Authority is closely associated with chain of command because it gives a manager the right to exercise their power in a given situation.
What is the role of a manager?Manages staff, plans, and evaluates departmental activities to meet departmental goals. maintains staff by brining in, appointing, onboarding, and training new hires. makes sure that the workplace is safe, secure, and lawful. develops opportunity for personal improvement.
What is a good manager definition?Managers who listen well develop their communication skills. They give others a chance to speak. They convey the organization's vision to their team members in a way that inspires them because they possess a clear understanding of it. They inform their colleagues on developments inside the company.
To know more about Manager visit:
https://brainly.com/question/29023210
#SPJ4
ana no longer makes out checks to her utility company because she has arranged for her monthly utility charge to be automatically debited from her bank account on the due date. ana is experiencing an example of automation known as .
Ana is experiencing an example of automation called customer-billing .
What is customer billing ?
The step-by-step procedure of requesting payment from clients through sending invoices is referred to as billing. The commercial document used by businesses to request payment and keep track of sales is an invoice.
An invoice explicitly contains the name of the thing a customer purchases, the product's cost and payment conditions, and the contact details for both the buyer and the seller.
How is customer billing useful ?
Client billing is the process of creating an invoice for the sales made to a client. For every company to manage cash flow and maintain a healthy financial position, billing is a crucial duty. Any business must have a good cash flow throughout the year. It's also advantageous when it comes time to paying taxes to the government because efficient billing streamlines the process, makes it quick and simple, and prevents time drain from creating and monitoring invoices.
to lean more about customer billing click :
https://brainly.com/question/1395653
#SPJ4
would an employer find benefit in using an understanding of crystallized and fluid intelligence in a hiring practice?
The employer's understanding of crystallized and fluid intelligence in a hiring practice would benefit him.
It uses both types of intelligence. If you've ever faced a new difficulty and solved it by looking back on an experience, your fluid and crystalline intelligence has combined to your advantage.
Fluid intelligence is the ability to recognize, assess, and respond to unfamiliar situations. The term "crystallized intelligence" refers to the capacity to recall learned information. Both bits of intelligence is necessary to solve challenges.
Both fluid intelligence and crystallized intelligence, despite their distinctions, are equally important and even related.
Learn more about fluid intelligence at
https://brainly.com/question/28459794?referrer=searchResults
#SPJ4
is it possible for the risk premium to be negative before an investment is undertaken? can the risk premium be negative after the fact? explain
When an investment yields a lower rate of return than a risk-free security, this is known as a negative risk premium.
What is risk premium?Risk is a factor in almost all investments to some extent. Due to the US Treasury Department's backing of US government securities, which still carry some resale risk, there is no default risk. This rate is therefore regarded as a risk-free rate of return on these investments.Investors who take on more risk typically expect a risk premium, or return above and beyond the risk-free rate. Any investment's risk premium is just the variation in return between the risk-free rate and the investment's return. Using historical data or forecasting future risk premiums, analysts can also study historical data using risk premium.To Learn more About risk premium refer to :
https://brainly.com/question/23969100
#SPJ4
the way that u.s. corporate boards of directors are presently structured, they have little influence on the unethical behavior of top management. a. true b. false
Given statement is True. Corporate governance is the mechanism by which companies are directed and controlled.
What is Corporate governance?Corporate governance is crucial because it establishes a set of guidelines and procedures that govern how an organization functions and how it balances the interests of all of its stakeholders. Financial viability is a result of ethical business practices, which are a result of good corporate governance. That may then draw investors.Accountability, transparency, fairness, responsibility, and risk management are the fundamental tenets of corporate governance.To ensure corporate accountability, corporate governance is built on a collection of rules, bylaws, policies, and procedures. When done properly, it creates a framework for achieving a company's goals across all managerial domains. Furthermore, it acknowledges the significance of shareholders.To Learn more About Corporate governance refer to :
https://brainly.com/question/13503182
#SPJ4
the central bank of foxystan has set the reserve requirement at 10%. if dave makes a cash deposit of $5000, and the bank carries zero excess reserves, by how much will the money supply increase?
If the required percentage of reserves is 10%, the money supply reserve multiplier is 10 and the required amount of reserves should be 10 times the money supply.
Why must the bank hold a reserve of only 10% of the money deposited?
The reserve requirement in foxystan has been established at 10% by the central bank.
In a system known as fractional reserve banking, only a portion of bank deposits are guaranteed by actual cash that is on hand and accessible for withdrawal. The idea behind this is to hypothetically boost the economy by making funds available for lending. In the past, the reserve rate has varied between 0% and 10% of bank deposits. The bare minimum of cash that banks must hold on hand in case of unforeseen demand is known as a bank reserve. The additional funds that a bank maintains on hand but chooses not to loan out are known as excess reserves.
Learn more about reserve requirement
https://brainly.com/question/13758092
#SPJ4
which type of ethical responsibilities offers a model of corporate social responsibility that encourages all businesses to integrate ethical goals into their mission?
Ethical responsibilities related to sustainability offers a model of corporate social responsibility that encourages all businesses to integrate ethical goals into their mission.
What exactly does corporate social responsibility mean?The concept of corporate social responsibility (CSR) holds that businesses should give back to the community and take into account how their actions will affect the environment and the general public.
What are the CSR's benefits and drawbacks?A CSR policy increases the value and profitability of the business. Recycling garbage and implementing energy efficiency measures lower operating expenses and are environmentally friendly. CSR also promotes a company's accountability and openness with the media, shareholders, local communities, and financial analysts.
To know more about corporate social responsibility visit:
https://brainly.com/question/13528806
#SPJ4
if a borrower pays less than the required monthly amount on a mortgage loan, the borrower will be in default and the loan will have negative amortization if the amount actually paid that month is:
The loan amount actually increases if the borrower pays less than required .
What is negative amortization ?
In the world of finance, negative amortization happens if the monthly loan payment is less than the interest accrued during that time.
Defaulting on a loan's interest payments results in a rise in the principal sum, which is referred to in finance as "negative amortization." A loan with a negative amortization schedule adds unpaid interest to the outstanding principal sum.
Many mortgage packages fall victim to negative amortizations.
Negative amortization might provide borrowers more choice, but it can also expose them to additional interest rate risk.
to learn more about negative amortization click :
https://brainly.com/question/15579486
#SPJ4
you expect to receive $3,400 upon your graduation and will invest your windfall at an interest rate of .49 percent per quarter until the account is worth $4,975. how many years do you have to wait until you reach your target account value?
19.47 years you have to wait until you reach your target account value .
FV = PV x (1 + r)n
$4,975 = $3,400 x 1.0049n
$4,975 / $3,400 = 1.0049n
1.4632 = 1.0049n
ln[1.4632] = n[ln(1.0049)]
0.3806 = n[0.0049]
n = 0.3806 / 0.0049 = 77.87 quarters
Years to wait = 77.87 / 4 = 19.47 years
What Is Present Value (PV) ?
A future sum of money or stream of cash flows' present value (PV), assuming a particular rate of return, is their current value. The discount rate determines the current value of future cash flows; the greater the discount rate, the lower the present value of the future cash flows. The key to correctly valuing future cash flows, whether they be earnings or debt obligations, is determining the right discount rate.
The idea of present value holds that money today is worth more than it will be in the future. In other words, money received in the future is not as valuable as money obtained now in the same amount.
To learn more about present value checkout the link below :
https://brainly.com/question/20813161
#SPJ4
maria is the treasurer of rex caldwell corporations. as treasurer, she makes out and signs the payroll checks for the company. maria draws a payroll check payable to the order of her maid carolyn doss, who does not work for the company. maria does not intend carolyn to receive this money. she indorses carolyn's name on the check and names herself as the indorsee. she cashes the check at a liquor store. under which rule of forged instruments is maria accountable?
The fictitious payee rule of forged instruments makes Maria accountable in situations where she endorses Carolyn's name on the check and names herself as the endorsee and she cashes the check at a liquor store
The fictitious payee rule is a principle of commercial law in which one is not chartered or is not authorized. The drawer or maker according to the fictitious payee rule is responsible for indorsement which is fake and forged and unauthorized, if the person signing as or on behalf of a drawer or maker intends the named payee to have no interest in the instrument or when the person identified as the payee is a fabricated person. Hence the person who draws the check is not liable for a document that is false or unauthorized. Sometimes also known in different textbooks as the padded-payroll rule. The rule was introduced with the intent to place the loss on the drawer instead of the drawee as the drawer plays an important role in avoiding authority.
To learn more about accounts and their rules,
https://brainly.com/question/22917325
#SPJ4
those who disclaim liability and are not secondarily liable on instruments they endorse are referred to as . group of answer choices unqualified indorsers accommodation parties qualified indorsers agents
Unqualified indorsers are those who disclaim liability and are not secondarily liable for the instruments they endorse.
Unqualified is an American advice podcast hosted by actress Anna Faris that features interviews with celebrities and cultural figures, followed by personal phone calls from listeners seeking relationship and other advice. Until 2019, it was co-hosted by Faris' producer Sim Sarna. Faris released a memoir with the same title as the podcast in 2017.
The second half of the show had Faris and former producer Sim Sarna, as well as the guest, making a phone call to a listener who is having a romantic or personal problem and wants "unqualified" counsel. Since her departure, this segment has been mostly carried out by Anna and guests.
Learn more about indorsement here:
https://brainly.com/question/17406414
#SPJ4
the recent batch contained 4,000 platters and 1,000 cups. tsc sold the platters for $100,000 and the cups for $12,000. if relative market value is used to allocate the joint cost, what is the income earned for cups?
If relative market value is used to allocate the joint cost, $1,000 is the income earned for cups.
What is Cost ?Cost is the value which is spent to manufacture a product or to render any service. There are two types of costs which are fixed cost and variable cost.
What is Fixed Cost ?Fixed cost is defined as the cost which remains the exact same, disregarding the decrease or increase in the value of goods or any services supply. It is the cost which is rewarded by the company that is not dependent on activities which are concerned with the business.
What is a variable cost ?Variable cost is defined as the cost that changes according to the output given by any service supply. It is the cost which is rewarded by the company that depends on the activities which are concerned with the business.
Decrease income = Actual Sales - Remaining cost
= $12,000 - $2,000
= $10,000
Joint cost = (Material cost + Labor cost)/ (Total sales) × Sales of cups
= [($40,000 + $ 44,000)/($100,000 + $12,000) ] × $12,000
= $ 9,000
Income earned for cups = Sales − Remixingcost − Joint cost
=$12,000−$2,000−$9,000
=$1,000
Learn more about the Cost here: https://brainly.com/question/19104371
#SPJ4
NOTE: The given question is incomplete on the portal. Here is the complete question.
QUESTION: The Silver Center (TSC) produces cups and platters. TSC purchases silver and other metals that are processed into silver alloy that is used to make platters and cups. TSC incurred $40,000 of materials cost and $44,000 of labor cost to produce the silver alloy. Platters are made first and the residual alloy is remixed into a lower grade silver plated material that is used to make the cups. Remixing costs $2,000. The recent batch contained 4,000 platters and 1,000 cups. TSC sold the platters for $100,000 and the cups for $12,000. Assume number of units is used as the base to allocate the joint cost. Based on this information
the Company's total income will decrease by $12,000 if it stops making and selling cups.
the Company's total income will increase by$6,800 if it stops making and selling cups.
the Company's total income will increase by 4,800 if it stops making and selling cups.
the Company's total income will decrease by $10,000 if it stops making and selling cups.
If relative market value is used to allocate the joint cost, what is the income earned for cups?
the case describes approaches tek follows to minimize its international tax liability. based on your reading of the chapter, how would you advise tek management to reduce its taxes around the world further?
The taxes can be reduced by General Strategies, Foreign Affiliates, Transfer Pricing, and Repatriating Profits.
What are the different ways to minimize international tax?A business in a high-tax nation can lower its overall tax burden by keeping operations at home while operating highly profitable activities outside countries with lower taxes. The mother firm must be sure to establish a totally independent corporation that will be taxed as a local company when establishing a foreign company in a low-tax jurisdiction. At the same time, the mother business must maintain control over the new corporation and guarantee its funding without transferring any funds that may have been subject to taxation in the past or may be subject to taxation in the future.Allowing a foreign operation in a low-tax jurisdiction to make goods that are then sold back to the mother company for sale in the domestic market is one of the finest methods for a business to lower its global tax responsibilities.To learn more about international tax refer to:
brainly.com/question/28015553
#SPJ4
the allowance method of estimating uncollectible accounts receivable based on an analysis of receivables shows that $877 of accounts receivable are uncollectible. allowance for doubtful accounts has a debit balance of $174. the adjusting entry at the end of the year will include a credit to allowance for doubtful accounts in the amount of
The receivable balance in each of the aging categories is multiplied by a reserve rate to determine the allowance for uncollectible accounts (see table below). Older receivables have a greater reserve rate since there is a lower likelihood that they will be recovered.
Which two techniques are used to estimate the provision for uncollectible receivables?The two most popular methods for estimating uncollectible accounts are the accounts receivable aging approach and the percentage of sales method.
How does writing down uncollectible accounts receivables when utilizing the allowance approach effect the accounts on the?According to the allowance approach, a written-off account will cause the allowance for doubtful accounts to increase and the net accounts receivable to fall. The net accounts receivable will therefore stay the same.
To Know more about receivables
https://brainly.com/question/29306481
#SPJ4
nventory records for dunbar incorporated revealed the following: date transaction number of units unit cost apr. 1 beginning inventory 490 $ 2.40 apr. 20 purchase 370 2.68 dunbar sold 610 units of inventory during the month. ending inventory assuming fifo would be: (do not round your intermediate calculations. round your answer to the nearest dollar amount.)
Inventory records for Dunbar incorporated revealed the following: date transaction number of units unit cost Apr. 1 beginning inventory 490 $ 2.40 apr. 20 purchase 370 2.68 Dunbar sold 610 units of inventory during the month. ending inventory assuming FIFO would be $500.
The thought of inventory, stock, or work in process (or add progress) has been extended from manufacturing systems to service businesses and projects, by generalizing the definition to be "all work among the method of production - all work that's or has occurred before the completion of production".
within the context of a producing production system, inventory refers to all or any work that has occurred – raw materials, partly finished products, and finished products prior to sale, and departure from the manufacturing system. within the context of services, inventory refers to all work done prior to sale, as well as partially process information.
Learn more about Inventory here
https://brainly.com/question/24868116
#SPJ4
a borrower has a 30-year, $500,000 loan with an interest rate of 6.25%. his monthly principal and interest payment is $3,078.59. what's the total amount he'll pay over the life of the loan?
The total amount of interest over the period of 30 years = $1,108,292.40
Mortgage payments are divided into two parts. The principal is the loan amount, and the interest is the monthly fee charged by the lender on top of the principal.
Because of a process known as amortization, your monthly payment is consistent with fixed-rate mortgages.
Your monthly payment may include other expenses such as mortgage insurance premiums and taxes held in escrow in addition to the principal and interest paid to the lender.
Monthly Principal = $3,078.59
Yearly Principal = $3,078.59 x 12
Yearly Principal = $36,943.08
Years of Interest= 30
The total amount of interest over the period of 30 years = $36,943.08 x 30
The total amount of interest over the period of 30 years = $1,108,292.40
To learn more about total amount of interest, please refer:
https://brainly.com/question/14089969
#SPJ4
when a global firm turns to its subsidiaries in less-developed markets for new product ideas, the firm is engaged in
when a global firm turns to its subsidiaries in less-developed markets for new product ideas, the firm is engaged in reverse innovation.
A company that is owned or controlled by another company, known as the parent company or holding company, is referred to as a subsidiary, subsidiary company, or daughter company. A parent or holding company's subsidiary is a business that it owns or manages. Typically, the parent firm will hold a majority of the shares in the subsidiary company. The parent company now has the majority ownership of the subsidiary. Being the dominant shareholder is sometimes enough to gain control. In the business world, a subsidiary is a business that is a part of another business, also known as the parent company or holding company. With a controlling interest in a subsidiary business, the parent owns or manages more than 50% of the stock.
Learn more about subsidiary here:
https://brainly.com/question/18652891
#SPJ4
which of the following events shifts the short-run aggregate-supply curve to the right? a. an increase in government spending on military equipment b. an increase in price expectations c. a drop in oil prices d. a decrease in the money supply e. none of the above
A drop in oil prices shifts the short-run aggregate-supply curve to the right. Due to drop of oil price this raised.
The spot price of a barrel (159 liters) of benchmark crude oil—a reference price for buyers and sellers of crude oil such as West Texas Intermediate (WTI), Brent Crude, Dubai Crude, OPEC Reference Basket, Tapis crude, Bonny Light, Urals oil, Isthmus, and Western Canadian Select. Oil prices are determined by global supply and demand, not by the volume of domestic production in any given country.
During the nineteenth and early twentieth centuries, the worldwide price of crude oil was largely stable. This changed in the 1970s, when the worldwide price of oil rose dramatically.
Learn more about curve here
https://brainly.com/question/28793630
#SPJ4
a car dealer will sell you a used car for $6,598 with $798 down and payments of $161.51 per month for 48 months. what is the simple interest rate?
7.4% is the simple interest rate for a car with $6,598 as price, $161.51 as monthly installments and $798 as the down payment for 48 months.
What is simple interest?Simple interest is a method of calculating interest that ignores the impact of compounding. While compound interest frequently compounds throughout the course of a loan's set periods, simple interest does not. Simple interest is calculated by multiplying the principal amount by the interest rate, the number of periods (time) and then divided by 100.
"The period must be expressed in terms of the rate's temporal range. The number of periods must also be given in years if, for instance, the interest is expressed as a yearly rate, such as in a loan with a 5% annual interest rate. Be aware that basis points (BPS) may occasionally be used to describe changes in interest rates.
To solve the question :
Given,
Actual price of the car =$6,598
Monthly installments = $161.51
Down payment for the car = $798.
Duration of installments = 48 months.
In order to calculate the total amount that has to be paid for the car :
= Down payment +( Duration of installments × Monthly installment)
= $798 + (48 months × $161.51)
= $798 + 7752.48
= $8550.48
The extra amount paid is counted under the interest of the car.
Thus,
Interest = (Total amount to be paid for the car - Actual price)
= $8,550.48 - $6,598
= $1,952.48
Now, to find the rate :
P=$6598,
R = R,
Time= 48 months that is 4 years, and
Interest = $1,952.48
I = P × R × T/ 100
1952.48 = $6598 × R × 4/ 100
1952.48 = $26392 × R / 100
R = 100 × (1952.48/ $26392 )
= 7.4%
Thus, 7.4% is the simple interest rate.
To know more about simple interest, visit :
https://brainly.com/question/25845758
#SPJ4
what is the basic shortcoming of most ratios and rules of thumb used in commercial real estate investment decisions as compared to a discounted cashflow model?
Most ratios and general rules of thumb have the significant flaw of ignoring cash inflows and outflows that are likely to happen beyond the first year of operations.
What is mean by cash inflows and outflows ?Every source of income that your business receives as a result of its operations is referred to as cash inflow. This includes all profit-generating methods. All debts, obligations, and operating expenses are included in the term "cash outflow"—that is, any money that leaves your company.Cash inflow examples include consumer payments, investment returns, and interest you receive on debts you have made to another firm.The following are some examples of cash outflows: payments made to settle debt, such as bank loans. monetary resources utilized to buy any fixed assets. the distribution of dividends to shareholders. Paid to employees are salaries and wages.To learn more cash inflows refer to:
https://brainly.com/question/10922478
#SPJ4
the forecasting method that pools the opinions of high-level executives, often in a round-table group discussion, is called
The forecasting method that pools the opinions of high-level executives (such as experts or managers), often in a round-table group discussion, is called the jury of executive opinion.
The jury of executive opinion is a method of forecasting using a composite forecast made by a group of individual experts. The experts form their own opinions and view initially from the data given and revise their opinions and view according to the opinions of others. Finally, the final opinions of individuals are combined. The jury of executive opinion is one of the frequently used and the most familiar of all forecasting techniques which is based on qualitative sales forecasting.
You can leran more about jury of executive opinion at
https://brainly.com/question/15047845
#SPJ4
A company has just purchased a new delivery van. Now it is trying to decide whether to sell its old delivery van or donate it to a non-profit organization that delivers meals to the elderly. In estimating the incremental free cash flows for this decision, for which of the following should we adjust? Do not include factors that are only indirectly used to calculate other factors – only choose factors that should be directly considered, for their own sake, in the cash flow calculations (rather than in the calculation of another factor). For this particular problem, circle the letters of all of the answers that apply (i.e., you may choose to circle more than just one answer). a. The cost of the new van. b. The interest expense on the loan to buy the new van. c. Any reputation effect/goodwill resulting from donating the van to a worthy charity. d. The price that the company originally paid for the old van. e. The book value of the old van. f. The tax effect of donating the old van. g. The current market value of the old van. h. The tax effect of selling the old van.
A company has simply purchased a brand-new shipping van. Now it is attempting to decide whether to promote its antique transport van or donate it to a non-profit organization that provides food to the elderly. C. Any reputation impact/goodwill as a consequence of donating the van to a worthy charity.
Company is a musical with tracks and lyrics by Stephen Sondheim and an e-book by George Furth. The authentic 1970 manufacturing changed into being nominated for a document-placing 14 Tony Awards, prevailing six. the organization was written in a fashion without a chronological linear path.
A corporation is a prison entity formed through a set of individuals to engage in and operate an enterprise—commercial or business—agency. A business enterprise can be organized in diverse methods for tax and economic legal responsibility purposes depending on the corporate regulation of its jurisdiction. There are three not-unusual varieties of businesses—sole proprietorship, partnership, and corporation—and each comes with its very own set of benefits and downsides.
Learn more about Company here:
https://brainly.com/question/25818989
#SPJ4
using the cut-and-try method for aggregate operations planning, we can calculate the ending inventory and then calculate the safety stock as a percent of forecast demand. suppose that the beginning inventory is 300, the production requirement in units of product is 1,350, and demand forecast is 1,500. what is the ending inventory and percent safety stock? multiple choice 150 and 20% 450 and 30% 200 and 10% 150 and 10% 300 and 20%
Here ending inventory is 150 and percent safety stock is 10%.
What is a protection stock inventory?Safety inventory is an more volume of a product which is saved in the warehouse to stop an out-of-stock situation. It serves as insurance plan against fluctuations in demand.
Does adding protection inventory extend general inventory?Keeping greater stock will increase inventory protecting costs, however having too little inventory can lower revenues and bad Yelp opinions from sad customers. Forecasting purchaser demand for products is appropriate for inventory management, but safety inventory is the buffer if those forecasts are wrong.
Learn more about safety stock inventory here:
https://brainly.com/question/15319354#SPJ4the debt coverage ratio is used to indicate how much the noi can decline before it will not cover the debt service on the property. lenders usually seek a minimum dcr of
The debt coverage ratio is used to show the NOI can drop before it stops paying the property's debts. Typically, lenders look for a minimum DCR of 1.20.
The ratio of operational revenue available for debt servicing for interest, principal, and lease payments is called the debt service coverage ratio (DSCR), also referred to as the "debt coverage ratio" (DCR). It is a widely used yardstick for evaluating how well-equipped a person or business is to generate enough cash flow to pay off its debt (including lease) obligations.
The easier it is to get a loan, the greater this ratio is. The expression can be used to represent a minimal ratio that is acceptable to a lender or a loan requirement in commercial banking. In some situations, breaking a DSCR covenant qualifies as a default.
In general, it is calculated by:
DSCR = Net Operating Income/Debt Service
To learn more about the Debt coverage ratio visit here:
brainly.com/question/18721979
#SPJ4
a disadvantage of the corporate form of ownership is when profits are taxed at the corporate rate and at the individual rate and this is referred to as .
Double taxation, which occurs when profits are taxed at both the corporate and individual rates, is a drawback of the corporate form of ownership.
What is corporate form? By setting up a company in corporate form, a firm can operate independently of its owners. And in many states, a corporation with a corporate form of business may be run by one or more people.The double taxation of distribution revenues and dividends to shareholders is the main drawback of the corporation form. Limited liability, ease of transferability, the capacity to raise capital, limitless life, and other benefits are just a few.This article is for business owners who are attempting to decide on their corporate structure and whether it is advantageous for them to do so.To learn more about corporate form refer to:
https://brainly.com/question/1167298
#SPJ4
what is the repricing gap if the planning period is 30 days? 3 months? 2 years? recall that cash is a non interest-earning asset. what is the impact over the next 30 days on net interest income if interest rates increase 50 basis points? decrease 75 basis points? the following one-year runoffs are expected: $10 million for two-year business loans and $20 million for eight-year mortgage loans. what is the one-year repricing gap? if runoffs are considered, what is the effect on net interest income at year-end if interest rates increase 50 basis points? decrease 75 basis points?
$55 million for two years, $20 million for three months, and $95 million for thirty days.
What does a repricing gap mean?The repricing gap is a measurement of the difference between the dollar value of assets that will reprice and the dollar value of liabilities that will reprice during a given time period, where reprice refers to the possibility of receiving a new interest rate.
The window of time during which repricing is possible is represented by rate sensitivity. Rate-sensitive assets are those that will mature or be revalued within a certain time frame. Liabilities that are rate-sensitive are those with a set maturity date or new pricing.
Calculation:
Using a 30-day planning window, we have the following:
$75 - $170 = -$95 million.
Using a three-month planning horizon, we have:
($75 + $75) - $170 = -$20 million.
Reprising the gap using a 2-year planning period, we have;
($75 + $75 + $50 + $25) - $170 = +$55 million.
b) the impact over the next 30 days on net interest income varies. We'll use (i) in the event that net income rises by 50 basis points.
ii) when net income decreases by 75 basis points.
if the impact over the next 30 days on net interest income increases by 50 basis points, we would have that net interest income will decrease by $475,000, see below:
ΔNII = CGAP(ΔR) = -$95m.(0.005) = -$0.475m
If the impact over the next 30 days on net interest income decreased by 75 basis points, net interest income will increase by $712,500. This is because:
ΔNII = CGAP(ΔR) = -$95m.(-0.0075) = $0.7125m
Learn more about the repricing gap with the help of the given link:
brainly.com/question/15648026
#SPJ4
monetary policy is a means of popping a bubble because monetary policy push down the price of specific commodities.
Monetary policy is a crude means of popping a bubble, because monetary policy can't push down the price of specific commodities.
Quiz: How does monetary policy impact the market?By altering interest rates, monetary policy indirectly affects aggregate demand by affecting consumer and investor behavior.
What factors influence asset prices when a bubble forms?Asset values are influenced by changes in market psychology and subsequent waves of irrational exuberance when a "bubble" develops.
Why can't monetary policy completely counteract a negative supply shock?The Fed lacks any instruments to boost an economy following a bad supply shock. In response to a bad supply shock, Fed action will result in deflation. Action by the Fed to counter a supply shock will result in higher unemployment.
To Know more about crude
https://brainly.com/question/13548109
#SPJ4
Which characteristic does monopolistic competition not have in common with perfect competition?.
Monopolistic competition and perfect competition do not share the distinct products of separate enterprises.
Monopolistic Competition: What Is It?Monopolistic competition arises when numerous companies offer competing products or services that are similar but not perfect substitutes. The obstacles to entry are low in a monopolistic competitive industry, and the decisions of any one firm have no direct impact on its competitors.
Pricing and marketing techniques aid in differentiating competing firms. Between a monopoly and perfect competition, monopolistic competition exists, combining features of both and including firms with comparable, but not identical, product offerings.
Restaurants, hair salons, home goods, and apparel are examples of businesses with monopolistic competition. Many competing businesses sell, advertise, and price products like dish soap and hamburgers.
Learn more about monopolistic competition with the help of the given link:
brainly.com/question/29407851
#SPJ4
while acme lawn mowers makes a profit on all of its products, it sells mowers to retailers at different prices, depending on whether they are independent stores or members of a national chain. it uses:
Acme Lawn Mowers uses price discrimination to make profit by selling mowers to retailers at different prices, depending on whether they are independent stores or members of a national chain.
Write a short note on price discrimination.Price discrimination is a microeconomic pricing strategy when a single provider provides identical or very comparable goods or services in many markets at various rates. Product differentiation differs from price discrimination because of the larger difference in production costs for the variously priced products involved.
The variety in customers' willingness to pay and the elasticity of their demand are the main factors that determine price differentiation. For price discrimination to be effective, a corporation must have market power, which might take the form of a dominant market share, a unique product, exclusive pricing power, etc. All prices that are subject to price discrimination in a market with perfect competition are higher than the equilibrium price.
To know more about, Price discrimination, visit :
https://brainly.com/question/13073148
#SPJ4
Gemini group ordered motor tune ups and oil changes on their entire fleet of company vehicles in the third quarter. How should this expense be recorded?.
Gemini group ordered motor tune ups and oil changes on their entire fleet of company vehicles in the third quarter, the expense be recorded as a Revenue Expenditure.
Revenue Expenditure refers to short-term business expenses that are usually incurred immediately or within one year including all the expenses that are warranted to satisfy the current operational costs of the business. These expenditures are incurred during normal business operation by the company and the benefits are received in the same period. The examples of revenue expenditure include rent expenses, utility expenses, salary expenses, insurance expenses, commission expenses, manufacturing expenses, etc. They are essentially the same as operating expenses. As Gemini group carry out motor tune ups and oil changes on their entire fleet of company vehicles in third quarter, these are revenue expenditures as they are needed for operation.
Learn more about Revenue Expenditure:
https://brainly.com/question/14697297
#SPJ4
to find the average of the total cost of orders from rex technologies, what excel formula should be used in a12?
Assuming that the total cost values of orders from Rex Technologies is in column A and that the average is to be calculated in cell A12, the following formula could be used in excel :
=AVERAGE(A1:A11)
This function will take all of the cost values from the orders and find the arithmetic mean. The syntax for this function is as follows:
=AVERAGE(number1,number2,…)
In this case, the numbers would be replaced with the cells containing the cost values for each order. For example, if the cost values were in cells A1 through A10, the function would be written as follows:
=AVERAGE(A1:A10)
Once the function is entered, the average cost values of the orders will be displayed in the cell where the function was entered.
Learn more about syntax at : https://brainly.com/question/28182020
#SPJ4
