The financial statement, that presents a summary of the revenues and expenses of a business, is called an Income Statement
What is an income statement?One of the three crucial financial statements used to describe a company's financial performance throughout a certain accounting period is the income statement. The balance sheet and the cash flow statement are the other two important statements.The revenue, costs, profits, and losses incurred by a corporation over a specific time period are the main topics of the income statement. An income statement, also referred to as the profit and loss (P&L) statement or the statement of revenue and expenses. Offers essential information about a company's operations, the effectiveness of its management, underperforming industries, and its performance in comparison to peers in the same industry.
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What of the following is a way to help an individual pay lower interest rates on future loans?.
Inquire with your lender about any fees associated with making extra payments. Making additional payments now will also provide you with a buffer if interest rates increase in the future.
What are the three most important factors in obtaining a lower interest rate?
There are three factors that influence your interest rate.
Credit rating. Your credit score is a three-digit number that carries the most weight when determining your personal creditworthiness.Loan-to-value (LTV) ratio.Debt-to-incomeReal interest rates are fundamentally determined by the degree of saving and fixed investment in the economy. All else being equal, if saving increases as well as fixed investment decreases, the real interest rate falls; if saving decreases or fixed investment increases, the real interest rate rises.
Therefore, any extra money you put in during that time period will reduce the amount of interest you pay but also shorten the term of your loan.
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a mortgagge loan in which the interest rate charged fluctuates with the level of current interest rates is called
Variable interest rate mortgage loans have an interest rate that varies depending on the level of current interest rates.
An interest rate on a loan or security that fluctuates over time because it is based on an underlying benchmark interest rate or index that is interest rates subject to Variable interest rate regular changes is known as a variable interest rate (also known as an "adjustable" or "floating" rate).
A variable interest rate has the obvious advantage that if the underlying rate or index decreases, so do the borrower's interest payments. On the interest rates other hand, if the underlying index increases, interest payments rise. Fixed interest rates are stable, as opposed to variable interest rates.
Variable interest rate mortgage loans have an interest rate that varies depending on the level of current interest rates.
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in the figures below, the first graph represents individual firms and the second the market as a whole. if there are 100 competitive firms of the size represented by ac1, how much does an individual competitive firm produce?
'in the figures below, the first graph represents individual firms and the second the market as a whole. if there are 100 competitive firms of the size represented by ac1, 1.1m an individual competitive firm produces.
It makes similar products at all sellers. There are many buyers and sellers, each small compared to the market as a whole, or many potential sellers.
A perfect competitor is a price taker. That is, you must accept the equilibrium price at which you sell your goods. A perfectly competitive company will not sell if it tries to exceed the market price even a little.
A competitive firm is one that (1) has many buyers and sellers in the market. (2) Products offered by different sellers are almost identical. (3) Firms are generally free to enter and exit the market. 2. Figure 2 shows the cost curve for a typical company.
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which factor is least likely to add to the pressure for a firm to be locally responsive? multiple choice host-government demands differences in consumer tastes and preferences differences in infrastructure switching costs for consumers
Option d.) switching costs for consumers is the correct answer as consumer tastes and preferences, infrastructure, accepted business practices and distribution channels, and host government requirements create pressure on local capacity. At the very least, it could increase the pressure on companies to seek local responses.
Switching costs are the costs that consumers pay as a result of switching brands or products. Switching costs can be financial, psychological, effort-based, and time-based. Switching costs can be categorized into high switching costs and low switching costs.
To meet the pressure to go local, companies need to differentiate their products and marketing strategies by country to take into account these factors that tend to increase a company's cost structure.
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if the real exchange rate for coal is 1.5, the price of coal in the united states is $50 per ton, and the price of coal in britain is 20 british pounds per ton, what is the nominal exchange rate? a. 5/3 or 1.67 pounds per dollar b. 4/15 or 2.67 pounds per dollar c. 3/5 or 0.6 pounds per dollar d. 15/4 or 3.75 pounds per dollar
The nominal exchange rate is 3/5 based on the information provided. Hence, the correct option is (c.) 3/5 or 0.6 pounds per dollar.
What is a nominal exchange rate?The nominal exchange rate, or the price of one currency in terms of another, is well known to most people. It is generally stated as the foreign currency's domestic price.
Given:
Real exchange rate=1.5
Price(United state)=$50 per ton
Price(Britain)=20 pounds per ton
Hence:
1.5 = Nominal Exchange rate ×50/20
Nominal Exchange rate = 1.5 × 20/50
Nominal Exchange rate = 30/50
Nominal Exchange rate = 3/5
In conclusion, the nominal exchange rate is 3/5 or 0.6 pounds per dollar.
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lark's company has been operating for several years, contracting with the government to create solar arrays. in a recent election, the administration changed and several contracts for solar arrays were canceled. lark has been meeting with his staff to figure out how to adapt to the lack of funds and keep the business going. this is an example of .
Lark has been meeting with his staff to figure out how to adapt to the lack of funds and keep the business going. This is an example of punctuated equilibrium.
A well-known theoretical paradigm for explaining fundamental modifications in organizational activity patterns is the punctuated equilibrium model of organizational transition. According to the punctuated equilibrium model of development, organizations undergo relatively lengthy periods of stability (equilibrium periods) in their core activity patterns, which are then interspersed with brief bursts of major changes (revolutionary periods).
The model of change with punctuated equilibrium is nonlinear. Origins of this model can be found in the 1980s and 1990s. In actuality, the model originated in the fields of biology and anthropology even though it is used to map organizational changes and business strategy.
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discuss and name two actual standards numbers/descriptions required for the auto industry supply chain
Two actual standard numbers required for the auto industry supply chain are IATF 16949 and AEC-Q100.
Manufacturers must adhere to strict industry standards throughout the production and testing processes in order for a component to be certified for use in automobiles. IATF 16949, AEC-Q100, and AEC-Q200 are three important standards. The quality management system benchmark for the entire automotive industry.
The IATF 16949-certified facilities are typically expected to manufacture, assemble, and test parts for the automotive industry. The standard tests for active components, such as switches and power amplifiers, are defined by AEC-Q100.
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the supply of a good will be more elastic, the a. more the good is considered a luxury. b. broader is the definition of the market for the good. c. larger the number of close substitutes for the good. d. longer the time period being considered.
The correct answer is Option D.
The longer the time period under consideration, the more elastic the supply of a good will be.
What is supply of goods ?The following are included in a supply of goods: the agreement-based transfer of property rights over things. the commission-based sale of tangible things because of an auctioneer or dealer acting under his and her own name but following another person's instructions. delivery of items under a hire-purchase agreement.In general, supply refers to the complete amount of goods and services that such a producer is ready to provide at a specific price and location.Even as a profession, selling products or services counts as a supply under the GST. Therefore, the sale would represent supply even if a well-known politician created paintings for charities and sold them, even once.To learn more about supply of goods refer to :
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jane makes 1000 items a day. each day she spends 8 hours producing those items. if hired elsewhere she could have earned $250 an hour. the item sells for $15 each. production occurs seven days a week. if the explicit costs total $150,000 per month, what is her accounting profit?
If the explicit costs total $150,000 per month, the accounting profit is $300,000
Revenue equals 1000 items per day $15/item30days = $450,000.
Explicit costs are given as $150,000.
Therefore, accounting profit = $450,000-$150,000 = $300,000
What is Revenue?Yield is a term used to describe the profits made and realised on an investment over a specific time frame. Based on the amount invested, the security's current market value, or its face value, it is expressed as a percentage. Yield is made up of the interest or dividends that come with holding a specific security.
Revenue is the total amount of money made from the sale of products or services related to a business's core operations. Because it appears at the top of the income statement, revenue, also known as gross sales, is frequently called the "top line."
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pogrund vacation properties sells real estate in florida. pogrund requires potential buyers who are interested in a property to remit a $10,000 deposit to show good faith before receiving detailed information about a property. the deposit is fully refundable until a contract is signed. when a contract is signed, the buyer must make an additional deposit to bring the total deposit up to 10% of the purchase price. at that point, the entire deposit becomes nonrefundable. on december 31, 20x1, david corporation makes a good faith deposit of $10,000. david makes an additional $85,000 deposit on march 31, 20x2, when it signs a contract to purchase property from pogrund for $950,000, bringing its total deposit up to 10% of the purchase price. on june 30, 20x2, david corporation informs pogrund that it has decided to terminate the contract, as is its right, and will not complete the purchase of the property. under the terms of the contract, the entire deposit was nonrefundable and is retained by pogrund. required: what is the journal entry pogrund makes to record the receipt of the $10,000 good faith deposit on december 31, 20x1? what is the journal entry pogrund makes on march 31, 20x2, to record the receipt of an additional $85,000 from david corporation when it signs the contract? what is the journal entry pogrund makes on june 30, 20x2, when david notifies pogrund that it is terminating the contract?
The journal entry pogrund makes on June 30, 20x2 when David notifies pogrund that it is terminating the contract are:
Date Particulars Debit Credit
31-Dec-19 Cash 10,000.00
Deposit account 10,000.00
31-Mar-20 Cash 85,000.00
Deposit account 85,000.00
30-Jun-20 Deposit account 95,000.00
Profit and loss account 95,000.00
An agreement is a legally binding agreement between or more parties. As soon as signed, this contractual agreement creates a promise that sure rights and responsibilities can be fulfilled by way of every celebration. In essence, a promise is at the heart of every contract.
A well-drafted, written contract provides facts, and clarity, and protects parties' pastimes if problems get up down the road. The specifics of what the agreement covers can be identified (for instance through a scope of offerings clause or agenda of products), and each party's obligations and rights are expressly stated.
A successful settlement is defined as a contract that: gives you exceptional possible services at the most affordable price. Provides a means to manipulate the scope of offerings. Manages your commercial enterprise's operational and monetary dangers.
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samantha manages the marketing department for a large company and has just hired a new employee to run the company's cooperative advertising program. the most appropriate way for samantha to advise staff members that a new employee will be joining their team is by
During the weekly departmental meeting is the most opportune time for Samantha to annoucement staff members that a new employee will be joining their team.
In a nutshell, what is an announcement?A statement given to the public or to the media that provides information about something that has occurred or will occur is known as an announcement. After speaking with the President, Sir Robert made his announcement. Neither administration has made a formal announcement.
What is a message of announcement?An announcement email is a promotional communication distributed to inform recipients of a new development, revision, or change within your company. They are employed to publicize things like: The launch of a new product. a launch of a limited quantity.
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the cost-benefit-risk analysis is a set of practical procedures for guiding public expenditure decisions. used by the private sector to determine whether certain projects should be undertaken. difficult when benefits and costs are hard to evaluate. all of the above.
The cost-benefit-risk analysis is a set of practical procedures for guiding public expenditure decisions difficult when benefits and costs are hard to evaluate.
Comparing the anticipated or predicted costs and benefits (or opportunities) connected expenditure with a project choice in order to assess whether it makes sense from a business standpoint is known as a cost-benefit analysis. For instance: The cost to build a new product will be $100,000, and sales of $100,000 per unit are anticipated (unit price = 2). Therefore, 200,000 advantages are sold. The straightforward CBA calculation for this project is 200,000 in financial benefit minus 100,000 in cost, which results in a net benefit of 100,000.
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a project has an expected risky cash flow of $500 in years 1, 2 and 3. the risk-free rate is 4 percent, the expected market rate of return is 14 percent, and the project's beta is 1.20. (a) calculate the certainty equivalents cash flow for years 1, 2 and 3 (ceq). (b) what is the difference between the ceqs and the pvs of the year 1, 2, 3 risky cash flows?
a) $448.2759, $401.9025, and $360.3264 are the certainty equivalent cash flow from years 1 to 3.
b) $17.2414, $30.3210, and $39.9975 is the variation between the certainty equivalent cash flow and its present value.
Thus, the certainty equivalent cash flow is higher than its PV.
Define certainty equivalent cash flow.When a cash flow is received at present, which is more predictable than received in the future, is termed as the certainty equivalents cash flow. It is based on eliminating the risk premium and only concentrating on the risk-free cash flow. It is found by making adjustments to the present value of the cash flow using the risk-free rate.
a) Calculation of certainty equivalent cash flows:
The required rate of return = Risk-free rate + Beta (Market return - risk free return)
= (4% + 1.2 ₓ (14% - 4%) × 100
= 16%
So the required rate of return is 16%
The certainty equivalent cash flow is computed using the formula:
CEQ= CF/(1+r)ⁿ × (1+rf)ⁿ
Here,
CEQ stands for certainty equivalent cash flow,
CF for cash flow,
r for the required rate of return and
rf for a Risk-free rate
Year Cash flow certainty equivalent cash flow
((Cash flow/(1+16%)^year)×(1+4%)^year
1 $500 $448.2759
2 $500 $401.9025
3 $500 $360.3264
Hence the certainty equivalent cash flow years 1,2, and 3 are $448.2759, $401.9025, and $360.3264.
b) Difference between certainty equivalent cash flow and the present value:
Year Cash flow PV of certainty equivalent Variation in
cash flow cash flow cash flow
(n) (a) (b=a/(1+16%)^n) (c = a/(1+16%)^n)×(1+4&)^n (c-b)
1 $500 $431.0345 $448.2759 $17.2414
2 $500 $371.5815 $401.9025 $30.3210
3 $500 $320.3288 $360.3264 $39.9975
Thus the difference between certainty equivalent cash flow and the present value is $17.2414, $30.3210, and $39.9975 respectively.
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based on what you have learned and your own research can you provide examples of completion in the education market?
Geographic location also plays a role in competition. Schools in good areas will have more students or more wealthy students because parents prefer their children to study in their neighborhood.
In geography, location or place refer to a region on the Earth's surface or beyond. The term location often suggests a higher degree of certainty than place, the latter often signifying an entity with an uncertain boundary, relying more on human or social aspects of place identity and sense of place than on geometry. A locality, settlement, or populated location is likely to have a well-defined name, but a boundary that is not well defined fluctuates depending on context. London, for example, has a legal limit, but this is unlikely to be totally consistent with common usage. An area within a town, such as Covent Garden in London, nearly always contains some ambiguity regarding its extent.
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the most important concerns regarding the costs of fdi for the home (source) country generally center on:
The most important concerns regarding the costs of FDI for home-country center on balance-of-payments and the employment effects of outward FDI.
What is FDI?An entity with its headquarters in another nation makes an investment in another country in the form of controlling ownership stake in a company operating in first country. Consequently, a concept of direct control sets it apart from a foreign portfolio investment. The investment may be done "organically" by growing the operations of an existing business in the target nation, or "inorganically" by purchasing a company there. Neither method affects whether the investment qualifies as an FDI under the law. In a strict sense, foreign direct investment only refers to the construction of new facilities and a long-term management stake (10 percent or more of voting shares) in a company that operates in a different economy from the investor.
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aloha, inc., has 8 percent coupon bonds on the market that have 5 years left to maturity. if the ytm on these bonds is 10.12 percent, what is the current bond price?
The current bond price is N 5 x 2, I 10.12 / 2, PMT 40, FV 1000..... PV 918.39 having 8 percent coupon bonds on the market that have 5 years left to maturity.
What is bond price and what is the current bond price of aloha inc having 8 percent coupon bonds on the market?When a person willing to make a bond and a bond is made then the person needs to pay some amount for the bond.The price paid by the investors for the bond is what we call bond price and is expressed in terms of face value.Here the question is asked of if ytm on these bonds is 10.12 percent then what would be the current bond price.The answer would be the current bond price is N 5 x 2, I 10.12 / 2, PMT 40, FV 1000..... PV 918.39 having 8 percent coupon bonds on the market that have 5 years left to maturity.There is a specific way investors and the financial bond makers use to make bonds and for that is needed face value, ytm that is yield to maturity and number of periods till maturity.To know more about market visit:
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which is not an seo puzzle? group of answer choices extreme seo market cycles long-run underperformance negative market reaction on average upon seo announcements very costly to hire underwriters
It's best to choose option (B). Long-term performance issues are not an SEO conundrum.
Does SEO have a long-term outlook?The SEO (search engine optimization) procedure is a long-term investment because it takes time for any great investment to mature. If your business is spending money on traditional marketing initiatives, it is crucial to spend money on SEO and online advertising as well.
Which SEO strategy is the most effective over the long haul?Aligning your website's objectives with those of search engines is the greatest long-term SEO approach. Search engines strive to give users the best possible experience. Your website will be ranked first if it offers the best solution for the term.
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as spending increases, there will be upward pressure on the price of inputs including wages. as the cost of production rises, businesses start to increase prices as they attempt to produce more. this scenario best describes .
The scenario best describes Movement along the aggregate supply curve.
The movement of the supply curve is mostly caused by price. Businesses report better earnings as price levels rise in the short term. Their overall productivity level rises as a result. Production decreases as a result of losses caused by falling price levels. The aggregate demand curve will change as a result of price and other elements affecting the level of expenditure by consumers, governments, businesses, and foreigners.
Consumption is more likely to increase when consumers are more confident about avoiding unemployment, which moves the aggregate demand curve to the right. However, when consumers are unconfident, they spend less, which causes the AD curve to move to the left.
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10. a fedex sorting machine that cost $10,000 with a usual life of five years and a residual value of $2,000 was purchased on january 1. what is straight-line depreciation for each year?
When a fedex sort machine which cost $10,000 with a normal lifestyle of 5 years and a remaining balance of $2,000 was bought on January 1st, there was a $1,600 straight-line depreciation for every year.
What is the purchased Meaning?bought; purchasing. to get by the payment of money or its equivalent: transitive verb buy. : to attain (real estate) through methods apart from descent. : through toil, peril, or sacrifice.
What is purchased in account?"Actually bought on account" is a term that refers to any lending purchases. In order to improve payables, a business that pays other organization money for delivered goods or services will record the entire sum as a credit entry. The outstanding sum will remain in existence until the owing party receives complete payment.
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Suppose you are working with two factor portfolios, portfolio 1 and portfolio 2. The portfolios have expected returns of 15% and 6%, respectively. Based on this information, what would be the expected return on well-diversified portfolio A, if A has a beta of 0. 80 on the first factor and 0. 50 on the second factor? The risk-free rate is 3%
Using the CAPM multifactor model:
Expected return of the portfolio A = risk free rate Rf + beta 1 * ( expected return of portfolio 1 - risk free rate) + beta2* ( expected return of portfolio 2 - risk free rate)
= 3 + 0.8 * ( 15-3 ) + 0.5 * ( 6-3 )
= 14.1%
So, the expected return on well - diversified portfolio A is 14.1 %
What is CAPM multifactor model?
The Capital Asset Pricing Model (CAPM) describes the relationship between systematic risk, or the general perils of investing, and expected return for assets, particularly stocks.
It is a finance model that establishes a linear relationship between the required return on an investment and risk. The model is based on the relationship between an asset's beta, the risk-free rate (typically the Treasury bill rate), and the equity risk premium, or the expected return on the market minus the risk-free rate.
CAPM evolved as a way to measure this systematic risk. It is widely used throughout finance for pricing risky securities and generating expected returns for assets, given the risk of those assets and cost of capital.
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why would the consumption function (if extended) intersect the spending axis at a positive value? what does this mean? is it realistic?
The consumption function (if extended) intersect the spending axis at a positive value means it is increasing .
What is consumption function?
The link between total consumption and gross national income may be modeled using an economic formula called the consumption function, sometimes known as the Keynesian consumption function. The function was first proposed by British economist John Maynard Keynes, who claimed it could be used to monitor and foresee total aggregate consumer spending.
According to the traditional consumption function, income and changes in income are the only factors that affect consumer spending. If this is the case, aggregate savings should rise proportionately to the GDP's long-term growth. The objective is to establish a mathematical connection between consumer spending and disposable income, but only on an overall scale.
The stability of the consumption function, which is partly based on Keynes' Psychological Law of Consumption, is particularly noteworthy in light of the volatility of investment.
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which promotional element refers to a two-way flow of communication between a buyer and a seller and is designed to influence the buyer's purchase decision? multiple choice question. advertising sales promotion personal selling public relations
The promotional element that refers to a two-way flow of communication between the buyer of a good and the seller, is called personal selling.
How does personal selling work?Personal selling is a promotional element that is designed to help influence a person's decision to purchase a good or service. It works by the seller directly communicating with the buyer to convince them to make a purchase.
This means that personal selling requires a two - way flow of communication between the seller and the buyer. The seller cannot be the only one communicating in the hopes of reaching out to several buyers, but instead talks to a buyer at a time.
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suppose you are a manager of a firm that operates in a duopoly. recently, the state attorney general fined you and your competitor for price fixing. in your market, firms only set prices, not total quantities to sell. from previous experience, you know your competitor has a marginal cost of $1.98. further, your marginal costs are $1.96. the previous cartel price was $10.00, when you and your competitor were price fixing. what price level do you now choose to maximize profits?
Anytime there is price fixing between two competitors, if one choose to do so, it should be above his marginal cost and not beyond the other competitor's marginal cost (price).
If a competitor decides to set prices in a price war between two rivals, the price shouldn't exceed the other competitor's marginal cost (price) and should be higher than the other competitor's marginal cost (price). Given that there will be a $10 charge for price fixing (previous cartel price). The best price would then be below the competitor's price and above his marginal cost in order to maximize profit.
Thus, $2.33—above his marginal cost and below competitor price—would be the best price to maximize earnings. Since, a fine will be imposed for price fixing. The best price would then be below the competitor's price and above his marginal cost in order to maximize profit.
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indicate which of teh following statement is true or false and why, a wage rising slowee than the rate of inflation is actually falling
The following statement- a wage rising slower than the rate of inflation is actually falling is True.
A wage is a payment given to the employee for doing the assigned task in the company for a specific period of time. Wages are fixed on an hourly basis. The increase in the prices of services and goods in an economy is called inflation. Inflation gives the rate of increase of prices over a specific period of time. When wage growth rises, inflation also rises. When wage growth falls, inflation also falls.
Wage growth plays a key role in inflation. When companies pay their employees more wages, then the cost of goods and services rises causing inflation. The purchasing power of goods and services falls down when wages are rising slower than the rate of inflation. Hence, we can say that A wage rising slower than the rate of inflation is actually falling.
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What type of market competition is described in the following passage?
Local power plants are typically the sole providers of electricity in their communities, and thus have significant control over output and prices. This market structure is an example of a(n) ______
Since they are frequently the only sources of electricity in their localities, local power plants have a large amount of control over output and costs. This type of market arrangement is a monopoly.
What is Monopoly?
A scenario known as a monopoly occurs when one company or individual controls the supply of a good or service. A mopolisitic market structure results from the circumstances.
As the name suggests, a monopolistic market is one where one corporation dominates the whole industry. In other words, there is simply one business that caters to the general population.
Due to the company's status as the sole provider, it is able to increase prices, limit output, and make above-average profits.
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liz zackery just launched a firm in the sporting goods industry. on the day the company was launched, liz issued a press release, indicating that the vice president of new balance, a highly respected athletic shoe and sports apparel company, had agreed to serve on her board of directors. liz knows that such a high quality appointment will send an important message to her potential clientele. this phenomenon is referred to as .
Signaling is the phenomenon where Liz knows that such a high quality appointment will send an important message to her potential clientele.
What is Signaling?In contract theory, signaling refers to the notion that one party (the agent) knowingly and credibly communicates information about itself to another party. Since it was so intuitive, signaling theory has been applied to many other fields, including human resource management, business, and financial markets, even though it was initially developed by Michael Spence based on knowledge gaps between organizations and potential employees. According to Spence's job-market signaling model, obtaining educational credentials allows (potential) employees to communicate with employers about their level of skill. The fact that the employer thinks the credential is positively correlated with having greater ability and difficult for low ability employees to obtain gives the credential its informational value.
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chinese automaker, geely, acquired volvo from ford, because it mostly needed the volvo to compete on the global stage.
Chinese automaker, Greely, acquired Volvo from Ford, because it mostly needed the Volvo core competencies to compete on the global stage.
Which of the following accounts for failed mergers and acquisitions?Acquisitions and mergers are frequently time- and money-consuming. The high recovery costs are one of the primary causes of their failure. Successfully integrating two firms can frequently be challenging. As a result, the new business may need to invest in new systems and procedures, which could result in substantial recovery costs.
What dangers do vertical integration pose, excluding those listed below?Vertical integration carries all of the following hazards, WITH THE EXCEPTION of: a lack of command over important resources.
Is the purchase of another company through a stock purchase made with cash or with issuing debt?Acquisitions: When one company purchases another, it may do it with cash, stock, or debt. Mergers are when two businesses combine or consolidate to form a new legal entity.
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in a period of rising prices, management of a company that reports under ifrs is least likely to attempt to influence analysts' opinions of its financial results by:
A company's assets, liabilities, and shareholder equity are all listed on a balance sheet, which is a financial statement. One of the three fundamental financial statements used to evaluate a company is the balance sheet.
As of the publication date, it provides a snapshot of a company's finances, including what it owns and owes.
Why is it necessary for countries' accounting standards to become more comparable?Standards that are more comparable have the potential to make global capital markets more efficient and cut costs for both those who use financial statements and those who prepare them.
What is a balance sheet used for?You can get a snapshot of your company's financial situation at any given time from a balance sheet. A balance sheet, like an income statement and a cash flow statement, can be used by business owners to look at how their company is doing financially.
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if policymakers impose import restrictions on clothing, the u.s. trade deficit will shrink. a. true b. false
True. When restrictions are imposed, the quantity of imports will decrease, resulting in a smaller trade deficit (the sum of the total value of imports and exports).
What is it called when import restrictions are imposed?
A tariff is a tax a nation imposes on goods and services imported from another nation in order to influence that nation, generate revenue, or safeguard its competitive advantages.
How do trade restrictions affect things?
Free trade can be hindered, rich nations favored, product choices restricted, prices increased, net income decreased, employment decreased, and economic output decreased as a result of trade barriers. Due to the government's strong influence over the law, it is often used as a trade barrier.
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why is allowance for doubtful accounts credited, instead of accounts receivable, when recording the adjusting entry for bad debts? multiple choice question. allowance for doubtful accounts is not credited; accounts receivable is credited when recording the adjusting entry for bad debts. allowance for doubtful accounts is credited because if accounts receivable were credited, the assets would be overstated. allowance for doubtful accounts is credited because if accounts receivable were credited, the assets would be understated. accounts receivable consists of many customer accounts and thus cannot be credited unless it is known which specific customer is not going to pay.
The allowance for doubtful accounts credited, instead of accounts receivable when recording the adjusting entry for bad debts Because accounts receivable is made up of numerous client accounts, it cannot be credited unless it is known which particular customer will not pay.
The provision for questionable accounts is referred to as a "counter asset" since it reduces the value of an asset, in this example, the accounts receivable. The compensation, often known as a doubtful account, is management's projection of the amount of accounts receivable that customers will not pay. Let's assume, using the aforementioned example, that on June 30 a business reports an accounts receivable debit balance of $1,000,000. The business predicts that $50,000 will not be converted into cash and expects some consumers won't be able to pay the full amount.
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