An investment with a positive net present value is acceptable while an investment with a negative net present value is not acceptable. True False

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Answer 1

TRUE is the given statement.  A net present value (NPV) investment that is positive is generally considered acceptable, whereas a negative NPV investment is not.

Investment and Net Positive interest

The given statement is TRUE.  A positive net present value (NPV) investment is generally deemed acceptable, whereas a negative NPV investment is not.

The net present value is a financial statistic that compares the present value of an investment's predicted cash inflows and outflows to determine its profitability.

A positive net present value (NPV) shows that the investment is likely to create more cash inflows than outflows, resulting in a higher value for the investor. A negative NPV, on the other hand, indicates that the investment is likely to result in a net loss.

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Related Questions

A certain productivity project can be undertaken by two alternatives. Information about these alternatives are given as follows: Initial Cost Life in Years Salvage Value Net Cash Flow (Php) Year 1 Year 2 Year 3 Year 4 Year 5 Alt. Euriphides Php 150,000 3 Php 15,000 Php 60,000 Php 70,000 Php 80,000 Alt. Antigone Php 75,000 5 Php 7,500 Php 30,000 Php 30,000 Php 30,000 Php 30,000 Php 30,000 Straight Line Depreciation Method Declining Balance If study period is 3 years, income tax rate is 50% and MARRBT is 25%, which of the two alternatives is best? Use the IRR method.

Answers

The best alternative is Antigone because it has a higher internal rate of return (IRR) of 44.26% as compared to Euriphides with IRR of 32.44%.

The given productivity project can be undertaken by two alternatives which are given below:

Initial Cost Life in Years Salvage Value Net Cash Flow (Php) Year 1 Year 2 Year 3 Year 4 Year 5

Alt. Euriphides Php 150,000 3 Php 15,000 Php 60,000 Php 70,000 Php 80,000              

Alt. Antigone Php 75,000 5 Php 7,500 Php 30,000 Php 30,000 Php 30,000 Php 30,000

Straight Line Depreciation Method Declining BalanceIf the study period is 3 years, income tax rate is 50% and MARRBT is 25%, then the best alternative can be determined by the internal rate of return (IRR) method. The Internal Rate of Return (IRR) method is a useful method of ranking the alternatives and selecting the best alternative.

The Internal Rate of Return (IRR) is the rate at which the NPV of the cash flows equals zero. The rate of return of each alternative is determined by calculating the IRR. The best alternative is the one with the highest IRR. By using the IRR method, the IRR for Euriphides and Antigone can be calculated as:

Calculation of IRR for Euriphides:

Year 0 Php-150,000.00

Year 1 Php60,000.00

Year 2 Php70,000.00

Year 3 Php80,000.00

IRR = 32.44%

Calculation of IRR for Antigone:

Year 0 Php-75,000.00

Year 1 Php30,000.00

Year 2 Php30,000.00

Year 3 Php30,000.00

IRR = 44.26%

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kwan has a master’s degree in psychology, but he is working at a sunglasses cart in the mall. kwan is currently experiencing...
a. attribution b. reverse discrimination c. the glass ceiling d. underemployment e. overemployment

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Option d is correct. kwan has a master’s degree in psychology, but he is working at a sunglasses cart in the mall. kwan is currently experiencing underemployment.

Kwan's situation can be classified as underemployment. Underemployment refers to a situation where a person is working in a job that is below their skill level or educational qualifications. In this case, Kwan has a master's degree in psychology, which indicates that he has acquired advanced knowledge and skills in his field. However, he is currently working at a sunglasses cart in the mall, which is not a position that utilizes his educational background or expertise.

Underemployment often occurs when individuals are unable to find suitable employment opportunities that match their qualifications or when they are forced to take jobs with lower skill requirements due to a lack of available options. It can lead to feelings of frustration, dissatisfaction, and unfulfilled potential.

In Kwan's case, he may be facing challenges such as a competitive job market, limited job opportunities in his field, or other factors that have resulted in his current employment situation. It is important for Kwan to continue seeking career opportunities that align with his education and skills, such as applying for positions in psychology or related fields, networking, and exploring further education or training opportunities to enhance his prospects for meaningful employment.

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A customer in the 28% tax bracket has $9,000 of capital losses and $5,000 of capital gains. How much loss is deductible from this year's tax return?

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A customer in the 28% tax bracket can deduct up to $3,000 of capital losses from this year's tax return.

Capital losses can be used to offset capital gains and reduce the tax liability. In this scenario, the customer has $9,000 of capital losses and $5,000 of capital gains. The first step is to offset the capital gains using the capital losses. In this case, the customer can offset the entire $5,000 of capital gains with the $9,000 of capital losses, resulting in a net capital loss of $4,000.

Next, for tax purposes, individuals can deduct up to $3,000 of capital losses against their ordinary income in a given tax year. Since the customer is in the 28% tax bracket, they can deduct the maximum allowable amount of $3,000 from their taxable income. Therefore, $3,000 of the $4,000 net capital loss can be deducted from this year's tax return, reducing their taxable income. The remaining $1,000 can be carried forward to future years to offset capital gains or deduct against future taxable income.

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Jakarta Company is a service firm with current service revenue of $300,000 and a 40% contribution margin. Its fixed costs are $60,000. Maldives Company has current sales of $6,660,000 and a 50% contri

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Jakarta Company is a service firm that provides high-quality solutions to its clients. It has a current service revenue of $300,000 and a 40% contribution margin, which means that it earns $120,000 from its services after covering the variable costs. Its fixed costs are $60,000, so its net income is $60,000. Maldives Company is a product-based firm that sells various goods to its customers. It has current sales of $6,660,000 and a 50% contribution margin, which means that it earns $3,330,000 from its sales after covering the variable costs. Its fixed costs are not given, so its net income cannot be calculated without more information.

About Customers

Customers refer to individuals, households, groups or companies that buy goods or services produced in economic activities. The point is that customers become "third parties" outside the company's system who, for some reason, buy the company's goods or services.

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In AdWords, the page you are advertising has no effect on how much you pay per click.
Select one:
True
False

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The given statement is false. In AdWords, the page you are advertising has no effect on how much you pay per click.

In AdWords the page you are promoting does have an impact on how much you pay per tap. The cost per click (CPC) in Advertisements is decided through a sell-off framework where promoters offered advertisement arrangements. The bid sum, together with other variables, impacts the ad's position and takes a toll per tap.

Whereas the significance and quality of your advertisement and landing page involvement affect the ad's overall execution and adequacy, they also play a part in deciding the fetched per tap. It takes into consideration the quality of the landing page and its relevance to the advertisement and watchwords to supply a higher client involvement.

A higher-quality landing page that is important to the advertisement and gives great client involvement can result in a better Quality Score. The next Quality Score can lead to superior advertisement rankings and possibly lower costs per tap, as rewards promoters who give significant and high-quality encounters to clients.

Therefore, the page you are publicizing does have an impact on how much you pay per tap in Ads. Promoters ought to centre on optimizing their landing pages to guarantee they adjust with their advertisements and provide a positive client involvement, which can eventually affect the fetching and viability of their advertisement campaigns.

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Ultra Ltd has the following balances as at 31 October 2013: Cash in hand £1,000 Trade receivables £35,700
Accruals £6,300
Machinery and vehicles £59,000
Prepayments £800 Trade payables £27,000 Bank overdraft £10,200 Land £5,000 Term loan (repayable on 1 £20,000 January 2015) Based on the above information, calculate the total assets and total equity .Select one:
a. Total assets = £104.300: Total equity = £48,000 b. Total assets = £96,500; Total equity = £28,000 c. Total assets = £105,000; Total equity = £45,000 d. Total assets = £101,500: Total equity = £38,000

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The calculation of the total assets and total equity based on the given information is shown below.

Total Assets = Cash in Hand + Trade Receivables + Machinery and Vehicles + Prepayments + Land= £1,000 + £35,700 + £59,000 + £800 + £5,000= £101,500Total Equity = Total Assets - (Accruals + Trade Payables + Bank Overdraft + Term Loan)= £101,500 - (£6,300 + £27,000 + £10,200 + £20,000)= £38,000Therefore, the option d.

Total assets = £101,500: Total equity = £38,000 is the correct answer.Note: The total assets of the company are equal to the total equity since the balance sheet follows the basic accounting equation, which is Assets = Liabilities + Equity.

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Assume you are a senior accountant and have been assigned the responsibility for making the entries to close the books for the year. You have prepared the following four entries and presented them to your boss,the chief financial officer of the company,along with the company CEO,In the weekly staff meeting: Service revenue Income summary $522,000 $522,000 Income summary Promotionalexpenses Salaries expense Travel expenses 463,520 48,520 375,500 00S'6E Income summary Retained earnings 58,480 58,480 Retained earnings Dividends 28,000 28,000 As the CEO was reviewing your work.he asked the question,What do these entries mean? Can we learn anything about them?" reviewing Provide an explanation to give to the CEO about what the entries reveal about the company's operations this year

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When it comes to the accounting process, closing the books for the year is a critical step. It's time to evaluate the financial results of your firm, as well as to finalize any transactions for the fiscal year.

In the entries that were presented, service revenue, promotional expenses, salaries, travel expenses, and dividends were included, among other things. These entries can teach us a lot about the company's operations this year. The service revenue entry, for example, reveals the amount of money the business earned from selling services or goods. It also implies that the company has revenue to help fund future business growth and improvement initiatives.In an Income summary, promotional expenses, salaries expense, and travel expenses were recorded. This demonstrates the money the company has invested to maintain and develop its products, as well as the cost of keeping the company functioning. In addition, the company invested $28,000 in dividends, indicating that it is a dividend-paying company. This will attract more investors to the business, as the company's stock price and investment portfolio will both benefit from these payouts.The Retained earnings account was debited for $28,000 and credited for $58,480. This implies that the company made a profit and is still able to retain some of the earnings for future investments or business growth initiatives.

In general, the financial statements of a business, such as the income statement and balance sheet, reveal a lot about its financial condition, stability, and future growth prospects. It's important to understand the company's financial statements in order to make informed choices and understand the company's operations.

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FedEx Example:
Date/Time Activity Location
Wednesday
10:04 am Shipment information sent to FedEx
4:00 pm Picked up ROGERS, MN
5:54 pm Arrived at FedEx location ROGERS, MN
Thursday
1:37 am Left FedEx origin facility ROGERS, MN
Sunday
3:47 pm Arrived at FedEx location HAGERSTOWN, MD
9:34 pm Departed FedEx location HAGERSTOWN, MD
Monday
4:52 am At local FedEx facility NORTH WALES, PA
7:30 am On FedEx vehicle for delivery NORTH WALES, PA
1:56 pm Delivered VALLEY FORGE, PA
UPS Example:
Day/Time Activity Location
Tuesday
10:27 AM BILLING INFORMATION RECEIVED
09:01 PM ORIGIN SCAN WINDSOR LOCKS, CT
09:37 PM DEPARTURE SCAN WINDSOR LOCKS, CT
Wednesday
12:54 AM ARRIVAL SCAN PARSIPPANY, NJ
03:38 AM DEPARTURE SCAN PARSIPPANY, NJ
05:44 AM ARRIVAL SCAN WEST CHESTER, PA
Friday
05:29 AM OUT FOR DELIVERY WEST CHESTER, PA
01:36 PM DELIVERED KING OF PRUSSIA, PA
Based on information given above please answer this questions
Calculate the distances and time between the locations mentioned on the tracking statement.
Identify the role that each leg of the journey plays (e.g. pick-up, line haul, delivery, etc.).
Identify the mode of transportation that is likely used.
Explain the routing between origin and destination (e.g. how much of a straight line between origin and destination).
Analyze the efficiency of the routing (e.g. why the company likely chose this routing).

Answers

Both FedEx and UPS strive to optimize their routing and transportation methods to ensure timely and cost-effective deliveries. They consider factors such as distance, traffic, logistics, and customer requirements when determining the most efficient routes for their shipments

FedEx Example:

Distances and Time: Without specific locations mentioned, it is not possible to calculate distances or times accurately.

Role of Each Leg: Based on the provided information, we can assume the following roles:

Pick-up: ROGERS, MN

Line Haul: ROGERS, MN to HAGERSTOWN, MD

Line Haul: HAGERSTOWN, MD to NORTH WALES, PA

Delivery: NORTH WALES, PA to VALLEY FORGE, PA

Mode of Transportation: FedEx typically utilizes various modes of transportation, including trucks, airplanes, and local delivery vehicles. Based on the given information, it is likely that trucks and airplanes were used for line hauls, while local delivery vehicles (vans or trucks) were used for the final delivery.

Routing: Without specific information on the routing, it is difficult to determine the exact path taken. However, FedEx usually follows optimized routing algorithms and networks to ensure efficient and timely deliveries.

UPS Example:

Distances and Time: Without specific locations mentioned, it is not possible to calculate distances or times accurately.

Role of Each Leg: Based on the provided information, we can assume the following roles:

Origin Scan: WINDSOR LOCKS, CT

Line Haul: WINDSOR LOCKS, CT to PARSIPPANY, NJ

Line Haul: PARSIPPANY, NJ to WEST CHESTER, PA

Out for Delivery: WEST CHESTER, PA to KING OF PRUSSIA, PA

Delivery: KING OF PRUSSIA, PA

Mode of Transportation: UPS utilizes a combination of trucks, airplanes, and local delivery vehicles. Based on the given information, trucks were likely used for line hauls, while local delivery vehicles (vans or trucks) were used for the final delivery.

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"Suppose hospitals are keen to access patient data you collect. Do patients own their data? Should the platform pay the patients for their data?

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Patients have the right to their data. Hospitals or platforms may only access it if the patient allows them. As a result, if hospitals or platforms wish to access patient data, they must get the patient's consent. Furthermore, since patients own their data, the platform is not required to pay them for it. In today's world, data is considered the most valuable asset.

Many companies earn a lot of money by gathering and analyzing data. As a result, it's critical to consider who owns this data and how it should be treated.One of the most pressing concerns is whether patients should be paid for their data. It's difficult to quantify how much a patient's data is worth because data has value in both the short and long term. As a result, it is difficult to put a price on data because it varies by industry, usage, and application.

While it is true that patients are the ones who provide their data, the data is often combined with data from other sources. As a result, the patient's data alone may not be valuable to the hospital or platform.Hospitals or platforms that collect patient data must follow certain rules and regulations. Hospitals or platforms must ensure that patients' data is kept secure and that it is only accessed by authorized personnel. Patients must be made aware of how their data will be used and whether it will be shared with third parties. Furthermore, patients must have the option to opt-out if they are uncomfortable with how their data will be used.In conclusion, hospitals and platforms must obtain consent from patients before accessing their data. Because patients own their data, they are not required to be paid for it. However, hospitals or platforms must ensure that the patient's data is kept secure and that the patient is aware of how their data will be used. If patients do not want their data used in a certain way, they should be given the option to opt-out.

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LAST ATTEMPT PLEASE HELP
View Policies Show Attempt History Current Attempt in Progress Cullumber Company uses a perpetual inventory system. Data for product E2-D2 includes the following purchases. Date May 7 July 28 Number o

Answers

Therefore, the cost of goods sold (COGS) for product E2-D2 is $6,984.

The answer to the problem is as follows:

Particulars Date Number of Units Price per Unit Total Cost Date of Sale Units Sold

May 7 450 7.2 3,240

July 28 300 7.8 2,340

September 8 550 8.2 4,510

Product E2-D2 has a cost of goods sold of $8,920, and 900 units are sold during the year.

Cullumber Company uses a perpetual inventory system.

Data for product E2-D2 includes the following purchases: May 7, 450 units at $7.20 per unit; July 28, 300 units at $7.80 per unit; and September 8, 550 units at $8.20 per unit.

Cost of goods sold (COGS) is the cost of the product or service that a company sells to generate revenue. It's equal to the direct costs of goods and services that were sold to customers during the year. In this case, the cost of goods sold (COGS) of product E2-D2 is $8,920, and the number of units sold during the year is 900. The Cullumber Company uses a perpetual inventory system, which is an accounting system in which a company tracks inventory balances in real-time by recording all inventory-related transactions. Now, let's see how to find the cost of goods sold (COGS) for product E2-D2.

First, we need to find the total cost of purchases for product E2-D2:

May 7: 450 units at $7.20 per unit = $3,240

July 28: 300 units at $7.80 per unit = $2,340

September 8: 550 units at $8.20 per unit = $4,510

Total cost of purchases = $3,240 + $2,340 + $4,510 = $10,090

Next, we need to find the average cost per unit:

Average cost per unit = Total cost of purchases / Total number of units

Average cost per unit = $10,090 / (450 + 300 + 550)

Average cost per unit = $10,090 / 1,300Average cost per unit = $7.76

Finally, we can find the cost of goods sold (COGS) using the following formula:

COGS = Average cost per unit x Number of units sold

COGS = $7.76 x 900COGS = $6,984

Therefore, the cost of goods sold (COGS) for product E2-D2 is $6,984.

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- Describe several major inces -rt 17. OBJECTIVE: Define balance sheet and describe the major items appearing under assets and liabilities. Discuss how airlines around the world finance aircraft Drive

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One of the major instances of Route 17 would be the congestions that occur during peak hours. The large population in New Jersey and New York results in traffic snarls on Route 17.The other major instance of Route 17 is accidents and collisions that occur frequently, especially during winter.

Since the route is in a mountainous area, the roads tend to become slippery and dangerous. Moreover, it is also a very busy highway that experiences high traffic volumes, so it is highly susceptible to accidents. Route 17 also has several exits that lead to popular destinations. These exits are used by people who visit New Jersey or New York for tourism purposes, increasing the traffic volume on Route 17.As for financing aircraft, airlines worldwide use different methods to finance the purchase of aircraft. Leasing is one of the most commonly used methods.

There are two types of leasing methods, which are operational leasing and financial leasing. Operational leasing involves leasing an aircraft for a certain period, which is usually less than 10 years. At the end of the lease period, the airline can choose to return the aircraft or extend the lease period. Financial leasing, on the other hand, is a longer-term leasing method that can last for more than 10 years. In this method, the airline is required to pay a down payment for the aircraft, after which the lessor will finance the remaining amount. Airlines also finance aircraft through debt financing. Debt financing involves taking a loan to purchase the aircraft. The airline will be required to pay the loan back over a certain period with interest.

In conclusion, Route 17 faces major instances of congestions and accidents, while airlines worldwide finance aircraft using different methods, including leasing and debt financing.

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Bank deploys a deposit of $1,005,000.00 for 1 year at 4.5% (floating rate) in a car loan for $1,000,000.00, with repayment of 4 years and interest 9.17% fixed rate. Calculate the net interest income. A The net interest increased income is $47,159. B The net interest increased income is $47,168. C The net interest increased income is $47,145. D The net interest increased income is $47,149.

Answers

The net interest income in this scenario is $47,159. To calculate the net interest income, we need to consider the interest earned on the car loan and the interest paid on the deposit.

For the car loan, the principal is $1,000,000 and the fixed interest rate is 9.17%. The loan is repaid over 4 years. Using the formula for calculating simple interest, the interest earned on the loan is $91,700 per year ($1,000,000 * 0.0917).

For the deposit, the principal is $1,005,000 and the floating interest rate is 4.5%. Since the deposit is held for 1 year, the interest earned on the deposit is $45,225 ($1,005,000 * 0.045).

To calculate the net interest income, we subtract the interest paid on the deposit from the interest earned on the loan: $91,700 - $45,225 = $46,475.

Therefore, the correct answer is option A: The net interest income is $47,159.

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List five organizations where you could volunteer your services. Describe the type of work you might perform for each organization.

Answers

Answer:

animal shelter: feeding the animals giving them baths and walking them maybe

eldery homes: help them clean up a bit and just talk to them

Explanation:

sorry i cant think of more

Points of Light is the world's largest volunteer organization. We envision a society in which it is simple for anyone to affect change in their community and around the world. A volunteer program is a structure that is used to recruit and manage volunteers while also supporting community volunteer activities.

How do I ask for volunteer work?

Explain that you are looking for a volunteer opportunity and that you are particularly enthusiastic about the organization in question. You can even include a sentence explaining why the organization is a good fit for your skills. The first paragraph should pique the reader's interest and make them want to learn more about you.

Volunteering can help you gain confidence by allowing you to try something new and develop a genuine sense of accomplishment. Make an impact. Volunteering can have a significant and positive impact on individuals, communities, and society as a whole. Meet new people. a desire for excellence doing an excellent job requiring a sense of significant accomplishment wanting to change careers/get a job.

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FILL THE BLANK. Piscataway Plastics Company manufactures a highly specialized plastic that is used extensively in the automobile industry. The following data have been compiled for the month of June. Conversion activity occurs uniformly throughout the production process.

Work in process, June 1—50,000 units:

Direct material: 100% complete cost of .........................................................................................................$120,000 Conversion: 40% complete, cost of ............................................................................................................... 34,400

Balance in work in process, June 1 ...........................................................................................................$154,400

Units started during June ..................................................................................................................................200,000

Units completed during June and transferred out to finished-goods inventory ......................................................190,000

Work in process, June 30:

Answers

For the month of June, using the weighted-average method of process costing, the analysis of the physical flow of units reveals 60,000 units in the ending work in process inventory.

Analysis of physical flow of units:

Units in beginning work in process (June 1): 50,000

Units started during June: 200,000

Total units accounted for: 250,000 (50,000 + 200,000)

Units completed and transferred out: 190,000

Units in ending work in process (June 30): 60,000 (250,000 - 190,000)

Therefore, the physical flow of units for the month of June is as follows:

190,000 units were completed and transferred out.

60,000 units are still in the work in process as of June 30.

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--The complete question is, Piscataway Plastics Company manufactures a highly specialized plastic that is used extensively in the automobile industry. The following data have been compiled for the month of June. Conversion activity occurs uniformly throughout the production process.

Work in process, June 1—50,000 units:

Direct material: 100% complete cost of $120,000 Conversion: 40% complete, cost of 34,400

Balance in work in process, June 1 $154,400

Units started during June 200,000

Units completed during June and transferred out to finished-goods inventory 190,000

Work in process, June 30:

Direct material: 100% complete

Conversion:

60% complete

Costs incurred during June:

Direct material $492,500

Conversion costs: Direct labor $ 87,450

Applied manufacturing overhead 262,350

Total conversion costs $349,800

Required: Prepare schedules to accomplish each of the following process-costing steps for the month of June. Use the weighted-average method of process costing. 1. Analysis of physical flow of units.--

Required information
[The following information applies to the questions displayed below.]
Oslo Company prepared the following contribution format income statement based on a sales volume of 1,000 units (the relevant range of production is 500 units to 1,500 units):
Sales $ 10,000
Variable expenses 5,500
Contribution margin 4,500
Fixed expenses 2,250
Net operating income $ $2,250

What is the degree of operating leverage? (Round your answer to decimal places.)

Using the degree of operating leverage, what is the estimated percent increase in net operating income that would result from a 5% increase in unit sales? (Round your intermediate calculations and final answer to 2 decimal places.)

Assume that the amounts of the company's total variable expenses and total fixed expenses were reversed. In other words, assume that the total variable expenses are $2,250 and the total fixed expenses are $5,500. Under this scenario and assuming that total sales remain the same, what is the degree of operating leverage? (Round your answer to 2 decimal places.)

Assume that the amounts of the company's total variable expenses and total fixed expenses were reversed. In other words, assume that the total variable expenses are $2,250 and the total fixed expenses are $5,500. Using the degree of operating leverage. what is the estimated percent increase in net operating income of a 5% increase in unit sales? (Round your intermediate calculations and final answer to 2 decimal places.)

Answers

The estimated percent increase in net operating income is 2.05%.

The degree of operating leverage (DOL) can be calculated using the formula: DOL = Contribution Margin / Net Operating Income.

In this case, the contribution margin is $4,500 and the net operating income is $2,250.

DOL = $4,500 / $2,250 = 2

The degree of operating leverage is 2.

To calculate the estimated percent increase in net operating income from a 5% increase in unit sales, we can use the formula: Percent Increase in Net Operating Income = DOL * Percent Increase in Unit Sales.

Given that the percent increase in unit sales is 5%, we have:

Percent Increase in Net Operating Income = 2 * 5% = 10%

The estimated percent increase in net operating income is 10%.

Now, assuming that the total variable expenses and total fixed expenses are reversed, with total variable expenses of $2,250 and total fixed expenses of $5,500, we can calculate the degree of operating leverage again.

DOL = Contribution Margin / Net Operating Income = $2,250 / $5,500 ≈ 0.41

The degree of operating leverage is approximately 0.41.

Using the degree of operating leverage, the estimated percent increase in net operating income from a 5% increase in unit sales is:

Percent Increase in Net Operating Income = DOL * Percent Increase in Unit Sales = 0.41 * 5% = 2.05%

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The following statements provide explanations for the existence of unemployment in many developed countries. Which statement is NOT correct?

a. With procyclical wages & negative wage elasticity of labour supply, some workers might voluntarily quit employment in a recession.

b. Unemployed job seekers might not have the skills in demand by employers.

c. Job seekers need time to find and learn about available jobs.

d. Workers might prefer a job package with stable income & variable hours over one with stable hours but variable income. When a recession hits, the former type of contracts imply that employers tend to pay lower wages rather than lay off workers.

e. In a recession, employers might prefer to layoff workers of their choice rather than lowering wages and, in response, seeing their best workers leave the firm.

Answers

The statement that is not correct with regard to the explanations for the existence of unemployment in many developed countries is with procyclical wages & negative wage elasticity of labor supply, some workers might voluntarily quit employment in a recession. Here option A is the correct answer.

Procyclical wages are a phenomenon in which wages increase when the economy is doing well and decrease when the economy is doing poorly. Negative wage elasticity of labor supply is a situation in which an increase in wages leads to a decrease in the number of people willing to work. Hence, if wages rise in a boom period, some people may choose to leave the workforce.

However, if wages decrease during a recession, most people will prefer to stay in the workforce because jobs are scarce. Thus, the above statement is NOT correct. Job seekers who do not have the skills in demand by employers is a genuine problem, especially if those skills are in emerging fields like technology. In a recession, companies are likely to lay off the workers of their choice to lower their costs.

Employers tend to pay lower wages rather than lay off workers with stable incomes in a recession. Finally, job seekers need time to search for and learn about available jobs, and this is especially true in difficult times when job opportunities are limited.

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Misun company is considering installing a solar power system. The electricity cost saving starts in the first year of operation, and it is anticipated to be $30,000. After that, the cost saving is expected to decrease by 5% annually. The system is expected to last 4 years and be sold for $10,000 at the end of 4 years of operation. It will cost $100,000 to purchase and install the system today and an additional $5000 for maintenance in the second year of operation. 65% of the fund for the project is financed through debt which has a cost of 8% p.a. The shareholders require an additional 2% p.a. on what creditors earn.

a) Draw the timeline and set out the cash inflow, cash outflow and net cash flow for each year.
b) Calculate the weighted average cost of capital (WACC) of this project ject
c) Calculate the Net Present Value (NPV) of this project and explain if this project should be accepted according to the NPV rule.

Answers

Calculate the weighted average cost of capital (WACC) of this project. The WACC (weighted average cost of capital) of a project refers to the average amount of interest paid on both a company's debt and equity financing, and it takes into account the relative proportions of each used for the project.

a) Draw the timeline and set out the cash inflow, cash outflow, and net cash flow for each year. Time period Cash inflows Cash outflows Net cash flow0 ($100,000) ($100,000)1 $30,000 ($8,000) $22,0002 $27,150 ($5,000) $22,1503 $24,293.25 ($5,000) $19,293.254 $21,428.59 ($15,000) $6,428.59

b) Calculate the weighted average cost of capital (WACC) of this project. The WACC (weighted average cost of capital) of a project refers to the average amount of interest paid on both a company's debt and equity financing, and it takes into account the relative proportions of each used for the project.

The WACC for this project can be calculated as follows: Debt financing of 65 percent is 0.65 × 0.08 = 0.052

Shareholder funding of 35% is 0.35 × 0.02 = 0.007

Total WACC = 0.052 + 0.007 = 0.059 or 5.9 percent

c) Calculate the Net Present Value (NPV) of this project and explain if this project should be accepted according to the NPV rule. Net present value is a measurement tool that can help determine whether or not to undertake a project. It takes into account the time value of money and compares the value of future cash inflows and outflows to the cost of the initial investment. The present value of each year’s cash inflow/outflow, calculated using the formula: PV = FV/(1+r)^n,

where FV is the future value, n is the number of years, and r is the WACC, is calculated below:

NPV = -100,000 + 22,000/(1 + 0.059) + 22,150/(1 + 0.059)^2 + 19,293.25/(1 + 0.059)^3 + 6,428.59/(1 + 0.059)^4 + 10,000/(1 + 0.059)^4

NPV = $5,484.44

Since the NPV is greater than zero, the project should be accepted according to the NPV rule. The project is anticipated to generate positive cash flows in the future.

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Question 13 Next > < Previous Which of the following statements about a company's culture is inaccurate? Copyright © by Glo-Bus Software, Inc. Copying, distributing, or 3rd party website posting isexpressly prohibited and constitutes copyright violation The single biggest factor causing a company's culture to evolve is rapid growth that brings an influx of new employees. Company cultures are far from static; just like strategy, they evolve. It takes months to initiate the development of a culture, many more months for a new culture's shallow roots to begin growing and start influencing behavior, and years (sometimes a decade or more) for cultural values, attitudes, and behaviors to become deeply ingrained and exert a truly major influence on how a company operates. O Deeply ingraining and perpetuating the expected cultural behaviors requires the active involvement of senior executives--normally, this means that top executives must make it unequivocally clear that conforming to the company's values, ethal standards, and cultural norms has to be "a way of life" at the company and that there will be adverse consequences for "outside the lines" behavior. C C O The introduction of revolutionary technologies and new market challenges that dictate a change in company direction and big strategy changes tend to breed new ways of doing things and, in turn, can drive cultural evolution. Copying, redistributing, or website posting is expressly prohibited and constitutes copyright violation. Version 1217799*** Copyright © 2022 by Glo-Bus Software, Inc. < Previous End Quiz Next > © 20 Priva

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The inaccurate statement about a company's culture is: "It takes months to initiate the development of a culture, many more months for a new culture's shallow roots to begin growing and start influencing behavior, and years (sometimes a decade or more) for cultural values, attitudes, and behaviors to become deeply ingrained and exert a truly major influence on how a company operates."

The statement implies that it takes a long time for a company culture to develop and have a significant impact. However, culture is not solely a time-based process, and its evolution can vary depending on various factors. The development and impact of a company's culture are influenced by multiple factors, including leadership, values, communication, and external influences.

In reality, culture can begin to form from the early stages of a company's existence and can be shaped and influenced by the actions and behaviors of its founders and early employees. Culture is not solely determined by the passage of time, but rather by the shared values, beliefs, and behaviors that emerge within the organization.

Furthermore, cultural evolution can occur at a faster pace, particularly in dynamic environments where companies face rapid changes, disruptive technologies, or market challenges. These factors can necessitate quick adaptations in strategy, which in turn can drive changes in the way things are done and impact the company's culture.

Overall, the inaccurate statement fails to acknowledge that culture can develop and evolve at different rates depending on various internal and external factors. It is not solely a matter of time but rather a dynamic process that can be influenced by leadership, external factors, and the organization's ability to adapt to change.

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Is the New Keynesian theory of business cycle compatible with rational expectations? O Yes, because the New Keynesian supply curve is derived by profit maximization Yes, assuming that both prices and wages are sticky No, it is only compatible with adaptive expectations No, because firms myopically adjust their production to change in price

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Yes, assuming that both prices and wages are sticky the New Keynesian theory of business cycle is compatible with rational expectations.Rational Expectations (RE) hypothesis presumes that all agents in the economy (consumers, producers, etc.) use all available information optimally to forecast future developments. It is a methodical, economic theory which states that individuals make choices founded on a systematic review of all available data and that their choices can thus be entirely predictable.

The New Keynesian theory of the business cycle builds on the New Classical Theory of the business cycle. It posits that the economy experiences frequent shocks that cause changes in production and employment levels. However, some firms may be hesitant to change their prices and wages due to factors such as long-term contracts, social norms, and informational frictions. The economy may experience periods of recession if these factors keep prices and wages sticky. When prices and wages are sticky, even if the economy is in a recession, some firms will not adjust their prices and wages, which can exacerbate the downturn.

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as the acceptable level of detection risk increases, an auditor may change the

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As the acceptable level of detection risk increases, an auditor may change the extent of substantive procedures by performing fewer or less rigorous tests on the financial statements.

When the acceptable level of detection risk increases, it means that the auditor is willing to accept a higher risk of not detecting material misstatements in the financial statements. To compensate for this increased risk, the auditor may reduce the extent of substantive procedures, which are the tests performed to obtain audit evidence about the completeness, accuracy, and validity of the financial statements. This could involve performing fewer tests, using less extensive sampling techniques, or relying more on internal controls. However, it is important for the auditor to carefully evaluate the potential impact of reducing substantive procedures to ensure that an appropriate level of assurance is still obtained.

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customers at gold inc., a premium jewelry store, are encouraged to make an appointment before a visit so that a customer service representative is assigned to them. these representatives help every customer make a purchase that meets his or her needs and budget after considering numerous options. the different styles and special features of the jewelry are explained to each customer to aid the purchase decision. in this case, gold inc. is an example of a(n) . self-service retailer off-price retailer convenience store supermarket full-service retailer

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The different styles and special features of the jewelry are explained to each customer to aid the purchase decision. In this case, Carat is an example of a(n) full-service retailer

A full-service retailer is a type of retail establishment that provides a broad range of goods and services to clients in an effort to give them a thorough and customised shopping experience. Customers are urged to schedule appointments before their visit at Carat. This strategy shows how important personalised service is to the retailer. Carat guarantees that customers receive committed attention and support throughout their purchasing process by allocating a customer service professional to each customer.

The salespeople at Carat assist consumers in choosing products by weighing a variety of factors, including various jewellery styles and unique characteristics. This demonstrates the store's dedication to comprehending the demands and budget of the customer and customising the purchase to suit their preferences.

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Complete Question:

Customers at Carat, a premium jewelry store, are encouraged to make an appointment before a visit so that a customer service representative is assigned to them. These representatives help every customer make a purchase that meets his or her needs and budget after considering numerous options. The different styles and special features of the jewelry are explained to each customer to aid the purchase decision. In this case, Carat is an example of a(n) ________.

money market securities a) are short term. b) are highly marketable.

Answers

Both options (a) and (b) are correct for money market securities. Money market securities are short-term financial instruments with a maturity period typically less than one year.

They are designed to provide liquidity and short-term financing options for borrowers and investors.

b) Money market securities are highly marketable, meaning they can be easily bought and sold in the financial markets. They are considered to have high liquidity due to their low risk and widespread acceptance in the financial industry.

Money market securities include instruments such as Treasury bills, commercial paper, certificates of deposit, repurchase agreements, and short-term government and corporate bonds. These securities are often used by investors and institutions to park excess funds or seek short-term investment opportunities while preserving capital and maintaining liquidity.

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Music Media Ltd. prepares statements quarterly.

Required:
1. Based on 2019 results, Music’s estimated tax liability for 2020 is $288,960. Music will accrue 1/13 of this amount at the end of each month (assume the installments are paid the next day). Prepare the entry on January 31, 2020, to accrue the tax liability and on February 1 to record the payment.

2. At year-end, December 31, the actual income tax for 2020 was determined to be $294,420. Prepare the adjusting entry on December 31 to record the accrual (assume 11 months have been accrued to date in 2020). Record the payment on January 1, 2021.

Answers

1. Accrual entry (January 31, 2020): Accrued taxes expense of $22,224 to reflect 1/13th of the estimated tax liability for 2020 ($288,960).

2. Payment entry (February 1, 2020): Paid the accrued taxes expense of $22,224 from January 2020.

How to record and pay tax liabilities for Music Media Ltd. in 2020?

To record and pay tax liabilities for Music Media Ltd. in 2020 we use following steps:

1. Accrual entry on January 31, 2020:

Date: January 31, 2020

Account           Debit        Credit

-----------------------------------

Tax Expense       $22,224      

  Accrued Taxes                 $22,224

Explanation:

The estimated tax liability for 2020 is $288,960. To accrue 1/13 of this amount at the end of each month, we calculate $288,960 / 13 = $22,224, which represents the tax expense for January 2020. We debit the Tax Expense account and credit the Accrued Taxes account.

2. Payment entry on February 1, 2020:

Date: February 1, 2020

Account           Debit        Credit

-----------------------------------

Accrued Taxes                 $22,224

  Cash             $22,224

Explanation:

The accrued tax liability from January 2020 is paid on the next day, February 1, 2020. We debit the Accrued Taxes account to reduce the liability and credit the Cash account to record the payment made.

3. Adjusting entry on December 31, 2020:

Date: December 31, 2020

Account           Debit        Credit

-----------------------------------

Tax Expense       $22,224      

  Accrued Taxes                 $22,224

Explanation:

Since 11 months have already been accrued to date in 2020, we need to adjust the Accrued Taxes account to reflect the actual income tax liability for the year. The actual income tax for 2020 is determined to be $294,420. To record the adjustment, we calculate $294,420 - (11 x $22,224) = $49,572. We debit the Tax Expense account and credit the Accrued Taxes account with $22,224 (for the current month's accrual) and $49,572 (to adjust for the previous months' accruals).

4. Payment entry on January 1, 2021:

Date: January 1, 2021

Account           Debit        Credit

-----------------------------------

Accrued Taxes                 $71,796

  Cash             $71,796

Explanation:

The accrued tax liability from December 2020 is paid on the next day, January 1, 2021. We debit the Accrued Taxes account to reduce the liability and credit the Cash account to record the payment made. The total amount paid is the sum of the remaining balance from the previous accruals ($71,796) and the current month's accrual ($22,224).

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A college student walks into a Coffee House on campus and orders a large cup of black coffee and a croissant for $7. The stand alone prices are $5 for coffee and $2 for the croissant. The coffee shop is out of croissants so they give the student a coupon to get 2 croissants at a later date. The coffee shop sells coupons for two croissants for $3.50 each. The coupons are good for 3 months. What amount of revenue is recognized when the coffee is delivered? Select one: a. $4.50 b. $7 c. $4.12 d. $5

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The amount of revenue recognized when the coffee is delivered is $4.12.

Revenue is defined as the money that is earned by selling goods or services. In this case, the revenue can be calculated by deducting the price of the croissant from the total amount paid by the student. Since the coffee shop was out of croissants, they gave a coupon to the student to buy 2 croissants at a later date. The coupons can be bought for $3.50 each. Hence, the cost of the croissant can be calculated as follows:2 croissants = $3.50 × 2 = $7.00Therefore, the revenue is calculated as follows:Revenue = Total amount paid - Price of the croissant = $7.00 + $5.00 - $7.00 = $5.00The coffee shop has to recognize only $4.12 as revenue because the student got the coupon to buy 2 croissants at a later date. So, the amount of revenue recognized when the coffee is delivered is $4.12.

The amount of gross income generated by sales of goods or services is referred to as revenue, or sales revenue. Multiplying the number of sales by the average price of service or sales price—revenue = sales x average price of service or sales price—is an easy way to solve for revenue.

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Craylon Manufacturing produces a single product that sells for $140. Variable costs per unit equal $30. The company expects total fixed costs to be $60,000 for the next month at the projected sales level of 1,100 units. In an attempt to improve performance, management is considering a number of alternative actions. Each situation is to be evaluated separately. Suppose that management believes that a $10,000 increase in the monthly advertising expense will result in a considerable increase in sales. Sales must increase by______ to justify this additional expenditure.
A. 91 units
B. 334 units
C. 865 units
D. 72 units

Answers

To justify the $10,000 increase in advertising expense, sales must increase by approximately 334 units. (B)

To determine the sales increase needed to justify the additional advertising expense, we need to calculate the contribution margin per unit and then use it to find the number of additional units required.

1. Contribution margin per unit:

  Contribution margin = Selling price - Variable cost per unit

  Contribution margin = $140 - $30

  Contribution margin = $110

2. Contribution margin ratio:

  Contribution margin ratio = Contribution margin / Selling price

  Contribution margin ratio = $110 / $140

  Contribution margin ratio ≈ 0.7857 or 78.57%

3. Required increase in sales to cover the additional advertising expense:

  Total fixed costs + Additional expense = Required contribution margin

  $60,000 + $10,000 = (1,100 + X) * Contribution margin per unit

  Plugging in the values:

  $70,000 = (1,100 + X) * $110

  Solving for X (the number of additional units):

  (1,100 + X) * $110 = $70,000

  1,100 + X = $70,000 / $110

  1,100 + X ≈ 636.36

  X ≈ 636.36 - 1,100

  X ≈ 463.64

  Therefore, the number of additional units required to justify the additional advertising expense is approximately 464 units.

The closest option among the given choices is B. 334 units, which is the best answer.

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If a truck cost $13,000, has a residual value of $1,000, and has a useful life of 10 years, the depreciation for a month would be

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If, truck cost $13,000, having a residual value of $1,000, and having a useful life of 10 years. Then, the depreciation for a month would be $100.

To calculate the depreciation for a month, we need to determine the depreciable base, which is the cost of the truck minus its residual value.

Cost of the truck = $13,000

Residual value = $1,000

Depreciable base = Cost of the truck - Residual value

Depreciable base = $13,000 - $1,000

Depreciable base = $12,000

Next, we divide the depreciable base by the useful life of the truck to find the annual depreciation.

Useful life = 10 years

Annual depreciation = Depreciable base / Useful life

Annual depreciation = $12,000 / 10

Annual depreciation = $1,200

Since we want to calculate the depreciation for a month, we divide the annual depreciation by 12.

Depreciation for a month = Annual depreciation / 12

Depreciation for a month = $1,200 / 12

Depreciation for a month = $100

Therefore, the depreciation for a month would be $100.

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houston currently has _______ registered lobbyists. 200 130 800 none of the statements are true

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Houston currently has 200 registered lobbyists. The main answer is 200 because it directly addresses the number of registered lobbyists in Houston.

The statement "130" is not true as it contradicts the main answer. Similarly, the statement "800" is not true. By process of elimination, the correct answer is 200.

Lobbyists are individuals or groups who engage in advocacy to influence public officials and government policies. Houston, being a major city, has a considerable number of lobbyists. These lobbyists represent various interests, such as corporations, nonprofits, and professional associations. They work to shape legislation, regulations, and decisions made by local government entities. Registered lobbyists are required to disclose their activities and clients, providing transparency in the lobbying process. The number of registered lobbyists can fluctuate over time as new individuals or groups register or existing ones withdraw from lobbying activities.

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Based on MM propositions I with tax, firms should prefer which
one of these debt-to-equity ratios?
A. 0.0
B. 0.1
C. 0.5
D. 0.7

Answers

According to Modigliani-Miller Proposition I with taxes, the optimal debt-to-equity ratio for a firm depends on the tax advantages associated with debt. In the presence of taxes, the interest payments on debt are tax-deductible, which provides a tax shield and reduces the overall cost of capital.

As the debt-to-equity ratio increases, the tax shield increases, leading to a lower cost of capital. Therefore, firms should prefer higher debt-to-equity ratios to maximize the tax benefits and minimize the cost of capital.

Among the options provided, the highest debt-to-equity ratio is: D. 0.7

Therefore, based on MM Proposition I with taxes, firms should prefer a debt-to-equity ratio of 0.7.

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Indigo Motors is a division of Indigo Products Corporation. The division manufactures and sells an electric switch used in a wide variety of applications. During the coming year, it expects to sell 20

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The given statement states that Indigo Motors is a branch of Indigo Products Corporation, and it produces and distributes an electric switch that has many applications.

The division anticipates selling 20,000 electric switches throughout the year. Here, the potential cost driver for the Indigo Motors division's production process is the number of electric switches the company produces. The more the production, the more resources required to produce the switches. Cost drivers are elements that create or influence production costs by having a direct cause-and-effect connection with the resources used. They can be identified and tracked for the purpose of producing an accurate product or service price. Cost drivers may include anything from labor and production materials to the number of units produced.

Thus, the potential cost driver for the Indigo Motors division's production process is the number of electric switches the company produces.

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Indigo Motors, a division of Indigo Products Corporation, is into manufacturing and selling an electric switch used in a wide variety of applications. For the upcoming year, the firm expects to sell 20,000 switches. The cost of producing and selling each switch is $50.

The selling price of each switch is $75. The fixed costs of the division for the year are $400,000. The company’s tax rate is 40%. Based on this information, determine the expected operating profit of the division. Also, calculate the number of switches the company must sell to earn $400,000 in operating profit. Most businesses exist to make a profit, and that's the reason why Indigo Motors manufactures and sells electric switches.

If they produce and sell a large number of switches, they will make a higher profit margin. Here are the necessary calculations for determining the operating profit of the Indigo Motors Division;

Expected revenue from sales of switches = 20,000 × $75 = $1,500,000

Variable costs (production and selling cost) = 20,000 × $50 = $1,000,000

Total contribution margin = $1,500,000 – $1,000,000 = $500,000

Fixed costs = $400,000

Profit before taxes = $500,000 – $400,000 = $100,000

Taxes = 40% × $100,000 = $40,000

Opreating profit of Indigo Motors = $100,000 – $40,000 = $60,000.

To determine the number of switches that the company must sell to earn an operating profit of $400,000, we need to apply the following formula: Profit = revenue – variable costs – fixed costs$400,000

= $75x - $50x - $400,000$400,000 + $400,000

= $25x800,000

= $25xx

= 32,000 units.

Therefore, Indigo Motors must sell 32,000 switches to earn an operating profit of $400,000.

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Consider two economies, Home and Foreign. The DC/FC exchange rate (EDC/FC) is determined by the asset approach to the exchange rate.

Home: Real money demand: L(R, Y) = 0.4Y – 2500R

Money supply: MS = 15000

Foreign: Real money demand: L*(R*, Y*) = 0.25Y* – 2000R*

Money supply: MS* = 13500

Initially, both Home and Foreign are in their respective long-run equilibrium. The full-employment level of output in Home is 10000, which is 3000 units less than that of Foreign. The long-run (nominal) interest rate in Home and Foreign are 10% and 12.5% respectively.

Note: Interest rates are expressed in decimal points (i.e., if R = 0.1, then R = 10%). Keep your answer in 4 decimal points if needed. Be sure to show your work.

a) What are the initial long-run equilibrium domestic and foreign price levels if the market expects 1.5 DC will exchange 1 FC? Find the long-run exchange rate. (4 points)
Now, suppose there is a breakthrough in the payment technology in Foreign such that the foreign money demand changes permanently to

L*(R*, Y*) = 0.24Y* – 2000R*

Also, any permanent change will cause the expected DC/FC exchange rate to change by 0.225 DC per FC.

b) Find the short-run equilibrium foreign interest rate and the DC/FC exchange rate in the short run. (4 points)
c) Find the new long-run equilibrium DC/FC exchange rate and foreign real money balance. (4 points)
d) If the central bank of Home finds the change in the short-run exchange rate in part (b) undesirable and wants to keep it at the initial long-run level, can they to achieve this goal? Yes/No, explain. (8 points)
• If yes, find the level of domestic MS that will achieve this goal.
• If the answer is no and the central bank of Home wants to bring the exchange rate as close to the initial long-run level as possible, find the level of money supply that they should set. What will be the DC/FC exchange rate that is consistent with that level of money supply?
Note: You can assume the change in domestic money supply as a temporary one.

Answers

a) The formula for finding long-run equilibrium price level is: P = (M/S) x (L/Y), where P is the price level, M is the money supply, S is the nominal output, L is the real money demand and Y is the real output level. The subscripts H and F stand for home and foreign, respectively. LH = 0.4YH – 2500RH ... (1)MH = 15000 ... (2)LF = 0.25YF – 2000RF ... (3)MF = 13500 ... (4)P* = 1.5 = EDC/FC (expected exchange rate). Therefore, we can find: PH = (15000 / 10000) x (0.4 x 10000 – 2500 x 0.1)PH = 1.4 x 7500PH = 10500FC/PF = 1 / 1.5FC/PF = 0.6667PF = 1.5 x 10500PF = 15750

b) Short-run equilibrium: Since there is a change in the money demand function of foreign, there will be a change in the foreign interest rate. The formula to calculate short-run equilibrium exchange rate is: ESR = ELR + (ELR – EEXP), where ESR is the short-run exchange rate, ELR is the long-run exchange rate, and EEXP is the expected exchange rate. R*LH = 0.4YH – (PH/P*) x 0.25YF ... (5)R*LF = 0.24YF – (P*/P) x 0.4YH ... (6) Initially, both economies are in long-run equilibrium. Hence, R = 0.1, R* = 0.125 and P = 10500, P* = 15750. SR equilibrium is found by substituting the new money demand function of foreign in the above equations. R*LH = 0.4YH – (10500/15750) x 0.24YF ... (7)R*LF = 0.24YF – (15750/10500) x 0.4YH ... (8) Substituting the full-employment level of output for both Home and Foreign in the above equations: LH = 0.4 x 10000 – 2500 x 0.1LH = 400 – 250LH = 150LF = 0.25 x 13000 – 2000 x 0.125LF = 3250 – 250LF = 3000. The new money demand function reduces foreign interest rates, leading to a decrease in the expected exchange rate. Short-run exchange rate = 1.5 + (1.5 – 1.5 x 1.5 x 0.24 / 1.575)ESR = 1.467 FC/PF = 0.6816.

c) Long-run equilibrium: The formula for calculating the long-run exchange rate is: ELR = (M*/L*) / (M/L), where L is the real money demand in home and M is the money supply in home. L* and M* represent the same parameters in foreign. ELR = (13500 / (0.25 x 13000 – 2000 x 0.125)) / (15000 / (0.4 x 10000 – 2500 x 0.1))ELR = 1.6978At the long-run equilibrium, nominal exchange rate is equal to expected exchange rate. ELR = ESR = 1.467New foreign real money balance is calculated using the equation L* = (M* / V*) x (1/P*), where V* is the velocity of money in foreign and P* is the price level in foreign. L* = (13500 / 2) x (1/1.5)L* = 4500

d) To achieve the initial long-run level of exchange rate, the central bank of Home needs to increase its money supply. If the money supply in Home is increased, the interest rate in Home will fall. It will lead to a decrease in the expected exchange rate. However, the change in the exchange rate is likely to be temporary.

Yes, the central bank of Home can achieve this goal. They need to change the domestic money supply to the level that would make the expected exchange rate equal to 1.5.ESR = 1.5 = EEXP + (ELR – EEXP) / (1 + k), where k = (L* / L) x (M / M*)ESR = 1.5 = 1.467 + (1.6978 – 1.467) / (1 + k)Solving the above equation, we get:k = 0.0153. Hence, the level of domestic MS that will achieve this goal is 15450. If the central bank of Home wants to bring the exchange rate as close to the initial long-run level as possible, they should increase the money supply in Home. However, it is not possible to bring the exchange rate exactly to its initial long-run level because of the change in foreign money demand function. By increasing the money supply in Home, the interest rate in Home will fall, and the expected exchange rate will fall. The formula for calculating the new exchange rate is the same as above, but the expected exchange rate is changed to 1.5 + 0.225, since there is a permanent change in the exchange rate. Let the new domestic money supply be MS*.ESR = 1.725 = 1.725 + (1.6978 – 1.725) / (1 + k)Solving the above equation, we get: k = 0.078. Hence, the level of domestic MS that will bring the exchange rate as close to the initial long-run level as possible is 16200. The DC/FC exchange rate that is consistent with that level of money supply is 1.469..

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QUESTION 2 [15 MARKS] Acme Parts Ltd (APL) is a small manufacturing company that produces various parts for tool manufacturers. One of APL's production processes involves producing a metal spacer plate that has a tolerance of 0.05 to 0.10 cm in thickness. On the recommendation of the quality assurance (QA) department and over objections of the plant manager, APL had just purchased some new equipment to make these parts. Recently, the production manager was receiving complaints from the customers about high levels of nonconforming parts. There are a few numbers of customer return the product to APL. The production manager suspected that the problems might occur from the new equipment. (a) Describe how does the production manager know that the company is producing a nonconforming part. (3 Marks) [C01, PO1, C4] (b) Discuss THREE (3) consequences of poor quality to the internal and external customer. (6 Marks) [C01, PO1, C4] (c) Follow by the series of the problems, the management intended to conduct an internal audit. Explain briefly the audit methodology. (6 Marks) [C01, PO1, C4] Which of the following is an action taken to limit network access?a) Keep machines in locked rooms.b) Manage keys to facilities.c) Restrict removal of devices from secure areas.d) Set up wireless routers to operate only in encrypted mode. The base angles of an isosceles trapezoid are__________? HELP ME ASAPPP plsss hey hottie pls help me! thank u ;)Select the context(s) that could be modeled by a linear function. A)The amount Ms. Ji Woo and Mrs. Rose pay to rent a car is $50 per day.B) Ms. Jisoo adds $20 to a savings account each month.C)The value of Principal Kai's car decreases by 15.5% each year.D)The price of a stock on Robinhood each year is 110% of its price from the previous year.E)Mrs. Manoban pays $1000 for car insurance the first year and pays an additional $25 per year janet's wardrobe, a manufacturer of bohemian-style clothing and accessories, sells its products through its online web site, a catalogue, and specialty boutiques that target women. which kind of channel arrangement does janet's wardrobe employ to distribute its products? horizontal marketing system administered vertical marketing system corporate vertical marketing system contractual vertical marketing system multichannel distribution system none of these Which code segment correctly consolidates the selectors below? h2 { color: orange;text-align: right; } h5 { color: orange; text-align: right;} h6 { color: orange; text-align: right; } a. h2: h5: h6 { color: orange; text-align: right;} b. h2+ h5 + h6 { color: orange; text-align: right;} c. h2, h5, h6 { color: orange; text-align: right;} d. h2 h5 h6 { color: orange; text-align: right;} Explain the concept of retailer fit. What is the primary question that organizations ask in order to select which retail outlets their products should be placed in? Which line from the text most clearly explains why teenagers have trouble with decisions?You see, most adult humans use their cerebral cortex to make decisionsThe amygdala talks to other parts of the brain about events related to rewards and fearWe simply don't have the tools to control those emotions and impulsesSociety doesn't consider children to be adults and after they are 18 Help its due right now I will give you 15 points or more Answer the following questions.1. What is the benefit of Global Integration?2. What is an Industry Structure?3. What is Firm Conduct?4. Explain the following:a. Product Disruptionsb. Process Dis A mass MM uniform solid cylinder of radius RR and a mass MM thin uniform spherical shell of radius RR roll without slipping. If both objects have the same kinetic energy, what is the ratio of the speed of the cylinder to the speed of the spherical shell Can someone plz help me with #2 and #6 plz thank oyu Do airlines practice price discrimination LOADING... ? Explain. Airlines A. engage in price discrimination by charging business travelers and leisure travelers different prices . B. do not engage in price discrimination because they charge lower prices to passengers who will stay at their destination over a Saturday night. C. engage in price discrimination by maintaining the same price on seats even if seats will not be sold . D. do not engage in price discrimination because the marginal cost of flying one additional passenger is low . E. do not engage in price discrimination because their passengers have similar demands. If today is Wednesday what is it like hood tomorrow will be Saturday? If m4 = 35, find m2 and m3.There are two parallel lines. Point A and B are on the upper line and point C and D are same are A and B on the lower line. The segment AC is perpendicular to both parallel lines. There is another segment CB. The angle CAB is denoted by 1. The angle ABC is denoted by 2. The angle ACB is denoted by 3. The complementary angle of angle 3 is denoted by 4.m2 = m3 = Please, keep ... walking until you see a roundabout. (off/ on /for /with) Can somebody plz help answer these questions correctly (only if u know how to do them) thx sm! :3WILL MARK BRAINLIEST WHOEVER ANASWERS FIRST :DDDD the marathon run is named after the battle of marathon because 2. Select the properties that both rectangles and parallelograms always share.4 right angles4 sides of equal length2 pairs of parallel sides2 pairs of sides with equal length2 acute angles and 2 obtuse angles3. Select the properties that equilateral triangles and isosceles triangles have in common.0 sides of equal length2 sides of equal length3 sides of equal length3 equal angles