Neither the payback period nor the accounting rate of return methods of evaluating investments considers the time value of money.
a) True
b) False

Answers

Answer 1

Answer:

The answer is true.

Explanation:

Both of payback period and Accounting Rate of Return do not consider the time value of money. And this is one of the big disadvantages in using these methods as a means of valuating capital project.

While payback period is the length of time it takes a firm to recover the cost of an investment, accounting rate of return is annual return(profit) on investment.

Payback period is only interested in when it will get its Investment back. It ignores the value or time after this investment has been realized.


Related Questions

Sonic Inc. manufactures two models of speakers, Rumble and Thunder. Based on the following production and sales data for June, prepare (a) a sales budget and (b) a production budget:
Rumble Thunder
Estimated inventory (units), June 1 750 300
Desired inventory (units), June 30 500 250
Expected sales volume (units):
East Region 12,000 3,500
West Region 14,000 4,000
Unit sales price $160 $200
a. Prepare a sales budget.
b. Prepare a production budget.

Answers

Answer:

                                       SONIC INC.

                                     SALES BUDGET

                        FOR THE MONTH ENDING JUNE 30

Product and Area   Unit sales volume   Unit selling Price  Total sales

Rumble

Midwest Region           12,000                      $160                  $1,920,000

South Region                14,000                      $160                 $2,240,000

Total                              26,000                                               $4,160,000

Thunder

Midwest Region          3,500                         $200                  $700,000

South Region               4,000                        $200                   $800,000

Total                              7,500                                                    $1,500,000

Total Revenue from sales = $4,160,000  + 1,500,000 = 5,660,000

2.                                                SONIC INC.

                                      PRODUCTION BUDGET

                               FOR THE MONTH ENDING JUNE 30

                                                      UNITS RUMBLE       UNITS THUNDER

Expected unit to be sold                  26,000                           7,500

Add: Desired Inventory June 30        500                             250

Total                                                   26,500                            7,750

Less: Estimated Inventory June 1       750                              300

Total units to be produced               25,750                           7,450

Indicate what components of GDP (if any) each of the following transactions would affect. a. Your parents buy a new house from a local builder. b. Your parents pay an accountant to file their tax returns. c. New York hires workers to plow snow after a snowstorm. d. Honda expands its factory in Ohio. e. Ford sells a Mustang from its inventory to the Martinez family. f. Aunt Polly buys a new air conditioner from a domestic manufacturer. You buy a new Toshiba computer. g. the Jackson family buys an old Victorian house from the Walker family.

Answers

Answer:

a. Consumption spending

b. consumption spending

c. government spending

d. investment

e. consumption and investment

f. consumption spending

g. not included in GDP

Purchase of a Toshiba laptop is consumption spending

Explanation:

Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year

GDP calculated using the expenditure approach = Consumption spending by households + Investment spending by businesses + Government spending + Net export

Net export = exports – imports

When exports exceeds import there is a trade deficit and when import exceeds import, there is a trade surplus.  

Items not included in the calculation off GDP includes:  

1. services not rendered to oneself

2. Activities not reported to the government  

3. illegal activities

4. sale or purchase of used or old products

5. sale or purchase of intermediate products

Consumption spending includes expenditures by households on durable and non durable goods and services

the following are durable consumption by households and are included in the calculation of GDP :

Purchase of a house

Purchase of a mustang

Purchase of an air conditioner

purchase of a  computer

the purchase of the old Victorian house isn't included in the calculation of GDP because it is old. Only items produced in the current year are included in the GDP. if the old home is counted, it would be double counting

hiring an accountant is an example of purchase of services by households and it is consumption spending.

Spending by businesses are included in investment spending.

expenditure by the government or state are included in government spending

Imagine that a politician has been asked to support the public good proposals below. In order not to waste money and improve her chances of reelection, she makes her decisions based on a cost-benefit analysis. In each of the situations, should she support or reject the proposal?
a) repairing a broken dam that is a major source of hydroelectric power for a large city
b) fixing a pothole along a lightly used street
c) installing streetlights in a community where there has been a lot of crime
d) building a flood control system for an area that floods once every 100 years

Answers

Answer:

a) repairing a broken dam that is a major source of hydroelectric power for a large city  - Support

The Cost-benefit Analysis here will show a high benefit because the city relies on the dam to produce electricity. If the dam is repaired, the productivity of the city can increase which translates to higher benefits.

b) fixing a pothole along a lightly used street  - Reject

The pothole being fixed is not very cost effective because the road is not being used by many. The chances of a high number of cars being damaged therefore is low so resources should not used to fix this road unless in excess.

c) installing streetlights in a community where there has been a lot of crime  - Support

Criminals feel emboldened by darkness because they are concealed better and can escape faster. Installing lights will reduce crime and criminals will be spotted faster and their escape will be made harder. She should support this initiative as the benefits outweigh the costs.

d) building a flood control system for an area that floods once every 100 years - Reject

The time taken for the area to flood in the area is quite high. There is therefore no point in installing a flood control system at the moment when resources are a bit scarce. She should not support this initiative for the time being.

Students arrive at the Administrative Services Office at an average of one every 15 minutes, and their requests take on average 10 minutes to be processed. The service counter is staffed by only one clerk, Judy Gumshoes, who works eight hours per day. Assume Poisson arrivals and exponential service times.

Required:
a. What percentage of time is Judy idle?
b. How much time, on average, does a student spend waiting in line?
c. How long is the (waiting) line on average?
d. What is the probability that an arriving student (just before entering the Administrative Services Office) will find at least one other student waiting in line?

Answers

B how much time on a stage does a a student spend waiting in line

Northern Communications has the following​ stockholders' equity on December 31​, 2018​:
Stockholders' Equity
Paid-In Capital:
Preferred Stock—5%, $11 Par Value; 150,000
shares authorized, 20,000
shares issued and outstanding $220,000
Common Stock—$2 Par Value; 575,000 s
hares authorized, 380,000
shares issued and outstanding 760,000
Paid-In Capital in Excess of Par—Common 680,000
Total Paid-In Capital 1,660,000
Retained Earnings 200,000
Total Stockholders' Equit $1,860,000
Requirement 1. Assuming the preferred stock is cumulative, compute the amount of dividends to preferred stockholders and to common stockholders for 2018 and 2019 if total dividends are $9,000 in 2018 and $45,000 in 2019. Assume no changes in preferred stock and common stock in 2019.
2. Record journal entries for 2018 assuming Northern communication declared dividend on Dec 31.

Answers

Answer:

2018

Preferred Stock Dividend Paid = $9,000

Common Stock Dividend = $0

2019

Preferred Stock Dividend Paid = $13,000

Common Stock Dividend = $32,000

Journal Entry

Dec 31

Dividend : Preference Stock $11,000 (debit)

Cash $9,000 (credit)

Shareholders for dividends $2,000 (credit)

Explanation:

Preference Stockholders have preference over Common Stockholders when it comes to payments of dividends.

That means preference dividends are paid first then the remainder belongs to the Common Stockholders.

If Preference Stocks are cumulative, dividends in arrears not paid in previous years are carried over to the next year and these have to be paid up before any distributions for that year are made.

Calculation of Stock Dividend

Stock Dividend gives a fixed dividend to Preference Stockholders every year.

Stock Dividend = ( $220,000 × 5%) = $11,000

2018

Preferred Stock Dividend Paid = $9,000

Preferred Stock Dividend in Arrears = $2,000

Common Stock Dividend = $0

2019

Preferred Stock Dividend Paid = ($2,000 - In-arrears + $11,000 - Current Year) = $13,000

Preferred Stock Dividend in Arrears = $0

Common Stock Dividend = ($45,000 - $13,000) = $32,000

If the expected sales volume for the current period is 7,000 units, the desired ending inventory is 400 units, and the beginning inventory is 400 units, the number of units set forth in the production budget, representing total production for the current period, is Group of answer choices 7,000 7,100 6,700 7,400

Answers

Answer:

7,000 units

Explanation:

Calculation for the number of units set forth in the production budget, representing total production for the current period

Using this formula

Number of units =Current period +Ending inventory - Beginning inventory

Where,

Current period =7,000 units

Ending inventory=400 units

Beginning inventory =400 units

Let make plug in the formula above

Number of units =7,000 units + 400 units-400 units

Number of units =7,000 units

Therefore the Number of units will be 7,000 units

Answer:

7,000 units

Explanation:

Tracy Company, a manufacturer of air conditioners, sold 100 units to Thomas Company on November 17, 2016. The units have a list price of $600 each, but Thomas was given a 30% trade discount. The terms of the sale were 2/10, n/30.

Required:
a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021, assuming that the gross method of accounting for cash discounts is used.
b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021, assuming that the gross method of accounting for cash discounts is used.
c. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2016, assuming that the net method of accounting for cash discounts is used.

Answers

Answer:

a. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2021, assuming that the gross method of accounting for cash discounts is used.

November 17, 100 units sold to Thomas Company, terms 2/10, n/30

Dr Accounts receivable 42,000

    Cr Sales revenue 42,000

November 26, invoice collected from Thomas Company

Dr Cash 41,160

Dr Sales discounts 840

    Cr Accounts receivable 42,000

b. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on December 15, 2021, assuming that the gross method of accounting for cash discounts is used.

November 17, 100 units sold to Thomas Company, terms 2/10, n/30

Dr Accounts receivable 42,000

    Cr Sales revenue 42,000

December 15, invoice collected from Thomas Company

Dr Cash 42,000

    Cr Accounts receivable 42,000

c. Prepare the journal entries to record the sale on November 17 (ignore cost of goods) and collection on November 26, 2016, assuming that the net method of accounting for cash discounts is used.

November 17, 100 units sold to Thomas Company, terms 2/10, n/30

Dr Accounts receivable 41,160

    Cr Sales revenue 41,160

November 26, invoice collected from Thomas Company

Dr Cash 41,160

    Cr Accounts receivable 41,160

"In order to be classified as a _______________, a firm must be owned by the people who run it on a day-to-day basis and cannot have publicly issued stock."

Answers

Answer:

private company

Explanation:

a private company is a company whose shares are not sold publicly - they are not traded on the public stock exchange. they also owned by the people who run them and not by managers.

Private firms are not bound by the  Securities and Exchange Commission's (SEC) filing requirement.

Extracts from cost information of Hebar Corp.:
Simple L3 Pack Complex L7 Pack Total
​Setup cost allocated using direct labor-hour$19,250​ $5,750​ $25,000​
Setup cost allocated using setup-hours $13,400​ $11,600​ $25,000​
Assuming that setup-hours is considered a more effective cost drive for allocating setup costs than direct labor-hours. Which of the following statements is true of Hebar's setup costs under traditional costing?
A. L7 pack is undercosted by $5,750
B. L3 pack is overcosted by $5,850
C. L3 pack is undercosted by $5,850
D. L7 pack is overcosted by $5,850

Answers

Answer:

B. L3 pack is overcosted by $5,850

Explanation:

The  statements that is  true of Hebar's setup costs under traditional costing

Using this formula

Hebar's setup costs =Setup cost allocated using direct labor hours - Setup cost allocated using setup-hours

Where ,

Setup cost allocated using direct labor hours =$19,250

Setup cost allocated using setup-hours =$13,400

Let plug in the formula

Hebar's setup costs=$19,250 − $13,400 = $5,850

Therefore the  statements that is  true of Hebar's setup costs under traditional costing will be $5,850

Assume that your roommate is very messy. According to campus policy, you have a right to live in an uncluttered apartment. Suppose she gets a $200 benefit from being messy but imposes a $100 cost on you. The Coase theorem would suggest that an efficient solution would be for your roommate to

Answers

Answer: b. pay you at least $100 but less than $200 to live with the clutter.

Explanation:

The options are:

a. stop her messy habits or else move out.

b. pay you at least $100 but less than $200 to live with the clutter.

c. continue to be messy and force you to move out.

d. demand payment of at least $100 but no more than $200 to clean up after herself.

According to the Coase theorem, if a party has the rights to a property, then an efficient output level will be achieved when there is some sort of bargaining between the parties that are involved.

Since the roommate gets a $200 benefit from being messy but imposes a $100 cost on me, an efficient solution would be for my roommate to pay me at least $100 but less than $200 to live with the clutter.

You decrease your product price by $10 in market A but leave it unchanged in market B. Sales in A rise from 840 units per week to 940 while sales in B also rise from 770 to 790. The difference-in-difference estimate of the effect of the price change is:

Answers

Answer:80 units.

Explanation:

Change in Sales of Market A =940units -840units = 100 units

Change in Sales of Market B= 790units -770 units = 20units.

Difference-in-difference estimate of the effect of the price change is = Change in sales of Market A - Change in sales of Market B = 100units -20 units = 80 units.

The depreciation method that produces larger depreciation expense during the early years of an asset's life and smaller expense in the later years is a(an):

Answers

Answer:

Accelerated depreciation method

Explanation:

Accelerated depreciation is a method of depreciation in which the assets lost his purchase price or book value at the speedy rate as compared with the straight-line method.

And it generates a larger amount of expenses during the early period and the smaller amount of expenses in the later year so that it can be decreased the taxable income

The city of New Orleans has 200 advertising companies, 199 of which employ designers of normal ability at a salary of $100,000 a year. The firms that employ designers of normal ability each collect $400,000 in revenue a year, which is just enough to ensure that each earns exactly a normal profit. However, the 200th company employs Janus Jacobs, an unusually talented designer. Because of Jacobs's talent, this company collects $1,000,000 in revenue a year.

Required:
a. How much will Jacobs earn?
b. What proportion of his annual salary will be economic rent?
c. Will the advertising company for which Jacobs works be able to earn an economic profit?

Answers

Answer:

a. $700,000

b. 6/7 or 85.7%

c. No they will not.

Explanation:

a. Jacobs will earn the normal salary that the other designers in the other companies are getting in addition to the incremental income he brings to the company as a result of his talents.

Incremental income = Revenue with Jacobs - Revenue without Jacobs

= 1,000,000 - 400,000

= $600,000

Jacobs earnings = Normal designer earnings + incremental income

= 100,000 + 600,000

= $700,000

b. Economic rent is the excess amount that the company is paying Jacobs over what it should normally cost to get a designer.

Normal cost of designer is $100,000. Company is therefore paying an economic rent of $600,000.

Proportion of Jacobs salary that is economic rent = [tex]\frac{Economic rent}{Jacobs annual earning}[/tex]

= [tex]\frac{600,000}{700,000}[/tex]

= 6/7 or 85.7%

c. The company hiring Jacobs will not be making an economic profit because for them to make an economic profit they would have to be making more than the $400,000 that the other firms make. They cannot make this amount because for them to do so they would have to reduce the amount they pay Jacobs. If they do so, Jacobs would leave for greener pastures and then they would be making the same $400,000 that the rest are making.

Carmelita Company sells 40,000 units at $18 per unit. Variable costs are $10 per unit, and fixed costs are $62,000. What is the unit contribution margin? _________________________ What is the contribution margin ratio? _________________________ What is income from operations? ___________________________

Answers

Answer:

1. 44.44%

2. $258,000

Explanation:

Contribution Margin refers to what is left of sales income after the Variable Costs have been removed.

= Sales price - Variable cost

= 18 - 10

= $8

Contribution Margin Ratio = (Contribution Margin / Sales price) * 100%

= 44.44%

2. Income from Operations

= (Sales Quantity * Contribution Margin) - Fixed Costs

= (40,000 * 8) - 62,000

= 320,000 - 62,000

= $258,000

Assume that Kish Inc. hired you as a consultant to help estimate its cost of capital. You have obtained the following data: D 0 = $0.90; P 0 = $27.50; and g = 7.00% (constant). Based on the DCF approach, what is the cost of equity from retained earnings? 9.29% 9.68% 10.08% 10.50% 10.92%

Answers

Answer:

10.50%

Explanation:

According to the given situation, the solution of cost of equity from retained earning is shown below:-

Cost of equity = (D0 × (1 + g) ÷ P0) + g

Now we will put the values into the above formula.

= (0.90 × (1 + 0.07) ÷ 27.50) + 0.07

= 10.50%

Therefore for determining the cost of equity from retained earning we simply applied the above formula.

The Juarez family is looking for a new cable company. After conducting research, they decide on a new cable provider. They call the new cable provider and mention they are going to switch from another provider. The salesperson at the new cable provider congratulates the Juarez family and lets them know that the new provider has been rated the highest in customer satisfaction in the industry. The salesperson tells them that if they sign up today for cable service, he will offer them a great monthly rate plus a free three-month trial of ten premium channels that they can cancel at any time. The Juarez family likes what they hear, and they sign up for the service. The salesperson has used which type of IMC marketing materials to close the sale?

Answers

The correct answer to this open question is the following.

Although there are no options provided, we can say the following.

The IMC marketing material to close the sale was the personal selling tool, using persuasion, and highlighting the benefits of the service to close the sale.

We are talking about Integrated Marketing Communications that include different disciplines such as Public Relations, Promotions, Sales, or Advertising. These resources are used by companies to plan and implement programs aimed to offer their products and services and closing the sale, relying on good customer service. Most of the modern campaigns include IMC to support the marketing effort.

A corporation issued 5,000 shares of $10 par value common stock in exchange for some land with a market value of $70,000. The entry to record this exchange is:

Answers

Answer:

Entry to Record this exchange is :

Land $70,000 (debit)

Common Stocks $50,000 (credit)

Share Premium $20,000 (credit)

Explanation:

The Value of the Common Stocks used to settle the land purchase is equivalent to the market value of the land of $70,000.

The Common Stocks have a par value of $10, this means that any amount that is paid in excess of this par value is accounted for in the Share Premium Reserve.

Entry to Record this exchange is :

Land $70,000 (debit)

Common Stocks $50,000 (credit)

Share Premium $20,000 (credit)

If a company is considering optimizing the physical location for every activity in the value chain, which of the following is not a possible strategic advantage for that decision?
A. Performance enhancement
B. Cost reduction
C. Political risk reduction
D. Life-cycle enhancement

Answers

Answer:

The correct answer is: D. Life-cycle enhancement

Explanation:

When a company wants to optimize physical locations for all activities in the value chain, it must manage all elements of the value chain to improve processes and increase the efficiency and effectiveness of the value chain. Therefore, some strategic advantages for this decision include the improvement of organizational performance, which would optimize the stages of the value chain, reducing waste, and the failures of the process, which would generate cost reduction. Compliance with legislation would also decrease political risks, being a significant strategic advantage for improving the value chain.

Therefore, the life-cycle enhancement may not constitute a strategic advantage, because this process requires greater capacity for the company to manage and monitor variable resources during the enhancement life cycle, which can generate greater difficulty in managing the value chain. and higher spending.

How would producers respond if the figure for changes in stocks were postive ?​

Answers

Answer:

this is not the answer

Explanation:

Consumers and producers react differently to price changes. ... Both of these changes are called movements along the demand or supply

A proposed nuclear power plant will cost $2.7 billion to build and then will produce cash flows of $350 million a year for 15 years. After that period (in year 15), it must be decommissioned at a cost of $950 million.
A. What is project NPV if the discount rate is 3%?
B. What if the discount rate is 16%?

Answers

Answer:

NPV when I is 3% = $2,088,046,130

NPV when I is 16% = $-646,059,679.8

Explanation:

Net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator

Cash flow in year 0 = $-2.7 billion

Cash flow each year from year 1 to 14 = $350 million

cash flow in year 15 = $950 million + $350 million = $1,300 billion

NPV when I is 3% = $2,088,046,130

NPV when I is 16% = $-646,059,679.8

To find the NPV using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. after inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.  

3. Press compute  

An Ethiopian company decides to launch some of its fashion accessories into the European market. Its marketing director is about to begin the process of creating a marketing plan for this new initiative. Which of the following is the first step the director should take before beginning to plan the marketing mix details?
A. First the director must define the company's target markets and understand which of its products fit with each market's businesses and consumers.
B. First the director needs to research, develop, and create various products to launch into the international market.
C. First the director must decide which promotional tactics to use in particular markets to launch products to consumers and businesses.

Answers

Answer:

A. First the director must define the company's target markets and understand which of its products fit with each market's businesses and consumers.

Explanation:

After taking the decision of entering the European Market, the Ethiopian company marketing director should first determine which of the company's products could be commercialized in Europe, and after, the marketing director should narrow the market even more: determining the target customer demographics of the European Market, for example: old people, young people, women, men, college-educated people, non-college educated people, northern Europeans, Southern Europeans, etc.

July 15 Declared a cash dividend payable to common stockholders of $163,000.
Aug. 15 Date of record is August 15 for the cash dividend declared on July 15.
Aug. 31 Paid the dividend declared on July 15.

Required:
Prepare journal entries to record the above transactions for Corporation.

Answers

Answer:

look up the anwser lol ....

Poppy Corporation owns 60 percent of Seed Company's common shares. Balance sheet data for the companies on December 31, 20X2, are as follows: Poppy Corporation Seed Company Assets Cash Accounts Receivable Inventory Buildings and Equipment Less: Accumulated Depreciation Investment in Seed Company Stock Total Assets Liabilities and Owners' Equity Accounts Payable Bonds Payable Common Stock ($10 par value) Retained Earnings Total Liabilities and Owners' Equity $ 51, eee 86,000 119, eee 680,000 (210,000) 141,000 $ 907,000 $ 33,000 52,000 97,000 390,000 (78,000) $494,000 $ 117,000 250, eee 300,000 240,000 $ 907,000 $ 59,000 200,000 100,000 135,000 $494,000
The bonds of Poppy Corporation and Seed Company pay annual interest of 8 percent and 10 percent, respectively. Poppy's bonds are not convertible Seed's bonds can be converted into 10,000 shares of its company stock any time after January 1, 20X1. An income tax rate of 40 percent is applicable to both companies. Seed reports net income of $36,000 for 20x2 and pays dividends of $10,000 Poppy reports income from its separate operations of $46,000 and pays dividends of $20,000
Required: Compute basic and diluted EPS for the consolidated entity for 20x2. (Round your answers to 2 decimal places.) Basic earnings per share Diluted earnings per share

Answers

Answer:

Poppy Corporation

Consolidated EPS

Basic Earnings per share = $67,600/10,000 = $6.76 per share.

Diluted earnings per share = $74,800/10,000 = $7.48 per share

Explanation:

With the conversion of the Seed's bonds, the interest of $20,000 would be included in its income.  And an after tax increase of $12,000 (after taking out tax of 40% on $20,000) would be added to the net income, making the net income to become $48,000 ($36,000 + 12,000).  The group's share of the net income would become $28,800 ($48,000 x 60%).  This amount is added to the Poppy's net income of $46,000 to get a consolidated net income of $74,800 after the conversion of the bonds.

Before the conversion, the consolidated net income is $67,600 ($46,000 + 60% of $36,000).

EPS becomes diluted with the conversion of convertible debt securities.  The effect for a consolidated entity like Poppy is the increase in the net income attributable to the holding company with the elimination of the interest expense.  However, the number of shares outstanding for the group would remain the same as before the conversion since it was the bonds of the subsidiary that was converted and not the group's.

Which goal of the U.S. economy is important in reducing the amount of waste of resources?
O efficiency
O stability
O growth
O equity

Answers

The answer is....

A.) Efficiency

Just trust a bro

Planning, implementing and controlling the physical flow of materials, final goods and related information from points of origin to points of consumption to meet customer requirements at a profit is called

Answers

Answer:

Marketing Logistics

Explanation:

The term that is being described in the question is known as Marketing Logistics. Like mentioned, this is various aspects/processes that need to take place when moving products from producer to market all in order to meet customer demands while making a satisfactory profit at the same time. This is a big part of every business since a business with a good marketing logistics department can easily keep track of product shipments and move products or information quickly to the correct locations thus making everything much more efficient.

How much are you willing to pay for one share of Jumbo Trout stock if the company just paid a $0.70 annual dividend, the dividends increase by 2.5 percent annually, and you require a 10 percent rate of return

Answers

Answer:

$9.57 per stock

Explanation:

using the dividend discount model to find the stock's current price (P₀):

P₀ = Div₁ / (Re - g)

Div₁ = $0.70 x 1.025 = $0.7175Re  = 10%g = 2.5%

P₀ = $0.7175/ (10% - 2.5%) = $0.7175/ 7.5% = $9.5667 ≈ $9.57 per stock

Refer to the accompanying figures. If Mallory and Rick are the only two consumers in this market, then the market demand for soda will be 90 cans per month when the price of a can of soda is ____.

Answers

I think the answer is $0.50, I’m sorry if it’s wrong

90 cans of soda will be consumed monthly by the market if the price of a can is $0.50.

What is the market?

The entire number of buyers and sellers in the area or region under consideration is referred to as the market. Earth, as well as several nations, regions, states, and cities, maybe the subject. The worth, expense, and cost of the goods traded depend on the forces of supply and demand in the market.

Refer to the accompanying figures. If Mallory and Rick are the only two consumers in this market, then the market demand for soda will be 90 cans per month when the price of a can of soda is 90 cans of soda will be consumed monthly by the market if the price of a can is $0.50.

Therefore, consumed monthly by the market if the price of a can is $0.50.

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An investment earns 35% the first year, earns 40% the second year, and loses 37% the third year. The total compound return over the 3 years was ______. Multiple Choice 158.93% 19.07% 38.00% 6.36%

Answers

Answer:

19.07%

Explanation:

The computation of the total compound return over the 3 years is shown below:

= (1 + investment percentage earned in first year) × (1 +  investment percentage earned in second year)  × (1 +  investment percentage loss in second year)

= (1 + 0.35) × (1 + 0.40) × (1 - 0.37)

= 1.35 × 1.40 × 0.63

= 1.1907

= 19.07%

Lefty provides demolition services in several southern states. Lefty has property as follows: Property State Beginning Ending Alabama $ 123,044 $ 204,241 Kentucky $ 203,317 $ 185,108 Mississippi $ 881,932 $ 1,002,396 Louisiana $ 243,951 $ 350,310 Tennessee $ 143,204 $ 143,204 Total $ 1,595,448 $ 1,885,259 Lefty is a Mississippi corporation. Lefty also rents property in Mississippi and Tennessee with annual rents of $56,000 and $21,000, respectively. What is Lefty's Mississippi property numerator

Answers

Answer:

Lefty's Mississippi property numerator is

Property Numerator = $56,000

Which can be expressed as a percentage of the Average Annual Property Value

= Annual Rent/Average Annual Property

= $56,000/$942,164 x 100 = 5.9%

Explanation:

a) Data:

Property State       Beginning             Ending

Alabama                $ 123,044          $ 204,241

Kentucky               $ 203,317           $ 185,108

Mississippi            $ 881,932       $ 1,002,396

Louisiana             $ 243,951           $ 350,310

Tennessee          $ 143,204           $ 143,204

Total                 $ 1,595,448        $ 1,885,259

b) Calculations:

Mississippi

Beginning Property value = $ 881,932    

Ending Property value =   $ 1,002,396

Average annual property value = $942,164 ($ 881,932 + $ 1,002,396)/2

Rent in Mississippi =  $56,000

What are reasons why many organizations tap only a fraction of the potential that is available from cross-border transfer of knowledge and innovation except:_______

Answers

The available options are:

a. Barriers of language, cultural, and geographic distances.

b. Lack of trust among people at different locations.

c. Divisions sometimes view knowledge and innovation as power and want to hold onto it.

d. Economies of scope can increase a company's market power as compared to competitors.

Answer:

d. Economies of scope can increase a company's market power as compared to competitors.

Explanation:

There are various reasons why many organizations tap only a fraction of the potential that is available from cross-border transfer of knowledge and innovation, these include:

1. The technical know-how tends to remains hidden in various units because of language, cultural, and geographical distances

2. Various divisional units sometimes perceive knowledge and innovation as power and want to monopolize it, to gain influential position within the global firm

3. The "not-invented-here" syndrome makes some managers reluctant to tap into the technical knowledge and expertise of other units

4. Much of an organization's knowledge is in the minds of employees and cannot easily be written down and shared with other units

Hence, the reasons why many organizations tap only a fraction of the potential that is available from cross-border transfer of knowledge and innovation except: Economies of scope can increase a company's market power as compared to competitors.

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