Which of the following is an example of a variable cost? a. Insurance premium for fire insurance on the factory building b. The salary of the company president c. Wood used to make custom tables d. Rent for use of a storage warehouse e. Depreciation on the factory building
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9. How do variable costs and fixed costs differ? Give an example of each. 10. Analyze your personal expenses on a variable and fixed basis. What are some of your personal fixed costs and variable costs? What would cause them to change? 11. What is C-V-P analysis used for? In the process of using C-V-P analysis, what does i
1) Please provide to me examples of internal and external users of financial data? 2) What are the three types of business activities you will see on a financial report? 3) What are the different types of financial reports you communicate with in accounting, and what do they tell you?
Peter, a president of a company produces power transformers for personal computer manufacturers. Peter's choice of the various methods by which a new model of transformer can be built has been narrowed to 3 choices. He estimates the product life of the transformer to be one year. Marketing has estimated that it can sell 5,000 of
Do you think agency problems arise in sole proprietorships and/or partnerships?
'Cumberland Industries' financial planners must forecast the company's financial results for the coming year
I am having trouble setting up this spreadsheet for part B of this problem. Any help appreciated. Thanks. Cumberland Industries' financial planners must forecast the company's financial results for the coming year. The forecast will be based o the percent of sales method, and any additional funds needed will be obtained as n
The second discount rate is known as the social discount rate. It is based on judgments about the collective value that society attaches to a policy. Proponents argue that the social discount rate is preferred because it broadens the preferences considered. In some cases, the social discount rate will factor in the costs and ben
Why do liquidations usually result in losses for the creditors or the owners, or both? Would partial liquidation or liquidation over a period limit their losses? Explain
Describe the different ways in which capital can be transferred from suppliers of capital to those who are demanding capital.
You have an opportunity to invest in a business that will pay $200,000 in one year, $400,000 in two years, $600,000 in three years and $800,000 in four years.
Here is an example question how do I calculate this using calculator You have an opportunity to invest in a business that will pay $200,000 in one year, $400,000 in two years, $600,000 in three years and $800,000 in four years. You can earn 12% per year compounded annually on a mutual fund that has similar risk. If it costs $
1) I have answered a few of the 20 attached questions that I need to know if I have answered correctly. 2) I need help with the rest of the problems. Thank you for your consideration. Chapter 9 1. If you invest $8,000 per period for 40 years at 11 percent, how much would you have? a. $4,654,640 b. $6,544,640 c.
What are percentage changes for the latter two periods given these numbers by period: 625, 637 and 699? Show percent with one decimal place. Use either the Traditional or Arc.
Retained Earnings Computations During 2006, Edgemont Corporation had revenues of $230,000 and expenses, including income taxes, of $190,000. On December 31, 2005, Edgemont had assets of $350,000, liabilities of $80,000, and capital stock of 210,000. Edgemont paid a cash dividend of $25,000 in 2006. No additional stock was iss
Ensco Lighting Company has fixed costs of $100,000, sells its units for $28, and has variable costs of $15.50 per unit.
Ensco Lighting Company has fixed costs of $100,000, sells its units for $28, and has variable costs of $15.50 per unit. a. Compute the break-even point. b. Ms. Watts comes up with a new plan to cut fixed costs to $75,000. However, more labor will now be required, which will increase variable costs per unit to $17. The
Consider the following mutual fund history OF SHARE PRICES: Date Fund A Fund B Jan 12.00 11.53 Feb 11.47 11.22 Mar 12.21 11.98 Apr 12.33 12.05 May 12.44 12.61 June 13.17 12.93 July 12.76 13.08 a. Calculate the variance of return for EACH
O'Neal's Men's Shops, Inc., specialized in large-size clothing. Business has been good, as indicated by the six-year growth in earnings per share. The earnings have grown from $1.00 to $1.87. a. Use Appendix A to determine the compound annual rate of growth in earnings (n = 6). b. Based on the growth rate determined in pa
In an article about the financial issues of USA Today, a major magazine reported that the newspaper was losing about $20 million a year.
OTA, I request your assistance on several economic problems for practice to gain knowledge. Please help, thank you. A) In an article about the financial issues of USA Today, a major magazine reported that the newspaper was losing about $20 million a year. A financial analyst said that the paper should raise its price from 50
Pony Corp. is undertaking a capital budgeting analysis. The firm's beta is 1.5. The rate on 30-year U.S. Treasury bonds is 5%, and the return on the S & P 500 index is 12 %. What is the cost of Pony's retained earnings? a. 13.3% b. 15.5% c. 17.7% d. 19.9%
J & B Inc. has $5 million of new debt to finance a project with a coupon rate of 12%, paid semiannually and has a par value of $1,000. The bonds will mature in 14 years and are priced at $850, net of flotation costs. If the firm's tax rate is 40%, what is the the cost of debt to J & B (Round to the nearest whole percentage).
You work for an large investment firm and recently wrote a position article on your firm's approach to investing for the small investor, titled "Investing is for the little guy". The article now appears on your company's website. It has, interestingly enough, generated e-mailed responses from potential clients and your firm is a
Risk- standard deviation of returns: A highly risk-averse investor is considering adding one additional stock to a 3-stock portfolio, to form a 4-stock portfolio. Which stock should this investor add to his or her portfolio, or does the choice matter?
A highly risk-averse investor is considering adding one additional stock to a 3-stock portfolio, to form a 4-stock portfolio. The three stocks currently held all have b = 1.0 and a perfect positive correlation with the market. Potential new Stocks A and B both have expected returns of 15%, and both are equally correlated with th
When Keith created a new corporation as the sole shareholder, he was advised by his accountant to consider 50 percent of the invested amount as the loan and 50 percent for the purchase of stock. Discuss the advantages and disadvantages of this structure, as compared with treating the entire investment as the purchase of stoc
Please review my answers. Help me if I go wrong and explain the correct solution, if needed. The answers I believe to be correct are marked with a "***." Thank you. Overview of Accounting and Finance 1) Which of the following is not one of the 5 questions of transaction analysis? a) What's going on? *** b) Which accoun
Please help review my answers. Correct me if I go wrong and explain the correct solution, if needed. The answers I believe to be correct are marked with a "***." Thank you. Managerial Accounting 1. The cost of a single unit of production in excess of the breakeven point in units is: A) its fixed cost and variable co
(a) Journalize the transactions, assuming that the common stock has a par value of $5 per share. (b) Journalize the transactions, assuming that the common stock is no-par with a stated value of $1 per share. E12-2 Garza Co. had the following transactions during the current period. Mar. 2 Issued 5,000 shares of $1 par value c
A graph shows a company's common stock returns on the Y axis and the market returns on the X axis. The slope of the regression line represents a. range of NPVs b. standard deviation c. diversifiable risk d. Beta e. diversifiable risk and beta Risky projects can be evaluated by discounting certainty equivalent cash flows
May I please just have a short answer? I do not need a paper, it is more of an opinion I am looking for. Also It seems that trade surplus is bad in long run, trade deficit is bad in long run...how do we achieve balance? How do we determine the size of trade surplus-->Deficit cycle that would result in optimum economic growth
Gentry Can Company's latest annual dividend of $1.25 a share was paid yesterday and maintained its historic 7 percent annual rate of growth. You plan to purchase the stock today because you believe that the dividend growth rate will increase to 8 percent for the next three years and the selling price of the stock will be $40 pe
What are the sources of finance for a limited company? Describe the advantages and disadvantages of using debt in 200 to 300 words with references.
1) In November of each year the CFO of Barker Electronics begins the financial forecasting process to determine the firm's projected needs for new financing during the coming year. Barker is a small electronics manufacturing company located in Moline, Illinois, which is best known as the home of the John Deere Company. The CFO b