Although maturity matching may lower a FI's exposure to interest rate risk, it may also lower the profitability of the institution.
What does maturity-matching entail?The life of an asset and the length of the loan used to finance it should be roughly comparable, according to the maturity matching principle. A company's assets fall into two types. NWC, which is the difference between current assets and current liabilities, is the first category.
This is the net investment that corporations make in current assets (mainly inventory and accounts receivable) in a manufacturing or retail operation that is not covered by current liabilities (primarily accounts payable).
The second group is long-term assets, which include all the things a business requires to run, such as land, buildings, equipment, intangibles, and other assets. These two asset types are both crucial to a corporation and call for finance.
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the payroll register of seaside architecture company indicates $880 of social security and $217 of medicare tax withheld on total salaries of $15,500 for the period. assume earnings subject to state and federal unemployment compensation taxes are $5,300 at the federal rate of 0.8% and state rate of 5.4%. prepare the journal entry to record the payroll tax expense for the period. if an amount box does not require an entry, leave it blank. if required, round your answers to two decimal places.
The journal entry for the series of accounting transactions given above will have a debit effect to the Payroll Tax Expenses Account and credit effects to the Social Security Taxes Payable, Medicare Taxes Payable, State Unemployment Tax Payable, and Federal Unemployment Tax Payable to their respective proportions totaling to $1412.50.
A journal entry can be referred to or considered as a primary entry made within the books of accounts. The accounting transactions are always recorded in the chronological order as and when they occur in the business operations. The journal entries are added below for better reference of the readers.
Journal Entries
Account Titles & Explanation Debit Credit
Payroll Tax Expense Ac........Dr. 1412.5
To, Social Security Taxes Payable Ac. 870
Medicare Taxes Payable Ac. 217
State Unemployment Tax Payable Ac. 283
Federal Unemployment Tax Payable Ac. 42
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which of the following are the relationships that a firm has with stakeholders? multiple select question. stakeholders can affect the firm's actions. the stakeholders generally have no interest in the firm. the actions of the firm can affect stakeholders. the firm controls the actions of stakeholders.
The stakeholders are those whose concerns are related with day to day affairs of any organization or firm. The stakeholders can affect the firm's actions. Thus Option A is correctly define the relation between the two.
Who are stakeholders?Stakeholders are the person who directly or indirectly affect the company's day to day affairs. They have interest in the firms in various forms depends on the basis of relation they are connected with firm.
Stakeholders are much broader concept than shareholders. It comprises of owners, promoters, shareholders, employees, those who are charge with governance, banks, financial institution, government, trade associations, lending institutions, workers, distribution channels, associate concerns & lastly the potential investors.
Thus, they have direct nexus with firm's action and they can also affect its operations.
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Stock A has a required return of 19 percent. Stock B has a required return of 11 percent. Assume a risk-free rate of 4.75 percent. Which of the following is a correct statement about the two stocks? Stock A is riskier. Stock B is riskier. The stocks have the same risk. We would need to know if the markets are efficient to answer this question
Stock A is risky than Stock B because its risk premium, which is computed as 19% minus 4.75 percent, equals 14.25 percent.
How do you explain stock?
Stock are indeed a type of protection that gives owners a stake in a company. One name of stocks is "equities."
National riches, national capital, the money supply, and other examples of stock.
What separate stocks from shares?
A financial instrument known as a share symbolises a company's partial ownership. A financial instrument called a stock reflects partial ownership in one or even more companies. A company's shares can have different values that are equal to one another.
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What is the major difference between excise tax and value added tax?.
A value-added tax is an ad valorem tax that is proportional to the cost of the goods, whereas an excise is often a per unit tax, costing a particular amount for a volume or unit of the item purchased.
What is difference between VAT and excise tax?Any duty on produced items that is assessed at the time of manufacture rather than the time of sale is known as an excise, or excise tax. Excises and customs charges are sometimes confused since excise is imposed on commodities that were created inland while customs is imposed on things that become taxable at the border.The primary distinction between a sales tax and a VAT is that a sales tax is only ever paid once, at the moment of sale. This indicates that the sales tax is only paid by retail customers. Instead, the VAT is gathered several times throughout the creation of a finished good.Since an excise is seen as an indirect tax, the manufacturer or seller who pays the levy to the government is expected to make up for their loss by increasing the price the final consumer of the goods will have to pay. In addition to an indirect tax, like a sales tax or value-added tax, excises are generally levied (VAT).To learn more about sales tax refer :
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how long does it take an organization to convert from a traditional system of operation to lean/just-in-time operation?
1 to 3 years it takes an organization to convert from a traditional system of operation to lean/just-in-time operation.
Eight steps for applying lean manufacturing to your business operation:
Start by eliminating waste. This is one of the center standards of lean assembling. Typically, you might utilize a worth stream examination to distinguish wasteful exercises happening at the plant. Simultaneously, you can strengthen endeavors to track down additional proficient ways of increasing the value of the organization's product line. (See right-hand box for instances of waste.)Reduce unnecessary inventory. The expense of keeping up with abundance inventory generally outweighs the potential advantages you could understand. It can tie up assets, dial back response time and entangle quality-control issues. Overstocking may turn out to be especially dangerous assuming a portion of the inventory eventually becomes old which is many times the situation.Shorten production cycles. What used to require days or even a long time to finish can now frequently be achieved very quickly. Use the mechanical abilities right now available to you. Devotees of lean assembling preach the production of small bunches where you can add "extravagant accessories" to later product adaptations.Speed up response time. For quite a long time, producers stressed the requirement for making exact figures of market necessities. Be that as it may, this isn't generally the ideal methodology in a speedy climate. On the other hand, it very well might be desirable to over foster a framework that can respond quickly so you can exploit market changes.Ensure that all product components have been quality-tested. Foster testing techniques and controls at a few designated spots in the process to identify issues at the earliest conceivable stage. Calibrate the framework to distinguish issues, make the fundamental amendments or upgrades and push ahead.Extend employee autonomy. Give more employees power to simply decide and give them the tools and philosophy for doing as such. You can make this stride considerably further by laying out groups to gauge work progress and further develop methods. As often as possible, organizations find that reasonable arrangements might be introduced by employees underneath the administration level. Additionally, this sort of association can further develop spirit and execution.Solicit customer feedback. In the wake of creating center product highlights, utilize an efficient methodology for getting input from customers. The framework ought to be intended to adjust to changes over its life expectancy. Making this stride can empower you to fulfill customer needs inside your fundamental structureReach out to suppliers. At the point when it is suitable, make suppliers "accomplices" in the lean assembling process. By joining participation from suppliers with execution of lean assembling standards, advantages can be acknowledged by all gatherings. This additionally fortifies existing connections imperative to your assembling activity.
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rob purchased a Personal Auto Policy (PAP) with collision and other-than-collision coverage. Which of the following losses would be covered under his policy?A) Rob wrecked his car while using it as a taxi cab.B) Thieves took Rob's radar detector from his car.C) A flash flood washed Rob's car off the road and damaged it.D) The new tires Rob had on the car were defective and wore out after 2 months.
Rob bought a Personal Auto Policy (PAP) that included collision and non-collision insurance. His policy would provide coverage for loss Rob's automobile was wrecked after being swept off the road by a flash flood.
what is Personal Auto Policy (PAP)?
An insurance policy that is often provided to individual drivers is known as a personal auto policy (PAP). To standardize personal insurance, the Insurance Services Office created the PAP. PAP protects:
-Personal cars
-Pickup trucks or vans weighing less than 10,000 pounds
Whether you're driving to work, going on a road vacation, or doing errands, your personal auto coverage ought to protect you. If you drive for work, even if it's only delivering pizzas or working for a ride-sharing service, it could not cover you. For these purposes, business insurance could be necessary. It is wise to double-check your coverage to make sure you are protected.
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according to mm proposition i with no taxes, individuals can duplicate the effects of corporate leverage by investing in an unlevered firm and financing a portion of the cost using borrowed funds
By investing in an unlevered company and borrowing money to pay for a portion of the transaction, homemade leverage imitates the consequences of corporate leverage.
Leverage is used when a company or investor borrows money in an effort to increase the rate of return on an investment. Businesses and individual investors regularly employ leverage as a technique to increase prospective earnings. The most reliable method for assessing leverage is the debt to equity ratio. There are two main types of leverage: financial and operating. To increase financial leverage, a corporation can raise cash by issuing fixed-income securities or by taking out a direct loan from a lender. In the world of finance, the term "homemade leverage" describes how the amount of debt taken on by individual investors is changed. By adding their own leverage, investors can turn an unleveraged company into a leveraged one.
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TRUE/FALSE. if a creditor repossesses goods from a buyer who bought the goods knowing they were subject to a prior claim, the buyer can recover from the seller for breach of warranty.
It is true that if a creditor repossess goods from a buyer who bought the goods knowing they were subject to a prior claim, the buyer can recover from the seller for breach of warranty.
In contract law, a warranty is a promise that is not a condition of the contract or an indefinite term; it is a term that only entitles the innocent party to damages if it is breached, i.e. the warranty is not true or the defaulting party does not perform the contract in accordance with the terms of the warranty. A warranty is not the same as a guarantee. It is only a promise. It can be enforced if it is broken by a monetary award for damages.
If Creditor has the right to seize Debtor's goods to satisfy a judgment or because the parties get a security agreement, obviously it won't do to seize goods when Debtor doesn't have title to them—seizing them would've been conversion, a tort.
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a(n) shopping center is an upscale retail operation that also offers fine dining and entertainment options and is often located within affluent neighborhoods.
A lifestyle shopping center is a high-end retail establishment that also provides fine food and entertainment alternatives. These establishments are frequently found in wealthy communities.
A lifestyle mall: what is it exactly?A lifestyle center is a mall or mixed-use structure that mixes retail space with additional amenities like restaurants, movie theaters, residential complexes, healthcare facilities, and more.
What makes a lifestyle center different from a typical shopping center?Lifestyle centers have popular retailers like boutiques, high-end apparel stores, and gift shops, whereas malls may have almost all different kinds of shops and businesses. Given that the lifestyle center is generally located in the busiest area of the city, it is stocked with the products that are in high demand in order to attract as many clients as possible and increase sales.
What is sold in a lifestyle store?A lifestyle shop is described as "a retail store selling a wide variety of things all in one place" on Wiki-pedia. It aims to link a brand with a particular aspirational lifestyle. Clothing, housewares, furniture, stationery, and gifts can be found in lifestyle stores.
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the budgeting process that involves adding a quarter (or month) to the end of the budget period at the end of each quarter (or month), therefore creating a rolling budget, is called:
Continuous budgeting is the act of keeping a year arranging skyline by adding one month to the furthest limit of the spending plan cycle toward the finish of every month.
What is Continuous budgeting?
The course of persistently adding one extra month to the furthest limit of a multi-period spending plan as every month passes is known as constant planning. There is generally an entire year spending plan set up on the grounds that the persistent planning thought is regularly utilized with a year spending plan.
Nonstop planning diminishes a portion of the unbending nature of customary yearly spending plans and takes into consideration speedier reactions to evolving conditions. Moreover, they could decrease the yearly office planning practice's regular year-end spending craze.
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a manager of a store that sells and installs spas wants to prepare a forecast for january, february, and march of next year. her forecasts are a combination of trend and seasonality. she uses the following equation to estimate the trend component of monthly demand: ft
The Estimation of the trend component of monthly demand is 159.79994.
Compute the Trend = Yt
I need to find Y Jan Next Year, Y Feb Next Year, and Y March Next Year, which are just 19, 20, and 21. Simple continuous count to January = 1 1/2 years or 19 months
The formula for the trend is already given as 60 + 4t
The value of t for the 3 months is found by simply adding as follows:
Ft = 60 + 4 * t
Ft for Jan = Y Jan Next Year = 60 + 4 * 19 = 136
Ft for Feb = Y Feb Next Year = 60 + 4 * 20 = 140
Ft for Mar = Y Mar Next Year = 60 + 4 * 21 = 144
Compute the forecast = trend * seasonal relative
The seasonal relative for each month is already given in the question as 0.89, 0.95, and 1.11 for the 3 months respectively.
We found the 3 trends above as 136, 140, and 144 for the 3 months respectively.
Hence January fore cast = 0.89 * 136 = 121.04
February fore cast = 0.95 * 140 = 133
March fore cast = 1.11 * 144 = 159.79994
Forecasting is the process of making predictions based on past and current data. Later you can compare these to what is actually happening. For example, a company may estimate revenue for the next year and compare it to actual results. Forecasting is a similar but more general term.
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Compare long-run equilibrium in a market with monopolistic competition and a competitive market. Long-run equilibrium under monopolistic competition results in _____ output and a _____ price.A. more; higherB. less; higherC. less; lowerD. more; lower
Compare long-run equilibrium in a market with monopolistic competition and a competitive market. Long-run equilibrium under monopolistic competition results in more output and a less price.
Monopolistic competition exists while many businesses provide competing services or products which can be similar, however now not ideal, substitutes. The limitations to access in a monopolistic competitive enterprise are low, and the selections of anybody company do no longer at once affect its competitors.
Monopolistic competition is a type of imperfect competition such that there are numerous manufacturers competing towards each different, but promoting products which might be differentiated from each other and consequently aren't ideal substitutes.
Three conditions signify a monopolistically competitive market. First, the market has many corporations, none of that's massive. 2d, there's loose access and exit into the marketplace; there are not any barriers to access or go out. 1/3, each firm inside the marketplace produces a differentiated product.
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copernicus: characterizing the performance implications of compression formats used in sparse workloads
According to Copernicus, the use of compression formats in sparse workloads has increased in recent years. This paper will attempt to characterize the performance implications of using compression formats in sparse workloads. To do so, the basics of compression formats will first be reviewed.
Characterizing the performance implications of compression formats used in sparse workloadsThe primary challenge with sparse matrices has been efficiently storing and transferring data, for which many sparse formats have been proposed to significantly eliminate zero entries. Such formats, essentially designed to optimize memory footprint, may not be as successful in performing faster processing. In other words, although they allow faster data transfer and improve memory bandwidth utilization, the classic challenge of sparse problems, their decompression mechanism can potentially create a computation bottleneck.
The observation that sparse matrix formats designed to optimize memory footprint may not be as successful in performing faster processing is an important one. This is because the decompression mechanism of these formats can potentially create a computation bottleneck. This bottleneck can be a serious problem for domain specific architectures (DSAs), as they intend to more aggressively improve performance. The performance implications of using various formats along with DSAs, however, has not been extensively studied by prior work.
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life insurance companies try to hedge the risks inherent in whole-life insurance policies by investing in .
The asset and liability management (ALM) strategies of insurers vary depending on the company’s lines of business.
How do life insurance companies hedge?Insurers use different instruments for hedging interest rate risk, such as bond forwards, forward starting swaps or receiver swaptions. Each of these instruments, when deployed, generates a different hedging outcome.The recent global financial crisis, combined with regulatory changes in financial industries, has altered the financial landscape in terms of how financing can be achieved and the potential role of institutional investors. Before the crisis, banks and capital markets were significant sources for project financing. However, increases in the cost of interbank lending and the expectation of tighter regulations have constrained the ability of banks and equity markets to provide long-term financing.The potential role that insurers, particularly life insurers and pension funds, can play as long-term institutional investors has become a central topic of discussion in various for a. How this role develops will, in thelong run, affect how firms obtain financing for their investments and ultimately lead to growth of the real economy not to eliminate the risks inherent in life, but to spread them around more efficiently Insurance is an agreement where the insurer agrees to cover the losses that might arise if certain events occur to the insured.Moral hazard and adverse selection are some of the negative issues that arise as a result of insurance.Large insurers hold relatively more diversified insurance and investment products,which give large insurers greater latitude to invest in assets or underwrite obligations which could otherwise be considered risky on a stand-alone basis.
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clearly mexico desperately needs financial help in handling its $96 billion foreign debt, since without any aid mexico cannot possibly reduce that enormous sum, and it is urgent that it be reduced.
Mexico obviously needs financial assistance severely to manage its $96 billion foreign debt since it is unable to do so on its own.
What does "debt" mean?
Debt is the amount owed by the borrower to the lender.. A debt is an amount of money that has been borrowed for a set period of time and must be repaid, plus interest. The borrower's creditworthiness will determine the debt's amount and whether it will be approved.
What are equity and debt?
Debt capital is the process of borrowing money from people or organizations for a set period of time. The money a corporation raises in exchange for investors' ownership rights is called equity capital. Role. Debt financing is
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Which of these is the best reason for Nina to monitor her bank account statements online?.
To check how much money she has for budgeting. Your statement offers insight into your monetary habits. It permits you to get wherever your cash goes and wherever you would possibly be ready to save cash.
Your statement conjointly provides details concerning any fees you have been charged and permits you to research accounting errors and fallacious charges. Reviewing your account statements will assist you to determine ways that to save lots of in fees, notably if you're paying excess savings group action fees.
For example, if you have got a bank account, you'll be able to simply pay by check or through online bill pay. it is also cheaper than shopping for a bill of exchange (and you will have proof of bank statements that you just paid your bills).
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Answer: To check how much money she has for budgeting. Your statement offers insight into your monetary habits. It permits you to get wherever your cash goes and wherever you would possibly be ready to save cash.
Your statement conjointly provides details concerning any fees you have been charged and permits you to research accounting errors and fallacious charges. Reviewing your account statements will assist you to determine ways to save lots of in fees, notably if you're paying excess savings group action fees.
For example, if you have got a bank account, you'll be able to simply pay by check or through online bill pay. it is also cheaper than shopping for a bill of exchange (and you will have proof of bank statements that you just paid your bills).
Explanation: I just took the test.
], which is characterized by its horizontal and vertical structures, emerged after a reorganization of [y] after world war ii in japan. similarly, [z] refers to a family-controlled business conglomerates in korea.
Characterized by its horizontal and vertical structures, emerged after a reorganization of keiretsu.
After world war ii in japan similarly zaibatsu.
Refers to a family-controlled business conglomerate in Korea is chaebol.
Zaibatsu and chaebol are corporate groups in South Korea and Japan respectively. They are known for their strong family ownership, management, diverse businesses, and strong relationships with their respective governments. Any of the major capitalist corporations in pre-World War II Japan were similar to cartels or trusts but usually organized around a single family.
Zaibatsu can operate in almost every major area of economic activity. American Factory is an immersive and intimate account of the cultural clash that ensued when Chinese auto glass manufacturer Fuyao opened a manufacturing facility at a closed General Motors factory in Dayton Ohio. is an explanation. It will also serve as an insightful case study into the challenges facing cross-cultural organizations.
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the optimal capital structure depends on such as taxes, distress costs and agency costs. group of answer choices capital market factors market imperfections firm specific risks systematic risks
The optimal capital structure depends on Market Imperfections such as taxes, distress costs, and agency costs. group of answer choices capital market factors market imperfections firm-specific risks systematic risks.
In economics, a marketplace is a composition of systems, institutions, procedures, social relations or infrastructures whereby parties engage in change. whilst parties may also alternate goods and services by means of barter, maximum markets depend upon sellers offering their items or services (inclusive of labour strength) to shoppers in alternate for cash. it is able to be stated that a marketplace is the manner by means of which the fees of products and services are installed. Markets facilitate alternate and allow the distribution and allocation of sources in a society. Markets allow any tradeable object to be evaluated and priced.
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the report of wages subject to fica and federal income taxes along with the amounts of these taxes withheld must be provided to employees on:
The Federal Insurance Contributions Act (FICA) tax is pronounced "fa-k," and it is a payroll tax that is levied by the federal government of the United States on both employers and employees.
This tax is used to pay for Social Security and Medicare, federal programs that pay benefits to retirees, disabled people, and the children of workers who have died.
Which tax is deducted from paychecks of employees?
Because they are based on the wages paid to employees, fica taxes are referred to as payroll taxes. There are two parts to fac taxes. withheld from wages earned by employees and paid for by employers and employees for Medicare and Social Security (OASDI).
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TRUE/FALSE. DRP is used to plan the distribution requirements of raw materials, while mrp is used to plan the distribution requirements of finished goods.
FALSE. When planning the distribution needs of raw materials, DRP is used, whereas MRP is used when planning the distribution needs of finished goods.
In the initial stages of producing or manufacturing items, raw materials are materials or substances used.
On commodity exchanges around the world, raw materials are traded as commodities. Due to the fact that raw materials are production factors, businesses trade in and out of the factor market.
Many diverse goods need raw materials, which come in a variety of shapes and sizes. Raw materials are the stock or input goods that a business needs to make its goods. An automobile company, for instance, would employ steel used in the construction of vehicles as a raw material.
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a $43,000 face value bond will mature in 75 days and has a bank discount yield of 2.35%. what is the current value of the bond?
A $43,000 face value bond will mature in 75 days and has a bank discount yield of 2.35%. The current value of the bond is $42,789.48
Current value of bond = Face value [1 - (Days until maturity/360 × Bank
discount yield)]
Current value of bond = $43,000 [1 - (75/360 × 0.0235)]
Current value of bond = $42,789.48
Bond valuation is a method of figuring out the hypothetical fair value (or par value) of a specific bond.It entails figuring out the bond's face value, or expected value at maturity, as well as the present value of expected future coupon payments, or cash flow.Bond valuation enables investors to determine what rate of return would make a bond investment profitable since a bond's par value and interest payments are fixed.In the form of coupon payments, a bond is a debt instrument that offers a consistent income stream to the investor. The entire face value of the bond is paid back to the bondholder at the maturity date.Learn more about Bond valuation, here
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a financial system in which there is a careful supervision of resources to prevent too much spending or excess is called a(n) .
Answer: D , Economy
Explanation:
The marketing department survey showed that many customers preferred a smaller container for the company's line of iced coffee products. The R&D department immediately began work on a new container. these department worked together to increase the ____ of the product.
value
The marketing department survey showed that many customers preferred a smaller container for the company's line of iced coffee products. The R&D department immediately began work on a new container. these department worked together to increase the value of the product.
It acts as the public face of your firm, organizing and creating all materials that reflect it. Reaching out to potential clients, consumers, investors, and/or the community is the responsibility of the marketing department, which must also develop a unified brand image that favorably portrays your business.
The marketing department is in charge of educating and encouraging customers to purchase the brand's goods. It incorporates many different activities, including public relations, sponsorship, personal selling, direct marketing, and sales promotion.
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risks are evaluated in terms of
Risks are evaluated in terms of Likelihood and impact. Thus the correct option is E.
What is a Risk?Risk is defined as the potential that something negative may occur or any uncertainty that will disturb or harm a person's well-being or asset in terms of physical damage or financial loss.
Risks are analyzed in terms of impact and likelihood. The harm that might be brought on by an event is measured by the effect. Each substantial risk can have an anticipated value computed by dividing the probability of occurrence by the extent of the impact.
Therefore, option E is appropriate.
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The complete question is Probably
Risks are evaluated in terms of
A) Likelihood and cost
B) Cost and schedule
C) Impact and cost
D) Time and impact
E) Likelihood and impact
a call option on brocklehurst corp. has an exercise price of $30. the current stock price of brocklehurst corp. is $32. the call option is
The current stock price of Brocklehurst Corp. is higher than the exercise price on the stock so the call option is in the money.
When is a call option in the money?A call option is an option that allows the holder to buy the underlying stock at the exercise price when the call option is exercised. The call option is therefor beneficial if the underlying stock has a value that is higher than the exercise price. This is because they can buy the stock at the lower excerise price and sell at the market price.
When the exercise price is lower than the market price as is the case with Brocklehurst Corp. stock, then the call option is said to be in the money.
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Gray, Inc., a C corporation, has taxable income from operations of $1,452,000 for 2016. It also has a net long-term capital loss of $355,000 from the sale of a subsidiary's stock. The year 2016 is the first year in the last 10 years that Gray has not had at least $500,000 per year of net long-term capital gains.
If an amount is zero, enter "0".
How much of the net long-term capital loss is deductible in 2016 by Gray? $???
Gray's 2016 taxable income is $???.
Any unused loss may be carried back for three years, then carried forward for five years as a short-term capital loss against Gray's capital gains .
The amount from the net long-term capital loss that is deductible in 2016 by Gray is _0.
What is long-term capital?The term "long-term capital gain" refers to profit from the sale or exchange of a capital asset held for more than one year, if and to the extent such profit is included in calculating gross income.
Gray's 2016 taxable income is $1,452,000. Gray, Inc., has a taxable income of $1,452,000 because the 2016 $355,000 net long-term capital loss cannot be deducted. Gray can carry back that loss as a short-term capital loss against its 2015 capital gains, recalculate its 2015 tax liability, and file a claim for refund.
Therefore, the amount is $0.
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contractionary fiscal policy is typically used to combat inflation stemming from an overheated economy.
Contractionary insurance policies are macroeconomic tools designed to fight financial distortions brought about through an overheating economy.
Contractionary policies purpose to limit the quotes of economic enlargement by way of putting some limits on the drift of cash in the economy.
What is contractionary fiscal coverage used for?The authorities can use contractionary fiscal policy to gradual economic pastime with the aid of reducing authorities spending, increasing tax revenue, or a aggregate of the two. Decreasing authorities spending tends to sluggish monetary recreation as the government purchases fewer goods and services from the non-public sector.
What does contractionary fiscal coverage do to inflation?Note that the purpose of contractionary economic coverage is to minimize the charge of demand for items and services, not to quit it. So, higher pastime costs thru contractionary policy can be used to dampen inflation and move the economic system returned to the price balance issue of the dual mandate.
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https://brainly.com/question/1416825#SPJ4Discussion Scenario: The Johns Manville Corporation is a profitable company that makes a variety of building and other products. It was a major producer of asbestos, which was used for insulation in buildings and for a variety of other uses. It has been medically proven that excessive exposure to asbestos causes asbestosis, a fatal lung disease. Thousands of employees of the company and consumers who were exposed to asbestos and contracted this fatal disease sued the company for damages. Eventually, the lawsuits were being filed at a rate of more than 400 per week. In response to the claims, Johns Manville Corporation filed for reorganization bankruptcy. It argued that if it did not, an otherwise viable company that provided thousands of jobs and served a useful purpose in this country would be destroyed and that without the declaration of bankruptcy, a few of the plaintiffs who first filed their lawsuits would win awards for hundreds of millions of dollars, leaving nothing for the remainder of the plaintiffs. Under the bankruptcy courts protection, the company was restructured to survive. As part of the release from bankruptcy, the company contributed money to a fund to pay current and future claimants. The fund was not large enough to pay all injured persons the full amounts of their claims. Discussion Questions: After reviewing the learning materials in this Module, prepare an Initial Post (by Thursday, 11:59PM) that incorporates these materials to answer the following questions. Also, your grade in this learning activity relies on your engagement in the discussion through your Peer Replies (TWO or more by Saturday, 11:59PM).
Topic Questions: Is Johns Manville liable for negligence? Is it ethical for Johns Manville to declare bankruptcy? Has it met its duty of social responsibility in this case?
Reflection Questions: What specific knowledge and information did you gain from the learning materials and activities that you can apply to your experiences now? In the future? What are the social and ethical issues involved with the subject matter of this assignment? Which topics were confusing, complicated or contradictory? Why? Did you ask the class or instructor for assistance?
Johns-Manville did not contest the jury's decision to award compensatory damages, nor did it "question the amount of the permitted punitive damages or the trial judge's directions regarding the principles that the jury was to employ in determining an award of punitive damages." be supplementary to another contract; without an employment contract, there would be no need for a non-compete clause. When a non-compete clause or agreement is supported by sufficient consideration, the employee who accepts it will receive some sort of payment; otherwise, only the employer benefits from it. The non-compete agreement must safeguard some type of trade secret or company reputation, but it cannot be made solely to limit competition.
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Joe Sullivan and Mark Holland, members of the top management at EuAir, an European airlines, were preparing for a meeting to discuss strategies to combat the recent rise in fuel prices. Before the meeting began, Joe and Mark were discussing how oil prices significantly impact the health of the world economy Joe spoke of how higher oil prices since 1999, partly the result of OPEC supply management policies, contributed to the global economic downturn in 2000-2001. Mark agreed but added that the right kind of strategy could help them overcome this challenge and that they could even use the situation to hike fares and generate additional revenues. Which of the following statements, if true, would denote the occurrence of groupshift in Joe's opinions during the meeting? Joe determined that the best strategy would be to slash prices and minimize all fringes that are used for customer service. Joe recommended that the prices for business class fares be increased as they represent a less price-sensitive group of customers Joe proposed that the company should invite price quotes from new suppliers to reduce their dependence on their current fuel suppliers. Joe claimed that aviation fuel was their second largest expense and this was the time to contemplate obtaining a few futures contracts with suppliers. Joe convinced the top management team to decrease the capacity of the flights,
Joe came to the conclusion that the best course of strategy would be to reduce all customer service margins and lower prices.
A general plan to accomplish one or more long-term or overall goals in the face of uncertainty is known as a strategy. The term was first used in the strategy 6th century C.E. in Eastern Roman terminology, and it wasn't until the 18th century that it was translated into Western vernacular margins languages in the sense of the "art of the general," which included several subsets of skills including military tactics, siegecraft, logistics, etc. In a military confrontation from that point on until the 20th century, the term "strategy" evolved to mean "a comprehensive means to try to attain political aims, including the threat or actual use of force, in margins a dialectic of wills."
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Green Planet Corp. has (a) 5,700 shares of noncumulative 11% preferred stock with a $2 par value and (b) 17,900 shares of common stock with a $0.01 par value. During its first two years of operation, Green Planet declared and paid the following total cash dividends. Compute the dividends paid each year to each of the two classes of stockholders: preferred and common. $ 880 Year 1 total cash dividends Year 2 total cash dividends $1,790 Year 1 Year 2 Noncumulative Common
Each year, preferred and common stockholders receive the following dividends, which are paid to each class separately:
preferable common total dividend
Year 1 $880 $0 $880
Year 2 $1,254 $536 $1,790.
How are the dividend amounts determined?According to their percentage ownership, preferred stockholders receive the first dividend distribution.The dividend, though, was not enough to cover the preferred stockholders' owed sum for the first year. No dividend is paid to holders of common stock; instead, the preferred stockholders receive the entire dividend.The second year's dividend was declared, and it was enough to cover the preferred stockholders' quota while leaving enough for the common stockholders to receive a portion of it. The preferred stock is noncumulative, so when sufficient amounts are available, no arrears of dividends are taken into consideration.11% Preferred Non-Cumulative Stock = $11,400 (5,700 times $2)
(17,900 times $0.01) = $179 for common stock.
Distribution of Dividends: First Year:
Preferred shareholders = $880 ($11,400 x 11% = $1,254).
Common stockholders equals $0 ($880 - $880)
Year 2:
Preferred stockholders are equal to $1,254 ($11,400 x 11%).
$1,790 less $1,254 equals $536 for common stockholders.
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Question Completion:
Total Dividend
Year 1 $880
Year 2 $1,790
