Answer:
B
Explanation:
B is the answer I am not 100 percent sure
Last year, Valley Manufacturing reported sales of $800,000, net operating income of $40,000, and average operating assets of $400,000. The company is considering the purchase of equipment that will reduce expenses by $20,000. The equipment will increase average operating assets by $100,000 and be purchased by issuing a notes payable. Sales will remain unchanged. If Valley accepts the project, its return on investment (ROI) after the purchase is projected to
Answer:increase, 10%, 12%
Explanation:
Which of the following is a true statement?
(A) New products introduce risk into a portfolio as well as future potential profits.
(B) A company’s product portfolio is assured of success by adding new products.
(C) New products bring great rewards with little risk.
Answer:
I think it's C, New products bring great rewards with little risk
The correct option is (A) .As we know introducing a product is not that much fast and easy because it automatically contains greater risk in it.
What does the new product mainly contain?Introducing a new product is the most important component of a product portfolio. As it contains greater risk but it also contains greater rewards too.
How can we explain it with a help of an example?When a company launches new products it automatically contains the risk that if it would be opened in the market what would be the customer's reaction, whether a customer would like it or not. If the customer like the product risk would convert into a reward for the company and if not then it would get a loss to the company. This profit and loss to the company affect the portfolio the most.
Learn more about portfolio here: https://brainly.com/question/14213764
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Coronado Industries had 293000 shares of common stock issued and outstanding at December 31, 2020. No common stock was issued during 2021. On January 1, 2021, Coronado issued 200000 shares of nonconvertible preferred stock. During 2021, Coronado declared and paid $110000 cash dividends on the common stock and $79000 on the preferred stock. Net income for the year ended December 31, 2021 was $618000. What should be Coronado's 2021 earnings per common share
Answer:
$3.72
Explanation:
earnings per common share = earning attributable to holder of common stock ÷ weighted average number of common stocks outstanding
therefore,
earnings per common share = $3.72
In divisional income statements prepared for Lemons Company, the Payroll Department costs are allocated to user divisions on the basis of the number of payroll distributions, and the Purchasing Department costs are allocated on the basis of the number of purchase requisitions. The Payroll Department had costs of $62,928, and the Purchasing Department had expenses of $29,480 The following annual data for Residential, Commercial, and Government Contract divisions were obtained from corporate records:
Residential Commercial Government Contract
Sales $2,000,000 $3,250,000 $2,900,000
Weekly payroll (52 weeks per year) 400 250 150
Monthly payroll 80 30 10
Number of purchase requisitions per year 7,500 3,000 2,000
Required:
a. Determine the total amount of payroll checks and purchase requisitions processed per year by the company and each division.
b. Using the activity base information in (a), determine the annual amount of payroll and purchasing costs charged back to the Residential, Commercial, and Government Contract divisions from payroll and purchasing services.
c. Residential's service department charge is _______ than the other two divisions because Residential is a user of service department services. Residential has many employees on a weekly payroll, which translates into a ________ number of payroll transactions.
Answer:
Lemons Company
a. Total amount of payroll checks = 920
amount of purchase requisitions = 12,500
b-a Residential Commercial Government Total
Payroll $32,832 $19,152 $10,944 $62,928
b-b Purchasing
Costs $17,688 $4,717 $7,075 $29,480
c. Residential's service department charge is __higher__ than the other two divisions because Residential is a user of service department services. Residential has many employees on a weekly payroll, which translates into a __higher__ number of payroll transactions.
Explanation:
a) Data and Calculations:
Cost of the Payroll Department = $62,928
Cost of the Purchasing Department = $29,480
Residential Commercial Government Total
Contract
Sales $2,000,000 $3,250,000 $2,900,000 $8,150,000
Weekly payroll
(52 weeks per year) 400 250 150 800
Monthly payroll 80 30 10 120
Total 480 280 160 920
Number of purchase
requisitions per year 7,500 3,000 2,000 12,500
a. Total amount of payroll checks = 920 (800 + 120)
Total amount of purchase requisitions = 12,500
b-a Residential Commercial Government Total
Payroll $32,832 $19,152 $10,944 $62,928
(480/920 * $62,928) (280/920 * $62,928) (160/920 * $62,928)
b-b Purchasing
Costs $17,688 $4,717 $7,075 $29,480
(7,500/12,500 * $29,480) (2,000/12,500 * $29,480) (3,000/12,500 * $29,480)
Total $50,520 $23,869 $18,019 $92,408
Percentage 54.7% 25.8% 19.5% 100%
On January 3, 2020, Hanna Corporation signed a lease on a machine for its manufacturing operation and the lease commences on the same date. The lease requires Hanna to make six annual lease payments of $12,000 with the first payment due December 31,2020. Hanna could have financed the machine by borrowing the purchase price at an interest rate of 7%. a. Prepare the journal entries that Hanna Corporation would make on January 3 and December 31, 2020, to record this lease assuming. i. the lease is reported as an operating lease. ii. the lease is reported as a finance lease. b. Post the journal entries of part a to the appropriate T-accounts. c. Show how the entries posted in part b would affect the financial statements using the financial statement effects template.
Answer:
Hanna Corporation
a. Journal entries that Hanna Corporation would make on January 3 and December 31, 2020 to record this lease assuming:
i. the lease is reported as an operating lease:
January 3, 2020: No journal entry
December 31, 2020:
Debit Lease Expense $12,000
Credit Cash $12,000
To record the payment for the operating lease.
ii. the lease is reported as a finance lease:
January 3, 2020:
Debit Right to Use Asset $57,198.48
Credit Lease Liability $57,198.48
To recognize the right to the leased asset and establish the related liability.
December 31, 2020:
Debit Lease Liability $7,996,11
Debit Interest Expense $4,003.89
Credit Cash $12,000
To record the payment for the lease liability and interest expense.
b. T-accounts;
Operating lease:
Cash Account
Date Account Titles Debit Credit
Dec. 31, 2020 Lease Expense $12,000
Lease Expense
Date Account Titles Debit Credit
Dec. 31, 2020 Cash $12,000
Finance Lease:
Right to Use Asset
Date Account Titles Debit Credit
Jan. 3, 2020 Lease Liability $57,198.48
Lease Liability
Date Account Titles Debit Credit
Jan. 3, 2020 Right to Use Asset $57,198.48
Dec. 31, 2020 Cash $7,996.11
Cash Account
Date Account Titles Debit Credit
Dec. 31, 2020 Lease Liability $7,996.11
Interest Expense $4,003.89
Interest Expense
Date Account Titles Debit Credit
Dec. 31, 2020 Cash $4,003.89
c. Financial Statement Effects:
Balance Sheet Income Statement Statement of
Assets = Liabilities + Equity Revenue-Expenses=Profit
a. Cash -$12,000
= Liabilities + Equity (Retained -$12,000 Operating activity
Earnings - $12,000) $12,000
b. Assets +$57,198.48
= Liabilities +$57,198.48
Cash -$12,000
= Liabilities -$7,996,11 + Equity -$4,003.89 Operating activity
(Retained earnings -$4,003.89) $4,003.89
Explanation:
a) Data and Calculations:
Lease for a manufacturing machine:
Annual lease payment = $12,000
Lease period = 6 years
Lease date = January 3, 2020
First payment date = December 31, 2020
Relevant interest rate = 7%
From an online financial calculator:
N (# of periods) 6
I/Y (Interest per year) 7
PMT (Periodic Payment) 12000
FV (Future Value) 0
Results
PV = $57,198.48
Sum of all periodic payments $72,000.00
Total Interest $14,801.52
Payment Schedule
Period PV PMT Interest FV
1 $57,198.48 $12,000.00 $4,003.89 $49,202.37
2 $49,202.37 $12,000.00 $3,444.17 $40,646.54
3 $40,646.54 $12,000.00 $2,845.26 $31,491.79
4 $31,491.79 $12,000.00 $2,204.43 $21,696.22
5 $21,696.22 $12,000.00 $1,518.74 $11,214.95
6 $11,214.95 $12,000.00 $785.05 $0.00
The statement of cash flows (as well as the balance sheet) includes within cash the notion of cash equivalents. The FASB Accounting Standards Codification represents the single source of authoritative U.S. generally accepted accounting principles. Required: 1. Obtain the relevant authoritative literature on cash equivalents using the FASB Accounting Standards Codification at the FASB website (www.fasb.org). What is the specific seven-digit Codification citation (XXX-XX-XX) that describes the guidelines for determining what items should be deemed cash equivalents
Answer: FASB ACS 305-10-20
Explanation:
The FASB Accounting Standards Codification simply refers to the source with regards to accounting principles that are generally accepted.
It should be noted that the specific seven-digit Codification citation that describes the guidelines for determining the items that should be deemed cash equivalents is FASB ACS 305-10-20. The main guideline contained here is that cash equivalents can be changes easily to cash.
Danner Company expects to have a cash balance of $52,965 on January 1, 2017. Relevant monthly budget data for the first 2 months of 2017 are as follows. Collections from customers: January $100,045, February $176,550. Payments for direct materials: January $58,850, February $88,275. Direct labor: January $35,310, February $52,965. Wages are paid in the month they are incurred. Manufacturing overhead: January $24,717, February $29,425. These costs include depreciation of $1,765 per month. All other overhead costs are paid as incurred. Selling and administrative expenses: January $17,655, February $23,540. These costs are exclusive of depreciation. They are paid as incurred. Sales of marketable securities in January are expected to realize $14,124 in cash. Danner Company has a line of credit at a local bank that enables it to borrow up to $29,425. The company wants to maintain a minimum monthly cash balance of $23,540.
Prepare a cash budget for January and February.
Answer:
Danner Company
Cash Budget for January and February
January February
Beginning balance $52,965 $32,367
Collections from customers 100,045 176,550
Sales of marketable securities 14,124
Cash available $167,134 $208,917
Payments:
Direct materials $58,850 $88,275
Direct labor 35,310 52,965
Manufacturing overhead 22,952 27,660
Selling & administrative expenses 17,655 23,540
Total payments $134,767 $192,440
Cash balance $32,367 $16,477
Required minimum balance 23,540 23,540
Excess (Needed) Financing $8,827 ($7,063)
Explanation:
a) Data and Calculations:
Expected January 1, 2017 Cash Balance = $52,965
January February
Collections from customers $100,045 $176,550
Sales of marketable securities 14,124
Payments:
Direct materials $58,850 $88,275
Direct labor 35,310 52,965
Manufacturing overhead 22,952 27,660
Selling & administrative expenses 17,655 23,540
Line of credit limit = $29,425
Required minimum cash balance = $23,540
On January 8, 2012, Speedway Delivery Service purchased a truck at a cost of $65,000. Before placing the truck in service, Speedway spent $4,000 painting it, $2,500 replacing tires, and $8,000 overhauling the engine. The truck should remain in service for five years and have a residual value of $6,000. The truck’s annual mileage is expected to be 22,000 miles in each of the first four years and 12,000 miles in the fifth year—100,000 miles in total. In deciding which depreciation method to use, David Greer, the general manager, requests a depreciation schedule for each of the depreciation methods (straight-line, units-of-production, and double-declining-balance).
Requirements
1. Prepare a depreciation schedule for each depreciation method, showing asset cost, depreciation expense, accumulated depreciation, and asset book value.
2. Speedway prepares financial statements using the depreciation method that reports the highest net income in the early years of asset use. For income tax purposes, the company uses the depreciation method that minimizes income taxes in the early years. Consider the first year that Speedway uses the truck. Identify the depreciation methods that meet the general manager’s objectives, assuming the income tax authorities permit the use of any of the methods.
Answer:
Speedway Delivery Service
1. Depreciation Schedules:
Depreciation Schedule (Straight-line Method)
Date Cost Value Depreciation Accumulated Net Book
Expense Depreciation Value
December 31, 2012 $79,500 $14,700 $14,700 $64,800
December 31, 2013 $79,500 $14,700 $29,400 $50,100
December 31, 2014 $79,500 $14,700 $44,100 $35,400
December 31, 2015 $79,500 $14,700 $58,800 $20,700
December 31, 2016 $79,500 $14,700 $73,500 $6,000
Depreciation Schedule (Units-of-production Method)
Date Cost Value Depreciation Accumulated Net Book
Expense Depreciation Value
December 31, 2012 $79,500 $16,170 $16,170 $63,330
December 31, 2013 $79,500 $16,170 $32,340 $47,160
December 31, 2014 $79,500 $16,170 $48,510 $30,990
December 31, 2015 $79,500 $16,170 $64,680 $14,820
December 31, 2016 $79,500 $8,820 $73,500 $6,000
Depreciation Schedule (Double-declining-balance Method)
Date Cost Value Depreciation Accumulated Net Book
Expense Depreciation Value
December 31, 2012 $79,500 $31,800 $31,800 $47,700
December 31, 2013 $79,500 $19,080 $50,880 $28,620
December 31, 2014 $79,500 $11,448 $62,328 $17,172
December 31, 2015 $79,500 $6,869 $69,197 $10,303
December 31, 2016 $79,500 $4,303 $73,500 $6,000
2. The straight-line method reports the highest net income in the early years while the double-declining-balance method minimizes the income taxes in the early years.
Explanation:
a) Data and Calculations:
January 8, 2012:
Purchase of a delivery truck = $65,000
Cost of painting the truck = 4,000
Cost of replacing the tires = 2,500
Cost of overhauling the engine 8,000
Total costs = $79,500
Residual value = 6,000
Depreciable amount = $73,500
Estimated useful life = 5 years
Straight-line depreciation Method:
Annual depreciation expense = $14,700 ($73,500/5)
Units-of-production Method:
Depreciation rate per mile = $0.735 ($73,500/100,000)
For 22,000 miles, depreciation expense = $16,170 ($0.735 * 22,000)
For 12 ,000 miles, depreciation expense = $8,820 ($0.735 * 12,000)
Double-declining-balance method:
Depreciation rate = 100/5 * 2 = 40%
First year's depreciation expense = $31,800 ($79,500 * 40%)
Declined balance = $47,700 ($79,500 - $31,800)
Second year's depreciation expense = $19,080 ($47,700 * 40%)
Declined balance = $28,620 ($47,700 - $19,080)
Third year's depreciation expense = $11,448 ($28,620 * 40%)
Declined balance = $17,172 ($28,620 - $11,448)
Fourth year's depreciation expense = $6,869 ($17,172 * 40%)
Declined balance = $10,303 ($17,172 - $6,869)
Fifth year's depreciation expense = $4,303 ($10,303 - $6,000)
Communication starts with
sender
is answer..
........
Which of the following is the second step in the hiring process?
Select the best answer choice.
A.
the submission of the application or resume
B.
the interview
C.
sending a thank-you note
D.
getting hired for the position
Answer:
B) The interview
Explanation:
The second step in the hiring process is to plan your employee recruitment. Recruitment planning meetings or emails identify the job description or specification for the position so you know the skills and experience you seek.
Hope I helped! Brainiest plz!♥
Have a nice morning!
-Abby
You are the manager for a Pizza restaurant. Currently, your restaurant pre-makes pizzas that are ordered the most to increase the number of pizzas being made on time for your customers. Over time, many customers have complained that their pizzas were cold upon delivery and not fresh, requesting refunds or remakes of their pizza. Your location is losing money from these wasteful practices, therefore, you want to create a Kanban based on the following basic principles:
1. A later process tells an earlier process when new items are required. This means that unless a customer orders a pizza, no pizzas will be made. Pull!
2. The earlier process produces what the later process needs.
3. No Items can be made without a Kanban card (order request). This allows the process to be transparent so everyone knows what is going on.
4. Defects are not passed on to the next stage.Create a Kanban board for your pizza company that delivers. You must have 4-6 columns with headings for each.
Required:
Decide what your Kanban cards will represent. Set Rules for your Kanban.
Answer:
RULES OF KANBAN BOARD
Yellow – A Slice of Pizza
• Blue – Full Pizza
• Green – Soda
• Green jumps from Queue to Pack only
• No pizza will be delivered without quality check
• Pizza will return to the backlog, if it is found with inferior quality during quality check
• A unique token number will be given for each order
• Orders with multiple pizza or a combo order will be given same unique token number
• Pizza will be prepared in the order of token number
• Token number will include initials “C” for carry out, “D” for dine in
THE ATTACHED IMAGE HAS THE REPRESENTATIONS OF KANBAN CARDS.
he controller of Wildhorse Industries has collected the following monthly expense data for use in analyzing the cost behavior of maintenance costs. Month Total Maintenance Costs Total Machine Hours January $2,925 3,880 February 3,324 4,432 March 3,989 6,648 April 4,986 8,753 May 3,546 5,540 June 5,420 8,870 (a1) Determine the variable-cost components using the high-low method. (Round answer to 2 decimal places e.g. 2.25.) Variable cost per machine hour $
Answer:
Variable cost per unit= $0.5
Explanation:
To calculate the variable and fixed costs under the high-low method, we need to use the following formulas:
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (5,420 - 2,925) / (8,870 - 3,880)
Variable cost per unit= $0.5
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 5,420 - (0.5*8,870)
Fixed costs= $985
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 2,925 - (0.5*3,880)
Fixed costs= $985
Sicilian Defence, a division of Queen's Gambit Corp., has a net operating income of $60,000 and average operating assets of $300,000. The minimum required rate of return for the company is 15%. If the manager of the Sicilian Defence division is evaluated based on residual income, will she want to make an investment of $100,000 that would generate additional net operating income of $18,000 per year?
Answer:
Queen's Gambit Corp.
Sicilian Defence Division
If the manager of the Sicilian Defence division is evaluated based on residual income, will she want to make an investment of $100,000 that would generate additional net operating income of $18,000 per year?
Yes.
The additional investment yields comparable positive Residual Income.
Explanation:
a) Data and Calculations:
Net operating income of Sicilian Defence Division = $60,000
Average operating assets = $300,000
Required rate of return for the company = 15%
Residual income (RI)= Operating Income - (Operating Assets x Required Rate of Return)
= $60,000 - ($300,000 * 15%)
= $60,000 - $45,000
= $15,000
Investment cost = $100,000
Additional net operating income = $18,000
Residual Income = $18,000 - ($100,000 * 15%)
= $18,000 - $15,000
= $3,000
Total residual income = $78,000 - ($400,000 * 15%)
= $78,000 - $60,000
= $18,000
Joint products A and B emerge from common processing costs of $100,000 and yield 2,000 units of Product A and 1,000 units of Product B. Product A can be sold for $100 per unit. Product B can be sold for $120 per unit. The amount of joint costs allocated to Product A (if joint costs are allocated on the basis of relative sales value) will be $ (rounded to nearest dollar).
Answer:
Product A - Joint Cost Allocated = $62500
Explanation:
To calculate the allocation of joint costs to Product A, we must first calculate the sales revenue or value for both products.
Total sales value - Product A = 100 * 2000 = $200000
Total sales value - Product B = 120 * 1000 = $120000
Total Sales Value = 200000 + 120000 = $320000
The amount of Joint costs that will be allocated to Product A will be,
Product A - Joint Cost Allocated = (200000 / 320000) * 100000
Product A - Joint Cost Allocated = $62500
Santa Corporation issued a bond on January 1 of this year with a face value of $1,000. The bond's coupon rate is 6 percent and interest is paid once a year on December 31. The bond matures in three years. The annual market rate of interest was 8 percent at the time the bond was sold. The following amortization schedule pertains to the bond issued: Cash Paid Interest Expense Amortization Balance January 1, Year 1 $948 December 31, Year 1 $60 $76 $16 964 December 31, Year 2 60 77 17 981 December 31, Year 3 60 79 19 1,000 Required: 1. What was the bond's issue price
Answer:
Total of amortisation for 3 years = 16+17+19 = 52
Bonds issue price = 1000 - 52 = $948
I hope this helps a little bit.
Suppose that the residents of Colgateville play golf incessantly. In fact, golf is the only thing they spend their money on. They buy golf balls, clubs, and tees. In 2019, they bought 1,000 golf balls for $2.00 each, 100 clubs for $50.00 each, and 500 tees for $0.10 each. In 2020, they bought 1,000 golf balls for $2.50 each, 100 clubs for $75.00 each, and 500 tees for $0.12 each. Using 2010 as the base year, answer the following questions.
a. What was the CPI for 2019?
b. What was the CPI for 2020?
c. What was the inflation rate in 2020?
Answer:
a. The CPI for 2019 is 100 because 2019 is the base year
b. CPI = Cost of basket of goods at current year prices/Cost of basket of goods at base year prices * 100
CPI = (1,000*$2.50) + (100*$75) + (500*$0.12) / (1,000$2.50) + (100*$50) + (500*$0.10) * 100
CPI = 10,060/7,550 * 100
CPI = 133.2450331125828
CPI = 133.25
c. Inflation rate = CPI in the current rate - CPI in previous year / CPI in previous year * 100
Inflation rate = 133.25 - 100/133.25 * 100
Inflation rate = 0.24953096 * 100
Inflation rate = 24.95%
Branch Adjustment account is in the nature of :
Real account
O Nominal account
Personal account
>
O None of these
Answer:
B. Nominal Account.
Explanation:
Branch accounting is a system of bookkeeping that uses a system of separate branch accounting. This branch is also known as the operating locations of an organization.
The account which uses branch adjustment accounting is a nominal account. The nominal account is the general ledger account that closes its account at the end of every year, using branch accounting.
Therefore, option B is correct.
Before negotiating a long-term construction contract, build- ing contractors must carefully estimate the total cost of completing the project. Benzion Barlev of New York University proposed a model for total cost of a long-term contract based on the normal distribution(Journal of Business Finance and Accounting, July 1995). For one particular construction contract, Barlev assumed total cost, x, to be normally distributed with mean $850,000 and standard deviation $170,000. The revenue, R, promised to the contractor is $1,00,000.
Required:
a. The contract will be profitable if revenue exceeds total cost. What is the probability that the co ntract will be profitable for the contractor?
b. What is the probability that the project will result in a loss for the contractor?
c. Suppose the contractor has the opportunity to renegotiate the contract. What value of R should the contractor strive for in order to have a .99 probability of making a profit?
Answer:
Benzion Barlev of New York UniversityNEGOTIATION OF A LONG-TERM CONSTRUCTION CONTRACT
a. The probability that the contract will be profitable for the contractor is:
= 81%
b. The probability that the project will result in a loss for the contractor is:
= 19%
c. The value of R that the contractor should strive for in order to have a .99 probability of making a profit is:
= $1,246,100.
Explanation:
a) Data and Calculations:
Mean total cost (x) = $850,000
Standard deviation = $170,000
Revenue = $1,000,000
Probability of being profitable = (R - x)/std deviation
= ($1,000,000 - $850,000)/$170,000
= $150,000/$170,000
= 0.882
From Z table, 0.882 = 0.81057 = 81%
Probability of loss = 19% (100 - 81%)
To have a 99% (0.99) probability of making a profit, Z value = 2.33 from the Z table:
(R - x)/std deviation = 2.33
(R - x) = 2.33 * $170,000
= $396,100
(R - $850,000) = $396,100
R = $396,100 + $850,000
R = $1,246,100
Question 10 (5 points)
Company policy for internal control should include all of the following except for
which one?
Employees will be rotated.
Monthly bank statements should be sent to and reconciled by the same
employees who authorize payments and write checks.
At time of payment, all supporting invoices or documents will be stamped "paid."
The owner (or responsible employee) signs all checks after receiving
authorization to pay from the departments concerned.
Answer:
Monthly bank statements should be sent to and reconciled by the same employees who authorize payments and write checks
Explanation:
can anyone share important questions on Managerial Information Systems??
i need it for preparing
for my exams
Explanation:
(1) designing systems that are competitive and efficient; (2) understanding the system requirements of a global business environment; (3) creating an information architecture that supports the organization's goals; (4) determining the ...
Solving for dominant strategies and the Nash equilibrium Suppose Lorenzo and Neha are playing a game in which both must simultaneously choose the action Left or Right. The payoff matrix that follows shows the payoff each person will earn as a function of both of their choices. For example, the lower-right cell shows that if Lorenzo chooses Right and Neha chooses Right, Lorenzo will receive a payoff of 6 and Neha will receive a payoff of 5
Neha
Left Right
Lorenzo Left 8,4 4,5
Right 5,4 6,5
1. The only dominant strategy in this game is for (Neha/Lorenzo) to choose (Right/Left)
2. The outcome reflecting the unique Nash equilibrium in this game is as follows: Lorenzo chooses (Right/Left) and Neha chooses (Right/Left) .
Answer:
1. The only dominant strategy in this game is for Neha to choose Right.
2. The outcome reflecting the unique Nash equilibrium in this game is as follows: Lorenzo chooses Right and Neha chooses Right.
Explanation:
A dominant strategy is a strategy that results in a player being better off no matter the choice his or her opponent in a game.
For this game, when Lorenzo plays Left, Neha will choose Right because 5 > 4. Also, when Lorenzo plays Right, Neha will still choose Right because 5 > 4. This shows that Neha will always play Right no matter what Lorenzo plays. This implies the dominant strategy for Neha is Right.
On the other hand, when Neha plays Left, Lorenzo will also play Left because 8 > 5. But when Neha plays Right, Lorenzo will choose will also play Right because 6 > 4. This shows that Lorenzo does not have any particular strategy that make him better off. Therefore, Lorenzo does not have a dominant strategy.
Therefore, we have:
1. The only dominant strategy in this game is for (Neha/Lorenzo) to choose (Right/Left)
Based on the analysis above, the only dominant strategy in this game is for Neha to choose Right.
This is because the dominant strategy for Neha is Right, but Lorenzo does not have a dominant strategy.
2. The outcome reflecting the unique Nash equilibrium in this game is as follows: Lorenzo chooses (Right/Left) and Neha chooses (Right/Left) .
Based on the analysis above, the outcome reflecting the unique Nash equilibrium in this game is as follows: Lorenzo chooses Right and Neha chooses Right.
The reason is that Neha will always play Right and Lorenzo will be better of by also playing Right because 6 > 4.
Simon's most recent income statement is given below. Sales (8,000 units) $160,000 Less variable expenses (68,000) Contribution margin 92,000 Less fixed expenses (50,000) Net income $42,000 Required: a. Contribution margin per unit is b. If sales are doubled total variable costs will equal c. If sales are doubled total fixed costs will equal d. If 20 more units are sold, profits will increase by e. Compute how many units must be sold to break even. f. Compute how many units must be sold to achieve operating income of $60,000. g. Compute the revenue needed to achieve an after tax income of $30,000 given a tax rate of 30%.
Answer:
a. $11.50
b. $136,000
c. $50,000
d. $230
Explanation:
Contribution = sales - variable costs
Fixed costs do not vary with level of sales or production.
Exercise
1. State and explain 5 characteristics of the
youth
You wish to take an Excel course. You may enroll at one within your school or you may take a community class at the local library. You've gathered the following information to aid in your decision-making process.
Costs/Benefits College Course Community Course
Cost $2,600 $1,390
Distance to course 0.40 miles (walking distance) 16 miles (driving distance)
Timing of course Weekday Weekend
Number of meetings 16 8
Qualitative considerations Convenience, quality of instruction Flexibility, brief duration
If you enroll in the community class, you will be unable to work at your regular job on weekends for the eight weekend days when the class meets. If you typically earn $260 per weekend shift, which option would you choose (considering enrollment cost and opportunity cost)?
a) Neither alternative
b) College course
c) Community course
d) Both alternatives
Answer:
The chosen option (considering enrollment costs and opportunity cost) is:
b) College course.
Explanation:
a) Data and Calculations:
Costs/Benefits
College Course Community Course
Cost $2,600 $1,390
Opportunity costs -2,080 2,080
Net costs $520 $3,470
Distance to course 0.40 miles 16 miles
(walking distance) (driving distance)
Timing of course Weekday Weekend
Number of meetings 16 8
b) With the College course option, you will earn $2,080 ($260 * 8) weekdays to offset part of the enrollment cost. With the Community course option, $2,080 will be lost in opportunity cost, thereby increasing the total costs incurred. These costs are apart from the driving costs associated with traveling 16 miles to the Community Course at the local library.
If Congress wanted to help the economy out of a recession, they would be most likely to: check all that apply Group of answer choices increase transfer payments increase interest rates decrease taxes reduce government spending
Answer:
increase transfer payments
decrease taxes
Explanation:
A recession is when the GDP of a country for two consecutive quarters is negative
to help a country out of a recession, expansionary fiscal policies have to be undertaken
Expansionary fiscal policy is when the government increases the money supply in the economy either by increasing spending or cutting taxes.
increasing interest rate is a monetary policy
The Smith family wants to relocate to a neighborhood with better schools before their three-year-old goes to kindergarten. They talked with Byron about properties he has for sale in neighborhoods they would like to live in. They also mentioned to Byron that they both work and may need someone to help with in-home care for their child. Byron gave them Taylor’s name to call about childcare. The Smiths also said they were having a hard time getting loan approval, so Byron suggested that they call Travis. Which best describes the jobs performed by Byron, Taylor, and Travis?
a) Byron is a Customer Service Representative, Taylor is a Child Care Worker, and Travis is a Loan Counselor.
b) Byron is a Real Estate Manager, Taylor is a Nanny, and Travis is a Loan Counselor.
c) Byron is a Real Estate Manager, Taylor is a Preschool Teacher, and Travis is a Customer Service Representative.
d) Byron is a Home Counselor, Taylor is a Nanny, and Travis is a Property Manager.
Answer:
the correct answer is B)
Explanation:
Given that they spoke to Byron about properties that he wants to sell, that means he is a Real Estate Manager. Taylor came up because they needed in-home care. That makes Taylor a Nanny because Nannies are professionals who take care of babies in their own homes.
Loan counselors have no other major business besides advising people on issues relating to taking up a loan. Therefore that makes Travis a loan Counselor.
Cheers
Oering's Furniture Corporation is a Virginia-based manufacturer of furniture. In a recent year, it reported the following activities:
Net income $5,135
Purchase of property, plant, and equipment 1,071
Borrowings under line of credit (bank) 1,117
Proceeds from issuance of stock 11
Cash received from customers 37,164
Payments to reduce long-term debt 46
Sale of marketable securities 219
Proceeds from sale of property and equipment 6,894
Dividends paid 277
Interest paid 90
Purchase of treasury stock (stock repurchase) 2,583
Required:
Based on this information, present the cash flows from investing and financing activities sections of the cash flow statement. (List cash outflows as negative amounts.)
Answer:
Cash flows from investing activities
Purchase of property, plant, and equipment (1,071)
Sale of marketable securities 219
Proceeds from sale of property and equipment 6,894
Net Cash from investing activities 6,042
Cash flows from financing activities
Borrowings under line of credit (bank) 1,117
Proceeds from issuance of stock 11
Payments to reduce long-term debt (46)
Dividends paid (277)
Purchase of treasury stock (stock repurchase) (2,583)
Net Cash used by financing activities
Explanation:
The cash flows from investing and financing activities sections of the cash flow statement are presented as above.
17. Andy Store sold merchandise in the amount of $5,800 to a customer on October 1, with credit terms of 2/10, n/30. The cost of the items sold is $4,000. Andy uses the perpetual inventory system. The journal entries that Andy will make on October 1 will include: A) Debit to Accounts Receivable for $4,000 B) Credit to Merchandise Inventory for $5,800 C) Debit to Cost of Goods Sold for $5,800 D) Credit to Merchandise Inventory for $4,000 E) Credit to Net Income for $1,800
Answer:
D) Credit to Merchandise Inventory for $4,000
Explanation:
Date Account and Explanation Debit ($) Credit ($)
Account Receivable 5,800
Sale 5,800
(Recorded the sale on credit)
Cost of goods sold 4,000
Merchandise Inventory 4,000
(Recorded the cost of goods sold)
A business operated at 100% of capacity during its first month and incurred the following costs: Production costs (20,000 units): Direct materials $180,000 Direct labor 240,000 Variable factory overhead 280,000 Operating expenses: Variable operating expenses $130,000 Fixed operating expenses 50,000 180,000 If 1,600 units remain unsold at the end of the month, the amount of inventory that would be reported on the variable costing balance sheet is a.$66,400 b.$64,000 c.$78,400 d.$56,000
Answer:
d.$56,000
Explanation:
The computation of the amount of inventory that would be reported on the variable costing balance sheet is shown below:
But before that following calculations need to be done
The total production cost
= Direct material + direct labor + variable factory overhead
= $180,000 + $240,000 + $280,000
= $700,000
Now the production cost per unit is
= $700,000 ÷ 20,000 units
= $35 per unit
Now the amount of inventory is
= 1,600 units × $35 per unit
= $56,000
Peyton sells an office building and the associated land on May 1 of the current year. Under the terms of the sales contract, Peyton is to receive $2,408,400 in cash. The purchaser is to assume Peyton's mortgage of $1,445,040 on the property. To enable the purchaser to obtain adequate financing, Peyton is to pay the $28,901 in points charged by the lender. The broker's commission on the sale is $96,336. What is Peyton's amount realized
Answer:
$3,728,203
Explanation:
Particulars Amount
Cash Received $2,408,400
Add: Mortgage assume by purchaser $1,445,040
Less: Broker's commission ($96,336)
Less: Points paid by Peyton ($28,901)
Amount realized $3,728,203
