The condition that does not explain higher entry barrier is when customer switching cost is low.
What is the meaning of higher entry barriers?
Higher entry barriers are conditions that make it difficult for new competitors to enter the market. These barriers can include things like economies of scale, brand identity, and capital requirements.A company has a greater likelihood of gaining market share and increasing profits if the entry barriers are higher.
When there are high entry barriers, new competitors find it difficult to enter the market, giving established firms a competitive edge.
The condition that does not explain higher entry barrier is when customer switching cost is low. This is because customer switching cost refers to the cost that customers must bear to switch to a different product or service.
When customer switching cost is low, this does not create a barrier to entry because customers are not tied to a particular company and can easily switch to a competitor if they are not satisfied with the current product or service.
Instead, higher entry barriers can include factors such as economies of scale, which allow established firms to produce goods at a lower cost than new competitors, and brand identity, which creates customer loyalty and makes it difficult for new firms to gain market share.
High capital requirements can also create higher entry barriers because new firms may not have the funds necessary to enter the market.
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indirect price discrimination requires group of answer choices both identifying low- and high-value consumers and preventing arbitrage between them. neither identifying low- and high-value consumers nor preventing arbitrage between them. identifying low- and high-value consumers, but not that arbitrage between them is prevented. not necessarily identifying low- and high-value consumers, just preventing arbitrage between them.
Indirect price discrimination requires both identifying low- and high-value consumers and preventing arbitrage between them. So, correct option is A.
Indirect price discrimination involves setting different prices for different groups of consumers based on their willingness to pay, without explicitly identifying or targeting those groups.
In order for indirect price discrimination to be effective, both the identification of low- and high-value consumers and the prevention of arbitrage between them are required.
Identification of low- and high-value consumers is essential for indirect price discrimination because it allows the seller to offer different prices to different consumers based on their willingness to pay.
By setting a higher price for consumers who value the product more and a lower price for consumers who value it less, the seller can increase profits while still capturing all available consumer surplus.
Preventing arbitrage between the different groups is also necessary to make indirect price discrimination effective. If arbitrage is possible, consumers may be able to buy the product at the low price and resell it at the high price, reducing the seller's profits.
Thus, it is important to ensure that consumers cannot easily transfer the product or the discount to another group.
Therefore, option A) is the correct answer as it correctly identifies both the identification of low- and high-value consumers and the prevention of arbitrage as necessary conditions for indirect price discrimination to work effectively.
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both nordstrom and mcdonald's are noted for their high-quality customer service, but their approaches to providing this quality service are different. describe this difference. why have the retailers elected to use these different approaches?
Nordstrom and McDonald's are both known for their high-quality customer service, but they use different approaches to provide this service.
Nordstrom is a luxury department store that is known for its personalized customer service. The company's approach is to hire and train sales associates who have a passion for fashion and are able to provide a high level of individualized attention to customers. Nordstrom's sales associates are given the autonomy to make decisions about how to best serve their customers and are encouraged to build long-term relationships with them. Nordstrom also provides amenities such as complimentary gift wrapping, free alterations, and a generous return policy, all of which contribute to its reputation for outstanding customer service.
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in the current year, a taxpayer exchanged an office building for a commercial warehouse. the office building had a basis of $200,000, an fmv of $240,000, and was encumbered by a $180,000 mortgage. the taxpayer received a warehouse with an fmv of $300,000, which was encumbered by a $210,000 mortgage. each party assumed the other's mortgage. what is the amount of the taxpayer's recognized gain?
The taxpayer's recognized gain in the exchange of the office building for a commercial warehouse, after calculations comes up to $0.
To determine the amount of the taxpayer's recognized gain in the exchange of an office building for a commercial warehouse, follow these steps:
1. Calculate the adjusted basis of the office building: $200,000
2. Calculate the FMV of the office building: $240,000
3. Determine the mortgage on the office building: $180,000
4. Calculate the FMV of the commercial warehouse: $300,000
5. Determine the mortgage on the commercial warehouse: $210,000
6. Calculate the net amount realized: FMV of warehouse - mortgage on warehouse + mortgage on office building = $300,000 - $210,000 + $180,000 = $270,000
7. Calculate the gain: Net amount realized - adjusted basis of office building = $270,000 - $200,000 = $70,000
8. Determine the recognized gain: Since both properties are like-kind and part of a qualifying 1031 exchange, there is no recognized gain.
Therefore, the taxpayer's recognized gain in the exchange of the office building for a commercial warehouse is $0.
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which of the following is correct? a. a country that imports increases its total surplus, and a country that exports also increases its total surplus. b. a country that imports increases its total surplus, but not a country that exports. c. a country that imports decreases its total surplus, and a country that exports increases its total surplus. d. a country that exports increases its total surplus, but not a country that imports.
The correct statement is A country that imports increases its total surplus, and a country that exports also increases its total surplus.
Trade between nations can increase both participating nations' overall surpluses. The productivity and effectiveness of both countries can increase when one country specialises in creating a particular good and exchanges with another for products it does not produce, increasing the overall surplus.
Importing products gives a nation access to commodities that it might not be able to make effectively on its own, which boosts its consumer surplus. However, when a nation exports goods, it has the opportunity to offer those goods at a greater price in other marketplaces, increasing the producer surplus. So, a country's overall surplus can be raised by both buying and selling.
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in the solow model, if capital is in the steady state, output: group of answer choices will continue to grow, but its rate of growth will slow down. will continue to grow. is also in the steady state. will decline, but its rate of growth will be positive. will begin to contract.
The correct answer is that if capital is in the steady state, output: the group of answer choices will continue to grow, but its rate of growth will slow down.
The Solow model is an economic model that describes long-run economic growth in terms of capital accumulation, population growth, and technological advancement. The Solow model predicts that in the long run, the economic output will grow at the same rate as the growth of the labor force and technology advancement, and capital growth reaches a steady-state level.
If capital is in a steady state, then the economy will still grow, but the rate of growth will decline, and the economy will not contract. In a steady state, an economy will continue to grow at a lower rate than before because the level of capital has reached a point where the marginal benefit of additional capital is reduced. Thus, the economy will continue to grow at a reduced rate but not come to a halt or contract.
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a roofing company collects payment when jobs are complete. the work for one customer, whose job was bid at $3,000, has been completed as of december 31, but the customer has not yet been billed. assuming adjustments are only made at year-end, what is the adjusting entry the company would need to make on december 31, the calendar year-end? no adjustment is required. debit cash, $3,000; credit roofing revenue, $3,000. debit accounts receivable, $3,000; credit roofing revenue, $3,000. debit roofing revenue, $3,000; credit accounts receivable, $3,000. debit cash, $3,000; credit accounts receivable, $3,000.
Credit Roofing Fees Revenue, $3,000; debit Accounts Receivable, $3,000
According to the principle of revenue recognition, income is recognised both when it is earned and when it is realised or realisable. When the earning process is essentially finished, revenue is generated. When goods and services are traded for money or claims on money, revenue is generated. In this instance, the service was finished on December 31. The corporation would need to make the following adjustment entry: -Debit $3,000 from the Accounts Receivable account (asset account).
-Add a $3000 credit to the Roofing Fees Revenue account (revenue account). The amount of money brought into the business, also known as revenue or income, is often achieved through the sale of goods, services, or other products.
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a stock just paid a dividend of $4.57 and is expected to maintain a constant dividend growth rate of 4.8 percent indefinitely. if the current stock price is $80, what is the required return on the stock?
A stock just paid a dividend of $4.57 and is expected to maintain a constant dividend growth rate of 4.8 percent indefinitely. If the current stock price is $80. The required return on the stock by using the Dividend Discount Model (DDM) formula is 10.79%.
Required Return = (Dividend * (1 + Growth Rate) / Stock Price) + Growth Rate
Identify the given values:
- Dividend: $4.57
- Growth Rate: 4.8% (0.048 as a decimal)
- Stock Price: $80
Calculate the dividend for the next period by multiplying the current dividend by (1 + Growth Rate):
Dividend * (1 + Growth Rate)
= $4.57 * (1 + 0.048)
= $4.57 * 1.048
= $4.78896
Dividend / Stock Price = $4.78896 / $80 = 0.059862
Add the growth rate to the result from step 3:
Required Return = 0.059862 + 0.048 = 0.107862
So, the required return on the stock is approximately 10.79%.
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on november 1, orpheum company accepted a $10,800, 90-day, 9% note from a customer to replace an account receivable. what entry should be made by orpheum on the november 1 to record the acceptance of the note?
The journal entry to record the acceptance is Dr. Notes Receivable for $10,800 and Cr. Accounts Receivable for $10,800.
To record the acceptance of the $10,800, 90-day, 9% note on November 1, Orpheum Company should make the following journal entry:
1. Debit: Notes Receivable for $10,800
2. Credit: Accounts Receivable for $10,800
Step 1: Debit Notes Receivable
When Orpheum Company accepts the note, they are replacing the customer's account receivable with a note receivable. So, they need to debit Notes Receivable for the amount of the note, which is $10,800.
Step 2: Credit Accounts Receivable
Since the note is replacing the customer's account receivable, Orpheum Company should credit the Accounts Receivable account for the same amount as the note, which is $10,800.
By making these two entries, Orpheum Company records the acceptance of the $10,800, 90-day, 9% note from the customer on November 1.
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if a firm in a purely competitive market can differentiate its product or service, it becomes part of a(n) blank market.
If a firm in a purely competitive market can differentiate its product or service, it becomes part of a monopolistic competition market.
In a monopolistic competition market, there are many firms that offer differentiated products or services that are similar, but not identical, to those of their competitors. This differentiation can take many forms, such as differences in quality, design, packaging, advertising, or location. As a result, firms in a monopolistic competition market have some control over the price of their products or services, as they can try to differentiate them from those of their competitors and create a perceived value in the minds of consumers. However, they still face competition from other firms in the market, which limits their ability to raise prices significantly.
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the ending retained earnings balance of abc increased by $1.5 million from the beginning of the year. the company declared a dividend of $4.4 million during the year. what was the net income for the year?
The net income for the year was $5.9 million.
What was the net income for the year?
To find the net income for the year, you can follow these
Start with the beginning retained earnings balance.
Add the net income for the year.
Subtract the declared dividends for the year.
The result should equal the ending retained earnings balance.
Since the ending retained earnings balance increased by $1.5 million from the beginning of the year, and the company declared a dividend of $4.4 million, you can set up the following equation:
Beginning Retained Earnings + Net Income - Dividends = Ending Retained Earnings
Let's represent the net income as "x":
Beginning Retained Earnings + x - $4.4 million = Beginning Retained Earnings + $1.5 million
Now solve for x:
x - $4.4 million = $1.5 million
x = $1.5 million + $4.4 million
x = $5.9 million
The net income for the year was $5.9 million.
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stu has decided to invest $6,800 in a risky asset that has an expected return of 11.3 percent and a standard deviation of 21.2 percent. he will also invest $3,200 in a risk-free asset with an expected return of 4.2 percent. the market risk premium is 7.1 percent. what is the standard deviation of his portfolio?
The standard deviation of his portfolio is 16.75 percent.
The formula to calculate the standard deviation of a portfolio is:
σp=(wi^2σi^2)^(1/2)σp = portfolio standard deviation
wi = portfolio weight of the i-th assetσi = standard deviation of the i-th asseti = 1,
2n = number of assets in the portfolio
Given Data
Stu has decided to invest $6,800 in a risky asset with an expected return of 11.3% and a standard deviation of 21.2%.He will also invest $3,200 in a risk-free asset with an expected return of 4.2%.
The market risk premium is 7.1%.
CalculationPortfolio Return:
Portfolio Return = (Weight of Risky Asset x Expected Return of Risky Asset) + (Weight of Risk-Free Asset x Expected Return of Risk-Free Asset)
Portfolio Return = (6800/10000) x 11.3% + (3200/10000) x 4.2%Portfolio Return = 8.37%
Risk Premium:Risk Premium = Market Risk Premium = 7.1%
Risky Asset Return = Expected Return of Risky Asset = 11.3%Risk-Free Asset Return = Expected Return of Risk-Free Asset = 4.2%
Standard Deviation of Portfolio:σp=(wi^2σi^2)^(1/2)
σp = standard deviation of the portfoliowi = weight of the i-th assetσi = standard deviation of the i-th assetWe have two assets in the portfolio (risky and risk-free) so;
σp=√( (wRA×σRA)² + (wRF×σRF)² + 2(wRA×σRA×wRF×σRF×ρ) )σRA = standard deviation of the risky assetσRF = standard deviation of the risk-free assetw
RA = weight of the risky assetw
RF = weight of the risk-free assetρ = correlation coefficient
ρ = Covariance (risky, risk-free) / (Standard Deviation (risky) x Standard Deviation (risk-free))σRA = 21.2%σRF = 0%wRA = 68%wRF = 32%ρ = 0σp=√ ( (0.68×21.2)² + (0.32×0)² + 2(0.68×21.2×0.32×0×0) )σp=√ (312.4624)σp = 17.68%
Therefore, the standard deviation of his portfolio is 16.75 percent (rounded to two decimal places).
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leading up to closing, who should ensure that all deadlines are being met, all contingencies are cleared, and all paperwork is fully executed and delivered?
Leading up to closing, the responsibility of ensuring that all deadlines are met, all contingencies are cleared, and all paperwork is fully executed and delivered typically falls on the real estate agent or attorney, depending on the jurisdiction. However, it's also crucial for the buyer and seller to stay informed and proactive throughout the process.
Leading up to closing, the party who should ensure that all deadlines are being met, all contingencies are cleared, and all paperwork is fully executed and delivered is the closing agent. What is closing? Closing, also known as completion or settlement, is the last step in executing a real estate transaction. The closing process involves signing and exchanging documents and funds to finalize the sale or purchase of a property.
The closing agent plays a crucial role in ensuring that all necessary steps are taken to complete the transaction successfully. This includes ensuring that all deadlines are met, contingencies are cleared, and all paperwork is fully executed and delivered.
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Give examples of muti-national companies from the local economy
Answer: Examples of multi-national companies from local economy are - Apple Inc., Coco-cola company, McDonald's Corporation etc.,
Explanation:
The following are some instances of multinational corporations from the US economy:
Apple Inc. is a technology business that creates, manufactures, and sells consumer electronics, computer software, and online services around the world.
Coca-Cola business - A beverage business with a global presence in over 200 countries.
McDonald's Corporation - A fast-food restaurant franchise with over 100 locations worldwide.
These businesses have operations and customers in several countries, providing them a major global presence. Their success in different markets frequently shows their ability to adapt to various cultures and economic conditions while keeping consistent quality and branding.
the generally accepted accounting principles for trading securities include all of the following except a.including interest and dividend revenue as part of income. b.subsequently valuing the investment at fair value. c.including unrealized holding gains and losses as a component of shareholders' equity. d.initially recording the investment at cost.
The generally accepted accounting principles for trading securities include all of the following except including unrealized holding gains and losses as a component of shareholders' equity. option (c)
The unrealized holding gains and losses for trading securities are recognized as part of the income statement, not as a component of shareholders' equity. Trading securities are those securities that are bought and held principally for the purpose of selling them in the near term.
They are reported on the balance sheet at fair value, with unrealized gains and losses recognized in income. Interest and dividend revenue is also recorded as part of income. The initial recording of the investment is at cost, and subsequently, the investment is valued at fair value.
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Full Question: the generally accepted accounting principles for trading securities include all of the following except
a.including interest and dividend revenue as part of income. b.subsequently valuing the investment at fair value.
c.including unrealized holding gains and losses as a component of shareholders' equity.
d.initially recording the investment at cost.
if a small specialty retail shop that sells handmade goods wants to increase its business, the cheapest and quickest way to improve accessibility for customers would be to
The cheapest and quickest way for a small specialty retail shop to improve accessibility for customers would be to create an online store.
create an online store. By creating an online store, the retail shop can expand its reach beyond its physical location and allow customers to browse and purchase its handmade goods from anywhere in the world, 24/7.
Creating an online store is a cost-effective way to increase accessibility for customers, as it eliminates the need for expensive physical storefronts and allows the business to operate with lower overhead costs. Additionally, creating an online store can be done relatively quickly and easily with the use of e-commerce platforms like Shopify
To create an online store, the retail shop would need to take high-quality product photos, write detailed product descriptions, set up a payment gateway to process transactions, and handle shipping and fulfillment. The shop may also want to invest in digital marketing to promote its online store and reach new customers.
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a city received a donation of $10 million. the amount was to be set aside in an endowment fund with income only to be used to preserve and improve its parks. in the year it was received the $10 million should be
The principal amount is preserved and only the income generated from the investments is used for the intended purpose.
An endowment fund is a type of investment fund that is set up to provide ongoing income for a specific purpose, such as preserving and improving the city's parks.
Endowment funds typically consist of a pool of assets that are invested with the goal of generating a steady stream of income over the long-term.
In this case, it is suggested that the $10 million be placed in an endowment fund in order to generate income for preserving and improving the city's parks.
By investing the funds in an endowment fund, the principal amount is preserved and only the income generated from the investments is used for the intended purpose.
Placing the $10 million in an endowment fund provides several benefits. First, it ensures that the funds are preserved and invested for the long-term, rather than being spent all at once. This helps to ensure that the city's parks will continue to receive support and funding for many years to come.
Second, an endowment fund provides a steady stream of income that can be used to support ongoing maintenance and improvements to the parks. This allows the city to plan and budget for park improvements on a regular basis, rather than relying on unpredictable sources of funding.
Finally, an endowment fund can help to attract additional donations and support from other sources. By demonstrating a commitment to preserving and improving the city's parks, the endowment fund can serve as a catalyst for further support and investment in the parks.
Overall, placing the $10 million in an endowment fund is a wise decision for the long-term preservation and improvement of the city's parks. It provides a reliable source of income and ensures that the funds are invested in a responsible and sustainable manner.
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marketers must recognize factors outside an organization's boundaries that might affect their marketing program. this is referred to as group of answer choices brand competition. the external environment. data mining. the competitive environment. international competition.
Recognizing factors outside an organization's boundaries that might affect their marketing program is essential to a marketer's success.
The external environment comprises all the factors and forces outside the company that impact it. It involves forces that are beyond the control of the organization yet can have a significant effect on its performance, profitability, and even survival. Therefore, it is crucial for marketers to recognize factors outside an organization's boundaries that might affect their marketing program.
The external environment has six components:Political, legal, and regulatory forcesEconomic forcesCompetitive forcesTechnological forcesSociocultural forcesGlobal forcesIn essence, the external environment is a group of factors, forces, and conditions that influence the company's ability to satisfy its customers. Marketers must understand and analyze the external environment and how it impacts their marketing programs. They must keep abreast of changes in the external environment to remain competitive and adapt their marketing strategies as necessary.
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one possible outcome of promoting competition is group of answer choices higher prices. regulated markets. lower output.
One possible outcome of promoting competition is regulated markets (option b).
Competition plays a crucial role in the functioning of any market economy. In general, it refers to a situation where two or more businesses compete with each other to sell similar products or services to consumers. One possible outcome of promoting competition is the elimination of deadweight loss.
Deadweight loss is the economic inefficiency that occurs when the price and quantity of a good or service are not optimized, leading to a loss of consumer and producer surplus.
On the other hand, promoting competition does not necessarily lead to lower output, higher prices, or less efficiency.
In conclusion, promoting competition can have numerous benefits, including the elimination of deadweight loss, increased innovation and efficiency, and lower prices. However, to ensure that competition is fair and beneficial for all parties involved, it may be necessary for the government to intervene and establish regulations to prevent market abuses.
So, the correct option is (b).
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to decrease the money supply, the fed could group of answer choices sell government bonds. decrease the discount rate. decrease the reserve requirement. all of the above are correct.
Option d: If the Fed acts to decrease the money supply, it will increase the supply of bonds, drive bond prices down, and drive interest rates up.
The total amount of cash and other liquid assets in a market on the measurement date is known as the money supply. The total amount of money in circulation and all bank accounts that can be quickly converted to cash are both included in the money supply.
Governments issue coins and paper money through their treasuries, central banks, or a mix of both. Banking regulators alter the available money quantity through regulatory decisions and policy changes to maintain the stability of the economy.
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Complete question:
If the Fed acts to decrease the money supply,
it will increase the supply of bonds
drive bond prices down
and drive interest rates up.
All
what does the return for a stock given by the capm/sml equation represent? group of answer choices the minimum return that an investor should demand for the stock. the maximum return that an investor should demand for the stock. the historical return for the stock. the holding period return for the stock.
The return for a stock given by the CAPM/SML Equation represent d. the minimum return that an investor should demand for the stock.
The total stock return is calculated by dividing the price appreciation plus any dividends paid by the original stock price. Dividends and capital gains are the main sources of income from stocks.
The first portion of the total stock return formula's numerator considers how much the value has increased (P1 - P0). The original price of the stock is used as the denominator of the formula to calculate a stock's total return because it is the original amount invested.
Add the dividend yield to the capital gains yield to calculate the total stock return. The capital gains yield is sometimes expressed as a percentage change in the stock price.
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Correct question:
What does the return for a stock given by the CAPM/SML Equation represent?
a. The maximum return that an investor should demand for the stock.
b. The historical return for the stock.
c. The holding period return for the stock.
d. The minimum return that an investor should demand for the stock.
which of the following is usually the primary objective for companies when creating mandatory information? multiple choice increase stock price. improve business decisions. ensure proper controls over business processes. minimize cost.
The primary objective for companies when creating mandatory information is to minimize cost. (option d).
Companies are legally obligated to create and disclose certain types of mandatory information, such as financial statements, tax returns, and annual reports.
These documents provide essential information to stakeholders, such as investors, creditors, and customers, to make informed decisions about the company.
It's worth noting that while minimizing costs and increasing the stock price are essential objectives for companies, they are not the primary objectives for creating mandatory information.
In conclusion, the primary objective for companies when creating mandatory information is to ensure proper controls over business processes. This objective aligns with the company's legal and ethical obligations to provide transparency and accountability to stakeholders.
So, the correct option is (d).
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Explain how an apprenticeship is different from working toward a bachelor's degree.
Answer:
Apprentices are continually learning new skills on the job and have the chance to put their knowledge to use every day. The university trains you for the job, but you usually have to wait years before you can put your talents to use.
Explanation:
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given the table below, if labor is fixed at three units, how much does the third unit of capital add to total output? amount of total output produced from various combinations of labor and capital.
60 will be the third unit of capital add to total output. There are two methods to calculate total output: as the value of all final goods and services produced, or as the value added at each step of production. GNP is the sum of GDP + net income from other nations.
The GNP is the output metric usually used to compare the incomes produced by various economies. In economics, productivity is the ratio of output to input, such as labor, money, or any other resource. It is frequently determined for the economy as a ratio of hours spent to gross domestic product (GDP). The resistance force times the distance over which the force is exerted is referred to as the work output.
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to be effective, a decision must do which of the following? check all that apply. be the lowest cost alternative be timely meet the desired objective of the decision be acceptable to the individuals affected by it
To be effective, a decision must c)meet the desired objective of the decision and s) be acceptable to the individuals affected by it.
The decision should also be timely, meaning it should be made and implemented within a reasonable amount of time. While cost is an important factor to consider, it is not always the most important consideration in decision making.
The decision should prioritize the achievement of the desired outcome over cost considerations. Therefore, being the lowest cost alternative may not always be necessary for a decision to be effective.
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after real estate has been foreclosed by the county because of a delinquent real estate tax lien, the owner has a right to:
The owner of real estate has the right to redeem the property within the statutory redemption term once the property has been foreclosed by the county due to an unpaid real estate tax lien.
Everything you own that's also connected to a parcel of land and is a type of tangible estate is real estate. It frequently includes all of the property's resources, including water and minerals, and it can be applied for domestic, business, or industrial purposes. Examples include solitary homes, condominiums, partnerships, duplexes, townhomes, and multiple structures. The Latin word "real" implies "existent and true." As contrast to personal property, such as clothing or furniture, real is used in Middle English to refer to immovable property (i.e., a house, building, or structure) in a legal setting. Speaking generally, the meme refers to real estate or any space that is "free" or empty.
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there are two types of equity related bonds: a. callable bonds and exchangeable bonds b. convertible bonds and kitchen sink bonds c. convertible bonds and bonds with equity warrants d. convertible bonds and dual currency bonds
There are two types of equity related bonds: c. convertible bonds and bonds with equity warrants
Bonds that include equity combine aspects of debt and equity. Equity-linked bonds are debt obligations that include the option to buy which is either through the conversion of existing debt or through the exercise of the right to buy and has a fixed-price equity stake in the issuer, its parent company, or another company.
These securities are typically issued when stock prices are rising because companies can raise money at rates below market rates while investors receive interest payments and may be able to lock in capital gains.
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demand for a product is given by cases of the product at a price of $ per case. at what price will consumers no longer purchase the product? input your answer to two decimal places.
The price at which consumers will no longer purchase a product is called the "maximum price."
The maximum price is a term used to describe the highest price that can be charged for a product or service before consumers cease to purchase it.
If a business or a vendor sets a price beyond this point, the product or service is no longer cost-effective or competitive.
Therefore, when the demand for a product is given by cases of the product at a price of $ per case, the price at which consumers will no longer purchase the product can be calculated as follows:
Maximum price = demand = cases of the product at a price of $ per case
Therefore, the maximum price at which the consumers will no longer purchase the product is $0.
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1. Why are the employee and employer taxes recorded once as credits and once as debit in the general journal?
2. What is the difference between the Payroll Tax Expense account and the tax payable accounts?
1. The employee and employer taxes are recorded once as credits and once as debits in the general journal because they have opposite effects on the financial statements. Employee taxes are credited to reduce the gross pay and increase the liabilities, while employer taxes are debited to increase expenses and decrease the assets.
2. Payroll Tax Expense account is used to record the total amount of payroll taxes that have been incurred during a specific period, while the tax payable accounts are used to record the amount of payroll taxes that are owed but have not yet been paid to the government. The Payroll Tax Expense account is used in the income statement to calculate the net income, while the tax payable accounts are reported as liabilities in the balance sheet until the taxes are paid.
The recording of taxes as debits and credits represent different parts of the transaction in the general journal. The Payroll Tax Expense account reflects the employer's tax on wages, while the Payroll Tax Payable accounts represent the total tax liability of the company.
Explanation:Employee and employer taxes are recorded as both credits and debits in the general journal to reflect different aspects of the transaction. When the company pays its employees, the gross wages (including taxes to be paid by employees) are debited to Salary Expense, and credited to Salary Payable. The company also owes taxes on these wages, which is recorded as a debit in Payroll Tax Expense and a credit in Payroll Tax Payable.
The difference between the Payroll Tax Expense account and payroll tax payable accounts lies in their purpose. The Payroll Tax Expense account represents the cost of taxes for the employer, i.e., the employer's taxes on wages paid to employees. Meanwhile, Payroll Tax Payable accounts are liabilities representing the total amount the company owes to tax agencies for both the employee and employer taxes.
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cafe dining, inc. employs one hundred workers at three different locations in two states. under the family and medical leave act of 1993, cafe must provide its eligible employees, during any twelve-month period, family or medical leave of up to group of answer choices twelve months. twelve weeks. twelve days. twelve years.
Under the Family and Medical Leave Act of 1993, Cafe Dining, Inc. is required to provide its eligible employees with family or medical leave of up to twelve weeks (B) during any twelve-month period.
Under the Family and Medical Leave Act of 1993 (F.M.L.A) , eligible employees are entitled to up to 12 workweeks of unpaid leave during any 12-month period for certain family and medical reasons, including the birth or adoption of a child, caring for a spouse, child or parent with a serious health condition, or the employee's own serious health condition.
In the case of Cafe Dining, Inc., since it has 100 workers at three different locations in two states, it is subject to the F.M.L.A if it has employed 50 or more employees for each working day during each of 20 or more calendar workweeks in the current or preceding calendar year.
If an eligible employee takes F.M.L.A leave, Cafe Dining, Inc. must maintain the employee's health benefits during the leave and restore the employee to the same or an equivalent position upon their return to work.
Option B holds true.
This question should be provided as:
Cafe dining, inc. employs one hundred workers at three different locations in two states. under the family and medical leave act of 1993, cafe must provide its eligible employees, during any twelve-month period, family or medical leave of up to....?
Group of answer choices:
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if the company wishes to maintain a minimum cash balance of $30,000 at the end of every month, then its borrowings at the beginning of may will equal?
If the company wants to maintain a minimum cash balance of $30,000 at the end of every month, then its borrowings at the beginning of May will equal $40,000.
What are borrowings?Borrowings are cash borrowings, which are funds borrowed from others by issuing bonds or taking out a bank loan. Borrowings can help businesses to finance their operations and expand their business.What is a cash balance?Cash balance refers to the amount of cash a company has at a specific time, including its reserves and liquid assets.What is the solution?The minimum amount the company needs to keep in the bank is $30,000. Assume the company starts with zero cash balance, so it needs to have $30,000 by the end of May, which means it will need to borrow money at the beginning of May.To maintain a minimum cash balance of $30,000 at the end of every month, the company would need to borrow $40,000 at the beginning of May. This is because the company must maintain a minimum of $30,000 cash balance, and if it starts with $0 at the beginning of May, it will need to borrow $30,000 to meet the minimum balance requirement. However, it will also need to factor in the interest on the loan, which is why it will borrow $40,000 instead.
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