Answer:
The credit definition in economics is any agreement where one party borrows money from a second party with the promise to pay the amount back with interest. Credit ranges from consumer loans and credit cards to corporate bonds. I hope it helps. : )
Explanation:
The economical definition of credit is the allowance of one party to provide money or resources to another party wherein the second party does not reimburse the first party immediately but promises either to repay or return those resources at a later date.
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The comparative balance sheets for 2021 and 2020 are given below for Surmise Company. Net income for 2021 was $88 million.
Required:
Prepare the statement of cash flows of Surmise Company for the year ended December 31, 2021. Use the indirect method to present cash flows from operating activities because you do not have sufficient information to use the direct method. You will need to make reasonable assumptions concerning the reasons for changes in some account balances. A spreadsheet or T-account analysis will be helpful. (Hint: The right to use a building was acquired with a seven-year lease agreement. Annual lease payments of $8 million are paid at January 1 of each year starting in 2021.) (Enter your answers in millions (i.e., 10,000,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.)
Please see attachment for comparative balance sheets
It can be deduced that the cash flow shows that the net cash provided by operating activities will be $58 million.
How to compute the statement of cash flowCash flow from operating activities
Net income = $54 million
Add: Depreciation $15 million.
Add: Bad debt = $6 million
Add: Amortization expense = $3
Changes in operating assets and liabilities
Decrease in account receivable = $4 million
Increase in inventory = ($9 million)
Increase in prepaid expense = ($2 million)
Decrease in account payable = ($10 million)
Decrease in accrued liability = ($3 million)
Net cash provided by operating activities = $58 million
In conclusion, the net cash provided by operating activities is $58 million.
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Two factors that can cause a person to change their status from *employed" to "not economically active"
A person's economic status can move from "employed" to "non-economically active" due to two circumstances.
For men, being out of the labor force due to illness or disability has been the main cause. The main motivation for women has been to take care of a family member.The population that is engaged in the economy includes both employed and unemployed people. The population that is "economically active" is referred to as the labor force or labor supply. Those who were working for pay, profit, or family gain at the time of the census are considered employed.
The labor force is a crucial element of economic expansion: Businesses are able to increase production and employment when more people join the workforce.
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What is the difference between marketing and selling?
Answer:
selling transforms the goods into money, but marketing is the method of serving and satisfying customer needs. The marketing process includes the planning of a product's and service's price, promotion and distribution.
For each of the following transactions of JonesSpa Corporation, for the month of January, identify each as an investing activity or financing activity on the statement of cash flows for January. (If the activity does not affect the statement of cash flows, select No Effect.)
Answer:
1. Paid cash to purchase inventory
OPERATING ACTIVITY, DECREASES CASH FLOW STATEMENT
2. Purchased land by issuing common stock
NON CASH INVESTING AND FINANCING ACTIVITY, DOES NOT AFFECT CASH FLOW STATEMENT
3. Accounts receivable decreased in the year
OPERATING ACTIVITY, INCREASES CASH FLOW STATEMENT
4. Sold equipment for cash
INVESTING ACTIVITY, INCREASES CASH FLOW STATEMENT
5. Recorded depreciation expense
OPERATING ACTIVITY, INCREASES CASH FLOW STATEMENT
6. Income taxes payable increased in the year
OPERATING ACTIVITY, INCREASES CASH FLOW STATEMENT
7. Declared and paid a cash dividend
FINANCING ACTIVITY, DECREASES CASH FLOW STATEMENT
8. Accounts payable decreased in the year
OPERATING ACTIVITY, DECREASES CASH FLOW STATEMENT
9. Paid cash to settle notes payable
FINANCING ACTIVITY, DECREASES CASH FLOW STATEMENT
10. Prepaid expenses increased in the year
OPERATING ACTIVITY, DECREASES CASH FLOW STATEMENT
11. Sold inventory for cash
OPERATING ACTIVITY, INCREASES CASH FLOW STATEMENT
12. Paid cash to acquire treasury stock
FINANCING ACTIVITY, DECREASES CASH FLOW STATEMENT
13. Net income
OPERATING ACTIVITY, INCREASES CASH FLOW STATEMENT
14. Decrease in accrued liabilities
OPERATING ACTIVITY, DECREASES CASH FLOW STATEMENT
15. Increase in prepaid expenses
OPERATING ACTIVITY, DECREASES CASH FLOW STATEMENT
Match the methods to monitor on-floor selling activity and sales effectiveness to the scenario that portrays them.
Monitoring on-floor selling activity and sales effectiveness can be done through various methods that help retailers make informed decisions about their store's performance.
Here are some methods for monitoring on-floor selling activity and sales effectiveness:1. Mystery shoppingThis is where retailers hire a third-party to pose as a customer and visit the store to evaluate the level of service and sales effectiveness. Mystery shoppers can be used to evaluate different areas of the store, such as customer service, product knowledge, and sales techniques. The results can be used to identify areas of weakness and opportunities for improvement.2. Point of sale data analysisThis involves analyzing sales data collected at the checkout. This method can provide insights into sales trends, popular products, and the effectiveness of promotions and sales strategies. Retailers can use this data to make informed decisions about their store's inventory and pricing.3. In-store camerasInstalling cameras on the sales floor can help retailers monitor customer behavior, such as how long they spend in a particular area and which products they are looking at. Retailers can use this information to improve store layout and product placement.4. Customer feedback forms Retailers can use feedback forms to gather information about customers' experiences in the store.
This can include questions about the level of service, product availability, and overall satisfaction. Retailers can use this information to identify areas of improvement and make changes to the store's operations.5. Sales tracking softwareRetailers can use sales tracking software to monitor sales performance and set sales goals. This software can provide real-time updates on sales data and identify areas of strength and weakness. Retailers can use this information to make informed decisions about their store's operations and sales strategies.In conclusion, retailers can use different methods to monitor on-floor selling activity and sales effectiveness. These methods include mystery shopping, point of sale data analysis, in-store cameras, customer feedback forms, and sales tracking software. The choice of method will depend on the retailer's goals and the specific areas they want to evaluate.
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when paid during the tax year, which of the following may be deductible on Schedule A
Answer:
Deductions for state and local sales tax (SALT), income, and property taxes can be itemized on Schedule A.
Explanation:
Marriott builds a hotel for $34 million and sells it to a banking
firm for $52 million. Marriott charges the banking firm 2-4 % of gross revenues to operate the hotel. This business transaction is
known as
franchising
REIT
investment partnership
management contract
Answer:
management contract
Explanation:
Suppose that a flower nursery benefits from having a butterfly farm located only a few miles away, because the presence of the insects greatly improves flower pollination. Lawyers for the two companies meet to draft a legal document specifying the number of butterflies the farm promises to maintain in exchange for payments to be made by the nursery. Which of the following types of private solutions to the externality of pollination has occurred in this case?
A) Integration of different types of businesses through merger or acquisition
B) Charities
C) Moral codes and social sanctions
D) Contracts
Answer: Contracts
Explanation: Because the 2 parties are coming to a contractual agreement.
"Group decision making is better". Do you agree or disagree with the statement? Give 3 reasons why do you say so?
Answer:
I agree because it make the group bring out more ideals
sometimes group decision make some people to voice out their problems
group decision help organization and firms to operate in good aims
Determine where each piece of information is located on a check.
signature line
date
routing number
account number
personal information
check number
memo line
Example of a check. Look at the image I attached.
Wade Corp. has 150,000 shares of common stock outstanding. In 2020, the company reports income from continuing operations before income tax of $1,210,000. Additional transactions not considered in the $1,210,000 are as follows.1. In 2020, Wade Corp. sold equipment for $40,000. The machine had originally cost $80,000 and had accumulated depreciation of $30,000. The gain or loss is considered non-recurring.2. The company discontinued operations of one of its subsidiaries during the current year at a loss of $190,000 before taxes. Assume that this transaction meets the criteria for discontinued operations. The loss from operations of the discontinued subsidiary was $90,000 before taxes; the loss from disposal of the subsidiary was $100,000 before taxes.3. An internal audit discovered that amortization of intangible assets was understated by $35,000 (net of tax) in a prior period. The amount was charged against retained earnings.4. The company recorded a non-recurring gain of $125,000 on the condemnation of some of its property (included in the $1,210,000).Instructions Analyze the above information and prepare an income statement for the year 2020, starting with income from continuing operations before income tax. Compute earnings per share as it should be shown on the face of the income statement. (Assume a total effective tax rate of 19% on all items, unless otherwise indicated.)
Answer:
just get rid of this answer
Explanation:
How do these three rules apply to your life? Explain them in your words and try to think about how they relate to your financial situation. (Hint: Think about how you earn money and how you spend money, also imagine that you have been offered a credit card with a starting line of credit at $1000)
Rule 1 - Don't have debt rise faster than income, because the debt burden will eventually crush you
Rule 2 - Don't have income rise faster than productivity, because you will eventually become uncompetitive
Rule 3 - Do all that you can to raise your productivity, because in the long run that's what matters most
The three rules below will help individuals achieve financial stability and security, which is critical for living a happy and stress-free life. They can learn new skills, enroll in courses, read books, and so on to increase their productivity levels.
Rule 1: Don't have debt rise faster than income, because the debt burden will eventually crush you.To avoid falling into a debt trap, one should prioritize their spending. It's always a good idea to live within one's means and avoid spending more than they earn.Rule 2: Don't have income rise faster than productivity, because you will eventually become uncompetitive.It's a good idea to focus on increasing productivity to achieve long-term financial stability. One must avoid situations where they are not productive but are earning more money, as this can make them uncompetitive in the long run.Rule 3: Do all that you can to raise your productivity, because in the long run that's what matters most.Productivity is the most critical factor in achieving financial stability. Increasing productivity can lead to higher earnings, which can help you reach your financial goals faster.Individuals must always make efforts to improve their productivity. It's always a good idea to live within one's means, avoid unnecessary debt, increase productivity, and invest in oneself. In conclusion, the above three rules can be beneficial to anyone looking to achieve financial stability.
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Using Activity Based Costing, calculate the rate for each cost driver.
13 marks b) Using activity based budgeting, prepare a budgeted yearly operating statement for
Aero3D Ltd. Show the following separately, within the statement.
i. The budgeted output for each product per year;
ii. The contribution to profits for each product and in total before charging activity based costs;
iii. The profit for each product and in total after charging activity based costs but before charging core costs (non-activity based costs);
iv. The total profit after charging core based costs.
i. Budgeted output for each product per year is XS PRO: 3,400 units and POLYX: 1,800 units
ii. Contribution to profits for each product and in total before charging activity-based costs are XS PRO: £561,000 + POLYX: £379,800 (£940,800)
iii. Profit for each product and in total after charging activity-based costs but before charging core costs are XS PRO: Profit after activity-based costs and POLYX: Profit after activity-based costs
iv. Total profit after charging core costs: Total profit after charging core costs
How did we arrive at these values?To calculate the rate for each cost driver using Activity Based Costing (ABC), divide the total cost of each cost pool by its respective cost driver.
a) Calculation of rates for each cost driver:
1. Condensing machine:
Rate = Total cost of condensing machine / Number of production batches
Rate = £450,000 / 60
Rate = £7,500 per batch
2. Shaping machine:
Rate = Total cost of shaping machine / Shaping machine hours
Rate = £130,000 / (3,400 × 0.50 + 1,800 × 0.70)
Rate = £130,000 / 2,400
Rate = £54.17 per shaping machine hour
3. Manual handling of material:
Rate = Total cost of manual handling of material / Weight of material handled
Rate = £55,000 / (3,400 × 1.2 + 1,800 × 1.4)
Rate = £55,000 / 7,040
Rate = £7.80 per kilogram of material handled
b) Budgeted yearly operating statement for Aero3D Ltd:
i. Budgeted output for each product per year:
- XS PRO: 3,400 units
- POLYX: 1,800 units
ii. Contribution to profits for each product and in total before charging activity-based costs:
Contribution per unit = Selling price - Direct material cost - Direct labor cost
- XS PRO: £175 - £8 - £2 = £165 per unit
- POLYX: £225 - £10 - £4 = £211 per unit
Contribution before activity-based costs:
- XS PRO: £165 × 3,400 = £561,000
- POLYX: £211 × 1,800 = £379,800
Total contribution = £561,000 + £379,800 = £940,800
iii. Profit for each product and in total after charging activity-based costs but before charging core costs:
Cost breakdown per unit:
- XS PRO:
- Condensing machine cost = Rate (Condensing machine) × Number of production batches
- Shaping machine cost = Rate (Shaping machine) × Shaping machine hours
- Manual handling cost = Rate (Manual handling of material) × Weight of material handled
Total cost per unit = Direct material cost + Direct labor cost + Condensing machine cost + Shaping machine cost + Manual handling cost
- POLYX:
- Condensing machine cost = Rate (Condensing machine) × Number of production batches
- Shaping machine cost = Rate (Shaping machine) × Shaping machine hours
- Manual handling cost = Rate (Manual handling of material) × Weight of material handled
Total cost per unit = Direct material cost + Direct labor cost + Condensing machine cost + Shaping machine cost + Manual handling cost
Profit after activity-based costs but before core costs:
- XS PRO: Selling price - Total cost per unit
- POLYX: Selling price - Total cost per unit
iv. Total profit after charging core costs:
Total profit = Total contribution - Core costs
Since the core costs are given as a fixed amount and not linked to any activity or cost driver, they are not allocated using the ABC method.
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When you set up an informational interview, you need to think about your objectives. For one thing, you want to gain ____________
from the person that you’re interviewing to help you learn about the career field. The questions that you choose to ask will help you learn the information that interests you most. You can also ____________
which will help you have a better chance of receiving a job offer in the future. You can follow up with this individual and learn about positions that become available.
Answer:
Firsthand information, Expand your professional network
Explanation:
Plato
Essay of market structure
Market structure serves as the way the industries in the market are been classified.
What is Market structure ?Market structure can be regarded as a structure that is used in the classification of different industry that made up a market.
The types of market structures are:
perfect competition oligopoly market monopoly market monopolistic competition.These classification is usually done base on based on their degree and nature of competition of that industry.
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Problem-6; (chapter 3) SS Ltd. obtained significant influence over YY Ltd by buying 30% of Y's 100,000 outstanding ordinary shares at a cost of Br 18 per share on January 1, 2022. On May 15, YY declared and paid a cash dividend of Br 150,000. On December 31, YY reported net income of Br 270,000 for the year. (a) record acquisition of shares (a) record revenue and dividends
(a) Record acquisition of shares: Investment in YY Ltd. Dr. Br 540,000, Cash Cr. Br 540,000.
(a) Record revenue and dividends: Dividend Receivable Dr. Br 45,000, Revenue from Investment in YY Ltd. Cr. Br 45,000; Investment in YY Ltd. Dr. Br 81,000, Revenue from Investment in YY Ltd. Cr. Br 81,000.
(a) To record the acquisition of shares by SS Ltd. on January 1, 2022:
Investment in YY Ltd. (30% of 100,000 shares * Br 18) Dr. Br 540,000
Cash Cr. Br 540,000
This journal entry records the purchase of 30% of YY Ltd.'s outstanding shares for a total cost of Br 540,000.
(b) To record revenue and dividends for the year:
On May 15, YY Ltd. declared and paid a cash dividend of Br 150,000. This dividend represents the portion of the company's earnings that will be distributed to its shareholders.
Dividend Receivable Dr. Br 45,000 (30% of Br 150,000)
Revenue from Investment in YY Ltd. Cr. Br 45,000
This entry recognizes the dividend revenue earned by SS Ltd. from its investment in YY Ltd.
On December 31, YY Ltd. reported net income of Br 270,000 for the year. As SS Ltd. has significant influence over YY Ltd., it needs to adjust its investment account for its share of the net income.
Investment in YY Ltd. Dr. Br 81,000 (30% of Br 270,000)
Revenue from Investment in YY Ltd. Cr. Br 81,000
This entry records the revenue earned by SS Ltd. from its share of YY Ltd.'s net income.
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Definition of meeting
Interaction with someone is called meeting..
according to me yes
Pizza International, Incorporated, reported the following information (in thousands):
Operating Activities
Net Income $ 100
Depreciation 33,305
Increase in receivables 170
Decrease in inventory 643
Increase in prepaid expenses 664
Decrease in accounts payable 8,720
Increase in accrued liabilities 719
Decrease in income taxes payable 2,721
Payments on notes payable 12,691
Cash paid for equipment 29,073
The following is the summarized income statement for Pizza International, Incorporated (in thousands):
Revenues $ 143,551
Cost of Sales 45,500
Gross Profit 98,051
Salary and Wages Expense 56,835
Depreciation 33,305
Office Expense 7,781
Net Income before Income Tax Expense 130
Income Tax Expense 30
Net Income $ 100
Required:
Based on this information, compute cash flow from operating activities using the direct method. Assume Prepaid Expenses and Accrued Liabilities relate to office expenses.
What was the primary reason that Pizza International was able to report large positive cash flow from operations despite nearly having a net loss?
The combination of adding back non-cash expenses, decreases in working capital accounts, and a decrease in inventory contributed to the large positive cash flow from operations despite nearly having a net loss.
To compute cash flow from operating activities using the direct method, we need to analyze the changes in different balance sheet accounts. Let's go step by step:
Step 1: Calculate Cash Flows from Operating Activities using the Direct Method
- Start with net income: $100,000
- Add back depreciation: $33,305
- Subtract the increase in receivables: $170
- Add the decrease in inventory: -$643 (Note: decrease is subtracted)
- Subtract the increase in prepaid expenses: -$664
- Add the decrease in accounts payable: -$8,720 (Note: decrease is subtracted)
- Subtract the increase in accrued liabilities: -$719
- Add the decrease in income taxes payable: -$2,721
- Subtract payments on notes payable: -$12,691
- Subtract cash paid for equipment: -$29,073
Cash flow from operating activities using the direct method: $99,464
Step 2: Analyzing the reason for positive cash flow from operations despite a net loss
The primary reason that Pizza International was able to report large positive cash flow from operations despite nearly having a net loss is due to non-cash expenses, such as depreciation, which is added back to net income. Depreciation is a non-cash expense that reduces net income but does not involve actual cash outflow. Therefore, adding back depreciation increases the cash flow from operating activities.
Additionally, there were decreases in working capital accounts, such as accounts payable and income taxes payable, which led to a positive impact on cash flow from operating activities. The decrease in accounts payable and income taxes payable means that Pizza International paid off its liabilities, resulting in a decrease in cash outflow.
Furthermore, there was a decrease in inventory, which also positively impacted cash flow from operating activities. Decreasing inventory reduces the amount of cash tied up in unsold goods.
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Volatile price changes, technological changes, and government intervention are what type of risks?
Volatile price changes, technological changes, and government intervention are external risks that can impact a company's operations and performance.
What are Volatile price changesVolatile price changes refer to fluctuations in input or product prices, which can affect profitability and cost structure. Technological changes can introduce advancements or disrupt an industry, requiring companies to adapt to avoid becoming obsolete.
Government intervention, through regulatory changes or policies, can create uncertainties and challenges for companies, affecting operations, costs, and market access.
To mitigate these risks, companies should implement risk management strategies such as diversification, contingency planning, staying informed about market trends, investing in R&D, and engaging with government stakeholders.
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g Machinery was purchased for $400000 on January 1, 2022. Freight charges amounted to $14000 and there was a cost of $36000 for building a foundation and installing the machinery. It is estimated that the machinery will have a $50000 salvage value at the end of its 4-year useful life. What is the amount of accumulated depreciation at December 31, 2023 if the straight-line method of depreciation is used
Answer:
Accumulated depreciation at December 2023 = $200000
Explanation:
The cost of a fixed asset should be reported as the cost of buying the asset plus any cost incurred in bringing the asset in the location and condition necessary for its use as deemed by the management. Thus, the cost of machinery as reported will be,
Machinery Cost = 400000 + 14000 + 36000 = $450000
The straight line method charges a constant depreciation expense through out the useful life of the asset. The formula for depreciation under this method is,
Depreciation expense per year = (Cost - Salvage value) / Estimated useful life
Depreciation expense - 2022 = (450000 - 50000) / 4
Depreciation expense - 2022 = $100000
Depreciation expense - 2023 = (450000 - 50000) / 4
Depreciation expense - 2023 = $100000
Accumulated depreciation at December 2023 = 100000 + 100000 = $200000
Which of the following tips can help you engage the audience as you speak?
A. Budgeting time
B. Using notecards
C. Speaking quietly
D. Eye contact
Answer:
D. Eye Contact
Explanation:
The answer D. Eye contact because that is an essential thing to help you engage with your audience when you are doing a speech.
Answer:
D. eye contact
Explanation:
on edge
Which of the following would be included in a property management report?a) Delinquent Tenant Reportb) Tenant Screening Reportsc) Schedule E Reportd) ACH Settlemente) Vendor Ledgerf) Rent Roll
Answer:
Rent roll ( F )
Explanation:
In most case none of the options mentioned above is included in a property management report prepared for the owner of a property by the property management company unless the property is been managed by a private landlord directly.
A rent roll is sometimes been provided in the property management report because it provides vital information to the property owner should in case he wants to sell off his property. otherwise all reports are mostly handled by the management company.
The following data relate to direct materials costs for November: Actual costs 4,700 pounds at $5.40 Standard costs 4,500 pounds at $6.00 What is the direct materials quantity variance
Answer:
$2,820 favorable
Explanation:
Calculation to determine direct materials quantity variance
Using this formula
Direct materials price variance = (Actual materials cost per lb. - Standard materials cost per lb.) * Actual quantity lb
Let plug in the formula
Direct materials price variance = ($5.40 - $6.00) * 4,700 lbs.
Direct materials price variance = (-$0.60) * 4,700 lbs.
Direct materials price variance = $2,820 favorable
Therefore the direct materials price variance is $2,820 favorable.
Agricultural land includes all of the following EXCEPT which?
The land that is least conducive to agriculture is sandy soil. This is further explained below.
What is sandy soil?Generally, Light, warm, dry, sandy soil that is acidic and deficient in nutrients is what you may expect to find in a typical climate. Because of their low clay content, sandy soils are often referred to as "light soils."
In conclusion, The term "permanent cropland" includes wooded plantations used to harvest fruit but excludes tree farms and true forests utilized for wood or lumber.
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Connect information which relates.
Inside-out perspective Choose..
competitive intelligence
the organisation's goals and values
the resources and capabilities to achieve competitive advantage
the industry environment
Competitive intelligence bridges the gap between the organization's goals and values, the industry environment, and the resources and capabilities necessary to gain a competitive edge. The correct option is a.
Competitive intelligence plays a crucial role in connecting the organization's goals and values with the industry environment and the resources and capabilities required to achieve competitive advantage. Competitive intelligence involves gathering and analyzing information about competitors, market trends, and customer preferences to gain insights and make informed business decisions.
By understanding the industry environment through competitive intelligence, organizations can identify opportunities and potential threats. This knowledge helps align the organization's goals and values with the external factors impacting its success. For example, if the industry is shifting towards sustainable practices, an organization that values environmental responsibility can leverage this trend to enhance its competitive position.
Furthermore, competitive intelligence helps identify the resources and capabilities needed to achieve competitive advantage. It provides insights into the strengths and weaknesses of competitors, allowing organizations to benchmark their own capabilities and identify areas for improvement. This knowledge can guide strategic planning and resource allocation, ensuring that the organization aligns its resources with its competitive goals. The correct option is a.
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Match the terms with the appropriate definition.
1. arbitration
desired outcome or achievement
2. bilingual
ability to use two languages fluently
3. compromise
the act of training an employee to also perform tasks performed by another employee
4. constructive criticism
activities outside the scope of your education or employment that enhance personal development and pleasure
5. cross-training
when a third party is consulted to make a final decision in resolving a conflict
6. extracurricular activities
explaining an error to another person in a positive way and offering ideas to avoid similar mistakes in the future
7. goal
to give up something to resolve a conflict
Answer:
1. goal
2.correct
3.cross training
4.extracurriculars
5.arbitration
6.constructive criticism
7.compromise
the gdpr created a ________ framework in order to enable u.s. businesses to legally use personal data from eu countries.
The GDPR created a Safe harbor. Framework in order to enable U.S. businesses to legally use personal data from EU countries.
General Data Protection Regulation (GDPR) created a framework called Safe harbor.
Safe harbor is an agreement between the United States Department of Commerce and the European Union, the framework safeguards the European citizen's personal data (data protection). The General Data Protection Regulation (GDPR) is a framework of law that establishes standards for the gathering and handling of personal data from. Safe harbor is a term in a law or regulation that, under certain circumstances, protects from legal responsibility or other penalties. Safe harbor rules shield individuals and organizations from liability for unexpected errors .safe harbor are helpful if Anyone acting in good faith who may otherwise break the law for reasons beyond their control now has peace of mind thanks to these laws.
Completed question ): The GDPR created a framework in order to enable U.S. businesses to legally use personal data from EU countries.
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6. Suppose that the consensus forecast of security analysts of your favorite company is that earnings next year will be $5.00 per share. The company plows back 50% of its earnings and if the Chief Financial Officer (CFO) estimates that the company's return on equity (ROE) is 16%. Assuming the plowback ratio and the ROE are expected to remain constant forever: Suppose that you are confident that 10% is the required rate of return on the stock. What does the market price of $50.00 per share imply about the market's estimate of the company's expected return on equity? (please give a number) 1 point
10.0000%, market price of $50.00 per share imply about the market's estimate of the company's expected return on equity.
The given amount is;
The market price of $50.00 per share.The company's expected return on equity is 10%.ROE x blowback ratio16.0000% x 50.0000%8.0000%Because the needed rate of return to the stock is 10%, the market's assessment of the company's expected return on equity is greater than that derived using the plowback ratio and the ROE.
As a result, the significance of the market price of $50.00 per share imply about the market's estimate of the company's expected return on equity are the aforementioned.
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In most situations, a small business should keep their business tax records for a minimum of how long
In most situations, a small business should keep their business tax records for a minimum for 3 years. If you don't submit a return, keep records for as long as necessary.
What do you mean by the business tax records?If you file a claim for credit or refund after filing your return, keep records for 3 years from the date of your initial return's filing or 2 years from the day you paid the tax, whichever comes first.
If you submit a claim for a deduction for bad debts or a loss from worthless securities, keep records for seven years.
If you fail to submit income that you should have reported and it represents more than 25% of the gross income listed on your return, keep records for six years.
Therefore, in most situations, a small business should keep their business tax records for a minimum for 3 years. If you don't submit a return, keep records for as long as necessary.
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When a natural monopoly exists in a given industry, the per-unit costs of production will be:
a. lowest when there are a large number of producers in the industry.
b. lower for smaller firms than for larger firms.
c. minimized at the output that maximizes the industry's profitability.
d. lowest when a single firm generates the entire output of the industry.
When a natural monopoly exists in a given industry, the per-unit costs of production will be "lowest when a single firm generates the entire output of the industry".
What exactly is Monopoly?
Monopoly in business is when a single company or entity controls the entire market for a particular product or service, eliminating or severely limiting competition. A monopoly is created when a business or group of businesses has enough control over a market to set prices, control supply, and limit competition. Monopolies can be created through a variety of means, including exclusive rights granted by governments, natural monopolies that arise from the cost structure of a particular industry, and the acquisition of competitors.
Hence, option D is correct.
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