The research and development division of Anchor Inc., a manufacturing firm, has a sizeable number of engineers for its employees. The buying decisions related to the equipment to be used in the research and development of new technologies is primarily made by the engineers. Based on these traits, which of the following organization-specific factors is most relevant in the division's purchasing process? a. Monopolization
b. Segmentation
c. Orientation
d. Centralization

Answers

Answer 1

Answer:

Answer:

The correct answer is letter "C": Orientation.

Explanation:

The primary organization-specific factors are orientation, size of the organization, and degree of centralization. Orientation refers to the function of a company that controls the decisions in regards to purchases. The size of the organization implies decision making will be more centralized in larger firms while more decentralized in smaller firms. Finally, the degree of centralization states that even in highly autonomous corporations, some purchases might be subject to the approval of a manager who confirms the need for the assets being acquired.

Because in Anchor Inc. the purchase decisions are made by engineers the orientation organization-specific factor is more relevant in that company.

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Keystone Computer Timeshare Company entered into the following transactions during May 2017. Describe the effect of each transaction on assets, liabilities, and stockholders' equity. 1. Purchased computers for $20,000 from Data Equipment on account. 2. Paid $3,000 cash for May rent on storage space. 3. Received $15,000 cash from customers for contracts billed in April. 4. Performed computer services for Ryan Construction Company for $2,700 cash. 5. Paid Midland Power Co. $11,000 cash for energy usage in May. 6. Stockholders invested an additional $32,000 in the business. 7. Paid Data Equipment for the computers purchased in (1) above. 8. Incurred advertising expense for May of $840 on account.

Answers

Answer:

The change in each transaction is indicated by the bold letter. Also the numerical value has benn added or subtracted. At each transaction the total of the assets and the total of the liabilities and Owner's equity remains the same.

Explanation:

Keystone Computer Timeshare Company

Assets = Liabilities + Owner's Equity

1. + Computers = + Accounts Payable

+$20,000= +$20,000 +Owner's Equity

2. -Cash + Computers = + Accounts Payable +Owner's Equity- Expense

-3000 + 20,000= + 20,000 + OE - 3000

3. + Cash + Computers- Accounts Receivable = + Accounts Payable +Owner's Equity- Expense

12,000 + 20,000 - (15000) = + 20,000 + OE - 3000

4. + Cash + Computers- Accounts Receivable = + Accounts Payable +Owner's Equity- Expense+ revenue

12,000+2700 + 20,000 - (15000) = + 20,000 + OE - 3000+ 2700

5. - Cash + Computers- Accounts Receivable = + Accounts Payable +Owner's Equity- Expense+ revenue

1,000+2700 + 20,000 - (15000) = + 20,000 + OE - 3000+ 2700- 11000

6. + Cash + Computers- Accounts Receivable = + Accounts Payable + Owner's Equity- Expense+ revenue

33000+2700 + 20,000 - (15000) = + 20,000 + 32000 - 14000+ 2700

7. -Cash + Computers- Accounts Receivable = - Accounts Payable +Owner's Equity- Expense+ revenue

13000+2700 + 20,000 - (15000) = 32000 - 14000+ 2700

8. Cash + Computers- Accounts Receivable = +Accounts Payable Owner's Equity- Expense+ revenue

13000+2700 + 20,000 - (15000) = 840 +32000 - 14000+ 2700- 840

13000+2700 + 20,000 - (15000) =840 + 19,860

Assets = Liabilities + Owner's Equity

20,700 = 840 + 19,860

The bold letter in each transaction denotes the change. Additionally, the numerical value has been increased or decreased. The totals of the assets, liabilities, and owner's equity remain constant from transaction to transaction.

Timeshare company Keystone Computer

Assets are equal to Liabilities plus Owner's Equity.

1. Accounts Payable plus computers

$20,000 + Owner's Equity = $20,00

2. Owner's equity + Cash + Computers = + Accounts Payable + Expense

-3000 + 20,000= + 20,000 + OE - 3000

3. Accounts Payable + Owner's Equity + Cash + Computers - Accounts Receivable = Expense

12,000 + 20,000 - (15000) = + 20,000 + OE - 3000

4. Owner's equity + Cash + Computers + Accounts Receivable equals + Accounts Payable + Revenue + Expense

12,000+2700 + 20,000 - (15000) = + 20,000 + OE - 3000+ 2700

5. Owner's equity + Cash + Computers + Accounts Receivable + Accounts Payable = Expense + Revenue

1,000+2700 + 20,000 - (15000) = + 20,000 + OE - 3000+ 2700- 11000

6. Cash Computers = Accounts Payable + Accounts Receivable + Owner's Equity = Cost + Income

33000+2700 + 20,000 - (15000) = + 20,000 + 32000 - 14000+ 2700

7. Cash + Computers + Accounts Receivable = Owner's Equity + Accounts Payable + Expense + Revenue

13000+2700 + 20,000 - (15000) = 32000 - 14000+ 2700

8. Cash + Computers - Accounts Receivable - Accounts Payable = + Accounts Payable Owner's Equity - Expense + Revenue

13000+2700 + 20,000 - (15000) = 840 +32000 - 14000+ 2700- 840

13000+2700 + 20,000 - (15000) =840 + 19,860

Assets are equal to Liabilities plus Owner's Equity.

20,700 = 840 + 19,860

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Pat has 4 hours to spend either studying for a test or playing a new video game. If Pat spends all of that time studying, Pat can score a 92 on the test. If Pat plays for 1 hour, Pat's test score falls 5 points. For playing a second hour, Pat's score falls by another 7 points. Playing for a third hour will lower Pat's score by another 10 points. Refer to the information above. The intercept on the test score axis of Pat's PPC is: A. 100

B. 92

C. 5 hours

D. 4 hours

Answers

Answer:

B. 92

Explanation:

The intercept is the point at which a function met with the Y axis.

On the Y axis will be the score

On the X axis the videogames hours

At more videogames hours less score and at less videogames hours more score.

We are asked for the value of score for 0 hours of dividends:

at X = 0 then Y = 92

Answer:

Explanation:

If the unemployment rate falls below its long-run level, which policies would be appropriate to stabilize output? a. increase the money supply, increase taxes b. increase the money supply, cut taxes c. decrease the money supply, increase taxes d. decrease the money supply, cut taxes

Answers

Answer:

c. decrease the money supply, increase taxes

Explanation:

Unemployment rate lower than the natural rate of unemployment (long run unemployment), creates inflationary gap in the economy. It requires policies to be contractionary in nature. Hence, money supply should decrease and tax should increase to correct the economy.

The following data pertains to Xena Corp.: Xena Corp. Total Assets $23,610 Interest-Bearing Debt (market value) $11,070 Average borrowing rate for debt 10.2% Common Equity: Book Value $ 6,150 Market Value $25,830 Marginal Income Tax Rate 37% Market Beta 1.73 Determine the weight on equity capital that should be used to calculate Xena's weighted-average cost of capital. Select one: A. 73.8%
B. 70.0%
C. 24.0%
D. 38.7%

Answers

Answer:

Option (B) is correct.

Explanation:

Given that,

Total Assets = $23,610

Interest-Bearing Debt (market value) = $11,070

Average borrowing rate for debt = 10.2%

Common Equity:

Book Value = $6,150

Market Value = $25,830

Marginal Income Tax Rate = 37%

Market Beta = 1.73

Hence,

Weight on equity capital = Equity ÷ (Debt + Equity)

= 25,830 ÷ (11,070 + 25,830)

= 25,830 ÷ 36,900

= 70%

Therefore, the weight on equity capital is 70%.

Sarah is having a hard time finding a template for her advertising business that she may be able to use at a later date and also make it available to her colleagues.

Answers

Answer:

The advertising business could use Sarah's template and give it to her colleagues and sell it out to everyone.

Explanation:

She can then use the other templates for a later date and make it availbale to her colleagues whenever they need it.

A: creating a custom template

Given labor is on the horizontal axis and capital is on the vertical axis, as the price of labor increases, the isocost line becomes flatter . If both the price of labor and capital rise in the same proportion, which of the following will occur (holding production costs constant)? A. The isocost line becomes flatter. B. The isocost line makes a parallel shift inward. C. The isoquant makes a parallel shift outward. D. The isocost line shifts outward. E. The isocost line becomes steeper.

Answers

Answer:

B The isocost line makes a parallel shift inward

Explanation:

This is because the increase in price is proportional ,less of labor and capital can be bought,and isocost line shifts inward parallely.

Final answer:

If both the price of labor and capital increase proportionally while holding production costs constant, the isocost line makes a parallel shift inward, indicating less of both inputs can be afforded for the same level of expenditures.

Explanation:

When considering the effects of changes in the prices of inputs such as labor and capital on the production process, the representation of these changes can be seen on an isocost line in a graph where labor is on the horizontal axis and capital is on the vertical axis. If the price of labor increases, typically the isocost line becomes flatter; however, if both the price of labor and capital rise in the same proportion and production costs remain constant, the result is choice B: The isocost line makes a parallel shift inward. This reflects that at the new higher prices, the firm can afford less labor and less capital for the same level of expenditures, hence the isocost line moves closer to the origin of the graph.

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For each of the following independent situations, prepare journal entries to record the initial transaction on December 31 and the adjustment required on January 31. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)a. Magnificent Magazines received $16,800 on December 31, 2015, for subscription services related to magazines that will be published and distributed in January through December 2016.b. Walker Window Washing paid $1,680 cash for supplies on December 31, 2015. As of January 31, 2016, $280 of these supplies had been used up.c. Indoor Raceway received $4,200 on December 31, 2015, from race participants for providing services for three races. One race is held in January 31, 2016, and the other two will be held in March 2016.1. Record the receipt of $16,800 on December 31, 2015, for subscription services related to magazines that will be published and distributed from January through December 2016.2. Record the January 31, 2016 adjusting entry for the December 31, 2015 receipt of $16,800 for magazine subscriptions to be published January through December 2016.3. Record the payment of $1,680 cash for supplies by Walker Window Washing on December 31, 2015. As of January 31, 2016, $280 of these supplies had been used up.4. Record the January 31, 2016 adjusting entry for the December 31, 2015 cash payment of $1,680 for supplies. As of January 31, 2016, $280 of these supplies had been used up.5. Record the receipt by Indoor Raceway of $4,200 on December 31, 2015, from race participants for providing services for three races. One race is held on January 31, 2016, and the other two will be held in March 2016.6. Record the January 31, 2016 adjusting entry for the December 31, 2015 receipt of $4,200 from race participants for providing services for three races. One race is held on January 31, 2016 and the other two will be held in March 2016.

Iron Works International is considering a project that will produce annual cash flows of $38,200, $46,900, $57,600, and $23,100 over the next four years, respectively. What is the internal rate of return if the project has an initial cost of $112,800