Answer:
Player 1 strategy BPlayer 2 strategy CExplanation:
Player 1
If Player 1 chooses strategy A
then the player 2's best outcome of 23 comes from strategy C.
If Player 1 chooses strategy B
then the player 2's best outcome of 26 comes from strategy C.
Player 2
If Player 2 chooses strategy C,
then the player 1's best outcome of 14 comes from strategy B.
If Player 2 chooses strategy D
then player 1's best outcome of 14 comes from strategy A.
If Player 2 chooses strategy E
then player 1's best outcome of 20 comes from strategies A and B.
If Player 2 chooses to strategy F
then player 1's best outcome of 22 comes from strategy A.
Hence, the better off play of both player is as follow
Player 1 plays strategy BPlayer 2 plays strategy CSanders Co. is planning to finance an expansion of its operations by borrowing $51,500. City Bank has agreed to loan Sanders the funds. Sanders has two repayment options: (1) to issue a note with the principal due in 10 years and with interest payable annually or (2) to issue a note to repay $5,150 of the principal each year along with the annual interest based on the unpaid principal balance. Assume the interest rate is 8 percent for each option.
Required:
a. What amount of interest will Sanders pay in Year 1 under option 1 and under option 2?
b. What amount of interest will Sanders pay in Year 2 under option 1 and under option 2?
Answer:
A. Year 1 Option 1 $4,120
Year 1 Option 2 $4,120
B. Year 2 Option 1 $4,120
Year 2 Option 2 $3,708
Explanation:
A. Calculation to determine What amount of interest will Sanders pay in Year 1 under option 1 and under option 2
Year 1:
Option 1 − annual interest only=$51,500 × 8%
Option 1 − annual interest only= $4,120
Option 2 − annual interest
Option 2 − annual interest =$51,500 × 8
Option 2 − annual interest = $4,120
Therefore amount of interest will Sanders pay in Year 1 under option 1 and under option 2 is :
Year 1 Option 1 $4,120
Year 1 Option 2 $4,120
B. Calculation to determine What amount of interest will Sanders pay in Year 2 under option 1 and under option 2
Year 2
Option 1 − annual interest only=$150,000 × 8%
Option 1 − annual interest only= $4,120
Option 2 − annual interest and $5,150 on principal:
Original principal $51,500
Less: Payment at end of year one ($5,150)
Balance of principal for year two $46,350
Option 2 − annual interest= $46,350 × 8%
Option 2 − annual interest= $3,708
Therefore amount of interest will Sanders pay in Year 2 under option 1 and under option 2 is :
Year 2 Option 1 $4,120
Year 2 Option 2 $3,708
financial lit Banks offer other types of services such as safe deposit boxes for customers to store valuable documents. List at least two other types of non-account services that the provider makes available to customers, either for a fee or at no cost.
Answer and Explanation:
Banks offer agency services too such as being trustees, executors, or financial advisors to their customers. They can also stand as guarantee for their customers.
Banks also offer reference services. They provide information on the financial position or strength of their customers for the purpose of a customer's business dealing. This is usually done confidentially and with the permission of the customer
Diamond Boot Factory normally sells its specialty boots for $22 a pair. An offer to buy 100 boots for $15 per pair was made by an organization hosting a national event in Norfolk. The variable cost per boot is $9, and special stitching will add another $1 per pair to the cost.
Determine the differential income or loss per pair of boots from selling to the organization.
Answer: $5.00
Explanation:
Differential income per pair is:
= Revenue per pair - Total cost per pair
= Selling price of pair - (Variable cost + Additional stitching cost)
= 15 - (9 + 1)
= 15 - 10
= $5.00
why is that 0.8 in fractional form is 8/10
Answer:
Decimal placement
Explanation:
It is 8/10 because, in the decimal 0.8 , the 8 is in the tenths place. If it was 0.08 the fraction would be 8/100 and so on and so forth.
Summer 20 Corp estimates overhead based on direct labor hours and has given you the following information:
Estimated Manufacturing Overhead Costs 2020 $405,000
Estimated Direct Labor Hours for 2020 220,000
Actual Direct Labor Hours for 2020 202,000
Manufacturing Overhead Account Debit Entries total $380,000
1. Determine the predetermined overhead allocation rate stated with cents.
2. Determine the amount of manufacturing overhead that was allocated.
3. Calculate the amount Summer 20 Corp is over or under allocated during the year.
Answer:
Results are below.
Explanation:
To calculate the predetermined manufacturing overhead rate we need to use the following formula:
Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Predetermined manufacturing overhead rate= 405,000 / 220,000
Predetermined manufacturing overhead rate= $1.841 per DLH
Now, we can allocate overhead:
Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH= 1.841*202,000
Allocated MOH= $371,882
Finally, the over/under allocation:
Under/over applied overhead= real overhead - allocated overhead
Under/over applied overhead= 380,000 - 371,882
Underapplied overhead= $8,118
Based on your understanding of bond ratings and bond-rating criteria, which of the following statements is true?A) BBB bonds usually have the lowest yields in the bond markets.B) US government bonds usually have the lowest yields in the bond markets.
Answer: US government bonds usually have the lowest yields in the bond markets.
Explanation:
Based on the understanding of bond ratings and bond-rating criteria, it should be noted that the US government bonds usually have the lowest yields in the bond markets.
The statement that "BBB bonds usually have the lowest yields in the bond markets" is incorrect.
Do you think that MTV’s future lies mostly in its international operations? Explain your
A Mike’s Milk estimates gallon milk sales for the first quarter as 12,000 gallons in January, 15,000 in February and 10,000 in March. Mike sells milk for $3.00 per gallon. Complete the following schedule for the first quarter sales budget.
Forecasted gallons January February March
Price Per gallon
Sales Budget
Answer:
Results are below.
Explanation:
Giving the following information:
A Mike’s Milk estimates gallon milk sales for the first quarter as 12,000 gallons in January, 15,000 in February, and 10,000 in March.
January:
Forecasted gallons= 12,000
Price per gallon= 3
Sales Budget= $36,000
February:
Forecasted gallons= 15,000
Price per gallon= 3
Sales Budget= $45,000
March:
Forecasted gallons= 10,000
Price per gallon= 3
Sales Budget= $30,000
Baylor Service Corp. redeemed $1,000 of gift cards that customers used to pay for services that were performed by the company. The related adjusting entry would include a debit to: A. Accounts Receivable and a credit to Service Revenue. B. Unearned Revenue and a credit to Service Revenue. C. Cash and a credit to Service Revenue. D. Cash and a credit to Unearned Revenue.
Answer:
B. Unearned Revenue and a credit to Service Revenue.
Explanation:
The adjusting entry is given below:
Unearned revenue $1,000
To Service revenue $1,000
(Being service revenue is recorded)
Here unearned revenue is debited as it decreased the liabilities and credited the service revenue as it increased the revenue
Therefore the option b is correct
The three steps which will create triangular arbitrage profit are as follows: first step, convert ____; second step, convert _______, and third step, convert ______.
a) USD to GBP; CHF to GBP; CHF to USD
b) USD to GBP; GBP to CHF; CHF to USD
c) USD to CHF; GBP to CHF; GBP to USD
d) USD to CHF; CHF to GBP; GBP to USD
Answer:
The correct option is b) USD to GBP; GBP to CHF; CHF to USD.
Explanation:
A triangular arbitrage can be described as the act of taking advantage of a foreign exchange market arbitrage opportunity created by a pricing difference between three different currencies.
A triangle arbitrage method entails three deals, with the first currency being converted to a second, the second currency being converted to a third, and the third currency being converted to the first.
In the question, USD is the first currency, GBP is the second currency, and CHF is the third currency. Based on the explanation above, the three steps which will create triangular arbitrage profit are as follows: first step, convert USD to GBP; second step, convert GBP to CHF, and third step, convert CHF to USD.
Therefore, the correct option is b) USD to GBP; GBP to CHF; CHF to USD.
Five individuals organized Miami Music Corporation on January 1. At the end of January 31, the following monthly financial data are available:
Total Revenues…………………………....... $131,000
Operating Expenses………………………… 90,500
Cash…………………………………………...........30,800
Accounts Receivable……………………… .25,300
Supplies……………………………………..........40,700
Accounts Payable…………………………... 25,700
Common Stock………………………………...30,600
Required:
a. Did Miami Music Corporation generate a profit? Which financial statement indicates this?
c. Does Miami Music Corporation have sufficient resources to pay its liabilities? Which financial statement indicates this?
Answer:
a. Profit(loss) = Total revenue - Total expenses
= 131,000 - 90,500
= $41,000
The company did in fact generate profit of $41,000 and this can be shown from the Income Statement which is where profit or loss is calculated.
b. A company uses its assets to pay off its liabilities so if the liabilities are less than the assets then the company is capable of paying off its liabilities:
Assets = Cash + Accounts Receivable + Supplies
= 30,800 + 25,300 + 40,700
= $96,800
Liabilities are just the Accounts Payable of $25,700.
Liabilities are less than Assets so Miami Music does indeed have sufficient resources to pay its liabilities.
This information comes from the Balance Sheet which is where assets and liabilities are shown.
Given D: Annual use of a particular item, in number of items per year Q: Number of items ordered in one purchase order, in units SS: Safety stock, in units L: Lead time, in fraction of a year I: Current inventory on hand, units Reorder point can be expressed as ______ (x below denotes the multiplication sign).
Answer:
D×L + SS
Explanation:
The reorder point (ROP) is the inventories or stock level for a certain product that, when attained, initiates the reordering of more inventories. The lead time it will take to refill inventories is taken in when computing the reorder points for different stock holding units. This ensures inventory levels do not approach zero.
Computing reorder points necessitates a thorough understanding of purchase habits over a specific time period. The more ROP you compute for each product, the better you'll be able to anticipate future demand and guarantee you're using the reorder quantity calculation appropriately.
From the given information in the question:
The reorder point can be determined by using the formula:
Reorder point = Demand (D) at the point of leas time (L) with the addition of safety stock (SS)
Reorder point = D×L + SS
The present value of a perpetual tax shield increases as the firm's tax rate ________ and as the amount of the debt ________.
a. increases; increases
b. increases; decreases
c. decreases; decreases
d. decreases; increases
Answer:
B
Explanation:
The value of tax shield is simply given as corporate tax rate times the cost of debt times the market value of debt.
If the debt is constant and perpetual, the company’s tax shield depends only on the corporate tax rate and the value of debt. Then the present value of tax shield equals the discounted value of debt
A taxpayer's spouse dies in August of the current year. Which of the following is the taxpayer's filing status for the current year?
a. Single.
b. Qualified widow(er).
c. Married filing jointly.
d. Head of household.
Answer:
b. Married filling jointly
Explanation:
From the question we are informed about taxpayer's spouse who dies in August of the current year. In this case,
the taxpayer's filing status for the current year would be Married filling jointly. Joint return can be regarded as tax return which is been filed with the Internal Revenue Service by two married taxpayers that decide to have a filing status of "married filing jointly" or a widowed taxpayer that decide to have a filing status of " Qualifying Widow "A joint return give room for the
taxpayers to join their tax liability as well as report their income, credits and
deductions on the same joint return.
The joint return rates still validly
apply even two year after the death of a particular spouse, so far the
surviving spouse of the dead spouse does not remarry and still maintains a household as regards a dependent child.
Steven Washington's weekly gross earnings for the week ending March 9 were $3,340, and her federal income tax withholding was $567.80. Assuming the social security tax rate is 6% and Medicare tax is 1.5% of all earnings, what is Washington's net pay?
Answer:
Washington's net pay was $ 2,564.28.
Explanation:
Given that Steven Washington's weekly gross earnings for the week ending March 9 were $ 3,340, and her federal income tax withholding was $ 567.80, assuming the social security tax rate is 6% and Medicare tax is 1.5% of all earnings, to determine what is Washington's net pay the following calculation must be performed:
(3,340 - 567.80) x (1 - 0.06 - 0.015) = X
2,772.2 x 0.925 = X
2,564.28 = X
Therefore, Washington's net pay was $ 2,564.28.
Benny is the manager of an office-support business that supplies copying, binding, and other services for local companies. He must replace a worn-out copy machine that is used for black-and-white copying. He is considering two machines, and each of these has a monthly lease cost plus a cost for each page that is copied. Machine 1 has a monthly lease cost of $619, and there is a cost of $0.030 per page copied. Machine 2 has a monthly lease cost of $675, and there is a cost of $0.028 per page copied. Customers are charged $.16 per page copied. If Benny expects to make 105,000 copies per month, what would be the monthly cost for each machine
Answer:
Machine one cost:
= Fixed cost + Variable cost
The Fixed cost is the lease cost and the variable cost is the cost per page copied. The number of pages is 105,000 and the cost per page for machine 1 is $0.030
= 619 + (0.030 * 105,000)
= $3,769 monthly
Machine two cost:
= 675 + (0.028 * 105,000)
= $3,615 monthly
20 points to the best one !!
Answer:
The answer is "Knowledge discovery & predictions category or anomalous detention assessment or Data mining".
Explanation:
Regression is a type of analysis in which some parameters' relationships are determined by the values of other variables, whereas departure detection is a type of analysis wherein the goal is to find changes in data from previously observed values. Enigma detaining analysis, often known as knowledge discovery analysis, is a sort for anomaly incarceration analysis, while regression is classed as a forecast.
You are planning to save for retirement over the next 25 years. To do this, you will invest $1,000 a month in a stock account and $700 a month in a bond account. The return of the stock account is expected to be 9 percent, and the bond account will pay 6 percent. When you retire, you will combine your money into an account with a return of 7 percent. How much can you withdraw each month from your account assuming a 20-year withdrawal period
Answer:
Monthly withdraw= $12,452.6
Explanation:
First, we need to calculate the total accumulated at the moment of retirement. We will use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= monthly deposit
Stock:
Monthly investment= $1,000
Interest rate= 0.09/12= 0.0075
Number of periods= 25*12= 300 months
FV= {1,000*[(1.0075^300) - 1]} / 0.0075
FV= $1,121,121.94
Bond:
Monthly investment= $700
Interest rate= 0.06/12= 0.005
Number of periods= 25*12= 300 months
FV= {700*[(1.005^300) - 1]} / 0.005
FV= 485,095.77
Total FV= 1,121,121.94 + 485,095.77
Total FV= $1,606,217.71
Now, the annual withdrawal:
Interest rate= 0.07/12= 0.005833
Number of months= 12*20= 240
Monthly withdraw= (FV*i) / [1 - (1+i)^(-n)]
Monthly withdraw= (1,606,217.71*0.005833) / [1 - (1.005833^-240)]
Monthly withdraw= $12,452.6
Explain whether each of the following statements is true or false.
The marginal rate of substitution (MRS) diminishes as an individual moves downward along the demand curve. Assume the statement refers to good X with price Upper P Subscript Upper X , where good X is measured on the horizontal axis of an indifference map and good Y is measured on the vertical axis.
Answer:
1. True
Explanation:
Marginal rate of substitution is quantity of good which a consumer will need to have in order to leave another good. The MRS equals to Px/Py. This will decrease when the demand curve decreases.
Shaq Corporation issued $10,000 of 20-year bonds on January 1, 2021. The bonds pay interest semiannually. This is a partial bond amortization schedule for the bonds.
Payment Cash Effective interest Decrease in balance Outstanding balance
9,080
1 400 409 9 9,089
2 400 409 9 9,098
3 400 409 9 9,107
4 400 410 10 9,117
What is the effective annual rate of interest on the bonds?
a. 9.0%.
b. 4.5%.
c. 8.0%.
d. 4.0%.
Answer:
The correct option a. 9.0%.
Explanation:
Note: The data in this question are merged together. They are therefore sorted before answering the question. See the attached pdf file for the complete question with the sorted data.
The explanation of the answer is now given as follows:
Effective semiannual interest rate = Effective interest / Previous outstanding balance ……………………. (1)
Using Payment 1 information, we have:
Effective semiannual interest rate = 409 / 9,080 = 0.0450, or 4.50%
Effective annual interest rate = Effective semiannual interest rate * Number of semiannuals in a year = 4.50% * 2 = 9.0%
Therefore, the correct option a. 9.0%.
A rental company is considering the purchase of new trailers to least to customers. Each trailer will cost $20,000 today. Each trailer will bring $10,000.00 in an annual lease for 5 years. The lease is paid at the end of each year. At the end of the 5 years the trailer will have no depreciated or salvage value. The interest to be paid for this investment is 9%. Use this information to complete this table. Would you advise the firm to make this investment at 9%? Why?
Fill out the Table:
Year Future Value Present Value Discount Factor
1
2
3
4
5
Answer and Explanation:
The computation is shown below;
Year Future value present value Discount factors
1 $10,000.00 $9,170 0.917
2 $10,000.00 $8,410 0.841
3 $10,000.00 $7,720 0.772
4 $10,000.00 $7,080 0.708
5 $10,000.00 $6,490 0.649
Now
Net present value = -$20,000 + $10,000(PVIFA 9% 5 Years)
= -$20,000 + $10000 × (3.8897)
= -$20,000+ $38,897
= $18,897
So here the investment should be make as the net present value comes in positive
Each of these items must be considered in preparing a statement of cash flows for Flint Corporation. for the year ended December 31, 2022.For each item, state how it should be shown in the statement of cash flows for 2022.a. Issued bonds for $150,000 cash.
b. Purchased equipment for $200,000 cash.
c. Sold land costing $50,000 for $50,000 cash.
d. Declared and paid a $20,000 cash dividend.
Answer and Explanation:
The classification is as follows:
a. Financing activity inflow of cash
b. INvesting activity outflow of cash
c. Investing activity inflow of cash
d. Financing activity outflow of cash
The inflow of cash shows the positive sign while on the other hand the outflow of cash shows the negative sign
And, the same should be relevant
Menning Inc. uses a job-order costing system in which any underapplied or overapplied overhead is closed out to cost of goods sold at the end of the month. The company has provided the following data for June:
Direct materials $78,750
Direct labor cost $94,000
Manufacturing overhead cost incurred $61,275
Manufacturing overhead cost applied $65,800
Inventories: Beginning Ending
Work in process $17,500 $19,850
Finished goods $61,500 $38,250
The cost of goods sold that appears on the income statement for August and that has been adjusted for any underapplied or overapplied overhead is closest to: __________
a. $254,925
b. $263,975
c. $236,200
d. $259,450
Answer:
Adjusted COGS= $254,925
Explanation:
First, we need to calculate the cost of goods manufactured:
cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
cost of goods manufactured= 17,500 + 78,750 + 94,000 + 65,800 - 19,850
cost of goods manufactured= $236,200
Now, the COGS:
COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory
COGS= 61,500 + 236,200 - 38,250
COGS= $259,450
Finally, the over/under applied overhead and the adjustment:
Under/over applied overhead= real overhead - allocated overhead
Under/over applied overhead= 61,275 - 65,800
Overapplied overhead= $4,525
As overhead was overapplied, COGS must be reduced:
Adjusted COGS= 259,450 - 4,525
Adjusted COGS= $254,925
Type the correct answer in the box. Spell all words correctly.
Which step of selling includes cold-calling?
Cold-calling is a part of the
step of selling
Rese
Answer:
Cold-calling is the prospecting step of selling.
Answer:
prospecting
Explanation:
plato gang
Trust incurred $10,000 of portfolio income. Its corporate trustee paid fiduciary fees of $1,000 therefrom, and also paid $1,000 in premiums for a life insurance policy on Marcia, the grantor of the trust. How much gross income does Marcia include with respect to these trust activities?
A) $800.
B) $1,000.
C) $8,000.
D) $9,000.
E) $10,000.
Answer:
$1,000
Explanation:
Based on the information given the
GROSS INCOME amount that Marcia will include with respect to these trust activities will be the amount of $1,000 because we were told that the amount of $1,000 was paid in premiums for a LIFE INSURANCE POLICY ON MARCIA who is the GRANTOR OF THE TRUST, although The trust is not categorized as a grantor trust reason been that the TRUSTEE was authourized to pay the life insurance premiums
A company is interested in developing a quarterly aggregate production plan but they are not sure if a level strategy with backorders or a chase strategy would be better. They have the following information available regarding their production operation: Hiring Cost (per unit increase) $40 Firing (per unit decrease) $80 Inventory Cost (per unit) $40 Stockout (per unit) $150 Production (Labor) cost (per unit) $30 Subcontracting cost (per unit) $60 Previous quarter's production 1300 Previous quarter's ending inventory 0 Quarter forecasts are 4000, 3000, 4000 and 5000, respectively. Suppose that you want to use a level plan with backorders (one that produces at the average demand over the four quarters). What is the ending inventory in Quarter 2
Answer:
1000 units
Explanation:
Average demand over the next 4 quarters = (4000 + 3000 + 4000 + 5000) / 4
Average demand over the next 4 quarters = 16000 / 4
Average demand over the next 4 quarters = 4000
That is, as per the Level plan, 4000 units shall be produced in each of the next 4 quarters.
Quarter 1
Beginning Inventory = 0
Production = 4000
Demand = 4000
Ending Inventory = (Beginning Inventory + Production) - Demand
Ending Inventory = (0 + 4000) - 4000
Ending Inventory = 4000 - 4000
Ending Inventory = 0 units
Quarter 2
Beginning Inventory = 0
Production = 4000
Demand = 3000
Ending Inventory = (Beginning Inventory + Production) - Demand
Ending Inventory = (0 + 4000) - 3000
Ending Inventory = 4000 - 3000
Ending Inventory = 1000 units
You own a stock portfolio invested 32 percent in Stock Q, 22 percent in Stock R, 19 percent in Stock S, and 27 percent in Stock T. The betas for these four stocks are 1.63, 1.35, 2.56, and 0.68, respectively. What is the portfolio beta? Enter the answer with 4 decimals (e.g. 1.1234)
Answer:
Beta= 1.4886
Explanation:
Giving the following information:
You own a stock portfolio invested 32 percent in Stock Q, 22 percent in Stock R, 19 percent in Stock S, and 27 percent in Stock T.
The betas for these four stocks are 1.63, 1.35, 2.56, and 0.68, respectively.
To calculate the portfolio beta, we need to use the following formula:
Beta= (proportion of investment A*beta A) + (proportion of investment B*beta B)
Beta= (0.32*1.63) + (0.22*1.35) + (0.19*2.56) + (0.27*0.68)
Beta= 1.4886
Ortega Company manufactures computer hard drives. The market for hard drives is very competitive. The current market price for a computer hard drive is $54. Ortega would like a profit of $14 per drive. What target cost Ortega should set to accomplish this objective
Answer:
$40
Explanation:
Target cost is the cost per unit arrived at after having deducted the required profit margin from the competitive market price.
It is a management technique that makes management think about ways to achieve a set target cost rather than forcing their actual cost plus profit margin on customers.
In this case, the competitive market price is $54 per unit of hard drive whereas the company expects to achieve a total profit of $14 per unit
Profit margin per unit=$14
competitive market price=$54
Target cost=competitive market price-profit margin per unit
Target cost=$54-$14
Target cost=$40
A certain smelting plant operates 24 hours per day, with three shifts of 200 workers per shift. Due to a flu epidemic, 1/4 of the workers on the first shift, 10 percent of the workers on the second shift, and 100 of the workers on the third shift are unable to work on a given day. If each worker and each shift has the same productivity, what is the approximate percent decrease in productivity due to the flu epidemic?
Answer:
35
Explanation:
12/1-34÷1 I just need points
Frank Corporation manufactures a single product that has a selling price of $25.00 per unit. Fixed expenses total $64,000 per year, and the company must sell 8,000 units to break even. If the company has a target profit of $19,000, sales in units must be:________.a. 9,648b. 8,760c. 10,375d. 10,560
Answer:
Break-even point in units= 10,375
Explanation:
Giving the following information:
Selling price= $25
Fixed cost= $64,000
Break-even point in units= 8,000
First, we need to determine the unitary contribution margin:
Break-even point in units= fixed costs/ contribution margin per unit
8,000 = 64,000 / contribution margin per unit
contribution margin per unit8,000= 64,000
contribution margin per unit= 64,000 / 8,000
contribution margin per unit= $8
Now, the number of units to be sold to make a profit of $19,000:
Break-even point in units= (fixed costs + desired profit) / contribution margin per unit
Break-even point in units= (64,000 + 19,000) / 8
Break-even point in units= 10,375
