Self-assured and endearing are traits of charismatic leaders.
Transformative leaders solicit supporters with ideas.
What is leadership?Leadership is crucial because it encourages, inspires, and sets an example for others to make the country a safer place. Managers include a vision, offer a course of action, and cultivate a close bond with her followers.
The primary driver that separates the two is that, whereas charisma is centered on the leader, Transformative performance is constructed around like ideas and typically incorporates involvement from the current roster, not only the leader.
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which concept negates the idea that a country can specialize to the degree suggested by the ricardian model? multiple choice question. dynamic gains economies of scale free trade diminishing returns
The answer is Diminishing returns .In an economic model, agents who can produce a particular good at a lower relative ricardian model opportunity cost or autarky price.
The word "comparative advantage" is used to describe the economic reality of employment advantages associated to trade for people, companies, or nations that arise from differences in their factor endowments or technological advances. ricardian model (The absolute advantage, which compares output per unit of input material (monetary efficiency) or per unit of time (labour efficiency), is generally thought to be more intuitive .that is, at a lower relative marginal cost before trade—have a competitive advantage over rivals.
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Complete question is here:
Which concept negates the idea that a country can specialize to the degree suggested by the Ricardian model?
Multiple choice question.
Economies of scale
Dynamic gains
Free trade
Diminishing returns
A sales position needs to be filled. There are two candidates available the first candidate has 10 years of experience and consultant of the week making a $3000 profit per week for the company he’s asking $80,000 salary second candidate has one year of experience I can sell eight units a week making a $2400 profit for the company he’s asking for $45,000 salary but candidate would make the company the most money the first year of employment
Candidate B is the one who would bring in the maximum revenue for the organisation in their first year of work.
Who would have a higher income?The maximum profit a candidate can generate for the business is:
= ( Number of weeks in year x Profit per week ) ( Number of weeks in year x Profit per week ) - Year's worth of pay
We'll assume a year has 48 work weeks.
The money Candidate A would earn would be:
= ( 48 x 3, 000 ) - 80, 000
= $64, 000
Candidate B earned in money is:
= ( 48 x 2, 400 ) - 45, 000
= $70, 200
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the wealth creation that occurs via specialization and global trade according to comparative advantage can be accelerated by:
The wealth creation that occurs via specialization and global trade according to comparative advantage can be accelerated by decreasing protectionism levels.
Protectionism is the adoption of a number of strategies, such as establishing tariffs, setting quotas, or devaluing the national currency, to safeguard the trade sector of a particular nation. These restrictions may also reduce the advantages of a trade by limiting countries' ability to specialise in the creation of commodities where they have a comparative advantage.
By promoting more commerce and specialization, less protectionism can aid in this process. Countries can trade more freely and specialise in the production of goods and services where they have a comparative advantage by reducing trade barriers. All trading partners may benefit from increased economic growth and wealth as a result.
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n economy produces only two goods. following table are data for two different years. 2020 2021 good quantity price quantity price hot dogs 200 $2 250 $4 hamburgers 200 $3 500 $4 a. using 2020 as the base year, compute the following statistics for each year: nominal gdp, real gdp, the gdp deflator, and the cpi (the basket is given by the base year quantities). b. by what percentage did prices rise between 2020 and 2021? give the answer for each good and also for the two measures of the overall price level. which measure is a laspeyres index, and which one is a paasche index? explain why the percentages of price changes calculated using these indices are different. be as specific and detailed as possible
The calculation reveals that computation of inflation using the deflator shows less inflation than the CPI because consumers substituted hamburgers for hot dogs, It is because the price of hamburgers increased less than the price of hot dogs. This consideration have been taken by the deflator whereas the CPI ignored it
What is Paasche index?Paasche Price Index is a methodology to calculate inflation by measuring the price change in a commodity compared to the base year.
Nominal GDP Year 2010 = 200 * $2 + 200 * $3 = $1,000
Nominal GDP Year 2015 = 250 * $4 + 500 * $4 = $3,000
Real GDP Year 2010 = $1,000
Real GDP Year 2015 = 250 * $2 + 500 * $3 = $2,000
GDP Deflator Year 2010 = ($1,000/$1,000) * 100 = 100
GDP Deflator Year 2015 = ($3,000/$2,000) * 100 = 150
CPI Year 2010 = ((200 * $2 + 200 * $3) / (200 * $2 + 200 * $3)) * 100 = 100
CPI Year 2015 = ((200 * $4 + 200 * $4) / (200 * $2 + 200 * $3)) * 100 = 160
Computation of Inflation using CPI = ((160 - 100)/(100)) * 100 = 60%
Computation of Inflation using Deflator = ((150 - 100)/(100)) * 100 = 50%
Therefore, This consideration have been taken by the deflator whereas the CPI ignored it.
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marketers understand that, compared to high school graduates who are working full time, college students:
It's difficult to make a broad generalization about college students compared to high school graduates who are working full time, as there are many individual factors that can impact their behaviors and preferences.
However, there are some trends that marketers may take into consideration when targeting college students.
First, college students may have more disposable income than high school graduates who are working full time. This is because college students may receive financial support from their parents or through scholarships, grants, or loans.
They may also work part-time jobs while in school, which can provide additional income. This disposable income may be spent on various consumer goods and services, such as clothing, electronics, entertainment, and travel.
Second, college students may be more open to trying new products and services, as they are often in a phase of life where they are exploring new interests and developing their own identities. This makes them a prime target for new product launches, promotions, and marketing campaigns.
Third, college students may be more digitally connected than high school graduates who are working full time. They are likely to be heavy users of social media, online shopping, and mobile devices, and may prefer to receive marketing messages through these channels.
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would you be willing to issue a clean audit opinion for the client if they make all the adjusments for items on the summary of unadjusted misstatements?
An audit opinion is a formal statement issued by an independent auditor after conducting an audit on the financial statements of a company.
It provides an assessment of the fairness and reliability of the financial statements in accordance with applicable accounting standards and regulations.In order for an audit to issue a clean (unqualified) audit opinion, the financial statements must be free from material misstatements. If there are any unadjusted misstatements found during the audit, the auditor will discuss these with management and request that appropriate adjustments be made to the financial statements.If management makes all the necessary adjustments to correct the unadjusted misstatements and the auditor is satisfied with the changes, then it is possible that a clean audit opinion could be issued. However, the auditor will need to conduct further testing to ensure that there are no additional material misstatements in the financial statements.
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current trends indicate that, due to the emerging economies, the world is moving blank an economic system that is more favorable for international business.multiple choice question.closer tofurther away fromsimilar to
Recent trends imply that, as a result of developing economies, the globe is transitioning to a more advantageous economic structure for international trade.
What words can you use to describe growth and development?
Growth is defined as an irreversible steady rise in size in the context of childhood development, while development is defined as growth in psychomotor ability. These processes are heavily influenced by genetic, dietary, and environmental variables. The cephalocaudal principle, the proximodistal principle, and the orthogenetic principle are the three growth and development principles. Because of these regular patterns of growth and development, we can forecast how and when the majority of children will develop particular features.
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4 people can claim joint ownership of an item and intend to divide it by the method of sealed bids. the winner offers a bid of $83,000 how much will that bidder need to put into a kitty for the other bidders to be compensated?
Bidder need to put into a kitty $62250 for the other bidders to be compensated.
What procedure is used to evaluate bids?In an endeavour to obtain the goods, services, and works required to meet an organization's objectives, bid assessment is the methodical process of assessing and contrasting bids. The lowest responsive analysed bid is the finest offer that is suggested following bid evaluation. a bid strategy that sets bids for your advertisements according on how likely they are to be clicked on or convert. Each kind of automatic bid strategy is intended to assist you in achieving a particular business objective. Contractors may design their own bid forms when submitting a bid, or project owners may establish blank bid form for all applicants to complete.
= $83000- (83000/4)
= $62250
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scenario a: climber inc., a mountain bicycle manufacturer, has been in the bicycle industry for a year now. the ceo wishes to better the company. he starts by looking at the sales records of the year that they have been in business and notices that the company's sales have been declining at a steady pace for the past six months and that at present they are selling only half as many bicycles as they want to. in an attempt to increase sales, he either wants to bring down the prices of his bicycles or expand the company by opening a new branch in another area. the ceo shares his views with the sales manager and finance managers. together they decide that reducing the prices would definitely increase sales, although the profits would come down. they also conclude that opening a new branch would only increase expenses. they conclude that they will reduce the prices of the bicycles. the plan is implemented and the ceo keeps a record of the sales every month to make sure the change is effective. which of the following steps in the basic planning process do the managers of climber inc. perform by deciding to reduce prices?
The basic planning method is being used by the managers of Climber Inc. to identify the issue declining sales by examining the sales data.
How can it be explained in detail?They then come up with other plans of action, such as lowering the pricing or growing the business by adding a new branch. After carefully weighing all of their options, they decide that, despite the fact that it would result in lower profits, lowering the pricing would be the wisest move to make in order to boost sales. The strategy is then put into action by lowering the pricing, and the outcome is tracked by keeping track of sales each month to make sure the adjustment is successful.
Overall, the management of Climber Inc. are showing excellent planning by understanding the problem, producing options, weighing the advantages and disadvantages of each alternative, coming to a choice, carrying out the plan, and tracking the outcomes. They boost their odds of success in reaching their aim of enhancing the company.
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typically, the higher the average level of education in an economy, the higher the accumulated and the higher the .
Typically, the higher the average level of education in an economy, the higher the accumulated human capital and the higher the labour productivity and economic growth.
What does human capital refer to?Human capital refers to the knowledge, skills, and abilities that individuals acquire through education, training, and experience. When the average level of education in an economy is higher, individuals have more human capital, which enables them to be more productive and innovative, and to contribute more to economic growth.
When labour productivity normally rises over time?An economy produces more goods and services for the same amount of relative work as its labour productivity increases. Because of the rise in output, more products and services may be purchased for ever-lower prices.
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a 7-year bond of a firm in severe financial distress has a coupon rate of 14% and sells for $960. the firm is currently renegotiating the debt, and it appears that the lenders will allow the firm to reduce coupon payments on the bond to one-half the originally contracted amount. the firm can handle these lower payments. what are the stated and expected yields to maturity of the bonds? the bond makes its coupon payments annually.
The stated yield to maturity of the bond is 15.54%, and the anticipated yield to maturity after the renegotiation is 22.45%. The anticipated yield to maturity is advanced than the stated yield to maturity because the bond is dealing at a reduction to its face value
To calculate the stated yield to maturity of the bond, we can use the bond pricing formula
Bond price = (C / r) x (1 - 1 / (1 + r)^n) + F / (1 + r)^n
Where
C = periodic pasteboard paymentr = yield to maturity n = number of years to maturityF = face value of the bondWe know that the bond has a face value of $1,000 and it's presently dealing for $960. The pasteboard payment is 14% of $1,000, or $140 per time. We can use this information to break for the stated yield to maturity
$960 = ($140 / r) x (1 - 1 / (1 + r)^7) + $1,000 / (1 + r)^7
Using a fiscal calculator or solver tool, we can find that the stated yield to maturity is 15.54%.
To calculate the anticipated yield to maturity, we need to acclimate the bond pricing formula to reflect the new pasteboard payment of $70 per time
Bond price = ($70 / r) x (1 - 1 / (1 + r)^7) + $1,000 / (1 + r)^7
We can also use a fiscal calculator or solver tool to find the yield to maturity that makes the bond price equal to$ 960
$960 = ($70 / r) x (1 - 1 / (1 + r)^7) + $1,000 / (1 + r)^7
working for r, we get an anticipated yield to maturity of 22.45%..
thus, the stated yield to maturity of the bond is 15.54%, and the anticipated yield to maturity after the renegotiation is 22.45%.
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the following table contains financial information for abc before closing entries: cash $23,000 common stock 34,000 supplies 4,000 advertising expense 2,000 accounts payable 20,000 service revenue 30,000 salaries expense 3,000 prepaid rent 4,000 dividends 3,000 equipment 45,000 how many of the above accounts are permanent?
Six accounts are permanent, we can easily conclude based on the facts provided.
What are permanent accounts?The accounts that remain open throughout time are the ones that keep track of cumulative balances.
A prime example of a perpetual account is one that is receivable.
Asset, liability, equity, accounts payable, inventories, and investments are other examples of permanent accounts.
A temporary account can be seen on a company's income statement, which evaluates profit and loss over a period of time, whereas a permanent account can be found on a company's balance sheet, which gives a snapshot of what the company owns and owes at a single point in time. Include accounts for assets, liabilities, and equity.
So, according to the given information, we can easily state that there are six accounts that are permanent.
Therefore, six accounts are permanent, we can easily conclude based on the facts provided.
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Which two documents summarize the business plan of a company?
a. Pitch Deck
b. Marketing Plan
c. Lean Canvas
d. Business Plan
Pitch Deck and Lean Canvas are the two documents summarize the business plan of a company .
Good business plans should include an executive summary and sections on products and services, marketing strategy and analysis, financial planning, and a budget.
Main Components of a Business Plan
Executive summary. This is your five-minute elevator pitch. ...Business description and structure. This is where you explain why you're in business and what you're selling. Market research and strategies. Management and personnel. Financial documents.Thus , Pitch Deck and Lean Canvas are the two documents summarize the business plan of a company .
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edwin (61) will use the single filing status for 2021. his only income during the year consisted of $10,750 in wages. what is the maximum amount he can contribute to a traditional ira for 2021?
Edwin will be able to contribute $7000 if his IRA phase-out range is less than $66,000 to $76,000. As here his income is $10,750.
For 2023, $6,000, or $7,000 if ones age 50 or older by the end of the year, or your taxable compensation for the year. Traditional IRA phase-out ranges:$66,000 to $76,000 – Single taxpayers covered by a workplace retirement plan. $105,000 to $125,000 – Married couples filing jointly. This applies when the spouse making the IRA contribution is covered by a workplace retirement plan.
A bracket of $198,000 to $208,000 – A taxpayer not covered by a workplace retirement plan married to someone who's covered. $0 to $10,000 – Married filing a separate return. This applies to taxpayers covered by a workplace retirement plan.
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discuss the view that imposing an indirect tax on gasoline (petrol) is the most effective way of reducing the market failure caused by cars.
Taxes on harmful externalities like cars are meant to force customers and producers to cover the entire social cost of the good. Consumption is decreased as a result, and the result is more socially beneficial.
Without a tax, there will be excessive consumption if a good has a negative externality (Q1 where D=S), as individuals tend to overlook the external costs. Positively, it offers motivation to lessen harmful externalities like pollution. For instance, the higher gasoline price has made cars more fuel-efficient.
In cases where MSC = MSB, social efficiency is the first-best option.
The government earns money from taxes. This can be used for substitutes like public transportation. Disadvantages, Higher taxes won't have much of an impact on demand if it is inelastic.
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products that have completed the manufacturing process and are ready to be sold by the manufacturer are called: select one: a. finished goods inventory. b. work in process inventory. c. saleable goods in process inventory. d. raw materials inventory. e. cost of goods sold.
The correct answer is "a. finished goods inventory." Finished goods inventory refers to products that have completed the manufacturing process and are ready to be sold by the manufacturer.
These products have already undergone all necessary production stages, including assembly, quality control, and packaging, and are waiting to be shipped to retailers or customers. Having finished goods inventory is crucial for manufacturers to meet customer demand and avoid stockouts, especially during peak seasons. However, manufacturers need to balance their inventory levels as holding excess finished goods inventory can tie up their capital and increase storage costs. In summary, finished goods inventory represents the final stage of a product's manufacturing process and is an essential component of a manufacturer's supply chain.
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the quantity theory of money assumes that: 1. velocity is constant. 2. income is constant. 3. prices are constant. 4. the money supply is constant.
The quantity theory of money assumes that velocity is constant.
Why is velocity constant in money quantity theory?
Money's velocity is assumed to be constant in the quantity theory of money. If velocity is constant, its growth rate is zero, and the money supply growth rate equals the inflation rate (the growth rate of the GDP deflator) plus the real GDP growth rate.
The general price level of goods and services is proportional to the money supply in an economy, according to the quantity theory of money, assuming the level of real output is constant and the velocity of money is constant.
Therefore, the economy assumes a constant level of real output and a constant velocity of money.
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all other risk being equal, which of the following bonds would have the highest interest rate risk? a low coupon bond of 100 years to maturity a high coupon bond of 100 years to maturity a low coupon bond of 10 years to maturity a high coupon bond of 10 years to maturity none of the above
All other risks being equal, the low coupon bond of 100 years to maturity would have the highest interest rate risk. (Option A)
Why is interest rate risk greater for bonds with lower coupons?The longest durations are typically seen in bonds with extended maturities and low coupons. These bonds are more volatile in a rate environment where interest rates are fluctuating because they are more susceptible to changes in market rates.
Are bonds with no coupons subject to interest rate risk?Zero coupon bonds are exposed to interest rate risk if you sell them before they mature, just like almost all other bonds are. Your zero coupon bond will likely lose value on the secondary market if interest rates increase.
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what is the weekly average yield on us treasuries adjusted to a constant maturity of one year as of october 2016
As of October 2016, the diurnal average yield on US Treasuries shaped to a constant maturity of one time was 0.42. This rate reflects the yield on a academic, lately issued one- time Treasury note, calculated by the US Department of Treasury.
It is predicated on the secondary request yields of other outstanding Treasury securities with majorities ranging from four weeks to 52 weeks. This low rate is harmonious with the Federal Reserve's long period of low interest rates, which was a response to weak profitable growth and low inflation.
The low rates have affected not only the bond request but also a range of asset classes, including equities, real estate, and goods. Investors and judges nearly cover Treasury yields as an important profitable indicator.
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Why isn't brinly letting me watch a video to get my answer? I woke up and started doing hw, there was this question I didnt seem to understand and i came on here and it wont let me watch a video, like the skip button is gone
Answer: try and turn off the device you are using and turn it back on then it should start back working
Explanation:
del monty will receive the following payments at the end of the next three years: $13,000, $16,000, and $18,000. then from the end of the 4th year through the end of the 10th year, he will receive an annuity of $19,000 per year. at a discount rate of 10 percent, what is the present value of all three future benefits? (do not round intermediate calculations. round your final answer to 2 decimal places.)
The present value of all three future benefits is $133,454.61 when discounted at a rate of 10%.
To calculate the present value of all three future benefits, we need to find the present value of each cash flow and add them together. Using a discount rate of 10%, the present value of each cash flow is:
Year 1: PV = [tex]$13,000 / (1 + 0.10)^1[/tex]= $11,818.18
Year 2: PV = [tex]$16,000 / (1 + 0.10)^2[/tex] = $12,648.76
Year 3: PV =[tex]$18,000 / (1 + 0.10)^3[/tex] = $13,350.18
For the annuity, we can use the present value of an annuity formula, which is:
PV = [tex](PMT / r) * [1 - (1 / (1 + r)^n)][/tex]
where PMT is the payment per period, r is the discount rate, and n is the number of periods. Plugging in the values for Del Monty's annuity, we get:
PV = [tex]($19,000 / 0.10) * [1 - (1 / (1 + 0.10)^7)][/tex]= $95,637.49
Adding up the present values of all four cash flows, we get:
PV = $11,818.18 + $12,648.76 + $13,350.18 + $95,637.49 = $133,454.61
Therefore, the present value of all three future benefits is $133,454.61 when discounted at a rate of 10%.
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approximately how much money per consumer will be spent on the super bowl this year?
The advertising revenue from the 2021 Super Bowl, for example, set a new high of $485 million USD. Meanwhile, a 30-second ad spot during the Super Bowl broadcast is expected to cost 6.5 million US dollars in 2022.
What is the average cost of a Super Bowl party?
This year, 103.5 million people intend to host or attend a party, while another 17.8 million intend to watch the game in a bar or restaurant.
For the day, total spending on food, drinks, clothing, decorations, and other purchases is expected to reach $16.5 billion, or $85.36 per person. According to the National Retail Federation (NRF), total spending on food, drinks, apparel, decorations, and other purchases for Super Bowl
Therefore, Sunday celebrations are expected to reach $16.5 billion, or $85.36 for each of the 192.9 million adults planning to watch the game.
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which activity helps an organization determine the raw input, equipment, and human resources needed to produce an output? multiple choice question. work-flow analysis process integration analysis system redesign tqm
The activity that helps an organization determine the raw input, equipment, and human resources needed to produce an output is "work-flow analysis".
What does it involves?
Workflow analysis involves examining the steps involved in a process to identify the resources needed at each step. By analyzing the workflow, an organization can identify the raw inputs, equipment, and human resources needed to produce the desired output.
This information can then be used to optimize the process, reduce waste, and improve efficiency.
Process integration analysis and system redesign are also important activities in process improvement, but they focus more on identifying ways to improve the overall process and integrate different parts of the organization.
TQM (Total Quality Management) is a management approach that involves continuous improvement in all aspects of an organization's operations, including process improvement, customer satisfaction, and employee involvement.
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manufacturing tests an inspector must select tests to perform in a certain order on a manufactured part. he has a choice of tests. how many ways can he perform different tests?
The number of ways the inspector can perform different tests on a manufactured part depends on the number of tests available to him and the order in which he must perform them.
If there are n tests available, then the inspector has n! (n factorial) possible ways of performing the tests. Factorial is the product of all positive integers less than or equal to n. For example, if there are 4 tests available, the inspector has 4! = 4 x 3 x 2 x 1 = 24 possible ways of performing the tests. The order in which the tests are performed is important, so if test A is performed first, followed by test B, followed by test C, it is considered a different sequence than if test C is performed first, followed by test B, followed by test A. This calculation assumes that there are no constraints on the number of times each test can be performed and that each test must be performed exactly once.
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strategy is a plan to use and develop core competences so that the organization can not only protect and enlarge its domain but can also expand into new domains. group of answer choices business-level environmental-level functional-level corporate-level
Business-level strategy is a plan to use and develop core competences so that the organization can not only protect and enlarge its domain but can also expand into new domains.
What does an organization's main purpose?In order to accomplish the purpose, a group of services, goods, and/or activities known as a core function must be performed. A core function can be comparable to a line of business in the private sector. Core functions integrate agency planning and performance initiatives with allocated monies in addition to explaining to Iowans what the state government does. Decision-makers and stakeholders will be able to see trends in budget allocations for core functions and changes in financing across agencies.
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______ financial statements enable one to compare firms that differ in size.
Common size financial statements are made to make it easier to compare a company to its competitors and to draw attention
What classification of analysis falls under a normal financial statement size?
Common size analysis, commonly referred to as vertical analysis, is a technique used by financial managers to review financial statements. The proportion of the base amount for that period of time to assess the financial statements is provided for each line item.
What type of financial statement are they, out of the four?
The four primary types of financial statements used by for-profit businesses are the balance sheet, the income statement, the statement of cash flow, and the statement of retained earnings.
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Suppose that the least amount of goods and services that Scott will consume in a year is $40,000. Scott tends to save $0.30 o
every dollar of disposable income that he makes. Use the given line to graph Scott's consumption function for disposable
income levels between $0 and $200,000. Move each endpoint to the appropriate spot on the graph.
Answer:
Explanation:
Answer:
Explanation:
if you borrow $9,667 and are required to pay back the loan in five equal annual installments of $2,550, what is the interest rate associated with the loan? (round your answer to the nearest whole percent.)
The interest rate associated with the loan is 10%(Approx).
What Is an Interest Rate?The hobby rate is the quantity a lender expenses a borrower and is a share of the principal—the amount loaned. The pastime rate on a loan is typically noted on an annual basis recognised as the annual percentage charge (APR).
Divide the quantity of the additional payment by way of the amount loaned to determine the easy hobby rate. For example, think about a mortgage of $1,000, which have to be repaid in one yr with the amount of $1,300. This is $300/$1,000, or 30 percent per year, which is a hefty activity rate
In terms of the receiver, a man or woman who deposits money to any bank or monetary institution also earns additional earnings considering the time fee of money, termed as activity acquired with the aid of the depositor.
Let interest rate be x%
At this rate; present value of payments=9667
9667 = 2550/1.0x + 2550/1.0x²+...........+2550/1.0x⁵
Hence x = interest rate = 10%(Approx).
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true or false. the two main brewing methods of brewing coffee are pour-over and immersion. an example of immersion brewing is the auto-drip method such as the coffee machines found in many american offices and homes.
Even though sake is sometimes called "rice wine," the process is more akin to making beer than wine.
What procedures are used in the production of cider?
The apples are gathered and cleaned before being crushed and pressed. The leftover juice is fermented to create cider. Apple juices are available in a range of tastes, such as aromatic, astringent, tart, and neutral. Frequently, sweet and sour apples are blended together to create a well-balanced cider.
What procedures go into making hard cider?
There are just two ingredients needed: apple juice and a tank or barrel (these could be made from stainless steel, polymer, or even old wine or rum oak barrels).
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the following data were taken from the records of menendez company: current assets $ 5,000 property, plant, and equipment 10,000 current liabilities 3,500 long-term liabilities 5,000 stockholders' equity 6,500 what is menendez company's current ratio? a.1.43 b.2.86 c.$5,000 d.1.00
a. 1.43. The Menendez Company's current ratio is 1.43. The records of Menendez company: current assets $ 5,000 property, plant, and equipment 10,000 current liabilities 3,500 long-term liabilities 5,000 stockholders' equity 6,500.
Bad current ratio: what is it?A current ratio that is lower than 1.00 generally denotes that a corporation has more debts due in a year or less than it does assets. This can be a sign that the business would find it difficult to fulfil its immediate obligations.
What makes the current ratio so crucial?A company's ability to meet short-term financial obligations is generally measured by the current ratio, which contrasts a company's current assets and liabilities. If the ratio is too low or even too high, it can signal potential problems and serve as a good gauge of financial health.
To calculate Menendez Company's current ratio,
Current Ratio = Current Assets / Current Liabilities
Current assets = $5,000
Current liabilities = $3,500
Current Ratio = $5,000 / $3,500
Current Ratio = 1.43
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