Answer:
Entrepreneurship is a continuous phase of development and movement while being focused on goal
Explanation:
An entrepreneur has an undeniable trait of being flexible along with being focused and pivoted to move in the right direction at the right time. If the circumstances require, he/she can also pivot in the other direction while being flexible at the same time.
Thus, entrepreneurship is a continuous phase of development and movement while being focused on goal.
True or False: Both countries would be better off if they produced the good in which they have a comparative advantage and then traded 400 million tons of grain for 200 million cars.
Answer:
true
Explanation:
Casey Company retired $500,000 face value, 9% bonds on June 30, 2018 at 96. The carrying value of the bonds at the redemption date was $508,000. Prepare the journal entry to record the redemption of the bonds.
Answer:
Dr Bonds Payable $500,000
Dr Premium on Bonds Payable $8,000
Cr Gain on Bond Redemption $28,000
Cr Cash $480,000
Explanation:
Preparation of the journal entry to record the redemption of the bonds.
Dr Bonds Payable $500,000
Dr Premium on Bonds Payable $8,000
($508,000-$500,000)
Cr Gain on Bond Redemption $28,000
($500,000+$8,000-$480,000)
Cr Cash $480,000
($500,000 × 96%)
(To record the redemption bonds)
Bennett Co. has a potential new project that is expected to generate annual revenues of $260,300, with variable costs of $143,200, and fixed costs of $60,700. To finance the new project, the company will need to issue new debt that will have an annual interest expense of $23,500. The annual depreciation is $24,800 and the tax rate is 35 percent. What is the annual operating cash flow
Answer:
$45,340
Explanation:
Calculation to determine the annual operating cash flow
Sale $260,300
Less: Operating Cost $143,200
Contribution $117,100
($260,300-$143,200)
Less: Fixed Cost $60,700
Less: Depreciation as per table given below $24,800
Profit before tax $31,600
($117,100-$60,700-$24,800)
Tax $11,060
($34%$31,600)
Profit After Tax $20,540
($31,600-$11,060)
Add Depreciation $24,800
Cash Profit After tax $45,340
($20,540+$24,800)
Therefore the annual operating cash flow is $45,340
Principles-based standards differ from a rules-based approach because: Principles-based standards rely on bright-line concepts to apply accounting standards Rules-based standards rely on bright-line rules to apply accounting standards Principles-based standards set uniform goals for the application of accounting standards Rules-based standards form the basis of IFRS
Answer: Principles-based standards set uniform goals for the application of accounting standards
Explanation:
Rule based standards are quite rigid and as a result, set specific goals when it comes to the application of accounting standards. This is in contrast to Principles based standards that set more uniform or general goals that should be met.
This is why IFRS is preferred by most nations in the world as opposed to U.S. GAAP. IFRS gives principle based standards which allow leeway unlike U.S. GAAP which is rules based and gives little leeway in application.
2. The materials cost variance report for Nickols Inc. indicates a large favorable materials price variance and a significant unfavorable materials quantity variance. What might have caused these offsetting variances?
Answer:
A favorable materials price variance is caused by the amount budgeted for material prices (standard price) being higher than the actual price of the materials. This can happen as a result of increased supply of materials in the market.
An unfavorable materials quantity variance arises when the actual amount of materials used surpasses the amount of materials that was budgeted (standard materials). This can happen due to wastage and inefficiency.
These two cancel each other out because the extra material that is to be used will be acquired at the surplus price that standard price exceeds actual price by.
Liam works at an IT firm. He finds that the activities carried out by his team are very complex and struggles to complete his tasks on time. He learns that some of his team members are also facing the same issue. Even though there is clarity of the target among the team members, the team struggles to efficiently carry out its task. Which of the following should the team do in order to ensure the completion of the tasks?
A. It should change the output and retain the workforce.
B. It should use informal communication to carry out its tasks.
C. It should standardize the work activities through flowcharts.
D. It should conduct an in-house training program to bring employees up to speed.
Answer: D. It should conduct an in-house training program to bring employees up to speed.
Explanation:
Since team struggles to efficiently carry out its task, in order to ensure the completion of the tasks, the team should conduct an in-house training program to bring employees up to speed.
With an in house training done, the employees will gain the necessary skills and experience which will be needed to carry out their jobs effectively and efficiently. Therefore, the correct option is D.
A bond pays $80 per year in interest and has a $1,000 par value. The market rate of interest is 6%. What is the coupon rate for this bond
Answer:
8%
Explanation:
The coupon is the amount of periodic cash payable to bondholders which is usually a percentage of the bond's face value.
The coupon of $80 is payable annually in this case, hence, based on the face value( par value) of $1,000 per bond, the coupon rate is computed as shown thus:
annual coupon=face value*coupon rate
annual coupon=$80
face value=$1000
coupon rate=unknown
$80=$1000*coupon rate
coupon rate=$80/$1000
coupon rate=8%
Andy is driving a 20-year-old boat that he borrowed from a friend. While he's on the water, the steering system fails and the boat crashes. Subsequent investigation shows that the steering system failed as a result of corrosion. Andy sues the boat manufacturer for negligence. How strong is his negligence case against the product manufacturer
Answer:
Weak.
Explanation:
In the given scenario, the case is weak because Andy cannot sue the manufacturer company for negligence.
it is because Andy is driving a 20-year-old boat. So, Andy cannot prove that the corrosion was due to manufacturing defect. The possibility of corrosion must be the wearing or tearing away of the boat.
Normally, material corrodes if not taken care of properly or due to a long lifespan.
Therefore, the case of Andy against the product manufacturer is weak.
The Quick Buck Company is an all-equity firm that has been in existence for the past three years. Company management expects that the company will last for two more years and then be dissolved. The firm will generate cash flows of $450,000 next year and $790,000 in two years, including the proceeeds from the liquidation. There are 20,000 shares of stock outstanding and shareholders require a return of 12 percent.
Required:
What is the current price per share of the stock?
Answer:
$53.09
Explanation:
Calculation to determine current price per share of the stock
First step is to determine the Dividend per share in Year 1
Using this formula
Dividend per share in Year 1 = Cash flow generated next year / Number of shares
Let plug in the formula
Dividend per share in Year 1 == $450,000 / 20,000
Dividend per share in Year 1 == $ 22.5
Second step is to determine the Dividend per share in Year 2 using this formula
Dividend per share in Year 2 = Cash flow generated in two years / Number of shares
Let plug in the formula
Dividend per share in Year 2 = $790,000 / 20,000
Dividend per share in Year 2 = $39.5
Dividend per share in Year 2 =$40 Approximately
Now let determine the Share price today using this formula
Share price today = [ Dividend in Year 1 / (1 + Required rate of return) ] + [ Dividend in Year 2 / (1 + Required rate of return)2 ]
Let plug in the formula
Share price today = [22.5 /(1+.12)]+ (40 / 1.12^2
Share price today = (22.5 /1.12) + (40 / 1.12^2)
Share price today =$20.09+(40/1.25)
Share price today =$20.09+32
Share price today = $ 53.09
Therefore current price per share of the stock
Is $53.09
impact of collusion in terms of output and price on consumers and producers
Answer: See explanation
Explanation:
Collusion refers to the agreements among the sellers of a particular product to either fix or increase the price and also reduce output. The main idea behind this is to increase profits and also reduce the competitiveness in such market.
Collusion can bring about high prices for the consumers and this ultimately leads to the reduction in the consumer surplus. Also, the new firms that want to enter the market may discouraged since the collusion can be an entry barrier.
Al Ahli company had the following purchases and sales during its first year of operations:
Sales
January
February
May:
Purchases
15 units at $110
10 units at $135
7 units
Using the Weighted average inventory costing method, what is the cost of ending inventory?
A. $2,176
B. $3,840
OC. $1,800
D. $2,160
A subsidy causes a deadweight loss since people only make a purchase because the subsidy _____ the price. The amount they value the extra quantity is _____ than it costs the government to move them to buy it.
Answer: lowers; less
Explanation:
Subsidies are usually given on public goods which the government wants the public to buy more of. For this reason, these goods will cost less than they should on account of the government paying some of the cost.
The deadweight loss arises because the government is paying more than consumers would have paid in order to entice the consumers to buy the good. Essentially the cost to the government is higher than the consumer surplus which creates a deadweight loss.
Singh, a consumer, leases sheet music from Tunes Inc. for a public performance. United Music Corporation, which holds a copyright on the music, sues Singh to stop the performance without a royalty payment. Singh fails to notify Tunes of the suit within a reasonable time. The lessee:_________
a. loses any remedy against the lessor for liability established in the suit.
b. can assert this failure to delay the litigation, but it is not a defense.
c. can raise the failure to notify as a defense in copyright holder’s suit.
d. can sue the lessor to recover the expenses of the suit.
Answer:
a. loses any remedy against the lessor for liability established in the suit.
Explanation:
This is because it was lessee's responsibility to inform the lessor in time.
A lessee is in contract with the lessor and is responsible for all the actions taken on behalf of the lessor with the lessor's permission.
If the lessee fails to inform the lessor in time or do any action without his permission then the lessor can sue the lessee or take any other legal action as may be required by the law against the lessee.
In breach of contract the lessee has to face the consequences and pay penalty.
Choice a is the best option.
The lessee can never sue the lessor for his illegal actions.
So option d is incorrect.
b) Delaying the litigation would do no good. It would add to his failures.
Choice c is also incorrect.
2. State the accounting equation.
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☆☆●◉✿ Answer:✿◉●☆☆
The accounting equation formula is Assets = Liabilities + Equity.
☆☆●◉✿Step-by-step explanation:✿◉●☆☆
Liabilities + Equity = Assets :3 I’m vewy sowy ➖〰️➖
Evaluate the product-company and product market fit of the line extension options. Does the idea fit with the company and market
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Carr Inc. purchased equipment for $100,000 on January 1, Year 1. The equipment had an estimated 10-year useful life and a $15,000 salvage value. Carr uses the 200 percent declining balance depreciation method. In its Year 2 income statement, what amount should Carr report as depreciation expense for the equipment
Answer:
$16,000
Explanation:
Calculation to determine what amount should Carr report as depreciation expense for the equipment
First step is to calculate Depreciation under Double declining Balance method
Depreciation under DDB = 2/10 x $100,000
Depreciation under DDB =$ 20,000
Now let calculate what amount should Carr report as depreciation expense for the equipment
Depreciation expense=2/10 *($100,000-$20,000)
Depreciation expense=2/10*$80,000
Depreciation expense= $16,000
Therefore what amount should Carr report as depreciation expense for the equipment is $16,000
On 6/30/12, a company recorded a journal entry for the coupon payment on its bond. As part of the journal entry, the company debited bonds payable. Which of the following is true regarding this journal entry?
a. The company debited Interest Expense
b. The bond was issued at a discount
c. The proceeds of the bond were less than the face value
d. The company credited Cash
e. The coupon rate is greater than the effective rate
Answer:
a. The company debited Interest Expense d. The company credited CashExplanation:
The coupon payment represents the interest payment being paid by the company on the bond. They will therefore record this coupon by debiting it to the Interest expense account as expenses are debited when they are incurred.
The same amount will be credited to the Cash account because the payment will come from the cash holdings of the company. Cash is an asset account so it is credited when it reduces.
Which situation best describes opportunity cost
Answer:
A store that buys a shipment of new computers cant afford to buy new phones.
Explanation:
Answer:
(D.) a trade-off
Explanation:
Got it right
true and false
4. Know the market trends of products that are in demand not
only within the local market but also in the international market.
Answer:
false
Explanation:
don't think so that s
is the answer
All publicly traded companies must adhere to __________ accounting principles: a. IFRS b. SEC c. GAAP d. SOX
Answer:
c
Explanation:
Its c
Hau Lee Furniture, Inc., spends 50% of its sales dollars in the supply chain and finds its current profit of $21,000 inadequate. The bank is insisting on an improved profit picture prior to approval of a loan for some new equipment. Hau would like to improve the profit line to $26,000 so he can obtain the bank's approval for the loan. What percentage improvement is needed in the supply chain strategy for profit to improve to $26000
Answer: 7.1%
Explanation:
The cost of materials needs to reduce for the profit to increase. If the profit is to go from $21,000 to $26,000, the material cost would need to decrease by:
= 26,000 - 21,000
= $5,000
The current material cost is $70,000 so a decrease of $5,000 in percentage terms would be:
= 5,000 / 70,000 * 100%
= 7.1%
The new material cost would be:
= 70,000 - 5,000
= $65,000
. Drayser Corporation has budgeted sales of 23,000 units, targeted ending finished goods inventory of 9,000 units, and beginning finished goods inventory of 6,000 units. How many units should be produced next year
Answer:
Production= 26,000
Explanation:
Giving the following information:
budgeted sales of 23,000 units, targeted ending finished goods inventory of 9,000 units, and beginning finished goods inventory of 6,000 units.
To calculate the production required, we need to use the following formula:
Production= sales + desired ending inventory - beginning inventory
Production= 23,000 + 9,000 - 6,000
Production= 26,000
Please answer the question posted in the attached image
Answer:
80
Explanation:
Years = 20
Compounding month = 4 (quarterly)
N is the number of compounding factors = 20 years * 4 periods per year = 80. So, the value of n in the F/A factor (for determining F/A factor the end of the 20 year period) is 80.
If Wolves Entertainment Company is acting in the best interests of stockholders (following the primary goal of the firm), which of the following is the optimal (best) capital structure for the firm?
A. Debt = 50%, Equity = 50%, EPS = $3.05, Stock price = $29.90, Cost of Debt = 3.5%.B. Debt = 80%, Equity = 20%, EPS = $3.28, Stock price = $29.70, Cost of Debt = 5.8%.C. Debt = 40%, Equity = 60%, EPS = $2.95, Stock price = $30.50, Cost of Debt = 3.0%.D. Debt = 60%, Equity = 40%, EPS = $3.18, Stock price = $31.20, Cost of Debt = 4.0%.E. Debt = 70%, Equity = 30%, EPS = $3.42, Stock price = $30.40, Cost of Debt = 5.0%.
Answer: D. Debt = 60%, Equity = 40%, EPS = $3.18, Stock price = $31.20, Cost of Debt = 4.0%.
Explanation:
Since the company is acting in the best interests of stockholders the optimal capital structure for the firm will be option D "Debt = 60%, Equity = 40%, EPS = $3.18, Stock price = $31.20, Cost of Debt = 4.0%".
In this case, the price is at maximum when compared to other options, therefore the value of the shareholders will be maximize.
The accountant at EZ Toys, Inc. is analyzing the production and cost data for its Trucks Division. For October, the actual results and the master budget data are presented below. Actual Results:Budget Data: 10,000 Trucks Produced and Sold12,000 Trucks Planned Unit selling price$15Unit selling price$14 Variable costs:Unit variable cost: Direct materials$ 52,800 Direct materials$ 5 Direct labor51,000 Direct labor4 Variable overhead 23,000 Variable overhead 2 Total variable costs$126,800Total unit variable costs$11 Fixed overhead$9,000Fixed overhead$9,600 Required: Prepare a variance analysis to compare actual results and the master budget.
Samuel is the managing general partner of STU, in which he owns a 25% interest. For the year, STU reported ordinary income of $400,000 (after deducting all guaranteed payments). In addition, the LLC reported interest income of $12,000. Samuel received a guaranteed payment of $120,000 for services he performed for STU. How much income from self-employment did Samuel earn from STU
Answer:
$220,000
Explanation:
Calculation to determine How much income from self-employment did Samuel earn from STU
Using this formula
Income from self-employment =Guaranteed payment received+(Interest rate*Ordinary income)
Let plug in the formula
Income from self-employment=$120,000+(25%*$400,000)
Income from self-employment=$120,000+$100,000
Income from self-employment=$220,000
Therefore the amount of income from self-employment that Samuel earn from STU is $220,000
If nominal GDP is $900 billion and, on average, each dollar is spent six times in the economy over a year, then the quantity of money demanded for transactions purposes will be Multiple Choice 750 150 3,600 450 900
Answer:
Option B (150) is the correct answer.
Explanation:
Given:
Nominal GDP,
= $900
Money velocity,
= 6
As we know,
⇒ [tex]Nominal \ GDP=Quantity \ of \ demanded \ money\times Money \ velocity[/tex]
By putting the vales, we get
⇒ [tex]900=Quantity\times 6[/tex]
⇒ [tex]Quantity=\frac{900}{6}[/tex]
⇒ [tex]=150[/tex]
Assume US GAAP to answer this question. In 2017, $2 million in wages were earned and no cash wages were paid. In 2018, $8 million in wages were earned and $9 million in cash wages were paid. Cash wages were used to first pay wages earned in 2017 with the remainder used to pay wages earned in 2018. Any earned but unpaid wages will be paid during the first quarter of 2019. Using only the information provided, which of the following statements is most accurate?
a. Liabilities increased by $1.0 million in 2018
b. Liabilities increased by $3.0 million in 2018
c. Assets decreased by $5.0 million in 2018
d. Retained earnings decreased by $10.0 million in 2018
e. Retained earnings decreased by $7.0 million in 2018
Answer: a. Liabilities increased by $1.0 million in 2018
Explanation:
In 2018, $9 million was used to settle the wage debt of 2017 and the remainder was used to settle the wages in 2018.
The money remaining in cash after the wage settlement was:
= 9,000,000 - 2,000,000 - 8,000,000
= -$1,000,000
This means that $1,000,000 of wages was not settled in 2018 which means that this would have to go to the Wages Payable account to signify that the company owes wages.
This account is a liability account so liabilities in 2018 would increase by $1,000,000.
In a completely randomized experimental design involving five treatments, 13 observations were recorded for each of the five treatments (a total of 65 observations). Also, the design provided the following information.
SSTR = 300 (Sum of Squares Due to Treatments)
SST = 800 (Total Sum of Squares)
1. The number of degrees of freedom corresponding to within-treatments is:___________.
a. 5.
b. 59.
c. 4.
d. 60.
2. The mean square due to error (MSE) is:_________.
a. 200.
b. 500.
c. 8.3.
d. 75.
3. The null hypothesis is to be tested at the 5% level of significance. The null hypothesis:________.
a. should be rejected.
b. should not be rejected.
c. was designed incorrectly.
d. cannot be tested.
4. The mean square due to treatments (MSTR) equals:_______.
a. 500.
b. 400.
c. 1350.
d. 1687.5.
1. The number of degrees of freedom corresponding to within-treatments is: 60. Option D
2. The mean square due to error (MSE) is: 8.3. Option C
3. The null hypothesis is to be tested at the 5% level of significance. The null hypothesis should be rejected. Option A
4. MSTR is 75
How to solve for the degree of freedomDf = n - k
n = total observation
k = treatment
Df = 65 - 5
= 60
The mean square error is given as
MSE = SSE / DF
= 800 - 300 / 60
500 / 60
= 8.3
3) From the use of technology, the value of the P Value is given as 0.0000 the p value is less than the significance level. We have to reject the null.
4. The MSTR is given as 75. SSTR / DF
Read more on degrees of freedom here:https://brainly.com/question/28527491
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You have just deposited $10,000 into an account that promises to pay you an annual interest rate of 6.3 percent each year for the next 4 years. You will leave the money invested in the account and 10 years from today, you need to have $32,800 in the account. What annual interest rate must you earn over the last 6 years to accomplish this goal
Answer:
The annual interest rate you must earn over the last 6 years to accomplish this goal is 17.03%.
Explanation:
Future value after 4 years = Deposited amount * (100% + Annual interest rate for 4 years)^4 = $10,000 * (100% + 6.3%)^4 = 12,768.30
The interest rate can be calculated using the following RATE function in Excel:
Interest rate = RATE(nper,pmt,-pv,fv,type) .............(1)
Where;
nper = number of periods = number of years remaining after 4 years = 10 - 4 = 6
pmt = Annual payments = 0 (This is 0 because there is no annual payment)
pv = present value = Future value after 4 years = $12,768.30
fv = future value = The amount you need to have in the account after 10 years = $32,800
type = when payments are due (0 = end of period. 1 = beginning of period) = 0
Substituting the values into equation (1), we have:
Interest rate = RATE(6,0,-12768.30,32800,0) .................. (2)
Inputting =RATE(6,0,-12768.30,32800,0) into a cell in an excel sheet (Note: as done in the attached excel file), the annual interest rate is obtained as 17.03%.
Therefore, the annual interest rate you must earn over the last 6 years to accomplish this goal is 17.03%.