Answer:
(a) Debit Wages expense for $950; Credit Federal income tax withholding for $94; and Credit Wages payable for $856
(b) Debit wages payable for $856; and Credit Cash for $856.
Explanation:
The entries will look as follows:
a) Prepare the journal entries to record Elize’s pay for the period
Date Account title Dr ($) Cr ($)
Jan 15 Wages expense (w.3) 950
Federal income tax withholding 94
Wages payable (w.4) 856
(To Elize’s pay for the period.)
(b) Prepare the journal entry to record the payment of Elize’s wages.
Date Account title Dr ($) Cr ($)
Jan 15 Wages payable (w.4) 856
Cash 856
(To record the payment of Elize’s wages.)
Workings:
Normal hours = 40
Number of hours worked = 45
Overtime hours = Number or hours worked - Normal hours = 45 - 40 = 5
Normal hourly wage rate = $20
Overtime hourly rate = $30
Federal income tax withholding = $94
w.1: Normal wage amount = Normal hours * Normal wage rate = 40 * $20 = $800
w.2: Overtime pay = Overtime hours * Overtime hourly rate = 5 * $30 = $150
w.3: Wages expense = Normal wage amount + Overtime pay = $800 + $150 = $950
w.4: Wages payable = Total wage amount - Federal income tax withholding = $950 - $94 = $856
After reading it write about whether or not you agree with the academic economic consensus that independent officials running the Federal Reserve are able to properly balance their dual mandate in a fair and balanced fashion with the needs of workers in one hand and the financial industry on the other. If you agree with the consensus view explain your reasons; or if you disagree and think that the officials are biased in favor of the financial industry explain your reasoning with some possible solutions to the problem. Write at least two paragraphs articulating your views.
Answer:
The Federal Reserve has been at times biased in favor of the financial industry, because they have often put inflation targeting above the need to reduce unemployment when executing monetary policy. Besides, the financial industry has often been rescued by massive loans from the Fed.
However, the Federal Reserve has also acted in favor of reducing unemployment, specially during recessions, by expanding the money supply through a policy known as quantitative easing.
In conclusion, we can say that the Fed tends to be biased in favor of the financial industry, but not at all times.
Nemesis, Inc., has 215,000 shares of stock outstanding. Each share is worth $81, so the company's market value of equity is $17,415,000. Suppose the firm issues 48,000 new shares at the following prices: $81, $75, and $69. What will be the ex-rights price and the effect of each of these alternative offering prices on the existing price per share? (Leave no cells blank; if there is no effect select "No change" from the dropdown and enter "O". Round your answers to 2 decimal places, e.g., 32.16.)
Price Ex-Rights Amount $ Effect per share
per share
per share
No change
Price drops by
Price drops by
Answer:
$81, $75, and $69
a. Market value of existing shares = 215000 * $81 = $17415000
Value of New shares issued = 48000 * $81 = $3888000
$21,303,000
Price after issue of new shares = 21,303,000 / (215000 + 48000)
= 21,303,000 / 263,000
= $81
Conclusion: No changes ($0 per share
b. Market value of existing shares = 215000 * $81 = $17415000
Value of New shares issued = 48000 * $75 = $3600000
$21015000
Price after issue of new shares = 21015000 / (215000 + 48000)
= 21,015,000 / 263,000
= $79.90
Conclusion: There is a decrease in amount (81 - 79.90) = $1.10 per share
c. Market value of existing shares = 215000 * $81 = $17415000
Value of New shares issued = 48000 * $69 = $3312000
$20,727,000
Price after issue of new shares = 20,727,000 / (215000 + 48000)
= 20,727,000 / 263,000
= $78.81
Conclusion: There is a decrease in amount (81 - 78.81) = $2.19 Per share
Assume Mrs. Kinsley has filed a suit against Kitchen Essential Products Inc. for the injuries that she sustained under the theory of strict product liability. Can Mrs. Kinsley prevail in a cause of action against Kitchen Essential Products Inc. under strict product liability.
Answer:
"strict liability" says that a defendant seller, distributor or manufacturer of a defective product can be liable to anyone injured by that product, regardless of whether the defendant did everything possible to make sure the defect never happened.
In the case of Mrs Kinsley against Kitchen Essential Products inc. for the injury she sustained, she will be able to prevail in a cause action against the company under strict product liability. Because, the accident happened as a result of the faulty product which she purchased from the Kitchen Essential Product Inc company.
Explanation:
Long-term debt ratio 0.3
Times interest earned 10.0
Current ratio 1.2
Quick ratio 1.0
Cash ratio 0.4
Inventory turnover 3.0
Average collection period 73 days
Use the above information from the tables to work out the following missing entries, and then calculate the company’s return on equity.
Net sales _____$
Cost of goods sold
Selling, general, and administrative expenses 20.00
Depreciation 30.00
Earnings before interest and taxes (EBIT) _____$
Interest expense
Income before tax _____$
Tax (35% of income before tax)
Net income _____$
Google generates revenue by offering online ________ opportunities next to search results or on specific Web pages.
Answer: advertising
Explanation:
Advertising is used in marketing to reach out to a larger number and of people and also for people to know more about the product and invariably, convince them to buy the product and hence increase the sales of the product.
Google generates revenue by offering online advertisement opportunities next to search results or on specific web pages.
The NYSE Specialist (DMM) and Floor Trader system is the model for trading used by which of the following markets?
I NASDAQ
II AMEX (NYSE American)
III PHLX
IV BATS
a. I and III
b. I and IV
c. II and III
d. II and IV
Answer:
c. II and III
Explanation:
The New York Stock Exchange, NYSE Specialist (DMM) and Floor Trader system is the model for trading used by American Stock Exchange, AMEX (NYSE American) and Philadelphia Stock Exchange (PHLX).
However, National Association of Securities Dealers Automated Quotations (NASDAQ) isn't modeled after the NYSE Specialist (DMM) and Floor Trader system, rather it is based on an all electronic market. Also, Better Alternative Trading System (BATS) started as an Electronic Communications Network (ECN) and as such is typically an all electronic market, which has transformed magnificently into an exchange according to the Securities and Exchange Commission (SEC).
Hence, the American Stock Exchange, AMEX (NYSE American) and Philadelphia Stock Exchange (PHLX) uses a designated market maker (DMM) and Floor Trader system just like the New York Stock Exchange as their primary market maker.
A preliminary prospectus:_______.
I contains the public offering price of the issue
II does not contain the public offering price of the issue
III contains the financial statements of the issuer
IV does not contain the financial statements of the issuer
Answer: III contains the financial statements of the issuer
Explanation:
A preliminary prospectus contains information of the company and the intended use of proceeds from the offering.
It contains the details about the products and services that it offers, the market potential for those offerings.
It also contains company's financial statements, and details about company management and major shareholders.
Hence, A preliminary prospectus contains the financial statements of the issuer.
The correct option is 'III'.
An assembly line with 17 tasks is to be balanced. The longest task is 2.4 minutes, and the total time for all tasks is 18 minutes. The line will operate for 450 minutes per day.Required:a. What are the minimum and maximum cycle times? b. What range of daily output is theoretically possible for the line? c. What is the minimum number of workstations needed if the maximum output rate is to be sought?d. What cycle time will provide an output rate of 125 units per day?
Answer
a)Minumum cycle time = 2.4 Minutes And Maximum cycle time = 18 Minutes
b)=187.5 units per day and 25 units per day
c) 8 workstation
d)2.6min/cycle
Explanation:
Given:
output rate = 125 units per day
Operating time= 450 minutes per day
What are the minimum and maximum cycle times?
Minimum Cycle time = duration of the longest task
Therefore,Minimum cycle time = 2.4 minutes
Maximum cycle time = addition of the task
Maximum Cycle Time = 18 minutes
Therefore, Minumum cycle time = 2.4 Minutes And Maximum cycle time = 18 Minutes
B)B)What range of daily output is theoretically possible for the line?
Range of daily output = Operating time / minimum Cycle time
At 2.4 minutes Cycletime
= 450/2.4
=187.5 units per day
At Cycle time 18 Minutes
= 450/18
Cycle time 18 minutes = 25 units per day
C)What is the minimum number of workstations needed if the maximum output rate is to be sought?
number of workstation=(D× summation of all task)/Operating time
number of workstation=(187.5*18)/450
= 7.5= 8 workstation
D)What cycle time will provide an output rate of 125 units per day?
cycle time= Operating time/output rate
=450/125
= 2.6min/cycle
Homestead Crafts, a distributor of handmade gifts, operates out of owner Emma Finn’s house. At the end of the current period, Emma looks over her inventory and finds that she has 800 units (products) in her basement, 25 of which were damaged by water and cannot be sold. 180 units in her van, ready to deliver per a customer order, terms FOB destination. 200 units out on consignment to a friend who owns a retail store. How many units should Emma include in her company’s period-end inventory?
Answer: 1155
Explanation:
The solution guess thus to calculate the units in Ending Inventory:
Units of product on hand: 800 units
Add: Units in transit 180
Add: Units on consignment 200
Less: Damaged units 25
The number of units that Emma should include in her company’s period-end inventory will be:
= (800+180+200) - 25
= 1180 - 25
= 1155
How many years will it take for your money to double if fees are 1.5% per year (not uncommon in the mutual fund industry)?
Answer:
Doubling time: 20 years.
Explanation:
A process of making decisions by constructing simplified models that extract the essential features from problems without capturing all their complexity is known as
Answer:
Bounded rationality.
Explanation:
This is explained to be a model that is been used in making choices between alternatives. Models of this kind brings about use of logic, analysis and objectivity always which appear over subjectivity and insight. In this particular model, approaches like Formulating of goal, decision making, identification of criteria for decision making, performing analysis etc are seen to make this model a better type of its kind. Here individuals who are seen to posses high cognitive ability are seen handling of decisions and making quality arrangements towards its actualization.
In a lot of cases, it is seen to not consider factors that cannot be quantified, such as ethical concerns or the value of altruism.
Schwab’s customers can assemble their own investment portfolios with its mutual fund evaluator tool, an example of
Answer:
A choiceboard.
Explanation:
This is generally described to be a graphical view or a teaching pattern where a tutor allows the said students to use these graphical knowledge to learn and understand a concept been impacted to them at their own pace. This choiceboard is been set up for so many reasons which may include; the encouraging of communication by giving the children means to request a particular object, also giving children certain visual prompt to say the correct words, it is also seen to streamline the selection of choice down there which could be a selection of choices.
_________________ agreements are one way to achieve the goal of swapping skills and technologies that each company in a strategic alliance covets, and ensuring a chance for equitable gain.
A. Join venture
B. Sharing
C. Cross-licensing
D. Learning
E. Contractual
Answer:
it should be C. cross-licensing
Kenny, Inc., is looking at setting up a new manufacturing plant in South Park. The company bought some land six years ago for $7.9 million in anticipation of using it as a warehouse and distribution site, but the company has since decided to rent facilities elsewhere. The land would net $10.7 million if it were sold today. The company now wants to build its new manufacturing plant on this land; the plant will cost $21.9 million to build, and the site requires $940,000 worth of grading before it is suitable for construction.
Required:
What is the proper cash flow amount to use as the initial investment in fixed assets when evaluating this project?
Answer:
$33,540,000
Explanation:
initial investment:
opportunity cost of land (resale price of land) = $10,700,000building cost of the facilities = $21,900,000other expenses related to the site (grading) = $940,000total $33,540,000The purchase cost of the land is considered a sunk costs, since it is not relevant now. What is relevant is the price at which the land could be sold at the moment of starting the project.
Kemp Corporation manufactures a variety of parts for use in its product. The company has always produced all of the necessary parts for its product, including all of the electronic circuits. The company sells 18,000 units of its product per year. An outside supplier has offered to sell electronic circuits to the company for a cost of $40 per unit. To evaluate this offer, the company has gathered the following information relating to its own cost of producing the electronic circuits internally: Per Unit 18,000 Units per Year Direct materials $ 18 $ 324,000 Direct labor 9 162,000 Variable manufacturing overhead 2 36,000 Fixed manufacturing overhead, traceable 9 * 162,000 Fixed manufacturing overhead, allocated 12 216,000 Total cost $ 50 $ 900,000 *One-third supervisory salary; two-thirds depreciation of special equipment (no resale value). Suppose that if the electronic circuits were purchased, the division supervisor position could be eliminated. Fixed manufacturing overhead will be allocated to other products made by the company. Also, the company could use the freed production capacity to launch a new product. The segment margin of the new product would be $180,000 per year. Given this new assumption, how much would be the financial advantage of buying 18,000 electronic circuits from the outside supplier
Answer:
financial advantage of purchasing from outside vendor = $36,000
Explanation:
outside vendor offers 18,000 units at $40 per unit = $720,000
current production costs (for 18,000 units):
Direct materials $324,000 Direct labor $162,000 Variable manufacturing overhead $36,000 Fixed manufacturing overhead, traceable $162,000 ($54,000 avoidable)Fixed manufacturing overhead, allocated $216,000 (not avoidable)Total cost $900,000total avoidable costs = $576,000
additional revenue generated by freed facilities = $180,000
financial advantage of purchasing from outside vendor = ($576,000 + $180,000) - $720,000 = $36,000
Martin Enterprises needs someone to supply it with 118,000 cartons of machine screws per year to support its manufacturing needs over the next five years, and you've decided to bid on the contract. It will cost you $785,000 to install the equipment necessary to start production costs will be $415,000 per year, and your variable production costs should be $10.05 per carton. You also need an initial investment in net working capitalof $68,000.If your tax rate is 24 percent and you require a return of 12 percent on your investment, whar bid price should you submit?
Answer:
$15.66 per carton
Explanation:
118,000 cartons of machine screws
equipment cost $785,000
depreciation per year = $785,000 / 5 = $157,000
fixed manufacturing costs $415,000 per year
variable costs per carton = $10.05 x 118,000 = $1,185,900
initial investment in net working capital $68,000
tax rate 24%
discount rate 12%
price per carton?
initial investment = -$853,000
CF₁ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320
CF₂ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320
CF₃ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320
CF₄ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 = 0.76R - $1,178,320
CF₅ = [(R - $1,600,000 - $157,000) x 0.76] + $157,000 + $68,000 = 0.76R + $1,110,320
$853,000 = (0.76R - $1,178,320) / 1.12 + (0.76R - $1,178,320) / 1.12² + (0.76R - $1,178,320) / 1.12³ + (0.76R - $1,178,320) / 1.12⁴ + (0.76R + $1,110,320 ) / 1.12⁵ = 0.6786R - $1,052,071.43 + 0.6059R - $939,349.49 + 0.541R - $838,704.90 + 0.483R - $748,943.66 + 0.4312R + $630,025.39
$853,000 = 2.7397R - $4,209,094.87
$5,062,094.87 = 2.7397R
R = $5,062,094.87 / 2.7397 = $1,847,682.18
total revenue = $1,847,682.18
revenue per carton = $1,847,682.18 / 118,000 = $15.6583 = $15.66
Kiley Electronics is considering a project that has the following cash flow data. What is the project's IRR? Note that a project's IRR can be less than the WACC (and even negative), in which case it will be rejected.
Answer:
13.31%
Explanation:
some information is missing:
Year Cash flows
0 −$1,100
1 $450
2 $470
3 $490
the easiest way to calculate the IRR is by using a financial calculator, IRR = 13.31%
but if we don't have one at hand, the IRR is the discount rate at which a project's NPV = 0
1,100 = 450/(1 + r) + 470/(1 + r)² + 490/(1 + r)³
to simplify the formula we must use trial and error:
since we already know the real IRR, I will start with a close number like 10%
1,100 = 450/(1 + 0.1) + 470/(1 + 0.1)² + 490/(1 + 0.1)³
1,100 = 409.09 + 388.43 + 368.14
1,100 ≠ 1,165.66
since the NPV is still positive, we must increase the discount rate. following the example we can use 12%
1,100 = 450/(1 + 0.12) + 470/(1 + 0.12)² + 490/(1 + 0.12)³
1,100 = 401.79 + 374.68 + 348.77
1,100 ≠ 1,125.24
we must increase the discount rate even more to 13%
1,100 = 450/(1 + 0.13) + 470/(1 + 0.13)² + 490/(1 + 0.13)³
1,100 = 398.23 + 368.08 + 339.59
1,100 ≠ 1,105.90
we keep increasing the discount rate to 14%
1,100 = 450/(1 + 0.14) + 470/(1 + 0.14)² + 490/(1 + 0.14)³
1,100 = 394.74 + 361.65 + 330.74
1,100 ≠ 1,087.13
since now the NPV is negative, the discount rate must be between 13-14%
we continue this way until we finally reach 13.31%
A firm issues $300 million in straight bonds at an original issue discount of 0.50% and a coupon rate of 7%. The firm pays fees of 2.0% on the face value of the bonds. The net amount of funds that the debt issue will provide for the firm is closest to which of the following?
A)$248,625,000
B)$263,250,000
C)$277,875,000
D)$292,500,000
Answer: $292,500,000
Explanation:
The following information can be derived from the question:
Issued bond = $300
Issue discount = 0.50%
Coupon rate = 7%.
Fees paid = 2.0%
The net amount of funds that the debt issue will provide for the firm will be:
= Issued bond price - Discount - Fees paid
= $300m - ($300m × 0.50%) - ($300m × 2.0%)
= $300m - $1.5m - $6m
= $300m - $7.5m
= $292.5 Million
One of the potential pitfalls of real options analysis is that managers may have the incentive and know-how to game the system.
a. True
b. False
Answer:
True
Explanation:
This is true and a pitfall because managers particularly those in investment businesses can take actions that benefit themselves or act based on self interests. This is because they are open to incentives and also have the know how so they can easily make changes. This is bad for real options analysis. It is an agency issue. These people act without even considering the interests of the organization or that of their employers.
Rose Hill Trading Company is expected to have EPS in the upcoming year of $8. The expected ROE is 18%. An appropriate required return on the stock is 14%. If the firm has a retention ratio of 70%, its dividend in the upcoming year should be _________. A. $1.12 B. $1.44 C. $2.40 D. $5.60
Answer: C. $2.40
Explanation:
Earnings Per Share (EPS) refers to how much of the net income is due to the shareholders and is calculated by dividing the net income by the number of shareholders.
The retention ratio refers to how much of the net income will be held back by the company and not declared as dividends.
The dividends will therefore be the percentage of the EPS that is not held back.
= 8 * ( 1 - 0.7)
= $2.40
Computer Corp. just paid a dividend of $0.75. If the firm's growth in dividends is expected to remain at a flat 3 percent forever, then what is the cost of equity capital for Computer Corp. if the price of its common shares is currently $12.00
Answer:
9.44%
Explanation:
According to the given situation, the computation of the cost of equity capital is shown below:-
Cost of equity capital = Dividend × (1 + Expected rate of return) ÷ Common shares + Expected rate of return
Now, we will put the values into the above formula.
= ($0.75 × (1.03) ÷ $12) + 0.03
= 0.0944
or
= 9.44%
Therefore for computing the cost of equity we simply applied the above formula.
"Net income for the period was $200,000. The retained earnings account had a beginning balance of $25,000. If the company paid dividends of $20,000 during the year, what is the ending balance in retained earnings?"
Answer:
Retained earning balance at the end would be = $205,000
Explanation:
Retained earnings at the end = Retained earning at the beginning + Net income - Dividend paid
The net income would increase the balance of the retained earnings hence it is added to it.
The Dividend paid would be a cash outflow which would reduce the balance of the retained earnings, hence it is deducted from it.
So applying this to the question, we have
Retained earning balance at the end would be:
25,000 + 200,000 - 20,000 = $205,000
Retained earning balance at the end would be = $205,000
Use the following information and the indirect method to calculate the net cash provided or used by operating activities:
Net income $ 86,800
Depreciation expense 13,500
Gain on sale of land 6,800
Increase in merchandise inventory 3,550
Increase in accounts payable 7,650
A) $97,600.
B) $15,850.
C) $31,400.
D) $16,850.
E) $38,200
Answer:
A) $97,600
Explanation:
Calculation for the net cash provided or used by operating activities
OPERATING ACTIVITIES
Net Income $86,800
Depreciation Expense 13,500
Gain on Sale of Land (6,800)
Increase in Merchnadize Inventory (3,550)
Increase in Accounts Payable 7,650
Net Cash provided by Operations $97,600
Therefore the net cash provided or used by operating activities will be $97,600
perline, inc., has balance sheet equity of $6.2 million.At the same time, the income statement shows net income of $948600. The company paid dividends of $493272 and has 100000 shares of stock outstanding. If the benchmark PE ratio is 26, what is the target stock price in one year?
Answer:
The target stock price in one year is $264.75
Explanation:
We first calculate the ROE as below
ROE= Earnings / Book value of Equity
ROE= $948,600 / $6,200,000
ROE= 0.153
The payout ratio is:
b= Dividend / Net income
b = $493,272 / $948,600
b = 0.52
So the sustainable growth rate is:
g = ROE * (1-b)
g = 0.153 * (1-0.52)
g = 0.153 * 0.48
g = 0.07344
The earning in the first year are
EPS1 = $948,600 / 100,000 * (1 + 0.07344)
EPS1 = $9.486 * 1.07344
EPS1 = $10.1827
According to the benchmark PE ratio, the target stock price in one year is
Price = EPS1 * 26
Price = $10.1827 * 26
Price = $264.75
The Year 1 selling expense budget for Apple Corporation is as follows:
Budgeted sales $275,000
Selling costs:
Delivery expenses $ 2,750
Commission expenses 5,500
Advertising expenses 2,500
Office expenses 1,500
Miscellaneous expenses 5,300
Total $17,550
Delivery and commission expenses vary proportionally with budgeted sales in dollars. Advertising and office expenses are fixed. Miscellaneous expenses include $2,000 of fixed costs. The rest varies with budgeted sales in dollars. The budgeted sales for Year 2 are $330,000.
What will be the value of miscellaneous expenses in the Year 2 selling expense budget?
A. $6,200
B. $4,200
C. $3,600
D. $3,960
Answer:
$5,960
Explanation:
Fixed portion of Miscellaneous expenses = $2,000
Variable portion of Miscellaneous expenses = ($5,300 - $2,000) / $275,000
= $3,300 / $275,000
= $0.012 of sales
Miscellaneous expenses in the Year 2 selling expense budget = (Budgeted sales * Variable portion) + Fixed portion
= ($330,000 * $0.012) + $2,000
= $3,960 + $2,000
= $5,960
Consider the following information on large-company stocks for a period of years. Series Arithmetic Mean Large-company stocks 12.1 % Inflation 3.4A. What was the arithmetic average annual return on large-company stocks in nominal terms?
B. What was the arithmetic average annual return on large-company stocks in real terms?
Answer:
a. 12.1 %
b. 8.41%
Explanation:
a. The arithmetic average annual return on large-company stocks in nominal terms is already stated in the table as 12.1%.
This is because it was not yet adjusted for inflation making it nominal.
b. The arithmetic average annual return on large-company stocks in real terms can be expressed by;
Real Return = [(1 + Nominal rate) / (1 + Inflation rate)] - 1
= (( 1 + 12.1%) / ( 1 + 3.4%)) - 1
= (1.121/1.034) - 1
= 1.0841 - 1
= 8.41%
Problem 24-01 Liquidation Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000 Accounts payable $375,000 Fixed assets 1,875,000 Notes payable 750,000 Subordinated debentures 750,000 Total debt $1,875,000 Common equity 1,875,000 Total assets $3,750,000 Total liabilities and equity $3,750,000 The trustee's costs total $276,250, and the firm has no accrued taxes or wages. Southwestern has no unfunded pension liabilities. The debentures are subordinated only to the notes payable. If the firm goes bankrupt and liquidates, how much will each class of investors receive if a total of $4 million is received from sale of the assets? Distribution of proceeds on liquidation: 1. Proceeds from sale of assets $ 2. First mortgage, paid from sale of assets $ 3. Fees and expenses of administration of bankruptcy $ 4. Wages due workers earned within 3 months prior to filing of bankruptcy petition $ 5. Taxes $ 6. Unfunded pension liabilities $ 7. Available to general creditors $ Distribution to general creditors: Claims of General Creditors Claim (1) Application of 100% Distribution (2) After Subordination Adjustment (3) Percentage of Original Claims Received (4) Notes payable $ $ $ % Accounts payable $ $ $ % Subordinated debentures $ $ $ % Total $ $ $ The remaining $ will go to the common stockholders.
Answer:
1. Proceeds from sale of assets $ 4,000,000
2. First mortgage, paid from sale of assets 0.00
3. Fees and expenses of administration of bankruptcy 276,250
4. Wages due workers earned within 3 months prior to filing of bankruptcy petition 0.00
5. Taxes 0.0
6. Unfunded pension liabilities 0.00
7. Available to general creditors $3,723,750
Distribution to general creditors
Claim (1) =$1,875,000
Application of 100% Distribution(2)=$1,875,000
After Subordination Adjustment
(3)=$1,875,000
Percentage of Original Claims Received
(4)=$1,875,000
Explanation:
Calculation for how much will each class of investors receive if a total of $4 million is received from sale of the assets
1. Proceeds from sale of assets $ 4,000,000
2. First mortgage, paid from sale of assets 0.00
3. Fees and expenses of administration of bankruptcy 276,250
4. Wages due workers earned within 3 months prior to filing of bankruptcy petition 0.00
5. Taxes 0.00
6. Unfunded pension liabilities 0.00
7. Available to general creditors $3,723,750
Distribution to general creditors:
Claims of General Creditors
Notes payable
Claim (1) 750,000
Application of 100% Distribution
(2) 750,000
After Subordination Adjustment
(3) 750,000
Percentage of Original Claims Received
(4) 100%
Accounts payable
Claim (1) 375,000
Application of 100% Distribution
(2) 375,000
After Subordination Adjustment
(3) 375,000
Percentage of Original Claims Received
(4) 100%
Subordinated debentures
Claim (1) 750,000
Application of 100% Distribution
(2) 750,000
After Subordination Adjustment
(3) 750,000
Percentage of Original Claims Received
(4) 100%
TOTAL
Claim (1) $750,000+ 375,000+750,000=$1,875,000
Application of 100% Distribution
(2)$750,000+ 375,000+750,000=$1,875,000
After Subordination Adjustment
(3)$750,000+ 375,000+750,000=$1,875,000
Percentage of Original Claims Received
(4)$750,000+ 375,000+750,000=$1,875,000
Restricting imports Question 10 options: can protect United States jobs in the protected industry, which increases economic welfare of the country as a whole. can protect United States final goods and services in the protected industry and increase economic welfare of the country as a whole. can protect United States jobs in the protected industry but will also lead to reductions in U.S. output and income. can protect United States final goods and services in the protected industry and makes consumers better off.
Answer: can protect United States jobs in the protected industry but will also lead to reductions in U.S. output and income
Explanation:
Imports are the goods that are purchased and brought from another country into one's home country. Restricting imports is a way by which the government helps to protect the industries at home.
It should also be noted that restricting imports will lead to reductions in the United States output and income as other people in other countries might stop purchasing ones products as well and this will affect the income of the United States.
Answer:
C. can protect United States jobs in the protected industry but will also lead to reductions in U.S. output and income.
Explanation:
Import restriction is a measure taken by some countries that want trade protectionism. They do this to limit importation of goods and services from foreign countries. To achieve this they may impose tariffs, quotas, develop policies, or give subsidies to the local producers, all in a bid to limit importation. In the United States, while restricting imports can protect jobs in the protected industries, it would also result to trade wars with other nations.
This is a situation where other countries reciprocate the import restriction. This would eventually result in a reduced Gross domestic product for the country and limited choices for the consumers who will want to settle with cheaper goods. A case is the situation between Japan and the United States
In an emergency situation, such as a life-threatening trauma in an emergency room, a supervisor must be:_______.
a. sensitive to employees' feelings.b. an empathetic communicator.c. an apprehensive communicator.d. direct and assertive.
Answer:
d. direct and assertive.
Explanation:
In an emergency situation, such as a life-threatening trauma in an emergency room, a supervisor must be direct and assertive.
When there's an emergency situation, this ultimately implies a life and death situation which is typically characterized by having someone being in a very critical and dangerous condition. In order to be able to save such an individual or situations, it is very important and essential to have a direct and assertive supervisor who is in charge or control of the emergency situation and capable of making quick decisions that would most likely salvage the situation.
A supervisor who is assertive is confident, bold and positive about his or her instructions in any situation, which is a prerequisite quality to overcome emergencies.
Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The company’s planning budget for May appears below: Puget Sound Divers Planning Budget For the Month Ended May 31 Budgeted diving-hours (q) 300 Revenue ($430.00q) $129,000 Expenses: Wages and salaries ($11,300 + $128.00q) 49,700 Supplies ($4.00q) 1,200 Equipment rental ($2,400 + $25.00q) 9,900 Insurance ($3,900) 3,900 Miscellaneous ($510 + $1.44q) 942 Total expense 65,642 Net operating income $63,358 During May, the company’s actual activity was 290 diving-hours. Complete the following flexible budget for that level of activity.Revenue Expenses: Wages and salaries Supplies Equipment rental Insurance Miscellaneous Total expense Net operating income
Answer:
Revenue $124,700
Expenses:
Wages and salaries 48,420
Supplies 1,160
Equipment rental 9,650
Insurance 3,900
Miscellaneous 928
Total expense$64,058
Net Operating income $60,642
Explanation:
Calculation to Complete the flexible budget for that level of activity
FLEXIBLE BUDGET
Actual diving hours 290
Revenue (290*$430) $124,700
Expenses:
Wages and salaries (11,300+290*128) 48,420
Supplies (290*4) 1,160
Equipment rental (2,400+290*25) 9,650
Insurance 3,900
Miscellaneous (510+290*1.44) 928
Total expense $64,058
Net Operating income $60,642
($124,700-$64,058)
