Answer:
The Browns have a real estate agreement with Sell Fast Real Estate Company. A couple makes a ridiculously low offer on their home, which is five-bedrooms, five-baths in Malibu. The offer is $200,000 less than the Browns' asking price.
Does the broker have to present the offer to the Browns, even if it is obviously going to be rejected and waste everyone's time?
Yes, the agent, acting in the seller's best interest, must present the offer. In discussing the property with other prospective buyers, there is a record of an offer having been extended, making the property appear desirable.
Explanation:
A U.S. manufacturer of adaptive devices for persons with disabilities is considering expanding internationally. It is a fairly small company, but it is looking for growth opportunities. This company should primarily consider the option of:
a. exporting.
b. licensing.
c. a strategic alliance.
d. a greenfield venture.
He should consider exporting since it's a fairly small company.
Explanation:
The manufacturer doesn't have enough knowledge of the country it is expanding it market to and it doesn't have much experience since it is a small company so exporting it's products will push costs such as shipping to the customer which will relief if from making exchange losses and other expenses.
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While on a trip to South Africa, Elena was impressed with colorful woven outdoor placemats, floor mats, chair cushions, and umbrellas that local artisans were weaving. Upon returning to the U.S., she was confident that U.S. consumers would be as intrigued by these accessories as she was. Elena decided to explore the possibility of starting an import business to bring these products to the U.S. Which of the following statements seems to be good advice for Elena?
Answer:
Before starting her import business, Elena should try to gather relevant information from companies that import goods, and if possible information about companies that import African goods.
Explanation:
Elena might be right about American consumers liking African products, but if importing those goods is too difficult, or is subject to several trade barriers, or some other issues, then Elena might have to reconsider her idea. Sometimes no matter how good a business idea is, if it is impractical to carry out, then t is useless.
A customer who is retired wants to select an investment that is liquid, marketable, and that provides regular income. The BEST choice would be to recommend:________.A. Treasury BillsB. Treasury NotesC. Preferred StockD. Certificates of Deposit
Answer:
Treasury Notes
Explanation:
In simple words, a treasury note refers to marketable security of United states government loans with a fixed rate of interest and a period of maturity ranging from one to ten years. Treasury notes are authorized with a favorable or un-competitive deal from the administration.
Treasury notes are hugely preferred investments by indivudals as there is a wide commercial market contributing to their flexibility. Interest payments for bills are rendered before completion every half year. Interest payment earnings are not subject to taxation at provincial or local level, but are taxed nationally, identical to Treasury bond.
Dividend growth rate is important to many investors. You are considering investing in a firm after looking at the firm's dividends over a seven-year period. At the end of the year 2002, the firm paid a dividend of $1.15. At year-end 2009, it paid a dividend of $1.84.
What was the average annual growth rate of dividends for this firm?
A) 7.25%
B) 9.86%
C) 6.94%
D) There is not enough information to answer to the question.
Answer:
Growth rate will be 6.94 %
So option (c) will be the correct answer
Explanation:
We have given principal amount in 2002 is $1.15
So P = $1.15
And after seven year in 2009 amount become $1.84
We have to find the rate of interest
Time period n = 7 years
We know that future amount is given by
[tex]A=P(1+\frac{r}{100})^n[/tex]
[tex]1.84=1.15(1+0.01r)^n[/tex]
[tex]1.6=(1+0.01r)^7[/tex]
[tex](1+0.01r)=1.0694[/tex]
[tex]0.01r=0.0694[/tex]
r = 6.94 %
So option (C) will be the correct option
The average annual growth rate of dividends for the firm from 2002 to 2009 is approximately 8.09%, which is not one of the provided options.
To calculate the average annual growth rate of dividends for the firm from the year 2002 to 2009, we will use the formula for the compound annual growth rate (CAGR), which is:
CAGR = (Ending Value / Beginning Value)^(1/n) - 1
where:
Ending Value is the final dividend paid, which is $1.84.
Beginning Value is the initial dividend paid, which is $1.15.
n is the number of years, which is 7 years (from 2002 to 2009).
Plugging the numbers into the CAGR formula gives:
CAGR = ($1.84 / $1.15)^(1/7) - 1
CAGR = (1.6)^(1/7) - 1
CAGR = (1.0809) - 1
CAGR = 0.0809 or 8.09%
Therefore, none of the provided options (A, B, C) is correct. The correct average annual growth rate of the dividends for this firm is approximately 8.09%.
The positively-sloped part of the long-run average total cost curve is due to which of the following?
a) Diseconomies of scale
b) Diminishing returns
c) The firm being able to take advantage of large-scale production techniques as it expands its output
d) The increase in productivity that results from specialization
Answer:
a) Diseconomies of scale
Explanation:
As output increases, the overall increase in unit cost is increased.This concept is know as Diseconomies of scale.These are often a result of managers/ staff losing control/ motivation as production gets greater. There can also be strains on local infrastructure which come with scale.
Generally the average total cost curve is negatively- sloped which means that the total average cost decreases when the production decreases thus decreasing the overall unit cost but in long run the average total cost curve become positively sloped due to diseconomies of scale, which means that total average cost increases with increase in the production as a result of which overall unit cost is increased.
so the answer is a) Diseconomies of scale
The effect on the prices of securities due to the "changing tastes, likes and dislikes" of investors is:____________A. Market riskB. Business riskC. Regulatory riskD. Opportunity cost
Answer:
B. Business risk
Explanation:
Business risk is any risk a business or organisation faces that might reduce its profits. Business risk is specific to the company. Business risk can be diversified. E.g. changing tastes, likes and dislikes, strikes etc
Market risk is any risk a business or organisation faces that is as a result of the performance of the overall financial market the company operates in. Market risk cannot be diversified.
Opportunity cost is the cost of foregoing other options when one option is chosen over other options.
I hope my answer helps you.
When applied in marketing settings, the 80–20 Rule usually accurately suggests [approximately] 80% of profits emanate from (about) 20% of customers; 80% of product sales from 20% of products present in a product line (marketing organizations generally sell multiple products); 80% of sales are generated by 20% of advertising, and so forth. The 80–20 Rule is also known as the:
Answer:
The Pareto principle
Explanation:
The Pareto principle asserts that 80 percent of output will come from 20 percent of inputs. In different words, 80 percent of the results will come from 20 percent of the action. The Pareto principle is only an observation, not a law. The principle is applicable in business and almost all other disciplines.
In applying the Pareto principle, a business recognizes its best assets as uses efficiently to gain maximum value. The principle observes that similar amounts of input will yield different outputs. For business, results will never be evenly distributed, hence the need to identify and appreciate the minority inputs that will produce the majority of results.
Misty Cumbie worked as a waitress at the Vita Café in Portland, Oregon. The café was owned and operated by Woody Woo, Inc. Woody Woo paid its servers an hourly wage that was higher than the state’s minimum wage (which was higher than the federal minimum wage), but the servers were required to contribute their tips to a "tip pool." Approximately one-third of the tip-pool funds went to the servers, and the rest was distributed to kitchen staff members, who otherwise are not considered tipped employees. Misty sued the employer and alleged that the tip-pooling arrangement violated the minimum wage provisions of the Fair Labor Standards Act. Does it? Explain.
1. The Fair Labor Standards Act is involved in this case, because the case involved questions about the: minimum wage,
maximum hours.
2. The minimum wage can be changed by: Congress, the Department of Labor, the Fair Labor Standards Board
3. States: are, are not allowed to establish a: higher, lower wage than the federal minimum wage.
4. If a state minimum wage is higher than the federal minimum wage, an employee must receive: the state minimum wage,
the federal minimum wage
5. The government can establish a lower minimum wage for employees who make tips, but all employees are: entitled,not entitled to receive at least the minimum wage.
6. If an employee who makes tips earns less than the minimum wage, the employer: is, is not required to make up the difference so that the employee makes at least minimum wage.
7. In this case, the servers earned a wage: higher, the same as, lower than the state minimum wage, which was: higher,
the same as, lower than the federal minimum wage.
8. If the servers donate all of their tips to the "tip pool" and don’t receive any back, they: do, do not earn at least the minimum wage.
9. If the servers donate all of their tips to the "tip pool" and receive a portion of those back, they earn: more than, the same as, less than the minimum wage.
10. In this case, the court likely will find for: Woody Woo, Inc., Misty Cumbie, kitchen staff members
11. WHAT IF THE FACTS WERE DIFFERENT?
Assume Woody Woo decided to pay its servers and kitchen staff the legal minimum wage for a tipped employee (which is less than the required state minimum wage) plus tips received from the tip-pool funds. Under the Fair Labor Standards Act, employers can require employees to pool their tips for "redistribution" among tipped employees to ensure that all tipped employees make at least the minimum wage and are treated fairly.
If Woody Woo, Inc. pays the lower salary plus tips and then creates a tip pool where the servers’ tips are split among the servers and kitchen staff, this: does not violate, violates the FLSA.
12. With these facts, the court most likely would find for: Woody Woo, Inc., Misty Cumbie, kitchen staff members
To add on...here is a good article concerning Restaurant Tip Pooling + Tip Sharing Best Practices & Laws by state:
https://medium.com/@hello_5766/the-new-tip-pooling-laws-for-restaurants-what-you-need-to-know-in-2018-fec8e898b522
(Note: If you are using Excel (or Pen & Paper) for Restaurant Tips Distribution, check out https://tipmetric.com/ to learn how to automate the process, eliminate mistakes & save time processing payroll)
Every day during lunch, customers of the Tran Asian restaurant flock to the restaurant. Tran cannot afford to build a larger facility. To spread out demand, Tran should consider:
a. serving food in lesser quantities to encourage customers to eat more quickly.
b. charging a higher price for its cuisine to cut down the number of the customers.
c. prohibiting more customers from entering the restaurant once the seating capacity is full.
d. offering customers an incentive to come to the restaurant during off-peak hours.
Answer:
Correct option is (d)
Explanation:
It is observed that Tran Asian restaurant is flooded with customers during lunch and rest of the time it is not that crowded. So, adding more space is not a viable option since restaurant is crowded only during lunch hours. Cost would be more than revenue in this case. Serving less food will not increase customer satisfaction. It might lose existing customers in this case.
Charging higher price is not an appropriate strategy as it will again lose customers this way. The only appropriate strategy is offering incentive to the customers to visit restaurant at off-peak hours in the form of reduced prices or special offers. This will increase revenue as well as fully utilize existing capacity.
How has the number of farms in the United States changed over the past few decades?
Answer:
The number of farms in the United States have decreased over the past few decades.
Explanation:
The number of farms in the United States has reduced greatly over the past decades due to the inability of most farmers to keep the farm operations going. This is as a result of cuts in funding from states to farmers which left most farmers struggling and ultimately packing up the farm.
cheers.
Maria, who works in the design department, wants her online presence to signal that she is a business professional. Which profile picture should she choose?
Answer:
A photograph of Maria in her work clothes with smiling face
Explanation:
Maria is an individual or person, who works as designer in the design department of a company. Being a designer, her work involves creativity in her designs which attract the customers.
And she wants her online presence to signal or state that by profession she is a business professional in order to choose a profile picture for her online presence, she needs to choose a photograph, in which she is wearing her work clothes along with a smiling face.
Pauline wants to develop a line of flatware and pottery. She is experimenting with various names and symbols to develop a trademark. Pauline's three-year-old daughter tells a neighbor that "mommy makes Fatware and Potty." Pauline laughs so hard that she decides to design a trademark of a large, obese, pink pig sitting on a toilet, with the letters FP (initials for the term Fat-Potty) written underneath the pig.
What is the best argument that Pauline's trademark is valid?
a. The mark is fanciful.
b. The mark is arbitrary.
c. The mark has a secondary meaning.
d. The mark is suggestive
What are two things you need to maintain if you assist a person with banking and bill paying?
Answer:
transaction record and a reconciliation of the transactions
An adequate bank balance and a budget.
Legal guardianship of the person and power of attorney
Your documentation as payee for the person you support and the bankbook
Enrique did not want to tell his manager that it was not likely that his employees would meet the looming production deadline. He was fearful that he would be blamed if he told his manager this information. In terms of the semantic-information distance, this is an example of:A. Perpetual distancing B. Upward distortion C. Compliance gaining D. Vertical miscommunication
Answer:
B. Upward distortion
Explanation:
Based on the information provided within the question it can be said that this seems to be an example of upward distortion. In the context of business, this refers to when a lower employee fails to, or is hesitant to communicate negative information to his/her superiors due to the consequences. Which is what Enrique is doing in this scenario.
Factors leading to the slow growth of demand in embryonic industries include all of the following except the
A) poor quality of the first products.
B) lack of complementary products.
C) lack of venture capital for innovative products.
D) high production costs of the products.
E) lack of distribution channels for the products.
Answer:
C) lack of venture capital for innovative products.
Explanation:
Embryonic industries are such industries that are at the beginning stage in their life-cycle. More specifically, newly established ventures are called the embryonic industry or firm.
Options A, B, D, and E all are wrong because a new firm may not produce high qualified first products. It may not have the right complementary products, the production cost may be higher than expected, and finally, there are a few distribution points. Those lead to the slow growth of the embryonic industry.
Option C is the answer because venture capitalists like to invest in innovative products, so there should not be a lack of capital.
Ordinary and necessary business expenses are deductible only to the extent they are also reasonable in amount.
Answer:
True
Explanation:
According to the IRS:
ordinary expenses are expenses that are common and accepted in a company's trade or industry.necessary expenses are expenses that help your company carry on its normal business.Tax deductible expenses must be ordinary, necessary, and reasonable.
Ordinary and necessary business expenses are deductible only to the extent they are also reasonable in amount. Here option A is correct.
In the realm of taxation, the principle that ordinary and necessary business expenses are deductible to the extent that they are also reasonable in amount holds true.
This concept is rooted in the idea that businesses should be allowed to deduct expenses incurred in the normal course of operations that are deemed essential and appropriate.
The Internal Revenue Service (IRS) defines ordinary expenses as those that are common and accepted in a specific trade or business, while necessary expenses are considered helpful and appropriate.
However, the reasonableness of the amount is a critical factor. The IRS expects businesses to exercise prudence and avoid excessive or extravagant expenditures. Deductions for business expenses must align with industry norms and the specific needs of the business.
If an expense is deemed excessive or unreasonable, it may be disallowed. This principle underscores the balance between allowing businesses to offset income with legitimate expenses and preventing abuse of the tax system through inflated or unjustifiable deductions. Here option A is correct.
Complete question:
Ordinary and necessary business expenses are deductible only to the extent they are also reasonable in amount.
A - True
B - False
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A client has a bone marrow aspiration performed. After the procedure, what is the first nursing action?
Answer:
apply pressure over the aspiration site
Explanation:
Bone marrow aspiration is a difficult and delegate procedure which is performed inside bigger bones which generate red blood cells, white blood cells and platelets. After bone marrow aspiration, the first nursing action must be to apply pressure over the aspiration site to help circulate the blood. A small bandage area is the aspiration site where the needle went to operate the affected area.
Which of the following statements illustrates diminishing returns? A. The second billion hours of labor changes real GDP from $1 to $3 trillion and the third billion hours of labor changes real GDP from $3 to $4 trillion. B. The second billion hours of labor changes real GDP from $1 to $2 trillion and the third billion hours of labor changes real GDP from $2 to $3 trillion. C. The second billion hours of labor changes real GDP from $1 to $2 trillion and the third billion hours of labor changes real GDP from $2 to $4 trillion. D. The second billion hours of labor changes real GDP from $1 to $5 trillion and the third billion hours of labor changes real GDP from $5 to $9 trillion.
Answer and Explanation:
A. The second billion hours of labor changes real GDP from $1 to $3 trillion and the third billion hours of labor changes real GDP from $3 to $4 trillion.
"The __________ provision specifies what an insured must do, if a policy has lapsed, in order to put it back in force."
Answer:
The correct answer is Reinstatement.
Explanation:
The Reinstatement provision specifies what an insured must do, if a policy has lapsed, in order to put it back in force.
A reinstatement clause is a clause in insurance policy which grants the policy owner the right to reinstate a lapsed policy for specified reasons, such as non-payment of premiums, by furnishing satisfactory evidence of insurability and paying all unpaid premiums.which grants the policy owner the right to reinstate a lapsed policy for specified reasons, such as non-payment of premiums, by furnishing satisfactory evidence of insurability and paying all unpaid premiums.
The reinstatement provision in insurance contracts specifies the steps a policy holder must take to put a lapsed policy back into effect, typically involving repayment of overdue premiums, proof of insurability, and sometimes interest payments.
Explanation:The reinstatement provision specifies what an insured must do, if a policy has lapsed, in order to put it back in force. To regain the coverage, the policy holder must pay all overdue premiums, provide proof of insurability, and may be required to pay interest on the unpaid premium. This is an important provision in insurance contracts, helping to protect both the insurance company and the policy holder. The reinstatement provision in insurance contracts specifies the steps a policy holder must take to put a lapsed policy back into effect, typically involving repayment of overdue premiums, proof of insurability, and sometimes interest payments.
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Wilma has a $57,500 certificate of deposit (CD) at the local bank. The interest on this certificate, $1,150, was credited to her account this year but she must pay an early withdrawal penalty if she cashes in the CD before next year. Which of the following is a true statement?
A. Wilma must include the $1,150 of interest in her income this year.
B. Wilma must include the $1,150 of interest in her income when she cashes the CD.
C. Wilma must include the $1,150 of interest in her income this year only if the bank waives the early withdrawal penalty.
D. Wilma must include the $1,150 of interest in her income next year if she does not pay the early withdrawal penalty.
E. All of the choices are correct.
Answer: Wilma must include the $1,150 of interest in her income this year
Explanation: Wilma must include the $1,150 of interest in her income this year because the interest on the certificate, was credited to her account this year and as that, it is a part of her income for the year.
Suppose the price of tires increases from $70 per tire to $80. In response, the quantity of tires supplied increases from 35 comma 000 to 45 comma 000 tires. What is the price elasticity of supply for tires?
Answer:
1.875
Explanation:
Data provided in the question:
Initial price, P₁ = $70
Final price, P₂ = $80
Initial supply quantity = $35,000
Final supply quantity = $45,000
Now,
Price elasticity of supply for tires = [tex]\frac{(\frac{Q_2-Q_1}{\frac{Q_2+Q_1}{2}})}{(\frac{P_2-P_1}{\frac{P_2+P_1}{2}})}[/tex]
on substituting the respective values, we get
Price elasticity of supply for tires = [tex]\frac{(\frac{45,000-35,000}{\frac{45,000+35,000}{2}})}{(\frac{80-70}{\frac{80+70}{2}})}[/tex]
or
Price elasticity of supply for tires = [tex]\frac{\frac{10,000}{\frac{80,000}{2}}}{\frac{10}{\frac{150}{2}}}[/tex]
or
Price elasticity of supply for tires = [ 0.25 ÷ 0.1333 ]
= 1.875
The price elasticity of supply for tires is calculated to be approximately 1.81, indicating that the supply for tires is elastic, meaning quantity supplied changes significantly with price changes.
Explanation:The question at hand is asking to calculate the price elasticity of supply for tires based on given changes in the price and quantity supplied. To do this, we use the formula: Price Elasticity of Supply (PES) = (% Change in Quantity Supplied) / (% Change in Price).
First, find the percentage change in the quantity supplied: [(45,000 - 35,000) / ((45,000 + 35,000) / 2)] × 100 = 25%. Then, calculate the percentage change in price: [($80 - $70) / (($80 + $70) / 2)] × 100 = approximately 13.79%. Now, divide the percentage change in quantity supplied by the percentage change in price: 25% / 13.79% ≈ 1.81.
Therefore, the price elasticity of supply for tires is approximately 1.81, indicating an elastic supply curve where the quantity supplied is responsive to changes in price.
Using a neoclassical model, what will the level of cyclical unemployment be when an economy is producing at potential GDP?
A. zero
B. never 0%
C. 1% - 3%
D. 3% - 5%
Answer:
Zero
Explanation:
There are three(3) types of unemployment recognized by economists;
Structural unemployment: This occurs where innovation and technological improvement render workers unemployable because their is a mismatch between the available jobs and the skills possessed by willing workers. For example, the introduction of online classes might reduce the number of teachers needed by a school.
Frictional unemployment: This is used to describe the number of people looking for jobs because they are transiting from one job to another.The addition of the structural and frictional is know as the natural rate of of unemployment.
Cyclical unemployment: this is caused by fluctuation in real GDP around the potentila GDP. For example, when the real GDP falls significantly for a sustained period of six month. At a time like this, the economy is contracting and it is evident by a negative growth rate in real output, firms do lay off workers because the business climate is not favorable.This is called recession. The cyclical unemployment is the difference between the actual rate of unemployment and natural rate. During recession, the actual is always greater thant the natural; and the balance is cyclical unemployement
Full employment output and cyclical unemployment
The potential GDP is the level of real GDP achieved where an economy has fully employed all of its resources ( land, labour, capital and entrepreneur). It is also called full employment GDP. An economy operating at its potential GDP level will still record some level of unemployment which is known as natural unemployment. And its actual rate of unemployment will be equal to the natural rate.
In other words, at the full employment output level, the actual rate of unemployment is the same the natural rate of unemployement. So there is zero cyclical unemployment rate
A government has the following liabilities at the end of the year:
General obligation bonds $1,500,000
Compensated absences 120,000
Salaries payable 40,000
What amount of liabilities should be reported in the governmental activities column of the
government-wide statement of net position?
A. $40,000
B. $160,000
C. $1,540,000
D. $1,660,000
Answer:
option (D) $1,660,000
Explanation:
Data provided in the question:
General obligation bonds = $1,500,000
Compensated absences = $120,000
Salaries payable = $40,000
Now,
The amount of liabilities that should be reported in the governmental activities column of the government-wide statement of net position
= General obligation bonds + Compensated absences + Salaries payable
= $1,500,000 + $120,000 + $40,000
= $1,660,000
Hence,
The answer is option (D) $1,660,000
A company has an operating lease for its office space. The lease term is 120 months and requires monthly rent of $15,000. As an incentive for the company to enter into the lease, the lessor granted the first eight months' rent at no cost. What amount of monthly rent expense should be recognized over the life of the lease?
a) $14,000
b) $14,062
c) $15,000
d) $16,072
Final answer:
The correct monthly rent expense to be recognized over the life of the lease is $14,000. This amount is obtained by subtracting the total incentive from the total cost of the lease and dividing that by the lease term.
Explanation:
A company has an operating lease which stipulates a term of 120 months with a monthly rent of $15,000, but offers the first eight months free as an incentive. To calculate the monthly rent expense recognized over the life of the lease, we have to account for the total cost of the lease minus the incentive, then divide that by the lease term. This can be calculated as follows:
Total Cost without Incentive: $15,000 x 120 months = $1,800,000Total Incentive: $15,000 x 8 months = $120,000Net Cost of the Lease: $1,800,000 - $120,000 = $1,680,000Monthly Rent Expense Recognized: $1,680,000 / 120 months = $14,000Therefore, the correct answer is (a) $14,000, which is the monthly rent expense that should be recognized over the life of the lease.
When demand for workers in a certain profession increases, wages will___________. When employers find it ____________ to find employees, workers' wages will be higher. If the supply of workers is too high, wages will_______until the market reaches _________. In short, an increase in labor demand puts __________pressure on wages, while an increase in labor supply puts_______ pressure on wages.1. rise2. difficult3. fall4. equilibrium5. upward6. downward
Answer:
1. rise
2. difficult
3. fall
4. equilibrium
5. upward
6. downward
Explanation:
When the demand for workers increases, it would lead to rise of demand over supply. When there's excess of demand over supply, there is an upward pressure on wages and wages would rise.
When employers find it difficult to find workers, there would be an excess of demand for workers over supply. This would lead to an increase in wages.
When there's excess supply over demand, there would be a downward pressure on wages and wages would fall. The fall in wages would discourage labour and some would leave the industry, the supply of labour would fall until the quantity of labour demanded and supplied becomes equal. The point at which quantity demanded and supplied of labour becomes equal is known an equilibrium.
I hope my answer helps you.
In an inflation the money supply can be _____________ by the Fed selling securities.
Answer:
Reduce
Explanation:
Open market operations is one of the monetary policy instrument used by the Fed for controlling the money supply in an economy. There is a buying and selling of government securities in the open market. In our case, there is a situation of inflation.
In this situation, Fed sells the government securities to the public. Therefore, there is a flow of money from public to Fed. Hence, there is a fall in the money supply in an economy.
A company that sells dairy products purchases large quantities of milk from the local dairy farms. Since the quantity purchased is very high, the company is able to demand and get price concessions from the dairy farms. The company prices its dairy products at a lower rate than its competitors. The greater quantity of products sold compensates for the low price. This is an example of
Answer: Economics of scale
Explanation:
The economics of scale is one of the advantage of the cost which typically measure the total output produced by the the given operation. With the increase in the economics of scale then the per unit cost of the output gets automatically decreases.
The main goals of this economics of scale is that it developed various types of unique goods and the services so that they can attract the consumers for increase the productivity in an organization.
According to the question, the economics of scale is one of the example of given situation in which the companies start selling the products in large quantity for compensating the low prices products.
Therefore, Economics of scale is the correct answer.
Beranek Corp has $665,000 of assets, and it uses no debt--it is financed only with common equity. The new CFO wants to employ enough debt to raise the debt/assets ratio to 40%, using the proceeds from borrowing to buy back common stock at its book value. How much must the firm borrow to achieve the target debt ratio?
Answer:
$266,000
Explanation:
Since Beranek Corp has no liabilities, its total assets = $665,000 = total equity
The target debt / assets ratio set by the new CFO = 40%
40% of equity = 40% x $665,000 = $266,000
therefor the corporation must rebuy $266,000 worth of stock, and its new balance sheet would be:
Assets Liabilities
$665,000 $266,000
Equity
$399,000
Final answer:
Beranek Corp must borrow $266,000 to achieve a 40% debt/assets ratio, by borrowing 40% of its total assets worth $665,000.
Explanation:
To achieve Beranek Corp's target debt/assets ratio of 40%, we need to calculate the amount of debt the firm must take on. Currently, the firm has $665,000 in assets with no debt. To reach the desired debt ratio, total debt should be 40% of the total assets. Therefore, the firm must borrow 40% of $665,000, which equals $266,000. After borrowing, the debt would be $266,000 and the equity would be reduced accordingly, maintaining the total assets at $665,000.
The calculation is as follows:
Desired debt ratio = 40%
Total assets = $665,000
Amount to borrow = Total assets × Desired debt ratio
Amount to borrow = $665,000 × 0.40 = $266,000
Penny Smooth, a U.S. trade negotiator, is using which conflict resolution technique if she makes the following statement to the heads of America's steel makers? "You'd better learn how to cooperate on trade issues or you'll lose out to foreign competition."
Select one:
a. Forcing
b. Avoidance
c. Problem solving
d. Smoothing
e. Superordinate goals
Answer:
E) Superordinate goals
Explanation:
Superordinate goals refers to goals that in order to be achieved, require that opposing or confronting sides of a negotiation process start to work together. Penny must be able to break down barriers in order to encourage people on opposite sides to view each other as people wanting to work and a company trying to do business, instead of someone or some group that we just dislike. That is essential for overcoming the differences that exist between both groups.
Elaine is very good at what she does, but she is constantly stressed by internal deadlines assigned to co-workers, obligatory meetings, and time lost in unrelated idle cubicle chatter. Today, after a meeting with her supervisor, she has been given more responsibility for her work, is able to set her own deadlines, decline attendance to various department meetings, and telecommute two days a week. Elaine’s boss is using which of the following organizational strategies to reduce her stress?A) Job redesignB) Organizational communicationC) Employee involvementD) Organizational developmentE) Process reengineering
Answer:
The correct answer is A
Explanation:
Job redesign is a procedure or a process in which the elements of the job is restructured such as responsibilities, tasks and duties. It is done or performed to make the job to be more interesting, inspiring, exciting and encouraging for the employees of the company.
So, the boss on seeing that the employees are stressed by the internal deadlines, therefore, the boss uses the job redesign strategy in order to reduce the stress of the employees.
.