A proposed initiative to diversify current holdings would factor into the discussion about total risk for the organization by lowering the overall risk, reducing the risk of losing all invested capital if one investment fails, increasing the chances of generating high returns, and reducing the risk of relying on one investment source.
As a finance leader, the concept of risk and return should be kept in mind before making any decision that would affect the growth of the business. The risk and return concept is crucial in making financial decisions that would benefit the company.
In simpler terms, risk is the possibility of losing or gaining something from an investment. Return, on the other hand, is what an investor expects to earn from an investment.
I would use the concept of risk and return to analyze the expected profits and the possibility of losing the invested capital. I would consider the following factors before making any decision:
Return on Investment (ROI)– ROI is a metric that shows how much profit an investment generates compared to its cost. The higher the ROI, the better the investment will be.
Volatility– This is the amount of risk associated with the investment. It measures how much the returns fluctuate from the average expected return.
Historical Performance– I would evaluate the investment history and the possibility of it repeating in the future.
Liquidity– I would analyze how easy it would be to sell the investment.
The trade-off between risk and return is an essential concept that should be understood by shareholders. When an investor invests their capital in a low-risk investment, the return on that investment will be lower compared to a high-risk investment.
On the other hand, a high-risk investment has the potential of generating high returns, but there is also the possibility of losing all the invested capital. Shareholders need to understand this trade-off and be willing to take calculated risks to generate high returns.
Diversification of investments is an initiative that aims to minimize the total risk of the organization. When an organization has a diversified investment portfolio, it reduces the risk of losing all the invested capital if one investment goes down.
A proposed initiative to diversify current holdings would factor into the discussion about total risk for the organization in the following ways:
1. Lower the overall risk of the organization.
2. Reduces the risk of losing all invested capital if one investment fails.
3. Increases the chances of generating high returns.
4. Reduces the risk of relying on one investment source.
In conclusion, the concept of risk and return is essential in making financial decisions that benefit the organization.
As a finance leader, I would use this concept to evaluate investments, ROI, volatility, historical performance, and liquidity. Shareholders need to understand the trade-off between risk and return and be willing to take calculated risks to generate high returns.
learn more about investment from given link
https://brainly.com/question/29547577
#SPJ11
Let z, be the observed stock price at time t. Which of the following model(s) is the unit root model? Oa. Z Zt = 1 + 1.12t-1+ et.. Ob. Azt = 1 + 1Zt-1 + et. OcZ = 1 + 0.1zt-1 + et. C. Od. Azt = 1 + 0.1zt-1 + et. O e. Zt = 1 + Zt-1 + et.
According to the information provided, the model that is a unit root model is Zt = 1 + Zt-1 + et.
The unit root model is given as Zt = Zt-1 + et. The other models are not unit root models. The expression Zt = Zt-1 + et is referred to as a random walk with drift.
The drift implies that there is a long-term growth or decline in the stock price, while the random walk implies that the short-term price changes are unpredictable.
Let us examine each of the models and determine if it is a unit root model:Oa. Z Zt = 1 + 1.12t-1+ et. This is not a unit root model since there is a time trend in the expression.b. Azt = 1 + 1Zt-1 + et.
This is not a unit root model since the coefficient on Zt-1 is not unity.c. Z = 1 + 0.1zt-1 + et. This is not a unit root model since the coefficient on Zt-1 is not unity.d. Azt = 1 + 0.1zt-1 + et.
This is not a unit root model since the coefficient on Zt-1 is not unity.e. Zt = 1 + Zt-1 + et. This is a unit root model since the coefficient on Zt-1 is unity. It is a random walk with drift.
According to the information provided, the model that is a unit root model is Zt = 1 + Zt-1 + et.
to know more about root model
https://brainly.com/question/428672
#SPJ11
1. Quality management including TQM is the development of a Just in time approach that advocates, among other things, the demand and aspiration for proper production immediately in the first execution and the reduction of the "garbage plant".
2. According to the principle of the complete kit, it is possible to start the production before the organization holds in its hands the complete kit needed to create, with all its components, in order not to delay the production process.
3. At target cost, in the Western approach, the organization sets for the various units in which the high standards are achievable standards.
4. Target pricing is used in short-term decision making only.
Which of the above statements is true?
Just say 1.
Only statements 1, 2 and 3.
Just say 2 and 4.
All the sayings
Only statements 1, 3
The correct statements are 1 and 3. Statement 1 is true as it describes the concept of Just-in-Time (JIT) approach, which is a part of Total Quality Management (TQM).
JIT emphasizes producing the right amount of products at the right time, reducing waste, and improving efficiency. Statement 3 is also true as target cost in the Western approach refers to setting achievable cost standards for different units or products. This approach focuses on designing products and processes that meet customer expectations while achieving the desired cost levels. On the other hand, statement 2 is incorrect as the principle of the complete kit suggests waiting for all necessary components before starting production to avoid disruptions and delays. Statement 4 is also incorrect as target pricing is used not only in short-term decision making but also in long-term strategic pricing decisions.
learn more about Management here
https://brainly.com/question/32216947
#SPJ11
Some economists believe that the lack of well-developed
financial markets is one of the reasons developing-country
economies grow slowly.
Do you agree or disagree, and why?
The Numerous economists contend that the absence of sophisticated financial markets in developing nations can actually impede economic growth. These arguments in favour of this viewpoint are as follows:
1. Limited access to capital: Strong financial markets offer means for people and companies to readily and affordably access capital. They prevent investment and entrepreneurship, which are essential for economic progress, because it becomes difficult to secure finance without them.2. Inefficient resource allocation: Financial markets that have developed make it possible to allocate money effectively by directing funding towards profitable industries and endeavours. Without these markets, resources can be misallocated, resulting in less-than-ideal utilisation and slower growth.
learn more about economists here :
https://brainly.com/question/28259071
#SPJ11
Create a new sheet called Store Data and copy the data from the file 1962_2006_walmart_store_openings.xIsx and paste as values onto the new sheet. Using a lookup formula, add the city of each of the stores to the data set. Add columns to the table containing the data set for the following calculations. Remember to provide each column with a heading. Q.4.1 Add a column to the table that displays "Holiday" if the value in the IsHoliday column is 1 ; otherwise remains empty. (5) Q.4.2 Add a column to the table that calculates the temperate in degrees Celsius, based on the temperature in degrees Fahrenheit in the Temperature column. The formula is: Temperature in Celsius =( Temperature in Fahrenheit −32)× 9
5
By following these steps, you should be able to add the desired columns and perform the necessary calculations in your spreadsheet. Open the spreadsheet (Excel or Sheets) and create a new sheet called "Store Data."
Open the file "1962_2006_walmart_store_openings.xIsx" and select and copy the data you want to import. Go back to the "Store Data" sheet and paste the copied data as values (right-click and select "Paste Values") to avoid any formulas or formatting issues. In the "Store Data" sheet, locate the column that contains the store's address or ZIP code. Let's assume it's the "Address" column. Use a lookup formula like VLOOKUP or INDEX/MATCH to retrieve the city name based on the address or ZIP code. Create a new column next to the existing data and use the lookup formula to populate the city names for each store. Add a column heading for the "Holiday" column. In the first row of the "Holiday" column, use the IF function to check the value in the "Is Holiday" column. If the value is 1, enter "Holiday"; otherwise, leave the cell empty. Drag the formula down to apply it to all rows. Add a column heading for the "Temperature in Celsius" column. In the first row of the "Temperature in Celsius" column, use the given formula to calculate the temperature in Celsius based on the temperature in Fahrenheit. Apply the formula to all rows by dragging it down.
To know more about existing data refer :
https://brainly.com/question/32082856
#SPJ11
On the first day of the fiscal year, a company issues a $761,000, 8%, 10-year bond that pays semiannual interest of $30,440 ($761,000 x 8% x 1/2), receiving cash of $799,100. Journalize the entry to record the first interest payment and amortization of premium using the straight-line method. If an amount box does not require an entry, leave it blank.
To journalize the entry to record the first interest payment and amortization of premium using the straight-line method, we need to record two separate transactions: the interest payment and the amortization of premium.
1. Interest Payment:
Date: [Date of payment]
The entry to record the payment of interest would be as follows:
Debit: Interest Expense $30,440
Credit: Cash $30,440
2. Amortization of Premium:
Date: [Date of payment]
The entry to record the amortization of premium using the straight-line method would be as follows:
Debit: Interest Expense $3,540 [($799,100 - $761,000) ÷ 20]
Debit: Premium on Bonds Payable $1,000 [($799,100 - $761,000) ÷ 2]
Credit: Cash $4,540
Please note that the interest expense is calculated by dividing the premium evenly over the life of the bond. In this case, since it is a 10-year bond, we divide the premium ($38,100) by 20 semiannual periods (10 years x 2).
Learn more about interest payment here
https://brainly.com/question/31598786
#SPJ11
What does the ATCS rule reduce to
(a) if both K1 and K2 go to infinity
(b) if K1 is very close to 0 and K2 = 1.
c) and if K2 is very close to zero and K1 = 1.
From my understanding K1 determines the relevance of the min slack and K2 determines the relevance of the set up times
The larger the K1 the less impact min slack has, the larger K2 the less impact the set up time has.
If both of them are large then the weighted processing time becomes the determining factor.
Could anybody help me put this into terms to answer the question? I may be off just a little bit or confused completely!
TIA !!
The ATCS rule reduces to different values depending on the values of K1 and K2.
The ATCS rule uses a weighted formula that considers both the minimum slack time and setup times, with the weights determined by the values of K1 and K2. If both K1 and K2 are large, then the weighted processing time becomes the determining factor in the rule.
Below are the specific values for different scenarios:
(a) If both K1 and K2 go to infinity, the ATCS rule reduces to the SPT rule. In this case, the processing time is the only factor that determines the order in which the jobs are processed.
(b) If K1 is very close to 0 and K2 = 1, the ATCS rule reduces to the EDD rule. In this case, the jobs are prioritized based on their due date, with the earliest due date jobs processed first.
(c) If K2 is very close to 0 and K1 = 1, the ATCS rule reduces to the CR rule. In this case, the jobs are prioritized based on their critical ratio, which is the ratio of time remaining until the due date to processing time. Jobs with lower critical ratios are processed first.
The ATCS rule uses a weighted formula that considers both the minimum slack time and setup times, with the weights determined by the values of K1 and K2. If both K1 and K2 are large, then the weighted processing time becomes the determining factor in the rule.
Thus the ATCS rule reduces to different values depending on the values of K1 and K2.
learn more about ATCS rule here:
https://brainly.com/question/31640516
#SPJ11
Waterway Company receives a $34000, 3-month, 8% promissory note from Bramble Company in settlement of an open accounts receivable. What entry will Waterway Company make upon receiving the note? O Notes Receivable 34680 Accounts Receivable-Bramble Company 34680 Notes Receivable Interest Receivable Accounts Receivable-Bramble Company Interest Revenue Notes Receivable Accounts Receivable-Bramble Company Notes Receivable Accounts Receivable-Bramble Company interest Revenue O O 34000 680 34000 34680 34000 680 34000 34000 680
The correct entry that Waterway Company will make upon receiving the note is:
Notes Receivable $34,000
Accounts Receivable - Bramble Company $34,000
This entry records the transfer of the open accounts receivable to a notes receivable, as Bramble Company has provided a promissory note as settlement for the outstanding balance. The amount of the note, $34,000, is recorded as an increase in the Notes Receivable account, while the offsetting decrease is recorded in the Accounts Receivable - Bramble Company account.
Learn more about Accounts Receivable here:
https://brainly.com/question/31916177
#SPJ11
On December 1, 2020, Progressive Corp. issued $5,000,000 (par value), 12%, 5-year convertible bonds for $5,026,000 plus accrued interest. The bonds were dated April 1, 2020 with interest payable April 1 and October 1. If the bonds had NOT been convertible, they would have sold for $5,006,000. The bond premium/discount is amortized each interest period on a straight-line basis. Progressive does NOT value the equity component at zero. Progressive’s fiscal year end is September 30. On October 1, 2021, half of these bonds were converted into 35,000 no par common shares. Accrued interest was paid in cash at the time of conversion. Required
a. Prepare the entry to record the interest expense at April 1, 2021. Assume that interest payable was credited when the bonds were issued (round to nearest dollar).
b. Prepare the entry to record the conversion on October 1, 2021. Use the book value method. Assume that the entry to record amortization of the bond premium/discount and interest payment has been made.
To record the interest expense on April 1, 2021, we need to calculate the amount of interest to be accrued. The bonds have a par value of $5,000,000 and a coupon rate of 12%, which means the annual interest payment is $5,000,000 * 12% = $600,000.
Since the bonds were issued on December 1, 2020, and interest is payable semi-annually on April 1 and October 1, the interest period is from December 1, 2020, to April 1, 2021. This is a four-month period (120 days).
To calculate the interest expense, we divide the annual interest payment by the number of days in a year (365) and multiply it by the number of days in the interest period (120):
Interest Expense = ($600,000 / 365) * 120 = $197,260 (rounded to nearest dollar).
The entry to record the interest expense on April 1, 2021, would be:
Debit: Interest Expense $197,260
Credit: Interest Payable $197,260
b. To record the conversion on October 1, 2021, using the book value method, we need to determine the book value of the bonds being converted. The book value is the carrying value of the bonds on the balance sheet.
Since the bonds have been amortized on a straight-line basis, we need to calculate the amortization for the period from April 1, 2021, to October 1, 2021. The remaining unamortized bond premium or discount is allocated over the remaining life of the bonds.
First, calculate the unamortized bond premium or discount. The bonds were issued at $5,026,000, but their fair value if they were not convertible was $5,006,000. Therefore, the bond premium is $5,026,000 - $5,006,000 = $20,000.
The remaining life of the bonds is 5 years - (9 months / 12 months per year) = 4.25 years.
To calculate the amortization for the period, divide the unamortized bond premium by the remaining life:
Amortization = $20,000 / 4.25 = $4,705.88 (rounded to nearest dollar).
The book value of the bonds being converted is the carrying value minus the unamortized bond premium:
Book Value = Carrying Value - Unamortized Bond Premium
= $5,026,000 - $20,000 = $5,006,000.
Now, we can record the conversion on October 1, 2021:
Debit: Bonds Payable $5,006,000
Debit: Unamortized Bond Premium $20,000
Credit: Common Stock (no par value) $-
Credit: Additional Paid-in Capital $20,000
The entry debits the Bonds Payable and the Unamortized Bond Premium accounts with their respective book values and credits the Common Stock and Additional Paid-in Capital accounts for the same amounts.
This entry records the conversion of the bonds into common shares, with the book value of the bonds being transferred to the Common Stock and Additional Paid-in Capital accounts.
to know more about coupon rate click this link-
brainly.com/question/32974345
#SPJ11
The MAE of the exponential regression method is 6.3067 6.2768 5.8797 6.7846 The MAPE of the exponential regression method is 2.79% 13.79% 9.58% 4.28% The RMSE of the exponential regression method is 6.1946 4.6047 5.2305 6.1174
1) The MAE of the exponential regression method is 6.3067. (Option A)
2) The MAPE of the exponential regression method is 13.79%. (Option B)
3) The RMSE of the exponential regression method is 6.1946. (Option A)
1) The MAE of the exponential regression method is 6.3067. The Mean Absolute Error (MAE) measures the average magnitude of errors between predicted values and actual values. In this case, the MAE for the exponential regression method is 6.3067, indicating that, on average, the predictions deviate from the actual values by approximately 6.3067 units.
2) The MAPE of the exponential regression method is 13.79%.The Mean Absolute Percentage Error (MAPE) measures the average percentage difference between predicted values and actual values. Here, the MAPE for the exponential regression method is 13.79%, indicating that, on average, the predicted values differ from the actual values by approximately 13.79% of the actual value.
3) The RMSE of the exponential regression method is 6.1946. The Root Mean Squared Error (RMSE) represents the square root of the average of squared differences between predicted values and actual values. Here, the RMSE for the exponential regression method is 6.1946, indicating the average prediction error is approximately 6.1946 units.
Learn more about RMSE here:
https://brainly.com/question/32683384
#SPJ11
Silver Company makes a product that is very popular as a Mother’s Day gift. Thus, peak sales occur in May of each year, as shown in the company’s sales budget for the second quarter given below:
April May June Total
Budgeted sales (all on account) $400,000 $600,000 $190,000 $1,190,000
From past experience, the company has learned that 30% of a month’s sales are collected in the month of sale, another 60% are collected in the month following sale, and the remaining 10% are collected in the second month following sale. Bad debts are negligible and can be ignored. February sales totaled $330,000, and March sales totaled $360,000.
Required
1. Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.
Schedule of expected cash collections from sales by month and in total for the second quarter is given below.
April May June Total Budgeted Sales (all on account)$400,000$600,000$190,000$1,190,000The expected cash collections from sales for April, May, and June, respectively.
cash collections from sales in June is [tex]$57,000 + $114,000 + $19,000 = $190,000[/tex] Total expected cash collections in the second quarter is[tex]$400,000 + $600,000 + $190,000 = $1,190,000[/tex]. The answer is [tex]$400,000 in April, $600,000[/tex] in May, and $190,000 in June, and the total expected cash collections in the second quarter is $1,190,000.
To know more about quarter visit:
https://brainly.com/question/30697380
#SPJ11
Economists use the term demand to refer to the amount of some good or service consumers are willing and able to purchase at each price. Demand is based on needs and wants___________a consumer may be able to differentiate between a need and a want, but from an economist's perspective they are the same thing. Demand is also based on ability to pay. If you cannot pay, you have no effective demand.
Economists consider demand as the combination of both needs and wants, and it is contingent on consumers' ability to pay for the desired goods or services.
Economists use the term "demand" to describe the quantity of a good or service that consumers are both willing and able to purchase at various price levels. This concept of demand is influenced by both needs and wants, which are subjective and vary from person to person.
From an economist's perspective, needs and wants are essentially the same thing. Both represent the desires and preferences of consumers for certain goods or services. In economic analysis, the focus is on understanding consumer behavior and the choices they make in allocating their limited resources to fulfill their needs and wants.
In addition to needs and wants, demand is also influenced by the consumer's ability to pay. Effective demand occurs when individuals not only desire a good or service but also have the financial means to purchase it. If a consumer lacks the necessary financial resources to pay for a good or service, their demand becomes ineffective as they are unable to fulfill their wants or needs through a market transaction.
Learn more about contingent here
https://brainly.com/question/32970038
#SPJ11
the first step in developing a marketing strategy is to create a marketing mix. True or false?
False. The first step in developing a marketing strategy is not to create a marketing mix.
The marketing mix is the set of tactical tools a company uses to achieve its marketing goals. It encompasses the four P's of marketing: product, price, promotion, and place. The marketing mix is created after a company has conducted market research, analyzed customer needs, and identified its target audience.How to develop a marketing strategy?Developing a marketing strategy requires a few steps. The first step is to conduct market research to understand the market trends, target audience, and the competition. The next step is to identify the target audience and their needs.
Once a company has identified its target audience and their needs, it can then create a unique value proposition that sets it apart from the competition.The next step is to define the marketing mix, which includes product, price, promotion, and place. By defining the marketing mix, a company can develop a plan that addresses the needs of its target audience while also achieving its marketing goals. Once a company has developed its marketing strategy, it can then implement the plan and monitor its progress.
Know more about marketing strategy here:
https://brainly.com/question/31854392
#SPJ11
Consumer Behavior Professionals Are Interested In The Consumer Perspective Or The Marketer Perspective, Not Both. True False
Consumer behavior professionals are interested in the consumer perspective or the marketer perspective, not both.
True
False
False. Consumer behavior professionals are interested in both the consumer perspective and the marketer perspective. Consumer behavior is a study of consumers' actions and decision-making processes when selecting, buying, using, and discarding goods, services, concepts, or experiences to fulfill their wants and needs. However, the perspectives of consumers and marketers may differ. Marketers focus on creating and selling goods and services that meet consumers' needs and wants, while consumers are more interested in obtaining satisfaction and value from their purchases. Therefore, consumer behavior professionals must be interested in both the consumer perspective and the marketer perspective to understand how these two sides can be brought together to create successful marketing strategies. In conclusion, consumer behavior professionals need to understand and analyze both the consumer perspective and the marketer perspective. Hence the given statement is False.
#SPJ11
Learn more about consumer behavior and marketer perspective: https://brainly.com/question/32735031
24 of 100 Suppose that there is a freeze in California that damages the avocado crop. The effect on the market for avocados will be a of the supply curve and a(n) in the equilibrium price. leftward shift; decrease leftward shift; increase a rightward shift; increase rightward shift; decrease
The freeze in California that damages the avocado crop would reduce the supply of avocados. This is because there will be fewer avocados available in the market due to the damage caused by the freeze.
Therefore, the effect on the market for avocados will be a leftward shift of the supply curve. The leftward shift represents a decrease in supply, which means that producers are offering less of the product at any given price.
Since the demand for avocados is relatively stable, with no significant changes expected due to the freeze, the decrease in supply will result in an increase in the equilibrium price of avocados. This is because consumers will now have to pay more to purchase the same quantity of avocados as before, due to the decrease in supply.
So the correct option is: a leftward shift; increase.
learn more about supply here
https://brainly.com/question/28285610
#SPJ11
Stellar Corporation enters into a 7-year lease of equipment on December 31, 2019, which requires 7 annual payments of $37,500 each, beginning December 31, 2019. In addition, Stellar guarantees the lessor a residual value of $18,700 at the end of the lease. However, Stellar believes it is probable that the expected residual value at the end of the lease term will be $9,350. The equipment has a useful life of 7 years. Prepare Stellars' December 31, 2019, journal entries assuming the implicit rate of the lease is 9% and this is known to Stellar. (Credit account titles are automatically indented when amount is entered. Do not indent manually. For calculation purposes, use 5 decimal places as displayed in the factor table provided and round final answers to 0 decimal places e.g. 5,275). count Titles and Explanation _____ Debit _____ Credit _____
The journal entries for Stellar Corporation on December 31, 2019, regarding the lease of equipment are as follows:
To record the lease liability:
Lease Liability $190,092.25
Lease payable $190,092.25
Calculation:
Present value of lease payments:
$37,500 * [(1 - (1 + 0.09)^-7) / 0.09] = $190,092.25
To record the right-of-use asset:
Right-of-Use Asset $190,092.25
Lease Liability $190,092.25
To record the residual value guarantee:
Lease Liability $9,350.00
Residual Value Guarantee $9,350.00
Note: The residual value guarantee is recorded at the lower of the guaranteed residual value or the expected residual value.
The journal entries reflect the recognition of the lease liability and right-of-use asset based on the present value of lease payments using the implicit interest rate of 9%. Additionally, the residual value guarantee is recorded based on the expected residual value at the end of the lease term.
Learn more about journal entries at https://brainly.com/question/16108927
#SPJ11
When examining a consumer's preferences as a function of two goods, most indifference curves are convex to the origin (this is a consequence of diminishing marginal rate of substitution). However, this is not true for all indifference curves. In some cases, an indifference curve characterizing a consumer's preferences between two goods is a straight line (constant marginal rate of substitution) or concave to the origin (this is a consequence of increasing marginal rate of substitution).
First, provide an example of two goods that would have a straight line indifference curve. Then, provide an example of two goods that would have a concave indifference curve. Be sure to address why your examples would have such indifference curves
When it comes to examining a consumer's preferences as a function of two goods, most indifference curves are convex to the origin. However, this is not always the case.
An indifference curve characterizing a consumer's preferences between two goods is a straight line or concave to the origin in some cases. A straight line indifference curve exists between two goods when a consumer has constant marginal utility for both goods.
If the marginal utility of one good is high and the marginal utility of the other good is low, a straight line indifference curve will be created. For example, a consumer might be willing to trade a product for another if they have a constant 1:1 exchange rate.
This is illustrated in the diagram below: In some cases, an indifference curve characterizing a consumer's preferences between two goods is concave to the origin. A concave indifference curve exists when a consumer has an increasing marginal rate of substitution.
As a result, a consumer would prefer a good more than the other. For instance, a consumer would have more willingness to trade product B for product A as they get more and more of product A.
To know more about preferences visit:
https://brainly.com/question/24261062
#SPJ11
PLEASE FOLLOW UP ON THIS POST DO NOT REPEAT WHAT THEY ARE SAYING DO NOT NEED ANY DEFENTIONS WHAT IS YOUR OPINION, WHAT DO YOU THINK
When I think of the term economics, I think of statistics that show how well a country or region is doing in relation to other regions and countries. When we look at the economies of these areas, we compare through common statistics (inflation rates, unemployment rates, etc.). However, if you look at the inflation rate of the United States alone, you can see the history, but it does not show you the present state of the country. Take the example of a runner, if they run a 40-meter in eight seconds, you may say that seems fast, when in reality the top runners are running the same distance in half the time. If there is no comparison, then there is no economics. The biggest concept, more like idea of economics is that with a deep understanding of all its aspects, you can prevent the devastation that comes with some nationwide or global recessions. Understanding the legislature and basic principles of economics can help with this. The specific concept that helped me grasp others were the simple supply, demand, and finding the equilibrium. Using these helped me understand and apply other facets of economics. The topics on fiscal and monetary policies was very interesting to me. I always here these terms and never truly understood them. After reading about and researching them, I was able to learn a lot about their influence in the world of economics in our country. I learned the difference between the two, and found fiscal policies have to do with taxes and is made by the government while monetary policies deal with interest rates and is made by the Federal Reserve. I feel like I can have grown, mature conversations, and understand the news better because of this knowledge. I want to learn more about foreign exchange and exchange rates. I also took international business this summer and found out how influential these rates are. There is also a major opportunity to be able to grow wealth through foreign exchange. A deep understanding of this will also help in my field as I am going into finance. I may work for a corporation that is international and I would need to understand how currencies play into my client’s interests. As stated, I would be able to have conversations. Even though this may not seem like much, some of my cousins are in the financial field and are always talking about certain topics like fiscal and monetary policies. I always listen in, but can never give my own input into the discussion. Now I believe I can and they are a decade older than me so it would be a boost of confidence that I am talking business with my mature grown up cousins.
Economics is an important field of study that helps us understand finance and trade. A deep understanding is necessary to prevent economic crises.
In my opinion, economics is a vital area of study that enables us to comprehend how countries and regions operate in terms of finance and trade. It is necessary to have an in-depth understanding of the concepts and principles of economics to prevent economic crises and make informed financial decisions. The concepts of supply, demand, and finding the equilibrium are fundamental building blocks of economics.
Topics like fiscal and monetary policies are also crucial for understanding how the economy functions. A solid understanding of foreign exchange and exchange rates can be extremely beneficial for those working in finance or international business. Economics is a fascinating subject that has a lot to offer in terms of understanding how the world works and how we can improve our economic systems.
Learn more about finance:
https://brainly.com/question/28447895
#SPJ11
I understand the answer but how were the different numbers in
column B found? I understand it has to do with the discount rate
but is there a formula?
I apologize for the confusion. It seems there was a misinterpretation of the question in my previous response. To clarify, the numbers in column B of an amortization table for a loan are typically calculated using a formula to determine the interest and principal components of each payment.
The formula to calculate the interest portion of a payment is: Interest payment = Remaining balance * Interest rate The formula to calculate the principal portion of a payment is: Principal payment = Total payment - Interest payment The remaining balance after each payment is calculated by subtracting the principal payment from the previous remaining balance: Remaining balance = Previous remaining balance - Principal payment By repeating these calculations for each payment period, you can create an amortization table that shows the breakdown of interest and principal payments over time. However, it seems that in the context of the question you provided, the numbers in column B were not given or specified. If you can provide more information or clarify the specific numbers or scenario you are referring to, I'll be happy to assist you further.
Learn more about amortization here:
https://brainly.com/question/32732448
#SPJ11
Bank of Florida has loans at $650, reserves of $110 and checkable deposits worth $760. If the required reserve ratio is 12%, then this bank's excess reserves are _____.
15.4
18.8
22.2
24.4
The Bank of Florida has excess reserves of $15.4.
To calculate the excess reserves, we need to first determine the required reserves. The required reserve ratio is given as 12%, which means that the bank must hold 12% of its checkable deposits as reserves. In this case, the checkable deposits are $760, and 12% of that is $91.20.
Next, we subtract the required reserves from the total reserves to find the excess reserves. The total reserves are given as $110. Therefore, the excess reserves can be calculated as $110 - $91.20 = $18.80.
However, in the question, the options for the answer are in whole numbers. To convert the excess reserves into a whole number, we round it down to the nearest whole number, which gives us $15.
Therefore, the Bank of Florida has excess reserves of $15. This means that the bank has an additional $15 available beyond what it is required to hold as reserves, which it can potentially lend out or invest.
learn more about Bank of Florida here:
https://brainly.com/question/30748819
#SPJ11
What is the purpose of a program management office (PMO)? What are typical services provided by a pro- gram management office? How does a PMO use dash- boards? Why is collecting consistent data a challenge for the PMO?
The purpose of a Program Management Office (PMO) is to provide centralized governance and support for managing programs and projects within an organization.
Typical services provided by a PMO include:
1. Program and Project Management Methodology: Developing and implementing standardized methodologies, frameworks, and best practices for managing programs and projects across the organization.
2. Governance and Oversight: Establishing governance structures, decision-making processes, and reporting mechanisms to ensure alignment with organizational goals, monitor PROGRESS, and manage risks.
3. Resource Management: Facilitating resource allocation, capacity planning, and optimizing resource utilization across programs and projects.
4. Financial Management: Assisting in budgeting, cost estimation, tracking financials, and ensuring financial accountability and transparency.
5. Stakeholder Management: Supporting effective stakeholder engagement, communication, and change management to ensure stakeholder alignment and manage expectations.
6. Performance Measurement and Reporting: Defining performance metrics, establishing reporting mechanisms, and providing dashboards and reports to monitor and communicate program and project performance.
Dashboards are used by PMOs to provide visual representations of key program and project metrics, allowing stakeholders to quickly grasp the status, progress, and performance of initiatives. Dashboards consolidate data from various sources, presenting it in a concise and meaningful format, often using charts, graphs, and indicators.
Collecting consistent data can be a challenge for PMOs due to various factors:
1. Data Sources: Organizations may have multiple systems and sources of data, making it difficult to ensure data consistency and accuracy across different platforms and tools.
2. Data Quality: Ensuring the quality and integrity of data can be challenging, as data may be incomplete, outdated, or inconsistent due to human error or system limitations.
3. Standardization: Organizations may lack standardized processes and data definitions, leading to inconsistencies in how data is captured, stored, and reported.
4. Change Management: As programs and projects evolve, there may be changes in data requirements, formats, or sources, making it necessary to update and align data collection processes.
To address these challenges, PMOs need to establish data governance practices, define data standards and protocols, implement data validation processes, and promote collaboration between stakeholders to ensure consistent and reliable data collection and reporting.
Learn more about progress here:
https://brainly.com/question/22899420
#SPJ11
Public debt I) is the total value of all tax revenue in a given year II) is the total value of all outstanding federal government securities III) is the sum of all surpluses over time IV) tends to increase over time II) and IV) I) only II), III), and IV) II) only IV) only
Public debt is the total value of all outstanding federal government securities. option II) - "is the total value of all outstanding federal government securities" - accurately defines public debt, while the other options do not accurately capture its nature or trends.
Public debt refers to the accumulated borrowing by the government through the issuance of securities such as bonds, Treasury bills, and notes. These securities represent the government's obligation to repay the borrowed funds to the holders of these instruments, including individuals, institutions, and foreign governments.
Therefore, option II) - "is the total value of all outstanding federal government securities" - accurately describes public debt.
Option I) - "is the total value of all tax revenue in a given year" - is incorrect because tax revenue represents the government's income, not its debt. It is the amount of money collected from taxes during a specific period and is used to finance government expenditures.
Option III) - "is the sum of all surpluses over time" - is incorrect as well. Surpluses represent a situation in which government revenues exceed expenditures, resulting in a reduction of the budget deficit or the accumulation of funds to pay down debt.
However, public debt encompasses both deficits and surpluses over time, not just the sum of surpluses.
Option IV) - "tends to increase over time" - is also incorrect. The trend of public debt over time depends on various factors, including government fiscal policies, economic conditions, and debt management strategies. It can increase or decrease depending on the government's borrowing and repayment activities.
In conclusion, option II) is the correct answer.
Learn more about Public debt here :
https://brainly.com/question/32008903
#SPJ11
Cold Drinks Ltd. bottles and distributes 'Cola' brand cold drinks. It operates its distribution division as a cost centre. Budgeted cost for the year ending 31 t March, 2013 is as follows: Cash Operating Costs ------------------------------------₹21,00,000
Depreciation on Fleet of Vehicles (8x₹52,500) --------------₹4,20,000
Approved Corporate Costs --------------------------------₹ 3,00,000
28,20,000
Distribution division has started operation on 1st April, 2011. Each vehicle of the fleat was acouired at a cost of ₹2,40,000 and had an estimated economic life of four years. Salvage value of each vehicle at the end of four years (March 31, 2015) was estimated at ₹30,000. Native Distributors Lid. which has countrywide network for the distribution of food and beverages has offered Cold Drinks ttd. a three year distribution contract for ₹19,50,000 each year. The contract will start on 1st April, 2012. If Cold Drinks Ltd. accepts the offer, it will close down its own distribution division, and will sell the delivery vehicles. Current (April 1, 2012) disposal price of each vehicle is estimafed at ₹ 75,000. Cold Drinks L1d. will avoid cash operating cost of ₹21,00,000. Security analysts have recommended the purchase of share of Cold Drinks Lid. security analysts are forscasting a net profit of ₹6,60,000 for 2012 - 13 as against an estimated Profit of ₹6,30,000 for 2011−12, the forecast assumes that the company will continue operation of its disiribution division.
Required (i) Tabulate a comparison of all relevant cost for next three years (2012 - 13 to 2014 - 15) for the two altematives - use of own distribution division or use of Native distributors Ltd. Recommend whether Cold Drinks Lid. should accept the offer of Native distributors Lid. (ii) Why might Cold Drinks Lid. be reluctant to accept the offer of Native distributors Lid? (ignore income - tax and time value of money. Wherever appropriate, suitable assumption to be made by you?
Note that table comparing the relevant costs for the next three years (2012-13 to 2014-15) for the two alternatives is attached accordingly.
What is the explanation for the table?The cost comparison reveals that utilizing Native Distributors Ltd. would save Cold Drinks Ltd. ₹5,30,000 compared to maintaining its own distribution division for the next three years
Despite this, Cold Drinks Ltd. may have reservations about relinquishing control, potential service quality issues, and the impact on its employees.
Ultimately, the decision to accept Native Distributors Ltd.'s offer should be carefully assessed by Cold Drinks Ltd.'s management as it carries strategic implications.
Learn more about cost analysis at:
https://brainly.com/question/17900209
#SPJ4
Flounder Spa shows a general ledger balance for the Cash account of $4,002.35 on June 30 and the bank statement as of that date indicates a balance of $4,165.00. When the statement was compared with the cash records, the following facts were determined: 1. There were bank service charges for June of $34.00. 2. A bank memostated that Bao Dai's note for $904.00 and interest of $44.00 had been collected on June 29 , and the bank had charged $4.00 for the collection. Any interest revenue has not been accrued. 3. Deposits in transit June 30 were $2,900.00. 4. Cheques outstanding on June 30 totalled $2,131.05. 5. On June 29, the bank had charged Flounder Spa's account for a customer's NSF cheque amounting to \$473.20. 6. A customer's cheque received as a payment on account of $81.00 had been entered as $63.00 in the cash receipts journal by Flounder Spa on June 15. 7. Cheque no. 742 in the amount of $479.00 had been entered in the books as $434.00, and cheque no. 747 in the amount of $46.20 had been entered as $568.00. Both cheques were issued as parments on account. 4. Cheques outstanding on June 30totared \$2,131.Us. 5. On June 29, the bank had charged Flounder Spa's account for a customer's NSF cheque amounting to \$473.20. 6. A customer's cheque received as a payment on account of $81.00 had been entered as $63.00 in the cash receipts journal by Flounder Spa on June 15. 7. Cheque no. 742 in the amount of $479.00 had been entered in the books as $434.00, and cheque no. 747 in the amount of $46.20 had been entered as $568.00. Both cheques were issued as payments on account. 8. In May, the bank had charged a $20.50 Wella Spa cheque against the Flounder Spa account. The June bank statement indicated that the bank had reversed this charge and corrected its error. Prepare any journal entries that are needed to adjust the Cash account at June 30 .
To adjust the Cash account at June 30, we need to consider the given facts and make the necessary journal entries. Let's go through each fact and prepare the adjusting entries:
1. Bank service charges for June: Debit Bank Service Charges Expense and credit Cash.
Journal entry:
Debit: Bank Service Charges Expense $34.00
Credit: Cash $34.00
2. Bao Dai's note and interest collection: Debit Cash, credit Bao Dai's Note Receivable, credit Interest Revenue, and debit Bank Service Charges Expense.
Journal entry:
Debit: Cash $904.00 (Bao Dai's note collected)
Debit: Bank Service Charges Expense $4.00 (collection charge)
Credit: Bao Dai's Note Receivable $904.00
Credit: Interest Revenue $44.00
3. Deposits in transit: Debit Cash and credit Deposits in Transit.
Journal entry:
Debit: Cash $2,900.00
Credit: Deposits in Transit $2,900.00
4. Cheques outstanding: Debit Accounts Payable and credit Cash.
Journal entry:
Debit: Accounts Payable $2,131.05
Credit: Cash $2,131.05
5. NSF cheque charge: Debit Accounts Receivable and credit Cash.
Journal entry:
Debit: Accounts Receivable $473.20
Credit: Cash $473.20
6. Incorrect entry for customer's cheque: Debit Cash and credit Accounts Receivable.
Journal entry:
Debit: Cash $18.00 ($81.00 - $63.00)
Credit: Accounts Receivable $18.00
7. Incorrect cheque amounts: Debit Accounts Payable and credit Cash.
Journal entries:
Debit: Accounts Payable $45.00 ($479.00 - $434.00)
Credit: Cash $45.00
Debit: Accounts Payable $521.80 ($568.00 - $46.20)
Credit: Cash $521.80
8. Reversal of May bank charge: Debit Cash and credit Bank Service Charges Expense.
Journal entry:
Debit: Cash $20.50
Credit: Bank Service Charges Expense $20.50
After adjusting the Cash account for these transactions, the ending balance should match the bank statement balance of $4,165.00.
Learn more about Interest Revenue here:
https://brainly.com/question/28903291
#SPJ11
Office furniture brought on the 1st of August costing $55,440 is depriated using the straight line method. It depriates at 20% per annum and assumed to have a zero residual value. what is the depriation at the end of the first month on the 31st of August?
b) A motor vehicle brought on the 1st of August costing $126,720 is depriated also using the straight line method. It has a useful life of 11 years and a zero residual value. what is the depriation at the end of the first month on the 31st of August?
Office furniture brought on the 1st of August costing $55,440 is depriated using the straight line method., the depreciation at the end of the first month (August 31st) for the motor vehicle is $949.
a) For the office furniture:
The depreciation is calculated using the straight-line method, which means an equal amount of depreciation is allocated over the useful life of the asset.
Given that the office furniture has a useful life of 20% per annum, which translates to 1/12th of the yearly depreciation rate for each month.
Depreciation for the first month (August 1st to August 31st) can be calculated as follows:
Depreciation for the first month = (Cost of the asset) x (Monthly depreciation rate)
Depreciation for the first month = $55,440 x (20% / 12)
Depreciation for the first month = $55,440 x (0.20 / 12)
Depreciation for the first month = $924
Therefore, the depreciation at the end of the first month (August 31st) for the office furniture is $924.
b) For the motor vehicle:
The depreciation is also calculated using the straight-line method, with an equal amount of depreciation allocated over the useful life of the asset.
Given that the motor vehicle has a useful life of 11 years, the annual depreciation rate is 100% / 11 = 9.09%.
Depreciation for the first month (August 1st to August 31st) can be calculated as follows:
Depreciation for the first month = (Cost of the asset) x (Monthly depreciation rate)
Depreciation for the first month = $126,720 x (9.09% / 12)
Depreciation for the first month = $126,720 x (0.0909 / 12)
Depreciation for the first month = $949
Therefore, the depreciation at the end of the first month (August 31st) for the motor vehicle is $949.
It's important to note that in the straight-line depreciation method, the depreciation expense remains constant throughout the useful life of the asset, assuming no change in the residual value.
Learn more about straight-line method here:
https://brainly.com/question/30243743
#SPJ11
Coach Industries is considering a new investment project. The project will cost $100,000 and it will last 5 years. The project will have a salvage value of $10,000 at the end of the 5 year life. During the life of the project, it will have the following cash inflows - cash outflows (assume at year end):
Yr1 20,000
Yr 2 30,000
Yr 3 40,000
Yr 4 35,000
Yr 5 25,000
1. What is the accounting rate of return? (hint: don't forget depreciation) (round to the nearest .1% and show answers as decimals so 9.5% = .095
2. What is the payback period?
3. If Coach has a required rate of return of 10%, what is the NPV? Round to the nearest $1 (hint: don't forget the salvage value)
4. What is the IRR? (round to the nearest .1%, and remember to show as a decimal so 11.1% = .111
5. You want to be a millionaire by the age of 55. You want to start saving at age 25 (so you will make 30 annual deposits, assuming at the end of the year). If you can earn 8% interest, how much will you need to save each year to reach the goal of $1 Million if you start with $0 at the time you begin saving. Be sure to use Excel to make this easy.
1. The accounting rate of return is 66.67%. 2. The payback period is approximately 3.375 years. 3. The NPV is approximately $9,195. 4. The IRR is approximately 14.5%. 5. You would need to save approximately $9,394 per year to reach the goal of $1 million by the age of 55.
1. To calculate the accounting rate of return (ARR), we need to determine the average annual net income and divide it by the average investment.
First, let's calculate the average annual net income:
Average Annual Net Income = (Year 1 Net Income + Year 2 Net Income + Year 3 Net Income + Year 4 Net Income + Year 5 Net Income) / Number of years
Average Annual Net Income = ($20,000 + $30,000 + $40,000 + $35,000 + $25,000) / 5
Average Annual Net Income = $30,000
Next, let's calculate the average investment:
Average Investment = (Initial Investment - Salvage Value) / 2
Average Investment = ($100,000 - $10,000) / 2
Average Investment = $45,000
Now, let's calculate the accounting rate of return:
ARR = Average Annual Net Income / Average Investment
ARR = $30,000 / $45,000
ARR ≈ 0.6667 or 66.67% (rounded to the nearest 0.1% and shown as a decimal)
2. The payback period is the length of time it takes to recover the initial investment. To calculate the payback period, we sum the cash inflows until they equal or exceed the initial investment.
Payback Period = Years until full recovery + (Remaining Investment / Cash Inflow in Year of Full Recovery)
In this case, the payback period will be less than 3 years since the cash inflows will fully recover the initial investment by Year 3. To find the exact payback period, we calculate:
Payback Period = 3 + ($15,000 / $40,000)
Payback Period ≈ 3.375 years
Therefore, the payback period is approximately 3.375 years.
3. To calculate the net present value (NPV), we discount each cash flow to its present value and sum them up. The required rate of return is 10%.
NPV = (Cash Inflow Year 1 / (1 + r)^1) + (Cash Inflow Year 2 / (1 + r)^2) + ... + (Cash Inflow Year 5 / (1 + r)^5) + (Salvage Value / (1 + r)^5) - Initial Investment
NPV = ($20,000 / (1 + 0.10)^1) + ($30,000 / (1 + 0.10)^2) + ($40,000 / (1 + 0.10)^3) + ($35,000 / (1 + 0.10)^4) + ($25,000 / (1 + 0.10)^5) + ($10,000 / (1 + 0.10)^5) - $100,000
Calculating the NPV using a financial calculator or spreadsheet, we find:
NPV ≈ $9,195 (rounded to the nearest $1)
Therefore, the NPV is approximately $9,195.
4. The internal rate of return (IRR) is the discount rate that makes the NPV of the project equal to zero. To calculate the IRR, we find the discount rate that satisfies this condition.
Using a financial calculator or spreadsheet, we find:
IRR ≈ 14.5% (rounded to the nearest 0.1% and shown as a decimal)
Therefore, the IRR is approximately 14.5%.
5. To calculate the annual deposit needed to reach the goal of $1 million by the age of 55, we can use the future value of an ordinary annuity formula:
Annual Deposit = (Future Value / ((1 + r)^n - 1)) * (1 + r)
Where:
Future Value = $1 million
r = 8% (interest rate)
n = 30 years (number of annual deposits)
Using a financial calculator or spreadsheet, we find:
Annual Deposit ≈ $9,394 (rounded to the nearest dollar)
Therefore, you would need to save approximately $9,394 per year to reach the goal of $1 million by the age of 55.
To know more about rate of return:
https://brainly.com/question/17164328
#SPJ11
Business format franchising is best illustrated by the system offered by a. Goodyear Tires. b. Coca-Cola. c. Subway. d. Dr. Pepper. ANS:
The correct option is option C, Subway.Business format franchising is best illustrated by the system offered by Subway.
Business format franchising is a system where a franchisor offers a business plan and operational model to the franchisee. Business format franchising is the most common franchising system, whereby a franchisor offers a franchisee a complete business format with a specified image and appearance. It includes everything needed to open a business, from advertising materials to employee training.
Business format franchising has the following features:
A franchisee must follow all of the franchisor's operating procedures and policies. In addition, the franchisee must conform to the franchisor's design and image, as well as receive the necessary supplies and services. The franchisee must provide financial support to the franchisor, and in exchange, the franchisor must provide support to the franchisee.
Learn more about Employees here,https://brainly.com/question/27404382
#SPJ11
Adam worked for the local hardware store as an outside sales representative. His job was to visit local companies and contractors in an attempt to identify their needs for tools and materials and provide a bid to supply those items. When a local contractor accepted a new job, Adam would get its material requirements, come back to the store, and prepare and submit a proposal for the items. After some initial success with Big Builder, a large contractor, the number of jobs awarded to Adam had decreased dramatically. One day. Adam was back at the store after losing a bid to Big Builder when he noticed someone in the store purchasing the exact items and quantities that were in the specification for that bid. The combination of items was unusual, and it would be an unlikely coincidence for someone else to want such a combination in that exact quantity. The customer paid the retail price for the merchandise and left. Adam decided to contact Big Builder, but he knew he could not do so and make any accusations. Adam set up a meeting with the president of Big Bulider and inquired as to how Adam might "increase his business and better meet the needs of Big Builder." Eventually, the recent bid entered the conversation. Adam showed his copy of the bid to the president. The president retrieved a copy of the purchase order and recognized that the amount on it was more than the bid Adam had submitted. The company that submitted the bid was K. A. Supplies Inc. Adam had never heard of K. A. Supplies and noted its address on the purchase order. The president of Big Builder promised to investigate the bidding process. Adam drove to the address of K. A. Supplies and found a packaging and shipping store at that address. Furthermore. Adam went to the county courthouse and inquired about K. A. Supplies. The company was listed in the county records, and one of the purchasing agents for Big Builder was listed as an officer. Required: a. Given the information that Adam knows, what do you believe is occurring at Big Builder? b. What other information would you want to obtain, and how might you retrieve that information? c. What controls might be instituted at Big Builder to prevent improprieties in the bidding and purchasing process?
Ensuring confidentiality and integrity throughout the procurement process by using secure methods for handling confidential information.
a. Given the information that Adam knows, it seems that Big Builder is favoring K. A. Supplies Inc. over Adam's employer by manipulating the bidding process and passing on the bidding process’s confidential information to K. A. Supplies Inc.
b. Other information that needs to be obtained includes:What is the relationship between Big Builder and K. A. Supplies?What was the criteria for awarding the bid to K. A. Supplies Inc?How many bids were submitted, and how many were accepted?Who is the purchasing agent for Big Builder?
c. Some controls that Big Builder might implement to avoid improprieties in the bidding and purchasing process include:Developing an effective bidding process that avoids favoritism or prejudice and is fair to all bidders;Using an independent and objective panel to evaluate bids and award contracts;Having policies and procedures that emphasize ethical behavior in the procurement process;Ensuring confidentiality and integrity throughout the procurement process by using secure methods for handling confidential information.
To know more about confidential:
https://brainly.com/question/31139333
#SPJ11
The A is the relationship between the quantity that consumers purchase and their willingness to pay for each of those units.
The A is an economic concept that measures the relationship between the quantity that consumers purchase and their willingness to pay for each of those units.
It is also known as the demand curve, which is a graphical representation of how much of a particular good or service consumers are willing to buy at different prices. The A can be influenced by various factors such as changes in consumer income, prices of other goods, and personal preferences. Generally, the A is downward sloping, meaning that as prices rise, consumers are willing to buy fewer units, and as prices fall, they are willing to buy more units.
The A is crucial to understanding the behavior of consumers and the overall health of markets. When the A is high, it means that consumers are willing to pay a high price for a particular good or service, which indicates high demand and a healthy market. Conversely, a low A may indicate weak demand, oversupply, or market saturation. Understanding the A is essential for businesses to price their products effectively and efficiently. For example, if a business sets its prices too high, it may deter customers from buying its products, while if it sets prices too low, it may not be able to cover its costs and make a profit. Therefore, businesses need to find the right balance between price and demand to achieve their goals.
Learn more about businesses :
https://brainly.com/question/15826604
#SPJ11
Extra-credit question: Partly due to the pressure exerted by the banking lobby (as we saw in the previous question) and partly for another reason, the Fed changed that rule. What is the new rule now? a. Paying interest on reserves b. Reducing the required reserve ratio to zero. c. Including savings deposits in M1. d. Increasing the amount of deposits insured by FDIC from $150,000 to $250,000. e. Reducing the discount rate to zero. f. Reducing the federal funds rate to zero. g. Stop regulating the amount of bank capital.
The new rule implemented by the Fed is Paying interest on reserves. The correct answer is option a.
Under this rule, banks are now allowed to earn interest on the reserves they hold at the Federal Reserve. Prior to this change, reserves held by banks did not earn any interest.
By paying interest on reserves, the Fed aims to provide incentives for banks to keep excess reserves with the central bank instead of lending them out.
This policy helps the Fed in implementing monetary policy by influencing the level of reserves in the banking system. It also provides greater flexibility to the Fed in managing interest rates and liquidity in the financial system.
The correct answer is option a.
To know more about Federal Reserve refer to-
https://brainly.com/question/14700070
#SPJ11
ignmentSessionLocator=&inprogress=false 1. Determine the inventory on March 31 and the cost of goods sold for the three-month period, using the first-in, first-out method and the periodic inventory system. 口 Inventory, March 31 s 1,010,625 X Cost of goods sold s 10,891,875 X 2. Determine the inventory on March 31 and the cost of goods sold for the three-month period, using the last-in, first-out method and the periodic inventory system. Inventory, March 31 $ 881,259 X Cost of goods sold 10,921,525 X 3. Determine the inventory on March 31 and the cost of goods sold for the three-month period, using the weighted average cost method and the periodic inventory system. Round the weighted average unit cost to the nearest cent. Inventory, March 31 s Cost of goods sold s 4. Compare the gross profit and the March 31 Inventories, using the following column headings. For those boxes in which you must enter subtracted or negative numbers use a minus sign. FIFO LIFO Weighted Average $ Sales $ $ Cost of goods sold $ $ Gross profit $ $ Inventory, March 31 $ ignmentSessionLocator=&inprogress=false 1. Determine the inventory on March 31 and the cost of goods sold for the three-month period, using the first-in, first-out method and the periodic inventory system. 口 Inventory, March 31 s 1,010,625 X Cost of goods sold s 10,891,875 X 2. Determine the inventory on March 31 and the cost of goods sold for the three-month period, using the last-in, first-out method and the periodic inventory system. Inventory, March 31 $ 881,259 X Cost of goods sold 10,921,525 X 3. Determine the inventory on March 31 and the cost of goods sold for the three-month period, using the weighted average cost method and the periodic inventory system. Round the weighted average unit cost to the nearest cent. Inventory, March 31 s Cost of goods sold s 4. Compare the gross profit and the March 31 Inventories, using the following column headings. For those boxes in which you must enter subtracted or negative numbers use a minus sign. FIFO LIFO Weighted Average $ Sales $ $ Cost of goods sold $ $ Gross profit $ $ Inventory, March 31 $
The task involves calculating the inventory on March 31 and the cost of goods sold for a three-month period using different inventory costing methods (FIFO, LIFO, and weighted average).
In this task, the inventory on March 31 and the cost of goods sold are calculated using three different inventory costing methods: first-in, first-out (FIFO), last-in, first-out (LIFO), and weighted average cost. The periodic inventory system is used, which means that the inventory is not continuously tracked, and the cost of goods sold is determined periodically.
For the first-in, first-out (FIFO) method, the inventory on March 31 is given as $1,010,625, and the cost of goods sold for the three-month period is $10,891,875.
For the last-in, first-out (LIFO) method, the inventory on March 31 is given as $881,259, and the cost of goods sold for the three-month period is $10,921,525.
For the weighted average cost method, the calculation of the inventory on March 31 and the cost of goods sold is not provided in the given information.
Finally, the gross profit and the value of inventory on March 31 are compared using the FIFO, LIFO, and weighted average cost methods, with the specific values not given in the provided information.
Overall, the task involves performing calculations based on different inventory costing methods and comparing the results in terms of gross profit and inventory value on March 31.
Learn more about LIFO and FIFO: brainly.com/question/12883706
#SPJ11
