The principal amount is preserved and only the income generated from the investments is used for the intended purpose.
An endowment fund is a type of investment fund that is set up to provide ongoing income for a specific purpose, such as preserving and improving the city's parks.
Endowment funds typically consist of a pool of assets that are invested with the goal of generating a steady stream of income over the long-term.
In this case, it is suggested that the $10 million be placed in an endowment fund in order to generate income for preserving and improving the city's parks.
By investing the funds in an endowment fund, the principal amount is preserved and only the income generated from the investments is used for the intended purpose.
Placing the $10 million in an endowment fund provides several benefits. First, it ensures that the funds are preserved and invested for the long-term, rather than being spent all at once. This helps to ensure that the city's parks will continue to receive support and funding for many years to come.
Second, an endowment fund provides a steady stream of income that can be used to support ongoing maintenance and improvements to the parks. This allows the city to plan and budget for park improvements on a regular basis, rather than relying on unpredictable sources of funding.
Finally, an endowment fund can help to attract additional donations and support from other sources. By demonstrating a commitment to preserving and improving the city's parks, the endowment fund can serve as a catalyst for further support and investment in the parks.
Overall, placing the $10 million in an endowment fund is a wise decision for the long-term preservation and improvement of the city's parks. It provides a reliable source of income and ensures that the funds are invested in a responsible and sustainable manner.
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xr transport, inc. offers to sell a truckload of palettes to rapid delivery company. before rapid accepts the offer, xr calls rapid to say that the palettes have been sold to speedy trucking corporation and that it is revoking the earlier offer to rapid. xr is group of answer choices not liable, because it revoked the offer to rapid. liable to speedy for breach of contract. liable to rapid for breach of contract. not liable, if qt offers substitute goods to rapid.
XR Transport, Inc. is liable to Rapid for breach of contract if Rapid accepted the offer to purchase the truckload of palettes.
Once Rapid accepted the offer, a contract was formed, and XR Transport, Inc. had a legal obligation to sell the palettes to Rapid.
By revoking the offer and selling the palettes to another party, XR Transport, Inc. breached the contract with Rapid.
XR Transport, Inc. may also be liable to Speedy for breach of contract, depending on the terms of the agreement between the two parties.
If XR Transport, Inc. offers substitute goods to Rapid that are of the same quality and price as the palettes originally offered.
Then XR Transport, Inc. would not be liable to Rapid for breach of contract.
However, this would depend on the specific circumstances and terms of the contract between XR Transport, Inc. and Rapid.
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in accounting, the term translation refers to group of answer choices the procedure required to identify a company's functional currency. the calculation of gains or losses from all transactions for the year. the calculation of exchange rate gains or losses on individual transactions in foreign currencies. a procedure to prepare a foreign subsidiary's financial statements for consolidation. the calculation of gains or losses from hedging transactions.
In accounting, the term translation typically refers to the procedure required to prepare a foreign subsidiary's financial statements for consolidation.
This process involves converting the subsidiary's financial statements from its local currency to the reporting currency of the parent company. The reason for this procedure is to ensure that all financial information is presented in a consistent manner, regardless of the subsidiary's location.
The functional currency of the subsidiary is determined based on the primary economic environment in which it operates. This is typically the currency of the country in which it is located, but there may be instances where a different currency is more appropriate.
Once the functional currency is determined, the subsidiary's financial statements are translated into the reporting currency using the current exchange rate. This process can result in gains or losses from exchange rate fluctuations, which are recorded in the consolidated financial statements.
It's important to note that translation is different from the calculation of gains or losses from individual transactions in foreign currencies. These gains or losses are typically recorded as part of the underlying transaction and are not related to the translation process.
In summary, translation in accounting refers to the process of preparing a foreign subsidiary's financial statements for consolidation in the reporting currency of the parent company. It involves converting financial information from the local currency to the reporting currency using the current exchange rate and can result in gains or losses from exchange rate fluctuations.
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1: "How did Great Buy handle the return?" asks Sam.
"They promptly sent us two replacement monitors on October 10, as soon
as we returned the damaged ones," Monique replies. "And on October 28,
they sent us an invoice for the entire order. We paid them with a check that
same day."
Monique shows Sam the invoice from Great Buy, which reflects the two
replacement monitors that Berthold's received after returning the damaged
ones and asks him to process it for payment.
DESCRIPTION
Computer monitors (original order, $350 x 8)
Computer monitors (replacements, $350 x 2)
TOTAL:
AMOUNT
8 of 12
$2,800
$700
$3,500
What information would be recorded in the Accounts Payable ledger, which
had a previous balance of $2,800?
The resulting balance in the Accounts Payable ledger after these transactions would be a credit balance of $300 (i.e., $2,800 credit balance - $700 debit + $3,500 credit).
Why it is?
Based on the information provided, the following transactions would be recorded in the Accounts Payable ledger:
A credit entry for the original order of 8 computer monitors for $2,800, which was the previous balance in the ledger.
A debit entry for the two replacement monitors received on October 10, for a total of $700.
A credit entry for the payment made by Berthold's with a check on October 28, for the total amount due of $3,500.
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the npv of a project can be thought of as the present value of its multiple choice economic rents. profits. salvage value. revenues.
The NPV (Net Present Value) of a project can be thought of as the present value of its economic rents.
Economic rent refers to the excess return generated by a project over and above the minimum required return to compensate for the time value of money and the risks associated with the investment. Net Present Value (NPV) is a measure of the value of a project, calculated by subtracting the project's initial investment cost from the present value of its expected future cash flows.
Therefore, NPV can be thought of as the present value of a project's economic rents, or the excess value generated by the project over and above its cost of capital.
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one of the buyer representation forms published by c.a.r. is the brnn. what do the two ns stand for?
The two "N's" in BRNN stand for "Non-Residential Nature." The BRNN form is a Buyer Representation Agreement for non-residential properties, such as commercial buildings or vacant land.
This form is used when a buyer seeks the assistance of a real estate agent to purchase a non-residential property. The agreement outlines the terms of the relationship between the buyer and the agent, including the duration of the agreement, the commission rate, and the specific properties the buyer is interested in. The form also includes provisions for the buyer's obligations, such as providing accurate information about their financial capabilities and notifying the agent of any changes in their buying criteria. By signing the BRNN form, the buyer agrees to work exclusively with the agent and compensate them for their services.
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in which accounting area(s) is an asset's estimated useful life determined by the taxpayer's assessment, rather than being predetermined based on asset type? multiple choice question. financial accounting only tax accounting only both financial and tax accounting
The accounting area in which an asset's estimated useful life determined by the taxpayer's assessment, rather than being predetermined based on asset type is option (b) Tax accounting only
In tax accounting, the taxpayer's assessment can be used to determine an asset's estimated useful life for depreciation purposes. This is because the tax code allows for taxpayers to use their own reasonable estimate of an asset's useful life, as long as it is supported by documentation and other evidence.
In contrast, financial accounting standards (such as GAAP in the United States) typically require the use of predetermined useful lives based on the type of asset, unless there is evidence to support a different estimate.
Therefore, the correct option is (b) Tax accounting only.
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after years of negotiating short-term contracts with its suppliers, icon images has decided to agree to longer-term contracts. in doing this, icon images is hoping to:
After years of negotiating short-term contracts with its suppliers, Icon Images has decided to agree to longer-term contracts. In doing this, Icon Images is hoping to ensure a more stable and consistent supply of materials or services.
A long-term contract is one that has a term of over one year. It is a legally binding agreement that specifies the rights and obligations of the parties involved for an extended period.The benefits of long-term contracts are numerous. They provide stability and assurance to both parties that the business will continue. They reduce uncertainty and lower transaction costs. Long-term contracts are beneficial in industries such as oil, gas, or mining, where the products require a significant capital investment and a long production lead time.
They are also useful for businesses that rely heavily on their suppliers' products or services, such as icon images. When a firm like Icon Images agrees to a long-term contract, it ensures a more stable and consistent supply of materials or services. This is because the longer-term contract means that the suppliers will have guaranteed business for a longer period. As a result, they will be more willing to invest in their operations to ensure that they meet their contractual obligations.The answer to the question is that in doing this, Icon images is hoping to ensure a more stable and consistent supply of materials or services.
By negotiating longer-term contracts with its suppliers, Icon Images is hoping to achieve better pricing, improve supply chain stability, and foster stronger relationships with suppliers. This can result in cost savings, increased efficiency, and enhanced collaboration.
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when describing recurring system jobs, the amount of time the crond daemon should wait before starting this job is referred to as:
When describing recurring system jobs, the amount of time the cron daemon should wait before starting this job is referred to as system delay. option (D) is correct.
The system delay is determined in the crontab record as the fifth field in a cron work passage. It addresses the number of minutes the cron daemon ought to stand by before running the work.
A system can be worked with an innate deferral. Delays are units that cause a period shift in the information signal, however, they don't influence the sign qualities. An ideal postponement is a defer framework that doesn't influence the sign qualities by any means, and that postpones the sign for a precise measure of time.
Therefore, option (D) is correct.
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This question is not complete, Here I am attaching the complete question:
When describing recurring system jobs, the amount of time the crond daemon should wait before starting this job is referred to as:
(A) Referral time
(B) Delay in minutes
(C) Corn delay
(D) System delay
kansas enterprises purchased equipment for $77,000 on january 1, 2021. the equipment is expected to have a five-year life, with a residual value of $6,900 at the end of five years. using the double-declining balance method, the book value at december 31, 2022, would be: (do not round your intermediate calculations)
By using the double-declining balance method, the book value at December 31, 2022, would be $35,682.
To use the double-declining balance method, we need to calculate the straight-line depreciation rate first. This is done by subtracting the residual value from the initial cost and then dividing by the number of years of the asset's life. In this case, the calculation would be:
($77,000 - $6,900) / 5 years = $14,220 per year
Using the double-declining balance method, the depreciation expense for 2021 would be:
$77,000 x 2 x ($14,220 / 100%) = $27,098
The book value at the end of 2021 would be:
$77,000 - $27,098 = $49,902
For 2022, we need to apply the same depreciation rate to the book value at the beginning of the year, which is $49,902. The depreciation expense for 2022 would be:
$49,902 x 2 x ($14,220 / 100%) = $14,220
Adding the depreciation expense for 2021 and 2022 together gives us a total accumulated depreciation of $41,318. Subtracting this from the asset's initial cost gives us the book value at December 31, 2022:
$77,000 - $41,318 = $35,682
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individuals or organizations that can influence or be influenced by decisions of the company, possibly through family ties or investment relationships are called
Individuals or organizations that can influence or be influenced by decisions of the company, possibly through family ties or investment relationships are called "stakeholders".
The stakeholders can include a wide range of groups such as customers, employees, shareholders, suppliers, creditors, government agencies, and local communities, among others.
It is important for companies to identify their stakeholders and consider their interests and needs when making business decisions, as this can help build trust and enhance long-term relationships with these groups.
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executive financial services, inc. (efs), purchased three tractors from tri-county farm company (tri-county), a john deere dealership owned by gene mohr and james lloyd. the tractors cost $48,000, $19,000, and $38,000. efs did not take possession of the tractors but instead left the tractors on tri-county's lot. efs leased the tractors to mohr-loyd leasing (mohr-loyd), a partnership between mohr and loyd, with the understanding and representation by mohr-loyd that the tractors would be leased out to farmers. instead of leasing the tractors, tri-county sold them to three different farmers. efs sued and obtained judgment against tri-county, mohr-loyd, and mohr and loyd personally for breach of contract. because that judgment remained unsatisfied, efs sued the three farmers who bought the tractors to recover the tractors from them. did mohr and loyd act ethically in this case? who owns the tractors, efs or the farmers? executive financial services, inc. v. pagel, 238 kan. 809, 715 p.2d 381, 1986 kan. lexis 290 (supreme court of kansas)
According to the facts given, Mohr and Lloyd, the proprietors of Tri-County Farm Company, did not behave properly in this instance. They sold three separate farms the tractors that EFS had rented to them instead of leasing them to farmers as they had represented to EFS. Due to this violation of contract, EFS sued and won a judgement against Tri-County, Mohr-Lloyd, and Mohr and Lloyd individually.
Who controls the tractors will be determined by the conditions of the lease deal between EFS and Mohr-Lloyd. If the lease agreement explicitly specified that EFS maintained possession of the tractors and that Mohr-Lloyd had no power to transfer them, then EFS would be the legitimate owner. If, on the other hand, the lease arrangement was ambiguous or did not mention ownership, it could be claimed that Mohr-Lloyd had the power to sell the tractors and that the farmers who bought them had a legitimate claim to ownership.
The Supreme Court of Kansas did not explicitly discuss the question of tractor ownership in the case of Executive Financial Services, Inc. v. Pagel, as the case mainly concentrated on whether EFS could recover the tractors from the farmers who purchased them. The court eventually decided that EFS had the right to reclaim the tractors from the farms because they were not bona fide purchasers for value without knowledge of EFS's interest in the tractors.
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when a new position in her collective bargaining unit opened up, anke thought she should get the position because she had similar experience at a previous job. however, the job went to someone who had more seniority, but less skill. anke thought this was unfair. what is the first thing anke should do to ensure the contract was enforced correctly?
Anke should review the collective bargaining agreement to ensure that the contract was enforced correctly.
Collective bargaining units often have specific guidelines outlined in their contracts regarding the process for filling job openings.
The first thing that Anke should do is to review the collective bargaining agreement to ensure that the contract was enforced correctly. Anke should pay particular attention to the sections related to the job selection process, including the criteria used to evaluate candidates and the order of priority given to each criterion.
If Anke finds that the decision was made in violation of the collective bargaining agreement, she should bring this to the attention of her union representative.
It's important to note that while experience is an important criterion for job selection, other factors such as seniority and skills may also be considered. In cases where there is a conflict between these criteria, the collective bargaining agreement may provide guidelines for resolving the conflict.
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briefly explain whether each of the following statements is true or false. a. if the demand and supply for a product both increase, the equilibrium quantity of the product must also increase b. if the demand and supply for a product both increase, the equilibrium price of the product must also increase c. if the demand for a product decreases and the supply of the product increases, the equilibrium price of the product may increase or decrease, depending on whether supply or demand has shifted more. 4.
a. False. If both the demand and supply for a product increase, the equilibrium quantity of the product may increase, decrease, or remain unchanged, depending on the magnitude of the shifts in demand and supply.
b. False. If both the demand and supply for a product increase, the equilibrium price of the product may increase, decrease, or remain unchanged, depending on the magnitude of the shifts in demand and supply.
c. True. If the demand for a product decreases and the supply of the product increases, the equilibrium price of the product may increase, decrease, or remain unchanged, depending on the relative magnitude of the shifts in demand and supply. The direction of the change in equilibrium price will depend on which shift is larger in magnitude. If the increase in supply is larger, the equilibrium price may decrease; if the decrease in demand is larger, the equilibrium price may also decrease.
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brandon owns a small hardware store. he is involved in a car accident that renders him totally disabled for half a year. which type of insurance would help him pay for expenses of the company during the time of his disability? a business overhead expense b workers compensation c buy-sell agreement d key person disability
The type of insurance that would help Brandon pay for his company's expenses during his disability is Business Overhead Expense insurance.(A)
Business Overhead Expense (BOE) insurance provides financial assistance to cover business expenses, such as rent, utilities, and employee salaries, in the event that the business owner becomes disabled. This type of insurance helps ensure that the business can continue to operate while the owner is unable to work.
In Brandon's case, BOE insurance would be the most suitable option as it would cover the expenses of his hardware store during his disability period. Workers' compensation, buy-sell agreement, and key person disability insurance would not cover the company's expenses during his absence as they serve different purposes.
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a company budgets overhead cost of $8,538,500 for the next year. the company uses machine hours as its overhead allocation base. if 430,000 machine hours are planned for the next year, what is the company's plantwide overhead rate?
The company's plantwide overhead rate, based on budgets overhead cost and machine hours as its overhead allocation base is $19.86 per machine hour.
The company's plantwide overhead rate can be calculated by dividing the total budgeted overhead cost by the total planned machine hours.
Determine the company's plantwide overhead rate as follows:1. Identify the total budgeted overhead cost: $8,538,500
2. Identify the total planned machine hours: 430,000 hours
3. Calculate the plantwide overhead rate:
Budgeted Overhead Cost / Total Machine Hours
Using the given numbers:
Plantwide Overhead Rate = $8,538,500 / 430,000
Plantwide Overhead Rate = $19.8558 (rounded)
So, the company's plantwide overhead rate is approximately $19.86 per machine hour.
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if the market has 100 potential customers, of whom 50 are frail and 50 are robust, what is the insurance company's expected profit if the frail and robust each choose the option for their type and if we assume the company is risk neutral?
If the market has 100 potential customers, of whom 50 are frail and 50 are robust, the insurance company's expected profit if the frail and robust each choose the option for their type, and we assume the company is risk-neutral, is zero.
In a risk-neutral world, the expected value of the insurance company's payout must be equal to the expected value of the policyholders' premiums. In this situation, if the company priced each plan to match the expected cost of each group of policyholders, the expected profit of the insurance company would be zero.
Since 50 of the potential customers are frail and 50 are robust, there are two possible outcomes:
50 frail people would select the frail policy, resulting in a loss of $150 per customer per year for the insurance company, or a loss of $7,500.50 healthy people would choose the robust policy, resulting in a gain of $150 per customer per year for the insurance company, or a gain of $7,500.
In this situation, the expected cost for the insurance company would be ($7,500 - $7,500)/100 = $0. As a result, the insurance company's anticipated profit is zero if the frail and robust each choose the option for their type, and if we assume the company is risk neutral.
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macroeconomics is the study of small economic units such as households and individual businesses. group of answer choices true false
Answer:
Macroeconomics is the study of the economy as a whole. The unit of study in macroeconomics is the entire economy rather than a part of it. Macroeconomics deals with the problems faced by the entire economy.
Thus, macroeconomics deals with the functioning of the economy as a whole.
For example, macroeconomics seeks to explain how the economy's total output of goods and services and total employment of resources are determined and what explains the fluctuations in the level of output and employment .
Therefore it can be concluded that macroeconomics explains why sometimes the economy is operating at near full employment level and why sometimes there is full utilization of the economy's productive capacity.
The given statement "Macroeconomics is the study of small economic units such as households and individual businesses is FALSE because this macroeconomics is the study of whole economics.
What is macroeconomics?Macroeconomics is the study of whole economies--the part of economics concerned with large-scale or general economic factors and how they interact in economies.
The Federal Reserve closely examines macroeconomics because its goals--maximum sustainable employment and stable inflation--are measured and achieved on an economy wide level, not on an individual level.
Macroeconomists study such questions as:
What makes the business cycle fluctuate; what makes economic growth go up and down; how are prices determined; what is the rate of inflation, and what determines it; what is productivity growth; and what are the determinants of productivity?
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a company that digitally routes prescription information from the pharmacy management software to the third-party payor for payment is...
The company that digitally routes prescription information from the pharmacy management software to the third-party payor for payment is a Pharmacy Benefit Manager (PBM)
The company you are describing is commonly known as a Pharmacy Benefit Manager (PBM). PBMs act as intermediaries between pharmacies, health insurance companies, and drug manufacturers. They handle prescription drug claims processing and adjudication, including routing prescription information from the pharmacy management software to the third-party payor for payment.
PBMs also negotiate drug pricing with manufacturers, manage formularies, and provide other services related to the management of prescription drug benefits. Some examples of PBMs include Express Scripts, CVS Caremark, and OptumRx.
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the manager of abc, inc decides to order the same number of widgets this year as last year. the manager has made a(n) decision. group of answer choices regular structured centralized gut informed
The manager of ABC, Inc. decides to order the same number of widgets this year as last year. The manager has made a regular decision (option A).
Regular decision-making is a process in which the decision-maker has a clear understanding of the problem, as well as the potential solutions, and makes a decision based on facts and analysis. When there are no time constraints or other pressing circumstances, this type of decision-making occurs.
Because it is rational and systematic, this is the most frequent type of decision-making. As a result, the manager of ABC, Inc. has made a regular decision when he or she has decided to order the same number of widgets this year as last year.
Correct answer is option A.
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explain the negative effects that will arise as a result of the management's actions that often practice favoritism in the process of hiring new employees
Answer:
When management practices favoritism in the process of hiring new employees, it can lead to negative effects on both the organization and its employees, including:
1. Decreased morale: Employees who are passed over for promotions or job opportunities due to favoritism may become demotivated and feel undervalued. This can result in decreased productivity, higher absenteeism, and even employee turnover.
2. Decreased trust: When management practices favoritism, it erodes trust among employees and between employees and management. Employees may feel that the organization is not transparent or fair in its practices, which can lead to a lack of commitment and loyalty.
3. Decreased diversity: Favoritism can lead to a lack of diversity in the workplace, as managers may favor candidates who share their same background, experiences, or opinions. This can limit the perspectives and ideas brought to the table and may negatively impact the organization's performance and growth.
4. Legal repercussions: Favoritism in the hiring process can result in legal issues for the organization, including discrimination lawsuits or complaints filed with government agencies. This can damage the organization's reputation and result in financial penalties or other legal consequences.
Explanation:
In conclusion, the negative effects of management's actions of favoritism in the process of hiring new employees can be significant, and can impact the organization's overall performance and success. It is important for management to establish fair and transparent hiring practices, which can help to ensure that all employees are valued and given equal opportunities for career advancement.
a perfectly competitive firm named delta is in the apple industry and is operating where marginal cost equals the price of apples. if the delta increases production, then revenue will:
If the delta increases production, then revenue will the revenue of Delta will increase.
In a perfectly competitive market, the price is determined by the intersection of the demand and supply curve. Since Delta is operating where marginal cost equals the price of apples, it implies that the firm is already producing at the level where marginal revenue equals marginal cost.
If Delta increases its production, it can sell the additional output at the market price, which is equal to marginal revenue. Since marginal revenue is greater than marginal cost, the increase in production will lead to an increase in revenue for the firm.
In summary, the increase in production by Delta will result in an increase in revenue because the firm can sell the additional output at the market price, which is greater than the marginal cost of production.
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a fraud perpetrator is able to convince a potential victim that he will receive a large bonus if he supports him in a fraud scheme. which type of power is the fraud perpetrator using?
A fraudster can persuade a potential victim that joining his fraud plan will result in a sizable bonus. D. Kiting is the one utilizing fraud.
Prospective victims are those who have not yet been victims of trafficking but are at risk of becoming victims because of their susceptibility or other factors. Pretexting is the practice of fraudsters calling potential identity theft victims while pretending as company employees to validate data they have already gathered. typically for financial gain. Potential lenders are alerted by a fraud notice that you may be a victim of identity theft. It gives creditors particular instructions to follow in order to help protect you, which can make it more difficult for others to get bin your name. Receiving credit may be impossible if you receive a fraud warning.
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which of the following schools of thought is the most likely to advocate the use of fiscal policy in fighting recessions? a monetarism b keynesian c rational expectations d real business cycle e classical macroeconomics
The most likely school of thought to advocate the use of fiscal policy in fighting recessions is Keynesian economics. So, the correct answer is B.
About Keynesian economicsThis approach emphasizes the importance of aggregate demand and the role of government intervention in managing the economy.
Keynesian economists believe that fiscal policy, which includes government spending and taxation, can be used to stabilize economic fluctuations and boost aggregate demand during recessions.
In contrast, monetarism focuses on controlling the money supply to manage inflation and stabilize the economy. Rational expectations theory asserts that individuals make decisions based on their rational expectations of future events, which limits the effectiveness of fiscal policy.
Real business cycle theory emphasizes the role of productivity shocks in causing economic fluctuations, with limited scope for fiscal policy intervention. Classical macroeconomics assumes that markets automatically adjust to achieve full employment, so fiscal policy intervention is unnecessary.
In summary, Keynesian economics is the school of thought that most strongly supports the use of fiscal policy to combat recessions, as it emphasizes the need for government intervention to manage aggregate demand and stabilize the economy.. And, for the question above, the answer which correct is B. Keynesian.
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the contribution of an individual asset to the riskiness of a fully diversified portfolio depends primarily on which of the following? group of answer choices the covariance of the asset's return with the return on the riskless asset the variance of the asset's return the covariance of the asset's return with the return of the rest of the portfolio the skewness of the asset's return
The contribution of an individual asset to the riskiness of a fully diversified portfolio depends primarily on the covariance of the asset's return with the return of the rest of the portfolio. The reason behind this is that a fully diversified portfolio aims to minimize the overall risk by combining assets with varying levels of risk and return.
Covariance is a measure of how two variables, in this case, the returns of an individual asset and the returns of the rest of the portfolio, change together. If the covariance is positive, it means that the asset's return tends to increase when the rest of the portfolio's return increases, making the portfolio riskier. Conversely, if the covariance is negative, it means that the asset's return tends to decrease when the rest of the portfolio's return increases, which helps in reducing the overall risk of the portfolio.
The other factors mentioned, such as the covariance with the riskless asset, the variance of the asset's return, and the skewness of the asset's return, are less relevant in determining the asset's contribution to a fully diversified portfolio's riskiness. The covariance with the riskless asset does not impact the overall risk because a riskless asset has no volatility. The variance of the asset's return is important for the individual asset's riskiness but does not provide information on how it interacts with other assets in the portfolio.
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the board of directors makes a commitment that a portion of retained earnings is unavailable for dividends which is called a.limited capital. b.an appropriation. c.a hold on earnings. d.a prior period adjustment.
The board of directors makes a commitment that a portion of retained earnings is unavailable for dividends, which is called b. an appropriation.
An appropriation, in finance and accounting, is the act of setting aside or earmarking funds for a specific purpose.
In the context of a corporation, an appropriation usually refers to a portion of retained earnings that is set aside by the board of directors for a specific purpose, such as reinvestment in the business or to finance future expansion.
One common type of appropriation is a dividend appropriation, where the board of directors makes a commitment that a portion of retained earnings will not be paid out as dividends to shareholders.
This can be done for a variety of reasons, such as to retain earnings for reinvestment in the business, to pay off debt, or to prepare for potential future financial difficulties.
The dividend appropriation is typically recorded as a separate line item on the balance sheet under "retained earnings."
This ensures that the funds set aside for the appropriation are not included in the calculation of the company's available earnings for the purpose of calculating dividend payouts to shareholders.
It's worth noting that an appropriation is not a guarantee that the funds will be used for the specified purpose. The board of directors has the authority to change the appropriation if circumstances change or if the funds are needed for other purposes.
However, any changes to the appropriation must be approved by the board and recorded in the company's financial statements.
In summary, an appropriation is a commitment by a corporation to set aside funds for a specific purpose. A dividend appropriation is a common type of appropriation in which a portion of retained earnings is set aside by the board of directors and made unavailable for dividends to shareholders.
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the consumer price index is used to question 10 options: convert nominal gdp into real gdp. turn dollar figures into meaningful measures of purchasing power. characterize the types of goods and services that consumers purchase. measure the quantity of goods and services that the economy produces.
The consumer price index is used to turn dollar figures into meaningful measures of purchasing power.
The Consumer Price Index (CPI) is a measure of the average variation in prices paid by consumers for consumer goods and services in a given economy over time.
The CPI is a broad market basket of consumer items used to determine how much of an individual's income is spent on specific goods and services.
The CPI is frequently utilized as a measure of inflation since it measures the rate of change in consumer prices over time.
Inflation rates are calculated by comparing CPI figures from two different points in time. To calculate the inflation rate, divide the difference between the two CPI figures by the earlier CPI and multiply by 100.
The consumer price index is used to turn dollar figures into meaningful measures of purchasing power.
What is the Consumer Price Index?The consumer price index (CPI) is a metric that measures the cost of a basket of consumer products and services, including transportation, healthcare, education, and entertainment. It is calculated by dividing the total cost of the basket of goods by the total number of items in the basket.
The consumer price index (CPI) measures the price changes in consumer goods and services over time.
It assesses changes in the same set of consumer products and services over time, allowing economists to determine how much inflation or deflation has occurred over a specific period.
The consumer price index is used to turn dollar figures into meaningful measures of purchasing power.
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true economic profit and accounting profit both make use of explicit costs. a firm's explicit costs are always larger than its implicit costs. a firm's economic profit can be different from its accounting profit. implicit costs are related to a firm's opportunity costs. false the money that a firm spends on rent is an example of an implicit cost.
The given statement "An economic profit and accounting profit both make use of explicit costs and a firm's explicit costs are always larger than its implicit costs. A firm's economic profit can be different from its accounting profit. implicit costs are related to a firm's opportunity costs. And the money that a firm spends on rent is an example of an implicit cost." is true because the role of explicit and implicit costs, is important for making informed business decisions.
Firstly, let's define what we mean by profit. Profit is the amount of money that a business earns after deducting all costs.
Now, let's discuss the difference between economic profit and accounting profit. Accounting profit is the total revenue a firm generates minus the explicit costs it incurs. Explicit costs are costs that can be easily identified and measured, such as rent, salaries, and utilities.
It is important to note that a firm's economic profit can be different from its accounting profit. This is because economic profit takes into account all costs, including implicit costs.
Implicit costs are related to a firm's opportunity costs. Opportunity cost refers to the cost of choosing one option over another.
Lastly, it is true that the money a firm spends on rent is an example of an implicit cost. This is because the opportunity cost of renting a space is the potential profit that could have been generated if the firm had used that money to invest in other areas of the business.
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Complete Question:
True or false.: An economic profit and accounting profit both make use of explicit costs and a firm's explicit costs are always larger than its implicit costs. A firm's economic profit can be different from its accounting profit. implicit costs are related to a firm's opportunity costs. And the money that a firm spends on rent is an example of an implicit cost.
a firm finds that whether it produces 30,000 vases or 40,000 vases, its average total cost is $180. this observed pattern might be explained by multiple choice diminishing marginal productivity. economies of scale. diseconomies of scale. constant returns to scale.
The observed pattern of the constant average total cost is likely due to constant returns to scale, where the cost per unit remains the same as output increases.
The firm's observed trend of having the same average total cost of $180 when making 30,000 or 40,000 vases indicates that it is experiencing consistent returns to scale. Constant returns to scale arise when growing output by a certain percentage results in an increase in overall expenses.
In other words, the firm's production process does not experience economies of scale (cost reductions as output rises) or diseconomies of scale (cost increases as output decreases), but rather a constant cost structure across its production scale.
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firms following a global strategy strive to offer products and services as well as locate manufacturing, research and development, and marketing activities in a limited number of locations. group of answer choices widely differentiated more expensive local internationally differentiated standardized
Firms following a global strategy strive to offer standardized products and services as well as locate manufacturing, and marketing activities in a limited number of locations. Correct option is E.
Firms following a global strategy aim to achieve economies of scale by standardizing their products and services across different countries, and locating their manufacturing, research and development, and marketing activities in a limited number of locations.
This approach allows them to reduce costs and increase efficiency by exploiting similarities in customer needs, production processes, and distribution channels across different regions.
By standardizing their products and services, global firms can achieve consistency in quality, branding, and customer experience, which can enhance their reputation and competitiveness in global markets.
At the same time, they need to be sensitive to local market conditions and adapt their products and services to meet local customer needs and preferences.
Thus, while global firms seek to standardize their operations across different regions, they also need to be flexible and responsive to local market demands in order to succeed in global markets.
Therefore, Correct option is E.
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green owes unsecured creditors: rice, $9,000; vick, $5,500; young, $20,000; and zinc, $7,500. green has not paid any creditor since january 1, year 2. on march 15, year 2, green's sole asset, a cabin cruiser, was seized by xeno marine co., the holder of a perfected security interest in the boat. on july 1, year 2, rice, vick, and zinc filed an involuntarily petition to place green into bankruptcy under chapter 7 of the federal bankruptcy code. if green opposes the involuntary petition, the petition will be
The petition will be granted if Green has 12 or more unsecured creditors and at least 3 of them, whose claims are not contingent as to liability or subject to bona fide dispute as to liability or amount, hold claims totaling at least $16,750.
In this case, Green has four unsecured creditors, and their claims are not contingent as to liability or subject to bona fide dispute as to liability or amount. Therefore, if Rice, Vick, and Zinc's claims total at least $16,750, the involuntary petition to place Green into bankruptcy under chapter 7 of the federal bankruptcy code will be granted. Adding up their claims, their total is $22,000, which is more than the required amount of $16,750, so the involuntary petition will likely be granted.
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