The increases in projected government deficits and debt cause a) Interest rates are expected to rise, increasing interest payments on the debt.
The deficit came because the government increased government spending and cut tax rates as the economy saw people's purchasing power decline and high unemployment. In these situations, spending needs are actually increasing
Possible solutions to address the problem of increasing government deficits and debt include:
Increased immigration of young, able-bodied workers to offset the aging population. Benefit cuts to reduce the cost of benefit programs. A low-interest rate policy by the Fed, so that interest payments stay low. Tax increases to generate more revenue.Learn more about deficit financing: brainly.in/question/6090131
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Assume that the United States economy is currently in long-run equilibrium. a. Draw a correctly labeled graph of aggregate demand and aggregate supply and show each of the following. i. The long-run aggregate supply curve ii. The current equilibrium output and price levels, labeled asYEandPLE, respectively b. Assume that the government increases spending on national defense without raising taxes. i. On your graph in part (a), show how the government action affects aggregate demand. ii. How will this government action affect the unemployment rate in the short run? Explain. c. Assume that the economy adjusts to a new long-run equilibrium after the increase in government spending. 1. How will the short-run aggregate supply curve in the new long-run equilibrium compare with that in the initial long-run equilibrium in part (a) ? Explain. ii. On your graph in part (a), label the new long-run equilibrium price level as PL2.
In the following question, among the conditions given in long-run equilibrium, PLE is the equilibrium price level and YE is the equilibrium level of output. It will cause the firms to hire more workers, as well as the output of goods and services to increase.
a) i) The following graph shows the long-run aggregate supply curve and the aggregate demand curve: Figure: AD and AS curves in long-run equilibrium. Where PLE is the equilibrium price level and YE is the equilibrium level of output.
ii) The current equilibrium price level is PLE and the equilibrium output level is YE.
b) i) Figure: Effect on aggregate demand. Since the government increases defence spending without raising taxes, aggregate demand shifts from AD1 to AD2.
ii) In the short run, the unemployment rate will be lower due to the increase in government spending. It will cause the firms to hire more workers, as well as the output of goods and services to increase.
c) i) Initially, the economy was at the intersection of AD1 and LRAS, which resulted in PLE and YE. The increase in defence spending will cause the aggregate demand to shift rightward, as shown in the figure. As a result, the economy moves from point A to point B, resulting in the intersection of AD2 and the initial LRAS. The short-run aggregate supply curve in the new long-run equilibrium is similar to the short-run aggregate supply curve in the initial long-run equilibrium. Both curves are represented by the LRAS.
ii) The new long-run equilibrium price level is PL2. Figure: Effect on the long-run equilibrium. The equilibrium point shifts from point A to point B.
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Direct labor was used in production; to be paid next month. Which of the following entries would be used to record this event?
a. Debit Work in Process and credit Salaries and Wages Payable.
b. Debit Work in Process, debit Manufacturing Overhead, and credit Direct Labor.
c. Debit Work in Process, debit Manufacturing Overhead, and credit Salaries and Wages Payable.
d. Debit Manufacturing Overhead and credit Salaries and Wages Payable.
c. Debit Work in Process, debit Manufacturing
Option C would be used to record the event of direct labor being used in production, as it involves "debiting Work in Process and Manufacturing Overhead while crediting Salaries and Wages Payable."
All are used to account for the cost of labor to be paid next month.
This entry recognizes the cost of labor as a component of the cost of goods produced, which is recorded in the Work in Process account, while also accounting for the indirect costs associated with production in the Manufacturing Overhead account.
The Salaries and Wages Payable account is credited to indicate that payment for the labor will be made in the future, as it has not yet been incurred.
Option C is the most appropriate choice as it correctly recognizes the use of direct labor in production and accounts for it in the appropriate accounts. Debiting the Work in Process account reflects the cost of labor as a component of the cost of goods produced, while debiting the Manufacturing Overhead account accounts for indirect costs associated with production.
Finally, crediting the Salaries and Wages Payable account indicates that payment for the labor will be made in the future, and that the cost has not yet been incurred.
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What do you think is the main economic reason why businesses grow and fail and why?
MUST BE WRITTEN IN COMPLETE HIGH SCHOOL LEVEL SENTENCES (at least 5 sentences)
Answer:
Businesses grow and fail for a variety of economic reasons, but one of the main reasons why businesses grow is due to economies of scale. As a business grows, it can produce more goods or services at a lower cost per unit, which allows it to be more competitive and profitable. Additionally, businesses may also grow by expanding into new markets, increasing their customer base, and diversifying their products or services.
On the other hand, one of the main reasons why businesses fail is due to a lack of financial management. Businesses need to carefully manage their finances to ensure they have enough cash flow to operate and to invest in growth opportunities. If a business has poor financial management, it may not be able to pay its bills or debts, which can lead to bankruptcy.
Another reason why businesses fail is due to changes in the market or industry. Technology, competition, and consumer preferences can all change quickly, and businesses that fail to adapt may lose market share or become irrelevant. Finally, businesses may also fail due to poor management or leadership, which can result in a lack of strategic direction, low employee morale, and inefficient operations.
Answer:
One of the main economic reasons why businesses grow is the desire for increased profits. As businesses expand, they can take advantage of economies of scale, which allows them to produce goods and services more efficiently and at a lower cost. This can result in higher profits for the business. However, growth can also lead to increased competition, which can make it harder for businesses to maintain their market share and profitability.
On the other hand, businesses can fail due to a variety of factors. One major reason is poor financial management, including overspending, poor cash flow management, and failing to plan for the future. Additionally, businesses can fail if they don't offer a product or service that customers want or need. Finally, external factors such as changes in the economy or regulatory environment can also contribute to business failure.
Use the accompanying list to answer the 4 questions below. a. Improvements in technology. b. Increases in the supply (stock) of capital goods. c. Purchases of expanding output. d. Obtaining the optimal combination of goods, each at least-cost production e. Increases in the quantity and quality of natural resources. f. Increases in the quantity and quality of human resources. 1. As distinct from the demand and efficiency factors of economic growth, the supply factors of economic growth are: ____, ____, _____, and ____ only.
Increases creases in the supply of capital goods, improvements in technology, increases in the quantity and quality of natural resources, and increases in the quantity and quality of human resources only.
The supply factors of economic growth are improvements in technology, increases in the supply of capital goods, increases in the quantity and quality of natural resources, and increases in the quantity and quality of human resources.
Economic groth refers to a situation where an economy's output is growing in size or capacity. There are two primary factors that contribute to economic growth: supply and demand factors.
Therefore, the answer is Improvements in technology, Increases in the supply (stock) of capital goods, Increases in the quantity and quality of natural resources, and Increases in the quantity and quality of human resources.
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suppose charlie encountered resistance to his plans to improve contingency planning. what appeals could he use to sway opinions toward improved business contingency planning?
Charlie can use several appeals to sway opinions toward improved business contingency planning. The appeals he can use include appeals to self-interest, appeals to ethics, appeals to authority, appeals to emotion, and appeals to logic.
Appeals to sway opinionsAppeals to self-interest: Charlie can persuade people to support improved business contingency planning by convincing them that it will benefit them in the long run. He can argue that it will help the company save money, reduce downtime, and prevent losses due to unexpected events. Charlie can also highlight how improved contingency planning can increase job security and stability.
Appeals to ethics: Charlie can make a moral argument that improved business contingency planning is the right thing to do. He can appeal to the company's values and ethics, arguing that it is the company's responsibility to be prepared for unexpected events that may harm the business. He can also emphasize the impact that a lack of contingency planning can have on customers, employees, and other stakeholders.
Appeals to authority: Charlie can appeal to authority by using examples of other companies or industry leaders who have implemented successful contingency plans. He can also cite industry standards, regulations, or guidelines that support the need for improved contingency planning. By doing this, he can show that contingency planning is not only important but also a standard practice in the industry.
Appeals to emotion: Charlie can appeal to the emotions of the people he is trying to persuade. He can use stories, examples, or images that evoke feelings of fear, uncertainty, or loss to show the importance of contingency planning. He can also appeal to their sense of pride or accomplishment by highlighting how their contribution to contingency planning can make a difference.
Appeals to logic: Charlie can appeal to the logic of the people he is trying to persuade by presenting data, facts, and evidence that support the need for improved contingency planning. He can use statistics, case studies, and other analytical tools to show the potential costs and benefits of contingency planning.
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Use your knowledge of contemporary situational leadership theory to choose the word or phrase that best describes the situation.a. If your leader allows you to share in decision-making responsibility, which leadership style will he or she use?b. Delegate stylec. Selling styled. Participating stylee. Storytelling style
The word or phrase that best describes the situation where the leader allows the team to share in decision-making responsibility is "Participating style." Option D is correct.
What is situational leadership?Situational leadership is a leadership model that focuses on adapting one's leadership style to meet the needs of their team members in various scenarios. It is a leadership strategy that involves adapting a leadership style based on the person or group's requirements to whom you are leading.
The three main components of situational leadership are:
Directive behaviorSupportive behaviorFollower readinessIn the Situational Leadership Theory, a leader is needed to change the management style as per the situation. The following are the four different styles of situational leadership:
Directing styleCoaching styleSupporting styleDelegating style.Which leadership style will he or she use?If the leader allows the team members to share in decision-making responsibility, then he/she will use the Participating style of leadership. In this leadership style, the leader gives some responsibility to the team members to share their views, thoughts and provide them with the opportunity to participate in decision-making.
The following are the key features of the Participating style:
Involving team members in decision-making.Encouraging open communication and active listening.Demonstrating mutual respect and trust in team members.Soliciting feedback from team members.Encouraging collaborative work.Creating a supportive and empowering work environment.Learn more about leadership style https://brainly.com/question/29570619
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Does the efficient markets hypothesis imply that the average investor will not earn anything by purchasing stock?
A) Yes, the efficient markets hypothesis implies that the best that the average investor can do is break even.
B) Yes, the efficient markets hypothesis implies that stock purchases are extremely risky and that the average investor has no hope of recovering any loss.
C) No, the efficient market hypothesis implies that the average investor should not expect to receive abnormally high returns on a consistent basis.
D) No, the efficient market hypothesis implies that the investor will consistently earn abnormally high returns by purchasing stock.
No, the efficient markets hypothesis does not imply that the average investor will earn anything by purchasing stock.
The efficient markets hypothesis states that the markets are efficient and that asset prices reflect all available information. As a result, stock prices reflect the collective expectations of investors, so it is not possible to consistently earn abnormally high returns by investing in the markets. The hypothesis implies that the best an average investor can do is to break even, as the market prices are usually in line with the investors’ expectations.
However, it is possible for investors to make money by buying stock. By researching the markets and individual companies and evaluating the potential risks, investors can make more informed decisions and possibly earn a return higher than the market average. But to do so requires a great deal of knowledge and understanding of the markets and investing.
In conclusion, the efficient markets hypothesis does not imply that the average investor will earn anything by purchasing stock. While it is possible for investors to make money by researching and making informed decisions, the markets are too efficient to make abnormally high returns consistently.
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how total costs changes as some level of activity changes is called cost
Cost behaviour describes the shift in overall costs as a function of variations in activity level. It is how expenses adjust in response to shifts in production or sales volume.
Cost behaviour describes the shift in overall costs as a function of variations in activity level. That's the Cost behaviour describes how variations in an organization's level of activity affect its overall expenses. In other terms, it refers to the connection between activities and expenses. Activity might relate to the quantity produced, the volume of sales, or any other cost-influencing aspect. For organisations to make educated choices regarding pricing, budgeting, and resource allocation, they must have a solid understanding of cost behaviour. For instance, a business could have variable expenses that change according to the degree of activity and fixed costs that are always the same.
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the following information is available for fenton manufacturing company at june 30: cash in bank account $ 6,955 inventory of postage stamps $ 79 bank account balance $ 12,900 petty cash balance $ 400 nsf checks from customers returned by bank $ 917 accounts payable $ 516 cash in register $ 757 a certificate of deposit maturing in five years $ 8,500 based on this information, fenton manufacturing company should report cash and cash equivalents on june 30 of:
The cash balance including cash and cash equivalents that must be reported on June 30 by Fenton Manufacturing Company in the register would be $21,012.
Cash in bank account $6,955, bank account balance $12,900, petty cash balance $400, cash in register $757, NSF checks from customers returned by bank $917.
Cash and cash equivalents are those assets that are readily convertible to cash and have a maturity period of fewer than three months.
The following are considered cash and cash equivalents: Cash in the bank account ($6,955), bank balance ($12,900), petty cash balance ($400), and cash in the register ($757). Cash and cash equivalents = $6,955 + $12,900 + $400 + $757= $21,012.
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The firm and ______ are synonymous in pure monopolyregulatedeconomies of scaleindustry
The firm and the industry are synonymous in pure monopoly regulated economies of scale.
A pure monopoly can be referred to or considered as the economies of scale wherein a firm is as good as the industry, because it is the solitary firm, and whole forming part of the industry. Thus, they tend to become synonymous in such situations wherein the economies of scale is in the favor of the monopolies. As a result, it becomes important for the firms under pure monopoly to operate in a manner that is likely in their individual favor.
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Complete question
The firm and ______ are synonymous in pure monopoly-regulated economies of scale.
Requiring approval of customers' credit history, reviewing the age of past due accounts and rewarding speedy collections are examples of controls over ______.
accounts receivable
Accounts receivable is an important asset of a company, and it is critical to monitor and control it. As a result, accounts receivable management is a critical component of every company's financial management.
A set of controls are needed for accounts receivable management to be successful. These controls include the approval of customers' credit history, reviewing the age of past due accounts, and rewarding speedy collections. These controls are essential for the following reasons: Approving customer's credit history: Before agreeing to extend credit to a customer, it is critical to examine their credit history. If a customer has a poor credit history, extending credit to them may result in losses for the company.Reviewing the age of past due accounts: It is critical to review the age of past due accounts regularly to ensure that the company is not losing money due to unpaid debts. Accounts that are overdue for a prolonged period should be dealt with swiftly.Rewarding speedy collections: Offering incentives to customers who pay their accounts promptly can encourage them to pay their accounts quickly. Early payment benefits can include discounts, free shipping, and other benefits. The sooner accounts receivable are paid, the healthier a company's cash flow will be.Accounts receivable is an important component of a company's financial management. To keep it under control, a set of controls are required. These controls include the approval of customer's credit history, reviewing the age of past due accounts, and rewarding speedy collections.
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the four basic financial statements are the income statement, statement of retained earnings, balance sheet, and statement of cash flows. group of answer choices true false
True, the four basic financial statements are the income statement, statement of retained earnings, balance sheet, and statement of cash flows. These documents provide a comprehensive picture of a company's financial position, activities, and profitability.
What are financial statements?Financial statements are critical files that offer perception right into a company's economic performance. It includes four key types of financial statements: income statement, statement of retained earnings, balance sheet, and statement of cash flows.
An income statement reports a company's revenue and expenses over a particular period of time. The income statement reveals how much money the company generated and how much it spent on a specific activity.
The income statement helps stakeholders assess a company's profitability and ability to pay dividends.
A balance sheet provides a company's financial position at a particular point in time. The balance sheet provides information about a company's assets, liabilities, and equity.
The statement of cash flows reports a company's cash flow over a particular period. It provides information about the cash generated and spent by the company during a specific period. The statement of cash flows helps stakeholders assess a company's liquidity and ability to generate cash flow.
Hence the statement is true.
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a family has decided to go away for the summer. the monthly mortgage payment on the family's house is $1,000. water, electricity, natural gas, and maintenance bills, to be paid by the family, will be $700 per month if the house is occupied and zero otherwise. if the family wishes to minimize losses from being away, it should rent the house for as much as the market will bear, as long as the monthly rent is above which of the following? (assume wear and tear to be the same whether or not the house is occupied.)
If the family wants to reduce the losses incurred while they are abroad, they should rent the property for whatever the market will bear, provided that the monthly rent is $700.
How do mortgages work and what exactly is one?Your lender will provide you money to buy the property if you are granted a mortgage. You agree to make only interest payments against the principle of your loan over time. The lender will continue to have a claim on the home as long as the mortgage is not fully repaid.
What is covered by a mortgage payment each month?Taxes, insurance, loan principle, and loan interest normally make up the first four components of your monthly mortgage payment. If you've never purchased a house before, you might be startled to learn how many different elements go into a mortgage payment. By combining these expenses into a one monthly payment, your lender simplifies things for you.
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what is the best description of linkedin? multiple choice a place to debate common issues in business a site to share visuals that are related to your career a website for a network of professional contacts a social media site for old friends a job posting board
LinkedIn is a website for a network of professional contacts.
It is designed to help people connect with potential employers and recruiters, find career opportunities, and network with other professionals in the same industry.
LinkedIn also allows users to share visuals related to their careers, such as a portfolio or images of their work. Additionally, it offers a platform for people to post job openings and discuss common issues in business.
Ultimately, LinkedIn is the premier social networking site for professionals to build meaningful connections.
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an agent is not required to keep which of the following information confidential? a. customer lists b. business plans c. unique business methods d. information that his or her principal is engaged in criminal activity
Answer: The answer is D. Information that his or her principal is engaged in criminal activity. Agents are not obligated to keep information confidential if it is related to criminal activity.
Explanation: An agent is an individual who has been appointed to act on behalf of someone else in business transactions or other legal matters. They are sometimes referred to as power-of-attorney or attorney-in-fact, and they are normally required to maintain the confidentiality of the principal's affairs.
It is the agent's responsibility to ensure that any confidential data shared with them by their principal or client is kept private and is only shared with people who are authorized to receive it.
Agents, on the other hand, do not have a duty of confidentiality with regards to information that their principal is engaged in criminal activity, as this information may be reported to the authorities if necessary.
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ms. ray is age 46 and single. this year, mr. ray's retirement savings included a $2,720 employer contribution to a qualified profit-sharing plan account, and a contribution by ms. ray to a traditional ira. mr. ray contributed the maximum allowed. required:
a. compute ms. ray's ira deduction if current year income includes $57,100 salary. b. compute ms. ray's ira deduction if current year income includes $71,350 salary. c. compute ms. ray's ira deduction if current year income includes $71,350 salary and $7,630 dividend income.
Compute Ms. Ray's IRA deduction if the current year income includes $57,100 salary.The maximum IRA contribution allowed for tax deduction in 2020 for those under the age of 50 was $6,000. The maximum amount deductible was phased out between certain income limits.
Ms. Ray's income from salary: $57,100Ms. Ray contributed the maximum allowed to a traditional IRA: $6,000Ms. Ray's MAGI (Modified Adjusted Gross Income) for this deduction is:$57,100 − $6,000 = $51,100The maximum amount of Ms. Ray's deduction is: $6,000.Ms. Ray's deduction is gradually phased out between $32,000 and $42,000. Since her income of $51,100 exceeds this range, her maximum contribution is phased out by $9,100 ($51,100 - $32,000).The amount of Ms. Ray's allowable IRA deduction is: $6,000 - ($9,100/15,000) × $6,000= $6,000 - $3,660= $2,340.b) Compute Ms. Ray's IRA deduction if the current year income includes $71,350 salary. For this scenario, Ms. Ray's income is over the threshold and she is not qualified for the traditional IRA deduction. Therefore, Ms. Ray's IRA deduction is zero.c) Compute Ms. Ray's IRA deduction if the current year income includes $71,350 salary and $7,630 dividend income.Ms. Ray's total income is: $71,350 + $7,630= $79,980. Her contribution of $6,000 is greater than her maximum allowable deduction of $2,340 as her income exceeds the $65,000 phase-out limit.The amount of Ms. Ray's allowable IRA deduction is:$2,340 - (($79,980 - $65,000)/$10,000) × ($2,340)= $2,340 - ($1,498 / $10,000) × ($2,340)= $2,340 - $0.35 × $2,340= $2,340 - $819= $1,521. Therefore, Ms. Ray's IRA deduction if the current year income includes $71,350 salary and $7,630 dividend income is $1,521.
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2. What does a SWOT analysis of Panera Bread reveal about the overall attractiveness of its situation? Doesthe company have any core competencies or distinctive competencies?3. What are the primary components of Panera Bread
In the following question, among the various parts to solve- 2- Panera Bread does have core competencies in providing fresh, high-quality food, and its distinctive competencies include its efficient online ordering system and strong customer loyalty. 3- its menu items.
2. A SWOT analysis of Panera Bread reveals that its strengths include its reputation as a high-quality provider of healthy, freshly-prepared meals; its efficient online ordering system; and its strong brand loyalty. Its weaknesses include its limited product offerings, its small store footprint, and its low-value pricing strategy. Its opportunities include growth through expansion, developing new products and services, and improving its customer service. Its threats include rising costs of raw materials and competition from fast food restaurants. Panera Bread does have core competencies in providing fresh, high-quality food, and its distinctive competencies include its efficient online ordering system and strong customer loyalty.
3. The primary components of Panera Bread are its menu items, which include breads, pastries, salads, soups, sandwiches, and beverages; its online ordering system; its store footprint; its customer service; and its pricing strategy.
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workflow structures processes so work proceeds in the most __________ order.
Workflow structures processes so work proceeds in the most efficient order.
The activities in the process and the transitions between them determine the structure of a workflow process. As a result, a workflow is a Graph with activities as vertices. Arcs serve as transitions (the graph that is formed by a workflow can be viewed by using the Visualize Workflow Process feature in the Process Definition Tool).
The graph formed by a process must meet certain criteria in order for the workflow engine to successfully interpret and run it. These criteria are presented in the section under two main headings: Graph Structure and Block Structure.
When creating process definitions, workflow designers should be aware of certain structural rules. When a Cram workflow process is validated, the validations determine whether the process structure conforms to these rules.
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The table below shows monetary assets for a banking sector at the end of a year.Monetary AssetsValue (in millions)Monetary Base$4,000$4,000Currency in Circulation$1,500$1,500M1$6,500$6,500Based on the data provided, what is the value of total reserves held by depository institutions?A. $500 millionB. $1,500 millionC. $2,500 millionD. $5,500 millionE. $8,000 million
Depository institutions currently hold reserves of $2,500,000,000. The correct response is (C) $2,5 billion.
The opportunity cost of keeping currency is measured by which of the following?The interest rate is a metric for evaluating the potential of retaining currency. Hence the benefit lost by choosing one alternative over others is known as the opportunity cost.
The difference between the monetary base and the amount of money in circulation can be used to determine the value of the total reserves held by depository institutions:Total Reserves = Monetary Base - Currency in Circulation
Total Reserves = $4,000 million - $1,500 million
Total Reserves = $2,500 million
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margot's organization encourages its members to be proud of their affiliation with the organization and to work together to achieve its goals. this shows the globe project's cultural dimension of
Margot's organization encourages its members to be proud of their affiliation with the organization and to work together to achieve its goals.
This is an example of the cultural dimension of the Globe Project, which seeks to promote a sense of collective identity, social responsibility, and collaboration amongst its members.
It emphasizes the importance of valuing cultural diversity and understanding the impact of cultural differences on organizational performance.
This helps to create a cohesive and unified culture that can drive the organization towards its desired outcomes.
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Which of the following statement is the best regarding JIT?I. It is a philosophy that relates to the way in which a manufacturing company organizes and operate its business.II. It is a set of techniques to make manufacturing more productive.III. It is concerned with adding value to the product. 14.00 stion Select one:A. all the above are trueB. only I and II are trueC. only I and III are trueD. only II and Ill are true
The phrase "a theory that relates to the method in which a manufacturing organisation organises and manages its business" best sums up JIT (Just-In-Time). As a result, only assertion I is accurate.
What is the just in time (JIT) systems' guiding principle?JIT manufacturing is a strategy built on decreasing waste, increasing overall quality control, and lowering manufacturing costs. JIT's key goal is to produce the appropriate amount of product at the appropriate time and location while keeping a small amount of work-in-process and finished work in stock.
What does the term "just" in JIT manufacturing mean?A production strategy known as "just-in-time manufacturing" (JIT manufacturing) relies on the idea that goods should only be produced when they are actually needed.
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bao is a member of a project team that is responsible for conceiving, designing, and implementing an innovative new product for her company. the team includes specialists from various divisions, such as the technology division, marketing division, and sales division. this project team is an example of a
As the team includes specialists from various divisions, such as the technology division, marketing division, and sales division. This project team is an example of a product-development team.
What is the role of product-development team?The entire process of transforming an idea into a lovable product is referred to as product development. It includes capturing raw concepts, prioritizing what to build, iterating, and measuring success.
Product development teams are in charge of understanding customer needs, developing new products, and bringing them to market. Aside from deciding what to build, they must communicate the benefits and measure the product's performance — both of which are critical responsibilities in any business. The ultimate goal is to provide value to customers while also supporting the business.
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the acme paper company lowers its price of envelopes (1,000 count) from $6 to $5.40. if its sales increase by 20 percent following the price decrease, what is the elasticity coefficient?
The elasticity coefficient for the price decrease is 2.0.
How to calculateThe elasticity coefficient for the Acme Paper Company's price decrease from $6 to $5.40 for 1,000 count envelopes can be calculated using the following formula:
Elasticity = (% Change in Quantity / % Change in Price) = (20% / 10%) = 2.0.
Therefore, the elasticity coefficient for the price decrease is 2.0.
Price elasticity is simply percentage change in quantity demanded divided by percentage change in price of goods and service.
The formula for calculating price elasticity is as following;
Ep= % change in quantity demanded(Q) / % change in price(P)
Example: Price Elasticity Where Ep represents elasticity coefficient, %Q shows change in quantity demanded, and %P represents change in price of particular goods and services.
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Question 1Share ValuationThe board of Santova Ltd is exploring ways to expand the number of shares outstanding in an effort to reduce themarket price per share to a level that the firm considers more appealing to investors.
The options under consideration are a 20% stock dividend and, alternatively, a 5-for-4 stock split. At the same time, the firm’s equity account and other per-share information are as follows:
Preferred stock0Common stock ( 100,000 shares at R1 par)100000Paid-in capital in excess of par900000
Retained earnings700000Total stockholders' equity1700000Share priceR30EPSR3,60DPSR1,08P/ER8,33a)
Show the effects on the equity account, EPS and P/E ratio of a 20% of a stock dividend.
After stock 20% dividendPreferred stockCommon stock ( )[2]Paid-in capital in excess of par[2]Retained earnings[2]Total stockholders' equity0[2]Change in price[1]Net Income[1]Change in EPS[1]b) Show the effect on the equity accounts, EPS and P/E ratio of a 5-for-4 stock split.
After 5-for-4 stock splitPreferred stockCommon stock ( )[2]Paid-in capital in excess of par[2]Retained earnings[2]Total stockholders' equity0[2]Change in price[1]Change in EPS[1]Change in the number of Outstanding shares.
The effects on the equity account, EPS and P/E ratio of a 20% of a stock dividend is represented
common stock = 120,000. Paid-in capital in excess of par account after the dividend
= 580,000. Revised balance = 1480,000.
Total stockholders’ equity is equals to 17,000,000.
Change in price is decrease by $ 5.
The earnings per share (EPS) after the dividend is equals to the 3.
Change in EPS = Decrease by 0.6.
Change in number of outstanding shares is equals to the increase by 20,000 shares.
Dividends means the distribution of company's profit into it's shareholders and stock dividend is defined as percentage increase in number of shares held. The number of shares of common stock after the dividend is shares = 100,000 x (1 + 20%) = 120,000
The balance in the common stock account after the dividend is = 120,000 x $ 1 = 120,000
The balance in the paid-in capital in excess of par account after the dividend is $ = 20,000 x (Current price - par value) = 20,000 x (30 - 1) = 580,000
Revised balance = 580,000 +900,000
= 1480,000
The balance in the retained earnings account after the dividend is = Current balance - new number of shares x current share price = 700,000 - (120,000 - 100,000) x 30 = 100,000
Total stockholders’ equity = 120,000 + 1480,000 + 100,000 = 17,000,000
The price per share of common stock after the dividend is total wealth remain the same. Hence, the price per share of common stock after the dividend is
= Share price before dividend / (1 + % dividend) = 30 / (1 + 20%) = $ 25
Change in price = decrease by $ 5
The earnings per share (EPS) after the dividend is = 3.6 / (1 + 20%) = 3
Change in EPS = Decrease by 0.6. Hence, the change in number of outstanding shares is increase by 20,000 shares.
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the city of lawrence recently was hit by a tornado, leaving many families in need of food, clothing, shelter, and other necessities. betty contributed $500 to a family whose home was completely destroyed by the tornado. jack contributed $700 to the family's church, which gave the money to the family. assume both taxpayers itemize their deductions.
To itemize, taxpayers must keep track of donations throughout the year and provide records.
Taxation is the process by which governments impose a financial charge on individuals or legal entities to fund various public expenditures. Tax deductions reduce the amount of tax that an individual has to pay. Betty and Jack, as taxpayers, have made donations to the family who suffered a loss due to the tornado.
Betty's s donation is entirely deductible, whereas Jack's donation is deductible only if the family's church is qualified by the Internal Revenue Service because the church, as a qualified charitable organization, can claim tax-exempt status.
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When there is a technological advance in the pork industry, consumer surplus in that market will a. increase b. decrease c. not change, since technology affects producers and not consumers. d. not change, since consumers' willingness to pay is unaffected by the technological advance.
Consumer surplus in that market will rise as the pork industry makes a technological advancement..
When customers pay less than they'd normally be ready to for a good or service, there is a consumer surplus.. The foundation for the notion of consumer surplus is the economic concept of marginal product additional satisfaction that a customer receives from purchasing one more unit of a good or service. A constant, consumer surplus grows when prices are lowering and decreases when prices are rising. Economists conceptualize it as the triangle-shaped region beneath the demand curve that is between its market cost and the cost that buyers are willing to pay.
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the net present value method of capital budgeting analysis does all of the following except: group of answer choices incorporate risk into the analysis. provide a specific anticipated rate of return. consider all relevant cash flow information. discount all future cash flows to their current value. consider the initial cost of the project.
The net present value method of capital budgeting analysis does not incorporate risk into the analysis.
This method considers all relevant cash flow information, discounts all future cash flows to their current value, and takes into account the initial cost of the project.
However, the net present value method does not provide a specific anticipated rate of return.
The net present value method uses the discount rate to adjust for risk in a project by comparing the current value of future cash flows to the present cost of the investment.
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prezas company's balance sheet showed total current assets of $4,750, all of which were required in operations. its current liabilities consisted of $975 of accounts payable, $600 of 6% short-term notes payable to the bank, and $250 of accrued wages and taxes. what was its net operating working capital? group of answer choices $3,701 $3,878 $3,384 $3,525 $3,842
Net operating working capital is the difference between the current assets used in operations and the current liabilities arising from operations. In the given case, net operating working capital would be $3,525.
Thus, by subtracting the current liabilities of Preza's company from its total current assets, its net operating working capital can be calculated by using concepts of liabilities, assets and capital, it is as follows:
Net operating working capital = Total current assets - Current liabilities= $4,750 - ($975 + $100 + $150)= $3,525. Therefore, the net operating working capital of Preza's company is $3,525.
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what is an example of internal secondary data for marketing research?
Examples of common secondary data sources include internal corporate data from the company, such as advertising and marketing research, customer account information, and data on product purchases and consumption.
The careful collection, logging, and assessment of qualitative and quantitative data about problems related to the marketing of goods and services constitutes marketing research. The objective is to detect and evaluate how shifting marketing mix components affect consumer behavior. Companies utilize market research to speak directly with potential customers to assess the viability of a new product or service. Companies may quickly collect input from customers to help them identify their targeted audience through market research. This kind of research can be carried out internally, directly by the business, or through a recognized market research firm.
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A customer views an ad on April 1st, clicks the ad on April 4th, views the ad again on April 7th, and purchases the product on April 9th. Which of the following receives the credit for conversion?a. April 1st impressionb. April 7th impressionc. April 9th purchased. April 4th click
The following receives the credit for conversion in the case given in the question is April 4th click. Hence option D. is correct.
What is meant by conversion?Conversion is the point at which a receiver of a marketing message performs a desired activity or a set of actions that a company wants them to perform. A marketer can take the conversion rate as a percentage of viewers who finish a desired goal.
It may refer to the percentage of visitors to a website that complete a desired action such as filling out a form or making a purchase. In the case given in the question, the following are the details provided:
Hence option D. April 4th click is correct.
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