The unit cost of a cell phone is $126.50.
What is cell phone?
A portable telephone that can make and receive calls more than a radio frequency link whereas the user is travelling inside a telephone service area is known as a mobile phone, cellular phone, handphone, cell phone, cellphone, pocket phone, handphone, or just phone. The radio frequency link creates a connection with a mobile phone operator's switching systems, granting access to the public switched telephone network (PSTN). In North America, mobile phones are referred to as cell phones or cellular telephones since modern mobile phone services use a cellular network design.
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a stock has an expected return of 13 percent, its beta is 1.10, and the risk-free rate is 4 percent. what must the expected return on the market be? (do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
The expected return on the market will be 12.18%.
the return an investor expects to make on an investment based on that investment's historical or probable rate of return under varying scenarios.
How to calculate the expected return on the market?
Expected return of stock as per CAPM = Rf + beta*(Rm-Rf)
Rf is risk free rate = 0.04
beta = 1.1
expected return of stock as per CAPM = 0.13
Now let's use the formula
0.13 = 0.04 + 1.1 * (Rm - 0.04)
0.13 = 0.04 + 1.1Rm - 0.044
Rm = 0.134 / 1.1 = 0.12181818 = 12.18%
So the expected return on the market will be 12.18%
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the following information was drawn from the accounting records of jones company. net sales $ 400,000 net income 50,000 average total assets 500,000 average total liabilities 300,000 average total stockholders' equity 200,000 based on this information, the company's net margin (also known as return on sales) is
The company's net margin (also known as return on sales) is 12.5%
Return on sales is a financial statistic that assesses how much money a business makes from a sale in relation to its spending or operating costs over the same time period. Operating profit margin and efficiency ratio are two more frequent terms for ROS.
A higher return on sales ratio is preferred since it denotes more operational effectiveness. A declining ROS could be an indication of financial fragility. The income statement of the company includes the ROS. This financial statement shows a company's net profit by breaking out its total revenue, costs, and losses over a given time frame (or net loss).
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which of the following are evaluated in fundamental analysis? a) the direction of the economy. b) a firm's position within its industry. c) a firm's financial statements. d) all of these.
Fundamental evaluation is the manner of identifying the mannequin price of a futures contract, now and in the future the use of elements like micro financial data, macro-economic information and industry economic conditions.
Why is vital evaluation done?It helps in deciding company's fair fee and also helps to determine whether it is undervalued or overvalued. The integral analyst would love to purchase the inventory if the present day market price is below its intrinsic price and would sell the stock when the market fee goes a long way above the intrinsic value.
This can be the function of the enterprise analyst. Often strategic evaluation has four critical parts: present state, future state, risk, and transitional analysis.
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https://brainly.com/question/22523967#SPJ4your parents are giving you $160 a month for 4 years while you are in college. at an interest rate of .39 percent per month, what are these payments worth to you when you first start college in one month?
The payments are worth $7619.17 when you first start college
A common way of financing future expenditures like retirement and college education is through making periodic contributions to a saving account. In this case, the stream of contributions constitutes an annuity. A key piece of information is the future value of the annuity.
In this question, the stream of payments constitutes an annuity, and the question asks about the present value of an annuity. We can use the following formula to compute the future value of an annuity:
[tex]{}\displaystyle \frac{M(1 - (1 + r)^{-T})}{r} {}[/tex]
where M is the periodic payment, r is the periodic return, and T is the number of payments.
In this question, the monthly payment is 160, the monthly interest rate is 0.39%/12 = 0.0325%, and there are 4 * 12 = 48 payments. Applying the formula, the value is:
[tex]{}\displaystyle \frac{160(1 - (1 + 0.0325\%)^{-48})}{0.0325\%} = 7619.17 {}[/tex]
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Suppose the government spending multiplier is 2. The federal government cuts spending by $40 billion. What is the change in gdp if the price level is not held constant?.
The changes in GDP if the price level is not held constant a decrease of less than $80 billion.
Gross domestic product is a monetary measure of the market value of all final goods and services produced and sold by a country in a given period of time. Due to its complex and subjective nature, this indicator is often revised before being considered a reliable one.
GDP measures the monetary value of the final goods and services produced (that is, purchased by final consumers) in a country over a specified period of time (such as a quarter or a year). Counts all electricity generated within a country's borders.
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Which of the following statements about the installments for a fixed period settlement option in life insurance policies is NOT true?
a. the periodic payment amount is determined by the beneficiary's age
b. the shorter the period of time, the larger each installment
c. the longer the period of time, the smaller each installment
d. the installment payments are composed of both principal and interest
The statement which is not true about fixed period settlement is the periodic payment amount is determined by the beneficiary's age(Option A).
- More about fixed period settlement :
- Fixed Period Option: This settlement option for life insurance entails leaving the policy monies on deposit with the insurance provider to earn interest before making equal annual payments to the beneficiary.
- The payee sets the frequency of payments; the death proceeds set the benefit amount. For instance, an income benefit of $1,000 per month is given for 48 months until all income payments come to an end.
- The fixed period settlement option's main goal is to guarantee that your beneficiary receives a steady income stream for a predetermined period of time. The beneficiary should have a debt like a mortgage that demands regular payments for it to be most suitable.
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The inventory that companies hold to protect themselves against uncertainties in either demand or replenishment time is called.
The inventory that companies hold to protect themselves against uncertainties in either demand or replenishment time is called safety stock.
Safety stock is the inventory stock kept by a firm when there happens a sudden fluctuation in the demand and supply. In other words, safety stock is an excess or surplus stock kept in order to face a situation where there is a chance of out-of-stock happening. Hence safety stock helps the companies to move with their business even in times of uncertainty.
protection stock is a time period utilized by logisticians to describe a stage of greater stock this is maintained to mitigate the danger of stockouts (shortfall in uncooked material or packaging) because of uncertainties in delivery and demand.
adequate protection inventory levels permit enterprise operations to continue according to their plans. protection inventory is held while uncertainty exists in call for, deliver, or manufacturing yield, and serves as an insurance in opposition to stockouts. protection inventory is an additional amount of an object held in the inventory to lessen the risk that the object can be out of stock.
It acts as a buffer stock in case income are extra than deliberate and/or the provider is unable to deliver the extra gadgets on the anticipated time.
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carrying insufficient quantities of inventory on hand:
Carrying insufficient quantities of inventory on hand: may result in lost sales.
Inventory (American English) or inventory (British English) refers to the products and substances that a business holds for the remaining purpose of resale, manufacturing, or utilization.Inventory management is an area more often than not approximately specifying the form and site of stocked goods. It is needed at exclusive places inside a facility or inside many places of a delivery community to precede the ordinary and deliberate direction of manufacturing and inventory of substances.
The idea of stock, inventory or paintings in system (or paintings in progress) has been prolonged from production structures to provider businesses and projects, through generalizing the definition to be "all paintings inside the system of manufacturing - all paintings this is or has took place previous to the final touch of manufacturing". In the context of a product manufacturing system, stock refers to all paintings that has taken place – uncooked substances, partly completed merchandise, completed merchandise previous to sale, and departure from the producing system. In the context of services, stock refers to all paintings finished previous to sale, such as partly system information.
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employee evaluation systems that rank employees in tiers for purposes of raises and termination violate the fair labor standards act. group of answer choices true false
Employee evaluation systems that rank employees in tiers for purposes of raises and termination violate the fair labour standards act. This statement is false.
What is fair labour standards act?
The fair labor standards act (FLSA) is a United States law designed to protect workers from certain unfair wage practices. As such, the FLSA establishes various labor regulations related to interstate employment in commerce, including minimum wages, overtime pay requirements, and restrictions on child labor. The FLSA — passed in 1938 and undergoing many changes over the years — is one of the most important laws employers should understand and whether or not an employee is salaried. Regardless, it contains various rules on how to treat workers. It will be an hourly wage system.
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The program chair in the business administration division is retiring at the end of the year, but jana has no desire to apply for the position because she knows it would mean longer hours and more administrative work for not much more money. Which aspect of expectancy theory does this best describe?.
The expectancy theory states that employees are more motivated to perform when they know the extra effort will be recognized and rewarded.
What is expectancy theory?it represents the relationship between student expectations for task success or goal attainment in relation to the value of task completion or goal attainment.Employee motivation is the result of their hard work. How much reward a person desires (valence), an assessment of the likelihood that efforts will yield desired results (expected value), and the belief that performance leads to reward (instrumentation).It suggests that an action is motivated by an expected result or outcome. victor suggested that people choose to behave in certain ways based on the expected consequences of their chosen behavior.expectancy theory is also known asInstrumentality theory, path-goal theory, and Valence-Instrumentality-Expectancy (VIE) theory.ERG theorythus, is theory given by victor vroom tells that employees are more motivated to perform when they know the extra effort will be recognized and rewarded.
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an investor who has selected an overall asset mix of 60% stocks, 30% bonds, and 10% cash equivalents and who expects to keep that allocation for the long term is most likely employing a) dynamic asset allocation. b) tactical asset allocation. c) core-satellite asset allocation. d) strategic asset allocation.
D) Strategic asset allocation is related to a long-term investment strategy that takes into account the long-term return from stocks, bonds, and cash equivalents.
As a result, an investor invests in a mix of 60% stocks, 30% bonds, and 10% cash equivalent for the long term.
When creating and maintaining a healthy investment portfolio, asset allocation is a crucial component. After all, it is even more important than selecting individual stocks for your overall returns. Your portfolio's asset mix of stocks, bonds, cash, and real estate must be constantly adjusted. As a result, your goals should be reflected in the asset mix at any given time.
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stateless corporations transcend nationality by remaining loyal to their home country in every global market they enter.
The statement 'stateless corporations transcend nationality by remaining loyal to their home country in every global market they enter' is false.
In the field of business, multinational companies are referred to as stateless corporations.
Stateless corporations have the intention to expand their business in different countries and places across the world. Such companies or corporations are not limited to their home country and expand their business to countries that provide much better revenue.
We can say that the stateless corporations are not loyal to their home country as they represent their brand name and represent themselves as being international in the global market.
Although a part of your question is missing, you might be referring to this question:
Stateless corporations transcend nationality by remaining loyal to their home country in every global market they enter. True or false
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Review the following statements and select the ones which accurately describe a Petty Cash fund. Select all answers which apply.
a. It is an asset reported on the balance sheet.
b. It is an expense reported on the income statement.
c. It is established to pay for small payments like low-cost supplies and shipping fees, etc.
d. It is an account used to record small sales amounts.
A. It is an asset reported on the balance sheet.
c. It is established to pay for small payments like low-cost supplies and shipping fees, etc. accurately describe a Petty Cash fund. Select all answers which apply.
A balance sheet is a summary of the financial balances of an person or organisation, whether or not it be a sole proprietorship, a enterprise partnership, a agency, non-public limited company or other agency together with government or no longer-for-income entity.
A balance sheet is a economic announcement that incorporates information of a enterprise's belongings or liabilities at a particular factor in time. it is one of the 3 center economic statements (earnings assertion and cash waft declaration being the opposite ) used for comparing the performance of a enterprise.
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if the yield to maturity decreased 1 percentage point, which of the following bonds would have the largest percentage increase in value? a 10-year bond with a 12 percent coupon. a 1-year bond with an 8 percent coupon. a 10-year zero-coupon bond. a 1-year zero-coupon bond. a 10-year bond with an 8 percent coupon
The 10year zero coupon bond has the greatest proportion increase in value.
What occurs to bond charge when YTM decreases?Without calculations: When the YTM decreases, the price of the bond increases. (Note that you do not need calculations for this price, because the YTM is equal to the coupon rate). to a trade in the pastime rate (YTM).
What reasons yield to maturity to decrease?The YTM is only a image of the return on a bond because coupon payments can't constantly be reinvested at the equal activity rate. As hobby fees rise, the YTM will increase; as pastime quotes fall, the YTM will decrease.
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https://brainly.com/question/29360027#SPJ4The ability of a business to pay its debts as they come due and to earn a reasonable amount of income is referred to as
a) solvency and leverage
b) solvency and profitability
c) solvency and liquidity
d) solvency and equity
The correct option is (b) solvency and profitability. The ability of a business to pay its debts as they come due and to earn a reasonable amount of income is referred to as solvency and profitability.
affordable time is that amount of time, which is fairly necessary, with no trouble, to do something is required to be achieved, as quickly as situations allow. This word is a U.S. prison term that has been a topic of controversy for decades. it is generally used in connection with appearing a motion or remitting payment, but that is a totally indistinct time period which reasons litigation problems in lots of court docket instances.
Uniform business Code segment 2-206(2) requires that attractiveness of a suggestion be made inside a "reasonable time" if no time is precise: wherein the start of a requested overall performance is an inexpensive mode of popularity, an offeror who is not notified of recognition inside an inexpensive time may additionally deal with the offer as having lapsed earlier than attractiveness.
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There are advantages to using each of the four inventory costing methods. Identify the statements below that are correct regarding these advantages. (Check all that apply.)
a. FIFO assigns an amount to inventory on the balance sheet that approximates its current cost.
b. Reason: This is because the earlier costs are sold, so the latest costs are what are left in ending inventory.
c. FIFO assigns an amount to cost of goods sold on the income statement that approximates its current replacement cost.
Reason: LIFO does this.
d. Weighted average tends to smooth out erratic changes in costs.
e. LIFO mimics the actual flow of goods for most businesses.
Reason: FIFO mimics the actual flow of goods for most businesses.
FIFO assigns an amount to inventory on the balance sheet that approximates its current cost.
The 4 main stock valuation methods are FIFO or First-In, First-Out; LIFO or remaining-In, First-Out; precise identity; and Weighted common value.
FIFO (first in, first out) inventory control seeks to price stock so the business is much less probably to lose cash when products expire or come to obsolete.
LIFO (final in, first out) stock management is better for nonperishable goods and makes use of contemporary charges to calculate the value of goods bought.
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Answer:FIFO assigns an amount to inventory on the balance sheet that approximate its current cost.
Weighted average tends to smooth out erratic changes it costs.
Explanation:
change requests and verified deliverables are the outputs of the controlling quality process.
a. true
b. false
Change requests and verified deliverables are the outputs of the controlling quality process. this statement is true.
A business process, business method, or business function is a group of related, structured activities or tasks by individuals or instrumentality within which a particular sequence produces a service or product (serves a specific business goal) for a particular client or customer. Business processes occur in the least structure levels and should or might not be visible to the customers.
A business process may usually be visualized (modeled) as a flowchart of a sequence of activities with interleaving call points or as a process matrix of a sequence of activities with connection rules supported by knowledge within the process. The edges of exploitation business processes embrace improved customer satisfaction and improved lightness for reacting to speedy market change. Process-oriented organizations break down the barriers of structural departments and check out to avoid functional silos.
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______ have the fewest staff members per inmate.
Federal prisons have the fewest staff members per inmate.
What is the prisoner-to-guard ratio?
rate and a shorter duration of anticipated confinement than in larger jails.2016; The ratio of correctional officers to inmates was four to one. Were held in county and city jails across the US.
Who spends most time in jail?
Men are 9.0% more likely than women are (1.1%) to be incarcerated at least once in their lifetime. Among men, blacks (28.5%) are about two times as possible as Hispanics (16.0%) and multiple times more probable than whites (4.4%) to be confessed to jail during their life.
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When comparing the annual inflation rate in the United States based on the CPI with the annual inflation rate based on the PCE price index, the data show that the two inflation rates
An expand in the average charge of goods and offerings over time is what economists refer to as inflation.
The Consumer Price Index is a size of the inflation that people come across in their day-today lives as a reflection of the ordinary inflation rate.
What is the distinction between the CPI and the PCE?CPI sources records from consumers, while PCE sources from businesses. The scope impact is a end result of the different types of expenditures CPI and PCE track. For example, CPI solely tracks out-of-pocket consumer clinical expenditures, however PCE additionally tracks fees made for consumers, accordingly inclusive of business enterprise contributions.
What is the PCE inflation rate?Disposable private income (DPI) improved $71.3 billion (0.4 percent) and non-public consumption fees (PCE) elevated $113.0 billion (0.6 percent). The PCE price index elevated 0.3 percent. Excluding meals and energy, the PCE rate index increased 0.5 percent (table 9).
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https://brainly.com/question/8149429#SPJ41. The apartment was so cool, but there is no bus stop within miles and I don't have a car. Rent
Not rent
2. The renting agent says I have to rent for at least one year. But I'm not sure how many months I'll be in town.
Rent
Not rent
3. I'm not sure how many months I'll be in town. The renting agent says I can leave with 30 days notice.
Rent
Not rent
4. It fits my budget, and I can get to school and work easily.
Rent
Not rent
5. The apartment is great! Bigger bath than I have at home. Close to work! Rent is reasonable! On the "down side," I like cranking my tunes, but the walls are thin and this apartment is loaded with retirees. Plus, they don't allow pets, and I'm thinking about getting a pet boa constrictor.
Rent
Not rent
6. I did my homework on the landlord and found out he has a lot of complaints against him from former renters. He never repairs problems in apartments and never gives deposits back without a fight.
The apartment was so cool, but there is no bus stop within miles and I don't have a car. This was the based on the not rent. Thus, option (b) is correct.
The renting agent says I have to rent for at least one year. But I'm not sure how many months I'll be in town. This was the based on the rent. Thus, option (a) is correct.
I'm not sure how many months I'll be in town. The renting agent says I can leave with 30 days notice. This was the based on the rent. Thus, option (a) is correct.
What is rent?The term rent refers to the based on the deal with the landlord and tenant's. The landlord was the received the payment on the behalf of the give the property was the used.
It fits my budget, and I can get to school and work easily. This was the based on the rent.
The apartment is great! A bigger bath than I have at home. This was the based on the rent.
I did my homework on the landlord and found out he has a lot of complaints against him from former renters. This was the based on the not rent.
As a result, the significance of the sentence are rent or not rent are the aforementioned.
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Calculate the amount of depreciation to report during the year ended december 31 for equipment that was purchased at a cost of $43,000 on october 1. The equipment has an estimated residual value of $3,000 and an estimated useful life of five years or 20,000 hours.
Depreciation in accounting refers to an indirect and express fee that a company incurs every 12 months whilst using a constant asset such as equipment, machinery, or steeply-priced tools.
It is the depleting value of a tangible asset. The price of the belongings gets depleted due to constant use for business purposes
What is the formulation to calculate depreciation?Use the following steps to calculate month-to-month straight-line depreciation: Subtract the asset's salvage fee from its value to determine the amount that can be depreciated. Divide this amount through the variety of years in the asset's useful lifespan. Divide via 12 to inform you the month-to-month depreciation for the asset.
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https://brainly.com/question/1203926#SPJ4When customers have a low involvement in a purchase but perceive significant brand differences, they will most likely engage in ________.
A) complex buying behavior
B) dissonance-reducing buying behavior
C) habitual buying behavior
D) variety-seeking buying behavior
E) brand conviction buying behavior
When customers have a low involvement in a purchase but perceive significant brand differences, they will most likely engage in variety-seeking buying behavior.
What is low involvement?
Products that are commonly purchased and with little consideration or effort since they don't pose a serious threat to the consumer's safety or significantly alter their way of life.
What sort of product would be considered low involvement?
For instance, buying a pack of gum or some chocolate at the checkout in a store seldom takes more than a few seconds because these are minimal involvement purchases that people make on whim.
What is high-involvement?
A product that necessitates the consumer's consideration and effort before making a decision. This will involve comparing costs and the actual products by browsing via various catalogs, stores, etc.Learn more about low involvement
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allowances for which of these factors would be subtracted from design capacity when calculating effective capacity? multiple choice all of the other choices changing the mix of products equipment maintenance scheduling problems
Allowances for (A) all of the other choices of these factors would be subtracted from design capacity when calculating effective capacity.
What is Capacity in Design?Efficiency can be determined using two tools: design capacity and effective capacity. The ideal designed output rate is design capacity. Design capacity can be subtracted from effective capacity to determine effective capacity.Changing the mix of products, equipment upkeep, personal time, and scheduling issues is necessary for capacity to be effective. Because the variance is challenging to account for, a change in product mix should be an allowance for design capacity. Employees will need to balance their personal and professional lives, thus it is important to keep equipment up to date through routine maintenance. Finally, scheduling needs to be flexible due to conflicts and delays.Therefore, allowances for (A) all of the other choices of these factors would be subtracted from design capacity when calculating effective capacity.
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Correct question:
Allowances for which of these factors would be subtracted from design capacity when calculating effective capacity?
a) all of the other choices
b) changing the mix of products
c) equipment maintenance
d) personal time
e) scheduling problems
julie is looking to sell her flower shop. she should hire a(n) to help her find a buyer and negotiate the sale.
In looking for who to help her with the sale of her flower shop, Julie should look for a. business broker.
A business broker:
Helps facilitate the sale of a business
Ensures that relevant legal requirements are met
Helps a business owner find others who want to buy businesses
Julie's flower shop is a business so if she wants to sell it, she should look for a business broker to help her with the transaction.
In conclusion, Julie needs a business broker.
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A blogging code of ethics ___________.
-Group of answer choices
-gives instruction on how to act in the blogosphere
-outlines how the companies stance on personal blogging
The term "blogging" refers to self-published online writing, photography, and other media.Blogging started out as a way for people to write entries in a diary, but it has since been integrated into many businesses' websites.
What are the 3 segments of the set of rules?
The Set of rules is separated into three significant segments, "Obligations to Clients and Clients," "Obligations to General society," and "Obligations to Real estate professionals."
What is a blog about ethics?
The ethics of blogging is a digital version of ethics.As a result, it embodies all of the fundamental principles of ethical behavior, such as honesty, objective thinking, diligence, responsible behavior, trustworthiness, and integrity above all else.The latter expression can be traced back to Hamlet by Shakespeare.
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after a hurricane devastates new orleans (again), a canadian charity sends $2 million to the u.s. to help the survivors rebuild their homes. which of the following best indicates how this transaction would appear on a u.s. balance of payments table?
The $2 million that a Canadian charity sends to America will appear in the balance of payments table as incoming aid causing the balance on the balance of payments to increase.
The balance of payments is a systematic record of international economic transactions between residents of a country and residents of other countries within a certain period of time.
Balance of payments transactions consist of current account, capital transaction, and financial transaction. One of the functions of the balance of payments is as a source of data and information in preparing the foreign exchange budget. Giving/receiving money, goods, and services without any direct reward, such as government receipts in the form of grants from foreign countries, will be added to the balance of America's balance of payments.
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a machine originally had an estimated useful life of 5 years, but after 2 complete years, it was decided that the original estimate of useful life should have been 10 years. at that point the remaining cost to be depreciated should be allocated over the remaining:
The remaining expense that needs to be written off should be spread out over the remaining 8 years of the useful life, is the response.
How many years are in a useful life?It is an estimate of the typical time period during which an asset is still regarded as usable before its value completely depreciates. Estimates of an asset's useful life are used by the Internal Revenue Service (IRS) to determine how long it will take for it to decline. The useful life will also be influenced by a variety of other factors, including usage patterns, the age of the asset at the time of acquisition, and technical advancements.
Let's now figure out how many years the machine will be usable based on the query.
The machine's initial lifespan =5 years.
The machine's updated useful life=10 years.
till the time of modification, life had expired=2 years.
Estimated remaining usable life is equal to the machine's revised useful life minus its initial lifespan,
= 10-2 years,
=8
As a result, the remaining expense should be spread out over the remaining 8 years of the useful life.
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nancy donated an antique desk to her church that she paid $800 for six years ago. an appraisal indicates the current fair market value of the desk is $1,000. the church donated the desk to a family whose home was destroyed in a fire. as a result, nancy will be able to deduct
The church donated the desk to a family whose home was destroyed in a fire. as a result, Nancy will be able to deduct $800.
The Church The word translated “church” in the English Bible is Ecclesia. The word is derived from the Greek kaleo (to call) with the prefix ek (from). Therefore, the word means "the called one." However, the English word "church" does not come from ecclesia, but from the word curiacon, which means "dedicated to the Lord."
To be a "church," a religious organization must engage in the administration of the priesthood and the conduct of religious services in accordance with the principles and practices of the particular religious group."
The mission of the church is to: To provide the way for the final establishment of the kingdom of God on earth, whose purpose is first to develop Christlike attributes in the lives of men, and second to To live is to transform society so that the world is a better and more peaceful place.
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which of the following scenarios make it difficult to accurately measure the cpi? makes cpi hard to measure the typical basket of consumer goods does not change. press space to open a company releases a new product that many consumers adopt. press space to open the price of a ticket to a baseball game increases after the stadium is rebuilt. press space to open consumers need to purchase gas to get to work. press space to open does not make cpi hard to measure
The scenarios that make it difficult to measure the CPI are:
The price of a ticket to a baseball game increases after the stadium is rebuiltA company releases a new product that many consumers adopt.What is the Consumer Price Index?A representative basket of products and services is used to calculate the Consumer Price Index, which tracks the overall change in consumer prices over time.
The CPI is the most commonly cited indicator of inflation, closely followed by other indicators utilized by policymakers, the financial sector, companies, and consumers.
The frequently cited CPI is based on an index that accounts for 93% of the U.S. population, while cost-of-living adjustments to government benefits are made using a comparable index that accounts for wage earners and clerical workers.
The CPI is based on roughly 94,000 price quotes that are gathered each month from about 23,000 retail and service businesses and 43,000 rental housing units.
To calculate the change in shelter expenses, including those for owner-occupied housing, which makes up about a third of the CPI, housing rentals are used.
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Determine the amount of interest earned on a $2500 investment if it is invested at
5.25% annual interest compounded monthly for four years.
The annual interest compounded monthly for four years is $3067.81
given that,
P = $2500
I = 5.25%
n = 4 years
here we have to find out
S =?
Solve:
S = P (1 + i)ⁿ
S = 2500(1 + 5.25%) ⁴
S = 2500(1 + 0.0525) ⁴
S = 2500 × 1.0525⁴
S = 2500 × 1.2271239094
S = 3067.8097735
S = approx. $3067.81
The yearly interest rate is raised to the number of compound periods minus one, and the starting principal amount is multiplied by both of these factors.
The interest you earn on interest is known as compound interest. Simple math may be used to demonstrate this: if you have $100 and it generates 5% interest annually, you will have $105 at the end of the first year. You'll have $110.25 after the second year is over.
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