Answer:
Change in government purchase needed = $40
Explanation:
Multiplier denotes the extent to which, change in an autonomous variable leads to multiple change in economy income.
Multiplier 'k' = Change in Income 'ΔY' / Change in autonomous variable 'ΔG', as autonomous variable = government purchase here.
ΔY needed = 200 billion , k = 5 , ΔG = ?
k = ΔY / ΔG
5 = 200 / ΔG
ΔG = 200 / 5
ΔG = 40
Change in government purchase needed = $40
The CEO of a heavy equipment manufacturing company suspects that a member of the company’s senior staff has been selling confidential information to a competitor. When asked to take a polygraph test by the CEO, the senior staff member becomes visibly upset and refuses to take the test. Which of the following is true of the given scenario? a. The CEO can fire the senior staff member for refusing to take the polygraph test. b. The senior staff member can face legal charges for refusing to take the polygraph test. c. The senior staff member cannot be fired for refusing to take the polygraph test. d. The senior staff member can sue the firm for illegally attempting to conduct the polygraph test.
Answer: c. The senior staff member cannot be fired for refusing to take the polygraph test.
Explanation: For refusing to take a polygraph test on the grounds of selling confidential business information to a competitor, the senior staff member cannot be fired. Under the Employee Polygraph Protection Act (EPPA) of 1988, private employers are prohibited from administering polygraph tests to their employees, to request results from the polygraph test, and also to or discharge, discipline, or discriminate against them for refusing to take the test whether for employment purposes or during the course of employment. However, there are exceptions for security firms and employees of the federal, state or local government agencies.
_____ are designed to draw data in real time from various sources, including corporate databases and spreadsheets, so decision makers can make use of up-to-the-minute data. Select one: a. Tactical dashboards b. Operational dashboards c. Strategic dashboards d. Analytical dashboards
Answer: (B) Operational dashboard
Explanation:
The operational dashboard is one of the type of reporting device which is typically used to monitoring the various types of business process and tracking the performance or daily progress in an organization that include spreadsheet and the corporate database.
The main purpose of the operational dashboard is to overview and monitoring the database process in an organization on daily basis and the operational database is basically design to draw the information in real time with the helps of different types of sources.
The main advantage of the operational database is that it helps in making effective decisions in an organization. Therefore, Operational dashboard is the correct answer.
Europa Company manufactures only one product. Presented below is direct labor information for November.Standard direct labor hours per unit of product 3.20Number of finished units produced 6,500Standard wage rate per direct labor hour (SP) $19.20Total direct labor payroll for the period $359,424Actual wage rate per direct labor hour worked (AP) $161. The actual direct labor hours worked (AQ) during November was:2. The total standard direct labor hours (SQ) in November for the output produced was:3.The direct labor rate variance for November (to two decimal places) was:4.direct labor efficiency variance for November (to two decimal places) was:
Answer:
1. 22,464 hours
2. 20,800 hours
3. $71,884.80 Favorable
4. $31,948.80 Unfavorable
Explanation:
Given that
Standard hours per unit = 3.20
Number of finished units = 6,500
Standard wage rate per hour = $19.20
Total direct labor payroll = $359,424
Actual wage rate per hour = $16
1. The computation of direct labor hours worked is shown below:-
Direct labor hours worked = Total labor cost ÷ Actual wage rate
= $359,424 ÷ 16
= 22,464 hours
2. The computation of total standard direct labor hours is here below:-
Total standard direct labor hours = Standard hours per unit × Actual units produced
= 3.20 × 6,500
= 20,800 hours
3. The calculation of direct labor rate variance is shown below:-
Direct labor rate variance = Actual hour × (Standard rate - Actual rate)
= 22,464 × ($19.2 - $16)
= 22,464 × $3.2
= $71,884.80 Favorable
4. The calculation of direct labor efficiency variance is shown below:-
Direct labor efficiency variance = Standard Rate × (Standard hour - Actual hours)
= $19.20 × (20,800 - 22,464)
= $19.20 × -$1,664
= $31,948.80 Unfavorable
LPM Ltd. uses units produced as its measure of activity. During August, the company budgeted for 46,700 units of output, but actually produced 48,900 units of output. The company uses the following revenue and cost formulas in its budgeting, where q is the number of units of output:
Revenue: $10.40q
Salaries: $31,050 + $2.45q
Supplies: $1.25q
Utilities: $0.60q
Insurance: $23,090
Miscellaneous expenses: $13,800 + $0.21q
The company reported the following actual results for August:
Revenue $ 491,250
Salaries $ 148,360
Supplies $ 55,795
Utilities $ 31,920
Insurance $ 22,100
Miscellaneous expense $ 20,845
The revenue variance in August is:
Answer:
The revenue variance in August is $5,570 favorable.
Explanation:
LPM Ltd.
Actual Revenue = $491,250
Budgeted Revenue = $10.40 x 46,700 units = $485,680
Revenue Variance = Budgeted Variance - Actual Variance
Revenue Variance = $485,680 - $491,250
Revenue Variance = $5,570 favorable
Since the Actual Variance is greater than budgeted variance, hence favorable revenue variance.
Each of the following statements may (or may not) describe one of these technical terms. In the space provided below each statement, indicate the accounting term described, or answer "None" if the statement does not correctly describe any of the terms. ________ (a.) An expenditure that will benefit only the current accounting period. ________ b.) The accelerated depreciation system used in federal income tax returns for depreciable assets purchased after 1986. ________ c.) A policy that fractional-period depreciation on assets acquired or sold during the period should be computed to the nearest month. ________ d.) An intangible asset representing the present value of future earnings in excess of normal return on net identifiable assets. ________ e.) Expenditures that could lead to the introduction of new products, but which, according to the FASB, should be viewed as an expense when incurred. ________ f.) Depreciation methods that take less depreciation in the early years of an asset's useful life, and more depreciation in the later years. ________ g.) An account showing the portion of the cost of a plant asset that has been written off to date as depreciation expense
Answer: Please find below the answer. You omitted the terms to be used.
Explanation: Using the accounting terms, Revenue expenditure. straight line policy, Goodwill,capital expenditure, half year convention, accelerated depreciation, research and development, MACRS,
filling in the terms appropriately, or None, if statement does not describe any term, we have
a)An Expenditure that will benefit only the current accounting period - Revenue expenditure
b) The accelerated depreciation system used in federal income tax returns for depreciable assets purchased after 1986 - MACRS
c) A policy that fractional period depreciation on assets acquired or sold during the period should be computed to the nearest month - Straight Line policy
d) An intangible asset representing the present value of future earnings in excess of normal return on net identifiable asset - Goodwill
e) Expenditures that could lead to introduction of new products, but which according to FASB, should be viewed as an expense when incurred - Research and Development
f-)Depreciation method that takes less depreciation in early years of an asset's useful life, and more depreciation in later years - NONE
g) An account showing that portion of the cost of a plant asset that has been written off to date as depreciation expense - Accumulated Depreciation.
MC Qu. 59 A company's flexible budget for... A company's flexible budget for 16,000 units of production showed sales, $96,000; variable costs, $56,000; and fixed costs, $19,000. The sales expected if the company produces and sells 20,000 units is (Do not round intermediate calculations): Multiple Choice $26,250. $120,000. $21,000. $7,250. $52,500. Next Visit question
Answer:
$120,000
Explanation:
The computation of sales is shown below:-
For computing the sales revenue first we need to find out the selling price per unit which is here below:-
Selling price per unit = Sales ÷ Units
= $96,000 ÷ 16,000
= $6
Sales revenue when 20,000 units are sold = Selling price per unit × Number of units sold
= $6 × 20,000
= $120,000
Therefore for computing the sales revenue we simply applied the above formula.
Last year, Arbor Corporation reported the following: Balance Sheet Total Assets $ 1,040,000 Total Liabilities 660,000 Total Shareholders' Equity $ 380,000 This year, Arbor is considering whether to issue more debt to fund a $100,000 project or to issue additional shares of common stock. Both options will bring in exactly $100,000. Arbor's current debt contracts contain a debt covenant that requires it to maintain a debt-to-equity ratio of 2.00 or less. Required: 1. Calculate Arbor's current debt-to-equity ratio. (Round your answer to 2 decimal places.)
Answer:
Arbor's current debt-to-equity ratio = 1.74
Explanation:
Given:
Total assets : $1,0400,000
Total liabilities : $660,000
Total Shareholders' Equity: $380,000
To calculate the current debt to equity ratio.
It is calculated as:
Total liabilities / Total Shareholders equity.
Therefore, the current debt to equity ratio will be :
$660,000/$380,000 = 1.74
Therefore, Arbor's current debt-to-equity ratio = 1.74
Construct profit diagrams or profit tables on expiration to show what position in IBM puts, calls and/or underlying stock best expresses the investor’s objectives described below. Assume IBM currently sells for $150 so that profit diagrams/ tables between $100 and $200 (in $10 increments) are appropriate. Also assume that "at the money" puts and calls cost $15 each. (As usual, the profit calculations ignore dividends and interest.)
(a) An investor wants upside potential if IBM increases but wants (net) losses no greater than $15 if prices decline.
(b) An investor wants to capture prots if IBM declines in price but wants a guaranteed limited loss if prices increase.
(c) An investor wants to capture prots if IBM declines in price and is ready to accept unlimited losses if prices increase. Further, the investor wants to break even if the stock price does not change between now and the maturity of the options.
(d) An investor wants to prot if IBM's upcoming earnings announcement is either unexpectedly good or disappointingly bad.
Answer:
Check the explanation
Explanation:
Kindly check the attached images below to see the step by step explanation to the question above.
Western Company is preparing a cash budget for June. The company has $10,600 in cash at the beginning of June and anticipates $31,400 in cash receipts and $37,300 in cash payments during June. Western Company has an agreement with its bank to maintain a minimum cash balance of $10,000. As of May 31, the company has no loans outstanding. To maintain the $10,000 required balance, during June the company must:
a. Borrow $5,300.
b. Repay $4,900.
c. Borrow $10,000.
d. Repay $5,100.
e. Borrow $4,900.
Answer:
$5,300
Explanation:
The computation of maintained balance is shown below:-
Total amount = Opening Balance + Cash Receipts - Cash Disbursement
= $10,600 + $31,400 - $37,300
= $42,000 - $37,300
= $4,700
In order to maintain a balance of $10,000, it needs to borrow = $10,000 - $4,700
= $5,300
Therefore to maintain a balance of $10,000, it needs to borrow $5,300
Ginger Hardware was organized on January 1, 2021. The firm was authorized to issue 170,000 shares of $5 par value common stock. During 2021, Ginger Hardware had the following transactions relating to stockholders' equity: Issued 51,000 shares of common stock at $7 per share. Issued 34,000 shares of common stock at $8 per share. Reported a net income of $170,000. Paid dividends of $85,000. What is total paid-in capital at the end of 2021
Answer:
$544,0000
Explanation:
Shareholders equity = (51,000 * $7) + (34,000 * $8) = $629,000
Retained earnings = $170,000 - $85,000 = $85,000
Total paid-in capital = Shareholders equity - Retained earnings = $629,000 - $85,000 = $544,0000
ABC Inc. hires you as its Ethics Officer, and the CEO of ABC Inc wants you to help ABC Inc become ESG compliant. She asks you to make two recommendations each for the Environmental, Social, and Governance components of the ESG report for ABC Inc. She is keen on not repeating Enron’s mistakes, and also wants you to point out how your recommendations will ensure that ABC Inc will function differently from Enron
Answer:
The definition of the problem is listed throughout the section below on explanations.
Explanation:
ABC Inc employs ABC Inc as an internal auditor as well as CEO into becoming compliant with ESG. She requests you should consider 2 recommendations each for ABC Inc's ESG research on Climate, Economic, and Governance. Why your advice will ensure ABC Inc operates differently against Enron.
Environment:
Through its operational activities, ABC should incorporate renewable energy. Solar panels could be used for generating power in organizations where appropriate.ABC will devote 5% of all its sales to research for environmentally friendly energy resources to significantly reduce its reliance on coal.Social:
ABC could perhaps recognize the perspective including its investors and therefore should share the required info.When the CEO is unaware of the corporation's misconduct as well as some informant points something out to herself, therefore that individual or organization must be tended to or respected.Governance:
ABC ought to be more open concerning its activities. If it's the founder or the worker. Stockholders ought to learn what the internal operations of their business are.Boards must be supervised closely and they should include separate, representative members. Their pay should not have been so strong that incongruity is prevented in conferences.As contrasted with Enron's. Enron did not follow up on such above compliance issues.
We were vague when it came to disclosing their liabilities off the income statement. Shareholders were unfamiliar with the firm's operations.Whistle-blower or anybody who referred out such a program flaw was embarrassed and disciplined.ABC Inc may obey these guidelines above to have been consistent with ESG.
Dapple Company incurred the following costs while producing 480 units: direct materials, $ 13 per unit; direct labor, $ 26 per unit; variable manufacturing overhead, $ 16 per unit; total fixed manufacturing overhead costs, $ 7 comma 680; variable selling and administrative costs, $ 2 per unit; total fixed selling and administrative costs, $ 4 comma 320. There are no beginning inventories. What is the operating income using variable costing if 430 units are sold for $ 160 each?
Answer:
Operating Income $32290
Explanation:
The difference between the variable and absorption costing is that the fixed costs are treated as period costs in variable costing and as product costs in absorptioon costing. In variable costing all variable costs are treated as product costs.
Dapple Company
Income Statement
Variable Costing
Sales 430 units* $ 160 $ 68,800
Less
Variable Cost OF Goods Sold ( 23650)
Direct materials, $ 13 per unit * 430 5590
Direct labor, $ 26 per unit *430 11180
Variable Manufacturing
Overhead, $ 16 per unit *430 6880
Less
Variable selling and
Administrative costs, $ 2 per unit *430 (860)
Contribution Margin 44290
Less
Total Fixed Manufacturing overhead costs, $ 7, 680;
Total Fixed selling and administrative costs, $ 4,320
Operating Income $32290
The operating income using variable costing is calculated as the contribution margin ($44,290) minus the total fixed costs ($12,000), resulting in an operating income of $32,290.
To calculate the operating income using variable costing, we first need to determine the total variable costs at the production level and then calculate the contribution margin from the sales of 430 units. Next, we subtract the total fixed manufacturing and selling costs from the total contribution margin to find the operating income.
Total variable costs per unit = Direct materials + Direct labor + Variable manufacturing overhead + Variable selling and administrative costs
Total variable costs per unit = $13 + $26 + $16 + $2
Total variable costs per unit = $57
Total variable production costs for 480 units = $57 * 480
Total variable production costs for 480 units = $27,360
Sales revenue = $160 * 430
Sales revenue = $68,800
Total variable costs for units sold = $57 * 430
Total variable costs for units sold = $24,510
Contribution margin = Sales revenue - Total variable costs for units sold
Contribution margin = $68,800 - $24,510
Contribution margin = $44,290
Total fixed costs = Fixed manufacturing overhead + Fixed selling and administrative costs
Total fixed costs = $7,680 + $4,320
Total fixed costs = $12,000
Operating income = Contribution margin - Total fixed costs
Operating income = $44,290 - $12,000
Operating income = $32,290
The operating income using variable costing is $32,290.
The average price of a gallon of gas in 2015 dropped $0.94 (28 percent) from $3.34 in 2014 (to $2.40 in 2015). Required: 1. Conduct a horizontal analysis by calculating the year-over-year changes in each line item, expressed in dollars and in percentages for the income statement of Insignia Corporation for the year ended December 31, 2015 (amounts in billions). 2-a. Conduct a vertical analysis by expressing each line as a percentage of total revenues. 2-b. Excluding income tax and other operating costs, did Insignia earn more profit per dollar of revenue in 2015 compared to 2014?
Answer and Explanation:
As per the data given in the question,
1)
Insignia Corporation
Income Statements
For the year ended Dec-31
Change in
Particulars 2015 2014 Dollars %
Revenues 126 266 -140 -52.6%
Cost of crude oil and products 63 153 -90 -58.8%
Other operating costs 61 55 6 10.9%
Income before income tax expense 2 58 -56 -96.6%
Income tax expense 0 30 -30 -100.0%
Net income 2 28 -26 -92.9%
2-a)
Insignia Corporation
Income Statements
For the year ended Dec-31
2015 2014
Revenues 126 100.0% 266 100.0%
Cost of crude oil and products 63 50.0% 15.3 57.5%
Other operating costs 61 49.4% 55 20.7%
Income before income tax expense 2 1.6% 58 21.8%
Income tax expense 0 0.0% 30 11.3%
Net income 2 1.6% 28 10.5%
2-b)
No, Insignia earned $0.575 per dollar of revenue in 2015 but it earned only $0.500 per dollar of revenue in 2015.
The horizontal analysis involves comparing each line item of Insignia Corporation's income statement for 2015 with the one from 2014 in dollars and percentage. Vertical analysis is done by expressing each line item as a percentage of total revenues. To assess if Insignia earned more profit per dollar of revenue, compare the net income ratio to total revenues for both years.
Horizontal Analysis
To perform a horizontal analysis of Insignia Corporation's income statement for 2015, you would compare each line item to the equivalent line item from 2014. The change in dollars is found by subtracting the 2014 amount from the 2015 amount. The percentage change is found by dividing the change in dollars by the 2014 amount and multiplying by 100.
Vertical Analysis
In a vertical analysis, each line item on the income statement is expressed as a percentage of total revenues for the same year. To do this, divide the amount of each line item by the total revenues and then multiply by 100.
Whether Insignia earned more profit per dollar of revenue in 2015 compared to 2014 can be determined by comparing the ratios of net income to total revenues for both years.
Understanding Price Determinants
Economists gain a practical understanding of what determines prices and why they change by studying real-world data. Factors affecting gasoline prices, for example, include demand, supply, taxes, and the global oil market.
. Consider an economy that can produce two goods, apples and blue jeans. Each worker can produce 3 units of apples or 4 units of blue jeans per week. Suppose that when this economy is opened to trade, the price of apples is $10 per unit and the price of blue jeans is also $10 per unit. Suppose as well that each consumer spends one quarter of his/her income on blue jeans, and that there are 1 million workers in this economy. a. Construct the budget line for a typical worker in this economy. Explain how you arrived at the value of intersection with each axis. b. What does this economy export under trade, and how much does it export of it?
Answer:
ATTACHED GRAPH
It export jeans. it will export 3/4 of their production and keep the 1/4 for internal use.
1,000,000 jeans consumed --3,000,000 exported--
3,000,000 apples imported
Explanation:
The economy will export the good with the lower opportunity cost:
do 3 apple cost 4 jeas with a cost of $10 each total = 40
do 4 jean cost 3 apples with a cost of $10 each total = 30
The economy will focus in jeans and export to later purchase apple in the market.
Therefore will produce 4 jeans and sale them all to get 4 apple (X-axis intersection)
Or will produce 4 jeas and keep them (Y-Axis intersection)
That is produce 4 jeans x 1,000,000 worker = 4,000,000
And then, consume 1/4 = 1,000,000
and export the rest 3,000,000
Alpha Company makes all its sales on account. The accounts receivable payment experience is as follows: Percent paid in the month of sale 35% Percent paid in the month after the sale 54% Percent paid in the second month after the sale 6% Alpha provided the following information on sales: May $150,000 June $125,000 July $136,000 August (expected) $142,000 How much of June's credit sales is expected to be collected in the month of July
Answer:
$67,500
Explanation:
Data provided as per the requirement of expected cash collection in July is shown below:-
June sales = $125,000
Percent paid in the month after the sale = 54%
The computation of expected cash collection in July is shown below:-
Expected cash collection in July = June sales × Percent paid in the month after the sale
= $125,000 × 54%
= $67,500
Therefore for computing the expected cash collection in July we simply applied the above formula.
On January 2, 2017, Lester Company, a calendar-year company, issued $40,000 of notes payable, of which $5,000 is due on January 2 for each of the next eight years the first payment is due January 2, 2018). The proper balance sheet presentation on December 31, 2017, is
a. Current Liabilities, $40,000.
b. Current Liabilities, $5,000; Long-Term Liabilities, $35,000.
c. Long-Term Liabilities, S40,000.
d. Current Liabilities, $35,000; Long-Term Liabilities, $5,000.
Answer:
The correct option is C)
Explanation:
The $ 40,000 must be recorded in full as at 31st December 2017 given that the first tranch of $5,000 is not yet due until 2nd January 2018.
It may be recognised as follows on December 31st 2018:
Current Liabilities: $5,000
Long-Term Liabilities: $35,000
Because as at that time, the $5,000 would have been paid (all factors remaining constant) while the $35,000 is recognised as payable in future.
Cheers!
State Road Fabricators Inc. is considering eliminating Model A02777 because of losses over the past quarter. The past three months of information for Model A02777 are summarized below: Sales (1,100 units) $470,000 Manufacturing costs: Direct materials 160,000 Direct labor ($15 per hour) 80,000 Overhead 150,000 Operating loss ($80,000) Overhead costs are 75% variable and the remaining 25% is depreciation of special equipment for model A02777 that has no resale value. If Model A02777 is dropped from the product line, operating income will ________.
Answer :
The operation will decrease by $117,500
Explanation :
As per the data given in the question,
State road Fabricators Inc.
Income Statement
Particulars Amount
Sales $470,000
Less: Manufacturing cost
Direct materials $160,000
Direct Labor $80,000
Overhead Variable part $112,500 ($150,000 × 75%)
Operating income $117,500
Working notes
1) In overhead cost only variable part ($112,500) will be considered for decision
hence, variable cost of overhead is relevant cost.
2) Fixed part of overhead cost ($150,000*25% = $37,500) is unavoidable s it is a sunk cost.
3) Company should not drop the product line.
Will give BRAINLIEST! Please read the question THEN answer correctly! No guessing.
Answer:
D
Explanation:
Since Sula is making her decision based on what would be environmentally friendly, she is being socially responsible, but not necessarily analyzing the other variables. Therefore, the answer is D. Hope this helps!
The Tinsley Company exchanged land that it had been holding for future plant expansion for a more suitable parcel located farther from residential areas. Tinsley carried the land at its original cost of $30,000. According to an independent appraisal, the land currently is worth $72,000. Tinsley paid $14,000 in cash to complete the transaction. Required: 1. What is the fair value of the new parcel of land received by Tinsley assuming the exchange has commercial substance? 2. Prepare the journal entry to record the exchange assuming the exchange has commercial substance. 3. Prepare the journal entry to record the exchange assuming the exchange lacks commercial substance. 4. Prepare the journal entry to record the exchange except that Tinsley received $9,000 in the exchange, and the exchange lacks commercial substance.
The fair value of the new land parcel Tinsley received is $72,000. The journal entries depend on whether the exchange has commercial substance, and they adjust for any cash paid or received during the transaction.
Explanation:The fair value of the new parcel of land received by Tinsley is the sum of the original cost of the land given up ($30,000) plus the additional cash paid ($14,000), which is $44,000, assuming the transaction has commercial substance. However, because the appraisal value of the land is $72,000, which is higher than the carrying amount plus the cash paid, the fair value of the new land is $72,000.
If the exchange has commercial substance, the journal entry to record the transaction would be:
If the exchange lacks commercial substance and no cash is received, the new land is recorded at the book value of the old land plus any cash paid, and no gain is recognized. The journal entry in this case would be:
If Tinsley received $9,000 in the exchange and the exchange lacks commercial substance, the journal entry would be:
The recognition of a gain is deferred in exchanges lacking commercial substance unless cash is received.
Learn more about Accounting for Land Exchange here:https://brainly.com/question/32659394
#SPJ3
.
Question 2
Using the information from Georgia's government and your economic knowledge, compose a two-to three-paragraph
email message to the governor's economic advisors that analyzes the economic impact of price controls. Your email
message should address these points:
Why does the government implement price controls? Be creative and come up with a specific example of the two
situations you listed in question 1.
• What types of goods or services do price controls cover? Tailor your response to the situation you are describing.
• Is this price control a price floor or a price ceiling?
• Who or what would benefit or be harmed by these price controls?
• Based on the overall benefit or harm to society and the economy, justify your opinion on whether the price control is
a benefit or hindrance to the economy.
Be sure to use proper grammar as well as a topic sentence and introductory and concluding statements.
Answer:
This is the sample answer
Explanation:
After a natural disaster, such as a major hurricane, there is increased demand for gasoline, lumber, bottled water, clothing, and other essential goods as people try to replace and rebuild what was lost. At the same time, the supply of these goods likely decreases because of disruptions to factories and transportation. Under normal market conditions, producers would raise their prices at the first sign of trouble, both to offset their own losses from the disaster and to obtain optimal profits.
However, people who have lost everything need to start rebuilding as soon as possible at a price they can afford to pay. The sooner the community is rebuilt and back to normal, the sooner the local economy will return to normal for both consumers and producers. For this reason, I think the government should introduce price ceilings on essential goods during a disaster. Many people would not be able to buy the goods they need without price ceilings. Although producers lose out on maximizing their profits, their actual losses are limited because they are allowed to raise prices to cover production and transportation costs driven up by the disaster.
Because citizens benefit so greatly from them, I think emergency price ceilings are beneficial to the economy as long as producers do not suffer significant losses from them.
Price controls are implemented by the government to regulate the prices of certain goods or services. They can be a benefit or a hindrance to the economy depending on the specific situation. One example is the implementation of price controls on water during a severe drought, which can protect consumers but harm some suppliers.
Explanation:Price controls are implemented by the government to regulate the prices of certain goods or services. They can be used to stabilize prices, protect consumers, or support specific industries. For example, during a time of severe drought, the government may implement price controls on water to ensure that it remains affordable for everyone, thus protecting the welfare of the population.
The types of goods or services that price controls cover can vary depending on the situation. In the case of the water shortage example, price controls would cover the price of water usage and potentially related products like water filters or bottled water.
In this scenario, the price control would be a price ceiling because it sets a maximum price that cannot be exceeded. Consumers would benefit from the price control as it ensures that water remains affordable during the drought. However, some suppliers or businesses may be harmed if they are unable to charge higher prices to cover production costs.
Based on the overall benefit or harm to society and the economy, the price control in this example can be seen as a benefit to the economy. It helps maintain access to an essential resource for the population while protecting vulnerable consumers from excessively high prices. However, it's important to consider the potential long-term effects and unintended consequences of price controls.
Learn more about Price controls here:https://brainly.com/question/33756790
#SPJ3
What group is primarily responsible for the creation of International Financial Reporting Standards (IFRS)?
a. International Forum on Accountancy Development (IFAD)
b. International Accounting Standards Board (IASB)
c. International Federation of Accountants (IFA)
d. Financial Accounting Standards Board (FASB)
Answer:
The correct answer is Option B.
Explanation:
International Accounting Standards Board (IASB) was established in 2001 to replace the International Accounting Standards Committee. It is a private-sector and independent body that approves and develops International Financial Reporting Standards (IFRS). IFRS is an accounting standard that tends to uniform the financial reporting standards across different organizations across different countries. The IASB also makes pronouncement on new and emerging IFRS standards.
Ellis Television makes and sells portable televisions. Each television regularly sells for $210. The following cost data per television is based on a full capacity of 10,000 televisions produced each period. A special order has been received by Ellis for a sale of 2,000 televisions to an overseas customer. The only selling costs that would be incurred on this order would be $6 per television for shipping. Ellis is now selling 6,000 televisions through regular channels each period. What should be the minimum selling price per television in negotiating a price for this special order?
Question
Ellis Television makes and sells portable televisions. Each television regularly sells for $210. The following cost data per television is based on a full capacity of 10,000 televisions produced each period.
Direct material - $80
Direct Labour -$60
Manufacturing overhead(70% variable, 30% unavoidable fixed cos) -$40
A special order has been received by Ellis for a sale of 2,000 televisions to an overseas customer. The only selling costs that would be incurred on this order would be $6 per television for shipping. Ellis is now selling 6,000 televisions through regular channels each period. What should be the minimum selling price per television in negotiating a price for this special order?
Answer:
The minimum selling price = $174.
Explanation:
The minimum selling price to be acceptable for the special order be the same as the relevant variable cost of producing a unit.
The relevant variable cost = marginal cost of a unit
Marginal cost = Direct material + Direct labour + Variable manufacturing overhead + shipping cost
Marginal cost = 80 + 60 + (70%× 40) + 6
= 174
The minimum selling price = $174.
Note : The 30% balance of manufacturing overhead which represents unavoidable fixed costs is irrelevant for this decision. These are costs that would be incurred either way whether or not the special order is accepted.
Multinational corporations operate in locations across the world. Each company has its own motive for its presence in different countries.
Consider the following case:
RTE Telecom Inc. is an American company that produces high-tech electronics. Its managers have decided to move some of its production facilities to Japan in an attempt to circumvent certain governmental regulations. Which of the following best describes the reason RTE Telecom Inc. has decided to go global?
a. To avoid political, trade, and regulatory hurdles
b. To broaden its markets
c. To seek production efficiency
Answer:
a. To avoid political, trade, and regulatory hurdles
Explanation:
The question states that RTE Telecom is opening a production facility in Japan to circumvent governmental regulations. Circumvent means to overcome a problem by going around the problem, in a deceitful way.
This means that RTE is trying to avoid some type of regulation or law either in Japan or the US. Many times MNCs move their operations to foreign countries to pay less taxes, avoid certain trade barriers, or avoid certain laws specially regarding the environment or other negative externalities generated by their production processes.
Lean Accounting The annual budgeted conversion costs for a lean cell are $180,000 for 1,000 production hours. Each unit produced by the cell requires 20 minutes of cell process time. During the month, 600 units are manufactured in the cell. The estimated materials costs are $30 per unit. (Do not round per unit cost. If required, round your answers to the nearest dollar.) Journalize the following entries for the month: a. Materials are purchased to produce 500 units. b. Conversion costs are applied to 600 units of production. c. The cell completes 450 units, which are placed into finished goods. If an amount box does not require an entry, leave it blank.
Answer:
Lean Accounting
General Journal
Sr. No Particulars Debit Credit
1. Materials $ 15000 Dr
Cash (Accounts Payable) $ 15000 Cr
500 units* $30 per unit = $15000
2. Conversion Costs $ 36000 Dr
Work In Process $ 36000Cr
One unit require 20 minutes
600 units require= 600*20= 12000 minutes
There are 60 minutes in 1 hour
12000/60 = 200 hours
600 units require 200 hours
1 hour costs $180
Conversion Costs for 600 units= ($ 180,000/1000)*200= $ 36000
3. Finished Goods 40500 Dr
Work in Process 40500 Cr
Materials for 450 units = $30 * 450= $ 13500
Conversion for 450 units = $ 180 *( 450*20/60) = 150*180= $27000
Total Cost of 450 units completed= $ 13500+ $ 27000= $ 40 500
Place in order the events in the evolution of the Solow growth model. Start by clicking the first item in the sequence or dragging it here The Solow growth model was developed in 1956. The Solow model was applied to many African nations that had just gained independence. Real-world observations caused economists to revisit the Solow growth model. Growth policies failed; nations that had received international aid were no better off.
The Solow growth model, first developed in 1956 and applied to newly independent African countries, encountered setbacks when these nations failed to economically improve despite international aid. The model was revisited, highlighting the importance of the Industrial Revolution and technological advancements for modern economic growth. Countries in East Asia like South Korea, Japan, and China have demonstrated rapid economic growth by employing market-oriented reforms and investing in technology and education.
Explanation:The Solow growth model details the long-term economic growth experienced by different countries. This model, developed in 1956, was first applied to countries in Africa that had recently gained independence. However, despite assistance from international aid, growth policies failed, leaving these nations no better off economically. This caused economists to revisit the Solow economic growth model.
During their revisit, it was found that the Industrial Revolution and subsequent technological advancements were essential drivers of modern economic growth, increasing worker productivity and bolstering trade. This growth has been evidenced within the Western Europe and North American economies which consistently maintained an average growth rate of about 2% per year since the early 19th century.
In the last half-century, other regions, specifically East Asia, showcased their ability to rapidly catch up with the developed countries. Countries like South Korea, Japan, and China utilized market-oriented economic reforms, new technology, education, and substantial capital investment to bolster their economic growth.
Learn more about Solow Growth Model here:https://brainly.com/question/33719136
#SPJ12
Bramble Company purchases $50,500 of raw materials on account, and it incurs $61,400 of factory labor costs. Supporting records show that (a) the Assembly Department used $25,100 of the raw materials and $39,700 of the factory labor, and (b) the Finishing Department used the remainder. Manufacturing overhead is assigned to departments on the basis of 160% of labor costs. Journalize the assignment of overhead to the Assembly and Finishing Departments. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)
Answer:
Work In Process : Assembly Department $63,520 (debit)
Work In Process : Finishing Department $34,720 (debit)
Overhead $98,240 (credit)
Explanation:
Overhead allocations are based on the labor cost.Thus, First determine the amounts of labor costs allocated to the Departments.
Labor Cost Allocation :
Assembly Department = $39,700
Finishing Department = $21,700 that is (61,400 -39,700)
Overhead Allocation :
Assembly Department ($39,700 × 160%) = $63,520
Finishing Department ($21,700 × 160%) = $34,720
On September 1, 2021, Southwest Airlines borrows $39.4 million, of which $6.8 million is due next year. Show how Southwest Airlines would record the $39.4 million debt on its December 31, 2021, balance sheet. (Enter your answers in dollars, not millions. For example, $5.5 million should be entered as 5,500,000.)
Is there a long term liability?
Answer:
$32,600,000
Explanation:
The presentation of the liabilities section is presented below:
Balance sheet
Current liability
Current portion of long term debt $6,800,000
Long term liability
notes payable $32,600,000
Total liabilities $39,400,000
By this presentation, there is a long term liability of $32,600,000
Esther and Salim are promoters for Kale Inc. Prior to its incorporation, Esther negotiated several pre-incorporation contracts with Ian, an investor. She signed each contract in the name of Kale Inc. Kale subsequently was incorporated, but the Kale Board of Directors refused to adopt the contracts. Ian later sues Kale, Esther, and Salim on the contracts.
Which of the following statements is true of this case?
a. Only Kale and Esther are liable as Esther, a promoter of Kale, negotiated several pre-incorporation contracts with Ian.
b. Esther is solely liable as she signed each contract in the name of Kale Inc.
c. Kale, Esther, and Salim are liable as they are sued by Ian.
d. Esther and Salim are liable as they are promoters of Kale Inc.
Answer:
d.
Explanation:
Kale Inc. was incorporated. Kale Board of Directors refused to adopt the contracts that Esther negotiated with Ian, an investor. Esther signed each contract in the name of Kale Inc. Later on, Ian sues Kale, Esther, and Salim on the contracts. In such a case, Esther and Salim are liable as they are promoters of Kale Inc.
"Sunnyfax Publishing pays out all its earnings and has a share price of $ 38.00. In order to expand, Sunnyfax Publishing decides to cut its dividend from $3.00 to $2.00 per share and reinvest the retained funds. Once the funds are reinvested, they are expected to grow at a rate of 15%. If the reinvestment does not affect Sunnyfax's equity cost of capital, what is the expected share price as a consequence of this decision?"
Answer:
$59.7193
Explanation:
Cost of capital = $3/$38 = 0.0789473
g= 0.33 × 15/100
g = 0.33× 0.15
= 0.04545
P0= $2 / ( 0.0789473 - 0.04545)
= $2/0.03349
$59.7193
Samuel slips on an icy spot in front of an apartment and is hospitalized for three weeks. The owner of the apartment pays Samuel $14,000 for medical expenses and gives him $4,000 for his pain and suffering. Samuel receives his regular $1,800 salary from his employer while he couldn't work and also receives $7,000 in disability pay from a plan that he had purchased. Samuel's gross income from these payments is: a. $-0-. b. $1,800. c. $2,500. d. $5,800. e. $8,800.
Answer:
B) $1,800.
Explanation:
$14,000 in medical expenses are not part of Samuel's gross income.
$7,000 in disability payments are not included in Samuel's gross income because he paid the premiums.
$4,000 in pain and suffering compensation are not part of your gross income.
The only payments that are part of Samuel's gross income and therefore are taxed, are his regular monthly salary payments = $1,800. If Samuel's disability insurance premium had been paid by his employer, then the $7,000 would have been taxable.