Answer:
a) reliability
Explanation:
Based on the information provided within the question it can be said that these two steps taken by Elle focus on the reliability of performance management. This refers to making sure that you can count on the results that are gathered from the performance evaluation on the employees. Thus allowing you as a manager to manage the performance of those employees and provide correct feedback or decisions based on the results.
The receiving report is used to________.
a. advise general ledger of the accounting entry to be made
b. advise the vendor that the goods arrived safely
Answer:
The receiving report is used to advise the vendor that the goods arrived safely (option b)
Explanation:
The receiving report is a document and accounting support detailing receipts in a storage area. You must show the code, description, quantity and value of the goods received, as well as the date of receipt and the signature of the person who received. In other words, it is a document prepared with the purpose of specifying the quantity and class of materials received.
It is useful to create a paper record of material receipts from suppliers and to record problems that may have been detected during the inspection processes or to report that the merchandise arrived safely in case of not registering problems.
This report is issued by the receiving warehouse in Duplicate, once the products received have been verified and inspected.
The receiving report is used to advise the vendor that the goods arrived safely (option b)
if Dawn's disposable income increases from $30,000 to $35,000 what is his marginal propensity to consume if he spends $4,000 of the increase on consumer products?
Answer:
Marginal Propensity to Consume = 0.8
Explanation:
Marginal propensity to consume (MPC) exhibits consumer's spending behavior as to what percentage of extra dollar is spent from extra dollar of income.
MPC is calculated as Increase in consumption divided by increase in income.
MPC: Increase in consumption / increase in income: 4,000 / 5,000
MPC = 0.8
Which of the following HR activities is similar to analyzing a job that does not yet exist?
A. Human resource planning
B. Performance appraisal
C. Job evaluation
D.Work redesign
E. Selection
Answer: Work redesign
Explanation:
Work redesign is the process by which a job analyst accesses an already existing job role to check for modifications that can be carried out on that job role to increase job effectiveness. The job modifications could be in the form of: searching for a best fit for a job role, improvements in working conditions, adjusting the job description.
Therefore work redesign is a way of analysing a job role that doesn't exist at the moment, but if redesigned could be very effective.
When the price of product A rises, the quantity of product B that is purchased decreases. Products A and B are:__________
Answer:
They are Complimentary Goods.
Explanation:
Complimentary goods are defined in economics as products that whose use is related to the use of an associated or paired good.
i.e.: Like Cars and Petroleum
When the price is increase in one product, then the quantity demand for that product decreases. This in tern affects the other related product and the quantity demand of that related product falls as well.
Answer: Product A and B are complimentary Goods .
Explanation: Complimentary Goods are a part of 'Price of related goods' factor affecting demand , among the 4 factors - Price of good , Price of related goods (substitute & complimentary) , Income , Taste preferences
These are goods which are jointly demanded . Eg Inverter & Battery .
These goods price & demand have inverse relationship implying price rise of one good leads to fall in other good demand , price fall of one good leads to rise in other good demand .
This happens because price of one good rise leads to fall in its demand (price demand inverse relationship as per law of demand) , which subsequently reduces the demand for its complement good also as both are used jointly .
Similarly , price fall of good reduces its own as well as its complement good demand.
Eg Price rise of petrol can lead to a reduction in demand of cars .
You are climbing a stair case. It takes n steps to reach to the top. Each time you can either climb 1 or 2 steps. In how many distinct ways can you climb to the top?
Final answer:
The problem of finding the number of distinct ways to climb a staircase with 1 or 2 steps at a time is solved by using the Fibonacci sequence. The total number of ways W(n) is the sum of the ways to climb to the previous two steps, W(n-1) and W(n-2).
Explanation:
The student's question involves finding the number of distinct ways one can climb to the top of a staircase by taking 1 or 2 steps at a time. This is a classic problem that can be approached using combinatorics, specifically the Fibonacci sequence.
Let us denote the number of ways to climb a staircase of n steps as W(n). For the base cases: W(1) = 1 (only one way to climb one step) and W(2) = 2 (either two single steps or one double step).
To get to step n, one could either come from step n-1 (by taking one step) or from step n-2 (by taking two steps). Hence, the number of ways to reach step n is the sum of the ways to reach steps n-1 and n-2. Mathematically, this can be expressed as W(n) = W(n-1) + W(n-2).
Therefore, to find W(n) for any n, one would start at the base cases and work upwards until reaching W(n).
Quinn contracts to provide ten tons of scrap steel at $500 per ton to Rendered Materials, Inc. An unforeseen shortage of scrap steel suddenly develops, making it impossible for Quinn to fulfill the contract for less than $5,000 per ton. Quinn's best defense against performing the contract would be thata. procuring the steel would force Quinn into bankruptcy.b. the law has rendered performance of the contract illegal.c. performance of the contract is commercially impracticable.d. the specific subject matter of the contract has been destroyed.
Answer:
C) performance of the contract is commercially impracticable.
Explanation:
Contract law contemplates certain situations where performing the contract is either difficult or impossible and therefore the party is not liable for breaching the contract.
Commercial impracticability applies to contracts where the performance of at least one party is impracticable and cannot be accomplished.
In this case, Quinn cannot perform his duty since the price of scrap steel increased beyond any reasonable price contemplated in the contract. Since Quinn is not responsible for setting the price of scrap steel, he is not liable for breaching the contract.
Quinn's best defense against performing the contract due to an unforeseen shortage of scrap steel is claiming that performance has become commercially impracticable. Thus, the correct option is c.
Under contract law, an excuse for non-performance can be made if an unforeseen event significantly increases the cost of performance to the point where the contract becomes commercially impracticable.
This is typically covered under the legal doctrine of commercial impracticability, which relieves a party from their contractual obligations if performing the contract has become extremely difficult or unusually expensive due to unforeseen events.
In this case, the unexpected shortage of scrap steel making the cost jump from $500 to $5,000 per ton makes fulfilling the contract commercially impracticable for Quinn.
Ken, a C.P.A., charges an annual fee to all of his clients for his services. Ken's services sometimes include investment advice but no extra fee is charged for that advice. After he begins spending 30% of his time giving investment advice, he decides to advertise the availability of the investment advisory services. According to the Investment Advisors Act of 1940, Ken is subject to regulation as an investment advisor:[A] When he gives advice about specific securities to clients.[B] When he starts spending more than 25% of his time providing investment advice.[C] When he begins advertising the availability of the investment advisory services.[D] When he starts charging investment advisory clients different fees than those charged the accountant's clients.
Answer:
C) When he begins advertising the availability of the investment advisory services.
Explanation:
The Investment Advisor Act of 1940 states that an individual is subject to regulation as an investment advisor if the individual gives investment advice and advertises himself/herself as offering such investment advisor services.
In this case, the moment Ken begins advertising his advisor service, he is subject to regulation under the Investment Advisor Act of 1940.
Which of the following options is important to research when planning to expand delivery of products and services to customers across the globe?
A. What times of the day international shoppers are online
B. The legal and tax considerations in that market
C. Which social channels are popular in that market
D. Which couriers offer the cheapest services for global shipping
Answer:
The correct answer is: "B. The legal and tax considerations in that market".
Explanation:
When a company wants to expand its delivery of products across the world, it is important to research all countries the company wants to reach, which includes the legal and tax considerations of all these different places. Each country has its own norms and functioning of taxes depending on products and the amount of them. This means that the company must research very well which places fit its planning of expansion for providing customers with the right informations and pricing. The other options may be important, but they do not apply to the question because they are important for the whole process of delivery, whether it is local or global.
Researching the legal and tax implications, understanding the popular social channels, and evaluating courier services are crucial steps when expanding product and service delivery globally.
Explanation:When planning to expand delivery of products and services globally, it's essential to research various factors that can significantly impact the venture's success. Among the options provided, the most crucial ones to consider are:
The legal and tax considerations in the market you're expanding to. Different countries have varying regulations, tax structures, and compliance requirements that could affect how you conduct business.Which social channels are popular in that market. It's important to understand where your target customers are and how to best engage with them.Which couriers offer the best services for global shipping, not just the cheapest. Reliability, coverage, and cost-effectiveness are key to ensuring your products reach customers in a timely and satisfactory manner.Factors such as the time when international shoppers are online may also be relevant but are less critical than legal, social channel, and courier considerations.
Suppose an economy’s real GDP is $30,000 in year 1 and $31,200 in year 2. Instructions: In part a, enter your answer as a whole number. In part b, round your answer to 2 decimal places. a. What is the growth rate of its real GDP? Assume that population is 100 in year 1 and 102 in year 2. b. What is the growth rate of real GDP per capita?
Answer:
growth rate of real GDP = 4%
Growth rate of real GDP per capita = 1.96 %
Explanation:
given data
economy’s real GDP year 1 = $30,000
economy’s real GDP year 2 = $31,200
to find out
growth rate of its real GDP and growth rate of real GDP per capita
solution
we get here growth rate of real GDP that is express as =
growth rate = (real GDP year 2 - real GDP year 1) ÷ real GDP year1 ......................1
put here value we get
growth rate of real GDP = [tex]\frac{31200-30000}{30000}[/tex]
growth rate of real GDP = 4%
and
now we get first real GDP per capita that is express as
real GDP per capita = [tex]\frac{GDP}{population}[/tex] ..........2
real GDP per capita year 1 = [tex]\frac{30000}{100}[/tex]
real GDP per capita year 1 = 300
and
real GDP per capita year 2 = [tex]\frac{31200}{102}[/tex]
real GDP per capita year 2 = 305.882
so now Growth rate of real GDP per capita will be as
Growth rate of real GDP per capita = ( real GDP per capita year 2 - real GDP per capita year 1 ) ÷ real GDP per capita year 1 ............3
put here value we get
Growth rate of real GDP per capita = [tex]\frac{305.882-300}{300}[/tex]
Growth rate of real GDP per capita = 1.96 %
The growth rate of the economy's real GDP is 4%. The growth rate of real GDP per capita is 2.22%.
Explanation:a. To calculate the growth rate of real GDP, we use the formula: (Year 2 GDP - Year 1 GDP) / Year 1 GDP. Plugging in the values, we get: (31200 - 30000) / 30000 = 0.04. So the growth rate of real GDP is 0.04, or 4%.
b. To calculate the growth rate of real GDP per capita, we use the formula: (Year 2 GDP per capita - Year 1 GDP per capita) / Year 1 GDP per capita. The GDP per capita in Year 1 is $300 (calculated by dividing Year 1 GDP by Year 1 population) and in Year 2 is $306.67 (Year 2 GDP divided by Year 2 population). Plugging in the values, we get: (306.67 - 300) / 300 = 0.0222. So the growth rate of real GDP per capita is 0.0222, or 2.22%.
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How do changes in planned expenditures affect the aggregate demand curve?
Answer:
When there is change in income level which determines the level of planned expenditures, there is a movement along the Aggregate expenditure curve but a shift towards the left or right on the Aggregate Demand curve.
Explanation:
Planned expenditures depicts the relationship between total spending, which is determined by income level in the economy; and the level of real GDP produced, with price level kept constant. Hence, an increase in income causes a movement along the Aggregate Expenditure curve.
Aggregate Demand depicts the relationship between price level and the level of real GDP produced, with income level kept constant. Hence, an increase in price level triggers a movement along the Aggregate Demand curve.
Therefore when income level changes which by extension means a change in planned expenditures, there is a movement along the aggregate expenditure curve but an left (inward) or right (outward) move on the Aggregate Demand curve; as long as price levels remain constant
An economics professor, upset about the rising cost of textbooks, proposed that his department purchase 50 copies of a statistics book so the students in the statistics class would not have to purchase their own books but rather could borrow a book for the semester and then return it for the next class to use. Which of the following strategies would not prevent a common resource problem with the textbooks?a) Students will be required to pay a deposit for the textbook, which is refundable at the end of the semester when the book is returned in good condition.b) The textbooks are placed in a common area of the department so students can borrow and return them as needed.c) Students must sign a form agreeing to return the book or pay a fine equal to the replacement cost of the book.d) The textbooks are placed in the professor’s office and will only be given to students who are registered members of the class. These students will not receive their final course grades until the books are returned.
Answer:
B) The textbooks are placed in a common area of the department so students can borrow and return them as needed.
Explanation:
To avoid a new tragedy of the commons from occurring in the statistics class, each student that receives a book should be responsible for taking good care of it.
If the books are simply placed in a common area, anyone can come and take a book home and never return it or return it in a very bad shape.
A rectangular box has a volume of $4320$ cubic inches and a surface area of $1704$ square inches. The sum of the lengths of its $12$ edges is $208$ inches. What would be the volume of the box, in cubic inches, if its length, width and height were each increased by one inch?
Answer:
the volume would be V₂ = 5225 in³
Explanation:
denoting w as width , L as length and h as height , then the volume of the box will be
V = w*h*L
the surface area will be
S= 2*w*h + 2*w*L + 2*h*L→ S/2 = w*h +w*L + h*L
and the sum of the lengths TL will be
TL = 4*h + 4*L + 4*w → TL/4 = w + h + L
if the dimensions would increase 1 unit , the volume would be
V₂ = (w+1)*(h+1)*(L+1) = w*h*L + w*h+ wL +w + hL + h + L +1 = w*h*L + (w*h+ wL+hL) + (w+h+L) + 1 = V + S/2 + TL/4 +1
V₂ = V + S/2 + TL/4 +1 = 4320 in³ + 1704 in²/2 *1 in + 208 in/4 * 1 in² +1* 1 in³ = 5225 in³
V₂ = 5225 in³
Answer:
the volume would be V₂ = 5225 in³
Explanation:
I took the test
On March 1, 2018, Mandy Services issued a 9% long-term notes payable for $15,000. It is payable over a 3 - year term in $5,000 principal installments on March 1 of each year, beginning March 1, 2019. Each yearly installment will include both principal repayment of $5,000 and interest payment for the preceding one -year period. What is the amount of total cash payment that Mandy will make on March 1, 2019? O
A. $5,675
B. $6,350
C. $15,000
D. $5,000
Answer:
Correct option is (B)
Explanation:
Given:
Principal amount = $15,000
Interest rate = 9% or 0.09
Maturity = 3 years
Every year Mandy Services make payment of $5,000 of principal amount and interest accrued in the previous year. In 2019, Interest accrued for 2018 would be:
Interest = Principal × rate × time
= 15,000 × 0.09 × 1
= $1,350
Total payment made by Mandy in 2019 = 5,000 + 1,350
= $6,350
Management has a legal and professional responsibility to be sure that the financial statements are prepared in accordance with reporting requirements of applicable accounting frameworks.
a.True
b.False
Answer:
a. True
Explanation:
An accounting framework represents a set of criteria that is used to measure, interpret, and disclose the information that appears in an organization's financial statements.
The law of several nations mandates the Management of a company to prepare and present their financial statements in accordance with the laws of the nation. Since the law mandates this, it makes it a legal requirement.
On November 1, 2019, Juno, Inc. declared a dividend of $3.00 per share on common stock. Juno, Inc. has 10,000 shares of common stock outstanding and 20,000 shares of preferred stock. The date of record is November 15, and the payment date is November 30, 2019. Regarding the date of record, which of the following statements is true?
Answer:
When a dividend payment is recorded (November 15, 2019), no journal entry should be made.
Explanation:
When a dividend is declared, liability must be recorded for the total amount of the dividends and retained earnings must decrease. The journal entry should be:
November 1, 2019 .- dividend declaration ($3 per common share)
Dr Retained Earnings account 30,000Cr Dividends Payable account 30,000When the dividends are distributed, the journal entry should be as follows:
November 30, 2019 .- dividend distribution
Dr Dividends Payable account 30,000Cr Cash account 30,000If a company has a capital structure of $5,000,000 common stock with a cost of 17%, $2,000,000 bonds at 4%, $1,000,000 of short term debt with a cost of 7%, and $2,000,000 preferred stock with a cost of 3%, what is the weighted average cost of Capital?
Answer:
Explanation:
Weighted Average Cost of Capital; formula is as follows;
WACC = wE*re + wP*wp + wD*rd(1-tax)
where w= weight of...
r = cost of ...
E= common equity
P = preferred stock
D = Debt
Find the weights of each source of capital;
WACC = (0.50*0.17) +(0.20*0.03) + [0.20*0.04(1-0.40)] +[0.10*0.07(1-0.40)]
WACC = 0.085 +0.006 + 0.0048 + 0.0042
WACC = 0.1 or 10%
______________ believe that there is only a small amount of crowding-out if any at all..
Answer:
Keynesian
Explanation:
Keynesian is one of the famous economists who have written various macroeconomic theories. According to Keynesian, government intervention is essential to boost economic growth and to increase development work in a country. Similarly, Keynesian believed that government intervention leads to a small amount of crowding out if any at all which means that government intervention affects the market.
A hamburger costs $8 in the United States and ¥960 in Japan. The nominal exchange rate is ¥110 per dollar. The inflation rates in the United States and in Japan are 2% and 4%, respectively. The purchasing power parity is _____ per dollar.
Answer:
122.4
Explanation:
The formula for calculating purchasing power parity is given below:
Exchange rate for the Purchasing power parity can be calculated using the below formula:
960/8=120¥ per $
ST = S0 × (1 + if/ 1 + id)
ST = Estimated spot rate at end of period
S0 = Current spot rate
if = period inflation rate in foreign currency
id = period inflation rate in domestic currency
ST=120 x (1+4%/1+2%)
=120 x (1.04/1.02)
=120 x 1.02
=122.4 ¥ per dollar
Lancaster salesperson Jamie Dafe has begun to branch out into mortgage brokering. She continues to show homes to clients, but hasn't been actively seeking out new listings. Instead, she acts as a loan broker by buying, selling, or exchanging loans. Which of the following statements applies to Jamie's current situation?A. Jamie may not act as a loan broker unless she is properly licensed as one, under the Mortgage Loan Broker Law, set forth under the California Business and Professions Code, Article 7.B. Jamie may act as a loan broker without receiving any special license, other than her active California real estate broker's license, as long as she follows the stipulations set forth under the Mortgage Loan Broker Law, under Article 7 of the California Business and Professions Code.C. In California, a licensed real estate broker MAY assist the buyer in filling out the loan application for a financial institution, but may NOT arrange for financing for the buyer, or broker loans herself. In Jamie's situation, she is acting out of the realm of her real estate broker's license, and can face monetary damages and/or prison time for violating the California Financial Code AND the California Businessand Professions Code, Article 5.D. In California, anyone who wishes to sell, buy, or exchange loans, must meet two requirements: (1) The person must be licensed as a real estate salesperson or broker in California; and (2) The person must first obtain a Commissioner's Permit to Broker Loans. Jamie needs to fulfill this second requirement before she may legally broker loans in California, under Article 5 of the California Business and Professions Code, which is known as the Mortgage Loan Broker Law.
Jamie Dafe, transitioning into mortgage brokering from being a salesperson, needs to obtain a proper license as per the Mortgage Loan Broker Law under Article 7 of the California Business and Professions Code.
Explanation:Based on the given information, statement A applies to Jamie's current situation. As per the Mortgage Loan Broker Law, stipulated under Article 7 of the California Business and Professions Code, Jamie may not act as a loan broker unless she is duly licensed as one. Jamie being a salesperson shifting into mortgage brokering, needs to acquire the proper license to legally act as a loan broker. Similarly, her existing license as a California real estate broker doesn't empower her to operate as a loan broker without the necessary additional license.
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A decision tree is _____.
a. a structure of problem-solving ideas, with its roots based on the organization's mission
b. the hierarchy that must be followed when getting decisions approved
c. a graph of decision and their possible consequences
d. a location used by Chinese philosopher Confucius in times of intense pressure
e. an organization's decision network
Answer:
c. a graph of decision and their possible consequences
Explanation:
Decision tree -
It is a model in the form of a tree , which act as a supporting tool to get all the possible outcomes i.e. , utility , resource cost , outcomes , is referred to as decision tree.
Hence , from the given options of the question, the correct statement regarding decision tree is c. a graph of decision and their possible consequences .
A decision tree is a visual tool used to map out the different pathways that can be taken in the decision-making process, detailing the consequences of each potential decision.
Explanation:A decision tree is c. a graph of decisions and their possible consequences. This graphical representation is used in various fields such as business, engineering, and computer science to visualize the decision-making process. It consists of nodes representing decisions or chance outcomes, branches that correspond to the choices or steps that can be taken, and leaves that represent the potential outcomes or end states after the decisions have been made.
Decision trees help in analyzing the effects of different paths and can thus assist in making better, more informed decisions. For example, when drawing a tree diagram in probability, it represents all potential outcomes of an experiment, aiding in the visualization and calculation of probabilities. Similarly, in syntactic analysis, tree diagrams illustrate the structure of sentences by showing how units of language, or constituents, come together.
"Keeping track of securities owners for payment of interest or dividends is usually done by the company's"1. Treasure2. Broker3. Transfer Agent4. Register
Answer:
The correct answer is 3
Explanation:
Transfer agent is the one who plays an important or vital role among the investor and the registrar of the company or business. They are those who closely maintain the account balances of the investor and make sure that the shareholders receive the dividends payment in the timely way.
So, the transfer agents of the company, keep or maintain the track of the securities owners for the payment of dividends or interest.
Xavier Co. wants to purchase a machine for $36,100 with a four year life and a $1,100 salvage value. Xavier requires an 8% return on investment. The expected year-end net cash flows are $11,100 in each of the four years. What is the machine's net present value (round to the nearest whole dollar)?
Answer:
$1,473
Explanation:
The net present value is the present value of after tax cash flows substracted from the initial investment.
The net present value can be calculated using a financial calculator:
Cash flow for year zero = $-36,100
Cash flow for year one to three = $11,100
Cash flow for year four = $11,100 + $1,100 = $12,200
I = 8%
NPV = $1473
Seattle Inc. identifies an investment opportunity, which will yield cash flows of $30,000 per year in Years 1 through 4, $35,000 per year in Years 5 through 9, and $40,000 in Year 10. The initial cash outflow is $150,000, and the firm's required rate of return is 10 percent. Assume cash flows occur evenly during the year, 1/365th each day. What is the payback period for this investment? (Round off the answer to two decimal places.)
Answer:
the payback period = 4.86 years
Explanation:
Seattle's cash flows are as following:
Year Cash flow Accumulated cash flows
0 -$150,000 -$150,000
1 $30,000 -$120,000
2 $30,000 -$90,000
3 $30,000 -$60,000
4 $30,000 -$30,000
5 $35,000 $5,000
6 $35,000 $40,000
etc.
The payback period is between year 4 and 5:
4 years + ($30,000 / $35,000) = 4.86 years oryear 4 + [($30,000 / $35,000) x 365 days] = 4 years and 313 daysAlex wrecked his car and received $22,000 from the insurance company to replace it. His basis in the car was $20,000 and he spent $15,000 on a replacement vehicle. What is the amount of the recognized gain?
Answer:
$2,000
Explanation:
The recognized gain is computed below:
Recognized gain = Received amount from the insurance company - Alex basis in car value
= $22,000 - $20,000
= $2,000
The recognized gain shows a difference between the received amount and his basis in car
The other information which is mentioned is ignored as it is not relevant for the computation part
In an establishment that serves alcohol for on premise consumption and gets less than 50% of its gross receipts from alcohol sales, a cashier can be 16.
a) true
b) false
Answer:
True
Explanation:
An on premise establishment is one in which goods and services are used accordingly within the grounds of the establishment.
In an establishment where alcohol is sold and its not 50% of gross receipts it is safe for a 16year ol to be a cashier in such establishment since alcohol like any other goods or service is taken or used accordingly in the establishment.
Cheers.
You want to make payment at the website of a merchant who uses NFC. Which NFC operating mode should you use?
Answer:
Near field communication card emulation mode
Explanation:
Near field communication (NFC) is a wireless technology that uses radio frequency (RF) signals.
Near field communication devices can operate in three kind of modes:
Near field communication card emulation mode - this mode lets the device act as a smart card. This is useful for making payments at the site of a merchant who uses Near field communication.
Near field communication reader/writer mode - this mode allows the device to read information stored in an Near field communication tag on a label or poster.
Near field communication peer-to-peer mode - this mode allows for ad hoc data transfer between two Near field communication enabled devices.
21.1 Answering employee questions and supporting, coordinating, and controlling end user computing is the res A. user acceptance and support center. B. customer service center. C. help desk. D. user stories desk.
Answer: help desk
Explanation: A help desk is a tool designed to provide support and advice for the products and services of a business or organization to the client or end-user.
Normally, the object of a help desk is to solve issues or provide advice on items along with computers, electronic equipment, food, clothes, or software.
In-house support desks are also designed to assist workers. These in-house desks records and evaluates the complains and issue of employees and are responsible for providing the relevant information from such employees to the top management.
On June 19, Don Co., a U.S. company, sold and delivered merchandise on a 30-day account to Cologne GmbH, a German corporation, for 200,000 euros. On July 19, Cologne paid Don in full. Relevant currency exchange rates were:
June 19 July 19
Spot rate $.988 $.995
30-day forward rate .990 1.000
What amount should Don record on June 19 as an account receivable for its sale to Cologne?
a. $197,600
b. $198,000
c. $199,000
d. $200,000
Answer: $197,600
Explanation: Don Co is making a sale to Cologne GmbH and on the date of the transaction there is an exchange rate called the spot rate. Don Co will record in its books the value of the transaction on the set date at the spot rate which is:
200,000 euros @ .988
= $197,600
on the date of the settlement of the debt by Cologne GmbH, the spot rate is also considered which will be 200,000@ .995 = $199,000
Note that on the payment date, the exchange rate has gone up and now Don Co has a higher receivable value that what is in its book.
the difference of $1,400 ($199,000-$197,600) will now be noted in the books of Don Co as an exchange gain on the transaction.
On December 31, a company has the following bank accounts and corresponding cash balances:California BankOperating – Summit Ridge ($400,000)Operating – Bakersville 300,000Operating – Smithville 50,000Savings 500,000Sedona BankChecking ($375,000)How should the company report the above bank account balances in the balance sheet at December 31?A. Cash of $75,000.B. Cash of $450,000 and a liability of $375,000.C. Cash of $850,000 and a liability of $775,000.D. Cash of $800,000 and a liability of $725,000.
Final answer:
The company should report a total cash balance of $1,250,000 on its balance sheet, and after deducting the Sedona Bank Checking account overdraft of $375,000, the net cash reported would be $875,000. None of the options provided (A, B, C, or D) are correct based on the calculation of the account balances provided.
Explanation:
On a company's balance sheet at December 31, the company should report the total cash balances from all of its bank accounts in one combined amount, not including any overdrafts or liabilities. The balances in the company's California Bank accounts (Operating - Summit Ridge, Operating - Bakersville, Operating - Smithville, Savings) and its Sedona Bank Checking account should be totaled without regard to whether they are in checking or savings form. The correct way to report the cash balances is to add all the positive cash balances together:
California Bank Operating - Summit Ridge: $400,000
California Bank Operating - Bakersville: $300,000
California Bank Operating - Smithville: $50,000
California Bank Savings: $500,000
Sedona Bank Checking: ($375,000) [This is a liability and not added to the cash]
Adding these together: $400,000 + $300,000 + $50,000 + $500,000 = $1,250,000 in positive cash balances. Therefore the correct presentation on the balance sheet is:
Cash: $1,250,000
Less: Overdraft: $375,000
This results in net cash of $875,000. None of the provided responses (A, B, C, or D) are correct, as, based on the information given, the actual reporting should be cash of $875,000 (without any additional liability since the overdraft has been already deducted from the total cash).
Mr. Johnson is looking at Medicare Supplement policies. These policies are designed primarily to:________A. Provide benefits not covered by Medicare.B. Provide supplement retirement benefits.C. Provide additional disability coverage.D. Offset Medicare costs.
Answer:
the correct answer is A
Explanation:
Mr. Johnson is looking at Medicare Supplement policies. These policies are designed primarily to Provide benefits not covered by Medicare