The management of River Corporation is considering the purchase of a new machine costing $380,000. The company's desired rate of return is 6%. The present value factor for an annuity of $1 at interest of 6% for 5 years is 4.212. In addition to the foregoing information, use the following data in determining the acceptability of this investment: The cash payback period for this investment is O 5 years O 4 years O 3 years O 20 years

Answers

Answer 1

The cash payback period for this investment is 4 years

How is the time frame for cash payback determined?

To find the payback period, divide the investment amount by the annual cash flow. Account and fund managers take the payback period into account when determining whether to move further with an investment.

What is a payback period?

The payback period in capital budgeting is the length of time it takes for your company to recover the cost of acquiring one customer. The payback period, for instance, is 13.9 months for a customer who costs $350 to acquire and contributes $25 monthly or $300 year.

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Related Questions

Which of the following strategies has the shortest delivery lead time and the least customer input?a) Assemble-To-Orderb) Make-To-Orderc) Make-To-Stockd) Configure-To-Order

Answers

Assemble to order has the shortest delivery lead time and the least customer input.

What is Assemble to order?

Assemble-to-order (ATO) is a business manufacturing strategy in which customers buy quickly produced things that may include some personalization. The basic parts of the product must typically be manufactured but not assembled. The parts are quickly assembled after receiving an order, and the final product is subsequently sent to the customer.

The assemble-to-order method (ATO) combines the make-to-stock strategy (MTS) with the make-to-order strategy (MTO). When adopting a make-to-stock method, the entire batch of product is prepared in advance. The objective is to build an inventory that matches anticipated or assumed consumer demand. Setting a production target, building up inventory, and attempting to sell as many finished items as you can are the processes in this process.

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If Farmer Brown plants no seeds on his farm, he gets no harvest. If he plants 1 bag of seeds, he gets 5 bushels of wheat. If he plants 2 bags, he gets 9 bushels. If he plants 3 bags, he gets 12 bushels. A bag of seeds costs $120, and seeds are his only cost.
Refer to Scenario. Farmer Brown's total-cost curve is
A. increasing at a constant rate.
B. increasing at an increasing rate.
C. increasing at a decreasing rate.
D. decreasing.

Answers

Farmer Brown's total cost curve, given the scenario of the number of plants that he buys and the bushels of wheat, is B. increasing at an increasing rate.

What is the total cost curve ?

The cost of creating each level of output is represented by the total cost curve, so if we can discover the inputs that have the lowest cost per unit of output, we can calculate the cost of producing each level of output.

This total cost curve would be considered to be increasing at an increasing rate, if the marginal costs of production are increasing for every additional unit of cost incurred.

For Farmer Brown, the marginal cost at 2 bags of plants is :
= 9 - 5

= 4 bushels

At 1 bag it is :
= 5 - 0

= 5 bushels

At 3 bags it is :
= 12 - 9

= 3 bushels

Because the marginal product is decreasing, the marginal cost is increasing which means that the total cost curve is increasing at an increasing rate.

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Kailyn obtains an insurance policy that protects her against liability for property damage resulting from the operation of her vehicle. This is
a. ​disability insurance.
b. automobile insurance.
c. malpractice insurance.
d. liability insurance

Answers

What happened to Kailyn was a traffic accident. Kailyn can use her automobile insurance.

Insurance is an agreement between two or more people in which the insured party pays contributions/contributions/premiums to receive compensation for the risk of loss, damage or loss, which may occur as a result of unexpected events.

Insurance cannot eliminate the risk of unexpected events occurring, but insurance can reduce the impact of losses arising from these events, whether on a small or large scale. Now insurance has become part of financial planning for some people for the long term. everyone is expected to have insurance, because by having insurance, any unwanted events can occur, and the impact of these events can be reduced.

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Which of the following is necessary in a well-functioning market or capitalist economy, but is not necessary for a command economy?
A. Centralized decision making
B. Scarcity of resources
C. Monopolies
D. Protection of property rights and price signals
E. Positive externalities

Answers

Protection of property rights and price signals is necessary in a well-functioning market or capitalist economy, but is not necessary for a command economy. So, the correct answer is option D.

The economic system known as capitalism, or the capitalist economy, is one in which private firms control and govern the factors of production such as capital goods, labour, natural resources, and entrepreneurship.

In a capitalist economy, usually referred to as a market economy, the creation of all products and services is based on supply and demand in the market. It differs from the centrally planned economy, commonly referred to as a command economy or a planned economy.

Profit-making is the primary driving force behind a capitalist economy. The existence of open markets and the absence of government involvement in company regulation are other traits of the capitalist economy.

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ch. 20 problems and applications q10 suppose that congress passes a law requiring employers to provide employees some benefit (such as healthcare) that raises the cost of an employee by $2 per hour. assume that firms were not providing such benefits prior to the legislation.

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If the cost of an employee rises by $2 per hour, the demand for labor falls as employees find it more expensive to hire laborers, while the supply of labor rises as more workers are willing to work.

Wage rates have fallen as a result of increased supply and decreased demand, as shown in the graph. As a result, both employers and employees have suffered. As a result, the given statement is false.

If the market wage was $1 above the minimum wage before the mandate, the wage rate with the employer mandate will be $9 per hour, resulting in a decrease in employment and an increase in unemployment.

The correct statements are as follows:

The equilibrium labor quantity will decrease.The labor supply curve remains unchanged.Employers are worse off now than they were before the mandated benefit.

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Whereas acknowledging others means you are interested in their ideas, endorsement means that you agree with themTrue/False?

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" Whereas acknowledging others means you are interested in their ideas, endorsement means that you agree with them." This statement is True.

the act of pronouncing which you approve of or assist something or someone: The campaign hasn't received any political endorsements. He was hoping to a comfy brief endorsement of the plan from the president. An endorsement is a form of public guidance or approval. Endorsements are given to politicians and merchandise. in case you provide something an endorsement, you're basically pronouncing "I approve of this person or product." Celebrities provide politicians an endorsement if they think you should vote for them.

A signature is an endorsement. for example, whilst corporation problems a payroll check, it authorizes or endorses the transfer of cash from the business account to the employee. The act of signing the take look at is taken into consideration an endorsement, which serves as proof of the payer's purpose to switch funds to the payee.

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an example of an m-form organization is one in which: group of answer choices o each division performs a single task for the firm o each division performs all the tasks necessary to serve a particular type of customer o each division performs all the tasks necessary to serve all the customers of a particular geographical area o all of the above o both b & c

Answers

M-form corporations are multi-divisional organisations where each division is a geographic or product unit in charge of its own operations and profits while the corporate head office sets overarching strategy and oversees the divisions.

What are M-form organisations?

A multi-divisional model of organisation divides a company into a number of partially independent groups that are directed and governed by central goals. M-form corporations are multi-divisional organisations where each division is a geographic or product unit in charge of its own operations and profits while the corporate head office sets overarching strategy and oversees the divisions. Functional, multi-divisional, flat, and matrix structures are the four different forms of organisational structures. Although the majority or all of the M-form organization's operations are in the same or closely comparable industries to those of the H-form organisation, it is also known as the divisional design. A related diversification corporate strategy is implemented using the M-form design. In this instance, a mechanical contracting company.

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at december 31, 2021, hull-meyers corp. had the following investments that were purchased during 2021, its first year of operations:

Answers

Security A Security B 954,000 940,000 145,000 139,200 $1,085,000 $1,093,200

What is the process of buying a firm called?

A corporate transaction known as an acquisition takes place when one company buys and takes control of another company. Mergers and acquisitions (M&A), a professional path in corporate law or finance that focuses on the purchasing, selling, and consolidating of enterprises, are fundamentally comprised of these activities.

The acquisition of a firm is now typically recorded using purchase acquisition accounting on the acquiring company's balance sheet. At fair market value, the assets of the acquired company are recognized as assets of the acquirer. The fair market value of the purchasing firm rises as a result of this accounting procedure.

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a business issued a 60-day note for $60,000 to a bank. the note was discounted at 8%. assume a 360-day year. a. Journalize the entry to record the issuance of the note. For a compound transaction, if an amount box does not require an entry, leave it blank. | b. Journalize the entry to record the payment of the note at maturity. If an amount box does not require an entry, leave it blank.

Answers

A business issued a 60-day note for $60,000 to a bank. The note was discounted at 8%. Assume a 360-day year.

a. Journalize the entry to record the issuance of the note. For a compound transaction,

To record issuing of 60 day, 8% note payable

Discount on notes payable = Amount × Discount Rate × Time / 360 days

                                             = 60,000 × 8% × 60/360

                                             = 800

b. Journalize the entry to record the payment of the note at maturity.

V = P * (1+R)^T

V – Maturity Value

P – Principal Invested

R – Rate of Interest

T – Time of Investment

V = 60,000 (1+ 8%) ^ 360 (day)

   =64800.

How much an investment will earn when it reaches "maturity" is determined by its maturity to value. Maturity could occur at any point in time or within a predetermined window set by the investment.

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which of the following is true of convenience products? question 9 options: consumers tend to buy convenience products after a long-term evaluation of competing products in the market.

Answers

Consumers generally tend to purchase convenience products immediately and with minimal effort.is true of convenience products.

Convenience goods are frequently inexpensive, undifferentiated from competing goods, and situated in areas where customers can readily buy them. The products are extensively dispersed, necessitate widespread advertising, and are positioned in practical areas .A consumer good that is frequently purchased and easily accessible is categorized as a convenience good. Due to its accessibility, a convenience good frequently does not necessitate a drawn-out decision-making process. Products that the client may easily, quickly, and regularly purchase are known as convenience goods. Newspapers and soaps are examples of convenience goods, as are everyday foods like pasta or ketchup. Convenience Products: Types, Examples, and Definitions. Staple Items, Impulse Items, Emergency Supplies.

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Which of the following is not deductible from income from business and profession?

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The expense of lobbying is not deducted from commercial and professional revenue.

What are the expenses of lobbying?

spending on lobbying Any sum paid or expended by the institution in putting on propaganda or otherwise trying to influence legislation is referred to as a "lobbying expenditure." In a letter to a congress person, a Duke official requests that they abstain from voting on an adjustment that will be presented during the bill's discussion.

Can you write off lobbying costs?

Research for, preparation for, planning for, or coordination of any of the aforementioned activities, as well as any other costs paid or spent in accordance with lobbying of political activities, are not deductible. No one person could possible hope to gain access to the government legislatures without the help of lobbying.

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Which one of the following is a major disadvantage of a corporation?
A. Limited liability of stockholders
B. Additional taxes
C. Transferable ownership rights
D. Limited life

Answers

Additional taxes is  one of the major disadvantage of a corporation.

Double taxation is the practice of imposing taxes on the same income, assets, or financial transaction. Economically speaking, double taxation—the taxation of shareholder dividends after the taxation of corporate earnings—can be favorable.

According to the US tax system, corporate income is subject to two taxes: one at the corporate level through the corporation income tax and a second at the individual level through the individual income tax on dividends and capital gains.

Double taxing corporate profits, according to those who oppose the practice, is unfair and inefficient because it treats corporate income differently from other types of income and encourages businesses to finance themselves with debt that can be deducted from taxes and to keep profits rather than distribute them to shareholders.

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which of the following individuals would be allowed survivorship income benefits under social security?

Answers

A widow or widower age 60 or older (age 50 or older if they have a disability). A surviving divorced spouse, under certain circumstances. A widow or widower at any age who is caring for the deceased's child who is under age 16 or has a disability and receiving child's benefits.

The state of getting lost one's partner to death is termed widowhood.[1] An archaic time period for a widow is "relict,"[2] actually "a person left over". This phrase can now and again be found on older gravestones. The phrase "widow" comes from an Indo-ecu root that means "widow" and has cognates throughout Indo-eu languages. The male form, "widower", is first attested inside the 14th century, through the 19th century supplanting "widow" close to guys.[3]The phrase "widow" comes from an Indo-ECU root that means "widow" and has cognates throughout Indo-eu languages.

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sole proprietors engaged in a business deduct depletion on schedule c that accompanies form 1040

Answers

False. sole proprietors do not engaged in a business deduct depletion on schedule c that accompanies form 1040.

Who are sole proprietors ?

A person who runs an unincorporated business alone is known as a sole proprietor. If you choose to treat a domestic limited liability company (LLC) as a corporation, however, and you are the only member, you are not considered to be a sole owner.

Small companies like a neighborhood grocery store, a neighborhood clothing store, an artist, a freelance writer, an IT consultant, and a freelance graphic designer are examples of sole owners.

A sole proprietorship has many advantages, including little paperwork and inexpensive setup. There is also how simple it is to maintain. It's actually the simplest and least expensive form of business you may start, according to the SBA.

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Schedule C, Profit or Loss from Business, is filed with Form 1040 by sole owners who are operating a business.

Can I deduct business expenses on Schedule C?

To report income and expenses for a business, a taxpayer must file IRS Schedule C, Profit or Loss from Business, along with their primary tax return, Form 1040.

Anyone who is self-employed, a business owner operating alone, or a Limited Liability Company (LLC) with only one member must use Schedule C to disclose any action carried out to generate income or profit. The estimations of profit or loss that ensue are sometimes regarded as self-employment revenue.

Anyone who files an annual tax return and runs a business as a sole proprietor must complete Schedule C. A Limited Liability Company (LLC) with one member is regulated similarly to a sole proprietorship.

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complete the following passage explaining how the average american is affected by monetary policy changes. if the fed raises the interest rate on excess reserves, the marginal cost to banks of loaning money rises . the supply of loanable funds therefore falls , pushing interest rates upward , and banks, correspondingly, raise the interest rates they charge on car loans, mortgages, student loans, credit cards, etc.

Answers

The Federal Reserve uses its policy instruments to affect the availability and cost of credit in the economy in order to conduct monetary policy, which in turn affects employment and inflation.

In 1913, the Federal Reserve Act established the Federal Reserve System as the nation's central bank. Its main responsibility is to carry out monetary policy in the country in order to support maximum employment, stable prices, and moderate long-term interest rates in the American economy.

Monetary policy may affect economic activity by changing the incentives for saving and investing. This channel frequently affects consumption, housing investment, and business investment. Reduced interest rates on bank deposits reduce customer incentives to save money.

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Consider the following information taken from the cash account. Assume cash payments were 80% of collections.
Cash
?? Beginning balance
$115,375 Collections
?? Disbursements
$80,275 Ending balance
How much was the beginning balance of the cash account?

Answers

The beginning balance of the Cash Account is $57,650.

What is Cash Account?

A Cash Account is a kind of brokerage account that demands all transactions to be paid in full of available cash on the settlement date.

When purchasing stocks in a cash account, the investor must either deposit enough cash to cover the deal or sell other securities on the same trading day to ensure that cash is available to satisfy the buy order.

Cash accounts, unlike margin accounts, do not permit short selling or margin trading.

According to the given question, cash payments were 80% of collections. So, The cash payment or Disbursement are as follows:-

Disbursements = 80% of collections

= $115,375 * 0.8

= $92,300

The opening balance is computed by using the following formula:-

Opening Balance = Ending Balance + Disbursements - Collections

= $80,725 + $92,300 - $115,375

= $57,650

Hence, $57,650 is the beginning balance of the cash account.

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Which of the following is a tax credit that can reduce an individual's assessed tax below zero?

Answers

Tax credits that are refundable tax have the potential to lower an individuals personal estimated tax below zero.

Why is tax refundable?

The term "refundable" refers to tax credits that, if you are eligible for them and their value exceeds the tax you must pay, you will be given a reimbursement for the difference. For instance, you would get a $200 refund if your tax debt was $800 and you were eligible for the a $1,000 refundable credit.

What does refundable tax serve?

The Refundable Tax Rate On Hand is a well before of tax on asset dividends, which explains why. The idea is to eliminate the tax benefit that may be deferred if a person received investment income in the shape of dividends from a private corporation.

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Assessing Financial Statement Effects of Passive and Equity Method Investments
On January 1, 2018 Ball Corporation purchased shares of Leftwich Company common stock.
(a) Assume that the stock acquired by Ball represents 15% of Leftwich's voting stock and that Ball has no influence over Leftwich's business decisions. Use the financial statement effects template (with amounts and accounts) to record the following transactions:
(1) Ball purchased 5,000 common shares of Leftwich at $15 cash per share.
(2) Leftwich reported annual net income of $40,000.
(3) Ball received a cash dividend of $1.10 per common share from Leftwich.
(4) Year-end market price of Leftwich common stock is $19 per share.
Use negative signs with answers when appropriate.

Answers

The financial statement effects template  is given as :

It is a double-entry concept that helps us understand each transaction and its impact on the company's financial statements.

                                 Balance sheet

Transaction cash asset + non-cash = liability + contributed capital +                 earned capital

1  -75000+ 75000 = 0 +0+0

2  0+ 40000 = 0+0+ 40000

3   5500 +0 = 0+0+ 5500

4  0 +20000 = 0+ 0 + 20000

                                Income statement

Transaction  Revenue - Expense = Net Income

1   0 -0 = 0

2   40000 - 0 = 40000

3  5500 - 0 = 5500

4  20000 +0 = 20000

From the above financial statement effect template, we can understand the company's business decisions clearly.

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which of the following terms identifies the process of reviewing log files for suspicious activity and threshold compliance?

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Auditing is the process of reviewing log files for suspicious activity and threshold Compliance.

An audit is an "impartial exam of monetary statistics of any entity, whether income orientated or not, no matter its length or prison shape while such an exam is performed to be able to specific an opinion thereon.” Auditing also tries to make certain that the books of bills are well maintained via the concern as required by using the regulation. Auditors don't forget the propositions earlier than them, gain proof, and evaluate the propositions of their auditing record.

Audits offer a third-celebration warranty to numerous stakeholders that the difficulty remembering is free from cloth misstatement. The term is maximum frequently applied to audits of the economic information relating to a criminal man or woman. different usually audited regions consist of secretarial and compliance, inner controls, first-class management, challenge control, water control, and strength conservation. because of an audit, stakeholders may additionally compare and improve the effectiveness of threat management, management, and governance over the difficulty be counted.

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record the declaration of a cash dividend of $0.30 per share to all shares outstanding on january 29

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When recording the declaration of cash dividend of $0.30 per share, the dividend account will be debited and the retained earnings out of which the dividend has been paid will be credited in the journal entry related to the same amount in this financial transaction.

The journal entry in the format of general journal has been mentioned as below for better reference.

Date             General Journal                               Debit           Credit

January 29     Dividends Ac.                        DR.     $0.30

                             To, Retained Earnings                            $0.30

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three of the most common business and professional presentations are sales proposals, staff reports, and progress reports. True or False ?

Answers

Three of the most common business and professional presentations are sales proposals, staff reports, and progress reports. its True .

The most common scenario for a presentation is when a speaker stands in front of a group of people and makes an effort to visually and verbally educate them about a particular subject. 13 Things to Include in Your Next Powerpoint Presentation A presentation of that type may be made to persuade the audience of anything, persuade them of something, or in some other way teach them. A powerful presentation could be a very effective way to get your point across. An agenda slide, a call-to-action slide, an objection slide, key takeaways, compelling photos, your logo, and backup slides should all be included. Getting better at presentations will raise your profile and strengthen your personal brand. Presentation abilities are essential for both personal and professional success in the workplace.

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g which one of the following is not a way to improve the s/q rating of branded pairs produced at a particular production facility?

Answers

Avoiding using ecologically friendly or green goods that are inferior to more expensive ones.

What is S/Q Rating?

Consumer Group analyses the quality and styling of each competitor's footwear, giving each brand's goods a styling-quality or S/Q rating from 0 to 10 stars. Invest early in plant renovations, particularly the increase in the S/Q rating. The business will benefit from an early investment in these areas for a number of years. The biggest factor affecting a company's credit rating is the total quantity of debts it has outstanding.

Start with the principles you can be certain of: I propose starting with a S/Q grade of 7 stars and 50 models are available for the high quality, low model strategy.

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the goal of this activity is to demonstrate the ability to list the steps of the accounting cyckle in order

Answers

Either the question is incomplete or it is a spam question.

But still, the following answer is given considering the question as: the steps involved in the accounting cycle.

There are the following steps involved in the accounting cycle:

Identify the transactions in the day to day business, as such which transaction is of a financial nature which is to be recorded in the financial statements.The next step involves the preparation of journal entries for the recorded transactions. Next steps involves the posting of the recorded transactions in the ledger accounts in order to get a detailed view of the transactions.Now, prepare the trial balance which is unadjusted right now. The trial balance should be matched.With the help of the trial balance and the ledger accounts, prepare the financial statements of the entity. The financial statements include the preparation of trading account, profit or loss account and balance sheet of the entity in order to know the financial position of the concern.

    6. Now post the closing journal entries at the end of the accounting    period.

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costs to restore land or other property to its original condition after extraction of the natural resources ends

Answers

Costs to restore land or other property to its original condition after extraction of the natural resource's ends are called Restoration costs.

What is Restoration costs?

The charges associated with carrying out Restoration Actions are referred to as Restoration Costs. The definition of "Restoration Costs" in this section 4.29 shall apply. Restoration fees are the expenses that the tenant really incurred to fix and restore the tenant improvements and any alterations they made to the premises.

What is ecological restoration?

Ecological restoration is the procedure used to restore natural areas whose biological communities and ecosystems have been damaged or lost. Humans have imported invasive species, changed natural communities to extractive usage, and transformed local native plant and animal populations in many ecosystems.

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T/F a purchased intangible is valued at its original cost. original cost for acquiring a patent would include (select all that apply.)

Answers

A purchased intangible is valued at its original cost. The original cost for acquiring a patent would include legal costs to acquire the required filing fees and purchase price.

What expenses are covered by the price of an intangible asset?

An identifiable cost that is difficult to measure or estimate precisely is known as an intangible cost. Impairment of benevolence, a decline in employee morale, or brand damage are examples of common intangible costs.

Non-physical property is referred to as intangible assets. An intangible asset's acquisition cost is not recovered in a single accounting period but rather through amortization over the course of its economic life.

Therefore, A patent's initial cost would include the purchase price and legal fees needed to obtain the necessary filing fees.

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pop culture clothiers, inc., sells t-shirts to trendwell stores, inc., under an existing contract. when textile costs increase, trendwell agrees to a price increase, but later wants to cancel the contract. trendwell may cancel the contract immediately. cancel the contract only after accepting a final shipment. cancel the contract only on reasonable notice. not cancel the contract.

Answers

The brand may revoke the written revision to raise the price if there are any missing considerations.

This can happen if, despite the fact that the price was predetermined by their previous contract, the brand accepts in the written agreement to a price increase requested by trend. If a brand violates one or more of the contract's specified requirements, you may be entitled to terminate the agreement. Contract termination is referred to as a "breach" in the legal community, but in order to do so, you must establish that there was a significant breach. Delicioso is not permitted to cancel the contract because a new contract supersedes the previous one and bears the new price rise. Deliciso will suffer a loss if it decides to cancel the contract since it would be required to pay damages and other penalties for breaking the agreement with Coffee Roasters Inc. Delicioso must complete the contract before renegotiating another one in light of this.

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as the service level increases, the probability of not running out of stock during a cycle decreases.

Answers

As the service level increases, the probability of not running out of stock during a cycle decreases. This statement is TRUE.

What is service level?

The cycle service level in supply chain is the anticipated likelihood that a stock-out won't occur during the subsequent replenishment cycle, and as a result, it is also the likelihood that sales won't be lost. The lead time is inherently related to the cycle duration. The probability of being able to meet client demand without experiencing a backorder or missed sale can also be used to define service level. While a 100% service level—that is, serving every customer all the time—might seem ideal, it is typically not a practical choice.

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Regarding real estate investments, risk that is associated with the type of property and its location, design, lease structure, and so on can be thought of as:Multiple ChoiceMarketability riskLiquidity riskBusiness riskInterest rate risk

Answers

The risk, when it comes to real estate investments, of the type of property, the lease structure, and the lease design, is called the C. Business risk

What is Business risk ?

Business risk is the potential for a firm or organization to have lower earnings or failure. A business risk is anything that compromises a company's capacity to meet its financial objectives.

Business risk is the possibility that internal and external factors could combine to produce a situation where a corporation would no longer be viable.

The corporate environment beyond of management's control, including macroeconomic forces (like inflation, foreign exchange rates, or prevailing interest rates). Dangers unique to a given industry, such as regulatory risk, entry barriers, the potential for disruption, and other elements.

When it comes to real estate investment therefore, business risk would refer to things like property design, location, and lease structure.

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a company had collected $3,000 in advance for services to be provided throughout the year. at december 31, an analysis of the unearned services revenue account showed that one-third of the services were earned during the year. the entry to record this adjustment will include which of the following entries:

Answers

A $1,000 credit is made to the services revenue, while a $1,000 debit is made to the unearned services revenue.

When an organization pre-paid their insurance, did it record it as prepaid insurance?

$1,200. Prepaid insurance is increased and cash is decreased when a corporation pays in advance for it. This exchange of assets is a transaction.

What two categories of income are unearned?

Investment-type income, such as taxable interest, regular dividends, and capital gain distributions, is categorized as unearned income. In addition, it covers taxable social security benefits, unemployment benefits, pensions, annuities, debt forgiveness, and distributions of unearned income from trusts.

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according to the keynesian framework, which of the following will not help a country to get out of a recession, but may help that country reduce inflation?

Answers

According to the Keynesian framework, the statement that will not help a country to get out of a recession, but may help that country reduce inflation is: B. a decrease in military spending.

What is recession?

Recession occur when a nation experience decline or decrease in their economy and this can tend to occur as a result of decline in the gross domestic product of that nation.

A  decline  in military spending can tend to help reduce inflation which is a rise in the price of goods and service but on the other hand it cannot help a nation to get out of recession.

Therefore the correct option is B.

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The complete question is :

According to the Keynesian framework, which of the following will not help a country to get out of a recession, but may help that country reduce inflation?

A. an increase in military spending

B. a decrease in military spending

C. increase in spending by the government on health care

D. decrease in spending by government on health care

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