Answer:
The correct Answer Is C,
Explanation:
I got It Right :)
A- The net earnings of the individual in question will be $710000 after the individual's claim for loss by fire is settled by the insurance company. B- Yes, he would buy the insurance if he were risk neutral.
C- Yes, the individual will buy the insurance policy if he were a expected utility maximizer as he would want to claim complete settlement of this amount to be claimed in case of fire loss.
The expected net earnings from the insurance after deducting the amount from the premium paid and total claim endorsed by the insurance company will be $710000 which can be shown as below
[tex]\rm Net\ earnings= claim\ received - premium\ of\ policy[/tex]
[tex]\rm Net\ earnings= 750000-40000[/tex]
We get,
[tex]\rm Net\ earnings= 710000[/tex]
If the individual were risk neutral he would like to take the insurance as the risk of fire in the example given above is 0.5 which is greater than zero and this ultimately implies that risk cannot be taken.In the case if the individual is expected utility maximizer he would take the insurance as it would not only give him the claims from losses due to fire but also help him secure his house against beta of fire.
Hence, the correct answers will be A- $710000; B- Yes.; C- Yes. and imply that taking insurance will be a wise decision by the individual.
To know more about insurance policy , click the link below.
https://brainly.com/question/24984403
What is the balance between supply and demand called ?
Answer:
I think it is Market equilibrium
The balance between supply and demand is known as the market equilibrium.
The supply and demand are determined through the price mechanism in a free market. Such as if the goods or services are bought more frequently then their prices will go up and vice versa.
This means that the price mechanism helps to determine what goods are to be produced. In the case where the demand for good increase will result in price go up and will ultimately result in producers supplying more of those goods.
This system of price helps to scale the point where competing demands may be weighed by the consumer or producer requirements.
However, the movement towards the price equilibrium and the resulting balance between the supply and demand is known as the market equilibrium.
Learn more on supply and demand here: https://brainly.com/question/4804206
Prezario's has 25,000 shares of stock outstanding with a par value of $1 per share. The current market value of the firm is $847,000. Currently, the retained earnings account balance is $428,000 and the capital in excess of par value account balance is $187,000. The company just announced a 3-for-1 stock split. What is the common stock account balance after the stock split?
Based on the information given the common stock account balance after the stock split is $25,000.
Using this formula
Common stock account balance=Shares of stock outstanding× Par value
Where:
Shares of stock outstanding=25,000
Par value=$1
Let plug in the formula
Common stock account balance=25,000×$1
Common stock account balance=$25,000
Inconclusion the common stock account balance after the stock split is $25,000.
Learn more about common stock here:https://brainly.com/question/9970004
Ann got a 30 year Fully Amortizing FRM for $1,000,000 at an annual interest rate of 7% compounded monthly, with monthly payments. After 5 years of payments, Ann can refinance the balance into a 25 year Fully Amortizing FRM at an annual interest rate of 6% compounded monthly, with monthly payments. Refinancing will cost Ann 1 point and $1, 500 in closing costs.If Ann refinances into this loan and makes payments for 25 years, what will be her annualized IRR from refinancing?
Based on the information given what will be her annualized IRR from refinancing is 64.799%.
First step is to calculate the PMT
PMT=PV× rate/[1-(1+rate)^time
PMT=$1,000,000×0.07/12÷[1-(1+0.07/12)^30×12
PMT=$1,000,000×0.07/12÷[1-(1+0.07/12)^360
PMT=$1,000,000×0.005833333÷[1-(1+0.005833333)^360
PMT=$5,833.333÷[1-(1.005833333)^360
PMT=$6,653.02
Second step is to calculate the present value (PV) after 5 years
PV=PMT×[1-(1+rate)^time/rate
PV=$6,653.02×1-(1+0.07/12)^25×12÷0.07/12
PV=$6,653.02×1-(1+0.07/12)^300÷0.07/12
PV=$6,653.02×1-(1+0.005833333)^300÷0.005833333
PV=$6,653.02×1-(1.005833333)^300÷0.005833333
PV=$941,315.20
Third step is to compute PMT for refinancing when rate is 6%
PMT=PV× rate/[1-(+rate)^time
PMT=$941,315.20×0.06/12÷[1-(1+0.06/12)^360
PMT=$941,315.20×0.005÷[1-(1+0.005)^360
PMT=$4,706.576÷[1-(1.005)^360
PMT=$6,063.72
Third step is to calculate the monthly savings
Monthly savings=$6,653.02-$6,063.72
Monthly savings=$589.30
Fourth step is to calculate the Cost of refinancing
Cost of refinancing=1%×$941,315.20+$1,500
Cost of refinancing=$9,413.152+$1,500
Cost of refinancing=$10,913.152
Fifth step is to calculate the IRR
PMT savings=Cost of refinancing ×IRR÷[1-(1+IRR)^time
$589.30=$10,913.152×IRR÷[1(1+IRR)^300
Monthly IRR=5.3999%
Annualized IRR=5.3999%×12 months
Annualized IRR=64.799%
Inconclusion what will be her annualized IRR from refinancing is 64.799%.
Learn more about annualized IRR here:https://brainly.com/question/24129329
what is the most technical challenge for mr?
Answer:
The most technical challenge for true AR/MR is maintaining accurate spatial registration of real and virtual elements such that the deviation is within the perceptual limits of the human sensory system.
...............................................Market equilibrium is the _____ between businesses and consumers.
Answer:
A.compromise
Explanation:
:) hope its help
Howarth Manufacturing Company purchased equipment on June 30, 2017, at a cost of $800,000. The residual value of the equipment was estimated to be $50,000 at the end of a five year life. The equipment was sold on March 31, 2021, for $170,000. Howarth uses the straight- line depreciation method for all of its plant and equipment. Partial-year depreciation is calculated based on the number of months the asset is in service
Required:
1. Prepare the journal entry to record the sale.
2. Assuming that Howarth had instead used the double-declining balance method, prepare the journal entry to record the sale.
The journal entry that can be used to record the sale will be:
March 31, 2021.
Debit Cash $170000
Debit Accumulated Depreciation $562500
Debit Less on sales $67500
Credit Equipment $800000
When Howarth used the double-declining balance method, the journal entry to record the sale will be:
Debit Cash $170000
Debit Accumulated Depreciation $675584
Credit Gain on sales $45584
Credit Equipment $800000
Learn more about journals on:
https://brainly.com/question/7019628
Bren Company sold a car for $17,100. The cost of the car was $37,000 and the depreciation expense was recorded at 10% for five and a half years. What was the gain or loss on disposal?
The loss on the disposal of the car is $-16,200.
The first step is to determine the total depreciation on the car.
Depreciation expense = percentage depreciation x cost of the asset
$37,000 x 0.1 = $3700
The second step is to determine the book value of the car = cost of the car - depreciation
$37,000 - $3700 = $33,300.
The book value is greater than the selling price of the car, so there was a loss on the sale. The third step is to determine the gain on the sale.
Loss = $17,100 - $33,300 = $-16,200
A similar question was answered here: https://brainly.com/question/24357323
Help hep help help help
How much interest would be paid on a credit card at the end of the second 30-day month on a one-year $1,000 loan at a 12.99% annual rate? Assume you pay nothing at the end of the first 30-day month.
a. $109.10
b. $10.92
c. $108.10
d. $10.91
e. $10.80
The amount of interest that would be paid on a credit card at the end of the second 30-day month is equal to: E. $10.80.
Given the following data:
Principal = $1,000Interest rate = 12.99%Time = 30 daysConversion:
365 days = 1 year
30 days = X year
Cross-multiplying, we have:
[tex]365X = 30\\\\X=\frac{30}{365}[/tex]
X = 0.08219 year
To determine the amount of interest that would be paid on a credit card at the end of the second 30-day month:
First of all, we would calculate the simple interest for the first 30-day month:
Mathematically, simple interest is given by the formula:
[tex]S.I = \frac{PRT}{100}[/tex]
Where:
S.I is the simple interest.P is the principal amount.R is the interest rate.T is the time measured in years.Substituting the given parameters into the formula, we have;
[tex]S.I = \frac{1000 \times 12.99 \times 0.08219}{100}\\\\S.I = \frac{1067.648}{100}[/tex]
Simple interest = $10.6765
[tex]S.I = 1000 + 10.6765[/tex]
S.I = $1010.6765.
Now, we can determine the amount of interest that would be paid on a credit card at the end of the second 30-day month:
[tex]S.I_2 = \frac{1010.6765 \times 12.99 \times 0.08219}{100}\\\\S.I_2 = \frac{1079.05}{100}[/tex]
Interest = 10.79 ≈ $10.80.
Read more: https://brainly.com/question/16992474
who is an enterprenuaship
Our emotional reactions to marketing cues are so powerful that some high-tech companies study mood in small doses (in 1/30 of a second increments) as they analyze people's facial reac-
tions when they see ads or new products. They
measure happiness as they look for differences
between, for example, a true smile (which includes
a relaxation of the upper eyelid) and a social smile
(which occurs only around the mouth). Whirlpool
used this technique to test consumers' emotional
reactions to a yet-to-be-launched generation of its
Duet washers and dryers. The company's goal: To
design an appliance that will actually make people
happy. Researchers discovered that even though
test subjects said they weren't thrilled with some
out-of-the-box design options, such as unusual
color combinations, their facial expressions said
otherwise.91 Does the ability to study our emotional
reactions at such a specific level give marketers an
unfair advantage?
The question which asks whether the ability to study our emotional reactions at such a specific level give marketers an unfair advantage is:
No, I do not think it does.Based on the given question, we can see that the marketers are trying their best to find out the things which makes the possible customers happy at the sight of a new product.
I believe that this is a part of marketing just like taking a market survey to find out how receptive the consumers are of a particular product. I believe it is fair game as it does not violate any ethical rules or legal laws.
Read more about marketing here:
https://brainly.com/question/25754149
The subsequent price and quantity of Rift pen is 19 and 20 respectively, while its initial price and quantity demanded is 20 and 16 respectively. A.Calculate the Price Elasticity(Ep) of Demand B. Is it Elastic or inelastic?why?
From the information given, the price elasticity of demand is -5% and it can be sent that it's elastic.
The percentage change in the quantity demanded will be:
= (20 - 16) / 16 × 100
= 25%
The percentage change in price will be:
= (19 - 20) / 20 × 100
= -5%
Price elasticity of demand = 25/-5 = -5
Sincere it's greater than 1, it's elastic.
Learn more about demand on:
https://brainly.com/question/1245771
Suppose the cross-price elasticity of travelling by bus and travelling by train is 0.7. If the price of traveling by bus increases by 40%, how much would the quantity of traveling by train change
The quantity of traveling by train would change by 28%.
Cross-price elasticity measures how the quantity demanded of a good is affected by changes in the price of another good.
Cross price elasticity = percentage change in the quantity demanded of good A / percentage change in the price of good B.
0.7 = percentage change in the quantity of traveling by train / 40%
Percentage change in the quantity of traveling by train = 40 x 0.7 = 28%
To learn more about cross price elasticity, please check: https://brainly.com/question/26035503
Help help help help help help
In 2012, XYZ Inc., a medical equipment distributor, sold 10,000 units of its hospital beds at an average price of $500 per unit. The company reported estimated returns and allowances of $200,000. The company purchased 11,000 units of its product from its manufacturer in 2012 at an average cost of $350 per unit. XYZ began 2012 with 1,000 units of its product in inventory (carried at an average cost of $300 per unit). Operating expenses (excluding depreciation) in 2012 were $400,000, and the depreciation expense was $100,000. XYZ had $2,000,000 in debt outstanding throughout all of 2012, which carried an average interest rate of 10%. The company’s tax rate is 40%. Its fiscal year runs from January 1 through December 31. Given this information, prepare the following documents: a. XYZ’s 2012 income statement b. XYZ’s 2012 ending inventory balance (both in unit and in dollar terms)
a. The preparation of XYZ's Income Statement for the year ended December 31, 2012 is as follows:
Net sales revenue $4,800,000
Cost of goods sold 3,450,000
Gross profit $1,350,000
Operating expenses 400,000
Depreciation expense 100,000 500,000
Operating income $850,000
Interest Expense 200,000
Income before taxes $650,000
Taxes (40% x $650,000) 260,000
Net income $390,000
b. The ending inventory balance of XYZ's 2012 is as follows:
Units = (Beginning inventory + Purchases - Sales)
= 2,000 beds (1,000 + 11,000 - 10,000)
Dollars = $700,000 (2,000 x $350).
Data and Calculations:
Units of beds sold = 10,000
Average price per unit = $500
Sales revenue = $5,000,000
Estimated returns and allowances = $200,000
The Net sales revenue is $4,800,000 ($5,000,000 - $200,000).
The Cost of goods sold is $3,450,000 (9,000 x $350 + 1,000 x $300).
The Ending inventory is $700,000 (2,000 units x $350).
Operating expenses = $400,000
Depreciation expense = $100,000
Interest expense = $200,000 ($2,000,000 x 10%)
Tax rate = 40%
Thus, the ending inventory balance of XYZ's 2012 is 2,000 beds, worth $700,000.
Learn more about preparing income statement here: https://brainly.com/question/24470417
Which of the following is appropriate interview attire for women?
a
A bright pink, floral suit
b
A t-shirt with a skirt
c
Multiple large necklaces
d
Dark-colored, closed-toed shoes
Will Give Brainlest!! Quickly Please!!! <3
Answer:
I'm going to say the answer is B ! I could be wrong but this is what i think :)
Explanation:
Answer: The answer is (D) Dark-colored, closed-toed shoes. Although a skirt is a smart choice, a t-shirt is considered informal and you should not choose this answer.
Explanation: I hope this helps good luck! also I got a 100 on the test.
how price reaches equilibrium? give an example
Answer:
Coming back to our example: at the price p = 6 per pencil, the quantity that sellers want to sell is equal to 10, while the quantity demanded is equal to 5 and there is an excess supply of 10 - 5 = 5 units. ... Sellers will continue to lower their price until the market price reaches 4, the equilibrium price.
Explanation:
correct me if I'm wrong thank you
mark me brainliest thanks
#CARRYONLEARNINGPrices reach equilibrium when the quantity demanded is equal to the quantity supplied.
At equilibrium price, the quantity demanded is equal to the quantity supplied.
For example, if the following data for quantity demanded and supplied are provided, the equilibrium price is $5 because it is at this price that quantity demanded and supplied are equal.
Price Quantity demanded Quantity supplied
$1 10 5
$5 8 8
$9 5 10
To learn more about equilibrium price, please check: https://brainly.com/question/1352499
What do you think the curves would look like in the next 100 years?
Answer:The last 100 years have seen a massive fourfold increase in the population, due to medical advances, lower mortality rates, and an increase in agricultural productivity made possible by the Green Revolution.
Help buissness help help help
Answer:
milton fredman
Explanation:
At the end of last year, Cynthia, a 20 percent partner in the five-person CYG partnership, has an outside basis of $28,500, including her $14,000 share of CYG debt. On January 1 of the current year, Cynthia sells her partnership interest to Roger for a cash payment of $21,500 and the assumption of her share of CYG's debt CYG has no hot assets. What is the amount and character of Cynthia's recognized gain or loss on the sale?
A. $7,000 capital loss.
B. $2,000 ordinary loss.
C. $7,000 capital gain.
D. $7,500 ordinary income.
C. $7,000 capital gain
First, we need to find Net value of Cynthia's share
Net value of Cynthia's share = Value of share - Liabilities
Net value of Cynthia's share = $28,500 - $14,000
Net value of Cynthia's share = $14,500
The next step is to compute Cynthia's net value of her shares sold to Roger.
Then,
Cynthia's gain = Selling value - Net value of share
Cynthia's gain = $21,500 - $14,500
Cynthia's gain = $7,000
Therefore, the amount and character of Cynthia's recognized gain or loss on the sale is $7,000 capital gain.
Learn more about capital gain in this link : https://brainly.com/question/5135555
Help help help help help help straightforward answer
Answer is:
C. interest
Stuart McGregor’s goal was to be a chef, and he received a highly prestigious apprenticeship just before turning 17. Soon after starting his apprenticeship, he
Experienced verbal abuse at work, and colleagues began making innuendos about his sexuality. He was once given a large bag of peas by the kitchen managers and asked to count them.
McGregor was told by his colleagues that he was going to receive an award. Excitedly, he called his family and could not wait to receive the award later in the day. Unknown to him, however, his peers had broken into his car and stolen the knob of his gear stick. They then wrapped it up and gave it to him as his “award” in front of the entire staff.
McGregor was regularly asked to perform tasks he did not know how to do and then was ridiculed when he did them incorrectly. Shortly before the conclusion of the apprenticeship period, he was invited to go on a camping trip with his workmates. Sadly, the kitchen managers threatened him with bodily harm if he went. McGregor was afraid for his safety and made excuses to avoid the trip.
Another employee ultimately complained about being bullied, and investigators questioned McGregor about his experience. He denied being bullied, probably out of fear for his safety, fear of losing his job, or because he thought he could handle the situation.
Consider how you might have resolved the situation faced by Stuart McGregor. Applying the 3-Step Problem-Solving Approach
1. Define the problem in this case.
2. Identify what OB concepts or theories help explain McGregor’s situation and reaction.
3. Recommend what you would do if you were McGregor and also if you were the manager of the
restaurant.
Prepare a 15-minute PowerPoint presentation on your approach indicating the problem, the theories you will use to explain the problem and the recommendations you will suggest.
1. The problem in this case is the bullying that McGregor suffers in the workplace and his difficulty in seeking help to solve the problem for fear of losing his job or because he thought he would know how to deal with the situation.
2. The concepts or theories of Organizational Behavior (OB) help to explain McGregor's situation and reaction towards identifying the motivation of an individual's actions in the workplace.
McGregor's behavior was influenced by the bullying he suffered, and the behavior of his co-workers may have been influenced by the fact that McGregor is only 17 years old and has already achieved a prestigious apprenticeship to help him achieve his goal of becoming a chef.
3. Looking at the case, what McGregor should have done was to immediately report to his manager the abuses he was experiencing in the workplace.
And the manager should seek to identify the problem based on the analysis of the integration of employees, coordinating the team and motivating ethical behavior in the company.
Therefore, from the 3-step problem solving approach is to identify the problem, create strategies for change and implement the solution.
Learn more about Organizational Behavior here:
https://brainly.com/question/6274014
When a company enters the market with a high price for their new innovation, which pricing strategy have they used
Answer:
iprob info
Explanation:
Each of the following is a reason to export data except ___
To gave the same data in a database
To use data from your database
To create a pie graph
To send some data from a database to a client.
Explanation:
D
most data exports are for backing up purposes, creating presentation and ability to access old files
In which 3 cases would you use the "Add funds to this deposit" grid in a Bank deposit in qbo
Based on accounting operation analysis, the 3 cases where one can use the "Add funds to this deposit" grid in a Bank deposit in QBO include "When a company doesn't need to record sales details."
The other cases where one can use the "Add funds to this deposit" grid in a Bank deposit in QBO include the following:
When an employee reimburses the companyWhen you receive a tax refund from the IRSWhat is QBO?QBO is the acronym for QuickBooks Online Accounting Software. Business firms use it to monitor expenses, coordinate cash flow & establish invoices.
Hence, in this case, it is concluded that QuickBooks Online is a vital tool to possess by any business firm.
Learn more about QuickBooks Online here: https://brainly.com/question/25795288
suppose you want to change your school and join another one which is very expensive.make a list of the possible risks while joining another school.
Answer:
getting bullied being lonely no friends not fitting in
Explanation:
Help help buddies pelsss I’ll give points I need straightforward answer ASAP
Answer:
1
Explanation:
1 divided by 1 is 1
100% in number form is 1
The answer is::::
C. 1
What of the following would not be relevant in a make-or-buy decision? What of the following would not be relevant in a make-or-buy decision?
Select one:
a. Avoidable fixed cost
b. Incremental fixed costs
c. Unavoidable variable costs
d. Opportunity costs
Tje correct answer is c. Unavoidable variable costs. Options that would not be relevant in a make-or-buy decision are unavoidable variable costs.
What are unavoidable variable costs?Corresponds to a type of expense that cannot be avoided, that is, it is an expense associated with other costs, such as interest rates, depreciation and taxes, being costs that do not depend only on the purchase decision, but costs arising from a commitment to use such expense.
In the make-or-buy decision process, it is necessary for organizations to carry out a structured and organized budget, to better allocate their resources between goals, income and expenses, in order to have greater control of their costs and a more strategic decision-making.
Therefore, the purchase decision process must be based on strategic planning to meet objectives and goals aligned with your needs and best opportunities.
Find out more about Unavoidable variable costs here:
https://brainly.com/question/14597388
#SPJ1
Sapphire Aerospace operates 52 weeks per year, and its cost of goods sold last year was $6,500,000. The firm carries eight items in inventory: four raw materials, two work-in-process items, and two finished goods. Table 12.3 shows last year’s average inventory levels for these items, along with their unit values. a. What is the average aggregate inventory value? b. How many weeks of supply does the firm have? c. What was the inventory turnover last year?
a. The average aggregate inventory value is $336,000.
b. The number of weeks of supply that the firm has is 3 weeks, approximately (2.69 ($336,000/$6,500,000 x 52).
c. The inventory turnover of Sapphire Aerospace for last year was 19.3x.
Question Completion:
Category Part Number Average Value Total Category
Inventory Units per Unit Value Totals
Raw Materials RM-1 20,000 $1 $20,000
Materials RM-2 5,000 5 25,000
RM-3 3,000 6 18,000
RM-4 1,000 8 8,000 $71,000
Work-in-process WIP-1 6,000 10 60,000
WIP-2 8,000 12 96,000 $156,000
Finished goods FG-1 1,000 65 65,000
FG-2 500 88 44,000 $109,000
Total value of inventory $336,000 $336,000
Inventory turnover = Cost of goods sold/Average inventory
= 19.3x ($6,500,000/$336,000)
Thus, the average inventory value is $336,000, while the inventory turnover was 19.3x.
Learn more about inventory turnover here: https://brainly.com/question/5701250
15) Hallowell Inc. has free cash flow of $2.5 million and 1.25 million shares outstanding. If you believe the price to cash flow ratio for this company should be 11, what is the highest price you should pay for the stock?
Answer:
The highest price for the stock is $22.00
Explanation:
Hallowell Inc has a free cash flow of $2.5 million and 1.25 million shares.
The cash flow ratio for the company is 11.
Solution:
For one stock the cash flow ratio is 11.
Then the highest price we should pay is $22.00.
So we should pay $22.00 for one stock.
Therefore the highest price we should pay for the stock is $22.00