cultural training, language instruction, and technical training.
Cultural training is crucial because it helps expatriates understand the customs, values, and norms of the host country. It enables them to navigate cultural differences, adapt their behavior, and avoid misunderstandings that could hinder their effectiveness. Language instruction is also vital as it facilitates effective communication with local colleagues, clients, and stakeholders. It allows expatriates to build relationships, convey their ideas accurately, and integrate into the local community.
Technical training is essential to ensure expatriates possess the necessary skills and knowledge specific to their roles. It equips them with the expertise needed to perform their job responsibilities and contribute to the organization's objectives. On the other hand, familiarity with everyday matters, while helpful, can often be learned through personal experiences and interactions with locals. It involves understanding local customs, transportation, local amenities, and other practical aspects of living in a foreign country. While important for expatriate comfort and well-being, it is generally considered less critical compared to cultural, language, and technical training, which directly impact professional performance and effectiveness.
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Choose the term that best matches the description given.
Blindly making a sales call is called a
.
.
Answer:
D. data blindness
Explanation:
or cold or warm calling
The three elements of the marketing concept are __________.
a. Market share, customer needs, marketing mix
b. Customer needs, company goals, profits
c. Channel management, customer needs, profits
d. Planning, target market, social media marketing
Answer:
B. Customer needs, company goals, profits
Explanation:
Sydnee would like a chart to appear once in her report, but she is having trouble making this occur. She does not understand why the chart is showing multiple times in the report. What is most likely causing the problem?
The chart is placed in the header and footer of a database.
The chart is placed in the field of a database.
The chart is placed in a database with one group.
The chart is placed in a database with five groups.
Answer:
The chart is placed in a database with five groups.
Hope this helped.
9. If you found that you were in financial trouble because of credit and had great difficulty paying your monthly bills, what would you do?
Answer:
You would have to cut down on some luxuries, like lots of foods, amusement parks, shopping trips, etc. If you have have extra hours, work more hours, quite possibly take another job.
Explanation:
What is an appraisal? Why is it usually included in the closing costs for buying a home?
The procedure through which a real estate evaluator attempts to discover the fair market value of a home is called a home appraisal. They are frequently used to calculate property taxes, appraisals are typically required in regions.
What is the closing cost?Additional expenses and charges that must be paid at the end of a transaction in real estate that is not included in the property's purchase price is referred to as Closing cost.
A home appraisal is employed to determine a property's worth. Lenders impose these fees in exchange for approving your loan.
Prior to comparing a home to actually acquired properties in the local housing market, licensed real estate evaluators to look at its features and state.
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A three-month forward contract exists on a zero-coupon corporate bond with a current price per £100 nominal of £42.60. The yield available on three-month government securities is 6% pa effective. Calculate the forward price.
b) Portfolio B contains a European put option and a share. Compare this with the alternative of cash, currently worth ke-r(T-t)- . At time T portfolio B will be worth at least as much as the cash alternative. Why must Portfolio B be worth at least as much as the cash alternative?
What is the lower bound for a 3-month European put option on Share X if the share price is 95, the exercise price 100 and the risk-free rate 12% pa?
c) Explain why the put-call parity relationship above does not hold in the case of:
American options on non-dividend-paying shares.
European options on dividend-paying shares.
Company X issues 3-month European call options on its own shares with a strike price of 120p. They are currently priced at 30 pence per share. The current share price is 123p and the current force of interest is δ = 6% pa .
The question involves multiple scenarios related to financial contracts and options. It includes calculating the forward price for a three-month zero-coupon corporate bond, comparing a portfolio with a put option and a share to a cash alternative, determining the lower bound for a 3-month European put option, and discussing put-call parity relationships for American options on non-dividend-paying shares and European options on dividend-paying shares. Lastly, it involves analyzing European call options issued by Company X on its own shares.
In the first scenario, to calculate the forward price for the three-month zero-coupon corporate bond, we need to consider the current price per £100 nominal and the yield available on three-month government securities. The forward price would depend on the relationship between the current price and the yield.
In the second scenario, portfolio B, which consists of a European put option and a share, is compared to a cash alternative. The question states that at time T, portfolio B will be worth at least as much as the cash alternative. The reason for this is not explicitly provided, but it could be due to the protective nature of put options. The put option provides the holder with the right to sell the share at the exercise price, which acts as a downside protection in case the share price declines. This downside protection ensures that the portfolio value of B will not fall below the value of the cash alternative.
In the third scenario, the lower bound for a 3-month European put option is to be determined given the share price, exercise price, and risk-free rate. This involves applying the principles of options pricing models, such as the Black-Scholes model, to calculate the minimum value for the put option.
In the final scenario, the question addresses the put-call parity relationship. It mentions that the put-call parity relationship does not hold in the case of American options on non-dividend-paying shares and European options on dividend-paying shares. The reasons behind this are not provided, but it could be due to differences in the underlying assumptions and mechanics of these types of options, which may lead to deviations from the put-call parity relationship.
For the European call options issued by Company X, the question states the current share price, the option price, and the force of interest. It doesn't specify what needs to be calculated or explained in this particular scenario.
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If you saw an advertisement for an electric car that boasted 500 miles between battery charges, what form of non-price competition would that be?.
Non-price competition is a marketing strategy in which one firm tries to distinguish its product or service from competing products on the basis of attributes like design and workmanship. Consequently, the answer is:
advertisement- physical characteristicsAdvertisingThe most common or basic form of non-price competition is advertising. Non-price competition in economics consists of expenditures that are promotional such as sales promotion, coupons, advertising, and others. It also consists of the development of the new products, marketing research, and costs of brand management.
Therefore, the correct answer is given above.
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Walmart's change in strategy to attract more upscale customers will likely succeed because cost leaders are good at differentiating.
a. true
b. false
The statement "Walmart's change in strategy to attract more upscale customers will likely succeed because cost leaders are good at differentiating." is false.
Cost leaders, like Walmart, focus on offering products and services at lower prices than their competitors. This strategy works well for attracting price-sensitive customers. However, by changing their strategy to attract more upscale customers, Walmart is moving away from their traditional customer base. This shift requires differentiation to appeal to new customers who are not just price-sensitive but also value quality, customer service, and other factors.
In order to attract more upscale customers, Walmart would need to differentiate itself from competitors in terms of product quality, shopping experience, and marketing approach among other things. Cost leadership and differentiation are conflicting strategies, thus becoming a cost leader may not necessarily translate to success in the upscale market without incorporating features that differentiate Walmart from its upscale competitors.
While Walmart may be able to reduce some prices for more upscale products and invest in a more refined shopping experience, it may not be able to completely overcome the perception that it is a low-cost provider, thus struggling to differentiate itself from competitors in the upscale market.
Therefore, Walmart may need to find a new approach that balances cost leadership with differentiation in order to succeed in the upscale market.
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Which lung value in the spirogram would you see the greatest change?
The lung value in the spirogram that would show the greatest change is the "forced expiratory volume in one second" (FEV1). This value measures the amount of air a person can forcefully exhale in one second after taking a deep breath.
It is used to assess lung function and can be affected by conditions such as asthma, chronic obstructive pulmonary disease (COPD), and other respiratory disorders.
A reduced FEV value indicates that there may be an obstruction in the airways, which can be caused by inflammation, narrowing of the airways, or mucus buildup.
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Identify 3 skills you would expect an accountant to have.
Answer:
1. Strong written and oral communication.
2. Critical thinking
3. Analytical and problem solving skills
Careers that require significant decision making include: check all that apply-
marketing director
data entry
payroll clerk
tax accountant
Answer:
marketing director
tax accountant
Explanation:
Marketing directors are senior executives in charge of their company's marketing and communications strategies, branding, and the company's general image. They make- decisions regarding marketing plans and organize campaign events. Marketing directors are involved in the marketing budget making and industry analysis.
A Tax Accountant assists clients and companies in preparing income and corporate tax statements. Their role requires them to research, understand, and interpret tax law. The tax accountant has to decide on tax savings measures and provide guidance on tax matters.
What does the word cost mean in the context, "understanding their costs and
income, budgeting to ensure all their expenses are covered is a financially
tsresponsible behavior"?
In the context of the statement, "costs" refers to the expenses incurred by an individual or organization.
What is meaning of cost as used?Cost as used can include fixed expenses, such as rent or mortgage payments, and variable expenses, such as food or transportation costs.
When the statement says "understanding their costs and income," it means understanding all of the expenses that need to be paid, as well as the amount of money coming in, such as from a salary or business profits.
The idea is that budgeting to ensure all costs are covered is a financially responsible behavior, because it helps ensure that all bills are paid and debts are managed, without overspending or accruing unnecessary debt.
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