Mark should pay $636.96 today for the annual membership, if the appropriate interest rate is 10%.
How do you calculate the cost of the one-time payment?To calculate the cost of the one-time payment, we need to find the present value of the 12 monthly payments of $60 each.
Using the formula for present value of an annuity, we have:
PV = PMT x [1 - (1 + r/n)^(-nt)] / (r/n)
where:
PMT = the monthly payment amount ($60)
r = the interest rate (10%, or 0.1)
n = the number of times the interest is compounded per year (12, since the payments are monthly)
t = the number of years (1, since the membership is for one year)
Plugging in the values, we get:
PV = 60 x [1 - (1 + 0.1/12)^(-12)] / (0.1/12)
PV = $636.96
Therefore, Mark should pay $636.96 today for the annual membership.
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A cost remains unchanged when the volume of activity changes within the relevant range.a. Trueb. False
A cost remains unchanged when the volume of activity changes within the relevant range. This, statement was true. Thus, option (a) is correct.
What is the cost?The term cost refers to the actual money are spent on the manufacturing of the product. The product are manufacture to spend on money are raw material, transportation, wages, salary, and other expenses add. The all expenses are added to identify the cost.
Fixed costs are expenses was no to the changed. Cost remains unchanged such as rent on a building, cost of insurance, and the salaries of employers. It was the cost unchanged when the mass of activity alterations.
As a result, the significance of the statement is true are the aforementioned. Therefore, option (a) is correct.
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Growing up with dyslexia, Stephanie always struggled in English and Reading. Math was a breeze for her, though. Along the way, there were a few teachers who really worked closely with Stephanie to help her absorb the information she needed, and they showed her how to make learning fun! Stephanie particularly loved studying trigonometry and even her high school teacher is having difficulty keeping up with her. Now that she has been able to figure out how to study, education no longer scares Stephanie. In fact, she finds it a great way to explore and understand the world around her!
Based on what you know about Stephanie, create a personalized career pathway form for her. On this form, you need to include the following information:
Recommended pathway for Stephanie
Skills that Stephanie has that would be valuable in this career
What type of education is required to work in this career pathway
A description of where she might work and what tasks she might perform
The suggested career path for Stephanie is in architectural and structural designs. She can also excel in mechanical and civil engineering, particularly in the areas of design and fabrication requirements.
Explain every detail, in your own words?
a. Stephanie has a number of qualities that can be useful in her work, including her capacity for information retention, her proficiency with trigonometry, and her capacity for exploration and understanding of her surroundings.
b. Since Stephanie is no longer afraid of school, she can continue her formal education. She can decide to learn through non-formal means, such as working as an apprentice architect, if she thinks it's a little unnecessary.
c. Stephanie excels in many engineering disciplines, particularly design, where the majority of her trigonometry knowledge will be useful.
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A change in taxes and subsidies on producers alters market?
Taxes reduce supply, changing the market's equilibrium to one with a higher price and less supply. A subsidy boosts supply, changing the market's equilibrium to one with a lower price and more products.
How do tax and subsidy policies impact market supply?Taxes and regulations are seen by the firm as additional production costs that cause supply to shift to the left and cause the firm to produce less at each price point. Government assistance lowers production costs and boosts supply at every price, moving supply to the right.
The price of items is altered by taxes and subsidies, which has an impact on how much is consumed. The application of an Ad valorem tax differs from that of a particular tax or subsidy.
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A change in taxes and subsidies on producers can significantly alter the market by affecting the cost of production, changing the supply of goods, and shifting market equilibrium.
Explanation:Yes, a change in taxes and subsidies on producers significantly alters the market. These changes affect the cost of production and thus the supply of goods in the market. For instance, an increase in taxes raises the cost of production causing a decrease in supply. Conversely, an increase in subsidies lowers the cost of production leading to an increase in supply. The changes in supply cause shifts in the market equilibrium, thereby altering the price and quantity of goods sold in the market.
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the approach a company takes when it bases foreign operations on an informed knowledge of its organizational culture along with home- and host-country needs, capabilities, and constraints is called . question 22 options: polycentrism ethnocentrism neocentrism geocentrism
the approach a company takes when it bases foreign operations on an informed knowledge of its organizational culture along with home- and host-country needs, capabilities, and constraints is called Geocentrism.
“ Geocentrism ” refers to a cosmological and planetary proposition, in which the Earth occupies the central position of the world system. In age and in the Middle periods, geocentrism was the most common cosmological view, although some astronomers and philosophical seminaries embraced indispensable fancies about worldly order. During the Renaissance, debates following Nicolaus Copernicus’s offer of a heliocentric planetary proposition urged a retrospection of traditional geocentric( and geostatic) arguments( see “ Copernicanism ” and “ Astronomy ”).
This also led to their revamping and expansion. Aristotle’s and Ptolemy’s arguments were attentively reevaluated . numerous scholars supposed them conclusive and thus stuck to terrestrial centrality indeed after parallax calculation( in the 1580s, especially Tycho Brahe) and telescopic substantiation( after 1610, especially Galileo Galilei) demonstrated the impossibility of geocentric paths for Mars and the inferior globes.
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after the adjusting entries have been completed, the adjusted balance in the supplies account represents: multiple choice question. the cost of supplies purchased during the accounting period the cost of supplies remaining at the end of the accounting period the cost of supplies purchased but not yet paid for at the end of the accounting period the cost of supplies used during the accounting period
Following the completion of the adjusting entries, the adjusted balance in the supply account represents: The residual supply cost at the conclusion of the accounting period.
The supplies account is a type of asset account that keeps track of the costs of supplies acquired and consumed throughout the accounting period. When supplies are purchased, an increase to the supplies account is noted. As supplies are utilized, they are deducted from the supply account. An adjustment entry is made at the conclusion of the accounting period to reflect the quantity of supplies utilized. This adjusting entry decreases the supply account while increasing a cost account, such as the supplies expense. After this input, the modified amount in the supply account indicates.
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refer to the graphs above. suppose a firm is currently producing 500 computers per week and charging a price of $1000. how will the firm respond to a negative demand shock if prices are flexible?
Sell 650 laptops at a cost of $1,000 each. The graph can be found in the file below. A positive demand shock is depicted by D3 in the graph as a shift to the right of the demand curve.
Negative events reduce output and increase unemployment. Positive shocks increase production while decreasing unemployment. The impact on inflation, however, will vary based on whether the shock was a supply shock or a demand shock.
In D3, the point of equilibrium intersects at $1,000 and 650 computers; thus, in the event of a positive demand shock, the firm would make 650 computers and charge $1,000.
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zack owns a bond that will pay him $35 each year in interest plus a $1,000 principal payment at maturity. the $1,000 principal payment is called the
The $1,000 principal payment at maturity is called the "face value" or "par value" of the bond.
The face value of a bond is the amount that the bondholder (in this case, Zack) will receive at the end of the bond's term, which is also known as the bond's maturity date. In addition to the face value, bonds often pay periodic interest payments to their holders, which are typically fixed and paid out annually or semi-annually.
In this case, Zack's bond pays him $35 in interest each year, which is also known as the "coupon rate" or "coupon payment." When the bond reaches maturity, Zack will receive the face value of $1,000 in addition to any interest payments that he has already received.
Overall, bonds are a type of debt security that are issued by companies, municipalities, and governments to raise capital. They are a popular investment option for individuals and institutions who are seeking a relatively stable and predictable source of income, as well as a relatively low level of risk compared to other types of investments.
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voltanis corporation has preferred stock outstanding that will pay an annual dividend of $3.87 every year in perpetuity. if the stock currently sells for $98.65 per share, what is the required return?
Voltanis Corp. has preferred stock outstanding that will pay an annual dividend of $2.85 every year in perpetuity. If the stock currently sells for $92.87 per share, 3.07% is the required return.
R = $2.85/$92.87
= .0307,
or 3.07%
The necessary return on a stock is the expected rate of return on a financial asset or a stock. This interest rate is equal to the interest rate at which the cashflows from the stock would be discounted to the current price.
The dividend per share (DPS) is usually indicated as a percentage of the par value or as a fixed sum. In this scenario, we're considering the most basic type of preferred stock, with no convertibility or callable characteristics.
The value of preferred stock is equal to the present value (PV) of its monthly dividends (i.e. the cash flows to preferred shareholders), multiplied by a discount rate.
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in march, sunland company had the following unit production costs: materials $8 and conversion costs $6. on march 1, it had no work in process. during march, sunland completed and transferred out 24,800 units. as of march 31, 5,000 units that were 40% complete as to conversion costs and 100% complete as to materials were in ending work in process. (a) compute the total units to be accounted for. total units enter a total number of units
To calculate the total units to be accounted for, add the units finished and transferred out to the units in the final stages of work in progress. Total units to account for = finished.
and transferred units + units in the final stages of work in progress Units finished and transferred out = 24,800 Units in final stages of completion = 5,000 As a result, the total number of units to account for is 24,800 + 5,000 = 29,800. sunland company had the following unit production costs: materials $8 and conversion costs $6. on march 1, it had no work in process. during march, sunland completed and transferred out 24,800 units. as of march 31, 5,000 units that were 40% complete as to conversion costs and 100% complete as to materials were in ending work in process.
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the characteristics of consumers and organizations that marketers use to divide a market into segments are known as _______.
Marketers divide a market into segments based on the traits of consumers and organisations, which are referred to as segmentation grounds.
Which segments fall into which categories?
Interests, a way of life, age, gender, and other factors are typical features of a market segment. Common examples include market segmentation based on location, demography, psychology, and behaviour. Geographic, psychographic, behavioural, and demographic market segmentation are considered to be the four primary categories; however, there are other variants on these four major types as well as a wide range of additional tactics you might employ. You might wish to consider the following additional strategies.
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the two most important reasons for adopting person-focused pay? person-focused pay programs represent important innovations in the compensation field. person-focused pay systems imply that employees must move away from viewing pay as an entitlement. instead, these systems treat compensation as a reward earned for acquiring and implementing job-relevant knowledge and skills. advocates of person-focused pay programs offer two key reasons that firms seeking competitive advantage should adopt this form of compensation: technological innovation and increased global competition. question 2 options: true false
True. Technological advancement and heightened international competitiveness are the two most significant justifications for adopting person-focused remuneration. Employees who acquire and apply job
Person-focused pay is a type of compensation plan intended to encourage employees to acquire and apply information and skills that are pertinent to their jobs. By seeing compensation as a reward that must be earned, this strategy departs from the conventional notion of pay as an entitlement. Person-focused compensation schemes put an emphasis on each employee's unique contribution to the success of the company. To keep up with the shifting requirements of their jobs and the larger industry, employees are urged to advance their knowledge and abilities. A trained and flexible staff is crucial to sustaining a competitive edge in industries that are subject to technological innovation and rising
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procter & gamble recently lost $550 million on its operations in russia due to devaluation of the russian ruble, which is a risk associated with fluctuations in
Procter & Gamble recently experienced a $550 million loss on its operations in Russia as a result of the Russian ruble's depreciation. Changes in the currency exchange rate pose a danger.
Currency Exchange Rate: What is it?Value of one currency expressed in terms of another, such as the cost of a US dollar in Swiss francs, euros, or Japanese yen. When pricing products for global markets, exchange rates should be a key consideration. Mattel had to learn this lesson the hard way. The company recently struggled to sell its popular Holiday Barbie doll and accessories in numerous foreign countries because of high rates. Why? Barbie's prices, expressed in U.S. dollars, were set without taking into account how they would convert to foreign currencies and were therefore too high for many customers.
Exchange rate fluctuations have an impact on the sales and profits made by international firms. For instance, when foreign currencies can buy more U.S. dollars, U.S. items are less expensive for international customers. Short-term fluctuations, however, have a considerable impact on the profitability of multinational firms. 20 Currency rate fluctuations allowed Hewlett-Packard to generate an additional profit of more than $500,000 over the past year. The weakening of the Russian currency in 2001, on the other hand, cost Procter & Gamble $550 million in losses from its business in Russia.
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firms can highlight a product's relative advantage, which refers to which perception among consumers about the product?
Firms can highlight a product's relative advantage, refers to perception among consumers about the product is that it is better than the substitute.
Who are the economics world's producers and consumers?The economy of a society is built on the creation of wealth through selling and purchasing. Producing and consuming are done by consumers and producers respectively. Consumers use their money to purchase the things and services that producers generate or produce. The majority of people are both consumers and producers.
What part does the consumer play in the economy?Because customers are the ones who make purchases, their position in an economic system is essential. Finding, retaining, and serving customers are the main goals of marketing. Prior to producing anything of value, a corporation should first acknowledge the intense want or need of potential clients.
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What does a GDP deflator of 100 mean?
The GDP deflator, like the consumer price index (CPI), measures price inflation or deflation in relation to a certain base year, with the GDP deflator of the base year itself being equal to 100.
If the GDP deflator is more than 100, the economy has experienced an increase in the level of prices since the base year. In other words, there has been inflation in the economy. The average price of the product increased by 12%, for instance, if the GDP Deflator is 112 in the year after the base year. It is used to estimate the annual price levels of newly created final products and services in a nation. GDP deflector is used in conjunction with the Consumer Price Index (CPI) to measure inflation because it indicates changes in the economy's average price levels.
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using the following accounts and a predetermined overhead rate of 150% of direct labor cost, compute the amount of applied overhead. work in process inventory debit credit beginning 34,300 direct materials 54,500 direct labor ? overhead applied ? cost of goods manufacturing 173,300 ending 24,300 finished goods inventory debit credit beginning 4,300 cost of goods manufacturing 173,300 multiple choice $88,800. $81,750. $108,800. $43,520. $65,280.
The answer is closest to option (b) $81,750.
To compute the amount of applied overhead, we need to first determine the amount of direct labor cost.
Direct labor = Total manufacturing costs - (Beginning WIP inventory + Direct materials)
Direct labor = $173,300 - ($34,300 + $54,500) = $84,500
Now we can calculate the amount of applied overhead:
Applied overhead = Predetermined overhead rate x Direct labor cost
Applied overhead = 150% x $84,500 = $126,750
Therefore, the answer is closest to option (b) $81,750.
In business, overhead or overhead expense refers to an ongoing expense of operating a business. Overheads are the expenditure which cannot be conveniently traced to or identified with any particular revenue unit, unlike operating expenses such as raw material and labor.
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What causes the price of bitcoin to rise and fall?
Answer: Bitcoin's price is primarily affected by its supply, the market's demand for it, availability, competing cryptocurrencies, and investor sentiment.
an amendment to the foreign corrupt practices act allowed for the use of blank which allow a business to receive the standard treatment it ought to receive from a foreign government. multiple choice question.
An amendment to the Foreign Corrupt Practices Act allowed for the use of "Facilitating Payments" which allow a business to receive the standard treatment it ought to receive from a foreign government.
Why it is?
Facilitating payments, also known as "grease payments," are payments made to foreign officials to expedite or facilitate routine governmental actions, such as obtaining permits or processing paperwork.
The FCPA prohibits bribes to foreign officials but includes a narrow exception for facilitating payments.
This exception was added to the FCPA to allow companies to engage in certain types of payments that are generally considered acceptable in foreign countries to expedite routine government actions.
It's worth noting that while facilitating payments are allowed under the FCPA, they can still be a gray area and may be considered unethical by some. Companies should always exercise caution and carefully assess the risks and potential consequences of any type of payment made to foreign officials.
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which of the following statements about the price elasticity of demand is correct? question 8 options: the price elasticity of demand for a good measures the willingness of buyers of the good to buy less of the good as its price increases. none of the above are correct. other things equal, if good x has close substitutes and good y does not have close substitutes, then the demand for good x will be more elastic than the demand for good y. price elasticity of demand reflects the many economic, psychological, and social forces that shape consumer tastes.
The correct statement about the price elasticity of demand is: "Other things equal, if good X has close substitutes and good Y does not have close substitutes, then the demand for good X will be more elastic than the demand for good Y."
This remark illustrates the idea that the availability of replacements for a specific product influences price elasticity of demand. If a product has several close substitutes on the market, consumers have more options to choose from and are thus more sensitive to changes in the product's price. As a result, the product's demand will be more elastic.
In contrast, if a product lacks close substitutes on the market, buyers may have fewer options and may be ready to pay more for the goods, making demand for the product less elastic.
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how to estimate the average number of days that elapses between the right to invoice customers and the recognition of the associated revenue
The average collection period measures how long it takes a company to collect accounts receivable payments due from its clients (AR).
Businesses check their cash balance to make sure they have enough to cover their debts on time using the average collection period. A crucial number for businesses that primarily rely on receivables for their cash flows is the average collection period, which serves as a gauge of how well a company manages its accounts receivable. The phrase "accounts receivable" in business refers to the sum of money that organisations owe a firm after making a purchase of goods or services. Customers are typically given credit by businesses when making these sales to them. Current assets (AR) are stated as a measure of a company's liquidity on their balance sheets.
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why is the official measure of the unemployment rate not necessarily an accurate depiction of a country's joblessness?
Since it doesn't count people who aren't working or those who aren't seeking for work, the official unemployment rate is frequently criticized for underestimating the true amount of unemployment.
What is the US's official unemployment rate at the moment?You may find further details in the notes just at beginning of page 4. Both the unemployment rate and the overall number of unemployed persons, which were both 5.7 million in January, did not move significantly. The unemployment rate hasn't changed significantly overall since the beginning of 2022.
In 2022, what will be the unemployment rate?Uttar Pradesh's unemployment rate for the previous month was 4.22%. Even though the unemployment rate in Uttar Pradesh has been fluctuating a lot lately, it tended to rise from February 2022 to January 2023, when it reached 4.22% last month.
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reena industries has $138,000 of debt outstanding that is selling at par and has a coupon rate of 7 percent. if the tax rate is 21 percent, what is the present value of the tax shield on debt?
Reena industries has $138,000 of debt outstanding that is selling at par and has a coupon rate of 7 percent. If the tax rate is 21 percent, the present value of the tax shield on debt is $ 46,920.
Debt outstanding is $138,00 and the Coupon rate is 7%
Coupon payment is $ 9,660, 138000*7%
Tax shield is $ 3,284.40, 9660*34%
Assuming interest rate of 7%
PV of tax shield is 3284.40/7%
PV of tax shield will be $ 46,920
The obligation to pay money or other agreed value to a third party, a creditor, is called a debt. Debt differs from an immediate purchase in that payments are deferred or in installments. A sovereign state or country, city government, company or individual may be liable for the debt.
Hence the correct option is C
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The above question is incomplete, the complete question is-
Question 34 2.23 pts Reena Industries has $138,000 of debt outstanding that is selling at par and has a coupon rate of 7 percent. If the tax rate is 34 percent, what is the present value of the tax shield?
A. $28,412
B. $51,010
C. $46,920
D. $9,660
if income is 4,800, consumption is 3,500, government spending is 1,000, and taxes minus transfers are 800, private saving is:
If revenue is 4,800, demand is 3,500, government expenditure is 1,000, taxes minus subsidies are 800, and private saving is 500, then this is what is meant by the statement. The correct option is d).
What does private saving mean in a free market?The total of household and company savings including private savings. Additionally, the sum of private sector and public sector deposits equals national savings. They stand in for a nation's domestic pool of available capital for loans. High savings therefore translate into additional funds for economic investment.
income = 4,800 - (800)
income = 4,000
private saving = income - Consumption
private saving = 4,000 - 3,500
private saving = 500
Therefore, private saving is $500.
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The Complete Question :
If income is 4,800, consumption is 3,500, government spending is 1,000, and taxes minus transfers are 800, private saving is:
a. 300. b. 1,000. c. 1,300. d. 500.
52.0% complete question each of the following are requirements imposed by law on qualified tax-advantaged retirement plans except: a.plan documentation. b.employee vesting. c.selective employee participation. d.employee communications.
Question answered with a 52.0% accuracy Except for selected employee participation, each of the following conditions for qualifying tax-advantaged retirement plans are mandated by law.
A tax-advantaged IRA is what, exactly?You can save money tax-advantageously for retirement by opening an independent retirement account (IRA). An individual can save for retirement with income growth or a tax-deferred basis by opening an IRA at a financial institution.
What distinguishes tax-advantaged accounts from taxable ones?Investments that lose less their gains to taxes are a good fit for taxable accounts, including brokerage accounts. For investments to lose more of their earnings to taxes, tax-advantaged accounts like an IRA, 401(k), or Traditional Ira are typically a better home.
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What are the four classification of consumer product?
Convenience goods, shopping goods, specialty products, and unsought goods are the four categories of products, and each is categorised according to consumer preferences, pricing, and product features.
What is meant by convenience?
a characteristic or circumstance that makes something simple or practical for someone by cutting down on the effort or time needed to complete it. For the convenience of the shoppers, there was an elevator. I like how convenient it is to live close to a post office. the attribute of being practical or appropriate. anything, whether it is a tool, appliance, or otherwise, that makes one's life easier, more comfortable, or both. At your convenience: in a convenient setting or moment.
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Fixed costs remains unchanged in amount when the volume of activity varies from period to period within a relevant range.true or false?
Fixed costs remain unchanged in amount when the volume of activity varies from period to period within a relevant range. The given statement is True.
The fixed cost is independent of the production of goods and services. It does not vary with the production level of goods and services. Fixed cost is the fixed expenditure that does not change in respect of the volume of the units produced. It is a capital expenditure.
The fixed cost does not vary with the production, this is because the expenses are directly related to the cost of production of products. It is independent of production. Rent is the best example.
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Decide how each cost is treated on an income statement prepared using the variable costing approach. Indicate whether each cost item is treated as a period cost or product cost.1. Direct labor2.Fixed manufacturing overhead3.Variable manufacturing overhead4.Fixed selling and administrative expenses5.Variable selling and administrative expenses
In the variable costing approach, costs are classified as either product costs or period costs. The treatment of each cost on an income statement depends on its order.
Direct labor and variable manufacturing outflow are considered product costs because they're directly associated with the product of goods. These costs are included in the cost of goods vended and expensed when the product is vended. The fixed manufacturing above, fixed selling and executive charges, and variable selling and executive charges are treated as period costs because they aren't directly tied to the product of goods.
These costs are expensed in the period in which they're incurred and aren't included in the cost of goods vended. These distinctions is pivotal for directly calculating the cost of goods vended and the gross profit for a business.
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jing is considering whether to take a job placement in los angeles, california or mobile, alabama. before deciding, she is interested in understanding the cost-of-living differences between both places. jing will consult a cost of living comparison calculator to inform her decision. question 6 options: true false
True. Jing is making a decision that could be influenced by the cost-of-living differences between two locations, and consulting a cost of living comparison calculator is a reasonable way to inform that decision.
What role does cost accounting play in making decisions?Data for periodic income statements and balance sheets, as well as real numbers to compare with predictions for various periods, are provided by cost accounting. Business managers who analyse this data are better able to make decisions.
What part does cost theory play in corporate decisions?Cost considerations are crucial while making company decisions. Pricing starts with the cost of manufacture. It assists managers in making wise decisions on things like how much to charge, whether to place a specific order for inputs or not, whether to drop or add a product to the current product lineup, and more.
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he elasticity of supply seeks to measure the sensitivity of changes in the quantities of goods and services produced by companies to changes in the sale ...
The elasticity of supply seeks to measure the sensitivity of changes in the quantities of goods and services produced by companies to changes in the sale is known as Price elasticity of demand.
How would you define price elasticity?Price elasticity quantifies how responsively a good's supply and demand are to changes in price. It is calculated by dividing by the percentage change in price the percentage change in quantity demanded—or delivered.
Why is elasticity so crucial?For setting the prices of various manufacturing inputs, the concept of demand elasticity is crucial. The elasticity of the demand for production inputs determines how much they are paid. In other words, a factor's price will be high if demand is inelastic, and low if demand is elastic.
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what other factors should johnson and gomez, inc., consider before a final decision is made? (you may select more than one answer. single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. any boxes left with a question mark will be automatically graded as incorrect.) check all that apply possibility of merger of the firm with a bigger playerunanswered growth potential of the basic and enhanced modelsunanswered competitive products in the marketplaceunanswered aesthetic differences between the two productsunanswered break-even pointsunanswered data validityunanswered previous years' sales trendsunanswered production feasibilityunanswered
Merger of the firm with a bigger player unanswered growth potential of the basic and enhanced model unanswered competitive products in the marketplace factors should johnson and gomez, inc., consider before a final decision is made. In this case option A is correct
In a merger, two currently operating, independent businesses come together to create a brand-new, solitary legal entity. A voluntary merger occurs. Both businesses typically benefit from the transaction and are comparable in size and scope.
There are many reasons why companies merge. They might enable every business to access a fresh market, sell fresh goods, or provide fresh services. They can also change their pricing strategies, improve management, lower tax obligations, and reduce operational costs. The ultimate goal of corporate mergers is to increase size, scope, and revenue. In other words, mergers aid in increased revenue for businesses.
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a community college faculty is negotiating a new contract with the school board. the distribution of faculty salaries is skewed right by several faculty members who make over​ $100,000 per year. if the faculty want to give the community the impression that they deserve higher​ salaries, should they advertise the mean or median of their current​ salaries?
By emphasizing the median salary, the faculty can highlight the fact that most of them earn modest salaries and may deserve higher compensation for their work.
Why it is?
If the distribution of faculty salaries is skewed right and there are several faculty members who make over $100,000 per year, then the mean salary will be higher than the median salary.
In this case, advertising the mean salary would likely give the impression that the faculty earns higher salaries than they actually do, since the mean is sensitive to outliers or extreme values in the distribution.
Therefore, if the faculty wants to give the community the impression that they deserve higher salaries, it would be more appropriate to advertise the median salary rather than the mean salary.
The median is less affected by outliers and provides a better representation of the typical or central salary for the faculty. By emphasizing the median salary, the faculty can highlight the fact that most of them earn modest salaries and may deserve higher compensation for their work.
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