Economic value added is also referred to as ______. Multiple choice question. Opportunity cost of capital residual income net income rate of return

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Answer 1

Economic value added is also referred to as net income. Net income is also called as the net earnings, which is sales minus cost of goods sold.

The Economic value added, which is also referred to as the economic profit or EVA is considered to be the value a business tends to generate from its invested capital. So, the economic value added is considered to be an estimate of a firm's economic profit.

However, here the value is said to be created in excess of the required return of the company's shareholders. So, the EVA is considered to be the net profit less the capital charge in order to raise the firm's capital.

Hence, Economic value added is also referred to as net income.

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Related Questions

In recent years transparency has been the most important Multiple choice question. core competence. impactful outcome. security concern. business ethic.

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In recent years transparency has been the most important business ethic. Implementing proper corporate rules with reference to apparently contentious matters is referred as business ethics.

Business ethics is the study of proper company conduct when it comes to potentially contentious issues including corporate governance, insider trading, bribery, discrimination, corporate social responsibility, fiduciary duties, and much more. The law frequently directs business ethics, however there are occasions when business ethics offer a fundamental standard that enterprises may abide by to win the public's acceptance. Understanding the fundamental moral principles that guide desirable ethical behaviour is crucial, as is how a lack of these moral values contributes to the failure of many otherwise bright, talented individuals and the organisations they represent. Business ethics are crucial for success in contemporary business for a number of reasons. The most significant benefit of specified ethics programmes is the creation of a code of conduct that guides behaviour across all levels of employees, from CEOs through middle management to the newest and youngest.

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What is 5x in share market?

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In the stock market, 5x is a type of leverage ratio that is used to measure the amount of debt a company has versus its equity. It is calculated by dividing a company's total debt by its total equity.

A 5x leverage ratio indicates that a company has $5 of debt for every $1 of equity. This ratio is used to assess the financial stability of a company and to determine whether it is able to meet its financial obligations.

A stock is a type of instrument that denotes the holder's ownership stake in the issuing company and is typically traded on stock markets. In order to raise money to run their businesses, corporations issue stock. The two primary stock categories are common and preferred.

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When there are events that promote economic growth in the news, what usually happens to stock prices

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There are several ways to gauge economic growth, but one of the most common ones is to watch the gross domestic product (GDP). Individual firms produce more and typically expand when the GDP rises.

People typically sell equities in response to bad news. The values of many, if not most, equities fall as a result of selling pressure brought on by unfavourable news, a weak earnings report, a breach in corporate governance, generalised economic growth and political instability, and catastrophic events. Investors and consumers are wealthier and more upbeat about produce for the future as a result of growing stock prices. Improved spending as a result of this increased confidence may result in significant acquisitions like homes and cars.

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Select all that apply Which statements about social media are true? (Choose every correct answer.) Multiple select question. Social media are used by marketers and customers to share many kinds of information. Social media facilitate interpersonal interactions. Social media can be important components of an integrated marketing communications strategy. Social media include online but not mobile technology.

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The true statements about social media are that it can be important components of an integrated marketing communications strategy, facilitate interpersonal interactions and is used by marketers and customers, which means options A, B, C are correct.

Social media is the online platform which allows people to interact with each other, share documents, information and images and remain connected with each other as well. Numerous people use till platform to earn money by sharing creative content which is loved by many others. It has become a addictive source of being active as well. Kids spend numerous hours scrolling down the chats or posts of strangers or ideals. Social media as a tool can be a powerful method of influencing politics and other regimes which tend to affect lives of many. Hence, it is necessary that we use social media in a restrictive form so that it does not over power the natural lives of the individuals.

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What is customer tolerance time?

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Customer tolerance time is the amount of time customers are willing to wait before they expect their query to be answered or their issue to be resolved.

What is customer?
Customer
is a person who buys goods or services from a business. Customers are the lifeblood of any business and companies must provide excellent customer service to ensure customer loyalty and retention. Customers have certain needs and expectations, and businesses must strive to meet those expectations in order to ensure customer satisfaction. Customers should be treated with respect and courtesy, and businesses should make sure to provide quality products and services to meet customer needs. Companies must also be willing to listen to customer feedback and take customer complaints seriously in order to improve customer service. Companies should also be proactive in engaging with customers and building relationships to ensure customer satisfaction and loyalty.

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Why is mixed market the best?

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In a mixed economy, private producers can participate, fostering healthy competition and the possibility of financial gain. Additionally, it supports public ownership of the manufacturing sector, which can help with social welfare demands.

What benefits do mixed markets offer?

A mixed economy allows some economic freedom in the usage of while protecting private property and capital, but it also permits government intervention in the economy to further social objectives.

A mixed economy maintains a balance between private and public ownership, integrating both capitalism and socialism. Due to the fact that it enables the interests of both the government and private businesses to flourish, many nations view mixed economies as advantageous.

A worker can get the employment they desire, a business can find the opportunity they want, and both can contribute to the government to ensure the overall well-being of all parties involved. 8. It continues to outline the function of the government in society.

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A principal residence is bought for $190,000. A new porch is added, costing $9,000. Five years later the home sells for $261,000, and the closing costs are $21,000. What is the homeowner's capital gain

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The homeowner's capital gains $41,000. A principal residence is bought for $190,000. A new porch is added, costing $9,000. Five years later the home sells for $261,000, and the closing costs are $21,000.

Capital gain is the earnings one earns at the sale of an asset like stocks, bonds or actual estate. It outcomes in capital advantage while the selling charge of an asset exceeds its purchase price. it's far the distinction among the selling price (better) and cost charge (lower) of the asset.

it is a tax levied on an man or woman's and. however, movable non-public assets along with fixtures, garb, and so forth. are excluded from this tax. kinds of capital profits tax which might be levied on lengthy-term and quick-term gains begin from 10% and 15%, respectively.

The time period capital benefit refers to the growth within the cost of a capital asset while it's far offered. placed clearly, a capital benefit happens when you sell an asset for more than what you at the beginning paid for it.

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​Asmeret works as a hotel manager for a popular family resort and casino in Atlantic City, New Jersey. During the summer, hotel managers aim for an occupancy rate of at least 85% to ensure that overhead costs are covered. The resort is known for its quality services; guests generally return an average of three times during the summer and use their rewards and loyalty cards during their stays. On this particular day, Asmeret is quite stressed because the occupancy rate is only 65%. If the hotel fails to sell at least an additional 20% of the available rooms, she might be in some trouble. Required: Which aspect of a service is best illustrated in the scenario?
A) ​Services are perishable.
B) ​Service standards show wide variation.
C) ​Services are inseparable from service providers.
D) ​Companies cannot easily standardize the services they provide.
E) ​Buyers play an important role in the creation and distribution of services.

Answers

Answer: A) ​Services are perishable

Explanation:

The aspect of a service is best illustrated in the scenario is that services are perishable.

Perishability is a term that is used in marketing and it implies that the capacity of service cannot be stored and sold in the future. Once services have been used, they cannot be saved, returned or stored.

Once services has been rendered to a customer, it has been then consumed and it can't be delivered to another person. Other characteristics of services are inseparability, variability and intangibility.

For which item below might a bank issue a credit memorandum to a depositor's account?
-Monthly service charges
-Outstanding checks
-Interest earned
-An NSF check

Answers

A document issued by a bank to credit (increase) a depositor's account is known as an interest earned credit memorandum.

What exactly is a credit memorandum?

A seller who offers goods or services gives a customer a credit memorandum, which is sometimes shortened to credit memo. The memo is sent out as a way to get the customer to pay less. The most typical kind of credit memorandum is an invoice that has already been paid for the deduction.

A different kind of credit memorandum effectively accomplishes the same thing. When a person's checking account is increased for a specific transaction, a credit memo is sent by the bank.

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When Maddie checked in at the Happy Airline ticket counter for her five-hour economy-class flight to California, the customer service agent explained that hot meals and complimentary cocktails would only be served to business-class and first-class passengers. For that reason, the Happy Airline agent suggested that Maddie pay a small fee to move from economy-class to business-class for the flight. This is an example of Group of answer choices A. a trade-in allowance B. affiliate marketing C. comparison shopping D. Up-selling

Answers

The Correct option is D. For that reason, the Happy Airline agent suggested that Maddie pay a small fee to move from economy class to business class for the flight. This is an example of up-selling.

A cocktail is an alcoholic blended drink. most usually, cocktails are both a combination of spirits or one or greater spirits combined with other components which include tonic water, fruit juice, flavored syrup, or cream. Cocktails vary broadly throughout regions of the arena, and plenty of websites put up both authentic recipes and their own interpretations of older and more famous cocktails.

The origins of the phrase cocktail have been debated (see phase Etymology). the primarily written mention of a cocktail as a beverage seemed within the Farmers cabinet, 1803 within the u.s.. the primary definition of a cocktail as an alcoholic beverage appeared 3 years later inside the stability and Columbian Repository (Hudson, the big apple) on May thirteen, 1806. Historically, cocktail ingredients included spirits, sugar, water, and bitters, but, this definition developed at some point in the 1800s, to include the addition of a liqueur.

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Assume that Job X used 70 direct labor-hours. How much manufacturing overhead would be applied to Job X

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There is not enough information to determine the exact number, but the formula for manufacturing overhead is the total estimated overhead costs divided by the total estimated activity level.

The amount of manufacturing overhead applied to a job is typically determined using a predetermined overhead rate, which is calculated by dividing the total estimated overhead costs for a period by the total estimated activity level for the same period. Factors such as the specific overhead costs associated with the job, the type of overhead allocation method used, and the specific overhead rate used would all play a role in determining the amount of overhead applied to Job X. Without additional information, it is impossible to provide an accurate answer.

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What are 3 characteristics of an effective budget?

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Budgets should account for your discretionary spending on individual financial goals in addition to outlining how much wealth you have coming into it and going out each month.

Budget - what is it?

Estimating the total revenue and expenditures for the upcoming fiscal year is a necessary step in the budget-making process. This figure may then be divided into a number of divisions, such as quarters and months, for continuing evaluation.

What do budget categories entail?

Each budget is created in accordance with the organization's present financial situation. Here are a few illustrations of fundamental budgets: This budget also goes by the moniker red flag budget. The company has created a basic budget.

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Determine the eating capacity of an auditorium with 15 row of eat if there are 20 eat in the firt row, 23 eat in the econd row, 26 eat in the third row, 29 eat in the forth row, and o on

Answers

After solving the equation: the eating capacity of the auditorium is 645.

What is Arithmetic Sequence?

An arithmetic sequence is a sequence of numbers in which each subsequent number is obtained by adding a fixed number, called the common difference, to the preceding number. This fixed number is also referred to as the common ratio. Arithmetic sequences can be written as an explicit formula, a recursive formula, or graphically.

The total eating capacity of the auditorium can be calculated by using the arithmetic sequence formula. The sequence pattern is +3.
Arithmetic Sequence Formula:
Sum of n terms = n/2 (a1 + an)
Where,
n = total number of terms
a1 = first term
an = last term
In this case,
n = 15
a1 = 20
an = 29 + (15 - 1) * 3 = 74
Therefore,
Sum of 15 terms = 15/2 (20 + 74) = 645
Hence, the eating capacity of the auditorium is 645.

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The move by Philip Morris International (PMI), the industry-leading tobacco company, to invest billions in creating a smoke-free future is an example of

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The move by Philip Morris International (PMI), the industry-leading tobacco company, to invest billions in creating a smoke-free future is an example of strategy innovation.

A business's goals for innovation, value delivery, and competitive advantage are met through using resources in accordance with an strategy innovation. An examination of a company's technology and competitive environment should be part of every strategy. its prospects and challenges from outside. The goal of innovation is to produce new value, such as fresh approaches to adjust to shifting sectors or address pressing social, health, or economic issues. A strategy is a plan that explains in great detail how you will realise your goal. An organisation must be able to use the technology in creative ways. Businesses that can't expand in this constantly shifting world risk failure. Therefore, one of the most crucial elements of a firm is its strategy.

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Which of the following will be of interest to investors in decision-making?
a. Assessing the company's ability to generate net cash inflows.
b. Assessing management's ability to protect and enhance the capital providers' investments.
c. Both assessing the company's ability to generate net cash inflows and assessing management's ability to protect and enhance the capital provider's investments.
d. Assessing the company's ability to collect debts.

Answers

Investors in decision-making will be interested in both assessing the company's ability to generate net cash inflows and assessing management's ability to protect and enhance the capital provider's investments.

What exactly is net present value?

The term net present value (NPV) refers to the current value of a future stream of payments from a business, project, or investment. To calculate NPV, estimate the timing and amount of future cash flows and choose a discount rate equal to the lowest acceptable rate of return.

Net Cash Flow is the difference between money coming into a company ("inflows") and money leaving the company ("outflows") over a given time period. In the end, all businesses must eventually become cash flow positive in order to continue operations in the foreseeable future.

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Find an article in the APUS Trefry Library that pertains to the role of technical writing in companies; read it and make note of its author, title, and publication information so you can use it in your initial forum post. Report out to the group what you've learned about technical writing from this article.

Answers

Article from APUS Library: Title: Psychological Chess: Erdoğan and the Syrian Refugee Crisis. Author: Janice L. Farkas. (The APUS Library provides access to the e-textbooks required for your program's courses).

What did you get from this publication information?

Having reviewed the theoretical bases for psychological evaluation within foreign policy, President Erdoğan can be studied within the framework established through that lens. Establishing a baseline of the personality and psychological drivers of the leader can provide a general understanding of his underlying motivational factors. “Personality traits affect an individual’s motivation, goals, and values thereby providing criteria to evaluate external stimuli

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SEC Regulation Best Interest (BI) focuses on A) recommendations to customers. B) ensuring broker-dealer profitability. C) customer transaction costs. D) ensuring that customers receive the highest possible interest on their cash balances.

Answers

A) recommendations to customers, Best Interest (BI) Regulation of the SEC places a strong emphasis on customer recommendations.

As part of the Securities Exchange Act of 1934, the SEC's Regulation Best Interest (BI) establishes a "best interest" standard of conduct for broker-dealers and associated individuals when they suggest to a retail customer any securities transaction or investment strategy involving securities, including suggestions of the kinds of accounts. The SEC also enacted new regulations and forms as part of the rulemaking package that mandate that broker-dealers and investment advisors give retail investors with a concise relationship description, Form CRS. Additionally, the SEC released interpretations pertaining to the "solely incidental" prong of the broker-dealer exception from the Advisors Act and the standard of conduct for investment advisers under the Investment Advisers Act of 1940.

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In a restricted margin account, a sale of $5,000 of stock will create A) a $5,000 decrease in the debit balance. B) SMA of $5,000. C) buying power of $10,000. D) SMA of $2,500.

Answers

A $5,000 stock sale on a restricted margin account will result in a $2,500 SMA.

Half of the revenues from the sale of securities in a restricted margin account are used to offset the debt, while the other half is journaled into SMA. Therefore, a $5,000 sale will result in an SMA of $2,500, or 50% of the transaction. $5,000 is the SMA 2 or the buying power.

The amount an investor has available to purchase securities is known as buying power, which is often referred to as surplus equity. It is equal to the total cash balance in the brokerage account plus all available margins.

The US Regulation T requirements for brokerage accounts are determined using a special memorandum account, a type of margin credit account. The SMA ledger is used to lock in unrealized gains that increase the client's purchasing power in addition to Initial Margin and Maintenance Margin specifications.

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Given that the stock in a short account was acquired, meaning it was borrowed, and that the short tender rule is in effect.

Given that the stock in a short account was acquired, or borrowed, and that the short tender rule is in effect, the shareholders can only tender stock up to the value of their net long position in the stock. As a result, the following accounts may be used to tender stock under federal law: Account with restricted margin. Long margin account, second. The cash account. Therefore, option C is the appropriate response in this scenario. Only cash accounts may be opened for custody accounts. Savings accounts for minors that are opened and managed by an adult are called custodial accounts. Due to the absence of income restrictions, withdrawal fees, and contribution caps, custodial accounts typically enjoy a great deal of freedom.

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For which contract type is cost overrun from the agreed upon set budgeted cost paid by buyer ONLY?

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Reimbursable costs (or Cost Plus) Cost reimbursable (CR) contracts include a compensation or incentive for meeting or surpassing project goals together with payment based on the sellers' actual expenses. The customer is therefore exposed to the greatest cost risk.

Which of the following contract types has the highest risk of cost overruns?

Due of the uncertainty surrounding the final expenses, cost-reimbursable contracts have the highest risk of cost overrun and non-performance.

In what kind of contract is the contractor put at risk for cost overruns?

The MGP contract combines elements of cost-plus and fixed-fee contracts. In this case, a price cap with a cost-plus structure is applied. Unlike fixed price and cost-plus contracts, which typically transfer the risk of cost overruns to the owner and contractor, this arrangement divides the risk equally.

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What are the 3 characteristics of team players?

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The three characteristics are  Collaborative , Communicative and Loyal.

1. Collaborative: Team players are able to work together to achieve common goals. They take an active role in helping the team succeed and are willing to compromise to ensure the best possible outcome.

2. Communicative: Team players are open and honest, and they communicate clearly and effectively with their fellow team members. They are able to listen to and understand the needs and ideas of others, and work together to find solutions.

3. Loyal: Team players are loyal to their team and its goals. They are supportive of their team members, and are not afraid to speak up and defend the team's ideas and objectives. Team players also recognize that they are part of a larger organization and strive to contribute to the success of the entire organization.

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How might the government remedy some of the disadvantages of a market economy?

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Government intervention is the primary means by which request failure can be corrected. This requires the government to pass legislation similar to antitrust programs and to incorporate colorful price mechanisms similar to levies and subventions.

Request failures can be corrected through government intervention, like new laws or levies, tariffs,  subventions, and trade restrictions.  Economists still identify six major functions of governments in request husbandry. Governments give the legal and social frame, maintain competition,  give public goods and services, redistribute income, correct for externalities, and stabilize frugality.  

One part of government is to correct problems of request failure associated with public goods, external costs and benefits, and amiss competition. Government intervention to correct request failure always has the implicit to move requests closer to effective results reducing shipment losses.

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Papyrus Inc. provided the following information for its manufacturing division: Revenues $650,000 Operating expenses $400,000 Service department charges $ 95,000 Invested assets $600,000 Assume that Papyrus Inc. has established 20% as the minimum acceptable return on divisional assets. Determine the residual income for the manufacturing division.

Answers

$35000 is the residual income for the manufacturing division.

Residual Income= Net Income-(Invested Assests*minimum R Return)

                          =  (650000-400000-95000)-(600000*20)

                          =  $155000-$120000

Residual Income= $35000

What does the term "residual income" mean?

The money you have left over after paying your regular expenses like your mortgage, credit card bills, utilities, groceries, and auto payments is referred to as residual income. This additional cash can be used for investments, debt repayment, savings, or even a vacation fund.

How is residual income calculated?

Net income less a deduction for the cost of equity capital yields residual income. Equity capital multiplied by the statutory rate of return on equity yields the deduction, known as the equity charge (the cost of equity capital in percent).

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Mike Greenberg opened Clean Window Washing Inc. on July 1, 2014. During July, the following transactions were completed.

July 1 Issued 15,899 shares of common stock for $15,899 cash.
1 Purchased used truck for $11,899, paying $2,105 cash and the balance on account.
3 Purchased cleaning supplies for $937 on account.
5 Paid $2,160 cash on a 1-year insurance policy effective July 1.
12 Billed customers $4,880 for cleaning services.
18 Paid $1,028 cash on amount owed on truck and $540 on amount owed on cleaning supplies.
20 Paid $2,191 cash for employee salaries.
21 Collected $1,634 cash from customers billed on July 12.
25 Billed customers $2,532 for cleaning services.
31 Paid $373 for maintenance of the truck during month.
31 Declared and paid $618 cash dividend.

Journalize the July transactions.

Post to the ledger accounts.

Prepare a trial balance at July 31.


Journalize the following adjustments. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

(1) Services performed but unbilled and uncollected at July 31 were $1,750.
(2) Depreciation on equipment for the month was $202.
(3) One-twelfth of the insurance expired.
(4) An inventory count shows $320 of cleaning supplies on hand at July 31.
(5) Accrued but unpaid employee salaries were $415.

Post adjusting entries to the T-accounts.

Cash

7/1
15,899

7/1
2,105

7/21
1,634

7/5
2,160

7/18
1,568

7/20
2,191

7/31
373

7/31
618

7/31 Bal.
8,518

Accounts Receivable

7/12
4,880

7/21
1,634

7/25
2,532















Supplies

7/3
937










Prepaid Insurance

7/5
2,160










Equipment

7/1
11,899

7/31 Bal.
11,899

Accumulated Depreciation-Equipment













Accounts Payable

7/18
1,568

7/1
9,794

7/3
937

7/31 Bal.
9,163

Salaries and Wages Payable













Common Stock

7/1
15,899

7/31 Bal.
15,899

Dividends

7/31
618

7/31 Bal.
618

Service Revenue




7/12
4,880




7/25
2,532













Maintenance and Repairs Expense

7/31
373

7/31 Bal.
373

Supplies Expense













Depreciation Expense













Insurance Expense













Salaries and Wages Expense

7/20
2,191











Problem 4-8A Mike Greenberg opened Clean Window WaPrepare an adjusted trial balance.
Problem 4-8A Mike Greenberg opened Clean Window WaPrepare the income statement for July.
Prepare a retained earnings statement for July. (List items that increase retained earnings first.)
Prepare a classified balance sheet at July 31. (List current assets in order of liquidity.)
Journalize closing entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.)






Answers

Answer:

Explanation:

 

sir what is this, is this  a question?

niversal Containers created a new product line with a special sales team to sell the products. The sales process for the new line is more complex than the current sales process. The System Administrator added new picklist values to the Stage field for use by the new sales team. How should the System Administrator configure Salesforce to ensure only the appropriate stages are visible based on the product Line?
Create a validation rule to display the appropriate Stages based on the User’s role.
Create a sales process and Opportunity record type for each product line.
Create a validation rule to display the appropriate Stages based on product line.
Create new Forecast categories and assign the new Stage picklist values to those categories.

Answers

A sales opportunity is a qualified prospect that has a high likelihood of becoming a paying customer.

What is sales opportunity process?

The prospect should be interested in what you have to offer, and there should be a clear pain issue that your product or service can alleviate. Lead, prospect, and opportunity are frequently used interchangeably in marketing. But it's crucial for everybody working in sales to comprehend their unique meanings and applications.

We will explore best practises and techniques for turning a lead into a prospect, as well as the stages and features of an opportunity, in this post. We will also clarify what distinguishes a lead from a prospect and an opportunity.

Use qualifying questions to order your leads according to their quality. Track all nurture-related activities to maximise your efforts. Final pitch - Tailor your pitch to your prospective buyer and be ready to address any objections.

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Bonds are essentially...


A. illegal except for those issued by public utility companies.

B. either common or preferred types of bonds.

C. designed to help prevent trusts.

D. loans to a corporation.

Answers

Answer:

Its D pretty sure

Explanation:

D. Loans to a corporation

Hope this helps :))

Which of the following activities involves collecting the necessary funds to support the business?
1. Investing
2.Operating
3.Financing
4. Delivering

Answers

Financing activities entail raising the money required to sustain the  business.

Economic activity goes through periods of boom and then fall during business cycles. Both the general welfare of society and the welfare of private enterprises are impacted by these developments. Changes in a broad economic measure, such as Real Gross Domestic Product, are generally examined to determine how business cycles have changed through time. Many macroeconomic indicators have widespread upswings and downswings, which are classic examples of business cycle fluctuations. Each expansion/recession episode's duration and intensity change over time. Usually, their periodicity lasts for two to ten years. As in, their mathematical methodology, which employs a Bayesian statistical paradigm, may really include such flexible knowledge about the frequency of business cycles.

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What are the characteristics of an effective group work participant?

Answers

The characteristics of an effective group work participant include:  1. Open-mindedness: Being open-minded in a group setting allows for more creative problem-solving and positive collaboration. It also allows for constructive criticism and meaningful dialogue.

2. Respectful: Respectful group members are able to listen to the opinions of others, provide meaningful feedback and constructive criticism, and work together to achieve their common goal.

3. Organized: Effective group work participants are organized and prepared. They bring the necessary materials to the group meeting and stay on task.

4. Good Communicator: Good group work requires effective communication. Group members should be able to articulate their ideas and opinions clearly and respectfully.

5. Flexible: Being flexible in a group setting is essential. Group members should be willing to compromise and adjust their goals and plans when needed.

6. Self-Motivated: Effective group work participants are self-motivated. They stay focused and committed to their tasks, even when it gets difficult.

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A government can fix prices, such as a minimum or maximum price for a good or service which can create an artificial disequilibrium. When the government fixes a price below the market rate, what would be the most probable effect?
A. The market would suffer surpluses.
B. More buyers would enter the market.
C. The market would suffer shortages.
D. More sellers would enter the market. This is a price ceiling or a maximum price, which probably will be below equilibrium and mean that quantity demanded exceeds quantity supplied.

Answers

Option c is Correct. The most likely result of the government setting a price below market value would be shortages in the market.

What occurs when prices are set by the government?

The clearing and allocating functions of prices are destroyed by governmental price fixing. The regulation inhibits the equalization of the available supply to the demand by permanently fixing prices above or below their equilibrium values. Short-term surpluses or shortages are therefore unavoidable.

Governments have the power to set minimum and maximum prices for goods and services, which can lead to a false imbalance. A price floor, also known as price support, is the lowest price that manufacturers or governments can establish for goods or services. The opposite of a price ceiling is a price floor.

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What are the tax consequences for the transferor and transferee when property is transferred to a newly created corporation in an exchange qualifying as nontaxable under sec. ​ 351?

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Tax Consequence means any transaction or event in which the Managing Member shall engage or participate or which the Managing Member shall allow to occur as a consequence of a Tax Determination.

Whatis meant by tax consequences?

The amount of tax, net tax, input tax credit, rebate, or other sum payable by, or refundable to, the person under Part IX, or any other amount that is relevant for the purposes of determining that amount; Typical 1 Sample 2.LAW.

Section 351(a) states that no gain or loss must be recognised when property is transferred to a corporation by one or more people solely in exchange for stock in the corporation, as long as those people are immediately after the exchange in control of the corporation (as defined in Section 368(c)).

The amount of income, taxable income, or taxable income earned in Canada of any tax or other amount that person must pay or that person is entitled to a refund is referred to as the individual's tax consequences.

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The interest rate Reserve Banks charge commercial banks for short-term loans is the a. Prime rate b. Discount rate c. Subprime rate d. Federal funds rate

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The interest rate Reserve Banks charge commercial banks for short-term loans is the Prime rate.

A bank's prime rate, also known as the prime lending rate, is the interest rate at which it typically lends money to borrowers with good credit. As a percentage above or below the prime rate, several variable interest rates may be stated. The interest rate that American financial institutions now charge their most valuable clients is known as the prime rate. Due to the little risk their loans provide to their financial institutions, these consumers, who have good credit, are qualified for this best rate. Every loan with a fluctuating interest rate is negotiated using this rate as a reference point. Financial institutions compete with one another to determine the prime rate. Instead of the Federal Reserve, private banks set the prime rate.

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