Answer:
The present value of security is $2300
Explanation:
The value or price of the perpetuity today is calculated by dividing the constant cash flow it provides per period by the interest rate or the rate of return (r). Thus the price of this perpetuity according to the formula will be,
Value of perpetuity = Cash flow / r
Value of perpetuity = 115 / 0.05
Value of perpetuity = $2300
Answer:. 1.cyclically balanced budget
2. annually balanced budget
3. functional finance
4. annually balanced budget
5. functional finance
Explanation:
policymakers should reduce spending and increase taxes when the economy is growing in order to prevent "overheating" ----Cyclically balanced budget
2. this approach was considered conventional wisdom until the advent of the great depression---Annually balanced budget
3. Policymakers should focus on keeping unemployment low and providing the people with the public goods and services they want.-----Functional finance
4. if insisted upon, would only worsen the economy during a recession--Annually balanced budget
5. ignores the impact of the budget on the business cycle.----functional finance
Answer:
The correct answer is letter "C": is used when selecting the appropriate leadership style for a given situation.
Explanation:
Leadership models represent the different methods individuals have and use at the moment of facing situations in which groups of people require guidance. There are several types of leadership models such as the contingency, descriptive, continuum, normative, path-goal, and prescriptive leadership models.
Choosing between one and another depends on the situation the leader is under what method matches better with his or her personal skills.
The investor will pay $ 21,304.88to receive an annuity of $38,820 each year for 10 years at 6% interest compounded continuously.
Given :
Interest on $600,000 worth of bonds = $38,820 per year
No. of years = 10 years
Discount rate = 6%
Compounding interval = Continuous compounding ( as given in the question)
We use the following formula to arrive at the Present Value:
PV = $ 21,304.88
Answer:
$2069
Explanation:
Given
Applied overhead costs of Goods sold = $59,300
Applied overhead cost of finished goods = $38,000
Overhead Balance = $97,300
Overhead Cost = $92,000
Overapplied Overhead = Overhead Balance - Overhead Cost
Overapplied Overhead = $97,300 - $92,000
Overapplied Overhead = $5,300
Allocated Amount = (Applied Overhead * Finished Goods /(Overapplied Overhead)
Allocated Amount = ($5,300 * $38,000) ($59,300 + $38,000)
Allocated Amount = ($5,300 * 38,000) (97,300)
Allocated Amount = $2069
Answer:
The over applied overhead which is allocated to finished goods inventory is $ 1,488.54
Explanation:
Determination of over or under applied overhead
Applied Manufacturing overhead $ 97,300
Actual factory overhead incurred $ 92,000
Overapplied manufacturing overhead $ 5,300
Allocation of over applied overhead is on basis of values in Cost of goods sold and Finished goods inventory.
Cost of goods Sold $ 59,300
Finished Goods inventory $ 38,000
Sum of COGS and Inventory $ 97.300
Over applied Overhead $ 5,300
Allocation Finished Goods inventory
$38,000/ $ 97,300 * $ 5,300 = $ 1,488,54
Allocation Cost of Goods sold
$ 59.300/ $ 97,300 * $ 5,300 = $ 3.811.46
Hedges of foreign currency firm commitments are speculative in nature.
Hedges of foreign currency firm commitments are used for future sales or purchases.
Hedges of foreign currency firm commitments are used for future purchases only.
Hedges of foreign currency firm commitments are used for future sales only.
Hedges of foreign currency firm commitments are used for future sales or purchases.
Hedge accounting is a form of accounting in which inputs to change a security's fair value and its opposing hedge are regarded as one. Hedge accounting seeks to mitigate the volatility caused by the frequent adjustment to the value of a financial instrument, also known as fair value accounting or mark-to-market. This volatility is decreased by merging the instrument and the hedge into a single entry, which offsets the movements of the opposite. Hedge accounting adjusts the fair value of a securities and its opposing hedge with a single entry.
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