When direct materials are requisitioned, they flow directly into cost of goods sold .Direct materials' costs are transferred into the Materials Inventory account when they are delivered to a facility that employs conventional costing techniques.
The costs of the direct materials then transfer into the Work in Process Inventory account when they are requisitioned for production. For the financial period, add up the values of the initial raw material inventories and purchases. The value of the final raw materials inventory should then be subtracted. The costing of the direct material will be returned. The raw materials inventory accounts are credited and the work in process account is debited in the journal entry for direct materials, or resources that can be directly linked to products.
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if an individual redeems a u.s. 10 years savings bond for currency a. m1 stays the same and m2 stays the same. b. m1 stays the same and m2 decreases. c. m1 increases and m2 increases. d. m1 increases and m2 stays the same.
M1 rises, and M2 rises as well. Commodity money will probably be used before paper money when the payment system transitions from a barter system to a monetary system.
Specialization falls off. Exports will cost more and imports will cost less in the goods market if the domestic currency experiences a positive shock to its exchange rate (an unexpected appreciation). Due to competition from overseas markets, domestic product demand will decline, resulting in a fall in domestic output and price. 2.M1 money consists of tangible forms of payment such as coins, checks, demand deposits, and other checkable deposits. All highly liquid or easily convertible forms of money are included in M1. Any financial assets, such as bonds and savings accounts, are not included. M2 money consists of time deposits.
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How does an airline report the money you pay when you have purchased a plane ticket, but have not yet taken the flight? Select an answer: A. as realized revenue B. as revenue C. as deferred revenue D. as unearned revenue
An airline report the money you pay when you have purchased a plane ticket, but have not yet taken the flight that revenue is recognized as a deferred revenue. The correct option is C.
Deferred revenue, commonly referred to as unearned revenue or client deposits, shows advance payments for products or services that have not yet been provided that a business has received. In the instance of an airline, the airline obtains cash in advance for the flight that will be provided at a later period when you buy a plane ticket.
Thus, the ideal selection is option C.
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consider a portfolio that offers an expected rate of return of 12% and a standard deviation of 18%. t-bills offer a risk-free 7% rate of return. what is the maximum level of risk aversion for which the risky portfolio is still preferred to bills?
For the riskier portfolio to be favored over bills, A must be lower than 3.09.
The utility level for T-bills is 0.07 when we calculate utility using U = E(r) - 0.5A2.
U = 0.12 - 0.5 A is the utility level for the risky portfolio (0.18)
2 = 0.12 - 0.0162 × A
The following conditions must exist for the hazardous portfolio to be preferred to bills:
For the hazardous portfolio to be favored over bills, A must be less than 3.09 and greater than 0.12 - 0.0162A > 0.07 A 0.05/0.0162 = 3.09. A low-risk portfolio, according to the majority of publications, should contain 15% to 40% stocks. A medium risk ranges from 40% to 60%. 70% and above are often the threshold for high risk. In each case, the remaining assets in the portfolio are made up of lower-risk asset classes such bonds, money market funds, property funds, and cash.
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Will the fact that more and more doctors are selling their practices to managed care networks increase the efficiency of medical providers?
Macroeconomic
Microeconomic
Yes, the fact that more and more doctors are selling their practices to managed care networks can increase the efficiency of medical providers.
Managed care networks provide doctors with a larger range of resources, allowing them to access more specialized services and equipment. This can improve the quality of care and reduce wait times for patients. In addition, managed care networks often have more efficient systems for billing and managing finances, which can reduce costs for both patients and providers.
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How many cte career clusters are offered in mississippi?
Career Routes. Agriculture, food, and natural resources is one of the 14 career clusters into which Mississippi divides its secondary CTE programmes.
The National Career Clusters® Framework organises the curriculum development, instruction, and Career Technical Education (CTE) programmes. In order to guide learners toward higher success in college and the workplace, the National Career Clusters Framework includes 16 Career Clusters, which collectively comprise 79 Career Pathways. The framework can be used to build programmes of study that link secondary and postsecondary education systems as well as to create individualised study plans for students that cover all possible career paths.
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If Rose is preparing an income statement with $7,000 in owner's equity, what should she record as her total revenue?
Expenses = $10,000
Net Income = $112,000
Rose should record $122,000 as her total revenue.
The Income Statement is a financial statement that records a company's financial performance over a specific period of time, typically a month or a year. The goal of the Income Statement is to determine the company's net income or net loss.
To prepare an Income Statement, Rose should first record her Total Revenue. This is the amount of money she received from selling her products or services. Total Revenue is calculated by adding the Net Income to the Total Expenses.
In this case, Rose has $10,000 in Total Expenses and $112,000 in Net Income, so her Total Revenue would be:
Total Revenue = Total Expenses + Net Income
Total Revenue = $10,000 + $112,000
Total Revenue = $122,000
So, Rose should record $122,000 as her Total Revenue in the Income Statement.
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Which of the following characteristics would not lead to success as an entrepreneur?
a. Inspiring others to believe in your vision b. Developing a plan before beginning a project c. Accomplishing a goal despite facing obstacles d. Depending on others to help you complete tasks
Depending on others to help you complete tasks would not lead to success as an entrepreneur.
Three Men in a Boat's many diverse attempts to open the tin serve to further the idea that cooperation is the key to success.
The subject is one that discusses the randomization of nature. The men, identified as Jerome K. Jerome, J., Harris, and George, were allegedly Three Men in a Boat. They were said to have shared the straightforward objective of taking a boat up the Thames in order to maintain or regain their health and well-being. Therefore, Three Men in a Boat's several attempts to open the tin in various ways contribute to the development of the concept that, with enough effort, collaboration can result in success. They intend to accomplish their long-term goals within the following several months or years. In this article, it is demonstrated with examples how to use long-term aims to achieve major things over time.
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refer to figure 16-5. given this firm's cost curves, if the firm were perfectly competitive rather than monopolistically competitive, then in a long-run equilibrium it would produce a. more than 133.33 units of output. b. less than 100 units of output. c. between 100 and 133.33 units of output. d. 133.33 units of output.
The answer is b. less than 100 units of output.The cost curves in figure 16-5, the monopolistically competitive firm would produce at a point where marginal cost (MC) intersects marginal revenue (MR), which is at approximately 133.33 units of output.
What is perfect competitive market?Perfect competition occurs when all businesses sell the same goods, market share has no bearing on prices, businesses can enter or quit the market without any obstacles, consumers have complete or perfect information, and businesses are unable to set prices.
In a perfectly competitive market, the long-run equilibrium is achieved where price equals the minimum average total cost (ATC), which is at a lower output level (i.e., less than 100 units of output).
Thus, the answer is b. less than 100 units of output.
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most sbus simultaneously pursue different competitive strategies across all product-markets in which they compete.
Most SBUs do not pursue various competitive strategies across all of the product markets they compete in. The presented argument is untrue.
The following traits should be present in every SBU: a distinct business, control over its resources, a distinct mission and target market, its own rivals, and independent business plans from those of other SBUs within the organization.
A clear vision, direction, and mission are established by the SBU in charge of marketing a product. Examples of strategic business units demonstrate how these divisions operate as unique, specialized entities concentrated on a particular goal. Our goals are different from those of the parent company.
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if the price of gasoline rises, what response do you expect in the market for suvs? shift the demand curve to show what happens in the market for suvs when the price of gasoline rises.
Thus, the demand for sport utility vehicles declines when the price of oil (and gasoline) rises (i.e. the demand curve for sport utility vehicles shifts to the left). As a result, sport utility vehicles' equilibrium price and supply will decline.)
Cars and gasoline are complimentary products since they are used in tandem. The desire for automobiles will decline if the price of gasoline rises. As a result, the equilibrium price and the number of cars will fall, moving the demand curve for cars to the left.
The gasoline supply curve would be moved to the right if there were more producers of the fuel. Higher gasoline output at each price level would result from more producers.
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why do many people believe that the doomsday prediction of universal unemployment is wrong
The facts from different industries show that the universal jobless apocalypse forecast is false.
India's gross domestic product (GDP) fell by 23.9% in the April-June quarter due to the Covid-19 outbreak and the toughest lockdown ever enforced on a nation (Q1 of 2020–21). As a result, the majority of industries had to fully shut down for the most of the quarter. According to many observers, the decrease in three crucial economic indicators—consumer spending, investment, and exports—has paved the way for the first full-year downturn in forty years. During the quarter under examination, the world's largest economy, the US, saw a fall of 32.9%, followed by a decline of 20.4% in the UK and a gain of 3.2% in China.
A simple estimate suggests that between $175 and 180 billion in output was lost by the Indian economy. As a result, it is thought that the universal jobless apocalypse is unfounded.
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duruskan en altay 2019: china in djibouti: global partner or neo-colonial master?
China in Djibouti is seen as a global partner, but some view its influence as neo-colonialism . The country has invested heavily in infrastructure and its military presence in the country has sparked concerns about its intentions..
China's investment in Djibouti, a small African country located at the mouth of the Red Sea, has sparked a debate about the nature of its relationship with the country. On one hand, China has invested heavily in infrastructure projects, including ports, roads, and airports, which has helped to boost the country's economic growth. On the other hand, its military presence in the country has raised concerns about its intentions, leading some to view China as a neo-colonialism power. The country has been accused of exploiting resources and exerting undue influence over the country's political and economic systems, leading to concerns about its impact on national sovereignty. Critics argue that China's investments come at a cost to the country and its people, and that it is engaging in a form of neo-colonialism in which it seeks to control and exploit the resources of other countries for its own benefit.
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From a corporation's point of view, does the tax treatment of dividends and interest paid favor the use of debt financing or equity financing? Debt financing Equity financing
The debt financing and equity financing are listed in the image attached below:
Debt financing is the process through which a business sells debt instruments to retail and/or institutional investors in order to raise funds for working capital or capital expenditures. The people or organizations receiving the funds become creditors and are given the assurance that the principal and interest on the loan will be paid back.
The other method of raising money in the debt markets is by issuing stock in a public offering; this process is known as equity financing. Debt financing is the process by which a business raises funds by offering investors debt instruments. Equity finance, which involves issuing stock to raise money, is the reverse of debt financing. When a company sells fixed-income securities like bonds, bills, or notes, debt financing takes place.
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From the following Ledger balances of AB International, prepare a Trial Balance.
In preparation of our Trial Balance, we have an equal credit and debit side which equals to $65,745.
Prepare of Trial Balance for AB International:A trial balance can be used to identify mathematical errors in a double entry accounting system. If the total debits equal the total credits, the trial balance is considered balanced, and no mathematical errors should exist in the ledgers.
No Particulars L.F. Debit ($) Credit ($)
1. Purchases 12,000
2. Sales 25,000
3. Discount 1,200
4. Salaries 2,500
5. Wages 10,000
6. Cash in Hand 975
7. Cash at Bank 13,500
8. Repairs & Maintenance 870
9. Sundry Expenses 350
10. Mortgage 14,000
11. Mortgage Interest 250
12. Traveling Expenses 100
13. Insurance 150
14. Carriage 250
15. Commission 350
16. Rent and Rates 600
17. Building 6,000
18. Machinery 5,000
19. Delivery Van 4,000
20. Capital 20,000
21. Accounts Payable 3,200
22. Accounts Receivable 4,500
23. Opening Stock 2,450
24. Returns Inward 300
25. Reserve for doubtful debts 800
26. Notes Payable 2,745
27. Notes Receivable 400
Total $65,745 $65,745
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ANGIC Insurance Company begins processing casualty claims when the claims department receives a notice of loss from claimant: The claims department prepares and sends the claimant four copies of a proof-of-loss form on which the claimant must detail the cause, amount, and other aspects of the loss. The claims department also initiates a record of the claim which is sent with the notice of loss to the data processing department; where it is filed by claim number: The claimant must fill out the proof-of-loss forms with an adjusters assistance. The adjuster must concur with the claimant on the estimated amount of loss. The claimant and adjuster each keep one copy of the proof-of-loss form The adjustor files his copy numerically. The adjustor sends the first two copies to the claims department. Separately, the adjuster submits a report to the claims department; confirming the estimates on the claimants proof-of-loss form_ The claims department authorizes payment to the claimant; forwards copy of the proof-of-loss form to data processing and files the original proof-of-loss form and the adjuster $ report alphabetically: The data processing department prepares payment checks and mails them to the customers, files the proof-of-loss form with the claim record, and prepares a list of cash disbursements, which it transmits to the accounting department; where it is reviewed
Required
a. Prepare a document flowchart to reflect how ANGIC Insurance Company processes its casualty claims
b. Prepare a BPD to reflect how ANGIC Insurance Company processes its casualty claims.
Insurance claims processing is a crucial aspect of the insurance industry. It involves the handling and resolution of claims made by policyholders to their insurance companies. The insurance company must assess and verify the validity of the claims processed.
ANGIC Insurance Company follows a specific process to handle casualty claims, and in this article, we will discuss the process in detail.
Document Flowchart:The document flowchart provides a visual representation of the steps involved in processing casualty claims at ANGIC Insurance Company. The flowchart begins with the claims department receiving a notice of loss from the claimant. The claims department then prepares and sends the claimant four copies of a proof-of-loss form. The claimant fills out the form with the adjuster's assistance, and the adjuster concurs with the estimated amount of loss. The adjuster then submits a report to the claims department, confirming the estimate on the claimant's proof-of-loss form. The claims department authorizes payment to the claimant, forwards a copy of the proof-of-loss form to the data processing department, and files the original proof-of-loss form and the adjuster's report. The data processing department prepares payment checks, mails them to the customer, files the proof-of-loss form with the claim record, and prepares a list of cash disbursements. Finally, the accounting department reviews the list of cash disbursements.BPD (Business Process Diagram):The BPD provides a detailed representation of the process of casualty claims processing at ANGIC Insurance Company. The process begins with the receipt of the notice of loss from the claimant. The claims department then prepares and sends the proof-of-loss form to the claimant. The claimant and adjuster work together to fill out the form and agree on the estimated amount of loss. The adjuster submits a report to the claims department, confirming the estimates. The claims department authorizes payment to the claimant and forwards a copy of the proof-of-loss form to the data processing department. The data processing department prepares payment checks, mails them to the customer, files the proof-of-loss form with the claim record, and prepares a list of cash disbursements. Finally, the accounting department reviews the list of cash disbursements. Throughout the entire process, the claims department and adjuster keep records of the claims processed, ensuring accurate and efficient handling of casualty claims at ANGIC Insurance Company.To learn more about Insurance here:
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Which of the hallmarks of regulatory capture are criminal acts that could bring prosecution upon the organizations, businesses, or individuals performing these activities?InfestationVenalityScale paradoxPaternalismBarrier Paradox
"Venality" of the hallmarks of regulatory capture are criminal acts or corporate crime that could bring prosecution upon the organizations, businesses, or individuals performing these activities.
The corporate crime is also known as the organizational crime. It is the type of white collar crime is committed by the individual or the employing organization.
The Venality is the situation or condition of regulatory capture are criminal acts. The types of crime in the business law include the smuggling crime, tax evasion crime, tax fraud crime, and customs duty evasion crime etc, which could bring prosecution upon the organizations, businesses is performing these activities.
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dimeback, inc., is obligated to pay its creditors $7,197 during the year. what is the market value of the shareholders’ equity if assets have a market value of $9,728?
The market value of shareholders' equity for Dimeback, Inc. is $2,531 if assets have a market value of $9,728 and the company is obligated to pay creditors $7,197 during the year.
The market value of shareholders' equity can be calculated by subtracting the market value of liabilities from the market value of assets.
Market Value of Shareholders' Equity = Market Value of Assets - Market Value of Liabilities
In this case, the market value of liabilities is $7,197, and the market value of assets is $9,728, so:
Market Value of Shareholders' Equity = $9,728 - $7,197
Market Value of Shareholders' Equity = $2,531
Therefore, the market value of shareholders' equity is $2,531.
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miller brand beer tends to be much more price-elastic than corona brand beer. this information about the beers' elasticities is telling us that:
Beer under the Miller brand has a substantially higher price elasticity than beer under the Corona brand. According to this knowledge of the elasticities of the beers, we can infer that: Corona
Most COVID-19 patients experience mild to moderate symptoms and fully recover without additional care. However, some people will become really unwell and require medical attention. Being well-informed on the illness and how the virus spreads is the best method to stop and sluggish transmission. Wear a mask that fits properly, keep at least one meter between you and other people, and wash your hands frequently or massage them with an alcohol-based product to prevent spreading disease. When it's time for you to be vaccinated, do so and heed any local advice. The virus can spread from a person's mouth or nose in tiny liquid particles when they speak, sing, sneeze, or cough. From larger respiratory droplets to tiny aerosols, these particles come in a variety of sizes. It's crucial to use proper respiratory technique, such as coughing into a flexed elbow, and to confine yourself to your home and rest until you feel better.
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what is the relationship between tinformation technology,project management and arups business model and business strategy
Information technology, project management and Arups business model and business strategy are closely related to one another.
Information technology, such as data processing, automation and networking, are essential for the execution of project management activities and the implementation of Arups business model and business strategy.
Additionally, Arups business model and strategy are created and implemented with the help of project management techniques, such as scheduling, risk management, resource allocation and cost control.
Moreover, the successful execution of Arups business model and strategy depends heavily on the use of information technology, such as software development and analytics.
In summary, information technology, project management and Arups business model and business strategy are tightly intertwined.
The successful execution of Arups business model and strategy requires the use of project management techniques and information technology, and the success of project management activities depends heavily on the use of advanced information technology.
Therefore, these three components must be integrated into a cohesive whole in order to produce the desired results.
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which of the following is true about the terms "money" and "wealth", as used by economists?
a. money is a large part of the liabilities that make up wealth
b. money is a large part of the assets that make up wealth
c. money is a small part of the liabilities that make up wealth
d. money is a small part of the assets that make up wealth
The statement which is true about the terms "money" and "wealth", as used by economists is b. money is a large part of the assets that make up wealth.
Economists view money as a type of asset, along with things like stocks, bonds, real estate, and commodities. When calculating a person or organization's wealth, economists will typically include both the money they have on hand and the value of their other assets. So, from an economic perspective, money is a significant component of overall wealth.
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what are the characteristics of a quasi project?
What are the characteristics of- a quasi projects? A quasi-project is an imprecise project. There is a conflict between timeframes and project goals. This fallacy permeates other project parameters such as budgets, unique products and services, project goals and deadlines.
quasi-projects have the following characteristics: No specific tasks identified , No specific budget specified ,No specific deadline specified
Non-project refers to activities or tasks that are ongoing and do not stop when the project is completed. A quasi-project is a project that does not have specific tasks, a specific budget, and a specific deadline. Has the longest-serving role His project owner has the longest-serving role
Quasi is almost or partly defined, almost or such. This is an example of a quasi-contract when you enter into a contract that is similar to another contract.
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Using examples, explain why some human wants are needs for some people.
Answer:
Necessities refer to the want of products or services essential for survival.
Explanation:
Examples of such wants are food, clothing, and housing. Out of these are the wants that improve the efficiency of humans and improve the quality of life such as food, better house, etc.
What was the main theme of the Stanford Prison Experiment?
The Stanford Prison Experiment is often cited as proof of the atavistic tendencies that exist in all of us and that, with the right amount of provocation, we could all become despots.
The Stanford Prison Experiment is often cited as proof of the atavistic tendencies that exist in all of us and that, with the right amount of provocation, we could all become despots.
Less than ten years prior, the Milgram obedience study had demonstrated that common people were willing to shock their fellow citizens with electricity they believed to be painful and possibly fatal levels if they were encouraged to do so by a higher authority. The Stanford experiment, which showed how easily common people could become ruthless oppressors if given too much power, was seen by many as underscoring those conclusions.
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You want to allow users inside your organization to share your dashboard, and to edit your dashboard by adding tiles. How will you do this? Select an answer: Share your dashboard with internal users. Publish the dashboard as a contact pack. Publish the report on the web. By creating a dashboard in a group.
The correct answer is OPTION A Share your dashboard with internal users. Click the Sharing icon on the report form from the report record. This can be located in the report display's upper right corner.
Choose the Share option from the menu that appears. The Sharing settings dialogue window, where group and internal users. assignment can be done, will then appear. A method known as virtualization in cloud computing allows several report businesses or tenants to share a single physical instance of an application or resource (customers). In order to accomplish this, it gives a physical resource a logical name and responds to requests for a pointer to that resource.
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discuss two methods that can be used by risk managers to forecast the average loss associated with a particular loss exposure.
Explanation:
Probability Analysis — a technique used by risk managers for forecasting future events, such as accidental and business losses. This process involves a review of historical loss data to calculate a probability distribution that can be used to predict future losses.
after managers understand both the legal and the marketing consequences of price strategies, they should set a _____ price––the general level at which a company expects to sell a good or service.
After managers understand the legal and marketing consequences of price strategies, they should set a target price, which is the general level at which a company expects to sell a good or service.
The target price is determined based on a number of factors, including the cost of production, the target profit margin, and the perceived value of the product to the customer. By setting a target price, managers can ensure that the price of the product is in line with the company's overall financial goals and that it is competitive in the market.
However, setting the target price is only the first step in the pricing process. Managers must also consider the legal consequences of their pricing strategy, such as the potential for price fixing or price discrimination, and must ensure that their pricing practices are in compliance with laws and regulations.
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When High Horizon LLC was formed, Maude contributed the following assets in exchange for a 25 percent capital and profits interest in the LLC:
Basis Fair Market Value
Maude:
Cash $ 38,250 38,250
Land* 111,000 364,000
Totals $149,250 $402,250
Note(*): Nonrecourse debt secured by the land equals $177,500
James, Harold, and Jenny each contributed $224,750 in cash for a 25 percent profits and capital interest.
a. How much gain or loss will Maude and the other members recognize?
Maude realized a gain of $186,500 on her contribution to the LLC, while James, Harold, and Jenny did not recognize any gain or loss on their contribution.
Gain or loss is the difference between the fair market value and the cost basis of an asset. When an asset is sold or exchanged, the gain or loss is realized and must be reported on a tax return.
In the case of High Horizon LLC, the gain or loss will depend on the fair market value and cost basis of the assets that were contributed in exchange for a 25 percent profits and capital interest.
Maude contributed $149,250 in assets, including $38,250 in cash and land worth $364,000 with a nonrecourse debt of $177,500. The cost basis of Maude's contribution is the sum of the cash and the debt secured by the land, which is
$38,250 + $177,500 = $215,750.
The fair market value of Maude's contribution is $402,250. If we subtract the cost basis from the fair market value, we get the gain or loss on Maude's contribution, which is
$402,250 - $215,750 = $186,500.
This means that Maude realized a $186,500 gain on her contribution to the LLC.
James, Harold, and Jenny each contributed $224,750 in cash for a 25 percent profits and capital interest. Since they contributed cash, their cost basis and fair market value are the same, which is $224,750. There is no gain or loss on their contribution.
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how would you address the challenges faced by appex corporation?
The biggest problem they faced was the inability to strengthen their cash flow and earnings. Appex Corporation started as a small company with 25 employees. Her earnings at the time were $52 million.
Appex Corporation's approach was to focus on technology and foster entrepreneurial skills within the organization. The biggest problem they faced was the inability to strengthen their cash flow and earnings. Appex Corporation is based in Waltham and was founded in May 1986 by the merger of Lunayach Communication Consultants (LCC) and her Appex Inc. MA provided management information system (MIS) and inter-carrier network services to wireless carriers.
The LCC provided cellular network trading and engineering services to cellular companies. Appex Inc. was founded in May 1984 by Brian E. Boyle primarily based on his MIS for the wireless industry and credit scoring system for financial services companies. According to Business Week, Appex Inc. was ranked as the fastest growing major technology company in the United States in 1990. In 1987, 1988, 1989, and 1990, total revenues were $1 million, $2.3 million, $6.8 million, and $16.6 million, respectively.In 1990, Electronic Data Systems was a $6 billion information systems management company.
Acquired company Appex Inc. (EDS). EDS was owned by General Motors and his Appex Inc. I had to follow some requirements of EDS, such as: B. Financial planning, resource allocation systems, and management processes.
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the main challenge with fact-based objectives is that many firms find future opportunities in markets where there is an existing set of customers. select one: true false
The statement ''The biggest issue with fact-based goals is that numerous businesses discover new potential in marketplaces where there is already a base of clients'' is False because
the division of labor can enhance coordination between various jobs and those who carry them out.
Goals can aid a company in expanding, achieving compliance, and defining its long-term financial objectives. Organizations establish clear objectives to track their progress and identify tasks that need to be improved.
Goals and objectives can also act as a kind of control because they offer a chance for feedback on how effectively the business is carrying out its strategy. Goals and objectives can align interests and accountability within and between corporate units and serve as the foundation for reward systems.
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The main challenge with fact-based objectives is that many firms find future opportunities in markets where there is an existing set of customers is a false statement.
In terms of fact-based goals, the statement is untrue. The fact-based targets can be more precise and certain the closer a target is to being reached. Goals may be general, but the metrics and objectives that are used to measure them must be very specific and selected based on facts and evidence rather than on intuitions. The main issue with fact-based objectives is that many companies find future opportunities in markets with no existing customers.
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Abbott Company had $13,000 in revenue and net income of $5,000 during its first year of operations. What was the amount of the company's expenses during that year?
To calculate the company's expenses during that year, we can use the following equation:
Revenue - Net Income = Company's Expenses
Revenue and net income are two important financial metrics used to measure a company's performance. Revenue refers to the amount of money a company generates from its business activities, while net income is the amount of money a company earns after subtracting all its expenses.
In the case of Abbott Company, the revenue during its first year of operations was $13,000 and the net income was $5,000. To calculate the company's expenses during that year, we can use the following equation:
Revenue - Net Income = Company's Expenses
$13,000 - $5,000 = $8,000
Therefore, the company's expenses during its first year of operations were $8,000.
It is important to note that revenue and net income can be affected by many factors, including costs of goods sold, operating expenses, taxes, and more. By subtracting the net income from the revenue, we can get an idea of the amount of money the company spent to generate its revenue. This information can be useful for investors, managers, and others who are interested in evaluating the financial health of the company
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