The ad for a line of high power batteries shows a rabbit running a marathon and emerging as the winner. this ad is using an animation commercial format.
One of the advantages of animation is that it can be used to create quick, 15–60 second videos that promote a company's goods or services. Advertising that uses animation is lighthearted, unobtrusive, and imaginative.
Brands utilize them most frequently in TV and social media advertising campaigns. Raising brand recognition is one of the most popular objectives that businesses use advertising animations to accomplish. One of the best ways to reach a new audience and draw in new clients is with a commercial animation video.
While other forms of videos, including explainer videos, primarily target current consumers, animation advertising is meant to draw in new clients and highlight your company's strengths.
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the creative team wants the new soda flavor to be advertised on the largest billboard available that will be easily seen on busy highways. they favor this approach because it guarantees heavy traffic and can be used long term. which type of standardized structure should they use for the ad?
The creative team wants the new soda flavor to be advertised on the largest billboard available that will be easily seen on busy highways. they favor this approach because it guarantees heavy traffic and can be used in long-term Bulletin type of standardized structure should they use for the ad.
What is Team?A team is any collection of individuals—human or otherwise—who cooperate to accomplish a common objective.
A team is a group of people who are interdependent with respect to information, resources, expertise, and skills and who strive to combine their efforts to achieve a common purpose," says Professor Leigh Thompson of the Kellogg School of Management.
While the amount of academic research on teams and teamwork has increased significantly over the past 40 years and consistently, the societal spread of teams and teamwork actually followed a choppy trajectory in the 20th century. The idea was first used in business in the late 20th century,
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what would cause the level of demand (meaning the relationship between price and quantity demanded) to shift?
The level of demand (meaning the relationship between price and quantity demanded) can shift: Population grows in a particular market area.
What is demand?Demand can be defined as the amount of goods or product consumer are willing or ready to buy at a particular period of time.
Some factors can tend to cause demand to shift to either right or left or contribute to shift in demand and this factors includes the following:
Change in consumer tastes or preferenceIncomePopulation grows in a particular market area etc.Therefore the when demand shift it can lead to increase or decrease in the quantity demanded.
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if people demand more netflix subscriptions when the price of hulu subscriptions falls, then netflix and hulu are:
Netflix and Hulu are substitutes if more individuals desire Netflix memberships as the cost of Hulu subscriptions decreases.
In microeconomics, two things are considered substitutes if customers may use them for the same purpose. Having more of one thing makes a buyer want less of the other good because they regard both goods as similar or equivalent.
Contrary to independent and complementary products, substitute goods may displace one another in usage as a result of shifting economic conditions. Coca-Cola and Pepsi are two examples of substitute commodities; they may be used interchangeably because they both meet the same need, which is the demand of customers for a soft drink. These replacements are referred to as "near substitutes."
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washington city recognizes as revenues/expenditures those amounts collected/paid during the year or within 60 days of fiscal year-end. the city offers a pension benefit to its employees who meet certain age and years of employment criteria. the city participates in the state pension plan. the city's actuarially determined contribution requirement to the state pension plan for the fiscal year ended 6/30/18 is $4 million. due to cash inflow shortages the city, which budgeted $4 million for pension payments, paid only $3.5 million in the fiscal year ended 6/30/18. the city paid the remaining amount on september 30, 2018. assuming the city maintains its books and records in a manner that facilitates the preparation of its fund financial statements, what is the appropriate entry to record the pension payments and recognize any associated liability? a)debit expenditures $4 million; credit cash $3 million and pension payable $1 million. b)debit expenses $3.5 million; credit cash $3.5 million and pension payable $0 million. c)debit expenses $3 million; credit cash $3 million. d)debit expenditures $3 million; credit cash $3 million.
A. The journal entry will be debit expenditures $4 million; To credit cash $3 million and pension payable $1 million ($3 million + $1 million = $4 million).
The journal entry will be recorded on 09/90/18 including the pension payables of $1 million and cash credit $3 million and on debit side expenses of $4 million.
A debit is an accounting entry that affects a company's balance sheet by increasing assets or decreasing liabilities. In basic accounting, credits that operate in the inverse direction of debits balance each other out.
Every double-entry accounting system has a debit option. The polar opposite of credits is a debit. Credits represent money coming into an account, while debits represent money leaving it.
The crucial accounting entries known as journal entries show the costs incurred by the entity. The foundation of accounting are journal entries.
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algebra if a business borrows $12,900 and repays $23,220 in 5 years, what is the simple interest rate?
The rate of simple interest is 16%
Simple interest is interest that is simply charged on the principal amount, which is the original amount borrowed or deposited. The interest charge will only be applied once, regardless of how frequently it is applied. Many loans base their calculations on simple interest.
Principal amount borrowed = $12900
Amount repaid = $23220
Amount of interest paid = $23220 - $12900 = $10320
Time in years = 5 years
Computing the rate of interest, using the formula:
Simple interest = P*R*T/100
where P = principal amount invested
R = rate of interest
and T = time in years
Substituting the values in the formula we get:
10320 = 12900*R*5/100
10320 = 645*R
R = 16%
So, simple interest = 16%
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what role does the production possibility frontier (ppf) model have in making business decisions regarding specialization and trade?
The production possibility frontier (PPF) is a decision-making tool for managers deciding on the optimum product mix for the company.
Identification of a decision, information collecting, and evaluation of potential solutions are all steps in the decision-making process.
By arranging pertinent facts and identifying options, a step-by-step decision-making process can assist you in making more careful, considered decisions. It is more likely that you will select the one that will satisfy you the most if you take this strategy.
Choose the choice, You understand that you must choose. Define the type of decision you must make as precisely as possible. It's crucial to start with this step.
Compile pertinent data, Before you make a choice, gather some relevant data, including what information is required, the best sources to use, and how to obtain it. Both internal and external "labor" are required for this level. A search engine will let you find some internal information.
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which one of the following is not a primary market function of investment bankers? originating underwriting selling making loans
Making loans is not a primary market function of investment bankers.
A person who frequently works for a financial institution and is primarily focused on generating cash for businesses, governments, or other entities is known as an investment banker.
The main responsibility of an investment banker, who works for a financial institution, is to raise money for businesses, governments, or other organizations.
The investment banking industry is well-liked since salaries are frequently high.
Investment bankers must be adept at crunching numbers, have strong oral and written communication skills, and be able to put in long arduous hours.
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albert is an employee of superfast, a delivery service. albert, while delivering goods for superfast, negligently injures melissa. melissa sues superfast for the negligent conduct of albert. superfast was not negligent in hiring or training albert. melissa can prove her actual damages were $125,000 but the jury found her 20% at fault and thus gave her an award against superfast of $100,000. superfast now sues albert for the $100,000. in a jurisdiction with traditional joint and several liability rules, what is the most likely amount superfast will recover from albert?
Because Superfast is the passive tortfeasor in this situation and wasn't careless, indemnification is the appropriate legal term rather than contribution.
What is an illustration of vicariously liable?For instance, a business (referred to as the principle) has influence over its workers. So, if an employee (referred to as the agent) causes harm to a person while performing their work duties, vicarious liability laws may be applicable to hold the corporation liable. Victims have more possible defendants in a personal injury case thanks to vicarious-liability.
What might happen as a result of the idea of vicarious liability?In the state of California, vicariously culpable parties may be held accountable for the plaintiff's medical expenses, lost wages, pain and suffering, and other losses. This is significant because the party that is "vicariously liable" may be financially better off and have more insurance coverage than the one who was directly careless or irresponsible.
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the doubleclick tech fund calculate net asset value two times every day. the first nav is set at noon eastern time. when will the second calculation take place?
The DoubleClick tech fund calculates Net Asset Value (NAT) two times every day. The first nav is set to calculate at noon Eastern time. While the second calculation will take place at the end of each business day.
Net Asset Value (NAV) is the value of a 'fund’s assets minus the value of its liabilities'. The term 'net asset value' is commonly used in association with mutual funds and is used to calculate the value of the assets held. According to the SEC, it is required to update Net Asset Value at least once every business day after the U.S. stock market closes, usually between 4 p.m. and 6 p.m.
Therefore the DoubleClick tech fund company will perform its second Net Asset Value calculation at the end of every business day according to the closing price of all the securities that the respective mutual fund schemes own after doing appropriate adjustments.
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at starbucks, customers use cash or credit cards to make purchases. what control problem may occur when employees accept cash for a sale?
When employees collect cash for a sale, a control issue could arise since they might be inclined to steal.
Explain about the cash purchases?A business makes a cash purchase when it pays for products or services right away after ordering or receiving them. The supplier does not grant credit. Account payable is not established. Regardless of whether the company utilizes accrual basis accounting or cash basis accounting, the resulting expense is promptly reported to an expense account.
In contrast to the income statement, the cash flow statement records cash purchases more directly. In actuality, precise cash outflow events are completely absent from the revenue statement.
For instance, a customer might enter a store and buy an apple using a debit card. Debit cards operate similarly to cash in that they immediately deduct the amount due for the apple from the buyer's bank account. There is a cash exchange here.
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United pigpen is considering a proposal to manufacture high-protein hog feed. The project would require use of an existing warehouse, which is currently rented out to a neighboring firm. The next year’s rental charge on the warehouse is $100,000, and thereafter, the rent is expected to grow in line with inflation at 4% a year. In addition to using the warehouse, the proposal envisages an investment in plant and equipment of $1. 2 million. This could be depreciated for tax purposes straight-line over 10 years. However, pigpen expects to terminate the project at the end of 8 years and to resell the plant and equipment in year 8 for $400,000. Finally, the project requires an immediate investment in working capital of $350,000. Thereafter, working capital is forecasted to be 10% of sales in each of years 1 through 7. Working capital will be run down to zero in year 8 when the project shuts down. Year 1 sales of hog feed are expected to be $4. 2 million, and thereafter, sales are forecasted to grow by 5% a year, slightly faster than the inflation rate. Manufacturing costs are expected to be 90% of sales, and profits are subject to tax at 25%. The cost of capital is 12%. What is the npv of pigpen’s project?.
$686,544.07 is Pigpen's PV. The needed discounting rate is used to compute present value by discounting future cash flows.
What is present value?The needed discounting rate is used to compute present value by discounting future cash flows. The present value of future cash flows will be low if the discounting rate is higher.
In order to get a tax credit or liability, we shall compute book value.
The total of the depreciation from years 1 through 6 is the accumulated depreciation, which is the first calculation we make.
$171,480 + $293,880 + $209,880 + $149,880 + $107,160 + $107,160 = $1,039,440
We can compute book value after calculating accumulated depreciation.
Investment cost minus accumulated depreciation is the book value.
$1,200,000 - $ 1,039,440 = $ 160,560
We estimated the plant's resale value at a profit.
Profit on sales = Plant Book Value - Resale Price
$400,000 - $ 160,560 = $239,440
There will be tax owed, according to the anticipated profit from the plant's sale. The tax is calculated as follows.
$239,440 * 35 % = $83,804
The net sum that will be earned from the sale of the plant is
Revenue from Resale - Tax Owed
$239,440 - $83,804 = $155,636
Cash flow for the first year
10% of revenues plus the initial outlay for working capital
$350,000 + 10 %
*4,2000,000
$350,000 +$420,000 = $770,000
$686,544.07 is Pigpen's PV.
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which type of intergovernmental tool allows the national government to influence the budget decisions of state and local governments by providing them money that can only be spent narrowly on a national priority?
Federalism allows the national government to influence the budget decisions of state and local governments
Federalism is a hybrid or compound type of government that integrates a central government (the "federal") with provincial, state, cantonal, territorial, and other sub-unit governments to create a single political system. Federalism offers ways for these many groups to work together to handle shared interests, but it also allows for some degree of independence from the central state's institutions.
Federalism is a compromise meant to eliminate the flaws in both systems. In a federal system, the federal and state governments share power. The Constitution states that while some powers are explicitly reserved for state governments, others belong to a central government.
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what sourcing decision for the x73 materials is in the best interest of: a. the imaging systems division? b. the heidelberg division? c. the electronic components division? d. zumwald ag?
Sourcing decision for the x73 materials is in the best interest of the imaging systems division.
What is imaging?Imaging is the representation or reproduction of the shape of an object. Especially visual representation. Imaging technology is the application of materials and methods for creating, storing, or reproducing images. Imaging Science is an interdisciplinary field concerned with the creation, collection, reproduction, analysis, interest, and visualization of images, including imaging what the human eye cannot see. Evolving fields include researchers and researchers in physics, mathematics, electrical engineering, computer vision, computer science, and perceptual psychology. Region of Interest (ROI) Imaging uses a central aperture filter to significantly reduce patient dose outside the ROI while maintaining or improving image quality within the ROI.The benefits of ROI imaging can be realized using standard imaging equipment.To learn more about imaging from the given link:
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Milo's car straight line depreciates monthly over time. He knew that after 7 months his car was worth $26,930. According to an online car value calculator after 30 months, he determined that his car was worth $19,800. How much does his car depreciate each month?.
If the worth of Milo's car after 7 months is $26,930 and after 30 months $19,800, the Depreciation of car each month is $310.
How to find depreciation ?Depreciation is a term in accounting that refers to two aspects of the same concept: first, the actual decrease in fair value of an asset, such as the decrease in value of factory equipment each year as it is used and wears, and second, the allocation of the original cost of the assets to periods in which the assets are used in accounting statements.
A car straight line depreciates monthly over time.
After 8 months the car is worth $29,520 and after 18 months the car is worth $26,420.
Let, depreciation of car each month is D.
Depreciate = Difference of price / No of months
D = $26,930 - $19,800 / 30 - 7
D = 7130 /23
D = 310
Therefore, depreciation of car each month is $310 .
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Assume that the manager of a local discount store hires you as a consultant to assess the store's available space. What suggestions would you
make In order to use the space most productively?
The suggestions I would make In order to use the space most productively as a consultant is to advice them not to be storing any fault item from the factory in their store but return them immediately, and also to make sure then go for products that can seel fast in the market.
What is productivity?Productivity serves as the effectiveness of productive effort, which is been put in by the firm and it can be measured in terms of the rate of output per unit of input.
If the store can make use of the advice, then the space will be enough to run their business effectively.
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Which part of the cycle represents a period of contraction? a b c d
The correct answer is B ) shows the decline following a peak. The second stage of the business cycle a saturation point or peak is then reached by the economy.
A trough is the point in the economic cycle when the economy transitions from a period of diminishing corporate activity to one of expansion. The recessions and expansions that result in peaks and troughs are part of the business cycle, which is the upward and downward movement of gross domestic product. The business cycle model depicts the changes over time in a country's total output and employment. The model depicts the four long-term phases of an economy: expansion, peak, recession, and trough.
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Complete Question:
Which part of the cycle represents a period of contraction? a b c d
The figure of business cycle is attached.
research shows that a positive relationship exists between organizational commitment and: multiple select question. compensation. turnover. job satisfaction
Research shows that a positive relationship exists between organizational commitment and job satisfaction.
As it deals with an employee's favorable attitude toward the organization rather than her own job, organizational commitment can be seen as an extension of job satisfaction.
In the fields of organizational behavior and human resource management, job satisfaction is among the phenomena that has been studied the most. The typical definition of it is "a pleasant or positive emotional state coming from the evaluation of one's employment." One of the most important components of work motivation, which is a significant factor in determining behavior in an organization, is job satisfaction.
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A product in the maturity stage will most likely require FILL IN THE BLANK advertising. A) informativeB) comparativeC) persuasiveD) reminderE)
A product in the maturity stage will often require reminder advertising.
What exactly is the advertising maturity stage?
Maturity.Sales slow down during the maturity stage, indicating that the market has begun to become saturated.Pricing becomes competitive at this point in the product life cycle as well.The profit margins shrink as a result.
Which phase of the product life cycle calls for a lot of marketing?
Market Introduction and Development During this stage of the product life cycle, a market strategy is created, typically by investing in advertising and marketing to raise consumer awareness of the product's benefits.As demand is created at this point, sales tend to be slow.
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mutually exclusive events . multiple choice do not contain all possible outcomes contain all possible outcomes do not share common outcomes may share common outcomes
Mutually exclusive occurrences have no shared outcomes. Mutually exclusive occurrences are ones that do not occur at the same moment.
Social exclusion, also known as social marginalisation, refers to social deprivation and relegation to society's periphery. It is a phrase that has been widely used in Europe and was originally used in France in the late twentieth century. It is employed in a variety of fields, including education, sociology, psychology, politics, and economics. Social exclusion is the process by which individuals are denied access to certain rights, opportunities, and resources that are ordinarily available to members of a different group and are essential to social integration and the respect of human rights within that group. As a result of social exclusion, disadvantaged individuals or groups are barred from fully participating in the economic.
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assume that atlantic national bank has demand deposits of $100,000 and no excess reserves,and that the reserve requirement is 10 percent.a customer withdraws $5,000 from the bank.to meet the reserve requirement, the bank must increase its reserves by
Assume that Atlantis national bank has demand deposits of $100,000 and no excess reserves ,and that the reserve requirement is 10 percent. a customer withdraws $5,000 from the bank.to meet the reserve requirement, the bank must increase its reserves by $4,500
Which of the following would cause inflation driven by costs?Cost-push inflation is caused by shortages or price rises in labor, raw materials, and capital goods. The four factors of production include these supply-side factors as well.
Which of the following scenarios will boost aggregate demand the most?Government expenditures rise.
Which of the following is the most basic problem that economics attempts to solve?The core issue with the economy is scarcity.
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One of the pioneers of ethics in the hospitality industry was _________________. This person developed a code of ethics for the hospitality and tourism industry.
Stephen Hall
One of the pioneers of ethics in the hospitality industry was Stephen Hall. This person developed a code of ethics for the hospitality and tourism industry.
What is hospitality as an industry?
The hospitality and tourism industry is a sector of economy which falls under Tertiary Sector.This sector includes all the economic activities which directly or indirectly focus upon travel and tourism. It includes : Hotels & Resorts. Restaurants and Catering.The five major elements of hospitality are food and beverages, lodging, recreation, travel and tourism, and meetings and events.Stephen Hall played a major role in developing this industry in the whole world.He showed various methods, tricks and excellent examples to depict this.To know more about Tertiary Sector from the given link
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the ronnie company has sales per share of $25.37. if the ps ratio is 1.47 times, what is the stock price?
The stock price is $37.30
Sales per share S = 25.37
PS ratio = 1.47 times
PS ratio = Price to sales ratio = P/S
P/S = 1.53
Price per share = (P/S) * Sales per share
Price per share = 1.47 * 25.37
Price per share = $37.2939
Price per share = $37.30
Inventory consists of the stocks of which ownership of a company or agency is split. A unmarried share of the inventory way fractional ownership of the employer in percentage to the whole quantity of stocks.
A stock is a general term used to explain the possession certificate of any corporation. A proportion, on the other hand, refers to the inventory certificates of a specific company. keeping a specific agency's proportion makes you a shareholder. Description: shares are of two kinds—common and preferred.
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if an investor asks a registered representative to underline the most important facts in a mutual fund prospectus, the rr:
A mutual fund prospectus contains information about the objectives and strategies of a particular fund or group of funds, as well as specifics about the fund's management, management style, and financial information.
An enforceable agreement between a fund and its fund holder is a prospectus. Because it's easy to get lost in all the legalese and miss the information that matters most to you, we've provided an outline of the sections to which special attention should be paid. You should be aware that each fund's prospectus information may be organized in a different way.
Investment Objectives -
These are the fund's financial goals, and they are reflected in the kind of securities chosen to help achieve them. Long-term capital growth, consistent income, high total return, etc. are only a few examples of the various types of investment goals.
Investment Strategies -
This section of the prospectus explains how a fund manages and distributes its assets to meet its investment objectives. When creating such a strategy, consideration is given to determining net asset value objectives, selecting an asset allocation, establishing investment limits, and deciding whether (and how) to use derivatives.
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Hill advertising agency has been hired by gillian’s grocery to develop television ads for the food chain’s new same-day delivery service. Hill represents which component of the communication process?.
Hill advertising agency's task is to develop television ads for Gillian grocery. Therefore, it acts as an communication channel.
What is a communication channel?In telecommunications and computer networking, a communication channel is a physical transmission medium such as a wire or a logical connection over a multiplexed medium such as a radio channel. A pathway or medium is required to send an information signal over a long distance. These paths are known as communication channels.
Hill advertising agency acts as a communication channel for Gillian grocery as it develops television ads for the company's new new same-day delivery service campaign. Hill is helping the company in communicating their new campaign through televison ads.
Thus Hill represents the communication channel component of the communication process.
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How does the Fed use interest on reserves?.
The Federal Reserve (Fed) controls the Federal Funds Rate and steers it within its upper and lower target range boundaries using the Interest Rate on Reserves.
What is Federal Reserve ?The United States of America's central banking system is called the Federal Reserve System. With the passage of the Federal Reserve Act on December 23, 1913, it was established in response to the need for centralised control of the monetary system to prevent financial crises following a string of financial panics.There are multiple tiers to the Federal Reserve System. The Federal Reserve Board, which is comprised of governors selected by the president, oversees it (FRB). Privately-owned commercial banks are governed and supervised by twelve regional Federal Reserve Banks, which are dispersed across the country's cities.Commercial banks with national charters are required to own stock in the local Federal Reserve Bank and have some board member elections.Monetary policy is decided by the Federal Open Market Committee (FOMC). There are twelve regional Federal Reserve Bank presidents as well as all seven board of governors members, but only five of them can vote at once, including the president of the New York Fed and four others who alternate one-year voting terms.To learn more about Federal Reserve refer :
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Why would tmcc be willing to accept such a small amount today ($24,099) in exchange for a promise to repay about four times that amount ($100,000) in the future?.
It's a reflection of the time value of money. TMCC gets to use the $24,099. If TMCC uses it wisely, it will be worth more than $100,000 in thirty years.
Because they understand that the present value of $100,000 is the same or lower than the current $24,099 if discounting rate is≥ 4.86%
To find this discounting rate:
Present value of $100,000 payment 30 years ≤ $24,099
Interest Rate:
$100,000/(1+rate)^30 ≤ $24,099
(1+rate)^30 ≥ 100,000/24,099
(1+rate)^30 ≥ 4.15
(1+rate) ≥ 4.15^(1/30)
(1+rate) ≥ 1.05
rate ≥ 1.0486 – 1
rate ≥ 0.0486
Rate ≥ 4.86 %
Thus, TMCC gets to use the $24,099. If TMCC uses it wisely, it will be worth more than $100,000 in thirty years.
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You are an analyst preparing a forecast of the effects of macroeconomic changes in the economy. What happens to prices and gdp when imported inputs become cheaper?.
Answer:
A country's exchange rate can affect the price of its goods and services. When the value of its currency goes up against that of another country, its imports become cheaper. This can result in a decrease in the country's exports.
Explanation:
questions regarding the delivery of products, how much inventory to carry, and which suppliers to use are all part of the
questions regarding the delivery of products, how much inventory to carry, and which suppliers to use are all part of the a component of the marketing mix is place.
Marketing refers to the activities a company carries out to promote the acquisition or sale of a products or service. Marketing includes all three of these activities: selling and distributing items to clients or other businesses. Affiliates help a company with some of its marketing. One of the main strategies employed by marketing and promotion experts to pique the interest of significant target markets is advertising. Celebrity endorsements, catchy taglines or slogans, eye-catching packaging or graphic designs, and general media exposure are all examples of targeted promotions. Marketing is any activity a business engages in to draw a target audience to its products or services through compelling messaging. In order to demonstrate product value, build brand loyalty, and eventually boost sales, marketing seeks to provide standalone value for prospects and customers through content.
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In the pew research center poll, _____ of republican respondents favored background checks for gun shows and private sales.
In the pew research center poll, 85% of republican respondents favored background checks for gun shows and private sales.
What is a Research Centre?An establishment created for the purpose of doing research is known as a research institute, research centre, research centre, or research organisation. Research institutions may focus on applied research or have a basic research focus. The advancement of intellectual activity through collaborative research, research training, research dissemination, or creative endeavours is the primary goal of research centres, which are formally constituted units within universities rather than departments or schools. A research center's mission is to foster collaboration between academics, professionals, students, and business to advance knowledge production and distribution, research possibilities, and academic achievement.
Hence, In the pew research center poll, 85% of republican respondents favored background checks for gun shows and private sales.
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on january 1, y1, nana company paid $100,000 for 8,000 shares of papa company common stock. the ownership in papa company is 10%. nana company does not have significant influence over papa company. papa reported net income of $52,000 for the year ended december 31, y1. the fair value of the papa stock on december 31, y1 date was $45 per share. what amount will be reported in the balance sheet of nana company for the investment in papa at december 31, y1?
The amount will be reported in the balance sheet of nana company for the investment in papa at December 31, y1 is $51,000.
What is a balance sheet?No matter if they are a corporation, a private limited company, a corporation, a sole proprietorship, or another sort of organization like the government or a not-for-profit institution, a balance sheet is a summary of the financial holdings of a person or an organization in financial accounting. The balance sheet equation can also be interpreted as follows: Total assets = Liabilities + Owner's Equity. When a business only accepts cash, its profits can be calculated by taking off the whole bank account balance at the end of the accounting period, plus any cash on hand. However, a lot of companies don't get paid right once, so they stockpile goods, buy real estate, and invest in machinery.
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