The manager of a small hotel resort is considering expansion. He would like to issue bonds but do not quite understand why he may or may not receive what amount of money is stated on the face of the bond but he has to repay what is on the face of the bond. Write a report to the manager explaining the market forces that determine how much money will be collected. Also explain how the interest payment on bonds are calculated and paid. bear in mind that the stated interest rate and the market interest rate are the two interest rate that work together to determine the market price of a bond. write in essay format no log explanation.
In: Accounting
Question 12
Which pricing rule generates the greatest welfare for society?
| A | marginal cost |
| B | fixed cost |
| C | variable cost |
| D | average cost |
| E | total cost |
Question 13
A firm’s willingness to supply its product in the long run is represented on a graph by the
| A | marginal revenue (MR) curve. |
| B | part of the marginal cost (MC) curve above minimum average variable cost (AVC). |
| C | market supply curve. |
| D | part of the marginal cost (MC) curve above minimum average total cost (ATC). |
| E | entire marginal cost (MC) curve. |
In: Economics
Perpetual Inventory Using LIFO Beginning inventory, purchases, and sales data for portable DVD players are as follows: Apr. 1 Inventory 79 units @ $48 10 Sale 53 units 15 Purchase 106 units @ $50 20 Sale 59 units 24 Sale 18 units 30 Purchase 28 units @ $53 The business maintains a perpetual inventory system, costing by the last-in, first-out method. Determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 4. Under LIFO, if units are in inventory at two different costs, enter the units with the HIGHER unit cost first in the Cost of Merchandise Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column. Schedule of Cost of Merchandise Sold LIFO Method Portable Game Players Date Quantity Purchased Purchases Unit Cost Purchases Total Cost Quantity Sold Cost of Merchandise Sold Unit Cost Cost of Merchandise Sold Total Cost Inventory Quantity Inventory Unit Cost Inventory Total Cost Apr. 1 $ $ Apr. 10 $ $ Apr. 15 $ $ Apr. 20 Apr. 24 Apr. 30 Apr. 30 Balance $ $
Perpetual Inventory Using LIFO
Beginning inventory, purchases, and sales data for portable DVD players are as follows:
| Apr. 1 | Inventory | 79 units @ $48 | |
| 10 | Sale | 53 units | |
| 15 | Purchase | 106 units @ $50 | |
| 20 | Sale | 59 units | |
| 24 | Sale | 18 units | |
| 30 | Purchase | 28 units @ $53 |
The business maintains a perpetual inventory system, costing by the last-in, first-out method.
Determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 4.
Under LIFO, if units are in inventory at two different costs, enter the units with the HIGHER unit cost first in the Cost of Merchandise Sold Unit Cost column and LOWER unit cost first in the Inventory Unit Cost column.
| Schedule of Cost of Merchandise Sold | |||||||||
| LIFO Method | |||||||||
| Portable Game Players | |||||||||
| Date | Quantity Purchased | Purchases Unit Cost | Purchases Total Cost | Quantity Sold | Cost of Merchandise Sold Unit Cost | Cost of Merchandise Sold Total Cost | Inventory Quantity | Inventory Unit Cost | Inventory Total Cost |
| Apr. 1 | $ | $ | |||||||
| Apr. 10 | $ | $ | |||||||
| Apr. 15 | $ | $ | |||||||
| Apr. 20 | |||||||||
| Apr. 24 | |||||||||
| Apr. 30 | |||||||||
| Apr. 30 | Balance | $ | $ | ||||||
In: Accounting
Suppose a perfectly competitive paper firm can produce 10 tons of paper at an output level where marginal revenue is equal to marginal cost. The price per ton of paper is $80 and the average total cost is $95. Suppose the total fixed cost = $100. How much is the profit if the firm shuts down?
In: Economics
Hi-Tek Manufacturing Inc. makes two types of industrial component parts—the B300 and the T500. An absorption costing income statement for the most recent period is shown below:
|
Hi-Tek Manufacturing Inc. |
|||
|
Sales |
$ |
1,765,500 |
|
|
Cost of goods sold |
1,224,490 |
||
|
Gross margin |
541,010 |
||
|
Selling and administrative expenses |
580,000 |
||
|
Net operating loss |
$ |
(38,990) |
|
Hi-Tek produced and sold 60,300 units of B300 at a price of $21
per unit and 12,800 units of T500 at a price of $39 per unit. The
company’s traditional cost system allocates manufacturing overhead
to products using a plantwide overhead rate and direct labor
dollars as the allocation base. Additional information relating to
the company’s two product lines is shown below:
|
B300 |
T500 |
Total |
||||||||||
|
Direct materials |
$ |
400,500 |
$ |
162,500 |
$ |
563,000 |
||||||
|
Direct labor |
$ |
120,400 |
$ |
42,200 |
162,600 |
|||||||
|
Manufacturing overhead |
498,890 |
|||||||||||
|
Cost of goods sold |
$ |
1,224,490 |
||||||||||
The company has created an activity-based costing system to
evaluate the profitability of its products. Hi-Tek’s ABC
implementation team concluded that $60,000 and $105,000 of the
company’s advertising expenses could be directly traced to B300 and
T500, respectively. The remainder of the selling and administrative
expenses was organization-sustaining in nature. The ABC team also
distributed the company’s manufacturing overhead to four activities
as shown below:
|
Manufacturing |
Activity |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Activity Cost Pool (and Activity Measure) |
Overhead |
B300 |
T500 |
Total |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Machining (machine-hours) |
$ |
211,140 |
90,300 |
62,700 |
153,000 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Setups (setup hours) |
126,850 |
75 |
220 |
295 |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Product-sustaining (number of products) |
100,400 |
1 |
1 |
2 |
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|
Other (organization-sustaining costs) |
60,500 |
NA |
NA |
NA |
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|
Total manufacturing overhead cost |
$ |
498,890 |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Required 1. Compute the product margins for the B300 and T500 under the company’s traditional costing system. (Do not round your overhead rate. Round your other intermediate and final answers to the nearest whole number.)
2. Compute the product margins for B300 and T500 under the activity-based costing system. (Negative product margins should be indicated by a minus sign. Round your intermediate calculations to 2 decimal places.)
3. Prepare a quantitative comparison of the traditional and activity-based cost assignments. (Do not round your overhead rate. Round your other intermediate calculations and final answers to the nearest whole number. Round your "Percentage" answer to 1 decimal place. (i.e. .1234 should be entered as 12.3))
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In: Accounting
Assume that a firm in a perfectly competitive industry has the following total cost schedule and can only produce in increments of 50 units as illustrated below:
Output( units ) | Total Cost ($) |
100 | 1000 |
150 | 1500 |
200 | 1800 |
250 | 2200 |
300 | 2800 |
350 | 3800 |
400 | 5200 |
Calculate a marginal cost and an average cost schedule for this firm?
If the prevailing market price is $12 per unit, how many units should be produced and sold if the firm is trying to maximize profits? What are the profits per unit? What is the total profit?
Is the industry in long-run equilibrium at the price?
In: Economics
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In: Accounting
Design a single stage BJT amplifier with the following constraints:
This involves the following:
-DC and AC analysis and the frequency response of the amplifier.
-Use a 2N2222 transistor
-Power supply (VCC): 6 V
-An input impedance near to 3 kΩ
-Overall midband voltage gain of -30 V/V
-A load resistance of 2 kΩ
-The input signal has an RSignal of 500 Ω
-Choose a good Qpoint and select the coupling and bypass capacitors to obtain an fL-3dB of 100 Hz.
-The capacitors and resistors should have commercial values
-Part of the design requirement is that the amplifier will exhibit maximum symetrica1 swing in the voltage collector.
The Total Harmonic Distortion of the output voltage should be less than 5% when a sine wave with an amplitude of 5 mV is applied by the signal.
Determine the analytical fH-3dB of the final design of the amplifier. When the final design is completed, obtain the frequency response of the amplifier to verify the midband voltage gain, fL-3dB and fH-3dB.
In: Electrical Engineering
Alexa owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo: Insurance $ 2,000 Mortgage interest 6,500 Property taxes 2,000 Repairs & maintenance 1,400 Utilities 2,500 Depreciation 14,500 During the year, Alexa rented out the condo for 100 days. She did not use the condo at all for personal purposes during the year. Alexa’s AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume Alexa receives $30,000 in gross rental receipts.
a. What effect do the expenses associated with the property have on her AGI?
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b. What effect do the expenses associated with the property have on her itemized deductions?
In: Accounting
The five basic components of promotion include advertising, sales promotions, social media, publicity, and personal selling. All five components of the retailer’s promotion mix need to be managed from a total systems perspective.
All non-essential retail businesses are closed due to the COVID-19 lockdown. At some point (hopefully in the near future) we will return to normal and these businesses will reopen.
While these businesses will be receiving financial support from the government, many are going to be in a tight situation, and fighting for every dollar when the doors finally open. So, they will need to rely on sales promotion, publicity, social media and personal selling to succeed. Those that don’t get out of the gate strong may not survive.
Choose one of the following retailers: Hair Cuttery; Hand and Stone Massage; Modell’s; Caesars casino; or Outback Steakhouse.
Describe the best way your retailer choice can use the
four promotional components (sales promotion, publicity, social
media and personal selling) to be successful when the lockdown is
over.
In: Operations Management