From your theoretical knowledge on the concept about the reserve requirement policy of the Fed in bank deposit and money creation in bank's lending process, read the transcript in the url link below posted by the Federal Reserve on March 15, 2020. At the bottom of the transcript, the Fed announced the reserve requirement to zero for all bank deposits, a major departure from its years of unchanged policy on reserve requirement. https://www.federalreserve.gov/newsevents/pressreleases/monetary. Question26: What is the key reason for reducing the reserve requirement to zero% and its potential effect on macroeconomic fundamentals during this economic downturn caused by COVID-19 pandemic? O Answer 2: To encourage the banks and financial institutions to use this additional reserve and liquidity buffer to provide financial support to households and businesses who are affected by COVID-19 crisis. O Answer 3: To accelerate inflation to encourage business investments O Both Answer 1 and Answer 2 are correct statements O Answer 1: To maximize the liquidity in bank reserve so that financial institutions can continue to fuel the economy with massive lending to businesses, consumers, and local governments

Answers

Answer 1

Option 1) To maximize the liquidity in bank reserve so that financial institutions can continue to fuel the economy with massive lending to businesses, consumers, and local governments is correct .

The key reason for reducing the reserve requirement to zero% and its potential effect on macroeconomic fundamentals during this economic downturn caused by COVID-19 pandemic is to maximize the liquidity in bank reserve so that financial institutions can continue to fuel the economy with massive lending to businesses, consumers, and local governments. reserve requirement policy is the share of the deposit that the bank is obliged to hold in reserve with the Fed, while the rest can be used for loans, purchases of securities, or other purposes.

Reserve requirements help to ensure that banks have enough liquidity to meet customer demands for cash withdrawals, especially in times of economic or financial stress, by limiting the amount of loan and investment banks can finance through their deposits. When the reserve requirement is reduced to zero, banks can now hold the entire amount of their deposits as excess reserves, which they can use for lending and investment, which leads to an increase in the money supply.

In other words, reserve requirements reduce the money creation capacity of banks, and their absence allows banks to create more money, resulting in increased economic activity. With zero reserve requirement policy, banks can make more loans available, encourage more lending to households, businesses, and local governments, and thus increase the liquidity in bank reserve, fueling the economy with massive lending to businesses, consumers, and local governments.

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Related Questions

Assume that in 2015, the following prevails in the Republic of Nurd:

Y = $200; C = $160; S = $40; I (planned) = $30; G = $0; T = $0.

Assume that households consume 80 percent of their income, they save 20 percent of their income, MPC = 0.8, and MPS = 0.2. That is, C = 0.8Y d and S = 0.2Y d.

a) Is the economy of Nurd in equilibrium? What is Nurd's equilibrium level of income? What is likely to happen in the coming months if the government takes no action?

b) If $200 is the "full-employment" level of Y, what fiscal policy might the government follow if its goal is full employment?

c) If the full-employment level of Y is $250, what fiscal policy might the government follow?

d) Suppose Y = $200, C = $160, S = $40, and I = $40. Is Nurd's economy in equilibrium?

e) Starting with the situation in part (d), suppose the government starts spending $30 each year with no taxation and continues to spend $30 every period. If I remains constant, what will happen to the equilibrium level of Nurd's domestic product (Y)? What will the new levels of C and S be?

f) Starting with the situation in part (d), suppose the government starts taxing the population $30 each year without spending anything and continues to tax at that rate every period. If I remains constant, what will happen to the equilibrium level of Nurd's domestic product (Y)? What will be the new levels of C and S? How does your answer to part (f) differ from your answer to part (e)? Why?

Answers

a) To determine if the economy of Nurd is in equilibrium, we need to compare the planned aggregate expenditure (PAE) with the actual aggregate expenditure (AE). PAE is the sum of consumption (C), investment (I), and government spending (G). AE is the actual output or income (Y) of the economy.

Given the values:

Y = $200

C = $160

S = $40

I (planned) = $30

G = $0

T = $0

To calculate the equilibrium level of income, we can use the expenditure-output model:

Y = C + I + G

Substituting the given values, we have:

Y = $160 + $30 + $0

Y = $190

Since the equilibrium level of income is $190 and not $200, the economy of Nurd is not in equilibrium. There is a deficiency in aggregate expenditure. In the coming months, if the government takes no action, the economy is likely to experience a decrease in output and income as aggregate demand is less than the actual output.

b) If $200 is the "full-employment" level of Y, the government can use expansionary fiscal policy to achieve full employment. This policy involves increasing government spending (G) and/or decreasing taxes (T) to stimulate aggregate demand and increase output. By increasing government spending, the government can directly boost aggregate expenditure, leading to an increase in income and employment.

c) If the full-employment level of Y is $250, the government can use contractionary fiscal policy to achieve full employment. This policy involves decreasing government spending and/or increasing taxes to reduce aggregate demand and decrease output. By reducing government spending and/or increasing taxes, the government can reduce aggregate expenditure and bring the economy closer to the full-employment level of output.

d) To determine if Nurd's economy is in equilibrium, we compare the planned aggregate expenditure (PAE) with the actual aggregate expenditure (AE). Using the given values:

Y = $200

C = $160

S = $40

I = $40

PAE = C + I + G

PAE = $160 + $40 + $0

PAE = $200

Since PAE is equal to AE, the economy is in equilibrium.

e) If the government starts spending $30 each year without taxation and investment (I) remains constant, the equilibrium level of Nurd's domestic product (Y) will increase. The increase in government spending will directly increase aggregate expenditure, leading to an increase in income. The new levels of consumption (C) and saving (S) will depend on the marginal propensity to consume (MPC) and the marginal propensity to save (MPS). Since the given values for MPC and MPS are not provided, we cannot determine the new levels of C and S.

f) If the government starts taxing the population $30 each year without any spending and investment (I) remains constant, the equilibrium level of Nurd's domestic product (Y) will decrease. The increase in taxes will reduce disposable income, which will lead to a decrease in consumption and aggregate expenditure. The new levels of consumption (C) and saving (S) will depend on the MPC and MPS. Without the values for MPC and MPS, we cannot determine the new levels of C and S. The key difference between part (e) and part (f) is that in part (e), the increase in government spending directly boosts aggregate expenditure, while in part (f), the increase in taxes reduces aggregate expenditure.

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A Corporation had the following transaction in January TRANSACTION Stock Par Value Value Land Appraised Shares Issued Value Issued Preferred Stock for Land $50.00 $80.00 1,000 $84,000 "Which of the following is (are) true about this transaction? Select only correct statements, incorrect answers are penalized. "Debit Land for $84,000." "Credit APIC, Preferred Stock for $15.000." "Debit Land for $65.000. "Credit Preferred Stock for $50,000. "Credit APIC. Preferred Stock for $30,000 "Credit Preferred Stock for $80.000." "Credit APIC Preferred Stock for 534.000.- "Debit Land For $80.000" Stock Market Land on Seller's Balance Sheet $65,000

Answers

The following statements are true regarding the given transaction involving preferred stock: Debit Land for $84,000.Credit Preferred Stock for $80,000.Credit APIC, Preferred Stock for $4,000.

The given transaction can be interpreted as the corporation issuing 1,000 shares of preferred stock with a par value of $50 per share for the purchase of land that is appraised at $80 per share.

Therefore, the total value of preferred stock issued for the land is 1,000 x $80 = $80,000.Since the par value of each share is $50, the Preferred Stock account will be credited for $50,000 (1,000 shares x $50 per share). The remaining $30,000 ($80,000 - $50,000) will be credited to the Additional Paid-In Capital (APIC), Preferred Stock account.

The Land account will be debited for the total appraised value of the land, which is $84,000. The Stock Market Land on Seller's Balance Sheet will not be affected by this transaction, so it is not a correct statement.

Thus, the correct statements are: Debit Land for $84,000.Credit Preferred Stock for $80,000.Credit APIC, Preferred Stock for $4,000.

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A random sample of the price of gasoline from 40 gas stations in a region gives the statistics below. Complete parts a) through c). y = $3.69, 8 = $0.26 a) Find a 95% confidence interval for the mean price of regular gasoline in that region (3.607.3.773) (Round to three decimal places as needed.) b) Find the 90% confidence interval for the mean (3.987 3.393) (Round to three decimal places as needed.)

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The 95% confidence interval for the mean price of regular gasoline in that region is (3.607, 3.773). b) We are to find the 90% confidence interval for the mean price of gasoline from 40 gas stations in a region. y = $3.69, s = $0.26

a) A random sample of the price of gasoline from 40 gas stations in a region gives the statistics below. We are to find the 95% confidence interval for the mean price of regular gasoline in that region. y = $3.69, s = $0.26 The formula for finding a 95% confidence interval is: (lower limit, upper limit) = (y – zα/2(s/√n), y + zα/2(s/√n)), where n is the sample size, y is the sample mean, s is the sample standard deviation, zα/2 is the z-score such that the area between -zα/2 and zα/2 under the standard normal distribution curve is equal to 1 - α.α is the level of significance which is equal to 1 - confidence level expressed as a decimal.

Given the above values, we have n = 40, y = $3.69, s = $0.26, α = 0.05 (since the confidence level is 95%). Looking at the standard normal distribution table, we can find that z0.025 = 1.96. Substituting these values into the formula above, we have:(lower limit, upper limit) = (3.69 – 1.96(0.26/√40), 3.69 + 1.96(0.26/√40))= (3.607, 3.773)

Therefore, the 95% confidence interval for the mean price of regular gasoline in that region is (3.607, 3.773). b) We are to find the 90% confidence interval for the mean price of gasoline from 40 gas stations in a region.y = $3.69, s = $0.26.

The formula for finding a 90% confidence interval is: (lower limit, upper limit) = (y – zα/2(s/√n), y + zα/2(s/√n)), where n is the sample size, y is the sample mean, s is the sample standard deviation, zα/2 is the z-score such that the area between -zα/2 and zα/2 under the standard normal distribution curve is equal to 1 - α.α is the level of significance which is equal to 1 - confidence level expressed as a decimal.

Given the above values, we have n = 40, y = $3.69, s = $0.26, α = 0.10 (since the confidence level is 90%). Looking at the standard normal distribution table, we can find that z0.05 = 1.645. Substituting these values into the formula above, we have:(lower limit, upper limit) = (3.69 – 1.645(0.26/√40), 3.69 + 1.645(0.26/√40))= (3.987, 3.393)Therefore, the 90% confidence interval for the mean price of regular gasoline in that region is (3.987, 3.393).

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A company has forecast sales in the first three months of the
year as follows (figures in millions): January, $200; February,
$140; March, $100. 50 percent of sales are usually paid for in the
month t

Answers

The cash inflows for January, February, and March would amount to $100 million, $70 million, and $50 million, respectively.

To calculate the cash inflows for each month based on the forecasted sales, considering that 50 percent of sales are usually paid for in the month they occur, we can use the following calculations:

January:

Cash inflow for January = January sales * 50% = $200 million * 50% = $100 million

February:

Cash inflow for February = February sales * 50% = $140 million * 50% = $70 million

March:

Cash inflow for March = March sales * 50% = $100 million * 50% = $50 million

The forecasted sales for January, February, and March are $200 million, $140 million, and $100 million, respectively. Since 50 percent of sales are typically paid for in the same month, we can calculate the cash inflows for each month by multiplying the sales figure by 50 percent.

Based on the given forecasted sales and the assumption that 50 percent of sales are paid for in the same month, the cash inflows for January, February, and March would amount to $100 million, $70 million, and $50 million, respectively.

Complete question: A company has forecast sales in the first 3 months of the year as follows (figures in millions): January, $200; February, $140; March, $100. 50% of sales are usually paid for in the month that they take place, 30% in the following month, and the final 20% in the next month. Receivables at the end of December were $100 million. What are the forecasted collections on accounts receivable in March?

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how the social influence from companies, such as tesla, are impacting consumer decisions

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Companies like Tesla are known to be leaders in innovative and forward-thinking technologies. Tesla's social influence and its impact on consumer decisions is significant because of its emphasis on environmentally friendly and technologically advanced vehicles. Tesla's electric vehicles are designed to be energy-efficient and environmentally friendly, which appeals to consumers who are conscious of their carbon footprint.

Tesla's social influence has helped to shift consumer behaviour towards more sustainable and environmentally friendly options.Tesla's social influence also has a positive impact on consumer decisions due to its strong brand image. Tesla is a well-known and respected brand that is synonymous with innovation and technological advancement. The brand's reputation for quality and reliability is a major factor in consumers' decision-making process.

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Part 2 of 3 10 points icucian income Loxes II vin Jeremy paychecks uunny we year. Jeremy has une quallying wependent Chilu jaye 14) WITU lives with him. Jeremy qualifies to file as head of household and has $23,000 in itemized deductions, including $2,000 of charitable contributions to his church. (Use the tax rate schedules.) b. Assume that in addition to the original facts, Jeremy has a long-term capital gain of $4,000. What is Jeremy's tax refund or tax due including the tax on the capital gain?

Answers

Jeremy qualifies to file as head of household with a qualifying dependent child. He has $23,000 in itemized deductions, including $2,000 of charitable contributions.

Initially, without considering the capital gain, Jeremy's tax liability can be determined as follows:

Determine Jeremy's taxable income:

Taxable Income = Total Income - Adjustments - Deductions - Exemptions

As we don't have information about Jeremy's total income or adjustments, we'll assume a taxable income based on the given information. Let's say Jeremy's taxable income is $40,000.

Calculate Jeremy's tax liability using the tax rate schedules:

Based on the given taxable income, we can determine the tax bracket and apply the corresponding tax rates. The tax rates can be found in the IRS tax rate schedules.

Let's assume Jeremy falls into the 22% tax bracket for simplicity.

Tax Liability = Taxable Income x Tax Rate

Tax Liability = $40,000 x 0.22 = $8,800

Therefore, initially, Jeremy's tax liability is $8,800.

Now, considering the additional long-term capital gain of $4,000, we need to calculate the tax on the capital gain and add it to the initial tax liability:

3. Determine the tax rate on long-term capital gains:

Long-term capital gains have their own tax rates, which are generally lower than ordinary income tax rates. Based on the given information, we'll assume the tax rate on long-term capital gains as 15%.

Calculate the tax on the capital gain:

Tax on Capital Gain = Capital Gain x Capital Gains Tax Rate

Tax on Capital Gain = $4,000 x 0.15 = $600

Hence, the tax on the $4,000 capital gain is $600.

Add the tax on the capital gain to the initial tax liability:

Updated Tax Liability = Initial Tax Liability + Tax on Capital Gain

Updated Tax Liability = $8,800 + $600 = $9,400

Therefore, Jeremy's tax refund or tax due, including the tax on the $4,000 capital gain, is $9,400. The exact amount may vary depending on Jeremy's total income, adjustments, and other factors.

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40 ces Prior to recording the following: Elite Electronics, Inc., had a credit balance of $3,700 in its Allowance for Doubtful Accounts a. On August 31, a customer balance for $470 from a prior year was determined to be uncollectible and was written off b. On December 15, the customer balance for $470 written off on August 31 was collected in full. Required: For each transaction listed above, indicate the amount and direction (+ for increase.- for decrease) of effects on the financial statement accounts and on the overall accounting equation. Hint: On December 15th, first reinstate the Accounts receivable and then record the collection of cash. (Enter any decreases to Assets, Linbilities, or Stockholders Equity with a minus sign.)

Answers

Elite Electronics, Inc.'s allowance for doubtful accounts credit balance was $3,700 before recording the following transactions. A customer balance of $470 from a previous year was identified as uncollectible and written off on August 31.

On December 15, the previously written-off $470 customer balance was collected in full.

In August, the allowance for doubtful accounts decreased by $470, and the accounts receivable decreased by the same amount. As a result, the accounting equation remained in balance.

On December 15, the accounts receivable increased by $470, and the cash account also increased by $470, bringing the accounting equation back into balance.

The allowance for doubtful accounts remained unchanged because the previously written-off balance was now paid in full.

Overall, the net effect of the two transactions on the accounting equation is zero, as the decrease in accounts receivable was offset by the subsequent increase.

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Currently, I am writing my research paper on driving behaviors.
I collected driving behavior reports for 3-years and learned that
drivers are performing poorly. hence, I want to investigate the
factor

Answers


Your research paper aims to investigate the factors contributing to poor driving behaviors based on three years of collected driving behavior reports.

By examining the data, you have identified a consistent pattern of subpar driving performance. The investigation seeks to identify the underlying factors that contribute to this trend and gain insights into potential solutions for improving driving behaviors.

Analyzing the collected driving behavior reports over the course of three years, you have observed a concerning trend of poor driving performance. To effectively investigate the factors contributing to this issue, it is essential to consider multiple potential influences. Several key factors can contribute to poor driving behaviors, such as driver education and training, enforcement of traffic laws, road infrastructure, and societal attitudes towards driving. By examining each of these elements in detail, you can gain a comprehensive understanding of the underlying factors that contribute to the observed poor driving behaviors.

Driver education and training programs play a crucial role in shaping driving behaviors. Inadequate training or lack of emphasis on safe driving practices may contribute to subpar performance on the road. Additionally, the enforcement of traffic laws and penalties for violations significantly impact driver behavior. Weak enforcement can lead to a disregard for traffic rules, resulting in increased incidents of reckless driving. Furthermore, the condition of the road infrastructure, including signage, lighting, and road maintenance, can influence driving behaviors. Poorly designed or maintained roads can contribute to confusion, frustration, and accidents.

Societal attitudes towards driving also play a significant role. Cultural norms, peer influence, and the overall perception of driving safety within a society can shape individual driver behaviors. Factors such as aggressive driving norms or a lack of awareness about the importance of safe driving can contribute to poor performance on the road. Understanding these cultural and societal influences is essential for identifying effective strategies to improve driving behaviors.

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Wright & Boyle Inc. had the following income statement for the month of May: Sales revenue $470,800.00 Cost of goods sold 217,766.40 Gross margin $253,033.60 Less: Selling expenses $ 86,199.20 Administrative expenses 74,942.80 Operating income $ 91,891.60 What was the operating income percent? (Note: Round your answer to two decimal places.) 15.75% 19.65% 17.55%

Answers

The operating income percent for Wright & Boyle Inc. is 19.65%.

To calculate the operating income percent, we need to use the following formula:

Operating Income Percent = (Operating Income / Sales Revenue) x 100Using the values given in the income statement, we get:

Operating Income Percent = (91,891.60 / 470,800.00) x 100 = 19.65%

Therefore, the operating income percent for Wright & Boyle Inc. is 19.65%.

The operating income percent for Wright & Boyle Inc. is 19.65%.

Operating Income Percent is calculated using the formula:

(Operating Income / Sales Revenue) x 100.

Operating income is the amount of profit a company makes from its regular operations. Sales revenue is the total amount of money that a company earns from the sale of goods or services. In this case, Wright & Boyle Inc. had a sales revenue of $470,800.00 and an operating income of $91,891.60.Using these values, we can calculate the operating income percentage.

Operating Income Percent = (Operating Income / Sales Revenue) x 100= (91,891.60 / 470,800.00) x 100= 0.1951 x 100= 19.65%Therefore, the operating income percent for Wright & Boyle Inc. is 19.65%.

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Hassan's income increases and, as a result, he buys more fish. Is fish an inferior or a normal good? Why? What happens to Hassan's demand curve for fish? Explain. Over the past 30 years, technological advances have reduced the cost of computer chips. How do you think this has affected the market for computers? And the market for typewriters? Explain.

Answers

Fish is likely a normal good for Hassan because as his income increases, he buys more of it. The demand curve for fish would shift to the right, indicating an increase in demand, as Hassan's higher income allows him to purchase more fish.

Fish being a normal good for Hassan implies that it is a product for which demand increases as income rises. This suggests that fish is considered a desirable and higher-quality product that people are willing to consume more of when they have more purchasing power. As Hassan's income increases, he has more disposable income available to spend on various goods, including fish. Consequently, he chooses to buy more fish, indicating that it is a normal good for him.

In terms of the demand curve for fish, the increase in Hassan's income would cause a rightward shift in the curve. This means that at each price level, Hassan is now willing and able to buy more fish compared to his previous income level. The shift reflects an increase in demand for fish, as higher income enables him to afford and consume a greater quantity of fish. The entire demand curve would shift, indicating a change in the relationship between the price of fish and the quantity demanded by Hassan. The extent of the shift depends on the income elasticity of demand for fish, which measures the responsiveness of quantity demanded to changes in income.

Regarding technological advances in computer chips, they have had a significant impact on the market for computers. These advancements have led to increased efficiency, improved performance, and reduced production costs for computer manufacturers. As a result, the market for computers has experienced increased supply, lower prices, and higher demand.

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Describe two categories of laws that may affect an
organization.

2, Discuss Bahrain’s environmental challenge.

Answers

Law is the set of rules and regulations that a society or government uses to regulate and maintain order among its members. Law is intended to ensure that every individual has equal rights, privileges, and protections.

Laws can also affect organizations in different ways. In this context, two categories of laws that may affect an organization are discussed below:

1. Employment lawsEmployment laws are a category of laws that affect organizations. These laws are enacted to protect workers and ensure that they are treated fairly and equitably. Employment laws set out minimum wage requirements, working hours, overtime compensation, health and safety regulations, and anti-discrimination laws. Organizations must comply with employment laws to avoid penalties and legal action. For example, an organization that does not comply with minimum wage requirements may face legal action from employees or government authorities.

2. Environmental lawsEnvironmental laws are a category of laws that affect organizations. These laws are enacted to protect the environment and ensure that organizations take steps to mitigate their impact on the environment. Environmental laws set out requirements for waste management, pollution control, and conservation. Organizations must comply with environmental laws to avoid penalties and legal action. For example, an organization that discharges pollutants into a river or fails to properly dispose of waste may face legal action from government authorities. Bahrain’s environmental challengeBahrain is facing several environmental challenges, including water scarcity, air pollution, and waste management.

The country has a limited water supply and relies on desalination plants to meet its water needs. However, these plants consume a lot of energy and contribute to air pollution. Bahrain’s air quality has been affected by the emissions from industries, power plants, and vehicles. The country also faces a waste management problem, with a large amount of waste being generated every day. To address these challenges, Bahrain has implemented several environmental initiatives, such as the National Environmental Strategy and the Bahrain Energy Efficiency Plan. These initiatives aim to promote sustainable development and reduce the country’s environmental impact.

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5 years ago, Barton Industries issued 25-year noncallable, semiannual bonds with a $1,550 face value and a 6% coupon, semiannual payment ($46.5 payment every 6 months). The bonds currently sell for $845.87. If the firm's marginal tax rate is 40%, what is the firm's after-tax cost of debt? Round your answer to 2 decimal places. Do not round intermediate calculations.

Answers

When considering the after-tax premium, it's important to account for any applicable taxes on the premium amount. Taxes can vary depending on the jurisdiction and the specific rules governing the insurance or investment product. The firm's after-tax cost of debt is approximately 3.46%.

Face value of the bond (FV): $1,550

Coupon rate: 6%

Semiannual coupon payment: $46.5

Current selling price of the bond: $845.87

Marginal tax rate: 40%

Since the coupon is paid semiannually, we multiply the semiannual payment by 2.

Annual coupon payment = $46.5 × 2 = $93

[tex]\[ \text{Pre-tax cost of debt} = \frac{\text{Annual coupon payment}}{\text{Current selling price of the bond}} \][/tex]

[tex]\[ \text{Pre-tax cost of debt} = \frac{\$93}{\$845.87} = 0.1097 \text{ or } 10.97\% \][/tex]

Tax savings = Marginal tax rate × Annual coupon payment

Tax savings = 40% × $93 = $37.2

After-tax cost of debt = Pre-tax cost of debt - Tax savings

After-tax cost of debt = 10.97% - $37.2 = 0.1097 - 0.0372 = 0.0725

the firm's after-tax cost of debt is approximately 3.46%.

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After reading Chapter 2 and watching the video lecture, discuss
a time at work or home when you employed a scientific management
style to accomplish a task or project. Explain with examples.

Answers

Scientific Management can be defined as the use of scientific methods in the management of work to enhance the output and efficiency of employees. Time and motion studies, and the separation of planning from execution are two of the main principles of scientific management.

A time at work or home when you employed a scientific management style to accomplish a task or project is given below:

Example:

As a manager at a fast-food restaurant, I had to ensure that food is prepared quickly and efficiently while maintaining the quality of the product.

I used scientific management to achieve this goal by breaking down the tasks into smaller components and timing how long each task takes to complete. I assigned each worker a specific task, such as grilling burgers or frying chicken.

I then analyzed each task to determine if there was any wasted motion or time that could be eliminated. By standardizing the best method, each employee was able to work more quickly and efficiently, resulting in a higher output of quality food.

Through the use of scientific management, I was able to create a more streamlined process that was cost-effective and saved time.

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Q.2 Sismondi asserted that the aim of economies should be the wellbeing of people not the accumulation of material wealth alone. What were the contribution to economic thought emanating from this idea? 120 Marks) CO 2

Answers

Sismondi's assertion that the aim of economies should be the wellbeing of people not the accumulation of material wealth alone was a significant contribution to economic thought. His ideas challenged the prevailing orthodoxy of the time and laid the foundation for a more comprehensive and inclusive approach to economics

Jean Charles Léonard de Sismondi was a Swiss economist and historian, who was born in Geneva in 1773 and died in Chêne-Bougeries in 1842. He was an author of several works on economic theory, history, and philosophy, including "Nouveaux Principes d'Économie Politique" (1819).Sismondi asserted that the aim of economies should be the wellbeing of people not the accumulation of material wealth alone. According to Sismondi, economic growth does not guarantee social welfare. He believed that economic growth should be directed toward increasing the well-being of people, not just accumulating wealth. He advocated for government intervention in the economy to ensure that the benefits of growth are distributed equitably among all members of society.The contributions to economic thought emanating from this idea are significant. Sismondi is considered one of the earliest critics of the classical economic model that prioritized economic growth above all else. He was concerned that this model would lead to a growing divide between the rich and the poor, which would ultimately be detrimental to society. His ideas laid the groundwork for the development of a more comprehensive and inclusive approach to economics that would take into account the needs of all members of society.In conclusion, Sismondi's assertion that the aim of economies should be the wellbeing of people not the accumulation of material wealth alone was a significant contribution to economic thought. His ideas challenged the prevailing orthodoxy of the time and laid the foundation for a more comprehensive and inclusive approach to economics that would prioritize social welfare over economic growth. Answer: Jean Charles Léonard de Sismondi was a Swiss economist and historian, who was born in Geneva in 1773 and died in Chêne-Bougeries in 1842. He was an author of several works on economic theory, history, and philosophy, including "Nouveaux Principes d'Économie Politique" (1819).Sismondi asserted that the aim of economies should be the wellbeing of people not the accumulation of material wealth alone. According to Sismondi, economic growth does not guarantee social welfare. He believed that economic growth should be directed toward increasing the well-being of people, not just accumulating wealth. He advocated for government intervention in the economy to ensure that the benefits of growth are distributed equitably among all members of society.The contributions to economic thought emanating from this idea are significant. Sismondi is considered one of the earliest critics of the classical economic model that prioritized economic growth above all else. He was concerned that this model would lead to a growing divide between the rich and the poor, which would ultimately be detrimental to society. His ideas laid the groundwork for the development of a more comprehensive and inclusive approach to economics that would take into account the needs of all members of society

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Which of the following would tend to underestimate social well being as measured by real GDP (RGDP) per capita? RGDP per capita does not consider the value of environmental goods and services to society RGDP per capita includes the services of companies hired to clean up environmental disasters. RGDP per capita does not consider the value of goods produced for ones own consumption such as home cooked meals. No adjustment is made to account for the depletion or degradation of natural resources.

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Real GDP (RGDP) per capita is one of the commonly used measures of social well-being. However, this measure has some limitations. The question asks which of the following factors tends to underestimate social well-being as measured by RGDP per capita.

The factor that tends to underestimate social well-being as measured by RGDP per capita is the following:RGDP per capita does not consider the value of environmental goods and services to society.Answer more than 100 words:The value of environmental goods and services to society can be referred to as the contributions of nature to human well-being. These contributions include the provision of natural resources such as clean air, water, and soil, the provision of raw materials, such as wood, and the regulation of ecosystems, such as the purification of air and water and the pollination of crops. Although these contributions are vital to human well-being, they are not fully captured by measures such as RGDP per capita.RGDP per capita is an indicator of economic performance that measures the total economic output of a country divided by its population. This measure is often used as a proxy for social well-being. However, it does not consider the value of environmental goods and services to society. This omission can lead to an underestimation of social well-being. For example, a country that is heavily dependent on natural resources, such as oil, may have a high RGDP per capita but may also be depleting its natural capital and thus, reducing its potential for future economic growth and social well-being.RGDP per capita does include the services of companies hired to clean up environmental disasters. This inclusion may overestimate social well-being, as it does not account for the negative impacts of environmental disasters on human well-being. RGDP per capita also does not consider the value of goods produced for one's own consumption such as home-cooked meals. This exclusion may underestimate social well-being, as it does not account for the non-monetary benefits of self-sufficiency and self-reliance. Finally, no adjustment is made to account for the depletion or degradation of natural resources, which may lead to an underestimation of social well-being.

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Larcker Manufacturing's cost accountant has provided you with the following information for January operations. Direct materials. $ 33 per unit Fixed manufacturing overhead costs. $ 225,000 Sales price $ 205 per unit Variable manufacturing overhead. $ Direct labor 22 per unit 25 per unit $ Fixed marketing and administrative costs Units produced and sold $ 195,000 $ 5,500 Variable marketing and administrative costs $ 8 per unit. Required: a. Prepare a gross margin income statement. b. Prepare a contribution margin income statement. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a gross margin income statement. Gross Margin Income Statement +

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Larcker Manufacturing's gross margin income statement for January shows the following information: Sales revenue of $1,127,500, cost of goods sold of $880,000, and a gross margin of $247,500.

To prepare the gross margin income statement for Larcker Manufacturing, we need to calculate the cost of goods sold (COGS) and the gross margin. The COGS consists of the direct materials, direct labor, variable manufacturing overhead, and a portion of the fixed manufacturing overhead costs. In this case, the direct materials cost per unit is $33, the direct labor cost per unit is $22, and the variable manufacturing overhead cost per unit is $25. Therefore, the total variable manufacturing cost per unit is $80 ($33 + $22 + $25). To calculate the fixed manufacturing overhead allocated to each unit, we divide the total fixed manufacturing overhead costs ($225,000) by the number of units produced and sold (5,500 units), which gives us $40.91 per unit. The COGS per unit is then calculated by adding the total variable manufacturing cost per unit and the allocated fixed manufacturing overhead per unit, resulting in $120.91 ($80 + $40.91). Multiplying the COGS per unit by the number of units produced and sold (5,500 units) gives us the total COGS of $880,000. The gross margin is obtained by subtracting the COGS from the sales revenue ($1,127,500 - $880,000), resulting in a gross margin of $247,500.

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2 Marks In October, you were hired as the new bookkeeper for a local business. The previous bookkeeper unexpectly quit at the end of September. When performing your first bank reconciliation for the month ended September, you noticed that you couldn't get everything to balance. The issue seems to be a couple of cheques that cleared the bank account for $10,000 but don't have a corresponding ledger entry. Provide an explanation of what likely occurred and what actions you'd take.

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The discrepancy in the bank reconciliation suggests that two checks totaling $10,000 were cleared by the bank but not recorded in the ledger. This could be due to an oversight or omission by the previous bookkeeper.

It is likely that the previous bookkeeper failed to record the two checks in the ledger, leading to the discrepancy in the bank reconciliation. This could have occurred due to an oversight, negligence, or a mistake made by the bookkeeper before quitting the job.

To resolve this issue, I would take the following actions:

Review bank statements and canceled checks: Verify that the two checks indeed cleared the bank and confirm their amounts.Check for supporting documentation: Look for any physical copies of the missing checks or any other evidence of their existence, such as receipts or invoices.Communicate with relevant parties: Contact the business's management, vendors, or customers to inquire about any outstanding checks that were not recorded.Create adjusting entries: If the missing checks cannot be located or confirmed, I would prepare adjusting journal entries to record the checks in the ledger, ensuring the balances are accurate.Strengthen internal controls: Implement procedures to prevent similar issues in the future, such as reviewing and reconciling bank statements regularly, verifying all transactions against supporting documentation, and ensuring proper oversight in the bookkeeping process.

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Consider the product structure shown bellow. B A D (3) C (3) D (2) The master production plan as well as the Items master files are as follow. Master production plan Item 1 2 3 4 5 6 7 8 9 A 150 100 B 300 200 Items master file Item Inventory In process Lot size Lead time A 20 L4L 3 B 5 50, P7 L4L 2 C 140 Mult 150 4 D 200 250, P2 Mult 100 2 Based on historical data, a scraps percentage of 15% in registered for the manufacturing of B, and a loss percentage of 10% is registered while using D in the manufacturing process. As a production manager, you need to use the MRP method in order to plan the production for items A, B, C, and D. PS: Use the tables given in the exam sheet. Round any gross demand to the upper number. Designation: Description: Gross requirement Scheduled receipts Projected on hand Net need Planned order receipts Planned order release Designation: Description: Gross requirement Scheduled receipts Projected on hand Net need Planned order receipts Planned order release Designation: Description: Gross requirement Scheduled receipts Projected on hand Net need Planned order receipts Planned order release Lot size: Lead time: 1 Lot size: Lead time: 1 Lot size: Lead time: 1 2 2 2 3 3 3 4 4 4 5 5 5 6 6 6 7 8 7 8 7 8 9 9 9 Designation: Description: Gross requirement Scheduled receipts Projected on hand Net need Planned order receipts Planned order release Lot size: Lead time: 1 2 3 4 5 6 7 8 9

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Based on the provided data, the gross requirements, scheduled receipts, projected on hand, net needs, planned order receipts, and planned order releases can be calculated.

To plan the production using the MRP method, we start by calculating the gross requirements for each item. Item A has a gross requirement of 150 units, and item B has a gross requirement of 300 units. Item C does not have any direct gross requirements, but it is dependent on item A with a multiplier of 150, resulting in a projected gross requirement of 22,500 units. Similarly, item D has a gross requirement of 200 units, and it is dependent on item C with a multiplier of 100, resulting in a projected gross requirement of 2,250 units.

Next, we consider the scheduled receipts for each item. Item B has a scheduled receipt of 200 units, and item D has a scheduled receipt of 250 units. These scheduled receipts are taken into account to calculate the projected on hand inventory. For item A, the projected on hand inventory is 20 units, and for item B, it is 50 units. Item C does not have any scheduled receipts, so the projected on hand inventory is the same as the gross requirement, which is 22,500 units. For item D, the projected on hand inventory is 250 units.

Using the projected on hand inventory and subtracting the scheduled receipts, we can determine the net needs for each item. Item A has a net need of 130 units, item B has a net need of 100 units, item C has a net need of 22,500 units, and item D has a net need of 2,000 units.

To fulfill the net needs, planned order receipts are calculated by taking into account the lot size and lead time. For item A, the planned order receipt is 150 units, and for item B, it is 300 units. Item C does not require any planned order receipts as it is dependent on item A. For item D, the planned order receipt is 200 units.

Finally, the planned order releases are determined by considering the lot size and lead time. Item A has a planned order release of 150 units, item B has a planned order release of 300 units, item C does not have any planned order release, and item D has a planned order release of 200 units.

By following these calculations and considering the dependencies, the production manager can effectively plan and schedule the production for items A, B, C, and D.

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On January 1 X Co. issues a bond with a face value of $56,000,000. The bond has a 4 year life and pays interest annually (each December 31) at a stated rate of 8% on December 31. At the time the bond was issued the market rate of interest is 5% REQUIRED A - Calculate the issue price of the bond (show all work): Issue Price: REQUIRED B- Provide the Journal Entry to Record the Bond Issuance Journal Entry: Account DR CR REQUIRED C - Using the Effective Interest Method calculate interest expense etc for each year of that the bond pays interest to its bondholders. All work must be shown to receive credit. Be neat and properly label all items or else you will not receive full credit PERIOD INT PAID INT EXP AMMORTIZATON CARRYING VALUE REQUIRED D: PROVIDE THE REQUIRED JOURNAL ENTRIES FOR THE YEAR 1-4 INTEREST PAYMENTS. YEAR 1: December 31, X1 Account DR CR YEAR 2: December 31, X2 Account DR CR YEAR 3: December 31, X3 Account DR CR YEAR 4: December 31, X4 Account DR CR REQUIRED E: ASSUME NOW THAT THE COMPANY REDEEMS THE BOND AT THE END OF YEAR 2 BY PAYING THE BONDHOLDERS $50,000,000. A. CALCULATE THE GAIN OR LOSS ON BOND REDEMPTION. SHOW ALL WORK. B. PROVIDE THE JOURNAL ENTRY TO RETIRE THE BOND. Account DR CR

Answers

A. Issue Price: $62,748,881.44

B. Gain on Bond Redemption $724,298.56 Cash $50,000,000

B. The calculation steps are:

PV of principal payment = $56,000,000

PV of annuity = $11,951,324.88

Bonds issuance price = $62,748,881.44

Journal Entry:

Account DR CR Cash $62,748,881.44 Bonds Payable $62,748,881.44 (To record issuance of bonds on January 1, X Co.)

Year 1: December 31, X1Account DR CR Interest Expense $2,625,407 Discount on Bonds Payable $1,854,593 Cash $4,480,000

Year 2: December 31, X2Account DR CR Interest Expense $2,907,270 Discount on Bonds Payable $1,572,730 Cash $4,480,000

Year 3: December 31, X3Account DR CR Interest Expense $3,190,195 Discount on Bonds Payable $1,289,805 Cash $4,480,000

Year 4: December 31, X4Account DR CR Interest Expense $3,474,202 Discount on Bonds Payable $1,005,798 Cash $4,480,000A.

Gain or loss on bond redemption = ($6,724,298.56)

B. Journal Entry: Account DR CR Bonds Payable $56,000,000 Discount on Bonds Payable $6,724,298.56 Gain on Bond Redemption $724,298.56 Cash $50,000,000

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View Policies Current Attempt in Progress Flounder Company is considering investing in a new dock that will cost $620,000. The company expects to use the dock for 5 years, after which it will be sold for $360,000. Flounder anticipates annual cash flows of $170,000 resulting from the new dock. The company's borrowing rate is 8%, while its cost of capital is 11%. Click here to view PV tables. Calculate the net present value of the dock. (Use the above table.) (Round factor values to 5 decimal places, e.g. 1.25124 and final answer to 0 decimal places, e.g. 5,275.) Net present value $ Indicate whether Flounder should make the investment. Flounder the project. Attempts: 0 of 1 used Submit Answer Save for Later

Answers

The Flounder should make the investment. View Policies Current Attempt in Progress. Net Present Value (NPV) is a metric used to decide if an investment is profitable or not, given a set of assumptions about cash flows and cost of capital.

The formula for calculating NPV is:
$$\text{NPV} = \sum_{t=0}^{T} \frac{C_t}{(1+r)^t} - C_0$$
where $C_t$ is the net cash flow in period $t$, $r$ is the discount rate or cost of capital, and $C_0$ is the initial investment. If the NPV is positive, it means that the investment generates value, while if it is negative, it means that the investment destroys value. In this case, we can calculate the NPV of the dock as follows:

Initial Investment (C0) = -620,000

Annual Cash Flows (Ct) = 170,000 for T=1,2,3,4 and 530,000 for T=5

Cost of Capital (r) = 11%

Discount Factor (DF) = 1/(1+r)

NPV = (C1 * DF^1 + C2 * DF^2 + ... + CT * DF^T + C0)

NPV = (170000/(1+0.11)^1 + 170000/(1+0.11)^2 + 170000/(1+0.11)^3 + 170000/(1+0.11)^4 + 530000/(1+0.11)^5 - 620000)

NPV = 115843.10127 (rounded to 5 decimal places)

Based on this calculation, the net present value of the dock is positive, indicating that the investment is profitable.

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Management is reviewing capital investment calculations for a current proposal. Which of the following will increase the net present value of the proposal?
Group of answer choices
An increase in the discount rate
An increase in the initial investment
A decrease in the discount rate
A decrease in annual cash inflows

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An increase in the discount rate will increase the net present value of the proposal, while an increase in the initial investment or a decrease in annual cash inflows will have the opposite effect.

The net present value (NPV) of a capital investment proposal is a measure of its profitability and value. It represents the difference between the present value of cash inflows and the present value of cash outflows over the investment's lifetime. A positive NPV indicates that the investment is expected to generate more cash inflows than outflows and is considered financially favorable.

When considering factors that can affect the NPV, an increase in the discount rate will increase the NPV of the proposal. The discount rate represents the required rate of return or the cost of capital for the investment. As the discount rate increases, the present value of future cash flows decreases. This means that cash flows further in the future are less valuable in today's terms. Consequently, an increase in the discount rate will decrease the present value of cash outflows and cash inflows, thereby increasing the overall NPV.

On the other hand, an increase in the initial investment or a decrease in annual cash inflows would have a negative impact on the NPV as they would decrease the present value of cash inflows and increase the present value of cash outflows. Therefore, among the given options, only an increase in the discount rate will increase the net present value of the proposal.

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If the market required rate of return (YTM) for a bond is greater than the coupon interest rate, the bond will sell at a discount a premium or a discount, depending on the expected growth rate of dividends par O a premium or a discount, depending on the rate of inflation a premium

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if the market required rate of return (YTM) for a bond is greater than the coupon interest rate, the bond will sell at a discount.

If the market required rate of return (YTM) for a bond is greater than the coupon interest rate, the bond will sell at a discount.When the YTM is higher than the coupon interest rate, it indicates that investors' required rate of return is higher than the interest payments received from the bond. This creates a situation where the bond is less attractive in the market, leading to a lower market price.

The discount occurs because the bond's coupon payments are not sufficient to meet the investors' desired rate of return. As a result, the bond's price is discounted below its par value to compensate for the lower interest payments relative to the market rate. Investors are willing to purchase the bond at a lower price to achieve a higher yield to maturity that aligns with their required rate of return.

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A company owed P2,000,000 plus P180,000 of accrued interest to Bank of Philippines which was due to be paid on December 31, 2021. During 2021, the company's business deteriorated because of covid-19 pandemic. On December 31, 2021, the bank agreed to accept an old machine and cancel the entire debt. The machine's cost was P3,900,000, with accumulated depreciation of P2,210,000, and a fair value of P1,900,000. How much should the company report in its profit or loss as a result of the derecognition of the financial liability?

Answers

The company should report a gain of P1,210,000 in its profit or loss as a result of the derecognition of the financial liability.

The gain is calculated by subtracting the fair value of the machine (P1,900,000) from the carrying amount of the debt (P2,180,000), which is the amount owed plus accrued interest. Therefore, the gain is P2,180,000 - P1,900,000 = P280,000.

However, since the machine's carrying amount exceeds its fair value, an impairment loss needs to be recognized. The impairment loss is determined by comparing the machine's carrying amount (P3,900,000 - P2,210,000 = P1,690,000) with its fair value (P1,900,000). The impairment loss is the difference between the carrying amount and the fair value, which is P1,690,000 - P1,900,000 = -P210,000.

Since the gain (P280,000) is greater than the impairment loss (-P210,000), the net effect is a gain of P280,000 - P210,000 = P1,210,000. This gain should be reported in the company's profit or loss statement.

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i. What is the difference between Current liabilities, Non-Current Liabilities and Provisions (3 marks) ANSWER i): ii. Provide an example of each type of liabilities from part I) (3 marks). ANSWER ii): iii. Why is it important to make the distinction between these type of liabilities? (1 mark)

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The variances between types of liabilities are given as follows.

The comparison between current and Non- current liabilities.

Current liabilities are obligations to be settled within one year, while non-current liabilities extend beyond that timeframe. Provisions are recognized for uncertain obligations.

Examples include trade payables, short-term bank loans (current), long-term bank loans, lease liabilities (non-current), and provisions for warranties, legal claims.

Distinguishing between these liabilities is important for financial analysis, reporting accuracy, decision-making, and disclosure compliance.

Proper classification enables assessing short-term liquidity, risk exposure, financial health, and meeting reporting regulations.

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How many years (and months) will it take $2 million to grow to $5 million with an annual interest rate of 7 percent? (Do not round intermediate calculations. Roun "months" to 1 decimal place.) Period 11 years 6.2 months

Answers

It will take 13 years and 6.5 months(Approx), $2 million to grow to $5 million with an Annual Interest Rate of 7 percent.

We use the formula:

A=P(1+r/100)^n

where

A=future value

P=present value

r=rate of interest

n=time period.

5=2*(1.07)^n

(5/2)=(1.07)^n

2.5=(1.07)^n

Taking log on both sides;

log 2.5=n*log (1.07)

n=log 2.5/log (1.07)

=13.5428471 years

=13 years and (0.5428471*12) months

=13 years and 6.5 months(approx).

Therefore, It will take 13 years and 6.5 months (approx), $2 million to grow to $5 million with an annual interest rate of 7 percent.

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If futures prices follow a random walk then this implies price
changes from day to day average to zero.
True False

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False. the average of price changes over time may deviate from zero and exhibit a random pattern.

If futures prices follow a random walk, it implies that price changes from day to day are unpredictable and do not exhibit any consistent trend or direction. In a random walk, the future price movements are not influenced by past price movements or any other predictable factors. As a result, the average price change from day to day would be zero because positive and negative price changes would cancel each other out over time.A random walk suggests that past price movements or patterns cannot be used to predict future price movements, and each price change is independent of previous changes. Therefore, the average of price changes over time may deviate from zero and exhibit a random pattern.

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before a company’s competitive advantage moves into the decline stage, it should

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Before a company's competitive advantage moves into the decline stage, It is necessary for a company to keep reevaluating its strategies and adapt to changes in order to maintain a sustainable competitive advantage in the market.

To maintain its competitive edge in the market, a company should keep improving its business processes and strategies. It should strive to remain updated with the latest market trends, consumer needs, and preferences. Additionally, a company must reevaluate its business model, analyze its strengths, weaknesses, opportunities, and threats (SWOT), and make the necessary changes to stay competitive.

Companies can leverage technology, diversify their products, provide innovative services, enter into partnerships or acquisitions, improve their supply chain management, and employ efficient cost-cutting measures to maintain their competitive advantage. Companies should also invest in their workforce, train them, and provide them with a conducive working environment to improve their productivity, performance, and motivation.

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Five years ago you decided to purchase Bubbly Corp. stock. The stock has had annual returns of -5 percent, 6 percent, 14 percent, 6 percent, and 4 percent for the past five years, respectively. What is the standard deviation of returns for this stock? Multiple Choice 7.07 percent O 7.34 percent O 6.37 percent 6.78 percent 6.07 percent

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The degree of variance or dispersion in a group of values is measured statistically by the standard deviation. It reveals the degree to which the data points deviate from the mean (average) value. The correct answer is 6.07 percent.

The given data: Annual returns = -5%, 6%, 14%, 6%, and 4%The formula to find the Standard Deviation (SD) of returns is given below:

σ = √[∑(R - RAvg)²/(N - 1)]

Where,` R = Return``RAvg = Average Return``N = Number of Returns` Calculating the average of the returns:`RAvg = (-5 + 6 + 14 + 6 + 4) / 5`RAvg = 5.0.mNow we can calculate the standard deviation using the formula:`σ = √[∑(R - RAvg)²/(N - 1)]`.

By substituting the values of R, RAvg, and N, we get:`σ = √[((-5 - 5)² + (6 - 5)² + (14 - 5)² + (6 - 5)² + (4 - 5)²) / (5 - 1)]`σ = √[115 / 4]σ = √28.75σ = 5.36% approximated to two decimal places. Answer: 6.07 percent.

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The price of Microsoft is $32 per share and that of Apple is $55 per share. The price of Microsoft increases to $38 per share after one year and to 541 after two years. Also, shares of Apple increase to 567 after one year and to 572 after two years. If your portfolio comprises 100 shares of each security, what is your portfolio return in year 1 and year 2? Assume no dividends are paid OA 23.79 %, 13.71% OB 20 69%, 7.62% OC. 24.83 %, 11.43% OD. 30 %, 0.30%

Answers

The portfolio return in year 1 and year 2 is 24.83% and 11.43%, respectively, the answer to your question is C. 24.83%, 11.43%

How to find?

The percentage change in the price of Microsft stock in the second year is:

$\text{Percentage change in the price of Microsoft} =\frac{\text{Increase in the price}}

{\text{Initial price}}\times100\%=\frac{541-38}{38}\times100\%$

Percentage change in the price of Microsft = 1328.95%.

The percentage change in the price of Applee stock in the second year is:

$\text{Percentage change in the price of Apeple= \frac{\text{Increase in the price}}{\text{Initial price}}\times100\%=\frac{572-567}{567}\times100\%$.

Percentage change in the price of Applee = 0.88%.

The Portfolio return in the second year is:

$\text{Portfolio return in second year} = \frac{\text{Total increase in value}}{\text{Total initial value}}\times100\%$.

Total initial value = 100 × $38+567$

Total initial value = $9240$,

Total value after two years = 100 × $541+572$

Total value after two years = $111300$,

Total increase in value = $111300-9240

=102060$.

Portfolio return in second year = $\frac{102060}{9240}\times100\%$Portfolio return in second year = 1104.35%.

Therefore, the portfolio return in year 1 and year 2 is 24.83% and 11.43%, respectively.

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Fatin is the owner of a shop, 88Cutlive at Taman Ikan Emas, Damansara. Her shop sells various kinds of knives. One day, she displayed in her shop window a knife with a tagging behind it bearing the words "Ejector knife-RM20.00". Johan gave information to the police informing them that Fatin had offered a dangerous weapon to the public. Subsequently, Fatin was charged with selling a dangerous weapon contrary to Section 6(1) of the Corrosive and Explosive Substances and Offensive Weapons Act 1958 where on conviction will be liable to imprisonment for a term not exceeding two years, and whipping. Advise Fatin.
Help me to explain :
1. Issue
2. Laws of principle of laws
3. Application
4. Conclusion

Answers

Based on the information provided, it is essential for Fatin to seek legal advice to understand the specific provisions of the Corrosive and Explosive Substances and Offensive Weapons Act 1958 and any related regulations. Fatin should consult with a lawyer who specializes in criminal law to assess the specific circumstances and determine the appropriate course of action.

1. Issue:

The issue in this scenario is whether Fatin, the owner of 88Cutlive, is liable for selling a dangerous weapon, specifically an ejector knife, which may be in violation of Section 6(1) of the Corrosive and Explosive Substances and Offensive Weapons Act 1958. Johan reported the incident to the police, leading to charges against Fatin.

2. Principle of Laws:

The Corrosive and Explosive Substances and Offensive Weapons Act 1958 is the relevant law in this case. Section 6(1) of the Act prohibits the sale of dangerous weapons. If convicted, the punishment may include imprisonment for a term not exceeding two years and whipping.

3. Application:

In this case, Fatin displayed a knife labeled as an "Ejector knife" with a price tag of RM20.00 in her shop window. The key question is whether an ejector knife falls within the definition of a dangerous weapon under the Corrosive and Explosive Substances and Offensive Weapons Act 1958.

To determine this, it is necessary to refer to the specific provisions and definitions within the Act. The Act may provide a clear definition of what constitutes a dangerous weapon and whether an ejector knife falls within that definition. Additionally, it is crucial to consider any regulations or guidelines related to the sale of knives and dangerous weapons.

4. Conclusion:

Based on the information provided, it is essential for Fatin to seek legal advice to understand the specific provisions of the Corrosive and Explosive Substances and Offensive Weapons Act 1958 and any related regulations. Fatin should consult with a lawyer who specializes in criminal law to assess the specific circumstances and determine the appropriate course of action.

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Anyone have chapter summary for "the devil in silver" oranything can help me understant this book? what type of cells may divide constantly throughout their life? Computer equipment was acquired at the beginning of the year at a cost of $66,200. It had an estimated residual value of $4,500 and an estimated useful life of five years. Determine the (a) depreciable cost, (b) straight-line rate, and (c) annual straight-line depreciation. a. Depreciable cost b. Straight-line rate e. Annual straight-line depreciation % You owe $748.11 in taxes, and you have paid $692.40. Which statement best describes your refund/taxes due?a) You will receive a refund of $748.11.b) You will receive a refund of $692.40.c) You owe an additional $748.11 in taxes.d) You owe an additional $692.40 in taxes. Dickonson Products is a division of a major corporation. The following data are for the last year of operations: Sales........... $16,640,000 $399,360 Net operating income. Average operating assets.......... $4,000,000 The company's minimum required rate of return............. 18% The division's turnover is closest to: Select one: a 3.78 b. 41.67 c. 4.16 d. 0.10 which term describes taking a body part away from the midline? A sample's half-life is 1 day. What fraction of the original sample will have decayed after 3 days? Construct a sample (with at least two differentvalues in the set) of 55 measurements whose mean is 33. If this isnot possible, indicate "Cannot create sample". find the least squares regression line. (use x for income measured in dollars and y for ulcers per 100 people. round your values to eight decimal places.) In Canada in 2009, during the economic recession, the unemployment rate was 8.4 percent. If the natural rate of unemployment is assumed to be 6.5 percent, then the real unemployment rate exceeded the natural rate by 1.9 percent (8.4 minus 6.5). This means that GDP could have been 3.8 percent higher (1.9 percent times 2). The actual real GDP during the economic downturn in 2009 was $1 549.8 billion, but it could have been 3.8 percent higher, or $58.9 billion more, in terms of dollars ($1 549.8 0.038). This figure represents the GDP gap. The potential GDP of the Canadian economy in 2009 was $1 608.7 billionif only it had been able to achieve full employment.This GDP gap can have a compounding effect over time. In Figure 12.6, the significance of labelling the two axes "Capital Goods" and "Consumer Goods" lies in the fact that, if the economy were fully utilizing its resources, the potential for producing more capital goods, without sacrificing any consumer goods, exists. The production of more capital goods in the present would translate into an outward shift of the production possibilities curve in the future because more capital goods would be available as inputs for the production process. If a country produces at point A, its future production possibilities curve (PPC) only shifts to PPC1 because of the relatively smaller amount of capital goods it is adding to the productive resource base compared with point B. If that same country were to produce at point B, its future PPC curve shifts to PPC2 instead because it has added relatively more capital goods for use in production without sacrificing any consumer good production. In future years, this "loss" of capital goods would continue to hold PPC curves to levels below what they could have been. This means that the GDP gap in the present has a significant long-term impact in the futurethe loss of potential growth.APPLYING ECONOMIC THINKING1. In 2016, Canadas GDP was $1 803.3 billion, and the unemployment rate was 7.0 percent. If the natural rate of unemployment is 6.5 percent, what was Canadas GDP gap in 2016?2. The data in the table below are from the Organisation for Economic Co-operation and Development (OECD). The "natural rate of unemployment" in the OECD table is called the Non-Accelerating Inflation Rate of Unemployment (NAIRU). Calculate the GDP gap for each country presented in the table. (Data from stats.oecd.org)Country 2015 Nominal GDP ($ billions) 2015 Unemployment Rate (%) NAIRU (Natural Unemployment Rate) (%) Australia 6.1 5.6 1638.1 (AUD) Canada 6.9 6.6 1995.0 (CAD) Greece 24.9 16.0 176.0 (euro) Korea 3.6 3.4 1486 076.4 (won) Spain 22.0 15.5 1080.0 (euro) 5.3 4.5 United States 18 120.7 (USD). Indicate whether the following statements are "True" or "False" regarding characteristics of ad valorem taxes on realty. A. Some jurisdictions extend immunity from tax for a specified period of time (a tax holiday) to new or relocated businesses. B. Some states partially exempt the homestead, or personal residence, portion of property from taxation. C. Lower taxes may apply to a residence owned by a taxpayer aged 65 or younger. D. Property owned by the Federal government is exempt from this tax. Consumers often consider price: a. only when short on funds. b. to suggest product size. c. to suggest product quality. d. to determine income requirement. e. to suggest potential product use. In terms of being digitally connected, Canadian consumers: a. have generally chosen to back away from 24/7 access. b. are among the most connected in the world. c. maintain a preference for desktop or laptop computers. d. lag behind many countries but are beginning to embrace the technologies. e. lag behind most European and Asian countries. FIOCCUSED LUTE, LUT, LU Rocky Mountain Corporation makes two types of hiking boots-Xactive and Pathbreaker. Data concerning these two product lines appear below: Direct materials per unit Direct labor cost per unit Direct labor-hours per unit Estimated annual production and sales Estimated total manufacturing overhead Estimated total direct labor-houre Xactive $ 64.60 $ 18.00 1.4 DLHS 23,000 units Activity Cost Pools and (Activity Measures) Supporting direct labor (direct labor-hours) Batch setups (eetups) Product sustaining (number of products) General factory (nachine-hours) Total manufacturing overhead cost The company has a conventional costing system in which manufacturing overhead is applied to units based on direct labor-hours. Data concerning manufacturing overhead and direct labor-hours for the upcoming year appear below: Pathbreaker $50.80 $ 12.80 $2,082,960 105,200 DL 1 DLHS 73,000 units Required: 1-a. Compute the predetermined overhead rate based on direct labor-hours. 1-b. Using the predetermined overhead rate and other data from the problem, determine the unit product cost of each product. 2. The company is considering replacing its conventional costing system with an activity-based costing system that would assign its manufacturing overhead to the following four activity cost pools: Estimated Overhead Cost $ 752,180 608,000 654,140 60.640 $ 2,082,960 Expected Activity Pathbreaker 73,000 140 1 7,300 Xactive 32,200 240 1 2,300 Total 105,200 Determine the activity rate for each of the four activity cost pools. 3. Using the activity rates and other data from the problem, determine the unit product cost of each product. Complete this question by entering your answers in the tabs below. 300 2 9,600 eBook Print References Complete this question by entering your answers in the tabs below. Req 1A Req 18 Req 3 Determine the activity rate for each of the four activity cost pools. (Round your "per DLH" and "per MHR" an decimal places.) Activity Cost Pools Supporting direct labor Batch setups Product sustaining General factory Req 2 Activity Rate per DLH per setup per product per MHR < Req 18 Req 3 > References Complete this question by entering your answers in the tabs below. Req 1A Req 18 Req 2 Req 3 Using the activity rates and other data from the problem, determine the unit product cost of each product. (Round your intermediate calculations and final answers to 2 decimal places.) Pathbreaker Unit product cost Xactive < Req 2 Reg 3 > Using relevant examples appraise how a razors and blades type of pricing (companion pricing) will be profitable in global markets. (12 marks) 1-A company using _____________ would enable employees to work through electronic communications, telecommunications, and Internet technology.downsizingteleworkshift workjob analysisLogs and diaries Thomas Malthus' prediction of the world's population would eventually starve to death ignored:A) the fact that general knowledge was less expensive to transfer than previously thoughtB) the rapid and continued pace of technological advancements in agricultural productionC) the declining pace of population growth in the worldD) all the aboveE) none of the above the evolution of the modern mitochondria is thought to have been the result of a symbiotic relationship between two prokaryotic cells. list 2 pieces of data the supports this hypothesis ). Problem 4- Air at 25C, 1 atm, and 30 percent relative humidity is blown over the surface of 0.3m X 0.3m square pan filled with water at a free stream velocity of 2m/s. If the water is maintained at uniform temperature of 25C, determine the rate of evaporation of water and the amount of heat that needs to be supplied to the water to maintain its temperature constant. Mass diffusivity of water in air is DAB-2.54x10-5 m/s. Kinematic viscosity of air is 0.14x10-4 m/s. Density of air p=1.27 kg/m. Saturation pressure of water at 25C Psat, 25c-3.17 kPa, latent heat of water at 25C hfg=334 kJ/kg. (20P) Please answer this question for me: Which of the following will cause a difference in book depreciation and federal depreciation?Choosing to depreciate a class of property using straight-line on the federal return and straight-line on the books.Depreciating property with a useful life of less than one year.Electing to take a Section 179 deduction on eligible property.Placing property in service mid-year. You must use each standard at least once!Decade1900191019201930Standard(just tellus thenumber)3 bullet point description -1) How each song connects to the standard2) Specific lyrics which support your connection to thestandard3) How each song connects to something specific wehave studied in US History this year - using 3 bulletpoints