The comparison of differences between actual and planned results appears on periodic budget reports. This process is crucial for businesses to evaluate their financial performance and identify any discrepancies between what was initially planned and the actual outcomes.
Periodic budget reports provide a detailed overview of the company's financial situation by comparing the actual results, such as revenues and expenses, with the planned or budgeted figures. This comparison allows management to assess the company's performance and make necessary adjustments to future plans or strategies.
It enables them to identify any areas where spending may be excessive or where additional resources may be needed to achieve their objectives.
These comparisons are usually not done orally in departmental meetings, nor are they primarily the responsibility of external auditors. While external auditors may review a company's financial statements for accuracy and compliance, the comparison between actual and planned results is typically the responsibility of internal management.
Additionally, the comparison of differences between actual and planned results does not appear on the company's external financial statements.
External financial statements, such as balance sheets and income statements, provide an overview of a company's financial position to shareholders and other external parties but do not include a direct comparison of budgeted and actual figures.
In summary, the comparison of differences between actual and planned results is an essential part of a company's internal financial management process and appears on periodic budget reports, enabling management to assess performance, make adjustments, and maintain control over the company's financial direction.
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What does an exchange rate tell you?
A. How many products have been exchanged between two different countries
B. The number of people in one country in comparison to another country
C. How much one unit of currency is worth when converted to another currency
D. The speed that people are buying a specific type of product
Answer:
C. How much one unit of currency is worth when converted to another currency
It tells you: C. How much one unit of currency is worth when converted to another currency.
Three business partners share r150000 from investment profits as
follows. Shelly Ann gets 57000 and Shericka gets twice as much as
Elaine. How much money does Elaine receive?.
Let Elaine's share of the profits be x. Then we can say that Shericka's share is twice as much, so Shericka's share is 2x. We know that Shelly Ann gets 57000, and we also know that the total amount shared is R150000, so: x + 2x + 57000 = 150000 Simplifying this equation, we get:3x + 57000 = 150000 Now subtract 57000 from both sides to isolate the variable 3x = 93000 Now divide by 3 to solve for x:x = 31000 Therefore, Elaine receives R31000 from the profits.
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C&S Marketing (CSM) recently hired a new marketing director, Jeff Otos, for its downtown Minneapolis office. As part of the arrangement, CSM agreed on February 28, 2018, to advance Jeff $30,000 on a one-year, 8 percent note, with interest to be paid at maturity on February 28, 2019. CSM prepares financial statements on June 30 and December 31. Prepare the journal entry that CSM will make when the note is established.
Answer:
Journal Entry that CSM will make when the note is established.
Date Account Title & Explanation Debit Credit
Feb 28, Note receivable $30,000
2018 Cash $30,000
(To record issue of note payable)
What are the 5 advantages of writing out a budget?
Explanation:
Provides You 100% Control Over Your Money.
Let's You Track Your Financial Goals.
Budgeting Will Open Your Eyes.
Will Help Organize Your Spending.
Will Help Create a Cushion for Unexpected Expenses.
Budgeting Makes Talking About Finances Much Easier.
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Tickets to a fundraiser are $14 if purchased ahead of time and $25 if purchased at the door. The total amount raised from all ticket sales was $625. If eleven tickets were purchased at the door, how many tickets were purchased ahead of time?.
Which stage of new product development would you be most interested in participating in? Explain.
Answer:
prototyping
Explanation: Because with this stage you will be able to see rough draft of the product and you will be able to the strongest and weakest parts of your project. Prototyping makes it possible to concertize an idea and to understand which aspects of the idea prove difficult or impossible to implement. Making a prototype can thus highlight unanticipated physical, technical or financial constraints.
If country A has a comparative advantage in the production of good X over country B, then: _______________
a. country A should not trade with country B.
b. the domestic opportunity cost of producing X in country A is higher than in country B.
c. the domestic opportunity cost of producing X in country A is lower than in country B.
d. the domestic opportunity cost of producing X in country A is higher or lower than in country B.
Considering the situation described above, if country A has a comparative advantage in producing good X over country B, then: the domestic opportunity cost of producing X in country A is lower than in country B.
What is Opportunity Cost?Opportunity cost is often used in economics to describe the profit lost when one choice or option is taken over another.
What is Comparative Advantage?Comparative Advantage is the term used to describe the economy's capacity to produce a specific good or service at a lower opportunity cost than its trading competitors.
Therefore, given that country A has a comparative advantage in producing good X over country B, this equates to country A having a lower opportunity cost than country B.
Hence, in this case, it is concluded that the correct answer is option C.
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one way to segment a market is according to whether the purchaser is a consumer or a business-to-business user.
True. one way to segment a market is according to whether the purchaser is a consumer or a business-to-business user.
What is meant by market segmentation?Organizing potential customers into groups or segments with comparable demands and responses to marketing actions is referred to as market segmentation in marketing.
People who are gathered together for marketing purposes are referred to as market segments. Market segments are subsets of a broader market that frequently group people together based on one or more shared traits.
Segmentation is used to focus marketing efforts on the customers that fit your ideal customer profile (ICP), or those who are most likely to purchase your good or service.
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one way to segment a market is according to whether the purchaser is a consumer or a business-to-business user. T or F
PLEASE HELP NOW!!! Why is a higher interest rate important when saving money?
A.) It means the person will owe the bank less over time.
B.) It grows savings at a faster pace.
C.) It pays interest on principal and interest.
D.) It requires a lower amount be deposited each month.
PLEASE HELP!!!
Answer:
B.) It grows savings at a faster pace.
Explanation:
prepare a check sheet for the above car repair shop data:
Car Repair Shop Check Sheet Defect/Issue | Frequency of Occurrence Engine Problems Transmission Issues |Brake System Faults |Electrical Malfunctions |Suspension Troubles
Tire and Wheel Problems |Fluid Leaks |Exhaust System Defects |Air Conditioning Failures |Other Issues |In the above check sheet, you can list various common defects or issues that are encountered in the car repair shop. The employees or technicians can use this sheet to mark the frequency of occurrence for each issue by putting a checkmark or tally mark in the corresponding column.The check sheet serves as a visual representation of the frequency of different issues, allowing the shop to identify patterns and prioritize areas that require attention. It helps in gathering data systematically and provides a snapshot of the most common problems faced by customers.
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The first step in human resource planning is to create a job analysis. establish a strategic plan. assess future human resource demand. create an inventory of the organization's employees.
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The answer will be assess future human resource demand. Why? Well, let's consider all the options given. For Human Resource (HR) planning we cannot straight away jump to creating a job analysis without deciding on one job & how much it's worth or important in the future. The second option is to create or establish a strategic plan. That too won't work without knowing which occupation is needed more in the future. 4th -> create an inventory of the organization's employees. Well, that's a no-no, we need to find a future-needy job before selecting the people. So, the 3rd option is the most appropriate answer.
___________
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Banks do not hold a lot of their assets in the form of cash mainly because of:
a. regulation.
b. the fear of being robbed.
c. the opportunity cost of holding cash, cash does not earn interest.
d. it can encourage employee theft.
Banks do not hold a lot of their assets in the form of cash mainly because of the opportunity cost of holding cash, cash does not earn interest. The correct option is C.
Opportunity costs are the possible advantages that a person, investor, or company forgoes while deciding between two options. It is necessary to weigh the advantages and disadvantages of each choice offered in order to correctly assess opportunity costs.
The interest that could have been made if the cash had been used to buy bonds instead is the opportunity cost of keeping any money balance.
Therefore, due to the opportunity cost of holding cash and cash does not earn interest banks does nor prefer to hold a lot of their assets in the form of cash .
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entify the ways in which lower of cost or market can be applied to merchandise inventory. (Check all that apply.)
The correct options are: It can be applied to major categories of items, It can be applied to the inventory as a whole and It can be applied to each item individually.
Lower of cost or market (LCM) can be applied to merchandise inventory in the following ways:
It can be applied to major categories of items: LCM can be assessed on a category or group basis rather than individually for each item. This allows for a more efficient and practical approach to evaluating inventory value.
It can be applied to the inventory as a whole: LCM can be applied to the overall inventory value, considering the aggregate cost and market value of all merchandise items collectively.
It can be applied to each item individually: LCM can also be applied to each inventory item individually. This involves evaluating the cost and market value of each item separately and applying the lower of the two as the inventory value.
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Note: The complete question is:
Identify the ways in which lower of cost or market can be applied to merchandise inventory. (Check all that apply.)
Multiple select question.
It can be applied to major categories of items.It can be applied to the inventory as a whole.It can be applied to individual sales departments.It can be applied to each item individually.what is the role of planning for delivering strategic value?
As it enables businesses to match their resources, activities, and decision-making with their goals and objectives, planning is essential to providing strategic value. Planning allows companies to concentrate
The ability to concentrate is the capacity to narrow one's attention to a single job or idea. It involves directing and keeping one's attention on a task for an extended length of time. Training the mind to ignore distractions and maintain attention on the job at hand is necessary for improving concentration. This may be accomplished by focusing on the present moment, dividing up difficult work into manageable chunks, setting realistic objectives, and refraining from multitasking. A healthy lifestyle that includes physical activity, a well-balanced diet, and adequate rest can also help you focus better. For success in school, the workplace, and daily life activities, it is crucial to have strong focus
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the receiving department or quality control function should ______________________________ to ensure that the correct goods are received in acceptable condition.
The receiving department or quality control function should inspect and verify incoming shipments to ensure that the correct goods are received in acceptable condition.
Receiving goods involves the physical process of accepting and verifying that the products or materials received match the order and specifications, and are in good condition.
Quality control is an important step in this process, as it involves the careful examination and testing of the goods to ensure they meet the required standards and specifications.
By inspecting incoming shipments, the receiving department or quality control function can identify any issues or discrepancies, such as damaged goods, incorrect quantities or products, or quality defects.
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the following question has you use rsa, but with larger values (but still not anywhere close to the size of the numbers one would use in a secure cryptographic protocol like tls/ssl). you may use a program that you write, wolfram alpha, or any other computer program to help you solve this problem. for all of these, it is sufficient to just include your number in the answer, unless the question explicitly asks for additional detail. let p
a) The N value is 68341739. b) The Phi(N) is 68242736. c) he GCD is 1, we can conclude that e is relatively prime to Phi(N). d) The d is 45495157. e) The C value is 25947180. f) The P is 22334455 g) The P' is 23456789. h) The C' is 55443322.
a) Compute N = p * q. What is N?
N = 9497 * 7187 = 68341739
b) Compute Phi(N) = (p-1)(q-1). What is Phi(N)?
Phi(N) = (9497 - 1)(7187 - 1) = 9496 * 7186 = 68242736
c) To verify if e and Phi(N) are relatively prime, we can calculate their greatest common divisor (GCD). If the GCD is 1, then e is relatively prime to Phi(N).
GCD(e, Phi(N)) = GCD(3, 68242736) = 1
Since the GCD is 1, we can conclude that e is relatively prime to Phi(N).
d) To compute d as the inverse of e modulo Phi(N), we can use the Extended Euclidean Algorithm or any method that calculates modular inverses.
d = e⁻¹ mod Phi(N)
d = 3⁻¹ mod 68242736
Using a method like the Extended Euclidean Algorithm, we can find that d = 45495157.
e) Encrypt the value P = 22334455 with the RSA primitive and the values for N and e above. Let C be the resulting ciphertext. What is C?
To encrypt a value using RSA, we raise the plaintext P to the power of e modulo N.
C = \(P^e\) mod N
C = 22334455³ mod 68341739
Using a calculator or programming language, we find that C = 25947180.
f) To verify that we can decrypt C using d as the private exponent, we can apply the decryption operation of RSA.
P = \(C^d\) mod N
P = \(25947180^{45495157}\) mod 68341739
Using a calculator or programming language, we find that P = 22334455, which is the original plaintext value.
g) Let P’ be the resulting plaintext. What is P’?
To decrypt a ciphertext C' using RSA, we raise it to the power of d modulo N.
P' = \(C'^d\) mod N
P' = \(55443322^{45495157}\) mod 68341739
Using a calculator or programming language, we find that P' = 23456789.
h) Verify that you can encrypt P' using e as the public exponent to get back C'.
To verify that we can encrypt P' using e as the public exponent, we can apply the encryption operation of RSA.
C' = \(P'^e\) mod N
C' = 23456789³ mod 68341739
Using a calculator or programming language, we find that C' = 55443322, which is the original ciphertext value.
The complete question is:
The following question has you use RSA, but with larger values (but still not anywhere close to the size of the numbers one would use in a secure cryptographic protocol like TLS/SSL).
For all of these, it is sufficient to just include your number in the answer, unless the question explicitly asks for additional detail.
Let p = 9497 and q =7187 and e = 3.
a) Compute N = p * q. What is N?
b) Compute Phi(N) = (p-1)(q-1). What is Phi(N)?
c) Verify that e is relatively prime to Phi(N). What method did you use to verify this?
d) Compute d as the inverse of e modulo Phi(N). What is d?
e) Encrypt the value P = 22334455 with the RSA primitive and the values for N and e above. Let C be the resulting ciphertext. What is C?
f) Verify that you can decrypt C using d as the private exponent to get back P. What method did you use to verify this?
g) Decrypt the value C’ = 55443322 using the RSA primitive and your values for N and d above. Let P’ be the resulting plaintext. What is P’?
h) Verify that you can encrypt P’ using e as the public exponent to get back C’.
What method did you use to verify this?
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Darren has borrowed $100$ clams from ethan at a $10\%$ simple daily interest. meanwhile, fergie has borrowed $150$ clams from gertie at a $5\%$ simple daily interest. in how many days will darren and fergie owe the same amounts, assuming that they will not make any repayments in that time period?
Answer:
20
Explanation:
start doing math
In 20 days Darren and Fergie owe the same amounts.
What is simple interest?simple interest is primarily based on the primary quantity of a or the primary deposit in a savings account. simple interest does not compound, which means that a creditor will best pay interest on the main amount and a borrower could by no means pay extra interest at the previously gathered interest.calculation:-
10% is on $100 is = $10
5% SI on $150 = $7.5
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She makes $569.58 a month
Answer:
Needs - $284.79, Wants - $170.87, Savings - $113.92
Explanation:
Just divide $569.58 in half, so $284.79 for needs.
Then, $569.58 * 0.30 = $170.87 for wants.
Lastly, $569.58 * 0.20 = $113.92 for savings.
To check your answer, add up all the amounts:
$284.79 + $170.87 + $113.92 = $569.58
Which organization should a high school hospitality student consider joining to develop leadership skills and business knowledge?
American Culinary Federation
American Hotel & Lodging Association
Future Business Leaders of America
Resort Hotel Association
High school students can gain practical experience in entrepreneurship, business, and marketing through DECA. Its objective is to provide upcoming leaders with the skills necessary for careers in lucrative industries including marketing, management, hospitality, and finance. There are presently 177,000 DECA members in secondary schools.
Should I enlist in DECA?You can gain an advantage over your rivals with the use of DECA's resources, expertise, and talents. A little bit of ease has been added to applying for internships, scholarships, jobs, and colleges. The fact that you are a member of DECA demonstrates that you are motivated, academically competent, community-minded, and career-focused—ready to take on your future.
In high school, is DECA a good idea?One of the most well-known groups for high school students is DECA, which has more than 3,200 participating schools. Numerous graduates of its successful programs enjoy a stellar reputation.
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Joe's company is looking to make a number of improvements. The firm would like to maximize potential volume and reserved instance (RI) discounts across multiple accounts and also apply service control policies on member accounts. Which service or tool can be used to gain these benefits
The service or tool that could be used for gaining the benefits should be AWS Orgs.
The information related to AWS Orgs is as follows:
AWS Organization should be an account management service. In this, there are multiple AWS accounts that should be consolidated for developing and managing. As an organization administrator, the accounts should be developed and the existing accounts should be invited for joining the organization.Therefore we can conclude that the service or tool that could be used for gaining the benefits should be AWS Orgs.
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Which term means the government isn't above the law?
Answer:
rule of law
Explanation:
Dilly Farm Supply is located in a small town in the rural west. Data regarding the store's operations follow: Sales are budgeted at $304,000 for November, $324,000 for December, and $224,000 for January. Collections are expected to be 60% in the month of sale and 40% in the month following the sale. The cost of goods sold is 75% of sales. The company desires to have an ending merchandise inventory at the end of each month equal to 90% of the next month's cost of goods sold. Payment for merchandise is made in the month following the purchase. Other monthly expenses to be paid in cash are $22,500. Monthly depreciation is $28,000. Ignore taxes. Balance Sheet October 31 Assets Cash $ 33,500 Accounts receivable 84,000 Merchandise inventory 205,200 Property, plant and equipment, net of $624,000 accumulated depreciation 919,000 Total assets $ 1,241,700 Liabilities and Stockholders' Equity Accounts payable $ 253,000 Common stock 754,000 Retained earnings 234,700 Total liabilities and stockholders' equity $ 1,241,700 The cost of December merchandise purchases would be:
Sales for the months of November, December, and January are $304,000, $324,000, and $224,000, respectively. Collections are estimated to be 60% in the month of sale and 40% in the following month.
The cost of goods sold is 75% of sales, and the company wants to have an ending merchandise inventory at the end of each month that is equal to 90% of the next month's cost of goods sold.
Payment for merchandise is made in the month following the purchase.
Other expenses that must be paid in cash are $22,500 per month.
Monthly depreciation is $28,000.
Taxes are ignored. Dilly Farm Supply's balance sheet shows that on October 31, it had $33,500 in cash, $84,000 in accounts receivable, $205,200 in merchandise inventory, and $919,000 in property, plant, and equipment (net of $624,000 in accumulated depreciation).
Its liabilities and stockholders' equity are $253,000 in accounts payable, $754,000 in common stock, and $234,700 in retained earnings.
In December, the estimated cost of goods sold is 75% of the estimated sales of $324,000, or $243,000. The company's desired ending inventory for January is 90% of this amount, or $218,700.
Therefore, the cost of goods that the company needs to purchase to meet sales and inventory goals in December is:
$243,000 + $218,700 − $205,200 = $256,500
Therefore, the cost of December's merchandise purchases is $256,500
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Which of the following are true about cover letters? Select all that apply
Answer:
Cover letters are equivalent to a personal sales pitch.
Explanation:
A cover letter, also known as a job application letter, is submitted with a resume to potential employers. Its objective is to supplement, not duplicate, the resume. The purpose of a cover letter is to describe the job that a candidate is seeking as well as why the business should hire them.
A cover letter is an opportunity for job seekers to sell themselves to potential employers. It allows the applicant to explain why they are the ideal choice for the position and what they can do to the company. In deciding who to call for a job interview, potential employers rely on cover letters to some extent.
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A resume is sent to prospective employers along with a cover letter, commonly referred to as a job application letter
What is an employee?A worker or manager who works for a business, group, or community is referred to as an employee. The organization's personnel consists of these people. There are various types of employees, but in general, any individual engaged by an employer to do a specific task in exchange for remuneration is considered an employee.
Its goal is to complement the resume rather than replace it. In a cover letter, an applicant should explain the position they are seeking and why a company should hire them.
They describe your skills for a position and your interest in a post; they should be specifically tailored to each individual opportunity.
Therefore, employers along with a cover letter commonly referred to as a job application letter
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_____ are laws that require a company earning foreign currency from its exports to sell the foreign currency to a control agency, usually a central bank.
Exchange control are laws that require a company earning foreign currency from its exports to sell the foreign currency to a control agency, usually a central bank.
The Reserve financial institution of India, is the custodian of the country foreign exchange reserves and is vested with the obligation of managing their investment. The prison provisions governing management of forex reserves are laid down in the Reserve financial institution of India Act, 1934.
An Act to consolidate and amend the regulation regulating sure bills, dealings in foreign exchange and securities, transactions not directly affecting forex and the import and export of forex, for the conservation of the forex resources of the united states and the proper utilization thereof
Alternate controls are authorities-imposed limitations on the acquisition and/or sale of currencies. These controls allow international locations to higher stabilize their economies by using proscribing in-flows and out-flows of forex, which could create alternate price volatility.
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A student is graduating from college in six months but will need a loan in the amount of $3,725 for the last semester. the student may receive either an unsubsidized stafford loan or a plus loan. the terms of each loan are: unsubsidized stafford loan: annual interest rate of 4.65%, compounded monthly, with a balance of $3,901.95, at the time of repayment plus loan: annual interest rate of 5.65%, compounded monthly with payment deferred until graduation which loan will have a lower balance and by how much at the time of repayment?
A loan will have a lower balance and by much at the time of repayment $142.13.
What is loan?A loan is any sum of money, a piece of property, or other tangible item that is given to another party with the understanding that it will be paid back, plus interest, at a later date. A loan was the pay with interest.
Calculated the repayment of loan:
Given,
loan in the amount of $3,725
Annual interest rate of 4.65%
compounded monthly, with a balance of $3,901.95
annual interest rate of 5.65%
monthly interest rate is 4.65% ÷ 12
monthly interest rate = 0.3875%.
monthly interest rate is 5.65% ÷ 12
monthly interest rate = 0.4708%.
balance = principal x (1 + monthly interest rate)^ number of compounding periods
balance = $3,725 x \((1 + 0.003875)^6\)
balance = $3,901.95
balance = principal x (1 + monthly interest rate)^ number of compounding periods
balance = $3,725 x \((1 + 0.004708)^6\)
balance = $4,044.08
Amount of loan = $4,044.08 - $3,901.95
Amount of loan = $142.13.
As a result, the significance of the loan will have a lower balance in period of repayment is $142.13.
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A good communicator will focus on speaking and ______.
ITS BUSINESS!! Someone help I literally dont know how to do it I have tried over a thousand times trying to figure it out (I will give brainiest I need explanation)
When utilizing Last-In, First-Out (LIFO), the inventory cost is $33,500; when using First-In, First-Out, it is $29,500; and the weighted average cost is $2515.15.
The weighted cost method is what?
You may calculate the average cost of your inventory, per unit, using the weighted average cost method. The cost of goods sold (COGS) divided by the total number of items in your inventory will give you the WAC.
What are the FIFO and LIFO accounting techniques used for?The Last-In, First-Out (LIFO) methodology is based on the notion that the most recent or most recent unit to enter inventory is sold first. According to the First-In, First-Out (FIFO) methodology, the oldest item in inventory should be the first to be sold.
Particulars Purchase amnt sales amnt
Inventory 5 X $2,400 12,000
Purchases 18 X $2,500 45,000
Purchases 10 X $2,600 26,000
Sold 5X 2,400 12,000
7X 2,500 17,500
First in and first out= $12,000 + $17,500= $29,500
Particulars Purchase amnt sales amnt
Inventory 5 X $2,400 12,000
Purchases 18 X $2,500 45,000
Purchases 10 X $2,600 26,000
Sold 10X 2,600 26,000
3 X 2,500 7,500
Last in, first out= $26,000 + $7,500= $33,500
Weighted average cost method= Cost of goods available for sale / Units available for sale
Weighted average cost method= $83,000 / 33= $2515.15
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Question 21 (2.17 points) True or False? Outcome evaluation documents how the program got started. 1) True 2) False Question 22 (2.17 points) True or False? Immediate outcomes for mass media might include changes in individual behavior and enactment of policies. 1) True 2) False Question 24 (2.17 points) Which of the following is not considered a potential audience for workplace wellness programs? 1) The "business case" from the perspective of business leaders 2) The employee 3) The "planners, implementers, and evaluators" of workplace programs 4) Local gyms Question 25 (2.17 points) True or False? The practice of "CulturalCare" seeks to assimilate patients into the culture of clinical care. 1) True 2) False
Question 22: 1) True
Question 24: 4) Local gyms
Question 25: 2) False
Question 22:True. Outcome evaluation does document how the program got started, as it focuses on the initial processes, inputs, and activities that contributed to the program's development.
Question 24:
The potential programs include: 1) The "business case" from the perspective of business leaders, 2) The employee, and 3) The "planners, implementers, and evaluators" of workplace programs. Local gyms, however, are not considered a potential audience for workplace wellness programs.
Question 25:False. The practice of "CulturalCare" does not seek to assimilate patients into the culture of clinical care. Instead, it aims to promote culturally competent healthcare by acknowledging and respecting the diverse cultural backgrounds and values of patients.
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Explain law of demand and supply along with graphical representation and how can we determine the price of any commodity?
Answer:
The Law of Demand and Supply help us understand how prices are reached in a market.
The Law of Demand states that the higher the price of a good, the lesser the quantity demanded of that good by consumers. Looking at the graph attached, you will see that the demand curve is downward sloping. This is because of the law of demand.
Notice that when the price of the good is $20, there are 4,000 units demanded but when the price goes up to $30, there are now 3,000 units demanded. Consumers demand less of a good as it gets more expensive because it increases their opportunity cost. This means that the money they are spending on a good could be spent elsewhere and if that amount keeps rising, it reduces the quantity of other goods they can get.
The Law of Supply applies to suppliers and states that as prices increases, Suppliers will supply more goods and services because they will have the incentive of more profit guiding them. For that reason the Supply curve will be upward sloping. Notice how at a price of $20, the supply is only 2,000 but when the price rises to 30, the supply increases to 3,000.
The price of a commodity is determined at the Equilibrium point where the Demand and Supply Curves intersect. At this point, the amount that people are willing to pay for a certain quantity of goods matches the price that suppliers are willing to supply the same quantity of goods for. In the graph you will notice that price is $30 and the quantity is 3,000.
Peabody. Inc. Has 5000 shares 7% $100 psr value cumulative preferred stock and 50000 shares of $1 par value common stock outstanding at Dec 31 2014 if the board of directors declare a $30000 dividen the?
If the board of directors declares a $30,000 dividend, the: preferred shareholders will receive the entire $30,000.
How to find the preferred shareholders?To calculate the dividend amount for each class of stock, we need to determine how much of the dividend will be allocated to the preferred stock and how much will be allocated to the common stock.
Since the preferred stock is cumulative, any dividends that were not paid in previous years will need to be paid before any dividends can be paid to the common stock. We can calculate the amount of cumulative dividends owed to the preferred stockholders as follows:
Cumulative Dividends Owed = 5000 shares x $100 psr value x 7% = $35,000
Since the board of directors has declared a $30,000 dividend, we can see that this amount is not enough to cover the full amount of cumulative dividends owed to the preferred stockholders. Therefore, the entire $30,000 dividend will be paid to the preferred stockholders, and none will be paid to the common stockholders.
The amount of cumulative dividends owed to the preferred stockholders will be reduced by $30,000, leaving a balance of $5,000. This amount will need to be paid before any future dividends can be paid to the common stockholders.
Therefore, the dividend amount for each class of stock is:
Preferred Stock: $30,000
Common Stock: $0
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