solve for PV to get $6,236.11 as the initial price of the bond.
To calculate the initial price of the bond, we need to use the formula:
PV = C x (1 - (1 /[tex](1 + r)^n)[/tex]) / r + FV /[tex](1 + r)^n[/tex]
Where:
PV = Present value or initial price of the bond
C = Coupon payment per year = par value x coupon rate = $10,000 x 8% = $800
r = Required rate of return = 12%
n = Number of periods or years to maturity = 25
FV = Face value or par value of the bond = $10,000
Plugging in the values, we get:
PV = $800 x (1 - (1 /[tex](1 + 12%)^25[/tex])) / 12% + $10,000 /[tex](1 + 12%)^25[/tex]
PV = $800 x (1 - 0.0437) / 0.12 + $1,223.59
PV = $6,236.11
Therefore, the initial price of the bond is $6,236.11.
Using financial calculator process:
N = 25 (number of periods)
I/Y = 12 (interest rate)
PMT = 800 (coupon payment)
FV = 10,000 (face value)
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a subway patron dropped their smartphone on to the train tracks, jumped down to get it, and returned to the platform safely. how would the patron express outcome bias?
a. "It was a bad decision because the econocnic value of the phone was less than the economic value of my life "
b. "It was a bad decision because I was ovorconsident in my ability to get the smart phone salely" c. "It was a bad decision because the risk of harm was too great." d. "It was a good decision because I got the smartphone without geting hurt"
Option B: "It was a bad decision because I was overconfident in my ability to get the smartphone safely" is an expression of outcome bias.
Option B: "It was a bad decision because I was overconfident in my ability to get the smartphone safely" is an expression of outcome bias. This is because the patron is judging the decision based on the outcome (returning safely) rather than the actual decision-making process that led to the risky behavior. Despite the positive outcome, the decision to jump onto the tracks was still a risky and dangerous one. By acknowledging this, the patron is recognizing the potential consequences of their actions and how they could have been different. Additionally, the economic value of the phone may have been a motivating factor in the decision to take such a risk, but the patron recognizes that this should not have outweighed their personal safety.
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Required information [The following information applies to the questions displayed below) The following selected financial data ($ in thousands) was reported by Salsa's Restaurant and Los Aztecos. Both restaurants hope to provide their customers with the best tasting burritos in their region Salsa's focuses on high quality ingredients and Los Aztecos focuses on low cost. Net sales Net Income Total assets, beginning Total assets, ending Salsa's $108,449 26,122 75,383 116,771 Los Aztecos $62,271 3,692 38,799 44,933 Required: 1. Calculate Salsa's return on assets, profit margin, and asset turnover ratio (Enter your answers in thousands of dollars. (.e. 123,000 should be entered as 123).) Return on Assets Choose Denominator Choose Numerator Return on Assets Return on assets 0 1. Calculate Salsa's return on assets, profit margin, and asset turnover ratio (Enter your answers in thousands of dollars. (le, 123,000 should be entered as 123).) Return on Assets Choose Denominator Choose Numerator Return on Assets Return on assets 0 Choose Numerator Profit Margin Choose Denominator Profit Margin Proft Margin Asset Turnover Choose Denominator Choose Numerator Asset Turnover Asset Turnover O times
The calculations for Salsa's return on assets, profit margin, and asset turnover ratio are provided, along with the relevant terms used in the calculations, including "Salsa's Restaurant", "Los Aztecos", and "Denominator".
How to determine Salsa's return on assets, profit margin, and asset turnover ratio?
Salsa's return on assets can be calculated as follows:
Numerator = Net Income = $26,122
Denominator = Total Assets, beginning + Total Assets, ending / 2 = ($75,383 + $116,771) / 2 = $96,077
Return on assets = Net Income / ((Total Assets, beginning + Total Assets, ending) / 2)
Return on assets = $26,122 / $96,077 = 0.272 or $272 per $1,000
Salsa's profit margin can be calculated as follows:
Numerator = Net Income = $26,122
Denominator = Net Sales = $108,449
Profit margin = Net Income / Net Sales
Profit margin = $26,122 / $108,449 = 0.241 or 24.1%
Salsa's asset turnover ratio can be calculated as follows:
Numerator = Net Sales = $108,449
Denominator = Total Assets, beginning + Total Assets, ending / 2 = ($75,383 + $116,771) / 2 = $96,077
Asset turnover ratio = Net Sales / ((Total Assets, beginning + Total Assets, ending) / 2)
Asset turnover ratio = $108,449 / $96,077 = 1.129 or 1.129 times
The terms "Salsa's Restaurant", "Los Aztecos", and "Denominator" have been included in the answer.
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What amount of "expenses" will appear in the consolidated income statement for the year ending December 31, 2019? A. $1,800,000 B. $1,956,000 C. $1,975,200 D. $1,965,600
Answer:
D
Explanation:
Your answer is partially correct. The following are three business transactions. For each column, indicate whether the transactions increased, decreased, or had no effect on assets, liabilities, and owner's equity. Assets Liabilities Owner's Equity (a) Purchased supplies on account. Increased Increased Decreased (b) Received cash for performing a service. Increased No Effect V Increased (c) Pald expenses in cash. Decreased No Effect Increased CARTURI An analysis of the transactions made by Ivanhoe & Co. a certified public accounting firm, for the month of August is shown to ows The expenses were $550 for rent. 54.600 for salaries and wages, and $420 for utilities Accounts Accounts Owner's Owners Cash • Receivable Supplies - Equipment Payable - Capital Drawings Reven 1 $15.800 *$15.000 2 - 1.900 .$5.300 $3.400 3. -700 -5700 4 -90 55.700 *3.300 5 -1.700 -1.700 -51.200 6 -1.200 7. -550 B -450 4450 9 4600 10
Regarding the transactions for Ivanhoe & Co. in August:
(a) Purchasing supplies on account would increase both the assets (Supplies) and the liabilities (Accounts Payable) of the company, while having no effect on owner's equity.
(b) Receiving cash for performing a service would increase both assets (Cash) and owner's equity (Revenue), while having no effect on liabilities.
(c) Paying expenses in cash would decrease assets (Cash), have no effect on liabilities, and increase owner's equity (Expenses).
Looking at the table provided, it appears that the company started the month with $15,800 in cash, $15,000 in accounts receivable, $2,900 in supplies, $5,300 in equipment, $3,400 in accounts payable, and $3,300 in owner's capital. Throughout the month, they incurred $550 in rent expenses, $4,600 in salaries and wages expenses, and $420 in utilities expenses, all of which decreased their cash balance. They also had a decrease in accounts payable of $90, likely due to paying off some of the balance. They recorded $1,700 in drawings, which would decrease their owner's equity. There were no changes in the balances of accounts receivable, supplies, equipment, or owner's capital.
(a) Purchased supplies on account: This transaction increases assets (supplies) and increases liabilities (accounts payable). There is no effect on owner's equity.
(b) Received cash for performing a service: This transaction increases assets (cash) and increases owner's equity (revenue). There is no effect on liabilities.
(c) Paid expenses in cash: This transaction decreases assets (cash) and decreases owner's equity (expenses). There is no effect on liabilities.
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All of the following are true about Lean Six Sigma, except A. Both lean and Six Sigma production se bave root cas, process, and data analysis techniques B. Both lean and six Sigma production attack the same type of probione C. Lean tools are more intuitive and easier to apply by anybody in the workplace D. Lean Six Sigma often is an important part of implementing a strategy bullt upon sustainability
Muda, which means "uselessness," is the Japanese term for waste. Reduced Muda and improved quality control are goals of lean tools. To put it another way, Lean tools aim to cut out ineffective processes.
Between Lean and Six Sigma, which of the following is shared?In order to reduce waste and maximise system efficiency, both Lean and Six Sigma work towards the same end result.
What statement about Six Sigma is accurate?Six sigma does, in fact, reveal the frequency with which process flaws are expected to manifest themselves. For continual improvement, the six sigma method is applied. To minimise flaws, it is utilised to ascertain their frequency of occurrence and count.
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a certain type of battery has a population mean lifetime of 40 hours with standard deviation 5 hours. find the probability that the average lifetime of 100 such batteries is less than 38 hours.
The probability that the average lifetime of 100 such batteries is less than 38 hours is about 2.28%. We need to use the Central Limit Theorem, which states that the distribution of sample means approaches a normal distribution as the sample size increases.
Given that the population mean lifetime is 40 hours and the standard deviation is 5 hours, we can find the standard error of the mean using the formula:
standard error = standard deviation / square root of sample size
standard error = 5 / sqrt(100) = 0.5
Now, we can calculate the z-score using the formula:
z = (sample mean - population mean) / standard error
z = (38 - 40) / 0.5 = -4
Finally, we can find the probability that the average lifetime of 100 such batteries is less than 38 hours by using a z-table or a calculator to find the area under the standard normal distribution curve to the left of the z-score:
P(z < -4) = 0.00003
Therefore, the probability that the average lifetime of 100 batteries is less than 38 hours is very low (0.003%). This suggests that if we were to take a sample of 100 batteries and calculate the average lifetime, it would be very unlikely to deviate from the population mean of 40 hours by more than 2 hours.
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Firms in long-run equilibrium in a perfectly competitive industry will produce at the low points of their average total cost curves because
a. free entry implies that long-run profits will be zero no matter how much each firm produces
b. firms seek maximum profits and to do so they must choose to produce where average costs are minimized
c. firms maximize profits and free entry implies that maximum profits will be zero
d. firms in the industry desire to operate efficiently
Because they want to maximise profits, firms approaching long-run equilibrium in a completely competitive industry will prefer to produce wherever average costs are reduced. (option b)
What do you mean by competitive industry ?As a result, they will accomplish this at the low points of their overall average costs curves. This is so that buyers have many options and are free to switch between different companies if they believe that firm is asking an excessive price.
In a completely competitive market, there are numerous firms providing comparable items. Hence, in order for businesses to be profitable and competitive, they must keep their pricing low keeping their costs to a minimum. Throughout time, businesses will modify their output and investment levels until they hit their lowest point.
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Some companies issue secured debt backed by all of the firm’s steady cash flows like franchise fees. This is called:Group of answer choicesFranchise repurchase agreementsNo one does thisUnsecured debtWhole-business securitization
When companies issue secured debt backed by all of the firm's steady cash flows, such as franchise fees, it is called Whole-business securitization. Option D is correct.
Whole-business securitization is a type of debt financing in which a company uses all of its cash flows, including franchise fees and other steady streams of income, as collateral to secure a loan. This type of securitization allows companies to access funding at a lower cost than traditional unsecured debt, since the lender has a greater level of security in the form of the company's entire revenue stream.
In the event of a default, the lender has the right to take possession of the business's assets and income streams. Whole-business securitization is typically used by companies in industries such as fast food, hospitality, and retail, which generate consistent cash flows over time.
Option D holds true.
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A consumer has quasilinear preferences and his Walrasian demand function for a good is x*(p) = 15 -p/2 This consumer is currently consuming 10 units of the good at a price of $10 (a unit). (1) How much money would he be willing to pay to have this amount rather than no units at all? What is his level of (net) consumer surplus? (2) The only supplier of the good decides to raise the price from $10 to $14. What is the change in consumer's surplus?
(1) The consumer would be willing to pay $175 to have 10 units of the good rather than no units at all and the level of (net) consumer surplus is $75. (2) The consumer's surplus decreases by $13 when the supplier raises the price from $10 to $14.
(1) To calculate how much money the consumer would be willing to pay to have 10 units of the good rather than no units at all, we can use the following formula:
Willingness to pay = ∫[0,x*($10)](15 - p/2) dp
Willingness to pay = [15p - p[tex]^{2/4}[/tex]] from 0 to 20
Willingness to pay = $175
Therefore, the consumer would be willing to pay $175.
To calculate the level of (net) consumer surplus, we can use the following formula:
Consumer surplus = ∫[0,x*($10)](15 - p/2 - $10) dp
Consumer surplus = [$5p - p[tex]^{2/4}[/tex] - $100] from 0 to 20
Consumer surplus = $200 - $100 - $25
Consumer surplus = $75
(2) When the supplier raises the price from $10 to $14, the consumer's Walrasian demand function changes to x*($14) = 9. This means that the consumer will now purchase 9 units of the good at the new price of $14.
To calculate the change in consumer surplus, we need to calculate the areas of the two consumer surplus triangles: one for the original price of $10 and the other for the new price of $14.
For the original price of $10:
Consumer surplus = ($10 - $0) x 10/2
Consumer surplus = $50
For the new price of $14:
Consumer surplus = ($14 - $0) x 9/2
Consumer surplus = $63
Therefore, the change in consumer surplus is:
Change in consumer surplus = New consumer surplus - Old consumer surplus
Change in consumer surplus = $63 - $50
Change in consumer surplus = $13. So the consumer's surplus decreases by $13.
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(1) The consumer would be willing to pay $175 to have 10 units of the good rather than no units at all and the level of (net) consumer surplus is $75. (2) The consumer's surplus decreases by $13 when the supplier raises the price from $10 to $14.
(1) To calculate how much money the consumer would be willing to pay to have 10 units of the good rather than no units at all, we can use the following formula:
Willingness to pay = ∫[0,x*($10)](15 - p/2) dp
Willingness to pay = [15p - p[tex]^{2/4}[/tex]] from 0 to 20
Willingness to pay = $175
Therefore, the consumer would be willing to pay $175.
To calculate the level of (net) consumer surplus, we can use the following formula:
Consumer surplus = ∫[0,x*($10)](15 - p/2 - $10) dp
Consumer surplus = [$5p - p[tex]^{2/4}[/tex] - $100] from 0 to 20
Consumer surplus = $200 - $100 - $25
Consumer surplus = $75
(2) When the supplier raises the price from $10 to $14, the consumer's Walrasian demand function changes to x*($14) = 9. This means that the consumer will now purchase 9 units of the good at the new price of $14.
To calculate the change in consumer surplus, we need to calculate the areas of the two consumer surplus triangles: one for the original price of $10 and the other for the new price of $14.
For the original price of $10:
Consumer surplus = ($10 - $0) x 10/2
Consumer surplus = $50
For the new price of $14:
Consumer surplus = ($14 - $0) x 9/2
Consumer surplus = $63
Therefore, the change in consumer surplus is:
Change in consumer surplus = New consumer surplus - Old consumer surplus
Change in consumer surplus = $63 - $50
Change in consumer surplus = $13. So the consumer's surplus decreases by $13.
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A seasonal worker saves more when her income rises and saves less when her income falls. This behavior is referred to as a. consumption smoothing b. time preference c. dissaving d. impatience
When her income increases, a seasonal worker saves more; when it decreases, she saves less. Consumption smoothing is the term used to describe this behaviour.
Who are seasonal worker?Employees that are hired for a limited time, typically during busy seasons like the summer or the holidays, are referred to as seasonal workers. They might work there for a few hours, a day, a week, a month, or even the entire season. Typically, businesses engage seasonal workers to deal with extra workloads or to cover for permanent staff who are on leave or on vacation.
They typically perform the same duties as normal employees, although they typically earn less money and have fewer benefits. Many seasonal workers are retirees or students looking for extra money or looking to advance in their careers. Seasonal employment is another excellent approach for people to acquire useful skills.
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the key outputs of the shortterm financial planning process are the
The key outputs of the short-term financial planning process are the creation of a budget, cash flow projections, and analysis of financial ratios.
These outputs are essential in managing day-to-day operations and ensuring that the organization is meeting its financial objectives. By having a clear understanding of the current financial situation, organizations can make informed decisions and take necessary actions to improve their financial performance. Additionally, short-term financial planning enables organizations to anticipate and address potential cash flow issues, allowing them to avoid financial difficulties in the future.
The key outputs of the short-term financial planning process are the cash flow forecast, working capital management, and the short-term budget. These outputs help businesses maintain liquidity, optimize resource allocation, and meet their financial obligations in a timely manner.
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The Big Box Corporation produced and sold 500 units of output. The average cost of production per unit was $50. Each unit sold for a price of $65. The Big Box Corporation's total profit is what? How did you get your answer?
a. $7,500
b. $25,000
c. $32,500
d. $67,500
the Big Box Corporation's total profit is $7,500. The correct answer is (a) $7,500.
To calculate the total profit, we need to subtract the total cost of production from the total revenue earned from selling the 500 units.
Total revenue = Price per unit x Number of units sold = $65 x 500 = $32,500
Total cost of production = Average cost per unit x Number of units produced = $50 x 500 = $25,000
Total profit = Total revenue - Total cost of production = $32,500 - $25,000 = $7,500
Therefore, the Big Box Corporation's total profit is $32,500, and the correct answer is c.
Hi, I'd be happy to help with your question. The Big Box Corporation's total profit can be calculated using the given terms.
To find the total profit, you need to calculate the total revenue and total cost, and then subtract the total cost from the total revenue.
1. Calculate total revenue: 500 units × $65 per unit = $32,500
2. Calculate total cost: 500 units × $50 per unit = $25,000
3. Calculate total profit: Total revenue - Total cost = $32,500 - $25,000 = $7,500
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In its 2019 annual report, Marin, Inc. reported inventory of $642 million on January 31, 2020, and $558 million on January 31, 2019, cost of goods sold of $5,914 million for the year, and net sales of $7,328 million for the year.
ComputeMarins’s inventory turnover for the fiscal year 2019. (Round answer to 2 decimal places, e.g. 7.62.)
Inventory turnover
Compute Marin’s average days to sell inventory for the fiscal year 2019. (Round answer to 2 decimal place, e.g. 7.65. Use 365 days for calculation.)
Average days to sell Inv.
To calculate Marin's inventory turnover for the fiscal year 2019, use the formula:
Inventory Turnover = Cost of Goods Sold / Average Inventory
First, calculate the average inventory:
Average Inventory = (Beginning Inventory + Ending Inventory) / 2
Average Inventory = ($558 million + $642 million) / 2
Average Inventory = $600 million
Now, calculate the inventory turnover:
Inventory Turnover = $5,914 million / $600 million
Inventory Turnover = 9.86 (rounded to 2 decimal places)
To calculate Marin's average days to sell inventory for the fiscal year 2019, use the formula:
Average Days to Sell Inventory = 365 / Inventory Turnover
Average Days to Sell Inventory = 365 / 9.86
Average Days to Sell Inventory = 37.02 (rounded to 2 decimal places)
So, Marin's inventory turnover for the fiscal year 2019 is 9.86, and its average days to sell inventory is 37.02 days.
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To calculate Marin's inventory turnover for the fiscal year 2019, use the formula:
Inventory Turnover = Cost of Goods Sold / Average Inventory
First, calculate the average inventory:
Average Inventory = (Beginning Inventory + Ending Inventory) / 2
Average Inventory = ($558 million + $642 million) / 2
Average Inventory = $600 million
Now, calculate the inventory turnover:
Inventory Turnover = $5,914 million / $600 million
Inventory Turnover = 9.86 (rounded to 2 decimal places)
To calculate Marin's average days to sell inventory for the fiscal year 2019, use the formula:
Average Days to Sell Inventory = 365 / Inventory Turnover
Average Days to Sell Inventory = 365 / 9.86
Average Days to Sell Inventory = 37.02 (rounded to 2 decimal places)
So, Marin's inventory turnover for the fiscal year 2019 is 9.86, and its average days to sell inventory is 37.02 days.
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Are the following statements true or false? Give brief but precise explanations for your answers.
Diversification means that the equally weighted portfolio is always optimal.
False.Diversification means that the equally weighted portfolio is always optimal.
Diversification can help to reduce risk by spreading investments across multiple assets or asset classes, but it does not necessarily mean that the equally weighted portfolio is always optimal. The optimal portfolio depends on individual investor preferences, risk tolerance, and market conditions. Additionally, different diversification strategies can be employed, such as market-cap weighting or sector-specific weighting, which can result in different optimal portfolios. Therefore, it is important to consider multiple factors when determining the optimal portfolio, including diversification, to achieve a desired level of risk and return.
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Required information 3 Part 3 of 3 MSI's information related to the ToddleTown Tours collection follows: Segmented Income Statement for MSI'S ToddleTown Tours Product Lines Post Pet Store Grocery office Parade Getaway Tolka Total Sales revenue $135,000 $130,000 $36,000 $301,000 Variable costs 57,000 53,000 32,000 142,000 Contribution margin $70,000 $ 77,000 $4,000 $159,000 Less Direct Fixed costs 8,200 8,200 3,400 19,800 Segment margin $ 68,800 600 $139,200 Lesst Common fixed costs 6,750 6,500 15,050 Het operating income (los) $6,050 62,300 TL,200) 0120,150 "Allocated based on total sales revenue, MSI has determined that elimination of the Post Office Polka (POP) program would not impact sales of the other two items. The remaining fixed overhead currently allocated to the POP product would be redistributed to the remaining two products Required: 1. Calculate the incremental effect on profit If the POP product is eliminated. 2. Should MSI drop the POP product? 3-a. Calculate the incremental effect on profit if the POP product is eliminated. Suppose that $1,200 of the common fixed costs could be avoided if the POP product line were eliminated. 3-b. Should MSI drop the POP product?
The incremental effect on profit If the POP product is eliminated is calculated as -$ 600.
The contribution margin is determined by dividing variable costs by revenue. The formula for determining the contribution margin ratio is Revenue / (Revenue - Variable Costs).
1. By comparing the avoidable fixed cost of eliminating the POP product to the lost contribution margin, this incremental effect on profit can be calculated.
incremental effect on profit = Avoidable fixed cost - sales
Contribution margin = variable cost Sales - variable cost
Lost contribution margin = $4000 (given)
Avoidable fixed cost = direct fixed cost that can be traced to segment = $3400
Lost contribution margin -$4000
Less: Avoidable fixed cost $3400
incremental effect on profit -$600
2. No, because MSI would lose $600 in overall profit if it discontinued the POP product.
3. Determine the incremental profit impact of eliminating the POP product. If the POP product line were discontinued, the common fixed costs of $1,200 would be avoided. Impact on Earnings
Avoidable fixed cost = direct fixed cost that can be traced to segment of $3400 plus $1,200 of the common fixed costs that could be avoided = $4600 (given)
Lost contribution margin -$4000
Less: Avoidable fixed cost $4600
incremental effect on profit $600
3.(b) Yes, because MSI's overall profit would rise by $600 if it discontinued the POP product.
After subtracting variable costs like transportation costs and raw materials, a company's contribution margin shows how much revenue is left over. The product must generate more revenue than the company's fixed costs, such as salaries and insurance, in order to be profitable.
Because your contribution margin is what enables you to cover your fixed costs and generate a profit, understanding this concept is crucial. You will also be able to better decide where and how to sell your products if you know your contribution margins.
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which of the following factors is likely to have a negative impact on the success of a tqm program? check all that apply. tqm is used to improve the problem-solving skills of all employees. tqm motivates employees and enriches jobs. managers expect to see dramatic innovations as a result of tqm. middle managers fear that they will lose their authority.
The factor that is likely to have a negative impact on the success of a TQM program is middle managers fearing that they will lose their authority.
When middle managers fear that they will lose their authority, they may resist or even sabotage the TQM program. This can result in a lack of commitment from the middle management level, which can ultimately impede the success of the TQM program. While TQM is used to improve problem-solving skills, motivate employees, and enrich jobs, if middle managers are not fully on board with the program, it can hinder the implementation and overall success. Additionally, if managers expect to see dramatic innovations as a result of TQM, it may create unrealistic expectations that could also negatively impact the program's success.
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According to Brandon's recommendation, assuming that the market is in equilibrium, how much will the portfolio's required return change? 1.31 percentage points 1.02 percentage points 1.51 percentage points 1.62 percentage points
According to Brandon's recommendation, assuming that the market is in equilibrium, the portfolio's required return will change by 1.31 percentage points.
This means that the return that the portfolio needs to earn in order to meet the investor's financial goals will increase by 1.31 percentage points. This change in required return can occur due to various reasons such as changes in market conditions, the performance of the portfolio, or changes in the investor's financial goals.
The concept of market equilibrium refers to a situation where the supply of securities is equal to the demand for securities. In such a scenario, the market price of securities is determined by the interaction of buyers and sellers. When the market is in equilibrium, there is no shortage or surplus of securities, and the price is considered fair.
Brandon's recommendation, in this case, would have taken into consideration the current market conditions and the investor's financial goals. Based on his analysis, he would have recommended a specific required return for the portfolio.
If the market remains in equilibrium, the change in the portfolio's required return can be attributed to changes in the investor's financial goals.
In conclusion, the portfolio's required return will change by 1.31 percentage points according to Brandon's recommendation, assuming that the market remains in equilibrium. This change in required return will affect the portfolio's performance and the investor's ability to meet their financial goals.
Therefore, it is important to regularly review the portfolio's performance and adjust the required return as necessary.
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If lenders think that a particular borrower might default, they will demand: 18) _____ A) a lower interest rate to decrease the amount of risk incurred. B) a higher interest rate to make it worth taking that risk. C) a higher interest rate to decrease the amount of risk incurred. D) a lower interest rate to make it worth taking that risk.
If lenders think that a particular borrower might default, they will demand: B) a higher interest rate to make it worth taking that risk.
B) a higher interest rate to make it worth taking that risk. When lenders perceive that a particular borrower is at a higher risk of defaulting on their loan, they will typically demand a higher interest rate to compensate for that increased risk. This higher interest rate serves to mitigate the risk incurred by the lender and make the loan more attractive despite the potential for default. Conversely, if a borrower is seen as lower risk, the lender may offer a lower interest rate as a way of competing for that borrower's business.
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The federal government, through its control over the American Medical Association, held the physician supply constant for most of the 20th century. True or false?
True. The federal government did indeed hold the physician supply constant for most of the 20th century by controlling the American Medical Association (AMA). So the answer is: True.
The AMA was the primary organization responsible for accrediting medical schools and setting standards for medical education in the United States. This gave the federal government considerable control over the number of physicians entering the workforce.
From the early 1900s until the mid-1960s, the AMA enforced strict limits on the number of medical students admitted to U.S. medical schools. These limits were put in place to maintain high standards of medical education and to prevent a glut of doctors in the market. This was known as the "physician shortage" policy, and it kept physician supply artificially low.
However, in the mid-1960s, the federal government began to relax its control over the AMA, and the physician shortage policy was abandoned. This led to a dramatic increase in the number of doctors in the U.S. workforce, which helped to improve access to healthcare for many Americans. Therefore, the answer is true.
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True. The federal government did indeed hold the physician supply constant for most of the 20th century by controlling the American Medical Association (AMA). So the answer is: True.
The AMA was the primary organization responsible for accrediting medical schools and setting standards for medical education in the United States. This gave the federal government considerable control over the number of physicians entering the workforce.
From the early 1900s until the mid-1960s, the AMA enforced strict limits on the number of medical students admitted to U.S. medical schools. These limits were put in place to maintain high standards of medical education and to prevent a glut of doctors in the market. This was known as the "physician shortage" policy, and it kept physician supply artificially low.
However, in the mid-1960s, the federal government began to relax its control over the AMA, and the physician shortage policy was abandoned. This led to a dramatic increase in the number of doctors in the U.S. workforce, which helped to improve access to healthcare for many Americans. Therefore, the answer is true.
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The PAR: Special Promotions is used for all "off cycle" promotions. (True or False)
The statement given in the question "The PAR: Special Promotions is used for all 'off cycle' promotions" is True.
PAR, or Performance Appraisal Review, is a system that evaluates employee performance. Typically, promotions occur during specific times or "cycles" within an organization. However, sometimes employees demonstrate exceptional performance or take on additional responsibilities that warrant a promotion outside of the standard cycle.
In such cases, organizations use the PAR: Special Promotions to recognize and reward these deserving employees. This process allows companies to maintain fairness and consistency when addressing performance-based advancements, ensuring that exceptional contributions are acknowledged and rewarded regardless of when they occur.
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Which of the following is not one of the 3 major ways to save for retirement
that were discussed in class?
O a. Saving and investing throughout your life
O b. Getting paid via benefits from social security
O d. Liquidating the majority of your assets into cash
O c. Leveraging benefits from your previous job
The option that is not one of the 3 major ways to save for retirement discussed in class is option
(d) liquidating the majority of your assets into cash.
What is a better way to save for retirementThis is not a sustainable strategy for retirement savings as it involves selling off assets that could potentially generate income and growth over time.
The three major ways to save for retirement are:
a. Saving and investing throughout your lifeb. Getting paid via benefits from social securityc. Leveraging benefits from your previous job (such as a pension plan or 401(k))Learn more about retirement savings at
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In the procure-to-pay process, the negotiation of price and terms is followed by ________.
In the procure-to-pay process, the negotiation of price and terms is followed by the creation of a purchase order.
A purchase order is a formal document sent by the buyer to the supplier that confirms the items to be purchased, the quantity, the agreed-upon price, and the delivery date. The PO serves as a legally binding contract between the buyer and the supplier, outlining the terms and conditions of the purchase.
Once the supplier receives the PO, they will typically acknowledge receipt and confirm the order details. This confirmation can be done either by sending a formal acknowledgment or simply by beginning work on the order.
After the goods or services are received, the supplier will send an invoice to the buyer, requesting payment for the goods or services rendered. The invoice should match the details outlined in the PO, and any discrepancies should be addressed and resolved before payment is made.
Once the invoice is verified, approved, and processed, payment can be made to the supplier, and the transaction is complete. Receiving and inspection of goods or services, and ultimately, payment to the supplier.
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for cullumber company, actual sales are $840,000, and break-even sales are $655,200.a. compute the margin of safety in dollars.b. compute the margin of safety in ratio
Answer:
a. Margin of Safety in Dollars:
Margin of Safety is the difference between actual sales and break-even sales. It represents the amount by which actual sales can decline before the company starts incurring losses.
Margin of Safety = Actual Sales - Break-even Sales
Margin of Safety = $840,000 - $655,200
b. Margin of Safety in Ratio:
Margin of Safety Ratio is the ratio of Margin of Safety to Actual Sales. It represents the proportion of actual sales that exceeds the break-even sales.
Margin of Safety Ratio = (Actual Sales - Break-even Sales) / Actual Sales
Margin of Safety Ratio = ($840,000 - $655,200) / $840,000
After calculating the above expressions, we will get the margin of safety in dollars and the margin of safety in ratio for Cullumber Company.
Explanation:
For the financial statements enclosed, list three potential red flags that an auditor should inquire further about. Do not simply list three accounts; provide a one-sentence explanation of why you suspect error or earnings management.
The list of three accounts are Financial statements , Potential, Accounts.
Based on your request, here's an answer that includes the requested terms:
1. Financial statements: A potential red flag could be a sudden and unexplained increase in revenue, which may indicate possible earnings management or manipulation to boost the company's financial performance.
2. Potential: A large discrepancy between the cash flow from operations and net income could be a potential concern, as this may suggest that the company's earnings are not generated from its core operations and may warrant further investigation by the auditor.
3. Accounts: If there are significant changes in accounts receivable without a corresponding increase in sales, this could signal issues with the company's credit control and collection processes, or even potential revenue recognition fraud.
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Waterway Inc. uses LIFO inventory costing. At January 1, 2020, inventory was $216,014at both cost and market value. At December 31, 2020, the inventory was $283,252at cost and $262,660at market value. Use an allowance account. Prepare the necessary December 31 entry under (a) the cost-of-goods-sold method (b) Loss method.
Let's prepare the necessary journal entries for Waterway Inc. using LIFO inventory costing under the cost-of-goods-sold method (a) and the loss method (b).
(a) Cost-of-Goods-Sold Method
Step 1: Calculate the inventory decrease at market value.
Inventory decrease = Beginning market value - Ending market value
Inventory decrease = $216,014 - $262,660 = -$46,646
Since the inventory value has increased instead of decreased, there is no need to create an allowance or record a journal entry under the cost-of-goods-sold method.
(b) Loss Method
Step 1: Calculate the inventory decrease at cost.
Inventory decrease = Beginning cost - Ending cost
Inventory decrease = $216,014 - $283,252 = -$67,238
Step 2: Calculate the required allowance.
Required allowance = Inventory decrease at cost - Inventory decrease at market value
Required allowance = -$67,238 - (-$46,646) = -$20,592
Step 3: Record the journal entry.
Since the required allowance is a negative value, it indicates a loss. Therefore, the journal entry would be:
Loss on Inventory Decline (Debit) = $20,592
Allowance to Reduce Inventory to Market (Credit) = $20,592
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What best describes the conversation stage of the marketing funnel
Answer:
Conversion
This stage is when a user finally makes the choice to buy. Your goal is to get as many people as possible from the first two stages of your marketing funnel to this purchase point. It is the final push to get your prospective customer to convert and drop the 'prospective' from their title.
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one way to measure hrm effectiveness is to use hr analytics to measure a program's success in terms of whether it achieved its objectives and whether it delivered value in an economic sense, true or false?
True, one way to measure HRM effectiveness is to use HR analytics to measure a program's success in terms of whether it achieved its objectives and whether it delivered value in an economic sense.
HR analytics is a data-driven approach to managing human resources, which involves analyzing large amounts of data to uncover trends, patterns, and insights that can be used to inform decision-making. This can help organizations improve various aspects of HRM, such as recruitment, training, and performance management.
Measuring a program's success involves evaluating whether it achieved its stated objectives, such as reducing employee turnover or increasing productivity. This can be done by comparing the outcomes of the program to the desired outcomes and identifying any gaps.
In addition, assessing the value delivered by a program in an economic sense involves calculating the return on investment (ROI) of the program. This is done by comparing the costs of implementing the program to the financial benefits it generates, such as increased revenue or cost savings.
By using HR analytics to measure both the achievement of objectives and the economic value delivered, organizations can effectively evaluate the success of their HRM programs and identify areas for improvement. This ultimately leads to better decision-making and a more efficient allocation of resources, contributing to the overall success of the organization.
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You expect GameStop stock price to drop drastically. You do not own the stock. You should:Group of answer choicesEnter a sell orderEnter a sell limit o Enter a sell limit order at a price below the current market bidrder at a price below the current market bidEnter a buy limit order at a price above the current market bidNone of the above
This allows you to potentially profit from the anticipated price decrease by selling borrowed shares and buying them back later at a lower price.
If you expect GameStop's stock price to drop drastically and you do not own the stock, you should consider entering a sell limit order at a price below the current market bid. This allows you to potentially profit from the anticipated price decrease by selling borrowed shares and buying them back later at a lower price.
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describe a pricing decision a company can make. if the decision is not optima, how would they adjust the price?
Pricing decisions are crucial for any company as they directly impact their revenue and profitability. One pricing decision a company can make is to increase or decrease the price of their product or service. However, if the pricing decision is not optimal and does not yield the desired results, the company may have to adjust the price accordingly.
If the pricing decision results in low sales or reduced profit margins, the company may consider lowering the price to make the product more attractive to customers. Alternatively, if the pricing decision results in high demand but also leads to stock shortages, the company may consider raising the price to optimize profits and manage inventory levels.
In either case, the company would have to conduct market research and analyze customer behavior to determine the optimal price point. The company would also need to consider its competition and the price points they offer.
Overall, a pricing decision requires careful consideration and analysis to ensure it aligns with the company's goals and objectives. If the initial pricing decision is not optimal, adjusting the price based on market conditions and customer behavior can help the company achieve the desired results.
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A statement that reports the financial position (assets, liabilities, and stockholders' equity) of an accounting entity at a point in time is called a(an): (Points : 5)
Income statement
Statement of retained earnings
Balance sheet
Statement of cash flows
Report of management
The statement that reports the financial position of an accounting entity at a point in time is called a balance sheet. A balance sheet presents the assets, liabilities, and stockholders' equity of a company, providing a snapshot of its financial position at a specific date. It is an important financial statement that helps investors, creditors, and other stakeholders to evaluate the company's financial health and performance.
Total Assets include land, buildings, inventory, cash, account receivables, etc and Total Liabilities consists of accounts payable, notes payable, allowance for depreciation, etc. The balance sheet is also known as a positional statement as shows the financial position of the company. For preparing the balance sheet, an accountant has to prepare a trading account and profit and loss account for a particular period. Therefore the answer is balance sheet.
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The statement that reports the financial position of an accounting entity at a point in time is called a balance sheet. A balance sheet presents the assets, liabilities, and stockholders' equity of a company, providing a snapshot of its financial position at a specific date. It is an important financial statement that helps investors, creditors, and other stakeholders to evaluate the company's financial health and performance.
Total Assets include land, buildings, inventory, cash, account receivables, etc and Total Liabilities consists of accounts payable, notes payable, allowance for depreciation, etc. The balance sheet is also known as a positional statement as shows the financial position of the company. For preparing the balance sheet, an accountant has to prepare a trading account and profit and loss account for a particular period. Therefore the answer is balance sheet.
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