The answer is therefore $100. The difference between the maximum price a consumer is prepared to pay and the final amount they pay is known in economics as "consumer surplus."
The difference between each person's utmost willingness to pay and the actual price of $80 is known as the consumer surplus. As a result, each person's consumption surplus is:
John: $150 - $80 = $70
Jill: $100 - $80 = $20
Ruth: $90 - $80 = $10
Gretchen: Since she won't pay more than $60, $60 - $80 equals -$20.
Overall consumer surplus is equal to $100 ($70 + $20 + $10 + $0).
The answer is therefore $100.
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wigmore, incorporated, has estimated sales of $16,200, $18,075, $18,270, and $17,900 for each quarter next year, respectively. the accounts receivable period is 65 days. what is the expected accounts receivable balance at the end of the second quarter? assume each month has 30 days.
The expected accounts receivable balance at the end of the second quarter is $4,892.00. The estimated sales are $16,200, $18,075, $18,270, and $17,900 for each quarter next year. The accounts receivable period is 65 days
The company's total sales for the year would be $16,200 + $18,075 + $18,270 + $17,900 = $70,445. Then, it would be necessary to compute the company's average daily sales. We can do this by dividing the total sales by the number of days in the year: $70,445 / 360 = $195.68 per day.
Based on this calculation, it is possible to determine the expected accounts receivable balance for the second quarter. The second quarter comprises three months, and thus 90 days. If we multiply the average daily sales by the accounts receivable period of 65 days, we get the average amount of accounts receivable that Wigmore, Inc. has at any given time. This would be $195.68 × 65 = $12,696.80.
We can then find the expected accounts receivable balance at the end of the second quarter by taking the average daily sales for the remainder of the quarter (which is 90 – 65 = 25 days) and multiplying it by that number. The expected accounts receivable balance for the second quarter would then be $195.68 × 25 = $4,892.00.
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if treasury bills are currently paying 6.55 percent and the inflation rate is 1.2 percent, what is the approximate and the exact real rate of interest?
The approximate real rate of interest would be 5.35 percent
The approximate real rate of interest is calculated by subtracting the inflation rate from the nominal interest rate. Therefore, the approximate real rate of interest would be 5.35 percent (6.55% - 1.2%).
The exact real rate of interest, however, takes into account the effect of compounding. This can be calculated using the formula:
(1 + nominal rate) / (1 + inflation rate) - 1
Plugging in the numbers, we get:
(1 + 0.0655) / (1 + 0.012) - 1 = 0.0498 or 4.98%
Therefore, the exact real rate of interest is 4.98%, which is slightly lower than the approximate rate of 5.35%. This difference arises because the approximate calculation ignores the effect of compounding.
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Integrated waste management employs all of the following EXCEPTa. using refillable soft drink bottlesb. using cloth diapers instead of disposalablec. redesigning automobiles to replace steel parts with aluminiumd. using tires for construction of coral reefs
(d) Using tires for construction of coral reefs. Integrated waste management DOES NOT involve using tyres to build coral reefs.
The term "integrated waste management" refers to a holistic strategy to waste management that includes waste reduction, reuse, recycling, and proper disposal. Examples of trash reduction or reuse tactics that can lessen the quantity of garbage that ends up in landfills are options (a), (b), and (c). Unfortunately, integrated waste management does not frequently use tyres for the development of coral reefs. The possible release of chemicals from the tyres into the marine environment raises environmental concerns despite the fact that this tactic may appear like an innovative method to recycle garbage. Thus, more ecologically friendly waste reduction and disposal techniques are frequently used in integrated waste management.
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Which of the following is NOT employed in integrated waste management?
a. Using refillable soft drink bottles
b. Using cloth diapers instead of disposable
c. Redesigning automobiles to replace steel parts with aluminum
d. Using tires for construction of coral reefs.
Is the inflation rate can be measured by calculating the percentage change in the consumer price index?
The given statement "The inflation rate can be measured by calculating the percentage change in the consumer price index" is true because the Consumer Price Index (CPI) is a widely used measure of inflation that reflects the changes in the average price level of goods and services consumed by households.
The CPI is a measure of the average price level of a basket of goods and services consumed by households. It is calculated by comparing the cost of a fixed basket of goods and services over time, with the base year representing the reference period. When the CPI increases over time, it indicates that the cost of the basket of goods and services has increased and therefore inflation has occurred. The percentage change in the CPI between two periods is a measure of the inflation rate.
However, it is important to note that the CPI is just one of many measures of inflation, and it may not capture changes in the prices of all goods and services produced in an economy. For example, the GDP deflator is another measure of inflation that captures changes in the prices of all final goods and services produced in an economy. Therefore, while the CPI can be used to measure the inflation rate, it is important to consider other measures of inflation as well to get a more complete picture of changes in the overall price level of an economy.
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sharon is a manager at softest tissue corporation. she is faced with an interesting problem. one of her employees has been cheating the company out of expense money. sharon must decide whether or not to fire this employee. in this role, sharon is acting as a(n):
As a manager at Softest Tissue Corporation, has been faced with an interesting problem where one of her employees has been cheating the company out of expense money.
Sharon must decide whether or not to fire this employee. In this role, Sharon is acting as a decision-maker. A decision-maker is a person who has the responsibility of making decisions that impact the company's future. They need to consider various options and take the appropriate action that will benefit the company in the long run. A decision-maker must be analytical and able to weigh all the pros and cons before making a decision.
Sharon is acting as a decision-maker since she has to decide whether or not to fire an employee who has been cheating the company out of expense money. She will have to consider several factors, such as the employee's value to the company, the severity of the misconduct, and the company's policies on such issues, before making the final decision. The decision Sharon makes will impact the company's future, and therefore, she must be careful to make the right decision. She should act based on facts and ensure that the decision is not influenced by personal bias or emotion. A good decision-maker should also be able to communicate their decision effectively to all parties involved.
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price takers are firms that take or accept the price and have no ability to influence that price is called
Companies who accept the current market pricing for their goods or services are known as price takers because they are powerless to change it. That's right: You can't have it both ways.
If you want to have it both ways, you have to have both of these things. They operate in markets with perfect competition, where numerous small businesses provide the same goods or services and no one company has the capacity to set prices. Price takers must concentrate on reducing their expenses if they want to stay profitable and competitive. Companies are unable to increase prices without losing customers to rival companies who charge less for comparable goods and services. Price takers must optimise their operations and efficiencies to stay cost-effective while retaining the quality of their goods or services in order to thrive in a competitive market.
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What is the meaning of the term "price takers" in economics and how are these firms characterized?
in performing an audit of processes to determine they are well-designed, what must the audit evaluate? process capability in meeting performance targets employee compliance with procedures targets defined in the process design excess resources not required in the process
The audit must assess a number of criteria while examining procedures to see if they are well-designed. Employee adherence to policies: Effective and efficient use of resources, Compatibility with corporate objectives and plans.
An audit of processes entails a methodical and objective assessment of an organization's procedures to ascertain whether they are well-designed and efficiently run. The audit's goals are to identify areas for improvement and to give confidence that the processes are accomplishing their intended goals and objectives. Aspects including process effectiveness, efficiency, control, and compliance may be evaluated by the audit. It could entail going over paperwork, speaking with staff, watching processes in operation, and doing data analysis. Internal or external auditors may conduct the audit, which may be mandated by compliance or regulatory requirements or requested by management to boost productivity and lower risk.
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What are the dimensions of a Thomasville Tisdale sectional?
Thomasville Tisdale sectional is a modular and high-quality sectional sofa that features plush cushions, top-grain leather, solid wood frames, and various color and style options.
Thomasville Tisdale sectional is a type of modular furniture designed by Thomasville Furniture Industries. It is a sectional sofa that can be arranged in different configurations to fit various spaces and requirements. The Tisdale sectional is made from high-quality materials such as top-grain leather and solid wood frames, ensuring durability and comfort.
It is known for its plush cushions and stylish designs available in different colors and styles, making it a popular choice for both contemporary and traditional homes. Overall, the Thomasville Tisdale sectional is an excellent investment for those seeking quality and flexibility in their home furniture.
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which of the following are changes in accounting estimates? (select all that apply.) multiple select question. changing inventory methods. changing the useful life of an asset. changing the bad debt estimate. changing the estimate for future warranty expenses.
The following are changes in accounting estimates:
Changing inventory methodsChanging the useful life of an assetChanging the bad debt estimateChanging the estimate for future warranty expensesto know about inventory methods:
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growth is expected to be constant after 2023, and the weighted average cost of capital is 12%. what is the horizon (continuing) value at 2024 if growth from 2023 remains constant? do not round intermediate calculations. enter your answer in millions. for example, an answer of $1 million should be entered as 1, not 1,000,000. round your answer to the nearest whole number.
The horizon (continuing) value at 2024 can be calculated using the Weighted Average Cost of Capital (WACC) formula. WACC = (E/V x Re) + ((D/V x Rd) x (1-T))
Where:
E = Market value of equity
V = Market value of equity + market value of debt
Re = Cost of equity
D = Market value of debt
Rd = Cost of debt
T = Tax rate
Therefore, the horizon (continuing) value at 2024 = (E/V x Re) + ((D/V x Rd) x (1-T))
Plugging in the given values, the horizon (continuing) value at 2024 = (E/V x 0.12) + ((D/V x 0.12) x (1-0.00))
Therefore, the horizon (continuing) value at 2024 = (E/V x 0.12)
Round the answer to the nearest whole number: the horizon (continuing) value at 2024 = (E/V x 0.12) = $1 million.
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assume that lucas's marginal tax rate is 12 percent and his tax rate on dividends is 6 percent. if a dividend-paying stock (with no growth potential) pays an 9.6 percent dividend yield, what interest rate would a municipal bond have to offer for lucas to be indifferent between the two investments from a cash-flow perspective?
Municipal bond have to offer 9.3 percent interest rate to lucas in order to be indifferent between the two investments from a cash-flow perspective.
Assuming Lucas's marginal tax rate is 12% and his tax rate on dividends is 6%, and a dividend-paying stock (with no growth potential) pays a 9.6% dividend yield, Lucas's cash flow is negative for each investment. He gets more money in the bank from the municipal bond than he gets from the dividend-paying stock.
Lucas will have to pay taxes on this income of 0.12. 0.96 - 0.12 = 0.84 is the net income from the dividend-paying stock. The dividend yield of 9.6% is used to calculate the dividends that Lucas received. Thus, if the dividend yield is 0.096 and the share price is $100, the dividend is $9.6.
The amount of cash that Lucas will receive from the municipal bond is computed by multiplying the bond's interest rate by its face value. If the face value of the bond is $100 and the interest rate is i, the cash inflow from the bond is 0.06 (1-i). To make Lucas indifferent between the two investments, the cash inflows must be equal.
If he's indifferent to both investments, then he won't care which one he chooses. 0.84 = 0.06 (1-i). Dividing both sides of the equation by 0.06, 14 = 1-i. Solving for i, i = 0.93, or 9.3 percent. Therefore, if the municipal bond has a 9.3 percent interest rate, Lucas will be indifferent to both investments from a cash-flow standpoint.
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suppose that a baby boom occurs between the years 2025-2030, similar to the baby boom following world war ii. what do you expect to happen to the labor force participation rate in the year 2090-2100, holding all else constant? the labor force participation rate will
The labor force participation rate will decrease since the baby boomers will opt for more leisure.
What changes have occurred in the American labor force throughout time?After increasing to 38% in 1960, 43% in 1970, 52% in 1980, 58% in 1990, and 60% in 2000, the rate continued to rise. 2010 is predicted to have the highest level of overall female labor force participation, at 62 percent.
In what ways does the present rate of labor force participation differ from that of the 1990s?The labor force participation rate has dropped from its peak of 67.3 percent in the 1990s to 62.9 percent as of today's report, confirming this trend.
What accounts for the rise in the labor force participation rate since the 1960s?The labor force in the United States increased dramatically from 59 percent to a high of 67.3 percent between 1960 and 2000. That was largely because more women were joining the workforce and Americans could work longer stretches of time thanks to advancements in technology and health.
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the uniform commercial code provides that the warranty of merchantability and warranty of fitness are .
The Uniform Commercial Code (UCC) provides that the warranty of merchantability and warranty of fitness are implied in contracts for the sale of goods.
The warranty of merchantability is a guarantee that the goods are fit for their ordinary purpose and are of a quality that is typical for goods of that type. The warranty of fitness for a particular purpose is a guarantee that the goods are fit for a specific purpose that the buyer has in mind and that the seller knows about.
What is the Uniform Commercial Code?The Uniform Commercial Code (UCC) is a standardized set of laws and regulations for transacting business. The UCC code was established in 1953 because it was becoming increasingly difficult for companies to transact business across state lines given the various state laws.
The UCC consists of nine separate articles, each of which covers separate aspects of banking and loans. The UCC is designed to make commercial transactions more efficient and to provide a uniform set of rules for businesses to follow.
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the following information was taken from the production budget of piwte corporation for next quarter: january february march units to be produced 128,000 140,000 152,000 desired ending inventory of finished goods 30,000 36,000 38,000 how many units is the company expecting to sell in the month of february? multiple choice 132,000 138,000 135,000 134,000
The business anticipates selling 166,000 units in February. This response is not supported by any of the multiple-choice answers.
Which budget accounts for the quantity of units anticipated to be produced to satisfy planned sales and inventory needs?The management creates the production budget after estimating how many products will be produced. It is created using the projected sales and the planned amount of finished inventory.
Units to be sold = Units produced + Beginning inventory of finished goods - Ending inventory of finished goods
Beginning inventory of finished goods for February = Units to be produced in January - Desired ending inventory of finished goods for January
= 128,000 - 30,000
= 98,000
Using the same approach, we can calculate the beginning inventory of finished goods for March:
Beginning inventory of finished goods for March = Units to be produced in February - Desired ending inventory of finished goods for February
= 140,000 - 36,000
= 104,000
Now, we can calculate the units to be sold in February using the formula above:
Units to be sold in February = Units produced in February + Beginning inventory of finished goods for February - Ending inventory of finished goods for February
= 140,000 + 98,000 - 36,000
= 202,000 - 36,000
= 166,000
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What do interior designers use CAD to do? Select one task that an interior designer could use CAD for and compare it to how that task could have been done prior to the invention of CAD.
The majority of designers will utilize AutoCAD to produce floor plans and room mockups for both commercial and residential structures.
The majority will begin with a 2D layout as they collaborate with a customer to plan the overall positioning of important furniture or fixtures. The ability to transform 2D floor plans to 3D with the Room Builder feature is one of the best aspects of software like AutoCAD 2010 for interior designers and space planning, making it simple to show clients exactly how their finished room will look. Although not the only tool used by interior designers for planning, AutoCAD is unquestionably the industry standard. Do you want to know how much money you can make working with interior designers in AutoCAD? The extent of your abilities will determine that, but being able to create striking room designs within the programme will undoubtedly help you to stand out.
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which activities should startups perform before determining the price of their product or service? select all that apply. group of answer choices calculate costs develop the marketing strategy assess the environment estimate the demand curve set pricing objectives
Before deciding on a price for their good or service, startups should do the following: analyse expenses, create a marketing plan, evaluate the market, predict demand, and define pricing goals.
Entrepreneurs should estimate their costs to make sure that the cost of their item or service makes a profit and covers all expenditures. Startups can more successfully define their target market and promote their product or service by developing a marketing plan. Startups can take into account external factors like market trends and competition that may have an impact on price by analysing the environment. Startups may better understand how buyers would react to various pricing points by estimating the demand curve. Setting price targets also enables firms to have clear objectives for their pricing strategy, including increasing revenue or market share. By carrying out these tasks, entrepreneurs may boost their prospects of market success and make well-informed judgements about their pricing strategy.
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Which activities should startups perform before determining the price of their product or service?
how much would you pay for the right to receive $15,000 at the end of 20 years if you can earn a 9% return on a real estate investment with similar risk?
The amount you would pay for the right to receive $15,000 at the end of 20 years if you can earn a 9% return on a real estate investment with similar risk is $3,210.27.
To calculate how much you would pay for the right to receive $15,000 at the end of 20 years if you can earn a 9% return on a real estate investment with similar risk, we can use the present value formula.
Present Value (PV) = Future Value (FV) / (1 + r)^n
Where, PV = Present Value, FV = Future Value, r = Rate of Return, and n = Number of Years.
To find the present value, we need to plug in the given values into the formula and solve for PV. We have, FV = $15,000, r = 9% = 0.09, n = 20 years.
Now, let's plug these values into the formula.
PV = $15,000 / (1 + 0.09)^20
PV = $3,210.27
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after test driving a few vehicles, visiting websites, and reading expert reviews, carlos has narrowed his choice to three options: ford f-150, chevrolet silverado, and gmc sierra 1500. carlos believes these three vehicles are fairly comparable on his primary criteria of performance, off-road capabilities, fuel efficiency, and towing capacity. what stage in the consumer decision-making process is carlos in?
Carlos is in the evaluation of alternatives stage in the consumer decision-making process. At this stage, he has already recognized a problem or need (in this case, the need for a new vehicle), and has conducted information search to identify potential solutions.
Now, Carlos is comparing and evaluating the different options based on his criteria of performance, off-road capabilities, fuel efficiency, and towing capacity.
During this stage, Carlos may also be considering other factors such as price, brand reputation, and availability of financing options. He may be gathering information from various sources such as friends, family, and online reviews to help him make a decision. Ultimately, Carlos will choose the vehicle that best meets his needs and preferences based on the evaluation of alternatives stage.
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which subsystem, within the cost management system, is the one in which costs are assigned to individual products and services?
The subsystem within the cost management system that is responsible for assigning costs to individual products and services is known as the product costing subsystem.
This subsystem is essential for businesses that want to determine the true cost of producing their products or delivering their services. By allocating costs to specific products or services, companies can calculate their profitability and identify areas where they can reduce costs or increase revenue.
The product costing subsystem typically involves gathering data on direct and indirect costs, including materials, labor, overhead, and other expenses associated with production or service delivery.
This information is then used to calculate the total cost of each product or service, allowing businesses to determine the appropriate pricing strategy and make informed decisions about which products or services to continue offering.
In summary, the product costing subsystem is a crucial component of the cost management system that helps businesses allocate costs to individual products and services, calculate profitability, and make informed decisions about pricing and product/service offerings.
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which of the following is a reason that a retailer might not engage in competitive rivalry with a new challenger such as aldi? a. it is aware of a competitor's challenge to its business. b. it perceives that its market position will neither improve nor suffer. c. it realizes that the competitor is challenging its business. d. it has the ability to respond to an attack by the competitor.
It perceives that its market position will neither improve nor suffer is a reason that a retailer might not engage in competitive rivalry with a new challenger such as Aldi. The correct option is b.
Competitive rivalry is a gauge of how fiercely existing firms compete with one another. Competitive moves like price cutting, increased advertising costs, or spending on service/product innovation and improvements can reduce profits and foster competition.
Although it is not a type of competitive advantage, strategic management can contribute to the development of one. A company can build unmatched competencies in areas like marketing, design, and manufacturing with the help of strategic management. These skills can help a business gain a competitive edge.
When businesses experience competitive pressure or see an opportunity to strengthen their position, this rivalry frequently becomes more heated. In the majority of industries, a company's competitive actions will be felt by the competition, which will then take action to counter those efforts. The correct option is b.
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a contra-account: group of answer choices increases the original value of the account to which it relates. always appears in the same column of the trial balance as the account to which it relates. offsets, or reduces, another account. reduce the asset to its fair value.
A contra-account reduces, or offsets, another account. This statement is true regarding a contra-account.
What is a contra-account?A contra-account is an account that decreases or offsets the balance of another account. It can be considered as a negative account since its balance is in the opposite direction of the account it offsets. It is utilized to improve the presentation of a company's financial statements. It is utilized to indicate the net balance of an account after accounting for any balance offsets or reductions.
A contra-account is recorded in the same column of a company's financial statements as the account it offsets. Contra-accounts can be divided into two types: asset accounts and liability accounts. Contra-accounts for asset accounts are frequently utilized to indicate depreciation or the reduction in value of the asset.
This contra-account is known as an Accumulated Depreciation account. Contra-accounts for liability accounts, on the other hand, are frequently used to indicate a discount or the decrease in value of the account. This contra-account is known as a Discount on Bonds Payable account.
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an increase in the expected price of corn would likely do the following to the current supply and demand for corn: group of answer choices increase both the demand and the supply. decrease both the demand and the supply. increase the demand, but decrease the supply. increase the supply, but decrease the demand.
The existing demand and supply for maize would most certainly change as a result of an increase inside the anticipated price of corn, increasing both the supply and demand.
What of the above would boost the corn supply?Wheat & corn are goods that can be substituted in supply. Hence, as the price of wheat falls, wheat growers will switch from producing wheat to producing corn, increasing the supply of corn. Due to rising exports and robust domestic demand for both ethanol and animal feed, corn prices have risen, encouraging farmers to expand corn acreage. Many times, farmers have boosted the amount of maize grown by removing acres from less lucrative crops.
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tariff barriers raise the costs of exporting products to a country (or of exporting partly finished products between countries). what is a likely consequence of these barriers?
A likely consequence of tariff barriers is that they will reduce the volume and value of trade between countries, and create inefficiencies and losses in the economy.
Tariff barriers make imported goods or services more expensive for domestic consumers, and exported goods or services less profitable for foreign consumers. This reduces the quantity demanded and supplied of the traded goods or services, and creates a price wedge between the domestic and world markets. This also benefits the domestic producers of the same or similar goods or services, who can charge higher prices and increase their market share.
However, tariff barriers also create a deadweight loss, which is a loss of economic surplus that is not transferred to anyone. Tariff barriers also distort the allocation of resources and create incentives for rent-seeking and corruption. Moreover, tariff barriers can affect the pattern and direction of trade between countries, and provoke retaliation from the affected trading partners.
This can reduce the gains from trade and specialization, and harm the economic and political relations between countries.
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ellicott city manufacturers, inc. reported net sales of $870,000, and a gross profit margin of 44% in 2020. what is the firm's cost of goods sold? (round to the nearest dollar).
The cost of goods sold for Ellicott City Manufacturers, Inc. in 2020 is $487,200. The answer is $487200.
Ellicott City Manufacturers, Inc. reported net sales of $870,000, and a gross profit margin of 44% in 2020. What is the firm's cost of goods sold? (Round to the nearest dollar). The cost of goods sold for Ellicott City Manufacturers, Inc. in 2020 can be calculated by using the following formula:
Cost of Goods Sold = Net Sales - Gross Profit
To get the cost of goods sold, we need to find the gross profit first. Gross profit is the revenue left after the cost of goods sold is subtracted from net sales.
Gross Profit = Net Sales x Gross Profit Margin/100= $870,000 x 44/100= $382,800
Now, we can calculate the cost of goods sold by subtracting the gross profit from net sales.
Cost of Goods Sold = Net Sales - Gross Profit= $870,000 - $382,800= $487,200
Therefore, the cost of goods sold for Ellicott City Manufacturers, Inc. in 2020 is $487,200. The answer is 487200.
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employees whose self-concepts are defined mostly by social identities are more likely than employees with stronger personal identities to
Workers who have self-concepts that are primarily based on social identities are more likely to follow team standards than employees who have stronger personal identities.
What are the values of the team?Team norms are expectations and guidelines that members of the team have for one another. These cover the team's core principles, how members interact with one another, and their activities collectively. We might argue that team norms "bind" your team together and establish the culture of the workplace.
What does an agile team norm look like?Pay attention to what others have to say. Instead than assuming the worst, try to comprehend one another's viewpoints. Strive to find solutions without assigning blame. Respond to critical emails by sending an acknowledgement.
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the preliminary title report will not advise the real estate licensees and parties to the transaction that:
According to the given question, the preliminary title report will not advise the real estate licensees and parties to the transaction that they have a claim on the title.
What is a preliminary title report?A preliminary title report is a report that is issued to a buyer, a lender, or an escrow officer. It is delivered early in the escrow process and includes the property owner's name, legal definition of the property, and other key details.
A preliminary title report is prepared by the title company and provides information on what has been recorded against a property, such as liens or easements, and will include other information as well.
The following details are included in a preliminary title report:
Legal description of the property.
Name of the property owner.
Listing of any encumbrances or liens on the property.
The purchase amount of the property.
The title insurance policy is contingent upon the closing of the transaction. So it is significant that the preliminary report is reviewed to resolve any disputes and eliminate the possibility of litigation.
Additionally, once the title report is prepared, the escrow holder and/or buyer may decide to purchase a title insurance policy on the property. This policy is designed to insure the title holder in the event that an issue arises with the property's title in the future.
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What is the theory of income distribution in economics?
The theory of income distribution in economics pertains to the method by which a nation's total income is shared between different individuals and groups of people.
Income distribution is defined as the percentage of total income that goes to each economic group or person in the economy. It is a measure of how well the total income is divided among various households in a society.The distribution of income refers to the way in which the wealth and resources of a country are allocated among different people. The concept of distribution of income is an essential element of the study of economics. It is vital to ensure that there is a fair and equitable distribution of income in a society.
The theory of income distribution has been developed in economics to explain the factors that influence the distribution of income. The theory explains how a nation's income is shared between the owners of labor and capital. The main factors that influence income distribution are the supply and demand of labor, productivity, the skill level of the workforce, and government policies. Income distribution has an important impact on the economy's growth and development. When income is distributed unequally, it can lead to social unrest and conflict.
In contrast, when income is distributed fairly and equitably, it can promote economic growth and development. As a result, governments need to take active steps to promote an equitable distribution of income in society.
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puchalla corporation sells a product for $280 per unit. the product's current sales are 13,900 units and its break-even sales are 10,425 units. the margin of safety as a percentage of sales is closest to:
To solve this, we first need to calculate the margin of safety. To do this, we subtract the break-even sales from the current sales:
Margin of Safety = Current Sales - Break-Even Sales
Margin of Safety = 13,900 - 10,425
Margin of Safety = 3,475
Now we divide the margin of safety by the current sales to get the percentage of sales:
Margin of Safety % = Margin of Safety / Current Sales
Margin of Safety % = 3,475 / 13,900
Margin of Safety % = 25%
Therefore, the margin of safety as a percentage of sales is 25%.
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Answer:
The answer is it is True.
break-even revenues on an accounting basis typically indicate a: group of answer choices negative npv positive npv high degree of operating leverage downturn in the business cycle
Break-even revenues on a bookkeeping premise ordinarily demonstrate a gathering of answer decisions that are neither negative nor positive NPV, yet rather how much revenue is expected to take care of all costs.
NPV represents net present worth, which is the distinction between the current worth of money inflows and the current worth of money surges throughout some time. NPV is utilized to investigate the profitability of a projected speculation or task by contrasting it and the necessary pace of return or rebate rate. NPV represents the time worth of cash and the gamble of a venture opportunity. As a rule, projects with a positive NPV merit undertaking while those with a negative NPV are not.
Break-even revenues are how much cash a business should procure from deals to take care of the complete costs of creation (fixed and variable costs). Break-even revenues can be determined by separating the absolute fixed costs by the commitment edge proportion, which is the contrast between the selling cost per unit and the variable cost per unit partitioned by the selling cost per unit. Break-even investigation is utilized to decide the number of units or dollars of revenue that are expected to arrive at the break-even point, where no benefit or misfortune happens
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