you are choosing between investing in a large scale vs. small scale project, which project you should undertake based incremental cf approach? the discount rate is 10%.

Answers

Answer 1

When deciding between investing in a large scale versus a small scale project using the incremental cash flow (CF) approach, it is important to choose the project with the higher incremental cash flow.

The incremental cash flow approach involves analyzing the difference in cash flows between two projects and selecting the one that generates more incremental cash flow. In this case, the project with higher incremental cash flow will provide a greater return on investment and therefore be the better choice.

To determine incremental cash flow, the cash flows of each project must be compared on a year-by-year basis. This includes the initial investment, operating cash flows, and terminal cash flows. The net present value (NPV) of each project must also be calculated using a discount rate of 10%.

Overall, when choosing between a large scale and small scale project, it is important to focus on the incremental cash flow and select the project with the higher incremental cash flow.

1. Calculate the incremental CF for each project: Subtract the smaller project's cash flow from the larger project's cash flow for each period.

2. Discount the incremental CFs: Using the 10% discount rate, discount each incremental CF to the present value.

3. Sum the discounted incremental CFs: Add up the present values of the incremental CFs to find the net present value (NPV) of the difference between the projects.

4. Compare the NPVs: If the NPV of the difference between the projects is positive, undertake the larger project. If it's negative or zero, choose the smaller project.

To Know more about cash flow.

https://brainly.com/question/29768594

#SPJ11


Related Questions

If when the price of Product E decreases by 9%, this causes its quantity demanded to increase by 14% and the quantity demanded for Product F to increase by 12%, what is the cross-price elasticity of demand? What is the relationship between these goods?

Answers

The cross-price elasticity of demand is -1.33.

To find the cross-price elasticity of demand, we need to divide the percentage change in quantity demanded of Product F by the percentage change in price of Product E. So, we have:

Cross-price elasticity of demand = (12% / -9%) = -1.33

The negative sign indicates that Product F is a substitute for Product E. This means that when the price of Product E decreases, consumers switch from buying Product F to buying more of Product E. The cross-price elasticity of demand is a measure of how sensitive the quantity demanded of one good is to a change in the price of another good.

In this case, the cross-price elasticity is relatively high, indicating a strong substitution effect between the two goods. As a result, the demand for Product F is closely linked to the price of Product E.

For more about cross-price elasticity of demand:

https://brainly.com/question/21497072

#SPJ4

Quantitative investors necessarily use complex mathematical models to make investing decisions.
A. True
B. False

Answers

A. True Quantitative investors rely heavily on mathematical models to identify patterns and signals in market data.

These models use statistical techniques, algorithms, and other mathematical tools to analyze large sets of data and make predictions about future market movements. These models are often quite complex and require significant expertise in mathematics and computer programming to develop and implement. Quantitative investors believe that these models can provide a more systematic and objective approach to investing than traditional methods that rely on intuition and subjective judgment.

Learn More about market data here :-

https://brainly.com/question/30791208

#SPJ11

the net present value's primary advantage over the internal rate of return method is that it does not require the time value of money calculations that the internal rate of return requires. T/F

Answers

The net present value (NPV) method does require time value of money calculations, as it discounts cash flows back to their present value using a discount rate. False

In contrast, the internal rate of return (IRR) method calculates the discount rate that sets the net present value of the cash inflows equal to the net present value of the cash outflows, and hence also requires time value of money calculations.

However, NPV is generally considered a more reliable method for evaluating investment opportunities as it considers the absolute dollar value of cash flows, while IRR can have certain limitations in certain scenarios.

Learn more about NPV

https://brainly.com/question/29423457

#SPJ4

on august 1, a $49,200, 7%, 3-year installment note payable is issued by a company. the note requires equal payments of principal plus accrued interest of $18,747.74. the entry to record the first payment on july 31 would include: multiple choice debit to notes payable of $18,747.74 debit to interest expense of $3,444.00. debit to cash of $18,747.74. credit to notes payable of $18,747.74 credit to cash $15,303.74

Answers

The correct answer is: Debit to Notes Payable of $18,747.74, Debit to Interest Expense of $3,444.00, and Credit to Cash of $15,303.74.

The first payment on July 31 would cover the accrued interest of $3,444.00 for one month and a portion of the principal amount of the note. Therefore, the entry would include a debit to Notes Payable for the portion of the principal amount paid ($15,303.74) and a debit to Interest Expense for the accrued interest ($3,444.00). The total debits would be equal to the credit to Cash for the amount paid ($18,747.74).


The entry to record the first payment on July 31 would include: debit to interest expense of $3,444.00, debit to notes payable of $15,303.74, and credit to cash of $18,747.74.

To know more about Notes Payable  visit:-

https://brainly.com/question/31316330

#SPJ11

an employer may require a second or third medical opinion at the employee's expense when the employee applies for leave under serious health condition.
T/F

Answers

True. an employer may require a second or third medical opinion at the employee's expense when the employee applies for leave under a serious health condition.

Under the Family and Medical Leave Act in the United States, an employer is permitted to require a second or third medical opinion when an employee applies for leave due to a serious health condition. The employer may require the employee to obtain these opinions at their own expense.

This provision is intended to ensure that the employee's medical condition is accurately diagnosed and treated, as well as to prevent abuse of the leave policy. It is important to note that the employer must provide written notice of the requirement for a second or third opinion and that the opinions must be from qualified healthcare providers who are not employed by the employer on a regular basis.

Learn more about medical opinion:

https://brainly.com/question/31082724

#SPJ4

Paid personal communication that attempts to inform and persuade customers to purchase products in an exchange situation is called:.

Answers

Paid personal communication that attempts to inform and persuade customers to purchase products in an exchange situation is called personal selling. Personal selling is an important marketing tool that involves face-to-face communication between a salesperson and a prospective customer. This communication can take place in various settings, such as in a retail store, in a customer's home, or at a trade show.

Personal selling can be an effective way to persuade customers to purchase products because it allows for a personal connection to be made between the salesperson and the customer. This personal connection can help build trust and rapport, which can lead to increased sales and customer loyalty.

Overall, personal selling is a powerful marketing tool that can help businesses inform and persuade customers to purchase their products or services. It requires a skilled and knowledgeable sales force that is able to build relationships with customers and effectively communicate the value of the product or service being sold.

To know more about communication  visit:-

https://brainly.com/question/22558440

#SPJ11

warner bros. sells cookie jars, puzzles, photo albums, and other items featuring its popular cartoon characters directly through its own retail outlets. this is an example of

Answers

Warner Bros. directly sells merchandise using its well-known animation through its own retail locations, including cookie jars, puzzles, photo albums, and other goods. A company's vertical marketing system would look something like this. This statement is true.

The scenario described is an example of a corporate vertical marketing system (VMS). A corporate VMS is a distribution channel system in which a single company owns and manages multiple levels of the distribution channel, from manufacturing to retail. In this case, Warner Bros. owns and manages its own retail outlets that sell its branded merchandise directly to consumers.

By owning and controlling its own distribution channels, Warner Bros. can ensure that its products are presented in a consistent and effective manner. The company can also respond quickly to changes in consumer demand, and it can exercise greater control over the pricing and promotion of its products.

While corporate VMS can offer advantages in terms of efficiency and control, they can also face challenges. For example, managing multiple levels of the distribution channel can be complex and expensive, and conflicts of interest may arise between different parts of the channel. Additionally, corporate VMS can limit opportunities for smaller retailers to participate in the distribution of a company's products.

To learn more about marketing systems

https://brainly.com/question/14184050

#SPJ4

Complete question:

Warner Bros. sells cookie jars, puzzles, photo albums, and other items featuring its popular cartoon directly through its own retail outlets. This is an example of corporate vertical marketing system.

true or false?

Which form of distribution channel is the most effective for the Mountain Bike segment and roughly what percentage of customers shop there?

Answers

The most effective distribution channel for the Mountain Bike segment is likely the combination of physical retail stores and online platforms. This dual-channel approach allows customers to experience the products in person, while also providing the convenience of online shopping.

Physical retail stores, such as specialized bike shops, sporting goods stores, and big-box retailers, offer customers the opportunity to test ride and compare different models, receive expert advice from knowledgeable staff, and benefit from personalized services such as bike fitting and maintenance.

It is estimated that around 60% of customers prefer to shop for mountain bikes in physical retail stores, as it provides them with a hands-on experience.

Online platforms, on the other hand, enable customers to browse a wider selection of mountain bike models, compare prices, read reviews, and potentially find better deals. With the growth of e-commerce and the increasing importance of convenience, online shopping has become a significant distribution channel for mountain bikes.

It is estimated that roughly 40% of customers prefer shopping for mountain bikes online, as it provides a convenient and potentially cost-effective alternative to in-store shopping.

In conclusion, the most effective distribution channel for the Mountain Bike segment is a combination of physical retail stores and online platforms. Approximately 60% of customers prefer shopping in physical retail stores, while the remaining 40% opt for online platforms.

This dual-channel approach ensures that customers have access to the best of both worlds, resulting in higher overall satisfaction and sales.

To know more about distribution channel refer here:

https://brainly.com/question/26688019#

#SPJ11

assuming that the cost per order is constant, increasing the order quantity will cause annual ordering costs to: question 37 options: decrease. increase. remain the same. increase at a decreasing rate. this cannot be determined.

Answers

The correct option is A, Assuming that the cost per order is constant, increasing the order quantity will cause annual ordering costs to decrease.

Ordering cost refers to the expenses incurred in placing an order for inventory items or raw materials. This cost includes all the expenses involved in the process of preparing, issuing, and receiving the purchase order. Ordering cost can vary depending on the size of the order, the number of suppliers involved, and the complexity of the ordering process.

Some of the common components of ordering cost include the salaries of the staff involved in placing the order, the cost of communication and coordination with the supplier, and any administrative expenses incurred during the ordering process. Additionally, there may be costs related to inspecting and verifying the order upon receipt, and handling any discrepancies or issues that arise.

To learn more about Ordering cost visit here:

brainly.com/question/30708383

#SPJ4

stephanie wants to invest in a mutual fund that invests in companies within the same industry. she should put her money into a regional fund. group startstrue or falsetrue, unselectedfalse, unselected

Answers

The statement is true that if Stephanie wants to invest in a mutual fund that invests in companies within the same industry, she should put her money into a regional fund.

A regional fund is a type of mutual fund that invests in companies located in a specific geographic region. By investing in a regional fund, Stephanie can gain exposure to companies within the same industry located in the same region, which can help to diversify her portfolio and potentially minimize risk. However, it's important for Stephanie to research and carefully evaluate any mutual fund she is considering investing in, including the fund's historical performance, fees, and investment strategy, to ensure it aligns with her investment goals and risk tolerance.

To learn more about regional fund, visit:

https://brainly.com/question/29891618

#SPJ11

Franklin Company calculated its return on investment as 10 percent. Sales are now $370,000, and the amount of total operating assets is $390,000.
Required
If expenses are reduced by $31,200 and sales remain unchanged, what return on investment will result? (Round your answer to 2 decimal places. (i.e., .2345 should be entered as 23.45).)
If both sales and expenses cannot be changed, what change in the amount of operating assets is required to achieve the same result? (Do not round intermediate calculations. Round your answer to the nearest whole dollar amount.)

Answers

The change in the amount of operating assets required to achieve the same result is $389,910.96 - $390,000 = -$89.04, which means that a decrease of $89 in operating assets would be required to achieve the same result. However, since the question asks for the answer rounded to the nearest whole dollar amount, the answer is $89 (a decrease of $89 in operating assets).

To find the new return on investment (ROI) after reducing expenses by $31,200:

First, we need to calculate the net operating income (NOI):

NOI = Sales - Expenses

NOI = $370,000 - $31,200

NOI = $338,800

Next, we can calculate the new ROI using the following formula:

ROI = NOI / Total Operating Assets

ROI = $338,800 / $390,000

ROI = 0.8682 or 86.82%

Therefore, the new ROI after reducing expenses by $31,200 is 86.82%.

To find the change in the amount of operating assets required to achieve the same ROI:

First, we can calculate the current net operating income (NOI) using the existing ROI:

NOI = ROI x Total Operating Assets

NOI = 0.10 x $390,000

NOI = $39,000

Next, we can use the same formula to find the new amount of operating assets required to achieve the same NOI with the new ROI:

$338,800 = ROI x New Total Operating Assets

New Total Operating Assets = $338,800 / ROI

New Total Operating Assets = $338,800 / 0.8682

New Total Operating Assets = $389,910.96

Therefore, the change in the amount of operating assets required to achieve the same result is $389,910.96 - $390,000 = -$89.04, which means that a decrease of $89 in operating assets would be required to achieve the same result. However, since the question asks for the answer rounded to the nearest whole dollar amount, the answer is $89 (a decrease of $89 in operating assets).

Learn more about operating assets

https://brainly.com/question/14286073

#SPJ4

President Obama and his advisers have failed to correctly forecast the effects of the 2011 changes to the loan programs because they

Answers

President Obama and his advisers have been criticized for their handling of the changes to the loan programs in 2011, particularly in terms of their failure to accurately predict the effects of these changes.

One of the primary issues with the changes was the shift towards income-based repayment plans, which allowed borrowers to pay a percentage of their income towards their loans rather than a fixed amount. This was intended to make repayment more manageable for those struggling with high levels of debt.

However, it is now clear that the Obama administration underestimated the number of borrowers who would take advantage of these plans, leading to a significant increase in the amount of debt that was ultimately forgiven under these programs.

In addition, the changes did not address the underlying issues driving student debt, such as the rising cost of tuition and the lack of job opportunities for recent graduates.

Overall, it is clear that President Obama and his advisers failed to correctly forecast the effects of the 2011 changes to the loan programs. While the changes were well-intentioned, they did not go far enough to address the root causes of student debt, and ultimately resulted in higher costs for taxpayers.

Going forward, it is important that policymakers take a more comprehensive approach to addressing the issue of student debt, one that takes into account the challenges faced by borrowers as well as the broader economic and social factors that contribute to this problem.

For more questions on loan visit:

https://brainly.com/question/28491663

#SPJ11

The knowledge, know-how, experience or education that an employee has is called.

Answers

The knowledge, know-how, experience or education that an employee has is called their expertise.

This expertise allows them to perform their job duties effectively and efficiently, and to make informed decisions based on their accumulated knowledge and experience. Employers value employees who have a high level of expertise in their field, as they are often seen as assets to the company. Employees who have gained expertise through years of experience or education can often mentor and train others, helping to develop the next generation of experts. Overall, expertise is a crucial component of success in the workplace, and is a valuable asset for both employers and employees.
The term that encompasses an employee's knowledge, know-how, experience, and education is called "Human Capital." Human capital refers to the collective skills, abilities, and expertise of an individual or workforce. It highlights the importance of knowledge and experience in contributing to the overall success and productivity of a company. By investing in the development of human capital, organizations can enhance their employees' abilities and create a more efficient and effective workforce. This investment can take various forms, including ongoing training, mentorship, and opportunities for continuing education, ultimately leading to better job performance and company growth.

For more information on expertise visit:

brainly.com/question/31349463

#SPJ11

Guaranteed installment loans for bad credit direct lenders only.

Answers

A direct lender for payday loans is Wizzcash.com. This implies that if your loan application with us is approved, we will get in touch with you and lend to you. Payday loans, auto title loans, pawnshop loans, and no credit check personal loans are the loans that are the simplest to be approved for.

These loans are accessible to those with bad credit because they provide immediate money and have few conditions. The trading name of Evergreen Finance London Limited is Moneyboat. They provide clients with a well-designed & clear customer journey and allow them to apply for loans up to £1500 through their website.

To learn more about lender, click here.

https://brainly.com/question/3268275

#SPJ4

Industrial Products Inc. is trying to decide whether to build a new manufacturing plant or a new warehouse. Both facilities require the same initial investment and are expected to generate the same annual cash flows and intangible benefits. However, when calculating the net present values (NPV) of the projects, Industrial uses a lower discount rate for the warehouse than for the manufacturing plant. This tells us that a the warehouse will have a lower NPV than the plant because Industrial believes the warehouse presents a higher degree of risk. b the warehouse will have a lower NPV than the plant because Industrial believes the warehouse presents a lower degree of risk c the warehouse will have a higher NPV than the plant because Industrial believes the warehouse presents a lower degree of d the warehouse will have a higher NPV than the plant because Industrial believes the warehouse presents a higher degree of risk. risk. risk

Answers

The correct answer is b) the warehouse will have a lower NPV than the plant because Industrial believes the warehouse presents a lower degree of risk.

The net present value (NPV) method is used to evaluate the profitability of an investment project by comparing the present value of the expected cash inflows with the present value of the expected cash outflows. The discount rate used in calculating the present value of cash flows is a measure of the risk associated with the investment project.

If Industrial Products Inc. is using a lower discount rate for the warehouse project compared to the manufacturing plant project, it implies that they perceive the warehouse project as being less risky than the manufacturing plant project. Therefore, the present value of the expected cash flows for the warehouse project would be higher than that of the manufacturing plant project, resulting in a higher NPV for the warehouse project. However, since both facilities are expected to generate the same annual cash flows and intangible benefits, the difference in NPV is solely due to the perceived difference in risk between the two projects.

To know more about  Industrial Products here

https://brainly.com/question/2700126

#SPJ4

Which of the following are commonly excluded from non-GAAP income-related metrics presented in 10-K or 10-Q reports? Multiple ChoiceA. Accrual related to contingent lossesB. Write-offs related to obsolete inventory C. Salaries paid to top executives Interest, taxes, depreciation, and amortization

Answers

A commonly excluded from non-GAAP income-related metrics presented in 10-K or 10-Q reports unless gross-income specifically excluded by the Internal Revenue Code. The correct answer is D. Interest, taxes, depreciation, and amortization.

All income from all sources is considered gross income in the United States. An individual's gross income is their total income before any deductions or exemptions are factored in.

It serves as the starting point for figuring out taxable income and the amount of federal income tax owed by an individual. The Internal Revenue Code defines gross income in the United States as all derived income, which includes wages, salaries, tips, commissions, bonuses, rent, dividends, pensions, interest, capital gains, and any other kind of income. Gross revenue also includes the fair market value of products or services received in exchange for services rendered, such as through bartering.

Complete question:

Which of the following are commonly excluded from non-GAAP income-related metrics presented in 10-K or 10-Q reports? Multiple Choice

A. Accrual related to contingent losses

B. Write-offs related to obsolete inventory

C. Salaries paid to top executives

D. Interest, taxes, depreciation, and amortization

To know more about Gross- income visit:

https://brainly.com/question/30618674

#SPJ4

which of the following is at its minimum point in the long-run market equilibrium? responses a priceprice b average variable costaverage variable cost c marginal costmarginal cost d average total cost

Answers

In the long-run market equilibrium, the price is determined by the intersection of the industry's supply and demand curves, and it is not at its minimum point. Therefore, the correct answer is d) average total cost.

Instead, the minimum point is reached by the firms' average total cost curve, which represents the lowest point of the U-shaped curve. At this point, the firm is producing at the most efficient level and is earning zero economic profits. This is the point at which the firm is able to cover all of its costs while still making enough revenue to continue operating in the long-run. It is essential to note that marginal cost, average variable cost, and other costs may influence the decision to produce, but they do not necessarily determine the equilibrium price.

To learn more about market equilibrium, visit:

https://brainly.com/question/30692864

#SPJ11

Prohibiting new investment in and certain services to the russian federation in response to continued russian federation aggression.

Answers

The term "prohibiting new investment" refers to a decision by a country or group of countries to prevent any new investments from being made in the Russian Federation.

What does this mean?

This could be in response to continued aggression by the Russian Federation in various forms, such as military actions, cyber attacks, or political interference.

In addition, "certain services" may also be prohibited, such as financial transactions, technology transfers, or the provision of certain goods or services.

This type of response is meant to send a strong message to the Russian Federation that their actions will not be tolerated, and that they will face economic consequences if they continue their aggressive behavior.

To know more on investment visit:

https://brainly.com/question/15353704

#SPJ11

aston and becker are equal partners in ab partnership. in the tax year, the ordinary income of the partnership is $20,000, and the partnership has a long-term capital gain of $12,000. aston's basis in ab was $40,000, and he received distributions of $5,000 during the year. what is aston's share of ab's ordinary income?

Answers

Aston's share of AB's ordinary income would be $10,000. This is because as an equal partner in the partnership, Aston would be entitled to 50% of the partnership's profits.

Therefore, half of the $20,000 in ordinary income would belong to Aston, resulting in $10,000. Additionally, since there is no mention of any special allocation or distribution rules in the partnership agreement, Aston's $5,000 distribution would not affect his share of the partnership's profits. It's important to note that the long-term capital gain of $12,000 would not factor into Aston's share of the ordinary income, as capital gains are not considered ordinary income.


Answer: Since Aston and Becker are equal partners in the AB partnership, they will each receive 50% of the partnership's ordinary income. To calculate Aston's share of AB's ordinary income, you simply divide the ordinary income of $20,000 by 2:

1. Determine the equal share percentage: 100% / 2 partners = 50%.
2. Calculate Aston's share: $20,000 (ordinary income) x 50% (Aston's share percentage) = $10,000.

Aston's share of AB's ordinary income is $10,000.

To know more about ordinary income, visit:

https://brainly.com/question/15289356

#SPJ11

if a property owner has to pay a broker a commission for any sale other than a sale procured by the owner herself, they have signed a/an:

Answers

Exclusive listing agreement.

An exclusive listing agreement is a contract between a property owner and a broker in which the broker has exclusive rights to market and sell the property for a specified period of time. In exchange for these exclusive rights, the property owner agrees to pay the broker a commission for any sale of the property, except for a sale procured by the owner herself.

An exclusive listing agreement is a legally binding contract that outlines the terms and conditions of the relationship between a property owner and a broker. This type of agreement is commonly used in the real estate industry, and it gives the broker the exclusive right to market and sell the property for a set period of time. One of the key provisions of an exclusive listing agreement is the commission structure. In most cases, the broker is entitled to a commission on any sale of the property that occurs during the term of the agreement. This commission is typically a percentage of the sale price, and it is paid by the property owner at the time of closing. However, there are some exceptions to this commission structure. For example, if the property owner procures a buyer on their own, without the assistance of the broker, then the broker is not entitled to a commission on that sale. Similarly, if the property is sold to a family member or a close friend of the property owner, then the broker may not be entitled to a commission. In general, an exclusive listing agreement is a beneficial arrangement for both the property owner and the broker. The property owner benefits from the broker's expertise and marketing resources, while the broker has the exclusive right to sell the property and earn a commission on the sale. However, it is important for both parties to fully understand the terms of the agreement before signing it, including the commission structure and any exceptions that may apply.

To know more about agreement visit:

https://brainly.com/question/31728966

#SPJ11




if a company believes its sales returns will be material, an adjusting entry for expected returns should be made to which account? multiple choice question. accounts receivable sales discounts sales returns bad debt expense

Answers

If a company believes its sales returns will be material, an adjusting entry for expected returns should be made to the sales returns account.


The sales returns account is a contra-revenue account that records the amount of sales returns or merchandise that customers return to the company. By making an adjusting entry for expected returns to this account, the company can accurately reflect the amount of revenue that is likely to be reduced due to returns in the current accounting period.
An adjusting entry for expected returns should be made to the Sales Returns account. Sales refunds are seen as a counter revenue account because they lower the company's revenue.

To know more about Sales Return visit :

https://brainly.com/question/28938950

#SPJ11

Forecasting large-scale weather events several days in advance is ____.a. rarely attemptedb. generally done with near-perfect accuracyc. less accurate than forecasting the precise evolution and movement of small-scale, short-lived weathersystemsd. more accurate than forecasting the precise evolution and movement of small-scale, short-lived weathersystems

Answers

Anticipating large-scale weather events several days ahead of time is less exact than anticipating the precise evolution and movement of small-scale, short-lived weather systems. Here option C is the correct answer.

Forecasting large-scale weather events several days in advance is a complex and challenging task that is frequently attempted by meteorologists and weather forecasters. However, it is not generally done with near-perfect accuracy due to the inherent uncertainty and variability of the Earth's atmosphere.

Large-scale weather events, such as hurricanes, typhoons, and major storm systems, are influenced by a range of factors, including temperature, humidity, atmospheric pressure, and wind patterns, which can vary widely over time and space. Predicting how these factors will interact and evolve over several days is a daunting task, even with the aid of sophisticated computer models and data analysis techniques.

Moreover, forecasting large-scale weather events often involves making probabilistic predictions based on statistical models and historical data. While these models can provide valuable insights into the potential paths and impacts of weather systems, they are inherently limited by the quality and completeness of the data they are based on, as well as the assumptions and uncertainties inherent in any statistical model.

To learn more about weather systems

https://brainly.com/question/15596858

#SPJ4

The adjusted trial balance for Pharoah Bowling Alley at December 31, 2020, contains the following accounts.

Debits :
Buildings $128,800
Accounts Receivable 14,800
Prepaid Insurance 4,000
Notes Payable 96,400
Equipment 61,300
Land 69,000
Insurance Expense 600
Depreciation Expense 7,000
Interest Expense 2,400
$306,900

Credits
Owner's Capital $119,300
Accumulated Depreciation-Buildings 42,300
Accounts Payable 11,200
Cash 19,000
Accumulated Depreciation-Equipment 18,300 Interest Payable 2,900
Service Revenue 16,500
$306,900

Prepare an owner's equity statement. (List items that increase owner's equity first.)

Answers

To prepare an owner's equity statement for Pharoah Bowling Alley as of December 31, 2020, we need to first list the items that increase owner's equity. These include:- Owner's capital: $119,300

Next, we need to calculate the total amount of decreases in owner's equity by listing the items that decrease owner's equity:- Accumulated depreciation-buildings: $42,300
- Accumulated depreciation-equipment: $18,300
Finally, we can calculate the total owner's equity by subtracting the total amount of decreases from the total amount of increases:
Owner's equity = Owner's capital - Total decreases
Owner's equity = $119,300 - ($42,300 + $18,300)
Owner's equity = $58,700
Therefore, the owner's equity statement for Pharoah Bowling Alley as of December 31, 2020 is:
Owner's Equity
Increase:
Owner's capital                $119,300
Total increase                  $119,300
Decrease:
Accumulated depreciation - buildings    $42,300
Accumulated depreciation - equipment  18,300
Total decrease                              $60,600
Total owner's equity: $119,300 - $60,600 = $58,700.

For more such questions on equity

https://brainly.com/question/30397975

#SPJ11

the local supermarket buys lettuce each day to ensure really fresh produce. each morning, any lettuce that is left from the previous day is sold to a dealer that resells it to farmers who use it to feed their animals. this week, the supermarket can buy fresh lettuce for $12.00 a box. the lettuce is sold for $22.00 a box and the dealer that sells old lettuce is willing to pay $3.00 a box. past history says that tomorrow's demand for lettuce averages 264 boxes with a standard deviation of 47 boxes. how many boxes of lettuce should the supermarket purchase tomorrow? note: use excel's norm.s.inv() function to find the z value. round your answer to the nearest whole number.

Answers

The supermarket should purchase 264 + 93 = 357 boxes of lettuce tomorrow to meet demand with a 95% confidence level.

Based on past history, the supermarket should purchase enough lettuce to meet tomorrow's demand of 264 boxes plus some extra for a buffer.

To calculate the buffer, we can use the formula:
Buffer = z-value x standard deviation
We can find the z-value using Excel's norm.s.inv() function with a confidence level of 95%, which corresponds to a z-value of 1.96. The standard deviation is given as 47 boxes.
Buffer = 1.96 x 47 = 92.12
This should ensure that they have enough fresh lettuce for their customers, while also allowing them to sell any excess lettuce to the dealer at a profit.

To learn more about supermarket, visit:

https://brainly.com/question/5149256

#SPJ11

Factory Plant costs $200 per Standard Capacity Unit (SCU). How much will it cost to purchase an additional 5,000 SCU?

Answers

It will cost $1,000,000 to purchase an additional 5,000 Standard Capacity Units for the Factory Plant. To calculate the cost of purchasing an additional 5,000 SCU for a factory plant that costs $200 per SCU, you would simply multiply the cost per SCU by the number of SCUs needed.

Therefore, the cost of purchasing an additional 5,000 SCUs would be:

$200 x 5,000 = $1,000,000

This means that it would cost $1 million to purchase an additional 5,000 SCUs for the factory plant.

It is important to note that SCUs are used to measure a factory's production capacity, and the cost of each SCU can vary depending on the industry and the type of equipment required. Factory plants may need to purchase additional SCUs in order to meet demand and increase production capacity.

Investing in additional SCUs can be a worthwhile investment for a factory plant, as it can increase production efficiency, lower costs per unit, and improve overall profitability. However, it is important to carefully evaluate the costs and benefits of purchasing additional SCUs to ensure that it is the right decision for the business.

To know more about the cost of purchasing refer here:

https://brainly.com/question/28446697#

#SPJ11

leaders should adjust their use of power a. based on the people the leaders are trying to influence b. all of these are correct. c. if employees are motivated by monetary rewards. d. under no circumstances e. based on the industry they work in.

Answers

The answer to your question is a. Leaders should adjust their use of power based on the people they are trying to influence.

Different individuals and groups have varying needs, values, and motivations, and effective leaders understand how to adapt their leadership style and use of power to accommodate these differences. This includes being aware of cultural, gender, and generational differences, as well as the unique characteristics of the industry or organization in which they work. While monetary rewards can be a motivator for some employees, it is not the only factor to consider when adjusting the use of power. Ultimately, the most successful leaders are those who are able to flexibly and empathetically use their power to influence and motivate their teams.

Leaders should adjust their use of power based on all of these factors: a. the people they are trying to influence, b. if employees are motivated by monetary rewards, and e. the industry they work in. Considering these factors allows leaders to effectively lead and motivate their team members, ultimately leading to better performance and success in their respective industries.

To know more about successful leaders, visit:

https://brainly.com/question/28503627

#SPJ11

the pharmaceuticals division of omni healthcare holds low market share in a high-growth market. in order to increase market share, managers would be most likely to decide which of the following? group of answer choices retain the pharmaceuticals division's share implement a harvest strategy use money from a cash cow to promote the pharmaceuticals division divest the sbu diversify the pharmaceutical division

Answers

The pharmaceuticals division of Omni Healthcare holds low market share in a high-growth market, managers would be most likely to decide to implement a diversification strategy to increase market share.

This approach involves expanding the range of products and services offered by the division, thereby enabling it to tap into new markets and gain a competitive edge. Retaining the pharmaceuticals division's share or using money from a cash cow to promote the division may not be effective strategies in this scenario, as they do not address the underlying issue of low market share. Divesting the SBU or implementing a harvest strategy may also not be ideal options as they involve reducing investment in the division, which could further harm its growth potential.

To learn more about managers, visit:

https://brainly.com/question/28444311

#SPJ11

the arbitrage condition for capital demonstrates that under profit-maximizing conditions: group of answer choices returns to a bank account are equal to the return to capital. profit maximizing will yield the optimal amount of capital a firm should buy. if taxes are zero, profits are maximized. the user cost is less than the marginal product of capital. returns to a bank account are equal to the user cost of capital.

Answers

The arbitrage condition for capital is a crucial concept in economics that demonstrates that under profit-maximizing conditions, returns to a bank account are equal to the return to capital.

In other words, if the return on investment in a bank account is higher than the return on investment in capital, firms will shift their investment towards the bank account, leading to a decrease in the demand for capital and ultimately equalizing the returns on both investments.
Profit-maximizing behavior will yield the optimal amount of capital a firm should buy.

This is because the goal of profit maximization is to maximize the difference between revenue and cost.

By buying too much capital, a firm incurs additional costs that may not be offset by the increased revenue generated.

Conversely, if a firm buys too little capital, it may not be able to produce enough output to generate sufficient revenue.
The arbitrage condition also holds true when taxes are zero, as profits are maximized in this scenario.

The absence of taxes means that there are no tax implications to consider when making investment decisions, allowing firms to maximize their profits without any external constraints.
The user cost of capital is another important consideration when determining the optimal level of investment in capital.

The user cost is the cost of using capital, which includes the opportunity cost of investing in capital instead of a bank account, as well as the wear and tear and obsolescence costs associated with owning and using capital.

If the user cost is less than the marginal product of capital, it is optimal for firms to invest in more capital, as the benefits of owning and using capital outweigh the costs.

Know more about arbitrage conditions here:

https://brainly.com/question/14678843

#SPJ11

What does the Federal Trade
Commission help protect?
A. All of the above
B. Trademarks
C. Copyrights
D. Patents

Answers

Answer:

A

Explanation:

The FTC's Bureau of Consumer Protection stops unfair, deceptive and fraudulent business practices by: collecting complaints and conducting investigations. suing companies and people that break the law. developing rules to maintain a fair marketplace. Meaning they stop any type of marketplace issue so the answer would be A.

because a mortgage involves the transfer of real property, to comply with the statute of frauds, it must be group of answer choices witnessed by a disinterested third party. recorded. written. in good faith.

Answers

When it comes to mortgages, there are specific legal requirements that must be met to ensure the validity of the transaction. One of these requirements is compliance with the statute of frauds, which means that any transfer of real property must be recorded in writing. This is why a mortgage must be a written agreement between the lender and the borrower.

Additionally, the agreement must be witnessed by a disinterested third party, meaning someone who has no financial interest in the transaction. This is to ensure that the agreement is entered into in good faith and is not fraudulent. Finally, the mortgage must be recorded, which means that a copy of the written agreement is submitted to the local government office that handles real estate transactions. This recording ensures that the mortgage is a matter of public record and that it is legally binding. In short, to comply with the statute of frauds, a mortgage must be a written agreement witnessed by a disinterested third party and recorded.

To know more about mortgages visit:

https://brainly.com/question/31147395

#SPJ11

Other Questions
husband and wife, u.s. citizens, were married for the entire year 1 calendar year. in year 1, the husband gave a $60,000 cash gift to his sister. the husband and wife made no other gifts in year 1. they each signed a timely election to treat the $60,000 gift as one made by each spouse. assume that the gift tax annual exclusion is $15,000. disregarding the unified credit and estate tax consequences, what amount of the year 1 gift is taxable to the husband and wife for gift tax purposes? How effect is the Humanistic client-centered therapy approach to helping with GAD? One of the most remarkable changes has been ______, or globalization as it relates to money and finance.\ what contributes to the relevance of a document with respect to a query in the context of a search engine? group of answer choices the geographic origin of the document the geographic location of the person who's querying the author of the document prior queries made by the same user textual similarity the popularity of the document Jake, a new employee at a textile company, does not feel comfortable with a new tool implemented by the HR department. The tool gives information about organization policy and structure to its employees. The HR department says that the tool would promote interaction and engagement between employees and upper management. Jake states that the tool is non-interactive. He says that the tool does not feel him connect with his peers and the upper management of the organization. According to the self-determination theory, this tool does not help in meeting Jake's need for _____. whats it what to Senator Smith are the significant characters of the republican party, and the Democratic admission at the time shes delivering the speech why is she concerned about both of them so it takes for evidence to support your answer? which is true regarding the neolithic period? development of weapons domestication of the dog dwellings constructed primitive writing In primary succession of sand dunes, the first species to colonize are a. lichens. b. grasses. c. herbs. d. mosses. in prokaryotes and eukaryotes, dna synthesis begins at ____ , where opens a replication bubble Which of the following does NOT describe actions of interferon IFN?a. Virally infected cells can release interferon which attracts natural killer cells to attack and kill the IFN secreting cell.b. IFN binds to normal uninfected cells stimulating the activation of genes that produce anti-viral proteins.c. IFN will attract macrophages to the secreting cell to be removed by phagocytosis.d. IFN can penetrate the viral capsid and destroy the virus. Which specialized administrator would be responsible for the design, development, and support of DBMSs?1. web administrator2. security administrator3. database administrator4. system administrator As of 2018, ___ has more listings than Hilton, the biggest hotel chain on earth, has hotel rooms. when a set of traits or style is associated with a particular group of artists, the group is known as: multiple choice question. school what data are represented by the stem-and-leaf plot below When planting seeds it is not important to put the seed in any particular direction. Which type of response in plants tells the roots which way to grow?. 5. Longest Palindromic SubstringGiven a string s, return the longest palindromic substring in s.Constraints:1 Penny is 57 years old and she participates in her employers 401(k) plan. During the year, she contributed $2,000 to her 401(k) account. Pennys AGI is $36,000 after deducting her 401(k) contribution. What is Pennys savers credit in each of the following alternative scenarios? (Use Exhibit 13-8) (Leave no answer blank. Enter zero if applicable.)a. Penny is not married and has no dependents.b.Penny files as a head of household and she has three dependents.c. Penny files as a head of household and she has one dependent.d. Penny is married and files a joint return with her husband. They have three dependents.e. Penny files a separate tax return from her husband. She claims two dependent children on her return. b.dr. james lighthouse has just graduated from stony brook university with a dental degree. he got his license to practice dentistry. but he has no office to practice in. his dad is building a dental office for him and it will be ready for practice in 3 months. what kind of unemployed person is dr. lighthouse considered? the native people of Florida, whom the Spanish displaced with the founding of St. Augustine, the first Spanish settlement in North Americ Injury to Facial Nerve at brain level