A group of analysts are reviewing the financial results of Airline A and Airline B. Both are​ medium-sized companies that operate domestic flights. Airline A has reported huge profits for the year compared to losses in the previous years. On the other​hand, Airline B reported losses mainly because of the costs associated with the servicing of its​ $3 billion debt. One of the analysts advocates investing in Airline A because of the reported numbers and the attractive valuation of it stock. Another analyst argues that Airline B is a better investment target as it could be possibly turned around.Which of the​ following, if​ true, would weaken the argument that Airline A is a good candidate for​ investment?

A.

The bulk of Airline​ A's profits came from​ other income which included the sale of some of its fleet.

B.

In anticipation of increased​ demand, Airline A has set aside funds for buying medium sized jets for​ short-haul routes.

C.

A look at the stock price and the balance sheet of Airline A reveals that the​ company's stock is trading below its book value.

D.

Airline A plans to reduce flights to sectors where the traffic volume is low.

E.

The​ company's cost per passenger mile traveled is different from a typical cost per mile traveled in the commuter rail industry.

Answers

Answer 1
Answer:

Answer:

A) The bulk of Airline​ A's profits came from​ other income which included the sale of some of its fleet.

Explanation:

Investment in favor of Airline A would severely be hindered if it is found out that the bulk of Airline​ A's profits came from​ other income which included the sale of some of its fleet.

This is because it would mean that Airline A is unable to keep up with its costs and thus is divesting its operations. Divesting is never a good sign for a firm looking to gain advantage in the future. Furthermore this explains why there was a sudden shift from loss making in the previous years to profits in the current year. A detailed inspection would be needed to eliminate uncertainty and as such any investment decisions in favor of airline A would not be justified.

Option B, C and D is efficient management and would make Airline A more lucrative for investment as it would mean management is eagerly looking to cut inefficient operations.

Option E would require more information to weaken the argument.

Hope that helps.


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Being an effective team leader means satisfying a demand set of essential operating responsibilities and requirements while still promoting the creativity, leadership ability, and cohesiveness of team members.A. True B. False

Answers

Answer: The correct answer is "A. True".

Explanation: The statement "Being an effective team leader means satisfying a demand set of essential operating responsibilities and requirements while still promoting the creativity, leadership ability, and cohesiveness of team members." is absolutely TRUE because being an effective team leader not only means fulfilling the responsibilities demanded by the position of leader but also through different motivational and communication techniques promoting creativity and good performance of each member, with the aim of increasing the team efficiency together.

With respect to the WBS numbering system, which of the following statements is true? A. The numbering system is a unique identifier known as the code of accounts, which is used to track the costs of the WBS elements. B. The numbering system is a unique identifier known as the code of accounts, which is used to track time and resource assignments for individual work elements. C. The numbering system is a unique identifier known as the WBS dictionary, which is used to assign quality control codes to the individual work elements. D. The numbering system is a unique identifier known as the WBS dictionary, which is used to track the descriptions of individual work elements.

Answers

Answer:

A

Explanation:

What is one course of action available in every decision making process?a. Respond in a way which will have only positive consequences
b. Respond in a way which will have no negative consequences
Choose to do nothing about the issue
d. None of the above
Please select the best answer from the choices provided
А

Answers

Answer:

Answer C

Explanation:

During January, Luxury Cruise Lines incurs employee salaries of $2.9 million. Withholdings in January are $221,850 for the employee portion of FICA, $435,000 for federal income tax, $181,250 for state income tax, and $29,000 for the employee portion of health insurance (payable to Blue Cross Blue Shield). The company incurs an additional $179,800 for federal and state unemployment tax and $87,000 for the employer portion of health insurance.Required:
A) Record the employee salary expense, withholdings, and salaries payable.
B) Record the employer-provided fringe benefits.
C) Record the employer payroll taxes.

Answers

Explanation:

The journal entries are shown below:

a. Salaries expense $2,900,000

             To Income tax payable $616,250  ($435,000 + $181,250)

             To FICA tax payable  $221,850

             To Account payable $29,000

             To Salaries payable $2,032,900

(Being the employee salary expense, withholdings, and salaries payable is recorded)

b. Salaries expense $87,000

                 To Account payable $87,000

(Being the employer-provided fringe benefits is recorded)

c. Payroll tax expense $179,800

   FICA tax expense $221,850

              To Unemployment tax payable $401,650

(being the employer payroll taxes is recorded)

The Food and Drug Administration is targeting salt in processed foods as a health hazard, and some experts believe the agency will require food manufacturers to limit the amount of salt in processed foods. However, the reduction will occur in phases, with salt content being reduced in steps so that consumers will be weaned off of salt gradually. Carefully controlled research studies are underway in which the salt levels are varied and consumers' reactions to the taste are measured. This research is an example of:________ a) causal research
b) conditional research
c) exploratory research
d) objective research
e) descriptive research

Answers

Answer:

d) objective research

Explanation:

We need to note that mention was made that the research was "Carefully controlled." Been carefully controlled shows that the research has an objective.

Furthermore, measuring the reactions of consumers at different salt levels makes the research factual and thus a decision could be made from the findings.

Final answer:

The research being conducted on salt levels in processed foods and consumers' reactions to taste is an example of descriptive research.

Explanation:

The research being conducted, in which salt levels in processed foods are varied and consumers' reactions to taste are measured, is an example of descriptive research. Descriptive research is aimed at describing or characterizing a phenomenon or group of phenomena and does not give explanations for the observed phenomena. In this case, the research is focused on describing the impact of varying salt levels on consumers' reactions to taste, without attempting to establish causal relationships or explanations for those reactions.

Learn more about Descriptive research here:

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At December 31, 2017, Sweet Corporation had a projected benefit obligation of $561,600, plan assets of $331,900, and prior service cost of $120,300 in accumulated other comprehensive income. Determine the pension asset/liability at December 31, 2017. (Enter liability using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Pension asset/liability at December 31, 2017

Answers

Answer:

Pension liability at December 31, 2017 is ($229,700)

Explanation:

Projected benefit obligation                         $561,600

Less: Plan assets                                           $331,900

Pension liability at December 31, 2017     -$229,700

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