ML Clyde is a licensed CPA. During the first month of operations of her business, the following events and transactions occurred. April 2 Invested $130,000 cash and computer equipment valued at $18,000 in exchange for common stock. 2 Hired a part-time administrative assistant at a salary of $750 per week payable at the end of each month. 3 Purchased office supplies on account $500. (Record as an asset.) 7 Paid office rent of $3,000 for the month. 11 Completed a tax return and billed the client $5,000 for services rendered. 12 Received $6,500 advance payment for a management consulting engagement that begins in June. 17 Received cash of $7,500 for services completed for Fox Co.. 21 Paid insurance expense of $2,400. 30 Paid administrative assistant $3,000 for the month. 30 A count of supplies indicated that $200 of supplies had been used. 30 Collected the amount owed from client for services provided on April 11. 30 Declared a $750 dividend. Required: 1. Journalize the transactions using the journal provided below. If no entry is required for an item, note the rationale for omitting an entry.

Answers

Answer 1

To journalize the transactions for ML Clyde's business, we need to record each event and transaction in the provided journal. These include investments, hiring employees, purchasing supplies, paying expenses, billing clients, receiving payments, and declaring dividends.

The journal entries will reflect the specific accounts affected and the corresponding amounts. Omitted entries should be noted with a rationale.

1. April 2: We record the investment of $130,000 cash and computer equipment valued at $18,000 in exchange for common stock. This involves debiting the Cash and Computer Equipment accounts and crediting the Common Stock account.

2. April 2: No journal entry is required for hiring the part-time administrative assistant, as the salary will be paid at the end of each month.

3. April 3: We record the purchase of office supplies on account for $500. This involves debiting the Office Supplies asset account and crediting the Accounts Payable account.

4. April 7: We record the payment of $3,000 for office rent for the month. This involves debiting the Rent Expense account and crediting the Cash account.

5. April 11: We record the completion of a tax return and billing the client $5,000 for services rendered. This involves debiting the Accounts Receivable account and crediting the Professional Fees Earned account.

6. April 12: We record the receipt of $6,500 advance payment for a management consulting engagement starting in June. This involves debiting the Cash account and crediting the Unearned Revenue account.

7. April 17: We record the receipt of $7,500 in cash for services completed for Fox Co. This involves debiting the Cash account and crediting the Accounts Receivable account.

8. April 21: We record the payment of $2,400 for insurance expense. This involves debiting the Insurance Expense account and crediting the Cash account.

9. April 30: We record the payment of $3,000 salary to the administrative assistant. This involves debiting the Salary Expense account and crediting the Cash account.

10. April 30: We record the usage of $200 worth of supplies. This involves debiting the Supplies Expense account and crediting the Supplies account.

11. April 30: We record the collection of the amount owed from the client for services provided on April 11. This involves debiting the Cash account and crediting the Accounts Receivable account.

12. April 30: We record the declaration of a $750 dividend. This involves debiting the Dividends account and crediting the Retained Earnings account.

These journal entries capture the various transactions and events that occurred during the first month of ML Clyde's business operations.

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Related Questions

The demand curve for dollars shows the relationship between​ ____________.

A. how many dollars the government supplies and how many dollars domestic consumers demand.

B. the quantity of dollars demanded and the exchange rate.

C. the exchange rate and the foreign inflation rate.

D. the exchange rate and the domestic inflation rate.

The demand curve for dollars slopes downward because when the dollar​ ____________.

A. depreciates in​ value, U.S. goods become relatively more expensive​ abroad, causing fewer people to buy dollars.

B. appreciates in​ value, U.S. goods become relatively more expensive​ abroad, causing more people to buy dollars.

C. appreciates in​ value, U.S. goods become relatively more expensive​ abroad, causing fewer people to buy dollars.

D. appreciates in​ value, U.S. goods become relatively less expensive​ abroad, causing more people to buy dollars.

Answers

1.The demand curve for dollars shows the relationship between the quantity of dollars demanded and the exchange rate.

2.The demand curve for dollars slopes downward because when the dollar​ appreciates in​ value, U.S. goods become relatively more expensive abroad, causing fewer people to buy dollars.

1.The demand for dollars is determined by the quantity of dollars that individuals, firms, or governments want to buy at various exchange rates. When the exchange rate becomes more favorable (i.e., the price of foreign currency decreases relative to the domestic currency), the quantity of dollars demanded typically increases. Conversely, when the exchange rate becomes less favorable (i.e., the price of foreign currency increases relative to the domestic currency), the quantity of dollars demanded usually decreases. The demand curve for dollars represents this relationship graphically, with the quantity of dollars demanded on the vertical axis and the exchange rate on the horizontal axis. It illustrates how the quantity of dollars demanded changes as the exchange rate varies.

2.When the value of the dollar appreciates, U.S. goods become relatively more expensive abroad. This is because a stronger dollar means that a greater amount of foreign currency is required to purchase the same amount of U.S. goods. As a result, foreign consumers may find U.S. goods less affordable and less attractive compared to goods from other countries. Consequently, the demand for U.S. goods decreases, leading to a decrease in the demand for dollars required to purchase those goods.

In addition, an appreciation in the value of the dollar can also lead to a decrease in demand for dollars through other channels. For instance, when the dollar appreciates, it becomes more expensive for foreign businesses and investors to invest in the United States. This can reduce the inflow of foreign direct investment and decrease the demand for dollars from foreign entities seeking to invest or expand their operations in the U.S. Furthermore, a stronger dollar can make U.S. financial assets more appealing to foreign investors, causing them to shift their investments away from foreign currencies and into dollars. This can result in a decrease in the demand for foreign currencies and an increase in the demand for dollars.

Overall, the appreciation in the value of the dollar leads to an increase in the relative price of U.S. goods abroad and diminishes the attractiveness of U.S. goods and investments. Consequently, fewer people are willing to buy dollars, causing a downward-sloping demand curve for dollars.

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Amber's gross pay is $52,400 a year. The state income tax rate is 4% and she takes $2,000 in exemptions. What is her withholding for the year?

Answers

The withholding for the year is $1,976.

To calculate the withholding for the year, we first need to determine Amber's taxable income. Taxable income is the gross income minus any exemptions. In this case, Amber's gross pay is $52,400, and she takes $2,000 in exemptions. Therefore, her taxable income is $52,400 - $2,000 = $50,400.

Next, we apply the state income tax rate of 4% to the taxable income. The withholding amount is calculated by multiplying the taxable income by the tax rate: $50,400 x 0.04 = $2,016.

However, it's important to note that the withholding amount may be subject to additional factors such as allowances, deductions, or credits. These factors can vary depending on the individual's circumstances, so it's always advisable to consult with a tax professional or refer to the specific tax regulations in the relevant jurisdiction to obtain an accurate withholding amount.

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2 idea conslusion question...
1. conclusion about the benefits of using digital communication
in the workplace.
2. conclusion about do and do not during an online
interview.

Answers

1. In conclusion, the benefits of using digital communication in the workplace are substantial.

2. In conclusion, it is crucial to follow certain do's and don'ts during an online interview to make a positive impression.

1. In conclusion, the benefits of using digital communication in the workplace are substantial. Digital communication tools enhance collaboration, streamline information sharing, and improve overall productivity. They enable real-time communication, facilitate remote work, and provide a platform for efficient document sharing and project management. Additionally, digital communication fosters global connectivity, allowing businesses to reach a wider audience and expand their market. Embracing digital communication in the workplace can lead to enhanced efficiency, increased innovation, and improved communication among team members, ultimately driving organizational success.

2. In conclusion, it is crucial to follow certain do's and don'ts during an online interview to make a positive impression. The do's include ensuring a stable internet connection, dressing professionally, preparing for common interview questions, maintaining good eye contact, and actively listening. Additionally, it is important to have a quiet and well-lit environment, use professional language, and engage with the interviewer effectively. On the other hand, the don'ts include avoiding distractions, such as checking phones or browsing the internet, speaking negatively about previous employers, using inappropriate language or gestures, and being unprepared. By adhering to these guidelines, candidates can increase their chances of success and present themselves in the best possible light during an online interview.

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a business that offers potential buyers the opportunity to make purchases either online or in a physical location uses a ________ business model.

A) brick-and-mortar
B) click and mortar
C) C2C
D) C2B
E) fee-based

Answers

The business model that offers potential buyers the opportunity to make purchases either online or in a physical location is called a b) click-and-mortar business model.

Click-and-Mortar is a term used to describe a business that has both an online and a physical presence. It is a kind of business model that is also known as “bricks-and-clicks” and “clicks-and-bricks.” This type of business model is designed to give customers a more comprehensive shopping experience.

They can either choose to buy online or visit a physical store, allowing them to have the best of both worlds. This provides businesses with the chance to reach more customers and to provide them with a more comprehensive service.

Therefore, the correct answer is  b) click-and-mortar

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which of the following server roles would you implement to provide services offered by cups and ipp?

Answers

To provide services offered by CUPS (Common Unix Printing System) and IPP (Internet Printing Protocol), you would implement the "Print Server" server role.

The Print Server role enables the management and sharing of printers across a network. It allows clients to send print jobs to printers and provides the necessary infrastructure to handle print queues, printer discovery, and print job scheduling. CUPS is a widely used printing system on Unix-like operating systems, while IPP is a protocol that facilitates printing over a network. By implementing the Print Server role, you can leverage the capabilities of CUPS and IPP to enable printing services in your network environment. With the Print Server role in place, you can configure and manage printers, define print queues, handle print job processing and prioritization, and provide printing services to clients using CUPS and IPP protocols. This setup ensures efficient and reliable printing capabilities for users throughout the network.

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Employment Law and Industrial Relations
Based on your reading and research, discuss the causes of a trade dispute and methods to resolve a trade disp

**Answer in paragraph, 1100 words**

Answers

Based on your reading and research, the causes of a trade dispute such as  employees’ dissatisfaction with the terms of their employment and methods to resolve a trade dispute are collective bargaining, mediation, arbitration, and litigation.

Trade disputes are disagreements or conflicts between employers and employees regarding working conditions, salaries, job security, or other employment-related issues. Some of the causes of a trade dispute include employees’ dissatisfaction with the terms of their employment, misunderstandings regarding employment conditions, and management’s refusal to agree to the employees’ demands or a breach of the terms of employment. The methods to resolve a trade dispute include collective bargaining, mediation, arbitration, and litigation.

Collective bargaining involves negotiations between employers and employees through their representatives to reach an agreement on the terms of employment. Mediation involves an independent third party that helps to facilitate a resolution to the dispute. Arbitration is a legal process where a neutral third party makes a binding decision on the dispute and litigation involves taking the dispute to court for a judicial resolution. A successful resolution to a trade dispute can lead to improved working conditions, increased employee morale, and better employer-employee relations. So therefore the causes of a trade dispute such as  employees’ dissatisfaction with the terms of their employment and methods to resolve a trade dispute are collective bargaining, mediation, arbitration, and litigation.

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B2B Company is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment costs $216,000 and has a 12-year life and no salvage value. The expected annual income for each year from this equipment follows. $ 135,000 Sales of new product Expenses Materials, labor, and overhead (except depreciation) Depreciation-Equipment Selling, general, and administrative expenses Income 72,000 18,000 13,500 $ 31,500 (a) Compute the annual net cash flow. (b) Compute the payback period. (c) Compute the accounting rate of return for this equipment. Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the annual net cash flow. Annual Net Cash Flow Net cash flow < Required A Required B > Required A Required B Required C Compute the payback period. Payback Period Denominator: Numerator: = Payback period 0 < Required A Required > Required A Required B Required C Compute the accounting rate of return for this equipment. Accounting Rate of Return Denominator: Numerator: 1 1 Accounting rate of return 0 < Required B Required C

Answers

Therefore, the accounting rate of return for this equipment is approximately 125.0%.

Compute the annual net cash flow:

To calculate the annual net cash flow, we need to subtract the expenses (materials, labor, overhead, and depreciation) from the sales income.

Net Cash Flow = Sales Income - Expenses

For each year, the net cash flow is:

Year 1:

$135,000 - ($72,000 + $18,000 + $13,500) = $31,500

Compute the payback period:

The payback period is the amount of time it takes for the initial investment to be recovered. To calculate the payback period, we divide the initial investment by the annual net cash flow.

Payback Period = Initial Investment / Annual Net Cash Flow

The initial investment is $216,000, and we calculated the net cash flow as $31,500 per year.

Payback Period = $216,000 / $31,500 ≈ 6.857 years

Therefore, the payback period is approximately 6.857 years.

Compute the accounting rate of return for this equipment:

The accounting rate of return (ARR) is the average annual profit from the investment as a percentage of the average investment cost. It is calculated by dividing the average annual profit by the average investment cost and multiplying by 100.

ARR = (Average Annual Profit / Average Investment Cost) * 100

Average Annual Profit = (Total Income - Total Expenses) / Number of Years

Average Investment Cost = Initial Investment / 2

Total Income = Sum of Sales Income for each year = $135,000 * 12 years = $1,620,000

Total Expenses = Sum of Expenses for each year = ($72,000 + $18,000 + $13,500) * 12 years = $1,458,000

Number of Years = 12

Initial Investment = $216,000

Average Annual Profit = ($1,620,000 - $1,458,000) / 12 = $135,000 / year

Average Investment Cost = $216,000 / 2 = $108,000

ARR = ($135,000 / $108,000) * 100 ≈ 125.0%

Therefore, the accounting rate of return for this equipment is approximately 125.0%.

The annual net cash flow is $31,500.

The payback period is approximately 6.857 years.

The accounting rate of return for this equipment is approximately 125.0%.

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Priya takes out a loan from the Deep Bay Bank for $30,000 to buy a new Prius. The interest rate changed is j26 =
7.54% p.a. The loan is to be repaid over 4 years with the first payment due in a fortnight’s time. The terms of the
loan are that it is an interest only loan for the first year (first 26 payments), at which time it converts to a fully
amortized P&I loan.

Answers

The loan is $30,000 with an interest rate of 7.54% p.a. Repayment is over 4 years, starting with interest-only payments for the first year (26 payments), followed by fully amortized principal and interest payments. The first payment is due in a fortnight.

Priya borrowed $30,000 from Deep Bay Bank to purchase a new Prius. The loan has an interest rate of 7.54% per annum. The repayment period is set at 4 years, and the first payment is due in two weeks. The loan terms specify that for the first year (consisting of 26 payments), Priya only needs to pay the interest amount. After the first year, the loan converts to a fully amortized principal and interest loan, where each payment includes both principal and interest portions.

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During 2021, Richard and Greta Van Fleet, who are married and have 1 dependent child (age 16), have the following information:

Total salaries $110,000
Bank account interest 7,000
State of Idaho bond interest 4,000
Gift from Greta’s dad 15,000
Life insurance proceeds (Richard’s mom died) 200,000
Sale of Qualified Small Business Stock (adj. basis =$500,000) 1,250,000
Dividend income (BMW-based in Germany) 6,000
Long-term capital gains 10,000
Long-term capital losses (6,000)
ABC limited partnership interest (passive)* 31,000
XYZ limited partnership interest (passive)* (34,000)

* (these limited partnerships are not real estate related)

They also incurred the following expenses:
Qualified medical expenses $10,000
State & local income taxes paid 6,500
Property taxes on home 4,500
Property taxes on vehicles 750
Qualified residence interest (original amount borrowed = $400,000) 11,000
Cash charitable contributions ($3,500 - church; $2,500 – St. Jude
Children’s Hospital) 6,000
They have the following federal tax payments:
Income tax withheld $8,400
Estimated tax payments 2,400

Also, they want to make the maximum contribution possible to Roth IRAs for both of them. Both of them are active participants in qualified plans at work. Richard is 52, and Greta is 48.

Total Income = ____________________
AGI = ___________________
Taxable Income = __________________
Federal Tax Liability = ___________________
Additional Tax/Refund Due = ___________________

Answers

Richard and Greta Van Fleet, a married couple with one dependent child, have various sources of income and deductions for the year 2021. Their income includes total salaries, bank account interest, bond interest, gifts, life insurance proceeds, stock sale proceeds, dividend income, and capital gains. They also have expenses such as medical expenses, income taxes, property taxes, mortgage interest, and charitable contributions. They have federal tax payments through withholding and estimated tax payments. Additionally, they want to contribute the maximum amount to their Roth IRAs. The task is to calculate their total income, adjusted gross income (AGI), taxable income, federal tax liability, and any additional tax or refund due.

To calculate the total income, we add up all the sources of income mentioned: total salaries, bank account interest, bond interest, gifts, life insurance proceeds, stock sale proceeds, dividend income, and capital gains. This provides the total income for the Van Fleet family.

To calculate the AGI, we subtract the allowable deductions from the total income. The deductions include qualified medical expenses, state and local income taxes, property taxes, mortgage interest, and charitable contributions. Subtracting these deductions from the total income gives us the AGI.

The taxable income is calculated by subtracting any applicable exemptions and deductions from the AGI. In the given information, there is no mention of specific exemptions or deductions, so we assume the standard deduction.

To calculate the federal tax liability, we use the taxable income and apply the relevant tax rates based on the filing status (married filing jointly). This gives us the amount of tax owed to the federal government.

Next, we consider the federal tax payments made by the Van Fleet family, which include income tax withheld and estimated tax payments. We subtract these payments from the federal tax liability to determine if there is any additional tax due or if they are eligible for a refund.

Finally, the maximum contribution to Roth IRAs depends on the income and eligibility rules set by the IRS. This calculation requires further information, such as their earned income, contribution limits, and any applicable phase-out limits.

By performing these calculations and considering the given information, we can determine the total income, AGI, taxable income, federal tax liability, and any additional tax or refund due for Richard and Greta Van Fleet.

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Don Draper has signed a contract that will pay him $55,000 at the end of each year for the next 5 years, plus an additional $150,000 at the end of year 5. If 9 percent is the appropriate discount rate, what is the present value of this contract?

Answers

To calculate the present value of the contract, we need to determine the present value of each cash flow and sum them up. The formula to calculate the present value of future cash flows is:

PV = CF1 / (1 + r)^1 + CF2 / (1 + r)^2 + ... + CFn / (1 + r)^n

Where:

PV = Present Value

CF = Cash Flow

r = Discount Rate

n = Number of periods

Given:

Cash flow at the end of each year (year 1 to 5) = $55,000

Cash flow at the end of year 5 = $150,000

Discount rate (r) = 9%

Let's calculate the present value:

PV = $55,000 / (1 + 0.09)^1 + $55,000 / (1 + 0.09)^2 + $55,000 / (1 + 0.09)^3 + $55,000 / (1 + 0.09)^4 + ($55,000 + $150,000) / (1 + 0.09)^5

PV = $55,000 / 1.09 + $55,000 / (1.09)^2 + $55,000 / (1.09)^3 + $55,000 / (1.09)^4 + $205,000 / (1.09)^5

PV = $50,458.72 + $46,367.12 + $42,559.72 + $39,010.59 + $120,009.67

PV = $298,405.82

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Opportunity cost is the alternative sacrificed when a choice is made. most recently considered first most convenient least-valued highest-valued

Answers

Opportunity cost is the highest-valued alternative that is sacrificed when a choice is made.

Opportunity cost refers to the value of the next best alternative that is forgone when a decision is taken. It is an essential concept in economics and decision-making, as it helps evaluate the trade-offs involved in choices.

When making a decision, individuals or businesses must consider the potential benefits and drawbacks of each available option.

The opportunity cost represents the most valuable option that is not chosen, reflecting what could have been gained if that alternative had been selected instead.

For instance, let's say a person has the option to either invest their money in stocks or bonds. If they choose to invest in stocks, the opportunity cost would be the potential returns they could have earned from investing in bonds.

The opportunity cost is not necessarily the most convenient or least-valued alternative, but rather the one that holds the highest value among the alternatives.

Understanding and considering opportunity costs can help individuals and businesses make more informed and efficient decisions by weighing the benefits and drawbacks of each choice and selecting the option with the highest net benefit.

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An economic system that includes the principles of private property and free markets. Christianity Capitalism Socialism Communism

Answers

Capitalism is a term used to describe an economic system that encompasses the ideas of private property and free markets.

The right to own and control property is guaranteed to both individuals and corporations in capitalism, and market forces are used to set prices and distribute resources. Christianity places a strong emphasis on the concepts of justice, fairness, and stewardship but does not mandate any particular economic system. To promote equality and lessen socioeconomic inequities, socialism, on the other hand, calls for collective ownership and control of resources. By pursuing the elimination of private property and the creation of a classless society, communism advances socialism. Each system has unique traits that have an impact on how economies are organised and how they turn out.

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Discuss five challenges that organisations face with regards to
decision making?

Answers

Organizations face numerous challenges with regard to decision-making. Five of them are Uncertainty, Conflicting Objectives,  Lack of Consensus, Limited Resources, and Resistance to Change.

Let's discuss five of them below:

1. Uncertainty: Decision-making in an organization may be fraught with ambiguity due to insufficient information or a lack of transparency. Decision-makers must establish sound decision-making processes that account for the unknown and mitigate risk.

2. Conflicting Objectives: Departments within the same organization may have divergent goals and objectives. These conflicts can arise in an organization's decision-making, especially when one department is putting its interests ahead of the others.

3. Lack of Consensus: Decision-making in an organization requires consensus building, which may be difficult to achieve. Decision-makers must take into account all the differing views and establish common ground.

4. Limited Resources: Limited financial resources, human resources, and time may limit the extent of the decision-making process. Decisions must be made within these constraints.

5. Resistance to Change: Employees in an organization may be resistant to change, which may result in decision-making challenges. This resistance may arise from a lack of understanding or knowledge or fear of the unknown.

Decision-making is an important process in organizations. Organizations should establish sound decision-making processes that account for these challenges and strive to overcome them.

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A project has an IRR of 13%. The required rate of return for the
project is 14%. Therefore, we accept the project. True or
False?

Answers

Based on the irr and required rate of return, the project should be rejected rather than accepted.

false. the statement is false.

the internal rate of return (irr) is a financial metric used to evaluate the profitability of an investment or project. it represents the discount rate at which the net present value (npv) of cash flows from the project becomes zero. the irr is compared to the required rate of return (rrr) to determine whether the project should be accepted or rejected.

in this case, the project has an irr of 13%, while the required rate of return for the project is 14%. since the irr is lower than the required rate of return, it indicates that the project's expected return is lower than the minimum acceptable return. the decision to accept or reject a project is typically based on comparing the project's irr to the required rate of return or a predetermined hurdle rate.

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the postclosing trial balance should show zero balances for which of the following account types:

Answers

The post-closing trial balance should show zero balances for temporary accounts.

Temporary accounts are those that are used to record transactions for a specific accounting period and are closed at the end of that period. The accounts that should have zero balances on the post-closing trial balance include:

Revenue Accounts, These accounts capture the income earned by the company, such as sales revenue, service revenue, or interest income. They are closed at the end of the period and should have a zero balance on the post-closing trial balance.

Expense Accounts, These accounts represent the costs incurred by the company to generate revenue, such as salaries expense, rent expense, or utilities expense. Like revenue accounts, they are closed at the end of the period and should have a zero balance on the post-closing trial balance.

Dividend or Withdrawal Accounts, If the company distributes profits to its owners, the dividends or withdrawal accounts are used. These accounts are also closed at the end of the period and should have a zero balance on the post-closing trial balance.

On the other hand, permanent accounts, such as asset, liability, and equity accounts, are not closed at the end of the period. Their balances carry forward to the next accounting period, so they should have non-zero balances on the post-closing trial balance.

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Case Questions
1. Make an industry analysis using either PESTEL or Five forces
model.
2. Prepare a strategic group map using updated information. Use
three parameters-for x axis, for y axis and for th

Answers

The industry analysis, using PESTEL, examines external factors while the strategic group map visualizes competitive positions based on brand image, price positioning, and market share. These tools provide insights into industry dynamics and potential collaboration opportunities.

1. PESTEL Analysis:

The PESTEL analysis is a framework used to assess the external factors that can impact an industry. It examines six key dimensions: Political, Economic, Sociocultural, Technological, Environmental, and Legal.

Political factors: These include government regulations, stability, and policies affecting the industry.

Economic factors: Factors like economic growth, inflation, exchange rates, and interest rates can significantly impact the industry.

Sociocultural factors: Changing demographics, cultural trends, and consumer attitudes influence the industry.

Technological factors: Advancements in technology, automation, and digitalization impact the industry's competitiveness and innovation.

Environmental factors: Concerns about sustainability, climate change, and environmental regulations affect the industry's operations and strategies.

Legal factors: Regulations, laws, and legal issues, such as intellectual property protection and employment laws, can impact the industry.

2. Strategic Group Map:

A strategic group map visualizes the competitive positions of different companies within an industry based on specific parameters. Three parameters can be selected for the X-axis, Y-axis, and bubble size.

For example, let's consider the automobile industry and select brand image, price positioning, and market share as parameters.

On the X-axis, we can place brand image, with luxury brands like BMW and Mercedes-Benz positioned towards the right, and mainstream brands like Toyota and Honda towards the left.

On the Y-axis, we can place price positioning, with premium brands like Audi and Porsche positioned higher, and budget brands like Hyundai and Kia positioned lower.

The bubble size can represent market share, with larger bubbles representing companies with higher market share like Toyota and Volkswagen.

The strategic group map would provide a visual representation of how different companies are positioned in terms of brand image, price positioning, and market share within the automobile industry.

It can help identify competitive gaps, potential collaborations, and overall industry dynamics.

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Complete question:

Provide a concise summary of the industry analysis conducted using the PESTEL framework, as well as the insights gained from the strategic group map that visualizes competitive positions based on brand image, price positioning, and market share.

Which of the following is the basic governing document of a​
corporation?
A.
the partnership agreement
B.
the articles of organization
C.
the Uniform Commercial Code​ (UCC)
D.
the articles of inco

Answers

The Articles of Incorporation are the basic governing document of a corporation. Here option D is the correct answer.

They are also referred to as the certificate of incorporation or corporate charter. The articles of incorporation outline the fundamental structure, purpose, and regulations of the corporation. They are typically filed with the appropriate state authority when incorporating a business.

The articles of incorporation typically include essential information such as the corporation's name, purpose, duration, business address, registered agent, and the number and types of shares of stock authorized to be issued.

They also specify the powers, rights, and responsibilities of shareholders, directors, and officers. Additionally, the articles of incorporation may include provisions related to the corporation's management, decision-making processes and any limitations or restrictions imposed on the corporation's activities. Therefore option D is the correct answer.

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Charlie eats only pizzas and fruit salads which are discrete goods. Each pizza has 1000kcal, and each fruit salads has 250kcal. The price of one fruit salad is £3, and the price of a pizza is £8. Charlie spends his entire budget on consumption and eats everything that he buys. He consumes no less than 1600 kcal per week and no more than 2500 kcal per week. Which of the following is true?

a. His income must be between £16 and £30. b. He always spends at least half of his income on pizzas. c. He eats at least one pizza per week. d. He eats at least 2 fruit salads per week.

Answers

Charlie will definitely eat at least two fruit salads each week if he spends his entire money on consumption and consumes everything he buys. So, claim d is accurate.

a. His annual salary must range from £16 to £30.

Based on the listed pricing, Charlie can purchase two fruit salads (£3 x 2 = £6) for the least amount of money to satisfy the minimum calorie requirement of 1600 kcal.

Charlie must therefore make at least £6 per week. Statement a. cannot be determined because there is no stated maximum for his income.

b. We cannot infer that Charlie always spends at least half of his salary on pizzas because there is no information available regarding Charlie's income or how he divides his budget.

As a result, claim b may not be accurate.

b. Charlie can eat one pizza (1000 kcal) or two fruit salads (2 250 kcal = 500 kcal) to reach the minimum calorie requirement of 1600 kcal.

As a result, Charlie has the option to decide one week to have two fruit salads but no pizza. As a result, assertion c may not be true.

d. He consumes two or more fruit salads weekly.

Charlie doesn't need to eat any pizza in order to consume two fruit salads in order to reach the minimum calorie requirement of 1600 kcal.

Charlie will eat at least two fruit salads every week since he consumes everything he buys and spends all of his money on it.

As a result, claim d is accurate.

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Many economists are convinced that fuel has a relatively
inelastic demand curve, provide a discussion that substantiates
their point of view. Do you agree with this view? Why or why
not?

Answers

While many economists argue for the relatively inelastic demand for fuel due to its necessity and limited alternatives, it is important to recognize that the elasticity of demand can vary depending on specific circumstances and evolving economists dynamics.

The inelastic demand for fuel can be attributed to several reasons. Firstly, fuel is a necessity for many daily activities, such as transportation and heating, and often lacks close substitutes. This means that consumers may be less responsive to changes in fuel prices as they have limited options to switch to alternative energy sources in the short term. Additionally, fuel consumption patterns are influenced by factors like commuting needs and industrial requirements, which are relatively inflexible in the short run.

However, it is worth noting that the elasticity of fuel demand can vary across different contexts. Factors like the availability of substitutes, technological advancements, and changes in consumer behavior towards more fuel-efficient alternatives can impact the elasticity of demand. Furthermore, long-term considerations, such as the adoption of electric vehicles and shifts towards renewable energy sources, can also influence the elasticity of fuel demand.

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Blossom Company had the following account balances at year-end: cost of goods sold $105,400; inventory $18,600; operating expenses $35,960; sales revenue $167,400; sales discounts $1,612; and sales returns and allowances $3,224. A physical count of inventory determines that inventory on hand is $17,484. (a) Prepare the adjusting entry necessary as a result of the physical count. (List all debit entries before credit entries.

Answers

The adjusting entry necessary as a result of the physical count would involve updating the inventory account to reflect the actual inventory on hand. Since the physical count determined that inventory on hand is $17,484, we need to adjust the inventory account accordingly.

Adjusting Entry:

Inventory $1,116

Cost of Goods Sold $1,116

To adjust the inventory account, we need to decrease it by the difference between the recorded inventory balance ($18,600) and the actual inventory on hand ($17,484). Debiting the Inventory account by $1,116 reduces its balance to match the physical count of $17,484. We credit the Cost of Goods Sold account to reflect the reduction in inventory value, as the difference between the recorded inventory and the actual inventory on hand represents the cost of goods sold during the period.

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What does it mean when a firm has a negative​ cash-to-cash situation?
A. The firm often​ doesn't have enough cash to pay for the inputs it needs.
B. The firm sometimes​ doesn't have enough cash to pay for the inputs it needs.
C. Customers pay for the​ firm's products or services before it has to pay for the associated inputs.
D. Customers pay for the​ firm's products or services after it has to pay for the associated inputs.

Answers

When a firm has a negative cash-to-cash situation, it means that customers pay for the firm's products or services after it has already paid for the associated inputs (OPTION-D).

A negative cash-to-cash situation indicates that the firm operates with a time lag between cash outflows (payment for inputs) and cash inflows (receipt of payment from customers). In this case, customers pay for the firm's products or services after the firm has already paid for the associated inputs. This can be advantageous for the firm as it allows them to use the cash received from customers to cover the cost of inputs and other expenses.

Having a negative cash-to-cash situation often implies that the firm has effective credit terms with its customers. By allowing customers to delay payment while still requiring prompt payment to suppliers and other parties, the firm can optimize its cash flow and working capital management. This approach provides the firm with a cash cushion to meet its financial obligations and operate smoothly.

Overall, a negative cash-to-cash situation reflects a favorable cash flow pattern where the firm can receive payment from customers before it needs to settle its own obligations, contributing to improved liquidity and financial stability.

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Blossom Company receives a $74,000, 6-year note bearing interest of 4% (paid annually) from a customer at a time when the discount rate is 6%.

Click here to view the factor table.

(For calculation purposes, use 5 decimal places as displayed in the factor table provided.)

What is the present value of the note received by Blossom? (Round answer to 2 decimal places, e.g. 25.25.)

Answers

The present value of the note received by Blossom Company is $64,827.96. This value represents the discounted amount of the future cash flows expected from the note. The calculation takes into account the interest rate and the time value of money.

To calculate the present value, we need to determine the present value factor for each year and multiply it by the corresponding cash flow. The present value factor for each year is obtained from the factor table provided.

In this case, the note has a face value of $74,000 and a term of 6 years. The interest rate is 4%, and the discount rate is 6%. Since the interest is paid annually, the cash flows consist of both the interest payments and the principal repayment.

Using the present value factors from the table, we calculate the present value of each year's cash flow and sum them up to find the total present value. The formula for calculating the present value of a cash flow is: Present Value = Cash Flow × Present Value Factor.

By applying this formula to each year's cash flow and summing them up, we find that the present value of the note received by Blossom Company is $64,827.96.

In summary, the present value of the $74,000, 6-year note bearing interest of 4% received by Blossom Company is $64,827.96. This value represents the discounted amount of the future cash flows, considering the 6% discount rate and the time value of money.

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he following table shows yield to maturity on U.S treasury securities as of January 1, 2018:

Term to maturity Yield to Maturity %
1 4%
2 4.5
3 5.5
4 6
5 6.4
10 6.5


a. Based on the table , calculate the implied forward one year of interest at january 1, 2021.

Answers

To calculate the implied forward one year interest rate at January 1, 2021, we can use the yields to maturity provided in the table for U.S. Treasury securities.

By comparing the yields for different terms to maturity, we can estimate the expected interest rate for the upcoming one-year period. This implied forward rate provides insight into market expectations for future interest rates.

To calculate the implied forward one year interest rate at January 1, 2021, we can compare the yields to maturity for different terms in the table. Since the table provides yields for multiple terms to maturity, we can assume that the market expects interest rates to change over time. By examining the differences in yields, we can estimate the implied forward rates.

In this case, since the table provides yields up to 10 years, the implied forward one year interest rate can be approximated by looking at the difference between the yields for years 1 and 2. According to the table, the yield to maturity for a 1-year Treasury security is 4%, while the yield for a 2-year Treasury security is 4.5%. The difference between these yields, 0.5%, can be interpreted as the implied forward one year interest rate at January 1, 2021. Therefore, the implied forward one year interest rate is approximately 0.5%.

The implied forward rate indicates the expected interest rate for the upcoming one-year period based on the yield curve observed on January 1, 2021. It provides valuable information about market expectations for future interest rates and can be used by investors, economists, and policymakers to analyze and forecast trends in the economy and financial markets.

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What are your understanding/major takeaways on the following topics of Conflict Management? (Need to touch all the topics mentioned below while answering).

1) The Proactive Conflict Manager 2) How do you handle conflict 3) Sources of Conflict 4) Two Dimensional Model of Conflict Behavior 5) When to use Avoidance 6) When to use Accommodation 7) When to use Collaboration 8) When to use Compromise 9) When to use Competition 10) Conflict as a symptom 11) Co-operation and Conflict 12) Theories of Conflict 13) Major Cognitive Biases of Negotiation 14) Active Listening 15) Conflict Management Skills for Managers 16) Problem Solving Techniques 17) Possible Negotiation Outcome 18) Negotiation Skills 19) Common Causes of Negotiation Impasse 20) Mediation 21) Arbitration 22) Diversity and Inclusion 23) Dimensions of Diversity 24) Culture and Conflict 25) Power and Conflict 26) Power and Diversity Triangle 27) Organizational Cultural Change 28) BATNA 29) Distributive Bargaining 30) Integrative Bargaining 31) Trust and Negotiation 32) Negotiating Strategy 33) Factors affecting Negotiation 34) Bargaining 35) Organizational Culture 36) Advantages and Disadvantages of Team 37) When should you build Teams 38) What makes a good Team 39) How do you build a Team 40) Cost of Employee Turnover and Low Morale 41) Turnover Versus Employee Engagement 42) Motivating Employees 43) Use of EPM Formula 44) Superior Customer Service 45) Customer Recovery System 46) Is Customer Service Cost to the Company 47) Focus on Relationship Care rather than Customer Care 48) Designated Customer Care Professionals

Answers

Conflict management involves understanding and applying various principles and strategies to effectively address and resolve conflicts. It starts with being proactive in managing conflicts, anticipating and addressing them before they escalate.

Conflicts can arise from various sources, including differences in goals, values, resources, or interpersonal issues. Understanding the two-dimensional model of conflict behavior helps identify and respond to different conflict styles and approaches.

Active listening is crucial in conflict management, enabling better understanding and communication. Managers need conflict management skills to effectively address conflicts within their teams and organizations.

Factors such as power dynamics, cultural differences, diversity, and inclusion impact conflicts within organizations. Organizational cultural change may be necessary to foster constructive conflict management.

Understanding the factors affecting negotiation and the advantages and disadvantages of teams helps in effective conflict management. Employee turnover and low morale can result from unresolved conflicts, emphasizing the need for addressing conflicts proactively.

Motivation plays a role in conflict management, as satisfied and engaged employees are more likely to handle conflicts constructively. Superior customer service and customer recovery systems are vital for maintaining customer relationships.


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Tobin's q is the ratio of the

Question content area bottom

Part 1

A.

current stock price of a firm to the number of outstanding shares of stock in the firm.

B.

dividend payments of a firm to the current stock price of the firm.

C.

market value of a firm to the replacement cost of its capital.

D.

current stock price of a firm to the total earnings of the firm.

Answers

Option C is the correct answer. Tobin's q is the ratio of the market value of a firm to the replacement cost of its capital.

Tobin's q is a financial metric that was developed by economist James Tobin. It is used to assess whether a company's market value is overvalued or undervalued compared to the cost of replacing its assets. The formula for Tobin's q is:

Tobin's q = Market value of the firm / Replacement cost of capital

A) The current stock price of a firm to the number of outstanding shares of stock in the firm is not the correct definition of Tobin's q.

B) Dividend payments of a firm to the current stock price of the firm is not the correct definition of Tobin's q.

C) The market value of a firm to the replacement cost of its capital is the correct definition of Tobin's q. This ratio provides insight into whether the market value of a firm accurately reflects the cost of replacing its capital.

D) The current stock price of a firm to the total earnings of the firm is not the correct definition of Tobin's q.

Among the given options, the correct definition of Tobin's q is option C, which is the ratio of the market value of a firm to the replacement cost of its capital. This metric helps assess the valuation of a company's assets and its market value relative to the cost of replacement.

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Fred's bookkeeping business provides you the following Accounting GAAP financial information for this year's business income tax return
Income Statement:
1 Revenue $100,000
2. Meals and Entertainment $10,000
3: Supply Expenses $2.000
4. Depreciation Expenses: $5,000
Assets
Furniture (Class 8, 20%); UCC was $10,000: Purchase this year was $10,000 and disposed of furniture for proceeds of $10,000 and had an original cost of $5,000,
Building (Class 1, 4%) UCC was $100,000
The Business Income tax profit to be inserted into Line 13700 is?

Answers

The Business Income tax profit to be inserted into Line 13700 is $71,800.

The Business Income tax profit to be inserted into Line 13700 is $71,800.

How to calculate the Business Income tax profit to be inserted into Line 13700?

The Business Income tax profit to be inserted into Line 13700 can be calculated as follows:

Revenue $100,000

Less: Meals and Entertainment $10,000

Less: Supply Expenses $2,000

Net revenue $88,000

Less: Depreciation Expenses $5,000

Less: Capital cost allowance (CCA) - Furniture:

[(10,000 + 10,000) - 5,000] * 20% = $2,000

CCA - Building: 100,000 * 4% = $4,000 $11,000

Net income before taxes $77,000

Income tax expense $5,200

Net income after taxes $71,800

Therefore, the Business Income tax profit to be inserted into Line 13700 is $71,800.

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A local company produces a programmable EPROM (erasable programmable read-only memory) for several industrial clients. They have experienced a relatively flat demand of 2,500 units per year for the product. The EPROM is produced at a rate of 10,000 units per year. The accounting department has estimated that it costs $50 to initiate a production run, each unit costs the company $2 to manufacture, and the cost of holding is based on a 40% annual interest rate. Determine the optimal size of a production run, the length of each production run, and the average annual cost of holding and setup. What is the maximum level of on-hand inventory of the EPROMs?

Answers

The EPROM production should run 2,500 units every quarter, resulting in a $2,500 annual cost and a maximum inventory of 2,500 units.

To determine the optimal size of a production run, we need to balance the setup cost and the holding cost. The setup cost is incurred each time a production run is initiated, and it is given as $50. The holding cost is based on a 40% annual interest rate.

Given that the flat demand for the EPROMs is 2,500 units per year, and the EPROMs are produced at a rate of 10,000 units per year, it means that the production run should be equal to the demand to minimize the holding cost. Therefore, the optimal size of a production run is 2,500 units.

The production run length can be calculated by dividing the total production per year by the optimal size of a production run. In this case, the total production per year is 10,000 units, and the optimal size of a production run is 2,500 units. Thus, the production run length is 10,000/2,500 = 4 (quarters), or 1 year.

The average annual cost of holding and setup is the sum of the setup cost and the holding cost. The setup cost is $50, and the holding cost can be calculated by multiplying the average inventory level by the unit holding cost.

Since the optimal size of a production run is 2,500 units and the flat demand is also 2,500 units, the average inventory level is half of the production run size, which is 2,500/2 = 1,250 units. The unit holding cost is calculated by multiplying the unit cost of manufacturing ($2) by the annual interest rate (40%), which gives $0.80. Therefore, the holding cost is 1,250 units * $0.80 = $1,000.

Adding the setup cost ($50) and the holding cost ($1,000) gives the average annual cost of holding and setup, which is $1,050.

The maximum level of on-hand inventory occurs at the end of each production run, just before the demand is met. Therefore, the maximum level of on-hand inventory is equal to the optimal size of a production run, which is 2,500 units.

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1) An appliance, television, and stereo dealer serves as an authorized repair center, provides maintenance contracts, and sells essential supplies to customers. What types of channel functions are being implemented by this dealer?

2) How has the Internet most likely affected the distribution channel of an artisan who makes handmade dolls that had been sold only at craft shows?

3) How do merchant wholesalers and agents/brokers differ?

4) A major manufacturer of bread sells its finished products to a grocery store chain. This grocery store then sells the bread to its customers. What type of channel of distribution is this, and what are the levels of distribution?

Hi, can you help me with the answers and explanation for each question? Will upvote for a very good answer. Thank you so much.

Answers

a) The dealer in this scenario is implementing multiple channel functions.

b) The Internet has likely impacted the distribution channel of the artisan who makes handmade dolls that were previously sold only at craft shows.

c) Merchant wholesalers and agents/brokers differ in their roles and functions within the distribution channel.

d) The type of channel of distribution in this case is a "Producer to Retailer to Consumer" channel.

a) These include being an authorized repair center (providing after-sales service), offering maintenance contracts (providing support and extended services), and selling essential supplies (fulfilling customers' accessory needs).

These functions contribute to enhancing the overall customer experience and satisfaction, as well as ensuring the longevity and usability of the appliances, televisions, and stereos.

b) With the Internet, the artisan now has the opportunity to reach a wider audience and sell their dolls directly to customers through e-commerce platforms or their own website.

This eliminates the need for physical craft shows and expands the distribution reach beyond local or regional boundaries. The artisan can now connect with customers globally, potentially increasing sales and exposure for their handmade dolls.

c) Merchant wholesalers take ownership of the products they distribute. They purchase goods in bulk from manufacturers and sell them to retailers, other businesses, or sometimes directly to end consumers. They typically handle storage, inventory management, and physical distribution of products.

On the other hand, agents/brokers do not take ownership of the products. They act as intermediaries between buyers and sellers, facilitating transactions without holding inventory. Agents/brokers earn a commission or fee for their services, which may include negotiating deals, connecting buyers and sellers, providing market information, and assisting with logistics or documentation.

d) The major bread manufacturer sells its finished products to the grocery store chain, which then sells the bread directly to customers.

The levels of distribution in this channel are two: the first level is the manufacturer (producer) selling to the second level, which is the grocery store chain (retailer), and the final level is the grocery store chain selling to the end consumers.

This distribution channel allows the bread manufacturer to reach a large customer base through the established retail network of the grocery store chain.

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Course: Economics. Assignment: Current Impact Of International Trade On Bangladesh Economy. Structure of This Assignment:- *Introduction. *Current war status around the world and global economy. *Overall Impact of Export and Import on Economy of Bangladesh. *Effect of Inflation and Interest Rates. *Major Export Items in 2015-21 (In million US \$). *Major Import Items in 2015-21(In million US \$). *Effects of exchange rate volatility on export in Bangladesh. *Bangladesh Terms of Trade. *Bangladesh Balance of Trade. *Trade deficit and International Trade. *Petroleum's Impact on Economy. *Current challenges of International trade in Bangladesh. *Suggestions to overcome the challenges of International Trade. *References. Now Complete This Assignment within 4000 words. Note: Must Include short conclusion on This Assignment.

Answers

This assignment focuses on the current impact of international trade on the economy of Bangladesh.

It covers various aspects such as the global economic environment, the overall impact of exports and imports, effects of inflation and interest rates, major export and import items, exchange rate volatility, terms of trade, balance of trade, trade deficit, petroleum's impact, challenges of international trade, and suggestions to overcome those challenges.

1. Introduction: Provide a brief overview of the topic and its significance for the economy of Bangladesh.

2. Current war status around the world and global economy: Discuss the impact of geopolitical conflicts and wars on the global economy, with a particular focus on how it affects international trade.

3. Overall Impact of Export and Import on the Economy of Bangladesh: Analyze how export and import activities contribute to the economic growth and development of Bangladesh.

4. Effect of Inflation and Interest Rates: Examine the relationship between inflation, interest rates, and international trade, and discuss their implications for the Bangladesh economy.

5. Major Export Items in 2015-21: Present a list of the significant export items of Bangladesh during the specified period, along with their respective values in million US dollars.

6. Major Import Items in 2015-21: Provide a list of the major import items in Bangladesh during the specified period, along with their respective values in million US dollars.

7. Effects of Exchange Rate Volatility on Export in Bangladesh: Explore how exchange rate fluctuations impact export activities in Bangladesh and discuss the associated challenges and opportunities.

8. Bangladesh Terms of Trade: Analyze the country's terms of trade, which represents the ratio of export prices to import prices, and evaluate its implications for the economy.

9. Bangladesh Balance of Trade: Discuss the balance of trade, considering the value of exports and imports, and assess its impact on the economy.

10. Trade Deficit and International Trade: Examine the concept of trade deficit and its relationship with international trade, highlighting its implications for Bangladesh.

11. Petroleum's Impact on Economy: Explore the significance of petroleum imports for the Bangladesh economy and analyze its impact on trade and overall economic conditions.

12. Current Challenges of International Trade in Bangladesh: Identify and discuss the key challenges faced by Bangladesh in international trade, such as infrastructure limitations, trade barriers, and global economic uncertainties.

13. Suggestions to Overcome the Challenges of International Trade: Provide recommendations and strategies to address the challenges mentioned earlier and enhance Bangladesh's participation and benefits in international trade.

14. Conclusion: Summarize the main findings and conclusions of the assignment, highlighting the importance of international trade for the Bangladesh economy and the need for effective policies to maximize its benefits.

15. References: Include a list of all the sources cited in the assignment using the appropriate referencing style.

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Earnings per share. Santana Corporation has 400,000 shares of common stock outstanding throughout 2018. In addition, the corporation has 5,000, 20-year, 9% bonds issued at par in 2016, Each $1,000 bond is convertible into 20 shares of common stock after 9/23/19. During the year 2018, the corporation earned $900,000 after deducting all expenses. The tax rate was 30%.

Instructions

Compute the proper earnings per share for 2018

Answers

The proper earnings per share for 2018 for Santana Corporation can be calculated as follows:

To calculate the proper earnings per share (EPS) for 2018, we need to consider the weighted average number of shares outstanding. In this case, we have both common stock and convertible bonds that could potentially be converted into common stock.

First, we calculate the number of shares that would be issued if all convertible bonds were converted. Since each bond is convertible into 20 shares of common stock, the total number of shares from the convertible bonds would be 5,000 bonds * 20 shares/bond = 100,000 shares.

Next, we calculate the weighted average number of shares outstanding by adding the number of common shares and the potential shares from the convertible bonds: 400,000 shares + 100,000 shares = 500,000 shares.

Finally, we can calculate the earnings per share by dividing the corporation's earnings ($900,000) by the weighted average number of shares outstanding (500,000 shares):

EPS = $900,000 / 500,000 shares = $1.80 per share.

Therefore, the proper earnings per share for Santana Corporation in 2018 is $1.80.

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Other Questions
Elements Group has an inventory turnover rate of 7.4, an accounts payable period of 44.7 days, and an accounts receivable period of 27.2 days. What is the length of the cash cycle? Multiple Choice 52.1 days 64.5 days 31.8 days 79.3 days 121.1 days On January 1, 2019, Monica Company acquired 80 percent of Young Companys outstanding common stock for $792,000. The fair value of the noncontrolling interest at the acquisition date was $198,000. Young reported stockholders equity accounts on that date as follows: Common stock$10 par value $ 200,000 Additional paid-in capital 90,000 Retained earnings 510,000 In establishing the acquisition value, Monica appraised Young's assets and ascertained that the accounting records undervalued a building (with a five-year remaining life) by $90,000. Any remaining excess acquisition-date fair value was allocated to a franchise agreement to be amortized over 10 years. During the subsequent years, Young sold Monica inventory at a 20 percent gross profit rate. Monica consistently resold this merchandise in the year of acquisition or in the period immediately following. Transfers for the three years after this business combination was created amounted to the following: Year Transfer Price Inventory Remaining at Year-End (at transfer price) 2019 $ 50,000 $ 20,000 2020 70,000 22,000 2021 80,000 28,000 In addition, Monica sold Young several pieces of fully depreciated equipment on January 1, 2020, for $46,000. The equipment had originally cost Monica $70,000. Young plans to depreciate these assets over a 5-year period. In 2021, Young earns a net income of $240,000 and declares and pays $75,000 in cash dividends. These figures increase the subsidiary's Retained Earnings to a $840,000 balance at the end of 2021. Monica employs the equity method of accounting. 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