Answer and Explanation:
The Journal entry is shown below:-
Land $45,000
Building Dr, 85,000
To Common Stock $49,000 (7,000 shares × $7)
To Paid-in capital in excess of par-Common stock $81,000
(Being issuance of the stock in exchange for the land and building is recorded)
Here we debited the land and building as it increases the assets and we credited the common stock and paid in capital in excess of par-common stock as it also increases the liabilities.
Delta Lighting has 30,000 shares of common stock outstanding at a market price of $15 a share. This stock was originally issued at $31 per share. The firm also has a bond issue outstanding with a total face value of $280,000 which is currently selling for 82 percent of par. The cost of equity is 14 percent while the after-tax cost of debt is 6.8 percent. The firm has a beta of 1.48 and a tax rate of 30 percent. What is the weighted average cost of capital?
Answer:
the weighted average cost of capital is 11.57 % .
Explanation:
Market Value of Equity = Number of Common Shares Outstanding × Market Price per share
= 30,000 shares × $15
= $450,000
Market Value of Debt = Face Value × 82%
= $280,000 × 82%
= $229,600
WACC = Ke × (E/V) + Kd × (E/V)
= 14.00 % × ($450,000/ $679,600) + 6.80 % × ($229,600/ $679,600)
= 9.27 % + 2.30 %
= 11.57 %
JG Asset Services is recommending that you invest $1,275 in a 5-year certificate of deposit (CD) that pays 3.5% interest, compounded annually. How much will you have when the CD matures
Answer:
The amount that will be received when CD matures is $1514.30
Explanation:
To calculate the amount that will be received at the maturity of the CD, we simply need to calculate the future value of the invested amount using annual compounding. The formula for the future value that we will use is,
Future value = Present value * (1+r)^t
Where,
r is the rate of interestt is the time in yearsFuture value = 1275 * (1+0.035)^5
Future value = $1514.30
When Marine Midland Bank sent market researchers with surveys door-to-door in the neighborhoods of their branch banks to ask people with savings accounts why they did not also have checking accounts and credit cards with Marine Midland, they were gathering __________ data.
Answer:
questionnaire
Explanation:
In the scenario being described, the researchers were gathering questionnaire data. A questionnaire is a research instrument that consists of a set of questions that are asked to the individual with hopes of collecting that respondent's information regarding the subject. Which in this scenario, the subject in question is why the individual does not have checking accounts and credit cards with the company. These answers are usually used by the company in order to better their services and provide a better customer experience.
You are helping a customer who wants to purchase pavers and they have selected
a style and color they like. How should you proceed next?
A. Thank the customer for shopping with us
B. Ask the customer if they need the patio project installed
C. Close the sale with the customer
D. Ask the customer if they need any other products for the project.
Answer:
D. Ask the customer if they need any other products for the project.
Explanation:
Customers who buy pavers are usually involved in a medium or large house project, and probably need other products. For this reason, a sales representative should ask the customer if they need anything else for the project in order to increase sales for the company.
Jerry deposited $10,000 in a bank account, and 10 years later he closes out the account, which is worth $18,000. The annual rate of interest that Jerry has earned over the 10 years is closest to:
Answer:
r= 6.054% per yearExplanation:
given that
principal P= $10,000
final amount A= $18,000
time t= 10 years
To find the annual rate we will use the formula below and solve for r
[tex]r = [(\frac{A}{P} )^\frac{1}{t} - 1][/tex]
Substituting our data into the expression and solving for r we have
[tex]r = [(\frac{18000}{10000} )^\frac{1}{10} - 1]\\\\r = [(1.8 )^\frac{1}{10} - 1]\\\\r = [(1.8 )^0^.^1 - 1]\\\\r = [(1.8 )^0^.^1 - 1]\\r={1.06054-1}\\\\r= 0.06054[/tex]
Calculate rate of interest in percent
r = 0.06054* 100
r= 6.054% per year
Explain some of the basic principles of cost management, such as profits, life cycle cost, tangible and intangible costs and benefits, direct and indirect costs, and Reserves.
Answer:
Profits - These refer to the revenues accrued from a project less the costs of the project.
Life Cycle Cost - Life Cycle Cost is a concept in Cost management where the cost of a project throughout it's entire life is assessed. Costs assessed therefore include; initial capital costs, maintenance costs and operating costs.
Tangible and Intangible Costs - When costs are tangible, quantifying them.is easy as the cost can be stated and directly attributable to a cost object eg, cost of a fixed asset. Intangible cost on the other hand is not easy to quantify and is not easily attributable. For instance, the experience that a Project Manager leaves with if they resign.
Tangible and Intangible Benefits - Like tangible costs, tangible benefits are easily quantifiable and noticeable such as trade discounts from buying in bulk. Intangible benefits on the other hand are not easily quantifiable. An example would be Employee motivation from a safer working Environment.
Direct and Indirect Costs - Direct costs are costs that can be easily traced to a cost object. In other words, the reason for the cost is known e.g labor cost for assembling a product. Indirect Costs are harder to trace to a cost object even though they are related to production. An example would be the Electricity used for production.
Reserves - Cost reserves are monies held for any emergency expenses that may come up. This way the company can deal with them speedily.
A $5,000 bond with a coupon rate of 5.1% paid semiannually has eight years to maturity and a yield to maturity of 8.9%. If interest rates rise and the yield to maturity increases to 9.2%, what will happen to the price of the bond?
Answer:
The bond's market price will decrease by $72.08 (1.83%) from $3,928.89 to $3,856.81.
Explanation:
bond's current market price:
$5,000 / (1 + 4.45%)¹⁶ = $2,491.35
$127.50 x 11.27483 (PV annuity factor, 4.45%, 16 periods) = $1,437.54
current market price = $3,928.89
if interests rise and YTM increases to 9.2%, then new market price:
$5,000 / (1 + 4.6%)¹⁶ = $2,434.80
$127.50 x 11.15305 (PV annuity factor, 4.45%, 16 periods) = $1,422.01
current market price = $3,856.81
1. What are Regional Trading Blocs (RTBs)? Explain the 4 types of RTBs, making sure that the difference(s) between them is/are clearly stated as we move from one level to another. Discuss three (3) each of the advantages and disadvantages of the European Union to a named member country.
Answer:
Trading blocks are groups of countries who form trade agreements between themselves. Trading blocks can include
Free trade areas – elimination of tariffs between economies in the trading block
Customs union – free trade area + a common external tariff with non-members
Economic union/Single market – Customs union + common rules and regulations.
Different types of trading blocks
free-trade-customs-union
Trading blocks have become increasingly influential for world trade.
They have advantages in enabling free trade between geographically close countries. This can lead to lower prices, increased export potential, higher growth, economies of scale and greater competition.
However, it can lead to compromise as countries pool economic sovereignty. Also, the move to free trade tends to create winners and losers – with some domestic industries losing out to lower-cost imports.
Examples of Global trading blocks
Free_Trade_Areas
Free trade areas
European Union – The most integrated trading block. The EU27 have free trade and common regulations and are part of a customs union.
NAFTA – North Atlantic Free Trade Association. A free trade area between Canada, US and Mexico
ASEAN Free Trade Area Free trade area in South East Asia founded 1992. Includes: Brunei, Indonesia, Malaysia, Philippines, Singapore and Thailand, Vietnam, Laos, Myanmar and Cambodia.
SAFTA South Asia free trade area based around the Indian sub-continent. Includes Afghanistan, Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan and Sri Lanka.
Mercosur – a southern American trading block formed in 1991. Includes full members of Argentina, Brazil, Paraguay and Uruguay. With associate members including Bolivia, Chile, Colombia, Ecuador. Developed from free trade area to become customs union.
African Union 55 countries of the continent of Africa. Created to forge closer political and economic ties. It has aspirations to become a free trade area.
Difference between free trade area and customs union
A customs union has a common external tariff on imports. This means that it doesn’t matter which country the imports enter – because all countries have the same import tariff. This means there doesn’t need to be internal checking on ‘Rules of origin‘. For example, if imports from Africa enter Spain then if goods travel across the border from Spain to France, there is no need to check whether goods are paying the correct import tariff – because the import tariffs are all the same.
A disadvantage of joining a customs union is that a country is not able to pursue its own independent trade deals. However, since trade deals are complicated and take several years, there is an advantage to negotiating trade deals as part of a regional trade block – rather than separate individual countries.
Advantages of trading blocks
Tariff removal leads to trade creation – lower prices for consumers and greater opportunity for exporters.
Increased trade enables increased specialisation – which gives benefits of economies of scale (lower average costs from increased output)
gravity-theory
Catch-up effects. Countries joining a rich trading block can benefit from inward investment and increased trade opportunities. Countries in Eastern Europe have made considerable progress in catching up with average income levels in Western Europe.
Gravity theory of trade suggests that trade with countries in close proximity is the most important due to lower transport and similar cultural and economic ties.
Gives small countries a greater say in global trade agreements
Increased competition. The removal of tariffs creates greater choice for consumers. Therefore domestic firms have a greater incentive to cut costs to remain competitive.
Disadvantages of trading blocks
Joining a customs union may lead to increased import tariffs – which leads to trade diversion. For example, when the UK joined the EEC customs union, it required higher import tariffs on imports from former Commonwealth countries. This led to switch in demand towards higher-cost European countries and caused loss of business for Commonwealth countries
Increased interdependence on economic performance in other countries in trading block. If Eurozone goes into recession, it will affect all countries in the Eurozone. However, this is almost inevitable even if countries are not formally in a trading block due to a close relationship between trade cycles in different countries.
Lopez Company uses both standards and budgets. For the year, estimated production of Product X is 500,000 units. Total estimated cost for materials and labor are $1,400,000 and $1,700,000.
Compute the estimates for (a) a standard cost and (b) a budgeted cost. (Round standard costs to 2 decimal places, e.g. 1.25.)
Answer:
a. Standard cost = Total estimated cost of material ÷ Estimated production
= $1,400,000 / 500,000 unit
= $2.80 per unit
Thus, the standard cost of material is $2.80, and the budgeted cost is $1,400,000.
b. Standard cost = Total estimated cost of labor / Estimated production
= $1,700,000 / 500,000
= $3.40 per unit
Thus, standard cost of labor is $3.40 and budgeted cost is $1,700,000.
"A mutual fund manager of a "high technology" fund feels that the market for this sector will remain flat in the next coming months and he wishes to generate some additional income against his portfolio. The best strategy is to sell:"
Answer: C. narrow-based calls
Explanation:
Narrow based calls would include calls from one industry. The mutual fund is an "High technology" firm which means that it is a narrow based fund for instance as it is interested only in one industry being the High Tech industry.
The manager should invest in Narrow based calls that focus on the sector if he anticipates that the market will remain flat for the sector. Narrow based Calls are more volatile because they are specific and with the volatility comes higher premiums to be charged.
Should he wish to make income against the portfolio, he should sell these knowing that the options will not be called as the market will remain flat.
The incredible shrinking $50 bill in 1957 was worth $50, but in 2007 it is worth only $. a. What was the compounded average annual inflation rate (loss of purchasing power) during this period of time? b. Fifty dollars invested in the stock market in 1957 was worth $ in 2007. In view of your answer to Part (a), what was the annual real interest rate earned on this investment?
Answer:
A. 4.02%
B. 3.49%
Explanation:
a. Computation of the compounded average annual inflation rate during this period of time
Using this formula
Annual inflation rate=FV/ P *(1+i)^t
Where,
t = 2007 - 1957 = 50 yrs
FV = 6.42
P = 50
Let plug in the formula
Annual inflation rate = (6.42 / 50)^(1/50) - 1
Annual inflation rate= 0.1284 ^ 0.02 - 1
Annual inflation rate= 0.959779 - 1
Annual inflation rate= -0.0402208 *100%
Annual inflation rate=4.02%
b. Computation of the annual real interest rate earned on this investment
First step is to find the Norminal ROR
Using this formula
Norminal ROR
= FV/ P *(1+i)^t
Where
FV = 1998
P = 50
let plug in the formula
Norminal ROR = (1998 / 50)^(1/50) -1
Norminal ROR= 39.96 ^ 0.02 - 1
Norminal ROR= 1.076545 - 1
Norminal ROR= 0.0765457 *100
Norminal ROR= 7.65%
Last step is to calculate for annual real interest rate earned using this formula
Annual real interest rate earned = (1+ Nominal ROR) / (1+ Inflation) -1
Let plug in the formula
Annual real interest rate earned=(1+0.0765457) / (1+0.0402208) - 1
Annual real interest rate earned= (1.0765457) / (1.0402208) - 1
Annual real interest rate earned= 1.034920 - 1
Annual real interest rate earned= 0.0349*100
Annual real interest rate earned=3.49%
Therefore the Annual inflation rate will be 4.02% while Annual real interest rate earned will be 3.49%
A company has established 7 pounds of Material J at $2 per pound as the standard for the material in its Product Z. The company has just produced 1,000 units of this product, using 7,200 pounds of Material J that cost $13,080. The direct materials quantity variance is:
Answer:
-$400 unfavorable
Explanation:
The computation of direct materials quantity variance is shown below:-
Direct material quantity variance = (Standard Quantity × Standard Price) - (Actual quantity × Standard price)
= (1,000 × 7 × $2) - (7,200 × $2)
= $14,000 - $14,400
= -$400 unfavorable
Therefore for computing the direct material quantity variance we simply applied the above formula.
Suppose that the S&P 500, with a beta of 1.0, has an expected return of 13% and T-bills provide a risk-free return of 4%. a. What would be the expected return and beta of portfolios constructed from these two assets with weights in the S&P 500 of (i) 0; (ii) 0.25; (iii) 0.50; (iv) 0.75; (v) 1.0
Answer:
a. The answers are as follows:
(i) Expected of Return of Portfolio = 4%; and Beta of Portfolio = 0
(ii) Expected of Return of Portfolio = 6.25%; and Beta of Portfolio = 0.25
(iii) Expected of Return of Portfolio = 8.50%; and Beta of Portfolio = 0.50
(iv) Expected of Return of Portfolio = 10.75%; and Beta of Portfolio = 0.75
(v) Expected of Return of Portfolio = 13%; and Beta of Portfolio = 1.0
b. Change in expected return = 9% increase
Explanation:
Note: This question is not complete as part b of it is omitted. The complete question is therefore provided before answering the question as follows:
Suppose that the S&P 500, with a beta of 1.0, has an expected return of 13% and T-bills provide a risk-free return of 4%.
a. What would be the expected return and beta of portfolios constructed from these two assets with weights in the S&P 500 of (i) 0; (ii) 0.25; (iii) 0.50; (iv) 0.75; (v) 1.0
b. How does expected return vary with beta? (Do not round intermediate calculations.)
The explanation to the answers are now provided as follows:
a. What would be the expected return and beta of portfolios constructed from these two assets with weights in the S&P 500 of (i) 0; (ii) 0.25; (iii) 0.50; (iv) 0.75; (v) 1.0
To calculate these, we use the following formula:
Expected of Return of Portfolio = (WS&P * RS&P) + (WT * RT) ………… (1)
Beta of Portfolio = (WS&P * BS&P) + (WT * BT) ………………..………………. (2)
Where;
WS&P = Weight of S&P = (1) – (1v)
RS&P = Return of S&P = 13%, or 0.13
WT = Weight of T-bills = 1 – WS&P
RT = Return of T-bills = 4%, or 0.04
BS&P = 1.0
BT = 0
After substituting the values into equation (1) & (2), we therefore have:
(i) Expected return and beta of portfolios with weights in the S&P 500 of 0 (i.e. WS&P = 0)
Using equation (1), we have:
Expected of Return of Portfolio = (0 * 0.13) + ((1 - 0) * 0.04) = 0.04, or 4%
Using equation (2), we have:
Beta of Portfolio = (0 * 1.0) + ((1 - 0) * 0) = 0
(ii) Expected return and beta of portfolios with weights in the S&P 500 of 0.25 (i.e. WS&P = 0.25)
Using equation (1), we have:
Expected of Return of Portfolio = (0.25 * 0.13) + ((1 - 0.25) * 0.04) = 0.0625, or 6.25%
Using equation (2), we have:
Beta of Portfolio = (0.25 * 1.0) + ((1 - 0.25) * 0) = 0.25
(iii) Expected return and beta of portfolios with weights in the S&P 500 of 0.50 (i.e. WS&P = 0.50)
Using equation (1), we have:
Expected of Return of Portfolio = (0.50 * 0.13) + ((1 - 0.50) * 0.04) = 0.0850, or 8.50%
Using equation (2), we have:
Beta of Portfolio = (0.50 * 1.0) + ((1 - 0.50) * 0) = 0.50
(iv) Expected return and beta of portfolios with weights in the S&P 500 of 0.75 (i.e. WS&P = 0.75)
Using equation (1), we have:
Expected of Return of Portfolio = (0.75 * 0.13) + ((1 - 0.75) * 0.04) = 0.1075, or 10.75%
Using equation (2), we have:
Beta of Portfolio = (0.75 * 1.0) + ((1 - 0.75) * 0) = 0.75
(v) Expected return and beta of portfolios with weights in the S&P 500 of 1.0 (i.e. WS&P = 1.0)
Using equation (1), we have:
Expected of Return of Portfolio = (1.0 * 0.13) + ((1 – 1.0) * 0.04) = 0.13, or 13%
Using equation (2), we have:
Beta of Portfolio = (1.0 * 1.0) + (1 – 1.0) * 0) = 1.0
b. How does expected return vary with beta? (Do not round intermediate calculations.)
There expected return will increase by the percentage of the difference between Expected Return and Risk free rate. That is;
Change in expected return = Expected Return - Risk free rate = 13% - 4% = 9% increase
TB MC Qu. 9-371 Irving Corporation makes a product with ... Irving Corporation makes a product with the following standards for direct labor and variable overhead: Standard Quantity or Hours Standard Price or Rate Standard Cost Per Unit Direct labor 0.2 hours $ 15.00 per hour $ 3.00 Variable overhead 0.2 hours $ 5.10 per hour $ 1.02 In November the company's budgeted production was 5,400 units, but the actual production was 5,200 units. The company used 1,660 direct labor-hours to produce this output. The actual variable overhead cost was $7,802. The company applies variable overhead on the basis of direct labor-hours. The variable overhead rate variance for November is:
Answer:
Variable manufacturing overhead rate variance= $664 favorable
Explanation:
Giving the following information:
Variable overhead 0.2 hours $ 5.10 per hour
The company used 1,660 direct labor-hours to produce this output. The actual variable overhead cost was $7,802.
To calculate the variable overhead rate variance, we need to use the following formula:
Variable manufacturing overhead rate variance= (standard rate - actual rate)* actual quantity
Actual rate= 7,802/1,660= $4.7
Variable manufacturing overhead rate variance= (5.1 - 4.7)*1,660
Variable manufacturing overhead rate variance= $664 favorable
Suspect Corp. issued a bond with a maturity of 30 years and a semiannual coupon rate of 6 percent 4 years ago. The bond currently sells for 95 percent of its face value. The book value of the debt issue is $45 million. In addition, the company has a second debt issue on the market, a zero coupon bond with 15 years left to maturity; the book value of this issue is $50 million and the bonds sell for 54 percent of par. The company’s tax rate is 40 percent.Required:a. What is the company’s total book value of debt?b. What is the company’s total market value of debt? c. What is your best estimate of the aftertax cost of debt?
Answer and Explanation:
The computation of each point is shown below:-
But before that we need to do the following calculations
First Issue of Bonds:
Face Value = $45,000,000
Market Value = 95% × $45,000,000
= $42,750,000
Annual Coupon Rate = 6%
Semiannual Coupon Rate = 3%
= 3% × $45,000,000
= $1,350,000
Time to Maturity = 26 years
Semiannual Period to Maturity = 52
Let semiannual YTM be i%
$42,750,000 = $1,350,000 × PVIFA(i%, 52) + $45,000,000 × PVIF(i%, 52)
N = 52
PV = -42750000
PMT = 1350000
FV = 45000000
I = 3.20%
Semiannual YTM = 3.20%
Annual YTM = 2 × 3.20%
Annual YTM = 6.40%
Before-tax Cost of Debt = 6.40%
After-tax Cost of Debt = 6.40% × (1 - 0.40)
= 3.84%
Second Issue of Bonds:
Face Value = $50,000,000
Market Value = 54% × $50,000,000
= $27,000,000
Time to Maturity = 15 years
Semiannual Period to Maturity = 30
Let semiannual YTM be i%
$27,000,000 = $50,000,000 × PVIF(i%, 30)
Using a financial calculator:
N = 30
PV = -27000000
PMT = 0
FV = 50000000
I = 2.075%
Semiannual YTM = 2.075%
Annual YTM = 2 × 2.075%
= 4.15%
Before-tax Cost of Debt = 4.15%
After-tax Cost of Debt = 4.15% × (1 - 0.40)
= 2.49%
a. The total book value of debt is
Total Book Value of Debt = $45,000,000 + $50,000,000
= $95,000,000
b. The total market value of debt is
Total Market Value of Debt = $42,750,000 + $27,000,000
= $69,750,000
c. The estimate of the aftertax cost of debt is
Weight of first Issue of Debt is
= $42,750,000 ÷ $69,750,000
= 0.6129
Weight of second issue of Debt
= $27,000,000 ÷ $69,750,000
= 0.3871
So,
Estimated After-tax Cost of Debt is
= 0.6129 × 3.84% + 0.3871 × 2.49%
= 3.32%
As a long-term investment at the beginning of the 2018 fiscal year, Florists International purchased 30% of Nursery Supplies Inc.'s 10 million shares for $58 million. The fair value and book value of the shares were the same at that time. During the year, Nursery Supplies earned net income of $30 million and distributed cash dividends of $3.00 per share. At the end of the year, the fair value of the shares is $54 million.
Required:
Prepare the appropriate journal entries from the purchase through the end of the year.
Answer and Explanation:
The Journal entry is shown below:-
1. Investment in Nursery supplies shares Dr, $58 million
To Cash $58 million
(Being purchase of shares is recorded)
2. Investment in Nursery supplies shares Dr, $9 million
To Investment revenue $9 million ($30 million × 30%)
(Being investment revenue is recorded)
3. Cash Dr, $9 million
To Investment in Nursery supplies shares $9 million
(30% × 10 million × $3.00)
(Being a cash dividend is recorded)
4. No Journal entry is required
Suppose a relative has promised to give you $1,000 as a wedding gift the day you get engaged. Assuming a constant interest rate of 5%, consider the present and future values of this gift, depending on when you become engaged. Complete the first row of the table by determining the value of the gift in one and two years if you become engaged today. Present Value Value in One Year Value in Two YearsDate Received (Dollars) (Dollars) (Dollars)Today 1,000.00 ? ?In 1 year ? 1,000.00 In 2 years ? 1,000.00Complete the first column of the table by computing the present value of the gift if you get engaged in one year or two years.The present value of the gift is _________ if you get engaged in two years than it is if you get engaged in one year.
Answer:
Date Received Present Value Value in 1 Year Value In 2 Years
today $1,000 $1,050 $1,102.50
in 1 year $952.38 $1,000 $1,050
in 2 years $907.03 $952.38 $1,000
The present value of the gift is LOWER (BY $45.35) if you get engaged in two years than it is if you get engaged in one year.
Explanation:
to determine future value:
future value = present value x (1 + interest rate)ⁿ
to determine present value:
present value = future value / (1 + interest rate)ⁿ
The following questions will test you on what you have just learned about sentence-level writing including dangling modifiers, independent and dependent clauses, and parallelism.
Identify the dangling modifier in the sentence, and choose the best revision.
When beginning the meeting, the fire alarm went off.
1. The fire alarm went off when beginning the meeting.
2. When we were beginning the meeting, the fire alarm went off
Katie reviewed the meeting minutes taking the train into Boston.
1. Katie reviewed the meeting minutes taking the train into Boston.
2. Taking the train into Boston, Katie reviewed the meeting minutes.
Identify the dependent clauses in the list below. Check all that apply
1. Unless he responds to my request in the next 24 hours
2. Therefore, she is able to reprogram the system
3. When he opened the e-mail message
Identify the independent clauses in the list below. Check all that apply.
1. During the opening speaker's presentation.
2. Meanwhile, the executive assistant printed the agenda.
3. Even though fourth quarter numbers improved.
Identify the sentence with correct parallel structure.
1. The systems analyst found that we needed to upgrade our equipment, revise our backup process, and implement better security measures.
2. The systems analyst found that we needed upgraded equipment, revised backup processes, and to implement better security measures.
Choose the best option to complete the sentence.
If you _________, you will do well in this corporation.
1. write well, speak well, and use good interpersonal skills
2. write well, speak well, and are using good interpersonal skills
Answer:
Sentence-level Writinga. Dangling Modifier:
1.
Dangling Modifier: When beginning the meeting
Best Revision: 2. When we were beginning the meeting, the fire alarm went off
2.
Dangling Modifier : taking the train into Boston
Best Revision: Taking the train into Boston, Katie reviewed the meeting minutes.
b. Identifying the dependent clauses:
1. Unless he responds to my request in the next 24 hours
3. When he opened the e-mail message
c. Identifying the independent clauses:
2. Meanwhile, the executive assistant printed the agenda.
d. Identifying the sentence with the correct parallel structure:
1. The systems analyst found that we needed to upgrade our equipment, revise our backup process, and implement better security measures.
e. Best option to complete the sentence:
If you _________, you will do well in this corporation.
1. write well, speak well, and use good interpersonal skills
Explanation:
a. A phrase or clause that is not directly related to the word or words it modifies is called a dangling modifier. Usually, the word a dangling modifier modifies may be absent from the sentence. An example is "when beginning the meeting." The word it modifies may be "we" as in "When we were beginning the meeting, the fire alarm went off."
b. A clause which cannot make a complete sense or sentence is called a dependent clause. It requires another clause to make a complete sense. The clause that makes a complete a complete sentence and can stand alone without another clause is an independent clause.
c. A sentence that has grammatical structure which is balanced is said to have parallelism. This can also be called parallel structure or construction. This means that the items listed follow similar pattern that rhyme with one another. Let us revise the sentence with the wrong parallel structure in this case so as to make it become a parallelism: "The systems analyst found that we needed upgraded equipment, revised backup processes, and better implemented security measures." By this revision, the wrong parallel sentence now has a well-structured parallelism.
A dangling modifier is a phrase or sentence that has no direct connection to the word or words it modifies. The correct options for the dangling modifier are When beginning the meeting and taking the train into Boston, and the correct options for the independent clause are Unless he responds to my request in the next 24 hours, and When he opened the e-mail message.
1.
Dangling Modifier: When beginning the meeting
Best Revision: 2. When we were beginning the meeting, the fire alarm went off
2.
Dangling Modifier: taking the train into Boston
Best Revision: Taking the train into Boston, Katie reviewed the meeting minutes.
b. Identifying the dependent clauses:
1. Unless he responds to my request in the next 24 hours
3. When he opened the e-mail message.
The term that a dangling modifier usually modifies may not even be present in the phrase. An illustration might be "when the meeting starts." The word it modifies can be "we," as in "The fire alarm went off as we were starting the meeting."
A dependent clause is a clause that cannot be used to finish a sentence or make sense on its own. For it to make sense, another sentence is necessary. An independent clause is one that can stand alone without the help of another clause and completes a complete sentence.
Learn more about dependent clauses here:
https://brainly.com/question/1838303
#SPJ6
True or False:
Transactions that result in significant investing and financing activities bu that do not involve cash are reported either directly after the statement of cash flows or in a note to the financial statements
Answer: True
Explanation:
Transactions that do not increase or decrease cash, but that result in significant investing and financing activities, are reported as noncash activities either directly after the cash flow statement or in a note to the financial statements.
It is true that In cash-flow statement, any transaction that do not involve cash are reported directly after the statement or in a note to the financial statements
Non-cash activities includes depreciation amortization, unrealized gain, unrealized loss etc
In accounting, non-cash investing or financing activities are required to be disclosed in the footnotes to the financial statements or within the cash flow statement.
Therefore, It is true that In cash-flow statement, any transaction that do not involve cash are reported directly after the statement or in a note to the financial statements.
Read more about Non-cash activities here
brainly.com/question/16200596
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
Upon starting her new position, Brenda is given a _______ that details the tasks, duties, and responsibilities considered a part of her position.
Answer:
The answer is job description (JD).
Explanation:
The job description is the summary of tasks, duties, and responsibilities for a particular position. The job description also includes the requirements for the position holder. In some cases, it may details the reporting line, compensation and benefits regarding to the job.
A project has estimated annual net cash flows of $56,600. It is estimated to cost $339,600.
Required:
Determine the cash payback period.
Answer:
It will take exactly 6 full years to cover for the initial investment.
Explanation:
Giving the following information:
Cash flow= $56,600
Initial investment= 339,600
The payback period is the time required for the cash flow to cover the initial investment:
Year 1= 56,600 - 339,600= -283,000
Year 2= 56,600 - 283,000= -226,400
Year 3= 56,600 - 226,400= -169,800
Year 4= 56,600 - 169,800= -113,200
Year 5= 56,600 - 113,200= -56,600
Year 6= 56,600 - 56,600= 0
It will take exactly 6 full years to cover for the initial investment.
The FREC is investigating a claim by a buyer that the broker had not given the proper disclosure to the buyer before the buyer purchased a home. The broker has paperwork dating back three years from the date of the signing of the document in question, and one year after the legal action of the case. Is the broker protected?
Answer:
No
Explanation:
The Florida Real Estate Commission was constituted in 1926. Members are appointed by the Governor.
The aim of FREC is to protect ye public from bad practices by brokers. They have the authority to impose disciplinary action on lisensees.
According to requirement of the FREC the broker is required to keep records of transactions 5 years after the transaction occurred and 2 years after any legal action.
In this case the broker kept his records 3 years after the transaction and 1 year after legal action.
So he is not protected from disciplinary action by the FREC
A location decision for a traditional department store (e.g., Macy's) would tend to have what type of focus? revenue focus environmental focus labor focus education focus cost focus
Answer: revenue focus
Explanation:
A location decision for a traditional department store (e.g., Macy's) would tend to have revenue focus. For every organization or company, revenue plays a vital role in the organization.
A traditional department store will shift its focus to a location whereby it can meet the needs of the people daily and generate as much revenue as possible.
Granger Inc. Comparative Balance Sheets December 31
Assets 2017 2016
Cash $80,800 $48,400
Accounts receivable 87,800 38,000
Inventory 112,500 102,850
Prepaid expenses 28,400 26,000
Long-term investments 138,000 109,000
Plant assets 285,000 242,500
Accumulated depreciation (50,000) (52,000)
Total $682,500 $514,750
Liabilities and Stockholders' Equity
Accounts payable $102,000 $67,300
Accrued expenses payable 16,500 21,000
Bonds payable 110,000 146,000
Common stock 220,000 175,000
Retained earnings 234,000 105,450
Total $682,500 $514,750
Granger Inc. Income Statement Data For the Year Ended December 31, 2017
Sales revenue $388,460
Less:
Cost of goods sold $135,460
Operating expenses, excluding depreciation 12,410
Depreciation expense 46,500
Income tax expense 27,280
Interest expense 4,730
Loss on disposal of plant assets 7,500 233,880
Net income $154,580
Additional information:
1. New plant assets costing $90,000 were purchased for cash during the year.
2. Old plant assets having an original cost of $51,750 and accumulated depreciation of $43,650 were sold for $1,350 cash.
3. Bonds payable matured and were paid off at face value for cash.
4. A cash dividend of $23,427 was declared and paid during the year.
Required:
Prepare a statement of cash flows for Granger Inc. using the direct method.
Answer:
GRANGER INC.
STATEMENT OF CASH FLOWS (USING INDIRECT METHOD)
FOR THE YEAR ENDED DECEMBER 31, 2017
Particulars Amount$
Cash flow from operating activities
Net Income 154,580
Adjustments to reconcile net income to net cash
provided by operating activities
Adjustment for non cash effects
Depreciation expense 46,500
Loss on sale of plant assets 7,500
Change in operating assets & liabilities
Increase in Accounts receivable -49,800
Increase in inventory -9,650
Increase in prepaid expenses -2,400
Increase in accounts payable 34,700
Decrease in accrued expenses payable -4,500
Net cash flow from operating activities (a) 176,930
Cash Flow from Investing activities
Old Plant assets sold 1,350
New plant assets purchased -90,000
Long-term investments purchased -29,000
Net cash Flow from Investing activities (b) -117,650
Cash Flow from Financing activities
Cash dividends paid -23,427
Common stock issued 45,000
Bonds paid -36,000
Net cash Flow from Financing activities (c) -14,427
Net Change in cash c=a+b+c 44,853
Add: Beginning cash balance 48,400
Closing cash balance 93,253
Investment companies or mutual funds that continue to sell and repurchase shares after their initial public offerings are referred to as
Answer:
Open end
Explanation:
Open end otherwise known as mutual fund are those investments offered through fund companies which sells shares directly to investors. In an open end fund investment, there is no limit to the number of shares that can be offered therein. The shares traded are unlimited which means that shares can be issued in as much can be backed up with funds.
The prices for open end funds are fixed once daily which shows the performance of the investment for that day hence the only price at which investment shares can be bought for that day.
Imagine that Eveready has developed solar rechargeable batteries that cost only slightly more to produce than the rechargeable batteries currently available. These solar batteries can be recharged by sunlight up to five times, after which they are to be discarded. Unfortunately, the production process cannot be patented, so competitors could enter the market within a year. Which of the following is the best description of the product life cycle of this product?
A. Long, level beginning, and rapid ascent.B. High initial sales followed by slow decline.C. High introductory sales followed by rapid decline.D. Rapid growth followed by rapid decline.E. Moderately slow introduction, followed by modest growth, gradually leveling off.
Answer:
adshgddfxxxxxxsdccxasss
Explanation:
a
Long, level beginning, and rapid ascent is the best description of the product life cycle of this product. Thus, option (a) is correct.
What is product?
The thing being sold is called a “product.” A product and service market foundation. Items are divided into two categories: industrial products and consumer products. The product is to fulfill the needs of the consumer. There was the based on the commonly are the rules in the government to follow the product management.
Product life-cycle administration is the succession of tactics implemented by company management as a product progresses through its life-cycle. The circumstances under which a product is marketed evolve over time and must be handled as it progresses through its stages. Many products are still in a mature condition.
As a result, the long, level beginning, and rapid ascent is the best description of the product life cycle of this product.
Learn more about on product, here:
https://brainly.com/question/22852400
#SPJ5
According to the World Banks's world development indicators, real gross domestic product (GDP) in sub-Saharan Africa in 2015 was about $1.65 trillion . What percentage of sub-Saharan Africa's real GDP is the E.U. emergency trust fund
Answer:
0.12%
Explanation:
According to the given situation, the computation of E.U. emergency trust fund as a percentage of sub-Saharan GDP is shown below:-
E.U. emergency trust fund as a percentage of sub-Saharan GDP is
= (Amount of Plans ÷ Real gross domestic product) × 100
= (2 billion ÷ 1.65 trillion) × 100
= 0.12%
Therefore for computing the E.U. emergency trust fund as a percentage of sub-Saharan GDP we simply applied the above formula.
Company expects to sell units of finished product in and units in . The company has units on hand on 1 and desires to have an ending inventory equal to % of the next month's sales. sales are expected to be units. Prepare 's production budget for and .
Complete Question:
Yasmin Company expects to sell 1,900 units of finished product in January and 2,250 units in February. The company has 270 units on hand on 1st January and desires to have an ending inventory equal to 20% of the next month's sales. March sales are expected to be 2,350 units. Prepare Yasmin's production budget for January and February.
Answer:
680 Units for January and 250 units for February.
Explanation:
Production Budget can be calculated using the following formula:
Production Budget = Expected Sales + Desired Ending Inventory Units - Opening Inventory
The formula is reflected in a tabular form below:
Production Budget For Yasmin Incorporation
January February
Expected Future Sales (Unit) 900 250
Add: Desired Ending Inventory Units 50 70
Less: Openning Inventory Units 270 70
Production Units 680 250
What is the value of a perpetuity that pays $100 every 3 months forever? The interest rate quoted on an APR basis is 6%.
Answer:
$6,666.67
Explanation:
According to the given situation, the computation of the value of a perpetuity is shown below:-
Value of Perpetuity = Quarterly Payment ÷ Quarterly Interest Rate
Now, we will put the values into the above formula to reach the value of a perpetuity
= $100 ÷ (6% ÷ 4)
= $100 ÷ 0.0150
= $6,666.67
Therefore for computing the value of perpetuity we simply applied the above formula.
