The appropriate entry on May 1, 2020, to record reselling the treasury stock is Option B: Cash $900 and Treasury Stock $900.
When a company resells its treasury stock, the cash received from the sale is recorded as an increase in the Cash account. In this case, the company sold 30 shares of treasury stock at $30 per share, resulting in a total cash inflow of $900.
Simultaneously, the Treasury Stock account is debited to reduce the balance of treasury stock. Since the company originally repurchased the stock for $20 per share, the debit entry to Treasury Stock will be equal to the repurchase cost per share ($20) multiplied by the number of shares sold (30), which amounts to $600.
There is no mention of Additional Paid-in Capital or Common Stock in the scenario, so they are not involved in the journal entry. The correct entry to record the reselling of treasury stock is therefore Cash $900 (credit) and Treasury Stock $900 (debit).
To learn more about shares, click here
brainly.com/question/16416503
#SPJ11
A decrease in a firm's inventory turnover ratio is least likely to result from: O goods in inventory becoming obsolete. O decreasing purchases in a period of stable sales. O massive decreases in sales due to quarantine of the population
A decrease in a firm's inventory turnover ratio is least likely to result from decreasing purchases in a period of stable sales. Inventory turnover ratio is a financial metric that measures how efficiently a company sells its inventory, calculated as the ratio of sales to average inventory. So the answer is decreasing purchases in a period of stable sales.
Goods in inventory becoming obsolete may lead to a decrease in the inventory turnover ratio, as the company will struggle to sell outdated products. Massive decreases in sales due to quarantine of the population can also result in a decreased inventory turnover ratio, as it signifies that the company is not able to sell its products effectively in the given circumstances.
However, when a firm decreases its purchases while maintaining stable sales, it indicates that the company is effectively managing its inventory and reducing excess stock. In this scenario, the firm is likely to sell the available inventory at a faster pace.
This will lead to an increase, rather than a decrease, in the inventory turnover ratio, reflecting better inventory management and overall operational efficiency.
For more questions on: inventory
https://brainly.com/question/26533444
#SPJ11
A decrease in a firm's inventory turnover ratio is least likely to result from decreasing purchases in a period of stable sales.
Inventory turnover ratio measures how many times a company's inventory is sold and replaced over a period, and it is calculated by dividing the cost of goods sold by average inventory.
A lower inventory turnover ratio means that the company is holding inventory for a longer period before selling it, which can be caused by various factors such as slow sales, goods in inventory becoming obsolete, or disruptions in the supply chain.
However, decreasing purchases in a period of stable sales would likely result in a decrease in the cost of goods sold, which could increase the inventory turnover ratio. Therefore, it is least likely to result in a decrease in the inventory turnover ratio.
Learn more about inventory here:
https://brainly.com/question/31827018
#SPJ11
true or false: the majority of public companies use the direct method of preparing cash flows from operating activities.
True. The direct method of preparing cash flows from operating activities is a commonly used approach for reporting a company's cash flows from operating activities.
It involves reporting the cash inflows and outflows from the company's operating activities, such as sales revenue, cost of goods sold, and operating expenses, directly on the income statement. This approach provides a clear picture of the company's operating cash flows and can help investors and analysts understand the company's financial performance and liquidity.
While not all public companies use the direct method, it is a widely used and widely understood approach for reporting cash flows from operating activities. Some companies may choose to use alternative methods, such as the indirect method or the cash flow statement, to report their cash flows from operating activities. However, the direct method is generally considered to be the most straightforward and transparent approach for reporting these cash flows.
Learn more about direct method Visit: brainly.com/question/14499248
#SPJ4
Consider a monopoly where the inverse demand for its product is given by P = 200 -5Q. Based on this information, the marginal revenue function is:A. MR(Q) = 400 - 2.5QB. MR(Q) = 400 - 10QC. MR(Q) = 200 - 10QD. MR(Q) = 400 - 2.5Q
The marginal revenue function is MR(Q) = 400 - 10Q. The correct answer is option B
The formula to calculate marginal revenue (MR) for a monopoly is:
MR(Q) = dTR(Q) / dQ
where TR(Q) is the total revenue as a function of quantity.
The inverse demand function for the monopoly is given as:
P = 200 - 5Q
To get TR(Q), we need to multiply P by Q:
TR(Q) = P(Q) x Q
TR(Q) = (200 - 5Q)Q
TR(Q) = 200Q - 5Q²
To get MR(Q), we need to differentiate TR(Q) with respect to Q:
MR(Q) = dTR(Q) / dQ
MR(Q) = 200 - 10Q
Therefore, the correct option is B.
To know more about marginal revenue, refer here:
https://brainly.com/question/21859959#
#SPJ11
Some economics, notably Keynesians, believe that _______________.Group of answer choicesA. since both V and Q are constants for an economy in short-run equilibrium, the equation of exchange becomes the quantity theory of money which explains pricesB. even though velocity isnt constant, it is predictableC. If a change in M occurs, it may not only affect P, but also and at the same time affect Q
Some economics, notably Keynesians, believe that if a change in M (money supply) occurs, it may not only affect P (price level), but also Q (real output) at the same time.
Keynesians argue that in the short run, changes in the money supply can impact both prices and real output. This is because changes in the money supply can affect the spending decisions of households and firms, which can then impact real economic activity.
Keynesians also reject the idea that velocity of money is constant, arguing that it can fluctuate in response to changes in economic conditions. Therefore, they argue that the quantity theory of money, which assumes that velocity is constant, is not a sufficient explanation of price level changes.
To know more about money supply visit:
https://brainly.com/question/30218160
#SPJ11
true/false. the larger the number of incompatible software packages an organization owns, the greater the cost to train and retrain employees.
The statement 'the larger the number of incompatible software packages an organization owns, the greater the cost to train and retrain employees' is true when an organization utilizes multiple incompatible software packages, it creates complexity and challenges for employees who need to work with these systems.
Each software package typically has its own unique features, user interface, and processes, requiring employees to acquire specialized knowledge and skills for each system.
This necessitates training and retraining efforts to ensure employees are proficient in using the various software packages.
Training employees on multiple incompatible software packages can be time-consuming and costly. It requires dedicated resources for conducting training sessions, developing training materials, and providing ongoing support.
Additionally, employees may need to spend additional time adjusting to different software interfaces, leading to reduced productivity and potential errors during the learning process.
Consolidating and standardizing software packages within an organization can help alleviate these challenges. It reduces the need for extensive training and retraining efforts, as employees can become proficient in a single system that is widely used throughout the organization.
This streamlines processes, enhances productivity, and reduces costs associated with software training and support.
To learn more about employees, click here:
https://brainly.com/question/29450584
#SPJ11
Which of the following countries has had the highest risk premium?
Group of answer choices
Germany
Denmark
Switzerland
United States
Among the countries mentioned, the United States has historically had the highest risk premium due to its larger market size and higher volatility.
So, the correct answer is D.
The risk premium is the additional return an investor expects to receive for taking on the risk of investing in a particular asset or country.
The US stock market is often seen as a barometer of global economic health, which can cause fluctuations in the market. Additionally, the US has a more complex political and regulatory environment compared to other countries.
This uncertainty can increase the perceived risk of investing in the US, leading to a higher risk premium. However, it's important to note that risk premiums can change over time and may not always be consistent across countries or assets.
Hence, the correct answer is D.
Learn more about risk premium at https://brainly.com/question/29386859
#SPJ11
an office holder who represents the will of those who elected him/her and acts in constituent’s expressed interests is known as:
An office holder who represents the will of those who elected him/her and acts in the constituents' expressed interests is known as a representative or representative democracy.
In a representative democracy, elected office holders are chosen by the people to represent their interests and make decisions on their behalf. These representatives are expected to listen to their constituents, understand their concerns, and advocate for policies and actions that align with the expressed interests of the people who elected them.
They are responsible for voicing the concerns and preferences of their constituents, and their actions and decisions should reflect the will of the majority. This system allows for the democratic participation of citizens by electing individuals who can represent their views and work towards achieving their desired outcomes.
Learn more about office holder here:
https://brainly.com/question/28518043
#SPJ11
a firm is hiring 10 workers at $15.00 per hour. in order to hire an additional (11th) worker it must raise the wage it pays (to all workers) to $16.00 per hour. the marginal factor cost to the firm of hiring the 11th worker is
The marginal factor cost to the firm of hiring the 11th worker is the additional cost incurred by the firm when it hires that additional worker.
In this case, to hire the 11th worker, the firm needs to raise the wage for all workers from $15.00 to $16.00 per hour. Therefore, the marginal factor cost of hiring the 11th worker is the increase in wage cost for all 10 workers.
To calculate the marginal factor cost, we can subtract the total cost before hiring the 11th worker from the total cost after hiring the 11th worker.
Let's assume that each worker works for 40 hours per week and the firm operates for 52 weeks in a year.
Before hiring the 11th worker:
Total cost = 10 workers * $15.00 per hour * 40 hours per week * 52 weeks per year
After hiring the 11th worker:
Total cost = 11 workers * $16.00 per hour * 40 hours per week * 52 weeks per year
Marginal factor cost = Total cost after hiring the 11th worker - Total cost before hiring the 11th worker
Please note that this calculation assumes no other changes in factors of production or productivity.
To learn more about marginal factor
https://brainly.com/question/31421962
#SPJ11
an organization's loyalty to its own product is a competitive disadvantage in a(n) ____ market.
An organization's loyalty to its own product is a competitive disadvantage in a rapidly changing or dynamic market.
In a rapidly changing or dynamic market, where consumer preferences and technology evolve quickly, an organization's loyalty to its own product can hinder its ability to adapt and stay competitive. Loyalty to a product may be seen as a positive trait in stable markets, but it can be a disadvantage for constant innovation and agility.
Being overly loyal to a product can lead to complacency and resistance to change. The organization may become too focused on promoting its existing product, neglecting to explore new opportunities or invest in research and development for future offerings. This lack of adaptability and responsiveness to market shifts can result in the organization falling behind its competitors.
In dynamic markets, successful organizations need to be flexible, open to new ideas, and willing to pivot their strategies and products as required. They should continuously assess market trends, listen to customer feedback, and invest in innovation to stay ahead of the curve.
Learn more about dynamic market here:
https://brainly.com/question/31834428
#SPJ11
management anticipates fixed costs of $74,000 and variable costs equal to 37% of sales. what will income equal if sales are $340,000? multiple choice $125,800. $266,000. $140,200. $185,900. $51,800.
Determined income of management anticipates fixed costs of $74,000 and variable costs equal to 37% of sales is $140,200.
Fixed costs are expenses that do not vary with the level of production or sales. They are incurred regardless of the volume of output and remain relatively constant over a specific period. Examples of fixed costs include rent, salaries of permanent employees, insurance premiums, and lease payments.
Variable costs, on the other hand, fluctuate in direct proportion to the level of production or sales. They change as the volume of output changes. Examples of variable costs include raw materials, direct labor costs, commissions, and packaging expenses.
To calculate the income, we need to subtract the total costs (fixed costs and variable costs) from the sales. Here's the breakdown:
Fixed costs = $74,000
Variable costs = 37% of sales = 0.37 * $340,000 = $125,800
Total costs = Fixed costs + Variable costs = $74,000 + $125,800 = $199,800
Income = Sales - Total costs = $340,000 - $199,800 = $140,200
So, the income will equal $140,200.
To know more about Fixed costs, visit:
https://brainly.com/question/14597388
#SPJ11
FILL IN THE BLANK The auditor needs to understand the controls that exist to ensure management's objectives are being met when a(n) _____ strategy is adopted for the revenue process
The auditor needs to understand the controls that exist to ensure management's objectives are being met when a decentralized strategy is adopted for the revenue process.
When a decentralized strategy is adopted for the revenue process, it means that decision-making authority and responsibilities are distributed among various departments or units within an organization. In such a scenario, it is crucial for the auditor to understand the controls that are in place to ensure that management's objectives related to revenue generation are being achieved effectively.
Decentralization can lead to challenges in maintaining consistency, accuracy, and compliance with financial reporting standards across different departments or units. Therefore, the auditor must assess the effectiveness of the controls implemented within each department or unit to mitigate risks and ensure the reliability of revenue-related transactions and financial statements.
By understanding the controls, the auditor can evaluate whether adequate measures are in place to prevent fraud, errors, and misstatements in revenue recognition, billing, collections, and related processes. This includes assessing the design and implementation of internal controls, monitoring mechanisms, segregation of duties, authorization procedures, and the overall effectiveness of the decentralized revenue management strategy.
to learn more about auditor click here:
brainly.com/question/29550304
#SPJ11
TRUE/FALSE. If engineers' judgment is overruled under circumstances that endanger life or property, they shall notify their employers or clients and such other authority as may be appropriate.
TRUE. If engineers' judgment is overruled under circumstances that endanger life or property, they shall notify their employers or clients and such other authority as may be appropriate.
This statement aligns with the principles and codes of professional ethics followed by engineers. The safety and welfare of the public are of utmost importance, and engineers have a responsibility to take appropriate action when they believe that their professional judgment is being disregarded in a way that could potentially lead to harm. By notifying their employers or clients and relevant authorities, engineers can help ensure that appropriate measures are taken to mitigate risks and protect life and property.
Visit here to learn more about engineers:
brainly.com/question/31140236
#SPJ11
milos files a petition in bankruptcy. his dischargeable debts include
When Milos files a petition in bankruptcy, his dischargeable debts refer to the debts that can be eliminated or forgiven through the bankruptcy process. These debts are typically unsecured debts and may include credit card debt, medical bills, personal loans, and certain types of taxes. However, certain debts such as student loans, child support, alimony, and some tax obligations may not be dischargeable.
When someone files for bankruptcy, the purpose is to seek relief from overwhelming debt and obtain a fresh financial start. Dischargeable debts are those that can be eliminated or forgiven through the bankruptcy process, allowing the individual to be released from their legal obligation to repay them.
Typically, dischargeable debts include unsecured debts, such as credit card debt, medical bills, personal loans, and certain types of taxes. Unsecured debts are not backed by collateral, making them more likely to be dischargeable. However, it's important to note that there are exceptions and limitations to the dischargeability of certain debts.
Debts that are generally not dischargeable include student loans, child support, alimony, certain tax obligations, and debts incurred through fraudulent or malicious actions. Student loans are notoriously difficult to discharge unless the debtor can demonstrate an undue hardship. Child support and alimony obligations are typically not dischargeable to ensure the ongoing financial support of dependents. Additionally, debts arising from fraud or intentional wrongdoing may not be dischargeable.
It's important for individuals considering bankruptcy to consult with a qualified bankruptcy attorney to fully understand which debts can be discharged and which debts may be non-dischargeable in their specific situation. Bankruptcy laws vary by jurisdiction, and the type of bankruptcy filing (such as Chapter 7 or Chapter 13) can also impact the dischargeability of debts.
To learn more about bankruptcy filing, click here:
brainly.com/question/28138328
#SPJ11
a person remained hidden in a washroom until the department store closed with the intent to steal a necktie worth $3.00. he/she has committed __________. (8)
The person in the scenario has committed criminal trespass or breaking and entering with the intent to commit theft. Criminal trespass involves unlawfully entering or remaining on someone else's property without permission.
In this case, the person remained hidden in the washroom until the department store closed, indicating unauthorized access and remaining on the premises after closing hours. Additionally, the intent to steal the necktie worth $3.00 indicates the person's intention to commit theft, which is the act of unlawfully taking someone else's property without permission. It is important to note that laws may vary depending on jurisdiction, and specific charges and terminology may differ. However, based on the information provided, criminal trespass and theft are applicable charges in this scenario.
Learn more about trespass here:
brainly.com/question/31662675
#SPJ11
Which of the following events would increase the demand for cruise vacations? The price of cruises falls The price fall would increase the quantity demanded of cruises but not increase the demand itself. The market would just move to a new price/quantity demanded combination on the same demand curve. The economy is slowing, unemployment increases and average income falls. The price of air travelling decreased significantly. The popularity of cruises rises after a successful marketing campaign.
The event that would increase the demand for cruise vacations is "The popularity of cruises rises after a successful marketing campaign."
A successful marketing campaign that increases the popularity of cruises can generate greater consumer interest and awareness of cruise vacations. This increased popularity can lead to a higher demand for cruise vacations as more individuals are inclined to consider and book cruise trips.
While the other events mentioned can have an impact on the cruise industry, they may not directly increase the demand for cruise vacations:
The price of cruises falls: A decrease in the price of cruises would result in an increase in the quantity demanded (movement along the demand curve) rather than an increase in demand itself.The economy is slowing, unemployment increases, and average income falls: In an economic downturn, consumers may have less disposable income, which can lead to a decrease in demand for luxury items like cruise vacations.Learn more about cruise vacations here:
https://brainly.com/question/31033586
#SPJ11
if preferred stock is noncumulative, the company is required to pay dividends that were passed in previous years. T/F?
False. If preferred stock is noncumulative, the company is not required to pay dividends that were passed in previous years.
Noncumulative preferred stock means that if the company fails to pay dividends in a particular year, the unpaid dividends do not accumulate or carry over to future years.
In other words, the shareholders of noncumulative preferred stock do not have the right to claim the unpaid dividends in subsequent periods. Therefore, if a company has noncumulative preferred stock, it is not obligated to pay the dividends that were passed or not paid in previous years.
Each year's dividend obligation stands independently, and if the company chooses not to pay dividends in a given year, the shareholders of noncumulative preferred stock do not have any claim to those unpaid dividends.
To learn more about stock click here:
brainly.com/question/13172643
#SPJ11
Which of the following is an example of an appropriate question to begin analyzing a business problem?
Multiple Choice
How can we increase employee morale in North Carolina?
Why is our newest product not selling as expected in Kentucky?
Why is net income declining?
Can we use confidential data?
Appropriate question: "Why is net income declining?" This question sets the stage for a comprehensive analysis of the factors impacting net income, leading to effective problem-solving and potential long-term financial stability for the business.
The question "Why is net income declining?" is an appropriate question to begin analyzing a business problem because it focuses on a specific financial metric that directly affects the company's performance and profitability. By identifying the reasons behind the declining net income, the business can uncover underlying issues and take corrective actions to improve financial performance.
Net income is a key indicator of a company's financial health and is calculated by subtracting total expenses from total revenue. A decline in net income could be attributed to various factors such as rising costs, declining sales, inefficiencies in operations, or changes in market dynamics. Analyzing the root causes of the decline in net income will help the business understand where it is falling short and identify potential solutions or strategies to address the issue.
By investigating this business problem, the company can assess its financial performance, identify areas of improvement, and make informed decisions to reverse the declining trend.
Learn more about analysis here: brainly.com/question/31750204
#SPJ11
a firm has $40 million in equity and $20 million of debt, it pays dividends of 20% of net income, and has a net income of $10 million. what is the firm's internal growth rate?
The firm's internal growth rate, we need to first determine its retained earnings for the year. So, the firm's internal growth rate is 23%.
Retained earnings are the profits that a company retains and reinvests in the business instead of paying them out as dividends or repaying debt.
The formula for retained earnings is:
Retained earnings = Net income + Dividends + Retained earnings from previous years
We can use this formula to calculate the retained earnings for the firm:
Total equity = 40million+12 million
= $52 million
The firm's debt-to-equity ratio is 20 million in debt and 52 million in equity, which gives us a debt-to-equity ratio of 0.36 or 36%.
Finally, to calculate the firm's internal growth rate, we can use the following formula:
Internal growth rate = Retained earnings / Total equity
Put in the values we calculated, we get:
Internal growth rate = 12million / 52 million
= 0.23 or 23%
Therefore, the firm's internal growth rate is 23%.
Learn more about growth rate Visit: brainly.com/question/24841216
#SPJ4
Relative to Monetarists, Keynesians would tend to argue that:
a. recessions are caused by a lack of "animal spirits."
b. the Federal Reserve is the cause of recessions.
c. the economy can recover from a recession rather quickly.
d. markets are robust and will recover quickly from an economic downturn.
e. All of the above.
Relative to Monetarists, Keynesians would tend to argue (A) that recessions are caused by a lack of "animal spirits."
Keynesians believe that fluctuations in aggregate demand, influenced by factors such as business confidence, consumer sentiment, and government spending, are the primary drivers of economic cycles. "Animal spirits" refer to the psychological and emotional factors that affect economic decision-making, leading to fluctuations in investment and spending.
Unlike Monetarists, who emphasize the role of the Federal Reserve and monetary policy in causing or alleviating recessions, Keynesians focus on the importance of fiscal policy in stabilizing the economy. They argue that during a recession, the government should increase spending and/or reduce taxes to boost aggregate demand and help the economy recover more quickly.
Keynesians also tend to be less optimistic about the economy's ability to self-correct in the short term, as they believe that markets may not always clear due to factors such as sticky prices and wages. This contrasts with the Monetarist view that markets are robust and will recover quickly from an economic downturn.
In summary, Keynesians primarily attribute recessions to a lack of "animal spirits" and emphasize the importance of fiscal policy in economic stabilization. They are less likely to agree with Monetarists about the central role of the Federal Reserve and the resilience of markets in the face of economic challenges. The correct answer is A.
Know more about Monetarists here :
brainly.com/question/29578562
#SPJ11
The most popular currency financial derivatives is a.Options b.Forwards c.Futures d.Swaps.
The most popular currency financial derivative is futures. However, it is important to provide a more detailed answer to fully explain why futures are the most popular.
Currency futures are contracts that are standardized in terms of size, expiration date, and underlying currency. They allow investors to buy or sell a currency at a predetermined price at a specific time in the future. This makes them a popular tool for hedging against currency risk or for speculating on currency movements.
One reason why futures are more popular than options, forwards, or swaps is that they are more liquid and easily traded. They are traded on exchanges around the world, which makes it easier for investors to buy and sell them quickly and at competitive prices.
Futures also offer greater transparency than other types of derivatives. Because they are traded on exchanges, their prices are publicly available and visible to all market participants. This makes it easier for investors to assess market trends and make informed decisions.
In addition, futures are often used by large institutions such as banks and hedge funds, which helps to increase their popularity and liquidity. Overall, while there are several types of currency financial derivatives available, futures are the most popular due to their liquidity, transparency, and widespread use by institutional investors.
Learn more about Currency futures: https://brainly.com/question/28790636
#SPJ11
fitb. online auctions are an example of ____ e-commerce because one person auctions an item to another person.
Online auctions are an example of C2C (consumer-to-consumer) e-commerce because one person auctions an item to another person.
In C2C e-commerce, individuals directly engage in transactions with each other through an online platform, without the involvement of a middleman or a business entity. These platforms provide a virtual marketplace where individuals can list items for sale and others can bid on them.
Online auctions have gained popularity due to their convenience, wider reach, and the ability to connect buyers and sellers from different geographical locations. This form of e-commerce allows individuals to sell their used or unwanted items, while buyers can bid and potentially acquire goods at competitive prices.
Online auctions fall under the category of C2C e-commerce because they facilitate direct transactions between individual sellers and buyers. Unlike B2C (business-to-consumer) or B2B (business-to-business) e-commerce, where businesses are involved in selling products or services, C2C e-commerce involves individuals acting as both sellers and buyers. In an online auction, the seller sets a starting price or reserve price for an item and potential buyers bid on it. The highest bidder at the end of the auction wins the item.
The auction platform provides a platform for individuals to interact, place bids, and conduct transactions. This form of e-commerce has become popular with the rise of online marketplaces and auction platforms, which enable individuals to reach a larger audience and potentially get better prices for their items. Overall, online auctions exemplify the C2C model of e-commerce, facilitating direct transactions between individuals in a virtual marketplace.
Learn more about Auction:
brainly.com/question/32008312
#SPJ11
____ ____ reports the cumulative amount of net income earned by the company less the cumulative amount of dividends since the corporation began.
Retained earnings reports the cumulative amount of net income earned by the company less the cumulative amount of dividends since the corporation began.
Retained earnings is an important financial statement component that reflects the accumulated profits of a company that have not been distributed to shareholders in the form of dividends. It represents the portion of net income that the company has chosen to retain and reinvest in the business rather than distributing it to shareholders.
Retained earnings are calculated by subtracting the cumulative amount of dividends paid out by the company from the cumulative net income earned since the corporation's inception. It is a measure of the company's profitability and financial health over time.
Retained earnings play a crucial role in the company's growth and sustainability. They can be used for various purposes, such as funding expansion projects, investing in research and development, paying off debt, or distributing dividends in the future. Retained earnings also contribute to the overall equity of the company and can impact the valuation of its shares. Therefore, monitoring and analyzing the retained earnings is essential for understanding the financial performance and stability of a corporation.
To learn more about Retained earnings click here: brainly.com/question/14529006
#SPJ11
Consider a 90-day Treasury bill selling for $960? Find the yield on coupon equivalent basis (investment yield). Make sure to show your work. Do not write any symbol (%, S, #, & ...). Express your answers as a percentage. Round your answer to the nearest one hundredth percentage point. For example, write 12.56 for 12.56%. Type your numeric answer and submit
To find the yield on a coupon equivalent basis (investment yield) for a 90-day Treasury bill selling for $960, we need to calculate the discount yield.
The formula to calculate the discount yield is: Discount Yield = (Face Value - Purchase Price) / Face Value * (360 / Days to Maturity)
In this case, the face value of the Treasury bill is typically $1,000 (assuming it is a standard Treasury bill), the purchase price is $960, and the maturity period is 90 days.
Using the formula, we can calculate the discount yield as follows:
Discount Yield = (1000 - 960) / 1000 * (360 / 90) = 40 / 1000 * 4 = 0.04
Converting the decimal to a percentage, the discount yield or investment yield is 4%.
Therefore, the yield on a coupon equivalent basis for the 90-day Treasury bill is 4%.
Learn more about discount yield here: brainly.com/question/30858209
#SPJ11
mncs generally do not need to hedge because shareholders can hedge their own risk.T/F
False. MNCs (Multinational Corporations) often engage in hedging activities to manage their exposure to various risks, including foreign exchange risk.
Hedging allows them to mitigate potential losses and stabilize their financial performance. Shareholders, on the other hand, do not directly hedge the risks associated with MNC operations. MNCs operate in multiple countries and conduct business transactions in various currencies. Fluctuations in exchange rates can significantly impact their profitability and financial stability. To mitigate foreign exchange risk, MNCs employ hedging strategies, such as entering into forward contracts, options contracts, or using derivative financial instruments. These strategies allow them to lock in exchange rates or limit their exposure to currency fluctuations.
Hedging helps MNCs minimize the uncertainty and volatility associated with foreign currency movements. By hedging, MNCs can protect their profits, manage cash flows, and reduce the potential impact of adverse exchange rate fluctuations on their financial statements. Additionally, hedging can provide MNCs with a competitive advantage by allowing them to focus on their core business activities while minimizing financial risks. While shareholders may indirectly benefit from the risk management practices of MNCs, it is the responsibility of the corporation itself to assess and address potential risks. Hedging is an important tool for MNCs to safeguard their financial performance and maintain stability in an increasingly globalized business environment.
Learn more about financial instruments here:
https://brainly.com/question/30627652
#SPJ11
What possible reasons would a CPA firm charge a new client a fee that is lower than the estimated cost of a first-year audit?
Audit Fee:
Audit fee means the fees charged by the auditor for performing the audit services for a client. The auditor charges this fee based on certain factors such as the complexity of the services to be performed, the expertise required to carry out the services, etc.
the specific reasons for a CPA firm charging a lower fee for a first-year audit can vary depending on the firm's unique circumstances.
Why lower audit fees?There could be several reasons why a CPA firm might charge a new client a fee that is lower than the estimated cost of a first-year audit. Here are a few possible reasons:
Attracting new clients: The CPA firm may be offering a discounted fee as a promotional strategy to attract new clients. By offering a lower fee initially, the firm aims to showcase its services and build long-term relationships with clients.Competitive pricing: The CPA firm may be operating in a highly competitive market where other firms are offering lower fees. In order to remain competitive, the firm may decide to lower its fees to attract clients.Relationship-building: The CPA firm might view the first-year audit as an opportunity to establish a relationship with the client. By offering a lower fee, the firm can demonstrate its commitment and dedication to providing value to the client.Upselling potential: The CPA firm may have identified potential upselling opportunities with the client. By offering a lower fee for the first-year audit, the firm can establish a relationship and then potentially offer additional services or higher-priced engagements in subsequent years.Client-specific circumstances: There may be specific circumstances related to the client's industry, size, or complexity that warrant a lower fee for the first-year audit. For example, if the client is a startup or a small business with limited financial transactions, the audit complexity and scope may be lower, leading to a reduced fee.Risk assessment: The CPA firm might assess the client's risk profile and determine that the client poses a lower risk of material misstatement or fraud. In such cases, the firm may offer a lower fee to reflect the reduced level of effort required for the audit.It's important to note that each CPA firm's fee structure and pricing decisions can vary based on various factors, including their market positioning, client base, and overall business strategy. Therefore, the specific reasons for a CPA firm charging a lower fee for a first-year audit can vary depending on the firm's unique circumstances.
Learn more about Audit Fee
brainly.com/question/30903635
#SPJ11
the trends for small businesses in the united states from 1980 to 2003 show the greatest increase in the number of ______
The trends for small businesses in the United States from 1980 to 2003 show the greatest increase in the number of women-owned businesses.
During this period, there was a significant rise in the number of businesses owned and operated by women across various industries. Women entrepreneurs started and managed businesses at a higher rate than ever before, contributing to the growth and diversity of the small business sector.
The increase in women-owned businesses can be attributed to several factors, including changing social and cultural norms, improved access to education and resources for women, advancements in technology and communication, and the development of support networks and organizations promoting women's entrepreneurship.
This upward trend in women-owned businesses signifies the expanding role and influence of women in the business landscape, highlighting their entrepreneurial skills, innovation, and contribution to economic growth. The growth of women-owned businesses continues to be an important trend in the United States, with ongoing efforts to support and empower women entrepreneurs.
Visit here to learn more about women-owned businesses:
brainly.com/question/30284769
#SPJ11
Ashland Company, a maker of kitchen cabinets, incurred the following costs during the current year: Required:
Classify each cost as either a product or period cost.
1. Depreciation on automobiles used sales staff.
2. Salary of Ashland's chief executive officer.
3. Glue used in the production process.
4. Supplies for factory washroom.
5. Research and development costs.
6. Property taxes on factory building.
7. Salary of company controller.
8. Depreciation on furniture in factory lunchroom.
9. Cost of lubricating machinery.
10. Wood used in production process.
1.)Period Cost 2.)Period Cost 3.)Product cost 4.)Period Cost 5.)Period Cost 6.)Period Cost 7.)Period Cost 8.)Period Cost
9.)Product Cost 10.)Product Cost
1. Depreciation on automobiles used by sales staff is a period cost since it is not directly related to the production of kitchen cabinets.
2. Salary of Ashland's chief executive officer is also a period cost as it is not related to the production of kitchen cabinets.
3. Glue used in the production process is a product cost since it is directly related to the production of kitchen cabinets.
4. Supplies for factory washroom is a period cost as it is not related to the production of kitchen cabinets.
5. Research and development costs are a period cost as they are not related to the production of kitchen cabinets.
6. Property taxes on factory building is a period cost since it is not directly related to the production of kitchen cabinets.
7. Salary of company controller is a period cost as it is not directly related to the production of kitchen cabinets.
8. Depreciation on furniture in factory lunchroom is a period cost as it is not related to the production of kitchen cabinets.
9. Cost of lubricating machinery is a product cost since it is directly related to the production of kitchen cabinets.
10. Wood used in the production process is also a product cost as it is directly related to the production of kitchen cabinets.
In summary, product costs are directly related to the production of a product, while period costs are not. Understanding the difference between product and period costs is important for a company to accurately track and allocate costs.
To know more about Period Cost visit:
https://brainly.com/question/13237619
#SPJ11
________ is the alteration of economic or financial fundamentals that are thought to be drivers of capital to flow in and out of specific currencies. A) Indirect Intervention B) Direct Intervention C) Foreign Direct Investment D) Capital Controls
The alteration of economic or financial fundamentals that are thought to be drivers of capital to flow in and out of specific currencies D) Capital Controls
Capital controls refer to the alteration of economic or financial fundamentals that are believed to influence the flow of capital into and out of specific currencies.
Capital controls are measures implemented by governments or central banks to regulate the movement of capital in and out of a country. These measures can include restrictions on currency conversion, limits on foreign investment, taxes or tariffs on capital flows, and other regulatory policies.
The controls can discourage or encourage capital inflows and outflows based on the desired economic objectives.
Learn more about Capital controls here: brainly.com/question/10387893
#SPJ11
As described in Chapter 5, why are people willing to accept lower real wages in
certain cities? For example, why doesn’t everyone from Honolulu move to Dallas?
(A) People usually live where they are born and do not care much about their wage
(B) Lower real wages are usually made up for with nicer weather
(C) Lower real wage cities generally have higher overall amenity values; parks, schools, weather, etc all might be better
(D) None of the above
The reason why people are willing to accept lower real wages in certain cities is because those cities may offer a higher overall quality of life due to factors such as amenities, climate, culture, and community.
For example, people may be willing to accept a lower wage in a city like Honolulu due to its pleasant weather, beautiful beaches, and vibrant local culture.
The answer to why everyone doesn't move from Honolulu to Dallas is (C) lower real wage cities generally have higher overall amenity values; parks, schools, weather, etc all might be better. While the cost of living may be lower in cities with lower real wages, they may not offer the same level of amenities or quality of life as higher-wage cities. People may be willing to accept a lower wage in exchange for living in a place that offers a higher overall quality of life, even if it means having less disposable income.
Additionally, people may also have personal or familial ties to a particular city or region, which can make it difficult to move to another location. Other factors such as job opportunities, education, and access to healthcare can also play a role in people's decision to stay in a particular city or region despite lower real wages.
Overall, people are willing to accept lower real wages in certain cities due to a variety of factors, including the overall quality of life, personal ties, and economic opportunities.
Learn more about amenities here:
https://brainly.com/question/31556680
#SPJ11
with the information available at this point in situation 1, do you think gomez should hire mr. perfect? how much weight should be given to the fact that he doesn't, for example, have a driver's license?
Without specific information about the job requirements and the specific skills and qualifications of Mr. Perfect, it is difficult to make a definitive judgment on whether Gomez should hire him.
However, the fact that Mr. Perfect doesn't have a driver's license should be considered in the decision-making process, especially if driving is an essential aspect of the job or if it would significantly impact Mr. Perfect's ability to perform his duties effectively.
The weight given to the lack of a driver's license would depend on the nature of the job and the importance of driving in carrying out the responsibilities. If driving is a critical requirement for the job, such as a delivery driver or a field sales representative, not having a driver's license could be a significant limitation. In such cases, it may be necessary to prioritize candidates who possess the required qualifications, including a valid driver's license.
However, if the job does not involve driving or if alternate transportation options are available, the absence of a driver's license may hold less weight in the hiring decision. Other qualifications, skills, experience, and fit for the role should also be carefully considered. Ultimately, the decision should be based on a holistic assessment of all relevant factors, including the specific needs of the job and the qualifications and capabilities of the candidate.
To learn more about job requirements
https://brainly.com/question/32097127
#SPJ11
