Nurses Pay is $80K/year and Physician Pay is $300K/year. The clinic is running with 2 physicians at a physician to nurse factor input ratio of 0.2. However, there is an increase in physician pay to $330K/year. The firm will now run with 1 physician with the physician to nurse factor input ratio of 0.072. In addition, please also calculate savings with the new factor input ratio. Then calculate the elasticity of substitution. What can you say about the type of service provided by this clinic? Please explain.a
In: Economics
In its first year of existence (year 1), SCC corporation (a C corporation) reported a loss for tax purposes of $30,000. How much tax will SCC pay in year 2 if it reports taxable income from operations of $20,000 before considering loss carryovers under the following assumptions? (New Corporate income tax rate has been mentioned as "21% on all taxable income" as per the recent change. Leave no answer blank. Enter zero if applicable.)
b. Year 1 is 2018. What is SCC Tax Liability in Year 2?
In: Accounting
A student at a four-year college claims that average enrollment
at four-year colleges is higher than at two-year colleges in the
United States. Two surveys are conducted. Of the 35 two-year
colleges surveyed, the average enrollment was 5061 with a standard
deviation of 4775. Of the 35 four-year colleges surveyed, the
average enrollment was 5216 with a standard deviation of 8101.
Conduct a hypothesis test at the 5% level.
NOTE: If you are using a Student's t-distribution for the
problem, including for paired data, you may assume that the
underlying population is normally distributed. (In general, you
must first prove that assumption, though.)
1) State the distribution to use for the test. (Enter your answer in the form z or tdf where df is the degrees of freedom. Round your answer to two decimal places.)
2) What is the test statistic? (T or Z) & (Round your answer to two decimal places.)
3) What is the p-value? (Round your answer to four decimal places.)
4) Alpha: α =
In: Statistics and Probability
The comparative financial statements for Prince Company are below:
| Year 2 | Year 1 | ||||||
| Income statement: | |||||||
| Sales revenue | $ | 194,000 | $ | 168,000 | |||
| Cost of goods sold | 113,000 | 100,400 | |||||
| Gross profit | 81,000 | 67,600 | |||||
| Operating expenses and interest expense | 56,400 | 53,200 | |||||
| Pretax income | 24,600 | 14,400 | |||||
| Income tax | 8,400 | 4,200 | |||||
| Net income | $ | 16,200 | $ | 10,200 | |||
| Balance sheet: | |||||||
| Cash | $ | 4,400 | $ | 7,200 | |||
| Accounts receivable (net) | 14,200 | 18,200 | |||||
| Inventory | 40,400 | 34,200 | |||||
| Property and equipment (net) | 45,600 | 38,400 | |||||
| Total assets | $ | 104,600 | $ | 98,000 | |||
| Current liabilities (no interest) | $ | 16,200 | $ | 17,200 | |||
| Long-term liabilities (10% interest) | 45,200 | 45,200 | |||||
| Common stock ($5 par value, 6,080 shares outstanding) | 30,400 | 30,400 | |||||
| Retained earnings | 12,800 | 5,200 | |||||
| Total liabilities and stockholders' equity | $ | 104,600 | $ | 98,000 | |||
Assume that the stock price per share is $30 and that dividends in the amount of $4.50 per share were paid during Year 2. Compute the following ratios: (Round your answers to 2 decimal places
Earnings per share, Current ratio, Quick ratio, cash ratio, price/earnings ratio, dividend yield ratio %
In: Accounting
Company expects revenue of $1 million in year 1, $1.2 million in year 2, and amounts increasing by $200,000 per year thereafter. If the company’s MARR is 5% per year, what is the future worth of the revenue through the end of year 10?
In: Economics
Suppose you paint your house this year, using $200 of paint bought this year and saving $900 in labor that would have been paid to a painting company. How much does GDP increase this year?
a. $900, since paint is considered a durable good.
b. $200.
c. 1,100, since your labor value is imputed.
d. $0, since this is do-it-yourself activity.
In: Economics
| A stock has had the following year-end prices and dividends: |
| Year | Price | Dividend | |||||||||
| 0 | $ | 24.75 | — | ||||||||
| 1 | 26.93 | $ | 0.15 | ||||||||
| 2 | 27.93 | 0.24 | |||||||||
| 3 | 26.43 | 0.86 | |||||||||
| 4 | 28.77 | 0.18 | |||||||||
| 5 | 31.88 | 0.34 | |||||||||
|
What are the arithmetic and geometric returns for the stock? (Round your answer to 2 decimal places. Omit the "%" sign in your response.) |
| Arithmetic returns | % |
| Geometric returns | % |
In: Finance
ABC Co. issued 14-year bonds a year ago at a coupon rate of 7.7%. The bonds make semiannual payments. If the YTM on these bonds is 6.0%, what is the current bond price? (Do not round intermediate calculations. Round the final answer to 2 decimal places. Omit $ sign in your response.)
In: Accounting
Amanda files her current year tax return on June 18 of the following year. On August 8 she pays the amount due, if any, without requesting an extension. The tax shown on her return is $20,000.Amanda pays no estimated taxes and claims no tax credits on her current year return.
Requirements
|
What penalties will the IRS likely impose on Amanda (ignoring the penalty
for underpayment of estimated taxes)? On what dollar amount, and
for how many days, will
Amanda owe interest? Assume Amanda committed no fraud and that any penalty and interest period begins on April 16. |
|
|
a. |
Assume her wage withholding tax amounts to $17,000 |
|
b. |
Assume her wage withholding tax amounts to $34,000 |
|
c. |
How would your answer to Part a change if Amy requests an automatic extension? |
In: Accounting
In: Accounting