Tea is recognized as a nutritious beverage and has significant cultural values. As a result, the tea beverage market is one of the most profitable and quickly expanding.
A market is exactly what?A market is a place where buyers and sellers can meet and trade goods and services. Markets can be physical like a store or they can be digital like an online retailer. More examples include the financial market, the black market, and the auction market.
What purpose does a market fulfill?Markets are important. They act as the corporate stock exchange and give businesses access to capital. Prices are determined by markets, liquidity is changed by markets, and firms can satisfy client demands through markets.
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is based on the idea that changes in exchange rates should balance the price of a basket of traded goods in a foreign country. multiple choice gross national product human development index purchasing power parity gross domestic product
Purchasing energy parity (PPP) is primarily based totally at the concept that modifications in change fees need to stability the charge of a basket of traded items in a overseas country.
The required details for purchasing power parity in given paragraph
One famous macroeconomic evaluation metric to examine monetary productiveness and requirements of dwelling among nations is buying energy parity (PPP). PPP is an monetary principle that compares special nations' currencies thru a "basket of items" approach, now no longer to be stressed with the Paycheck Protection Program created with the aid of using the CARES Act. Purchasing energy parity (PPP) is a famous metric utilized by macroeconomic analysts that compares special nations' currencies thru a "basket of items" approach.
Purchasing energy parity (PPP) lets in for economists to examine monetary productiveness and requirements of dwelling among nations. Some nations alter their gross home product (GDP) figures to mirror PPP.
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during the airing of a major sitcom the actors eat a popular cereal for breakfast. this type of advertising is known as:
During the airing of a major sitcom the actors eat a popular cereal for breakfast. this type of advertising is known as product placement.
Product placement is a current vending approach for manufacturers to attain their target audiences without the use of overt conventional advertising and marketing. Embedded advertising is any other time period for product placement because the product is embedded in any other form of media.
Product placement, also known as embedded advertising and marketing, is a advertising method where references to unique manufacturers or merchandise are integrated into any other work, together with a film or television software, with unique promotional intent.
Historically there have been three fundamental kinds of product placement; display placement, script placement, and plot placement.
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On March 1, 2022, Oriole Company acquired real estate, on which it planned to construct a small office building, by paying $81,000 in cash. An old warehouse on the property was demolished at a cost of $10,000; the salvaged materials were sold for $2,900. Additional expenditures before construction began included $3,200 attorney's fee for work concerning the land purchase, $5,500 real estate broker's fee, $11,100 architect's fee, and $17,800 to put in driveways and a parking lot.
Determine the amount to be reported as the cost of the land.
Cost of the land $enter the Cost of the land in dollars
For each cost not used in previous part, indicate the account to be debited.
Account to be debited enter an account title $enter a debit amount enter an account title $enter a debit amount
$125,700 amount to be reported as the cost of the land. Expense is required for the asset to be used.
All expenses involved in putting an asset into use are included in the cost of the item. These consist of the item's price after all sales and discounts, sales tax, freight costs, etc.
As long as the expense is required for the asset to be used, it will be capitalised together with the asset's original cost. Other expenses, such as maintenance and insurance charges, are deducted from the asset's cost instead of being included in it.
This is why the reported price of the land
= $81,000 + $10,000 - $2,900 + $3,200 +
= $5,500+ $11,100 + $17,800
= $125,700
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An automotive manufacturer wants to know the proportion of new car buyers who prefer foreign cars over domestic.
Step 1 of 2:
Suppose a sample of 390 new car buyers is drawn. Of those sampled, 105 preferred foreign over domestic cars. Using the data, estimate the proportion of new car buyers who prefer foreign cars. Enter your answer as a fraction or a decimal number rounded to three decimal places.
Step 2 of 2:
Suppose a sample of 390 new car buyers is drawn. Of those sampled, 105 preferred foreign over domestic cars. Using the data, construct the 80% confidence interval for the population proportion of new car buyers who prefer foreign cars over domestic cars. Round your answers to three decimal places.
390 new automobile customers are selected as a sample. 105 respondents preferred imported cars to domestic ones is 0.269
Explain about the manufacturer?A manufacturer is a person or company that transforms raw materials into finished goods using a range of tools, apparatus, and techniques, and then sells the goods to consumers, wholesalers, distributors, retailers, or other manufacturers for the development of more complex goods.
Producing new things out of parts or raw materials is known as manufacturing. Manufacturing includes enterprises that create items rather than offering services, such as bakeries, shoemakers, tailors, and automotive businesses.
A company that manufactures completed products from raw materials is known as a manufacturer. A manufacturer could be a natural person or a legally recognized business. He typically initiates the supply chain for any products and distributes them to wholesalers or retailers, as the situation may be.
=x/n=105/390
= 0.269
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which of the following is not an attribute of a national or country-specific environment that has an impact on global competitiveness of companies located within that nation?enses
The attribute of a national or country-specific environment that has not have an impact on global competitiveness of companies located within that nation is Advertising expenses.
Country-specific environment
It refers the part of the external environment of an organization with which it interfaces in the course of conducting its business.
Given,
Here we need to find the attribute of a national or country-specific environment that has not have an impact on global competitiveness of companies located within that nation.
As per the given list of option in the country specific environment concept, the attribute advertising expanses will not present on the country specific environment.
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as real gdp rises, tax revenues tend to ________ and government transfers tend to ________.
As real GDP rises, tax revenues tend to rise and government transfers tend to fall.
What is tax revenue?Tax revenue can be defined as the revenues collected from taxes on income and profits, social security contributions, taxes levied on goods and services, payroll taxes, taxes on the ownership and transfer of property, and other taxes.
The total tax revenue as a percentage of GDP indicates the share of a country's output that is collected by the government through taxes and it is regarded as one measure of the degree to which the government controls the economy's resources.
The tax burden is measured by taking the total tax revenues received as a percentage of GDP.
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High levels of unemployment combined with high levels of inflation could indicate that the business cycle has entered into a period of —.
Reallocation of a retirement portfolio is important to maintain an appropriate level of risk over time. What general investment rule does old doc white recommend to help you reallocate your portfolio as you get older?.
The general investment rule does old doc white recommend to help you reallocate your portfolio as you get older is Doc White's sure-fire rule.
What is the objective of a retirement portfolio?To create a source of income that can accumulate and raise the value of your investment, your retirement portfolio should have as its primary objective. You are able to live comfortably in your latter years because of the money it gives.
Doc White's sure-fire rule, which helps retirees determine a safe withdrawal rate for each year, is the basic investment strategy that old doc White advises to assist you to reallocate your portfolio as you age.
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Which of the following statements are correct (Note: Cost of Capital means the same thing as Unlevered Cost of Equity)?
Cost of Capital and WACC are the same thing.
Cost of Capital depends on the tax effect of debt.
WACC depends on the tax effect of debt.
WACC is less than Cost of Capital.A.Statements 1 and 3 are correct.
B. Statements 1 and 4 are correct.
C. Statements 2 and 3 are correct.
D. Statements 3 and 4 are correct.
E. Statements 2 and 4 are correct.
Due to the fact that the cost of debt is lower than the cost of equity, the unlevered cost of capital is typically higher than the levered cost of capital.
Explain about the unlevered cost?
Unlevered cost of capital is the price a business would pay to finance a project on its own, without taking on debt. It offers an implied rate of return, assisting investors in making educated investment decisions.
Unlevered refers to something that is without leverage, since it does not account for the cost of any loan that might be employed to run a firm. Bonds or bank loans are the two most common forms of debt. Unlevered free cash flow is the sum of the business's accessible cash before deducting interest payments on debt.
The cost of a corporation funding a capital project without taking on debt is represented by the unlevered cost of capital.
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cantrell company is required by law to collect and send sales taxes to the state. if cantrell has $8,500 of cash sales that are subject to an 7% sales tax, what is the journal entry to record the cash sales?
the entry in the journal to reflect the cash sales:
Cash- (Dr.) $9,095
Sales- (Cr.) $8,500
Sales Taxes Payable- (Cr.) $595
What do sales mean in a business context?Sales in everyday business operations refer to any transactions where money or something of value is exchanged for the right to possess a good or obtain a service. When referring to a company's income from the sale of goods or services, accountants use the term "sales."
What items require payment of sales tax?In an account known as sales taxes payable, a company keeps track of the total amount of sales taxes that it has collected from customers on behalf of a governing tax authority. As the custodian of these funds, the business is accountable for timely remitting them to the government.
The Sales Taxes Due are as follows:
Sales Taxes Payable= Sales × Sales Tax Rate
Sales Taxes Payable= $8,500 × 0.07= $595
( A Credit to Sales Taxes Payable)
The amount of money received is:
Cash received= Sales + Sales Taxes Payable
Cash Received = $8,500 + $595 = $9,095
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Chapter 4 deals with emotions, attitudes, and stress. Why should organizations be concerned with occupational stress? What can organizations do to reduce workplace stress, and what can they do to help employees cope with it? What effect does stress have on performance? Is there such a thing as too little stress?
Occupational stress is stress that is in the workplace. The leading causes of this stress are Job Security, people issues, workload and the balance of work and home life.
There are two types of stressors in the workplace: hindrance and challenge. Challenge stressors are associated with workload, job demands, job complexity, and deadlines and are positively related to motivation and performance. Hindrance stressors are ones that inhibit progress toward objectives . Organizations should be concerned with occupational stress because it can have a negative effect on productivity, workplace attitude, attendance, and happiness. Workplace stress can also become contagious as the attitudes of a worker fall, the stress levels of their coworkers are likely to rise and their attitudes likely to turn sour as well.Employee support is crucial for organizations when it comes to combating the negative effects of stress in the workplace. Organizations should be proactive when it comes to coping with stress. They should encourage open and honest conversations in the workplace. This will encourage employees not to take on more than they can handle. They should also provide support to employees, offering time off to deal with mental health and time to spend with family when needed.
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Many Americans were suspicious of the Second Bank of the United States for which of the following reasons? a) They believed that it was controlled by leaders of the Whig Party.; b) They believed that it was controlled by southern plantation owners; c) They believed that it was controlled by a commercial elite; d) It refused to make any loans for business expansion; e) It refused to exchange bank notes for gold.
Many Americans were suspicious of the Second Bank of the United States because they believed that it was controlled by a commercial elite.
A financial institution with exclusive authority over the creation and distribution of money and credit for a country or a group of countries is known as the central bank. In contemporary economies, monetary policy is typically created by the central bank. The Second Bank of the United States was the country's second Hamiltonian national bank to get government authorization. It was incorporated in Philadelphia, Pennsylvania, between February 1816 and January 1836. The formal name of the Bank was "The President Directors and Company of the Bank of the United States," as stated in section 9 of the charter approved by Congress
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what causes balance sheet exposure to foreign exchange risk? how does balance sheet exposure compare with transaction exposure?
When a foreign currency balance is converted at the current exchange rate, balance sheet exposure results.
How does transaction exposure compare to exposure on the balance sheet?The foreign currency item is effectively revalued in terms of U.S. dollars on the consolidated financial statements by translating at the current exchange rate. Depending on whether assets translated at the current rate are higher or less than liabilities translated at the current rate, there will either be a net asset balance sheet exposure or a net liability balance sheet exposure.
A translation adjustment is produced by balance sheet exposure but does not cause a cash inflow or outflow. Transaction exposure, which is caused by receiving or exchanging foreign currency, results in realized foreign exchange profits and losses in cash.
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a baker wants to establish a pie factory. the cost of leasing the factory is $1,000 per day. the profit-maximizing quantity of pies is 1,000 pies a day. each pie sells for $3 and costs only $2.10 to make. which of the following is a correct conclusion based on this information?
The correct conclusion based on this information is baker should not enter the industry.
What is the profit-maximizing quantity and price?The amount that maximizes profits will be reached when MR = MC, or at the very last moment before marginal expenses start to outpace marginal income. MR = MC happens at an output of 5. The monopolist will set prices based on what the market will bear.The amount of goods produced at which marginal revenue equals marginal cost, or when MR = MC, is the decision that will maximize profits for the monopoly. If the monopoly produces less, MR > MC at those output levels, and the firm can increase profits by increasing output.The company is in the red and must lower its output when marginal revenue is less than marginal cost. Therefore, when a company selects a level of output where its marginal revenue matches its marginal cost, profits are maximized.Learn more about profit-maximizing quantity refer to :
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the xano company reported merchandise inventory at lifo of $450,000 on the year-end financial statements. the company also reported a lifo reserve of $34,000. an estimate of the inventory balance if the inventory had been reported using the fifo assumption is
On the financial statements for the end of the year, the Xano company said that its inventory of goods was $450,000 at the time. A $34,000 lifo reserve was also disclosed by the business. If the inventory had been recorded using the fifo assumption, an estimated inventory balance would be $484,000.
FIFO Inventory is $484,000 (LIFO Inventory is $450,000) + LIFO Reserves are $34,000.
The First-in First-out (FIFO) approach of inventory valuation is predicated on the notion that things are used or sold in the same chronological order as they are purchased. In other words, the earliest purchased or manufactured commodities are sold/removed and expensed first according to the first-in, first-out method. Until the higher tax liability is taken into account, FIFO is the perfect valuation method for companies that need to impress investors.
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once a firm decides to enter an industry and chooses a market in which to compete, it must gain an understanding of its competitive environment. this challenge can be undertaken by completing a(n) analysis.
The firm must do Competitor/Competitive Analysis.
What is Competitor Analysis?
It is the process of identifying competitors within an industry and researching their different marketing strategies as well their strength and weaknesses.
It includes scrutinization of competitor's features, market share, pricing, marketing, differentiators, strengths, weaknesses, geography, culture, and customer ratings
It is also known as Competitive Analysis.
Components of Competitor's Analysis:
Porter's 5 ForcesSWOT AnalysisBusiness ModelsCustomer Journey Map or Supply Chain Management ModelsWhat is the purpose of Competitor/Competitive Analysis?
The purpose of competitive analysis is to understand the strengths and weaknesses of competitors compared to your company and to find gaps in the market.
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a building is acquired on january 1 at a cost of $970,000 with an estimated useful life of eight years and salvage value of $87,300. compute depreciation expense for the first three years using the double-declining-balance method.
Depreciation expense for the first three years using the double-declining-balance method is: Year 1 = $196,000, Year 2= $156,800 and Year 3= $125,440.
What does a depreciation actually mean?Depreciation is the term used to describe the ongoing, gradual reduction in the book value of fixed assets. This type of shrinkage is determined using the asset's purchase price rather than its market value.
What does depreciation mean in accounting?Depreciation is a non-cash business expense that is calculated over the course of an asset's useful life for your business. Every organization can gain from depreciation by removing the cost of using up a portion of an asset's worth from taxable revenue.
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knowledge check 01 when a manager has control over and is accountable for cost, profit or investments of an organization, it is called .
When a manager has control over and is accountable for cost, profit or investments of an organization, it is called responsibility center.
An operational unit within a company known as a responsibility center has its own aims and objectives, managing workplace, guidelines and procedures, and financial statements. It is employed to assign managers explicit responsibility for the money invested, spent, or revenue generated. This allows senior managers of a corporation to link individual personnel to particular investment actions and commercial outcomes. This ensures that responsibility is maintained, and it's also possible to do is provide personnel bonuses.
A firm may have several responsibility centers, but there should be at least one. Consequently, a responsibility center is usually a division of a company. These centers are typically listed on an organization chart for a company.
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if the stock price of a target company jumps up when the acquisition of the company is announced, the market . think carefully before you answer this question.
Although the insiders of the acquiring company knew about the purchase beforehand, the market cannot be strong form efficient since the news of the transaction influences the stock price and was not previously priced in.
Which transaction influences the cost?The theory-based variables that affect transaction costs may be divided into four categories: 1) transaction characteristics, 2) transactor characteristics, 3) institutional environment variables, and 4) institutional arrangement variables.There is always a cause-and-effect link inherent in every transaction. For instance, a sale results in a higher balance of accounts receivable. Paying wage expenses results in a drop of cash. Inventory removal results in a rise in cost of goods sold. A hypothesis that includes transaction costs, contracting costs, coordination costs, and search costs when calculating the true cost of outsourcing the production of goods or services. When deciding, all expenses are taken into account in addition to market pricing.Learn more about transaction influence refer to :
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What is the cause of emergence of TNC and MNC?.
Globalization is the cause of emergence of TNC and MNC.
One of the main causes of the rise in TNCs is globalization. Many companies have had to adopt a global or international mindset in order to expand and develop. TNCs have also contributed to further globalization, which is a two-way process.
Many TNCs have their headquarters in more economically developed nations like the UK and the USA, and these nations also provide FDI. However, more and more TNCs, like China's Alibaba and India's Tata, are headquartered in LDCs.
The creation of European trading enterprises, particularly those in the Netherlands and England, can be credited with the emergence of MNCs in the late sixteenth century. One of the most notable of them was the Dutch East India Company, which was established in 1602 and charged with utilizing the colonies' natural riches.
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FILL IN THE BLANK. after successfully overcoming a potential customer's objection to buying the vacuum cleaner he was selling, terrence, a salesperson, asked the customer for an order. terrence is in the ___ stage of the selling process. follow-up approach preapproach closing prospecting
Terrence is at the point where the sale is closing.
What is in demand?Selling is the process by which one person persuades another person to buy a product or use the services that a business is providing.The fact that the guy was persuaded that he needed to buy a vacuum cleaner indicates that he is prepared to make the purchase.Terrance merely inquired as to the customer's order, i.e., the number he would want to purchase or the kind of vacuum cleaner he intended to purchase. As a result, choice D is the best one.Clothing will dominate the market in the years to come. Mobile phones, consumer electronics, footwear, fast food, dietary supplements, beauty products, personal hygiene products, kitchenware, home décor, and other commodities are also in high demand from online shoppers.To learn more about demand refer to
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a decision to invest in an electronic data interchange system that would increase invoice accuracy should result in a lower amount of accounts receivable. true false
The statement 'a decision to invest in an electronic data interchange system that would increase invoice accuracy should result in a lower amount of accounts receivable' is true.
In the field of business, accounts receivable can be described as the money that a company or a business has to take from an organization for a product that the company has delivered to the customer but has not received the payment yet.
An electronic data interchange will allow customers to pay for their purchases at that particular time when a purchase is being made. It will be reliable for customers to pay through the electronic data interchange and hence would lower the accounts receivable.
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if a firm that has an annual debt obligation of $40 and generates cash flow of $30, how much will shareholders receive?
Shareholders won't receive anything if a company has an annual debt obligation of $40 and generates a cash flow of $30 because there won't be any left over for equity holders.
How does the cost of equity for a corporation change when debt levels rise?The lowest cost of capital is, in theory, achieved via debt financing because it is tax deductible. But if debt levels are too high, investors will be at more financial risk and will require a higher return on equity. The optimum point at which the marginal benefit of borrowing money equals the marginal cost must therefore be identified by enterprises.
How does loan usage affect free cash flow?If a corporation spends additional funds to pay off debt today, its free cash flow to equity will be lower in the current year. However, as the debt has been repaid and is no longer required to be serviced, this decrease is more than made up for by an increase in free cash flow to equity during the following years.
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A representative from a nationally known cookie manufacturer is at a local supermarket distributing samples of a new flavor of cookie that the company has just introduced. The cookie manufacturer is implementing ________ in giving away samples of the cookie.
By providing free samples of the cookie, the cookie company is promoting sales in the current scenario.
What is sales promotion?One component of the promotional mix is sale promotion.
Advertising, personal selling, direct marketing, and publicity/public relations make up the bulk of the promotional mix.
In order to boost customer demand, generate market demand, or improve product availability, sales promotion employs both media and non-media marketing communications for a predetermined, brief period of time.
Examples include giveaways, coupons, discounts, point-of-purchase displays, premiums, prizes, free samples of goods, and rebates. Sales campaigns might target customers, salespeople, or anyone in the distribution chain (such as retailers).
Consumer sales promotions are marketing campaigns that are aimed at consumers.
Trade sales promotions are advertising campaigns aimed at wholesalers and retailers.
So, by providing free samples of the cookie, the cookie company is promoting sales in the current scenario.
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Eva is going to invest in an account paying an interest rate of 6. 5% compounded annually. How much would eva need to invest, to the nearest cent, for the value of the account to reach $41,000 in 13 years?.
With an annual compound interest rate of 6.5%, in order to get her investment to $41,000 in 13 years, Eva will need to invest $18,081.69
Compound interest is an interest paid on investment that is compounded with the accumulation of principal plus interest from the preceding period. Given that the final amount of a 13 year investment with 6.5% is $41,000. We will then calculate the principal amount with the following formula:
P = Principal
A = Accrued amount (Principal + Interest) = $41,000
r = Annual nominal interest rate as a decimal = 6.5/100 = 0.065 per year
n = number of compounding in a year = 1
t = time in years = 13 years
[tex]P = A / (1 + r/n)^{nt}[/tex]
P = 41,000/(1+0.065/1)⁽¹⁾⁽¹³⁾
P = 18,081.69
Therefore at the beginning, Eva will have to invest a principal of $18,081.69
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What is the market where loans are made to borrowers?.
Secondary loan market is the market where loans are made to borrowers.
Home loans and servicing rights can be bought and sold between creditors and borrowers in the secondary mortgage market. Lenders who issue newly originated mortgages sell a significant portion of those mortgages into this secondary market, where they are bundled into mortgage-backed securities and sold to investors like hedge funds, pension funds and insurance companies. Because of its size and liquidity, the secondary mortgage market contributes to equal access to credit for all borrowers worldwide.
Loan issuers are able to continue funding new loans because of the secondary mortgage market. Mortgage rates would be substantially higher than they are if this market didn't exist, and most people wouldn't even be able to pay for a home.
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Gertrude Products expects the following sales of its single product: Required Gertrude has an ending finished goods inventory policy of10%of the next month's sales needs. Each unit requires 5 pounds of Chemical A and 14 pounds of Chemical B. July 1 materiais inventory includes 8,600 pounds of ChemicalAand 76,000 pounds of Chemical B. Gertrude desires to maintain a Chemical A inventory equal to20%of next month's production needs and a Chemical B inventory equal to100%of next month's production needs. a. Prepare a production budget for Gertrude Products for the quarter ending September 30 . Prepare a direct materials purchases budget for Chemical A for the quarter ending September 30 . Assume a desired ending nventory for Chemical A of 9,140 pounds at September 30, and a constant unit cost of$2.80per pound Note: Deductible answers must be indicated with a minus sign.
Identifies the quantity of finished items that must be produced each budgetary period to meet the targeted finished ending inventory as well as the anticipated sales needs .
Prepare a production budget ?Despite being prepared in finished goods units, the production budget can be used to determine a number of items on the budgeted financial statements, including:Units sold multiplied by cost per unit to determine the budgeted cost of the goods sold.Budgeted beginning and ending finished goods inventory calculated by dividing the number of units in the stock by the cost per unit. Unit production multiplied by cost per unit to determine the budgeted cost of goods manufactured.Required production units 10,000 8,000 8,500 9,000
X Direct labor hours per unit 0.6 0.6 0.6 0.6
= Total direct labor-hours needed 6,000 4,800 5,100 5,400
X Direct labor cost per hour $15.00 $15.00 $15.00 $15.00
= Total direct labor cost $90,000 $72,000 $76,500 $81,000
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a risk that a lender faces in agreeing to change the schedule of payments for a defaulting borrower is that courts may view the change as a new, replacement mortgage, with priority below any other existing lien. this risk is known as
The risk that sees a lender agreeing to change the schedule of payments which leads to courts seeing this change as a new mortgage is known as a recasting risk.
What is the recasting risk?The recasting risk on mortgages is the risk that a court would see the changing of a schedule of payments as a new, replacement mortgage. This then means that this mortgage has a lower priority than other existing liens and debt.
This is not ideal for the lender in the event that the borrower declares bankruptcy as it means that the lender would stand less chances of getting back their debt.
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the level of corporate culture that cannot be seen but can be discerned from how people explain and justify what they do is:
The level of corporate culture that cannot be seen but can be discerned from how people explain and justify what they do is invisible culture.
A group of people's culture can be used to define a variety of characteristics about them, including their language use, worldviews, social structure and even the cuisine they consume. Almost all facets of civilization are influenced by culture. The term "invisible culture" refers to a certain kind of culture.
The intangible components of a culture are referred to as invisible culture. Belief systems, values and unwritten conventions are a few examples of different sorts of invisible culture. Specific examples of invisible culture include ideas about gender, underlying religious convictions that shape society and what is most important (family, freedom, money, etc.).
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Ginger purchased a single-premium deferred annuity ten years ago at age 45. She used $40,000 of after-tax funds she had accumulated over fifteen years. She decides to surrender the annuity for a lump-sum distribution of its $90,000 value. Which of the following statements is correct?
Group of answer choices
Ginger will owe income taxes on $50,000
Ginger will owe income taxes on $90,000.
Ginger will owe income taxes and a 10% penalty on $90,000.
Ginger will owe income taxes and a 10% penalty on $50,000.
Ginger will owe income taxes and a 10% penalty on $50,000 of the following statements is correct.
Taxable Amount = ( $90,000 - $40,000 ) = $50,000
As the Distribution of Fund is at age 45 which is less than 59.5 , then it subject to 10% penalty
An income tax is a tax imposed on people or entities in respect of the earnings or income earned by means of them. profits tax usually is computed because the made of a tax charge instances the taxable income. Taxation quotes may additionally vary by kind or characteristics of the taxpayer and the kind of earnings.
For instance, if you earn $1,000 in a kingdom with a flat earnings tax fee of 10%, $one hundred in earnings taxes have to be withheld from your paycheck whilst you earn that profits.
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