In the 2008 global financial crisis, many investors considered the US economy a safe place to move their assets What is the predicted impact of this inflow of financial capital to the US, which is a large, open economy, on the US interest rate and the US exchange rate, holding other factors constant Illustrate your answer graphically and explain in words.

Answers

Answer 1

Answer:

Good for US interest rate and the US exchange rate.

Explanation:

The predicted impact of this inflow of financial capital to the United states of America is good for the economy as well as for US interest rate and the US exchange rate when the movement of assets occur to the United states of America. The economy of the United states of America gets to be better due to this action of investors. This 2008 global financial crisis greatly damaged the economy of United states of America so this action bring some betterment in the economy.


Related Questions

Risk is best thought of as the potential for variability in the investment’s outcomes. This means that if an investment has the potential to provide only one possible outcome or return, then it is , while if there is more than one possible return or result, then the asset should be considered . This is why securities sold by the U.S. Treasury have historically been considered to be the securities in the world; because except in the event of the failure of the U.S. government, any investor holding a Treasury security would receive the security’s face value upon its maturity.

Answers

Answer:

safe or risk free,  risky,  safest

Explanation:

In investment market, risk is defined as the potential for the variability in the outcomes of the investment. Thus it is meant that outcome or return of making an investment is safe and risk free if there is only one return or outcome. But if there are more than one possible return from the investment, then that investment is considered as risky. For this reason the securities sold by the United States' Treasury is considered to be the safest securities in the world as the investor will receive the face value of the security upon its maturity from the government.

Smiley Corporation wholesales repair products to equipment manufacturers. On April 1, 20Y1, Smiley issued $1,400,000 of 4-year, 7% bonds at a market (effective) interest rate of 6%, receiving cash of $1,449,138. Interest is payable semiannually on April 1 and October 1.
Required:
A. Journalize the entries to record the following. Refer to the Chart of Accounts for exact wording of account titles.
1. Issuance of bonds on April 1.
2. First interest payment on October 1 and amortization of bond premium for six months, using the straight-line method. The bond premium amortization is combined with the semiannual interest payment. (Round to the nearest dollar.)
B. Explain why the company was able to issue the bonds for $20,811,010 rather than for the face amount of $20,000,000.

Answers

Answer:

A1.Apr.1

Dr Cash $1,449,138

Cr Premium on Bonds Payable $49,138

Cr Bonds Payable $1,400,000

A2. Oct. 1

Dr Interest Expense $24,431

Dr Premium on Bonds Payable $24,569

Cr Cash $49,000

B. The BONDS was paying HIGHER INTEREST RATE of 7% to the MARKET INTEREST RATE of 6%.

Explanation:

A1. Preparation of the journal entry to record Issuance of bonds on April 1Apr.1

Dr Cash $1,449,138

Cr Premium on Bonds Payable $49,138

($1,449,138-$1,400,000)

Cr Bonds Payable $1,400,000

(To record Issuance of bonds)

A2. Preparation of the journal entry to record First interest payment on October 1 and amortization of bond premium for six months, using the straight-line method.

Oct. 1

Dr Interest Expense $24,431

($49,000-$24,569)

Dr Premium on Bonds Payable $24,569

[($1,449,138-$1,400,000)4*2]

Cr Cash $49,000

( $1,400,000 x 7% x 6/12)

(To record First interest payment and amortization of bond premium )

B. Based on the information given the reason

WHY the company was able to issue the bonds for $20,811,010 RATHER THAN for the FACE AMOUNT of $20,000,000 was because the BONDS was paying HIGHER INTEREST RATE of 7% to the MARKET INTEREST RATE of 6%.

The Molding Department of Boswell Company has the following production data: beginning work process 40,000 units (60% complete), started into production 730,000 units, completed and transferred out 690,000 units, and ending work in process 80,000 units (40% complete). Assuming conversion costs are incurred uniformly during the process, the equivalent units for conversion costs are:

Answers

Answer: 770,000 units

Explanation:

The Equivalent units for Conversion cost is calculated as:

= Total units completed and transferred out + Equivalent units of closing work in process

As the conversion costs were incurred uniformly during the process, the entire closing work in process would have already incurred conversion cost. Conversion cost closing equivalent units are therefore 80,000 units.

Equivalent units for Conversion cost = 690,000 + 80,000

= 770,000 units

________ would be hurt by unexpected inflation. a. A firm that purchased inputs with a two-year contract b. A worker whose wage increases with inflation c. A worker who signed a two-year wage contract d. A firm who hired a worker on a two-year wage contract

Answers

Answer:

a firm who hired a worker

Explanation:

on a two year wage contract

A firm that hired a worker on a two-year wage contract would be hurt by unexpected inflation. Thus, option D is correct.

What is inflation?

Inflation, in financial aspects, aggregates expansions in the stockpile of cash, in cash salaries, or in costs. Expansion is by and large considered an exorbitant ascent in the general degree of costs.

While high expansion is by and large thought to be hurtful, a few financial experts accept that a modest quantity of expansion can assist with driving monetary development.

Inter worker was having job security for at least 2 years but due to inflation, he might not have a job. This is the most unexpected thing that the person could experience. As it will be treated as something that has caused hindrances in his planning.

Therefore, option D is correct.

Learn more about Inflation, here:

https://brainly.com/question/29308595

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We Are the World is an importing company that specializes in importing hand-made arts and crafts from crafters and artisans around the world. The company has about $4 million worth of stock outstanding. Due to its desire to avoid double taxation, it is structured so that its individual shareholders pay taxes on all of the company's income. The shareholders report the flow-through of income and losses on their personal tax returns and are assessed at their individual tax rates. We Are the World is a(n):_____.
a. limited liability company (LLC).
b. C corporation.
c. S corporation.
d. G corporation.
e. investment trust.

Answers

Answer:

c. S corporation.

Explanation:

S corporations that are elected for passing out the corporate income, losses, deductions and credits via to the shareholders for the federal tax motive. It is responsible for tax on specific gains and the passive income for the entity level

Also the shareholders could reported the flow via income and the losses on the personal income tax returns and can be assess at individual tax rates

So, the option c is correct

Vextra Corporation is considering the purchase of new equipment costing $38,000.The projected annual cash inflow is $11,600, to be received at the end of each year.The machine has a useful life of 4 years and no salvage value.Vextra requires a 12% return on its investments.The present value of an annuity of $1 for different periods follows:Periods 12 Percent1 0.89292 1.69013 2.40184 3.0373What is the net present value of the machine (rounded to the nearest whole dollar)?a. $(35,233).b. $(2,767).c. $38,000.d. $(3,700).e. $5,233.

Answers

Answer:

b. $(2,767).

Explanation:

The computation of the net present value is shown below:

= Present cash flows - initial investment

= ($11,600 × 3.0373) - $38,000

= $35,232.68 - $38,000

= -$2,767.32

= -$2,767

Hence, the option b is correct

We simply applied the above formula to determine the net present value

Health and Wealth Company is financed entirely by common stock that is priced to offer a 15 percent expected return. If the company repurchases 25 percent of the common stock and substitutes an equal value of debt yielding 6 percent, what is the expected return on the common stock after refinancing

Answers

Answer: 18%

Explanation:

The expected return on the common stock after refinancing will be calculated thus:

Let's assume that common stock is 1000. Therefore, return will be:

= 15% × 1000 = 150

Since 25% of the common stock is repurchased, this will be:

= 25% × 1000 = 250

Then, this 250 is financed by debt at 6%, and this will be:

= 6% × 250 = 15

Then, the new return will be:

= 150 - 15 = 135

Expected Return will now be:

= 135/(1000 - 250)

= 135/750

= 18%

The phase of the business cycle with the highest level of GDP and the lowest unemployment rate is called an?

Answers

Answer:

Expansion phase

Explanation:

Expansion is an economic cycle phase in which real gross domestic product rises for two or more months in a succession, going from a trough to a high. Expansion is often known as an improving economy since it is usually followed by an decrease in unemployment, consumer sentiment, and commodity prices.

Answer:

peak

Explanation:

Hoi Chong Transport, Ltd., operates a fleet of delivery trucks in Singapore. The company has determined that if a truck is driven 177,000 kilometers during a year, the average operating cost is 12.3 cents per kilometer. If a truck is driven only 118,000 kilometers during a year, the average operating cost increases to 15.5 cents per kilometer.

Required:
a. Using the high-low method, estimate the variable and fixed cost elements of the annual cost of the truck operation.
b. Express the variable and fixed costs in the form Y = a + bX.
c. If a truck were driven 147,000 kilometers during a year, what total cost would you expect to be incurred?

Answers

the answer is option a

John is working on his department's annual plan. Employee performance has been okay and commitment to his department's goals moderate. In the past John
has asked his employees to do their best. This year he is asking each employee to work with him in determining exactly what that employee is going to
accomplish this year. John wants his people to feel the goals are theirs, to invest in their accomplishment. He wants them to believe that they can accomplish
these goals. He thinks he can help this whole process by meeting with each employee quarterly and talking about where the department is and where the
employee is in regards to goal accomplishment. In the past what principle of goal setting did John violate?
O A) Goal commitment
OB) Assigning specific goals
O Setting difficult but acceptable goals
OD) Providing feedback on goal attainment

Answers

Answer:B

Explanation:

You pay $75 for a ticket to a Drake concert. You think the ticket is worth $100. The night before the concert your friend offers you a free ticket to a Post Malone concert that you think is worth $80. What is the opportunity cost to you of going to the Drake concert instead of the Post Malone concert?a) $155b) $20c) $5d) $75e) $80

Answers

Answer: $80

Explanation:

The opportunity cost is regarded as the real cost of the alternative that was left or forgone.

Based on the information given in the question, the opportunity cost is the free ticket to a Post Malone concert that is worth $80 which was given to me by my friend.

Therefore, the correct option is E.

Cost outlays are recorded as an expense when they are incurred to earn revenue in the _______________ accounting period

Answers

Answer:

Present

Explanation:

An outlay cost is a cost incurred at the time when we have to execute the strategy or purchasing an asset. It can be paid to the vendors for purchasing the goods like for inventory. So this cost should be recognized as an expense when they are incurred in order to earn the revenue in the current or present accounting period

Record the journal entry for Sales and for Cash Over and Short for each of the following separate situations.a. The cash registerâs record shows $420 of cash sales, but the count of cash in the register is $430.b. The cash registerâs record shows $980 of cash sales, but the count of cash in the register is $972.

Answers

Answer and Explanation:

The journal entry is shown below:

Cash $430  

  To Sales revenue $420

  To Cash over and short $10

(Being cash is recorded)

Here cash is debited as it increased the assets and credited the sales as it also increased the revenue  

Cash $972  

Cash over and short $8  

       To Sales revenue $980

(being cash is recorded)

Here cash is debited as it increased the assets and credited the sales as it also increased the revenue  

Frank and Daniel both agreed to volunteer for a company project cleaning and organizing the district warehouse. There were to be 50 volunteers. Upon arrival, they discovered volunteer turnout was low. They were assigned to the northwest corner of the warehouse where they were to meet Trixie, who would give them their assignment. When they arrived, Trixie was nowhere to be found but they did find two push-brooms leaning against the wall. Frank took a seat on a box to wait for Trixie and his assignment. Daniel grabbed one of the push-brooms and began sweeping. While he was sweeping, Daniel thought, "This is why my desk looks so tidy, while Frank’s desk looks like a disaster." Which of the following statements is likely true of this scenario? Multiple Choice I

a. n this weak situation, Frank’s laziness trait is activated. In this strong situation, Daniel’s neurotic trait is activated.
b. In this weak situation, Daniel’s introversion trait is activated. In this strong situation Frank’s conscientiousness trait is activated.
c. In this weak situation, Daniel’s extraversion trait is activated.

Answers

Answer:

a. In this weak situation, Frank’s laziness trait is activated. In this strong situation, Daniel’s neurotic trait is activated.

Explanation:

A trait can be defined as the characteristics of a person that describes his nature and his behavior. It is the result of one's genes or are influence from surrounding or nature.

A neurotic trait of a person helps the person to deal with the stress. It is a tendency towards shyness, anxiety, etc.

In the context, it is given that both Frank and Daniel volunteered themselves for cleaning a district warehouse. They were assigned the northwest corner of the warehouse to clean. Daniel found a push-broom and started sweeping and cleaning the floor, while Frank waited for Trixie to arrive who will assigned them their job.

In this situation, it shows the laziness trait of Frank who felt too lazy to start his work before someone assigning them to him while Daniel is active and it shows his neurotic trait because of which Daniel started his job and did not waited for Trixie to come.

Thus the correct option is (a).

Quantity demand is 385 and quantity supplied is 203 calculate the shortage

Answers

Answer:

Shortage = 182 units

Explanation:

Given:

Quantity demanded = 385

Quantity supplied = 203

Find:

Shortage

Computation:

In economic terms, a shortage occurs when the amount sought exceeds the quantity available at the market price.

Shortage is difference between Quantity demanded and Quantity supplied.

Shortage = Quantity demanded - Quantity supplied

Shortage = 385 - 203

Shortage = 182 units

Assume that the U.S. borrowing rate is 8% while the German is 10%. If Euros are borrowed by a U.S. firm for one year, they would have to _____ against the dollar by_____ to have the same effective financing rate as borrowing dollars. Group of answer choices Appreciate, 1.1818%. Appreciate, 1.8518%. Depreciate, 1.6363%. Depreciate, 1.8518%. Depreciate, 1.1818%.

Answers

Answer:

Depreciate 1.1818

Explanation:

U.S. has a borrowing rate of 8% and German has borrowing rate of 10%. If U.S. dollars are borrowed from firm then Euros will depreciate to match with the dollar borrowing.

[1 + 8% ] / [ 1 + 10%] - 1 = - 1.1818

Do you think the licensing process for international medical graduates is an unnecessary hurdle meant to shield U.S. doctors from foreign competition?

Answers

Answer:

No licensing is right. Doctors in U.S. are spending more on medical studies than any other country. It is necessary for other country medical students to gain license in order to do practice in the country.

Explanation:

In U.S. doctors are in deficiency so the country cannot completely cease employment for foreign doctors. The country needs to welcome foreign doctors but it is also necessary to safeguard home doctors. If U.S. will not safeguard rights of home country doctors then they will be demotivated and will not be patriotic for the country.

Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company’s normal activity level of 86,400 units per year is: Direct materials $ 1.50 Direct labor $ 2.00 Variable manufacturing overhead $ 0.60 Fixed manufacturing overhead $ 3.75 Variable selling and administrative expenses $ 1.90 Fixed selling and administrative expenses $ 1.00 The normal selling price is $25.00 per unit. The company’s capacity is 122,400 units per year. An order has been received from a mail-order house for 3,000 units at a special price of $22.00 per unit. This order would not affect regular sales or the company’s total fixed costs. Required: 1. What is the financial advantage (disadvantage) of accepting the special order? 2. As a separate matter from the special order, assume the company’s inventory includes 1,000 units of this product that were produced last year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales of its current model. What unit cost is relevant for establishing a minimum selling price for these units?

Answers

Answer:

Delta Company

1. The financial advantage of accepting the special order is:

= $53,700.

2. The minimum selling price for these units that is relevant is:

= $4.10 (the unit variable manufacturing cost).

Explanation:

a) Data and Calculations:

Normal activity level per year = 86,400 units

Direct materials                                   $ 1.50

Direct labor                                         $ 2.00

Variable manufacturing overhead    $ 0.60

Variable manufacturing cost per unit $4.10

Fixed manufacturing overhead $ 3.75

Variable selling and administrative expenses $ 1.90

Fixed selling and administrative expenses $ 1.00

The normal selling price = $25.00 per unit.

The company’s capacity is 122,400 units per year

Special Order:

Sales revenue             $66,000 (3,000 * $22)

Cost of goods:

Variable manufacturing 12,300  (3,000 * $4.10)

Contribution margin   $53,700

Jake lives in Detroit and runs a business that sells boats. In an average year, he receives $722,000 from selling boats. Of this sales revenue, he must pay the manufacturer a wholesale cost of $422,000; he also pays wages and utility bills totaling $268,000. He owns his showroom; if he chooses to rent it out, he will receive $2,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Jake does not operate this boat business, he can work as a paralegal, receive an annual salary of $21,000 with no additional monetary costs, and rent out his showroom at the $2,000 per year rate. No other costs are incurred in running this boat business.
Identify each of Felix’s costs in the following table as either an implicit cost or an explicit cost of selling guitars.
Implicit Cost Explicit Cost
The wholesale cost for the guitars that Felix pays the manufacturer
The rental income Felix could receive if he chose to rent out his showroom
The salary Felix could earn if he worked as a paralegal
The wages and utility bills that Felix pays
Complete the following table by determining Felix’s accounting and economic profit of his guitar business. Profit (Dollars)Accounting Profit Economic Profit

Answers

Answer:

Explicit Cost

The wholesale cost for the guitars that Felix pays the manufacturerThe wages and utility bills that Felix pays

Implicit Cost

The salary Felix could earn if he worked as a paralegal The wages and utility bills that Felix pays

Accounting profit = $32,000

Economic profit = $9,000

Explanation:

Accounting profit= total revenue - explicit cost

Total revenue =price x quantity sold  

Explicit cost includes the amount expended in running the business.

They include rent , salary and cost of raw materials

Economic profit = accounting profit - implicit cost

Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives

The management of Penfold Corporation is considering the purchase of a machine that would cost $360,000, would last for 10 years, and would have no salvage value. The machine would reduce labor and other costs by $50,000 per year. The company requires a minimum pretax return of 9% on all investment projects. Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided. The net present value of the proposed project is closest to (Ignore income taxes.):

Answers

Answer:

the  net present value is -$72,050

Explanation:

The computation of the net present value is shown below

= $50,000  per year ×PVIFA factor at 10 years for 9% - $360,000

= $50,000 ×5.7590  - $360,000

= $287,950 - $360,000

= -$72,050

hence, the  net present value is -$72,050

So the same should be relevant and considered too

The management of Felipe Inc. is reevaluating the appropriateness of using its present inventory cost flow method, which is average-cost. The company requests your help in determining the results of operations for 2020 if either the FIFO or the LIFO method had been used. For 2020, the accounting records show these data:

Answers

Question Completion:

Inventories:

Beginning   9,940 units  $19,880

Ending       24,140 units

Total net Sales (255,600 units)  $1,060,740

Cost of goods purchased (269,800 units) $867,620

Quarterly Purchases:

Quarters  Units         Unit Costs     Total Costs

1              71,000             $2.98          $211,580

2            56,800               3.10            176,080

3            56,800              3.26             185,168

4            85,200              3.46           294,792

Answer:

Felipe Inc.

Income Statement for the year ended December 31, 2020:

                                       FIFO              LIFO

Sales Revenue         $1,060,740    $1,060,740

Cost of goods sold       803,976        825,304

Operating results      $256,764      $235,436

Explanation:

a) Data and Calculations:

Quarters   Units         Unit Costs     Total Costs

Beginning 9,940            $2.00            $19,880

1               71,000             $2.98            211,580

2             56,800               3.10            176,080

3             56,800              3.26             185,168

4             85,200              3.46           294,792

Total    279,740                               $887,500

Units sold 255,600

Ending inventory = 24,140 (279,740 - 255,600)

FIFO:

Cost of goods sold

= Cost of goods available for sale - Ending inventory

= $803,975.60 ($887,500 - $83,524.40)

Ending Inventory:

= $83,524.40 (24,140 * $3.46)

LIFO:

Cost of goods sold

= Cost of goods available for sale - Ending inventory

= $825,304 ($887,500 - $62,196)

Ending Inventory:

= (9,940 * $2.00) + (14,200 * $2.98)

= ($19,880 + $42,316)

= $62,196        

Calculate the geometric average return earned by an investor over three years if she earned 6% in the first year of an investment, 12% in the second year and 10% in the third year.

Answers

Answer:

8.96%

Explanation:

[tex]\sqrt[\frac{1}{n} ]{x1. x2.x3...}[/tex] = geometric average return

n = number of observations

x1 = observations

(0.06 x 0.12 x 0.1)^(1/3) = 0.0896 = 8.96%

Umatilla Bank and Trust is considering giving Kingbird, Inc. a loan. Before doing so, it decides that further discussions with Kingbird, Inc.’s accountant may be desirable. One area of particular concern is the Inventory account, which has a year-end balance of $253,450. Discussions with the accountant reveal the following.
1. Kingbird, Inc. sold goods costing $51,940 to Hemlock Company FOB shipping point on December 28. The goods are not expected to reach Hemlock until January 12. The goods were not included in the physical inventory because they were not in the warehouse.
2.The physical count of the inventory did not include goods costing $88,290 that were shipped to Kingbird, Inc. FOB destination on December 27 and were still in transit at year-end.
3. Kingbird, Inc. received goods costing $25,690 on January 2. The goods were shipped FOB shipping point on December 26 by Yanice Co. The goods were not included in the physical count.
4. Kingbird, Inc. sold goods costing $53,020 to Ehler of Canada FOB destination on December 30. The goods were received in Canada on January 8. They were not included in Kingbird, Inc. physical inventory.
5. Kingbird, Inc. received goods costing $46,060 on January 2 that were shipped FOB destination on December 29. The shipment was a rush order that was supposed to arrive December 31. This purchase was included in the ending inventory of $253,450.

Answers

Answer:

$286,100

Explanation:

Calculation to determine the correct inventory amount on December 31.

Using this formula

Correct Inventory amount=Ending Inventory+ Goods received shipping points + Goods shipped FOB destination-Goods received FOB destination

Let plug in the formula

Correct Inventory amount=$253,450+$25,690+$53,020-$46,060

Correct Inventory amount=$286,100

Therefore the correct inventory amount on December 31 is $286,100

When computing equivalent units of production, the method that combines partially completed units in beginning inventory with current-period production is the

Answers

Answer: the weighted average method

Explanation:

When computing the equivalent units of production, the weighted average method can be used in the combination of partially completed units in the beginning inventory with the current-period production.

In Weighted Average Cost method, a weighted average is used in the determination of the amount which gives into the inventory and the cost of goods sold.

Indicate whether the following instruments are examples of money market or capital market securities.

a. U.S. Treasury bills
b. Long-term corporate bonds
c. Common stocks
d. Preferred stocks
e. Dealer commercial paper

Answers

Answer and Explanation:

In the Money Market Securities, it is treated as the short-term securities that means they are traded for short-term period i.e. less than one year. It has the less risk also the return is also very less but the liquidity is very rich. Examples - treasury bills, commercial papers etc

While on the other hand, the capital market securties are traded for the long term i.e. more than one year. It contains the high risk also the return is very high. Examples - stocks, bonds, debentures

So based on the above explanation, the classification is as follows

a. Money market securities

b. capital market securities

c. capital market securities

d. capital market securities

e. money market securities

 

Identify the two events from the following that cause a Petty Cash account to be credited in a journal entry. (Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.) check all that apply Fund amount is being reduced.unanswered Fund amount is being increased.unanswered Fund is being eliminated.unanswered Fund is being established.

Answers

Answer:

Fund amount is being reduced.

Fund is being eliminated.

Explanation:

For example, when you are recording the expenses paid using the petty cash fund, you debit the expenses and credit the petty cash fund account. This also applies when the petty cash fund is too large and the company wants to reduce it; cash will be debited and the petty cash fund account will be credited.

Bob agreed to tutor Lola in Spanish for two (2) hours and Lola agreed to pay $25.00 per hour for the tutoring services. Bob tutored Lola and she paid Bob $50.00. This means that the parties have been _____.

Answers

Answer: discharged by performance

Explanation:

When parties to a contract are discharged from their duties as per the contract, it means that they are no longer party to the agreement. When this is done by performance, it means that the discharge was done because both parties have fulfilled the demands of the contract.

Bob agreed to tutor Lola for two hours and Lola agreed to pay Bob $50 for that. Bob then tutored her for the two hours and was paid the amount. The parties have therefore fulfilled their obligations to each other and so the contract has been satisfied.

Bellevue Company has 26,000 units of inventory on hand at December 31. It sold 1,950 units which are in transit and were shipped FOB destination. Bellevue purchased 3,250 units which were shipped FOB shipping point by the seller and are still in transit. What is the total amount of inventory to which Bellevue has legal title at December 31

Answers

Answer:

24050

Explanation:

Calculation to determine the total amount of inventory to which Bellevue has legal title at December 31

Using this formula

Inventory=Inventory on hand at December 31- Units in Transit

Let plug in the formula

Inventory=26,000 units- 1,950 units

Inventory=24050

Therefore the total amount of inventory to which Bellevue has legal title at December 31 is 24050

In the Month of March, Digby received orders of 123 units at a price of $15.00 for their product Deal. Digby uses the accrual method of accounting and offers 30 day credit terms. Digby delivers 123 units in April. They received payment for 62 units in March, and 62 units in April. In the March income statement, how much revenue is recognized on the March income statement from this order

Answers

Answer:

The amount of revenue is recognized on the March income statement from this order is $1,845.00.

Explanation:

Accrual accounting can be described as a method of accounting in which revenue or expenses are recorded at the time of the transaction rather than when payment is received or made.

Since this transaction occurred in March, the total revenue of orders of 123 units received in the month of March will be recognized on the March income statement from this order. That is:

Amount of revenue to recognized in March = 123 * $15.00 = $1,845.00

Therefore, the amount of revenue is recognized on the March income statement from this order is $1,845.00.

A game has a saddle point when the maximin payoff value equals the minimax payoff value. true or false

Answers

Answer:

True

Explanation:

To answer this question, I'll use the following illustration.

Minimax = <10,18,15>

Maximax = <8,4,10>

The payoff of the minimax is 10 (i.e. the smallest) and the payoff of the maximax is 10 (i.e. the largest)

Both payoffs are equal; hence, 10 is the saddle point.

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