Answer:
C. Balance sheet
Explanation:
If Rita and Jose want to assess their progress overtime and they want to read their status each year so, should prepare balance sheet for each year because balance sheet represent the organization's financial position. It tells us that what an organization had over the past years of business. All the income and losses of each year is accumulated in the balance sheet to show the net position at a point of time. Cash flow and federal income tax return are prepared to show the data specific period only.
Answer:
The correct answer is letter "C": Balance sheet.
Explanation:
For companies, the Balance Sheet is a statement of their net worth broken down into three sections: assets, liabilities, and equity. Assets are equal to liabilities plus equity. A balance sheet shows how much a company has, owes and invests in.
For individuals, a balance sheet will help them determine what their properties and debts are. The result, just like for companies, represents their net worth. Thus, Rita and Jose should make a balance sheet on their current belongings a liabilities to find out the differences of that report with others they can make inf the upcoming years.
Corporations raise capital primarily by issuing stock and issuing debt.
Repurchasing treasury stock and operating at a profit are not direct methods for raising capital.
To raise capital, corporations issue stock by offering ownership shares to investors. This can be done through an initial public offering (IPO) or secondary offerings. These transactions provide the corporation with funds to finance its operations or pursue growth opportunities.
Another way for corporations to raise capital is by issuing debt, such as bonds or loans. By borrowing money, the corporation can access funds to finance its operations without diluting ownership.
Repurchasing treasury stock involves buying back shares from the market, which does not raise capital. Instead, it can improve financial ratios and signal confidence in the company. Operating at a profit helps the corporation generate internal funds for growth, but it's not a direct method for raising capital.
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Answer:
Yes.
Explanation:
We know,
Accounting profit = Revenue - Explicit cost.
Economic profit = Revenue - Explicit cost - Implicit cost
Explicit cost is the day to day expenses, while the implicit cost is the expanses that have already occurred.
Therefore, the explicit cost may not be higher than the revenue. So accounting profit can be positive.
However, as we have to deduct the explicit cost as well as implicit cost from economic profit, it can be positive, negative, or even zero. So the statement is correct.
It is possible for accounting profit to be positive and economic profit to be negative when the implicit costs used in calculating economic profit are greater than the accounting profit. This indicates that the resources used in the business could generate higher returns if invested elsewhere.
Yes, it is indeed possible for accounting profit to be positive while economic profit is negative. This scenario arises due to the difference in what is considered a cost in the computation of each type of profit. Accounting profit is total revenue minus explicit costs, which are direct, out-of-pocket expenses. It does not consider implicit costs, which are the opportunity costs of using resources in one way instead of another. These might include the entrepreneur's time or the potential earnings that could have been generated if capital had been invested elsewhere.
On the other hand, economic profit is total revenue minus total cost, including both explicit and implicit costs. Even when a business is generating a positive accounting profit, if the implicit costs are higher than this accounting profit, the economic profit may be negative. This translates to the business not being as profitable as it could be if the resources had been invested elsewhere. This difference is important because while a business pays income taxes based on its accounting profit, whether it is economically successful depends on its economic profit. The decision to continue a business would depend on positive economic profit.
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Answer:
e. rent control that is set below the equilibrium price.
Explanation:
The law binds, ties, it forces the market to make trnasaction on this price.
The owners of the houses and building for rent would rent at a higher price than the stablished by the goverment.
This control force them to ggive a lower rent than they think is the right one for granting the right of use of his property.
As the housing market demand is quite inelastic and people need a place to live they cannot respond to price increase with a lower house demand. At most, they can move to low-income zone when the rent is more affordable.
The government is doing this control with the idea of ensure the families well-being to don't pay exorbitant prices in the housing market
YES HE DOES!
You can tell by the way he looks at her
Answer:
yes
Explanation:
Answer:
= $3 million
Explanation:
Banks are mandated by banking regulation to keep a percentage of their total deposit and can lend the balance. This is called the required reserve
The amount by which the total deposit exceeds the required reserve is called the excess reserve
The required reserve = Transaction × reserve requirement
= 0.10 × 100
= $ 10 million
Excess reserve = Transaction account balance - required reserve
= 100 - 10 = $90 million
With a decrease in reserve ratio to 0.07,
Excess reserve = 100 - (0.07 ×100)
= $ 93 million
Increase in excess reserve = $ (93 - 90) million
= $3 million
Answer:
Excess reserve will increase by $3 million
Explanation:
In this secanrio the reserve requirement is 0.10 that is 0.10* 100 million= $10 million.
The excess reserve is 100 million- 10 million= $90 million.
When there is a required reserve reduction to 0.07 then the reserve will be 0.07* $100 million= $7 million.
The excess reserve will be $100 million- 7 million= $93 million
Therefore the increase in excess reserve is $93 million- $90 million= $3 million