Adams Ski Company manufactures snow skis. During the most recent accounting period, the company’s finishing department transferred 4,350 sets of skis to finished goods. At the end of the accounting period, 490 sets of skis were estimated to be 40 percent complete. Total product costs for the finishing department amounted to $204,570.
Required
Determine the cost per equivalent.
Determine the cost of the goods transferred out of the finishing department.
Determine the cost of the finishing department’s ending work in process inventory.
Answers
The manufacturing process is the method that is used to produce goods and services from the raw materials.
Given values:
Units transferred out: 4,350
Units in ending inventory: 196 (490 X 40%)
Total cost of department: $204,750
Step-1 Computation of equivalent units in the production:
\(\rm\ Equivalent \rm\ units =\rm\ Units \rm\ transferred \rm\ out + \rm\ Units \rm\ in \rm\ ending \rm\ inventory\\\rm\ Equivalent \rm\ units=4,350 + 196\\\rm\ Equivalent \rm\ units=4,546\)
Step-2 Computation of cost per equivalent:
\(\rm\ Cost \rm\ per \rm\ equivalent \rm\ unit=\frac{\rm\ Total \rm\ cost}{\rm\ Total \rm\ equivalent \rm\ units}\\ \rm\ Cost \rm\ per \rm\ equivalent \rm\ unit=\frac{\$204,750}{4,546} \\\rm\ Cost \rm\ per \rm\ equivalent \rm\ unit=\$45.39\)
Step-3 Computation of cost of transferred out:
\(\rm\ Cost \rm\ of \rm\ transferred \rm\ out=\rm\ Units \rm\ transferred \rm\ out \times\ \rm\ Cost \rm\ per \rm\ equivalent \rm\ unit\\\rm\ Cost \rm\ of \rm\ transferred \rm\ out=4,350 \times\ \$45.39\\\rm\ Cost \rm\ of \rm\ transferred \rm\ out=\$197,446.50\)
Step-4 Computation of cost of ending WIP:
\(\rm\ Cost \rm\ of \rm\ ending \rm\ WIP=\rm\ Units \rm\ in \rm\ ending \rm\ inventory \times\ \rm\ Cost \rm\ per \rm\ equivalent \rm\ unit\\\rm\ Cost \rm\ of \rm\ ending \rm\ WIP=196\times\ \$45.39\\\rm\ Cost \rm\ of \rm\ ending \rm\ WIP=\$8,896.44\)
Therefore, the required parts are solved in the above steps.
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Related Questions
How did the Internet help give rise to the “sharing economy?”
Answers
By the means of internet apps that rent directly to consumers or connect consumer peer to peer access. For an example eBay was one of the first enablers of the sharing economy since it provided a global marketing where anyone could purchase or sell goods.
a diamond poem for economy
Answers
here is the poem! hope you like it :)
Explanation:
There are some economic ways to live
to prevent monitary disaster
try being thoughtful when you try to give
you will always grow happier faster
conserve and waste not for it shall have cost
money you save is the money you earned
it is hard to get back what you have lost
show every one the knowledge you have learned
try to buy what you need and nothing more
being over indulgence is not good
do not hang out at the department store
would try to go to the park if I could
it's very good for ecnomy to spend
but all the wastifulness has to end
Q1. John Siding Company, owned by John began operations in May and completed the following transactions during that first month of operations. Required: a. record the following transactions in the journal b. post to the relevant accounts c. extract a trial balance May 1 John invested GHC90,000 cash in the company. 2 The company purchased GHC25,000 in office equipment. It paid GHC10,000 in cash and signed a note payable promising to pay the GHC15,000 over the next three years. 2 The company rented office space and paid GHC3,000 for the May rent. 6 The company installed new vinyl siding for a customer and immediately collected GHC5,000. 7 The company paid a supplier GHC2,000 for siding materials used on the May 6 job. 8 The company purchased a GHC2,500 copy machine for office use on credit. 9 The company completed work for additional customers on credit in the amount of GHC16,000. 15 The company paid its employees’ salaries GHC2,300 for the first half of the month. 17 The company installed new siding for a customer and immediately collected GHC2,400. 20 The company received GHC10,000 in payments from the customers billed on May 9. 28 The company paid GHC1,500 on the copy machine purchased on May 8. It will pay the remaining balance in June. 31 The company paid its employees’ salaries GHC2,400 for the second half of the month. 31 The company paid a supplier GHC5,300 for siding materials used on the remaining jobs completed during May. 31 The company paid GHC450 for this month’s utility bill
Answers
The journal entries for John Siding Company are given as attached.
What are journal entries?Journal entries are the first step in the accounting process, where transactions are recorded in chronological order. They are used to maintain a record of all financial transactions of a business, including sales, purchases, payments, receipts, and investments.
Each entry includes the accounts affected by the transaction, the amounts involved, and the direction of the debit or credit. Journal entries are then used to create ledger accounts and financial statements, helping businesses track their financial performance and make informed decisions.
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QUESTION ONE
ABC Ltd wishes to expand its business. On 31 Dec 2021, the company had
the following existing and proposed capital structures to support the
expansion programme.
1. The existing 8% debt capital has a book value of Ksh 50 000 000 and
matures in 10 years. The market value of debt at the close of business on
31 Dec 2021 was Ksh 40 000 000
2. A ten year loan of Ksh 300 000 000 is to be raised at an interest of 10
percent p.a. A cost of Ksh 20 000 000 will be incurred in raising this loan
3. A 12% preference stock capital stands in the books at Ksh 100 000 000
( 1 000 000 shares) and has a total market value of Ksh 150 000 000.
4. There are 40 000 000 ordinary shares with a current market price of Ksh
1500 each. The firm’s expected earnings per share (EPS) stand at Ksh
200, its growth rate is 6% and has a dividend payout of 60%.
5. The company plans to issue 10 000 000 ordinary shares at a market price
of Ksh 1 500 per share. The cost of floating the shares is estimated at Ksh
10 000 000.
Required:
i) Firm’s current weighted average cost of capital (10 marks)
ii) Firm’s expected weighted average cost of capital after the expansion
programme (i.e. marginal cost of capital) (5 marks)
QUESTION TWO
An investor intends to place Ksh 112,000,000 in the 91 days Treasury bill at a quoted rate/yield of 7.65%
p.a.
Required:
a) Compute the investor’s return, assuming that he is withholding tax-payer
b) Compute the investor’s return, assuming that he is non-withholding taxpayer (6 marks)
Answers
Answer:
rat
Explanation:
Funds that banks lend to borrowers come from
Answers
If a fixed asset, such as a computer, were purchased on January 1 for $3,750 with an estimated life of three years and a salvage or residual value of $150, the journal entry for monthly expense under straight-line depreciation is Group of answer choices
Answers
ANSWER:
Dr:Depreciation Expense 100 Cr:Accumulated Depreciation 100
As a leader, which of the following will NOT effectively influence the growth and performance of your direct reports?
Answers
Lack of managerial trust is the main barrier to the development of effective organisations.
What impact do leaders have on a company's performance?Leaders may support the success of their teams and the upholding of corporate values by offering chances for learning and development, goal-setting, and recognition. Employees can reach new heights with the aid of frequent one-on-one sessions and two-way feedback. Regular, transparent communication about their job increases the trust that employees have in their leader.
What factors have an impact on a company's performance?How successfully the organisation performs is influenced by a variety of factors, including human resource planning, recruiting procedures, employee training, and career management. Technology, organisational norms, material purchases, and inflation are other factors that have indirect effects on organisational effectiveness.
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As a leader, which of the following will NOT effectively influence the growth and performance of your direct reports?
a- organisational intelligence
b- team promotion
c- trust building
d- Lack of managerial trust
what is the background of the unilever company?
Answers
Answer:
Ueliever somthing i forgot
Explanation:
orthwest Fur Co. started 2021 with $114,000 of merchandise inventory on hand. During 2021, $590,000 in merchandise was purchased on account with credit terms of 2/15, n/45. All discounts were taken. Purchases were all made f.o.b. shipping point. Northwest paid freight charges of $8,700. Merchandise with an invoice amount of $4,800 was returned for credit. Cost of goods sold for the year was $372,000. Northwest uses a perpetual inventory system. Assuming Northwest uses the gross method to record purchases, what is the cost of goods available for sale
Answers
Answer:
The cost of goods available is 3900
I
5. In a few sentences, explain the difference between a fixed exchange rate and a
flexible exchange rate. What are the basic advantages and disadvantages of each?
(4 points)
Answers
A fixed exchange rate is a type of exchange rate regime in which the government or central bank ties the official exchange rate to another country's currency or the price of gold.
The official exchange rate is fixed by the government or central bank, and it is kept constant. The government or central bank must be prepared to buy or sell its currency at the official exchange rate in order to keep it fixed. A flexible exchange rate, on the other hand, is a type of exchange rate regime in which the value of a currency is determined by supply and demand on the foreign exchange market.
Advantages of Fixed Exchange Rate:
Stable exchange rates are beneficial for businesses that require currency predictability. The central bank may employ monetary policy tools more effectively, resulting in lower inflation rates. It is less likely that a currency crisis would occur.
Disadvantages of Fixed Exchange Rate:
It limits a country's monetary policy independence because it must have sufficient foreign currency reserves to maintain the fixed rate. The country's economy may be hurt if the fixed exchange rate is too high.
Advantages of Flexible Exchange Rate:
A flexible exchange rate enables a country to adjust to changes in economic circumstances such as inflation, international competitiveness, and other economic conditions. It allows a nation to conduct an independent monetary policy.
Disadvantages of Flexible Exchange Rate:
Price stability may be difficult to achieve because the exchange rate is more volatile. Businesses may find it more challenging to plan for the future because of the unpredictability of exchange rates.
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differences between division of labor and specialisation
Answers
Discuss the various system for internal administration for financial organisation.
Answers
The various system for the internal administration of financial organizations includes accounting systems, budgeting systems, internal controls, performance management systems, risk management systems, and compliance management systems.
Internal administration systems for financial organizations are systems that oversee the internal functioning of the financial organizations and their staff. They enable businesses to establish and follow specific procedures that ensure their operations are stable, transparent, and responsible.
Here are some of the various systems for internal administration for financial organizations:
1. Accounting systems: Accounting systems are essential to ensure the accuracy of financial transactions and the reliability of financial statements. The accounting system should provide information about the current financial status of the organization and account for all income and expenses.
2. Budgeting systems: Financial organizations use budgeting systems to allocate resources and plan expenditures. This system can be used to control the financial performance of a department, project, or organization.
3. Internal controls: Internal controls are the procedures, policies, and activities that help an organization to maintain the integrity of its operations and prevent fraud. The effectiveness of these controls depends on how well they are implemented.
4. Performance management systems: Performance management systems are used to ensure that the goals of an organization are achieved. This system can be used to monitor and evaluate employee performance, provide feedback, and manage employee development.
5. Risk management systems: Risk management systems help financial organizations to identify and manage risks. They can be used to assess the risk associated with various activities and develop strategies to mitigate those risks.
6. Compliance management systems: Compliance management systems help financial organizations ensure that they are following all relevant regulations and laws. They can be used to monitor compliance with internal policies and procedures as well as external regulations.
In conclusion, internal administration systems for financial organizations are essential for ensuring the stability and transparency of financial operations. These systems include accounting systems, budgeting systems, internal controls, performance management systems, risk management systems, and compliance management systems.
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Identify what constitute the combination of traits, which result from the interaction of genes and environment.
O personality
O locus of control
O ethnocentrism
O perception
Answers
Answer:
Personality
Explanation:
the combination of traits, which result from the interaction of your genes and your environment, they constitute your personality.
The personality from the interaction of genes and environment.
What is combination of traits?It could involve anything from managing a team of people to swaying opinions and guiding an organization's development.
Whatever your personal definition of leadership may be, we can all agree on one thing: Great leaders regularly exhibit certain characteristics as opposed to mediocre ones.
Effective leaders play a critical role in ensuring that people are inspired, engaged, and properly prepared to provide their best work at all levels of a business.
Therefore, The personality from the interaction of genes and environment.
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The shorter your term length, the
the total interest you will pay.
*
your monthly payments, and the
O higher, lower
O higher, higher
O lower, lower
lower, higher
Answers
Answer:
lower, higher
Explanation:
For a term loan, the longer the repayment duration, the more interest one pays.
Longer loan terms have a lower interest rate that seems attractive and affordable to customers. Long terms loans will also have low monthly repayments. Short-term loans have high-interest rates and high monthly repayments. However, the total interest paid on long-term loans is usually higher than that of short term loans. Lenders consider long term loans as riskier and will design them to attract more interest.
Question 14 (3 points)
This tells your customers why they should want your product or service.
Choose the answer.
O place utility
Oform utility
O possession utility
information utility
Answers
Information utility tells your customers why they should want your product or service
For better understanding, lets explain the term Information utility
Utility is simply known as the useful or important characteristics of s thing or something e.g. product or service.Information utility is simple known a importance or value added to a product or service that helps gives the consumer useful information about all products and services. It makes customers aware of why they should want your product or service, how it works, what to expect etc.From the above, we can therefore say that the answer Information utility tells your customers why they should want your product or service is correct
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Basics Ltd reported current liabilities of R3 000 and a quick ratio of 1,2. The company has current assets of R6 000. If the company reports the cost of goods sold at R4 000 for the given year, what is the inventory turnover?
Answers
The inventory turnover for the given year is 3.33, calculated by dividing the cost of goods sold by the average inventory of R1200.
To calculate the inventory turnover, we first need to determine the inventory value. We can use the quick ratio formula to find the inventory amount.Quick ratio = (Current assets - Inventory) / Current liabilitiesRearranging the formula, we have: Inventory = Current assets - Quick ratio * Current liabilitiesSubstituting the given values, we have:Inventory = R6000 - 1.2 * R3000Inventory = R6000 - R3600Inventory = R2400The inventory value is R2400. To calculate the inventory turnover, we divide the cost of goods sold by the average inventory. In this case, the cost of goods sold is given as R4000. The average inventory is the sum of the beginning and ending inventory divided by 2. Since we don't have information about the beginning and ending inventory, we can assume they are equal, resulting in an average inventory of R2400/2 = R1200.Inventory turnover = Cost of goods sold / Average inventoryInventory turnover = R4000 / R1200Inventory turnover = 3.33Therefore, the inventory turnover for the given year is 3.33.For more questions on inventory
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if i put 5000 in the education savings account what percentage will make it double after 12 years?
Answers
An annual interest rate of approximately 6.1% might double a $5,000 investment in an education savings account after 12 years.
To decide the percentage that could double a $5,000 investment in an education savings account after 12 years, we will use the compound interest formulation:
\(A = P(1 + r/n)^{(nt)\)
Where:
A = final amount P = primary quantityr = Annual interest fee n = number of times interest is compounded consistent with 12 monthst = number of yearsIn this situation, we have P = $5,000, A = $10,000 (double the preliminary funding), t = 12 years, and we need to find the yearly interest rate (r) that would gain this doubling.
let's anticipate the interest is compounded annually (n = 1):
\(10,000 = 5,000(1 + r/1)^{(1*12)\)
Dividing both sides of the equation via 5,000:
\(2 = (1 + r)^{12\)
Taking the 12th root of each sides:
\(1 + r = 2^{(1/12)\)
Subtracting 1 from both sides:
\(r = 2^{(1/12) - 1\)
Calculating this value gives us about 0.061 or 6.1%.
Consequently, an annual interest rate of approximately 6.1% might double a $5,000 investment in an education savings account after 12 years.
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_Case Study_ -
*Factors for effective communication*
Nalisiwe is a community development facilitator. She wanted to help young people in her community by starting a support group. She asked a community leader to call a meeting for youth. The community leader called the meeting and asked youths to bring their identity documents to the meeting so that they may register for the project. Because the young people had been asked to bring their identity documents to the meeting, many youth came to the meeting, thinking that the meeting was about applying for a Job. Those who did not have identity documents did not attend the meeting. The youth were very frastrated when they heard that there were no Jobs on offer, and that the meeting was to discuss setting up a support group for youth.
Nalisiwe was frastrated because she felt that the community leader may have had other political intentions in asking the youth to bring their identity documents.
Questions:
1. What can you tell about the mental make - up of Nalisiwe?
2. What were the needs of the audience (the youth)?
3. What were the circumstantial Demands that influenced the communication?
4. How could Nalisiwe and the community leader have been clearer about the purpose of the meeting when they sent out the invitation to the youth?
5. The identity document became a distraction and a symbol for something different than what was intended. How could they have avoided this ambiguity?
6. How could Nalisiwe have worked towards a shared goal, despite the initial misunderstanding abou
Answers
1. Based on the given information, we can infer that Nalisiwe is a proactive and well-intentioned individual who is passionate about community development. She has a clear vision of helping young people in her community and is determined to start a support group for them. However, she may also be feeling frustrated and disappointed due to the misunderstanding that occurred during the meeting.
2. The needs of the audience (the youth) were initially misinterpreted due to the lack of clarity in the meeting invitation. They were looking for job opportunities and saw the meeting as a chance to apply for jobs. Their primary need was employment and the prospect of improving their livelihoods.
3. The circumstantial demands that influenced the communication include the community leader's involvement in organizing the meeting and the way the invitation was communicated. The request to bring identity documents created confusion and led the youth to believe that the meeting was about job applications.
4. To be clearer about the purpose of the meeting, Nalisiwe and the community leader could have clearly stated in the invitation that the meeting was for discussing the establishment of a support group for youth and not for job applications. They could have emphasized the importance of youth participation and highlighted the benefits and objectives of the support group.
5. To avoid the ambiguity surrounding the identity documents, Nalisiwe and the community leader could have explicitly stated that bringing identity documents was not a requirement for the meeting. Instead, they could have focused on conveying the purpose and benefits of the support group, addressing the specific needs and concerns of the youth, and highlighting opportunities for personal growth and community involvement.
6. Despite the initial misunderstanding, Nalisiwe could have worked towards a shared goal by actively engaging with the youth, listening to their concerns, and adapting the support group's objectives to address their needs. She could have facilitated open and transparent communication, clarified any misconceptions, and reassured the youth of the benefits and opportunities the support group could provide. Building trust and maintaining effective ongoing communication would be crucial in aligning everyone towards the shared goal of empowering and supporting the youth in the community.
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Punitive damages are damages imposed on the wrongdoer by the court as punishment for an unintentional tort.
True
False
Answers
Answer:
False.
Explanation:
Punitive damages are the damages that a defendant pays in addition to actual damages. Punitive damages are awarded by a court when the defendant's behavior is found to be intentional or negligent.
In the cases of tort liability, the court applies punitive damages when defendants motif is proved to be intentional.
Therefore, the given statement is false, as the court impose punitive damages for intentional tort.
10.EX.19.09 NPV and IRR
Each of the following scenarios is independent. All cash flows are after-tax cash flows.
Required:
1. Patz Corporation is considering the purchase of a computer-aided manufacturing system. The cash benefits will be $727,000 per year. The system costs $2,738,000 and will last six years. Compute the NPV assuming a discount rate of 12 percent.
Should the company buy the new system?
2. Sterling Wetzel has just invested $309,000 in a restaurant specializing in German food. He expects to receive $49,464 per year for the next nine years. His cost of capital is 7.40 percent. Compute the internal rate of return. Round your answers to whole percentage value (for example, 16% should be entered as "16" in the answer BOX).
%
Answers
1. To compute the NPV for the purchase of the computer-aided manufacturing system, we need to discount the cash benefits at the given discount rate and subtract the initial cost. The cash benefits are $727,000 per year for 6 years.
NPV = Cash benefits / (1 + discount rate)^n - Initial cost
NPV = $727,000 / (1 + 0.12)^6 - $2,738,000
Using a calculator, the NPV is approximately -$527,592.78 (rounded to the nearest dollar).
Since the NPV is negative, it indicates that the present value of cash benefits is less than the initial cost. Therefore, based on the NPV criterion, the company should not buy the new system.
2. To compute the internal rate of return (IRR) for Sterling Wetzel's investment in the restaurant, we need to find the discount rate that makes the present value of cash flows equal to the initial investment.
IRR is the rate at which the NPV equals zero.
IRR = Cost of capital
In this case, the initial investment is $309,000 and the cash flows are $49,464 per year for 9 years.
Using a financial calculator or Excel's IRR function, the IRR is approximately 9% (rounded to the nearest whole percentage value).
Therefore, the internal rate of return for Sterling Wetzel's investment is 9%.
Branch Company, a building materials supplier, has $18,000,000 of notes payable due April 12, 2019. At December 31, 2018, Branch signed an agreement with First Bank to borrow up to $18,000,000 to refinance the notes on a long-term basis. The agreement specified that borrowings would not exceed 75% of the value of the collateral that Branch provided. At the date of issue of the December 31, 2018, financial statements, the value of Branch's collateral was $20,000,000. On its December 31, 2018, balance sheet, Branch should classify the notes as follows: Group of answer choices $15,000,000 long-term and $3,000,000 current liabilities. $18,000,000 of long-term liabilities. $4,500,000 short-term and $13,500,000 current liabilities. $18,000,000 of current liabilities.
Answers
Answer:
a. $15,000,000 long-term and $3,000,000 current liabilities.
Explanation:
The B company can fetch the loan of $15,000,000 (20,000,000*75%) as per the loan agreement with F bank. Therefore, the B company can extend the notes payable due for payment on April 2019 for further time period, but the amount of $3,000,000 for which loan cannot be fetched shall be paid immediately. Therefore, the B company should classify $15,000,000 as long-term and $3,000,000 as current liabilities.
What is an incentive
Answers
Answer:
An incentive is something that motivates or encourages a person to take a specific action. Incentives can be positive, such as a reward or a benefit, or negative, such as a punishment or a cost. Incentives can be used to influence behavior and decision-making, and they are often used in economic and business contexts to motivate employees, consumers, or other stakeholders. Incentives can take many forms, including financial rewards, recognition, privileges, or other benefits.
How does working capital impact a firm’s value?
Answers
Answer:
Explanation:
a lot of things
Shamrock Incorporated had 46,400, $2.50 preferred shares issued. It did not pay a dividend to the preferred shareholders in 2023 and
2024.
What are the dividends in arrears, if any, at December 31, 2024, if the shares are cumulative?
Answers
The dividends in arrears for Shamrock Incorporated at December 31, 2024, are $116,000.
Dividends in arrears are a way of measuring the amount of dividend payments that are owed to shareholders but have not been paid.
Dividends that have not been paid are known as dividends in arrears.
If the shares are cumulative, this means that the company must pay any missed dividends before paying common stockholders dividends.
If preferred stock dividends are cumulative, they must be paid in full before any dividends can be paid to common shareholders.
The dividends in arrears for Shamrock Incorporated at December 31, 2024, can be calculated using the following formula:
Dividends in arrears = (Number of preferred shares) x (Dividend rate) x (Number of years in arrears)
Number of preferred shares = 46,400
Dividend rate = $2.50 per share per year
Number of years in arrears = 1 year (since no dividend was paid in 2023)
Dividends in arrears = (46,400) x ($2.50) x (1)
Dividends in arrears = $116,000
Therefore, the dividends in arrears for Shamrock Incorporated at December 31, 2024, are $116,000.
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Balance sheet, net income
Ebony interiors balance sheet February 28, 2018
Answers
Answer: Financial decisions are often hard to make. We help people make those decisions by making comparisons, finding out what others have chosen, and considering the financial implications of their options.
Luca, the operations manager a company that produces ground coffee beans, wants to know the sequence of the production process in the company to determine if any process can be combined or eliminated. In this case, a _____ will suit Luca's requirement.
Answers
The use of Flow-chart will suit Luca's requirement to know the sequence of the production process.
Flowchart is a diagram that shows the separate steps of a process in sequential order.
This will help Luca to know the sequence of the production process and allow him to decide whether to combine or eliminate some process.Therefore, the use of Flow-chart will suit Luca's requirement to know the sequence of the production process.
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Yaozu wants to open up a Pizza Hut franchise in Belgium. Pizza Hut is the world's largest pizza restaurant company with more than 6,200 restaurants in the United States and more than 4,000 restaurants in 100 other countries. Pizza Hut has been making pizza America loves for 50 years. What would you tell Yaozu about opening up a Pizza Hut franchise?
Answers
Opening a Pizza Hut franchise in Belgium is a great business opportunity.
Yaozu should research the local market to understand the competition, customer needs, regulations, and zoning requirements. Additionally, he should establish a relationship with local suppliers.
When he's ready, he should contact Pizza Hut to discuss financial requirements and the process for opening a franchise.
After approval, Yaozu must obtain permits, secure a location, and hire staff. He must also create a marketing plan to attract customers. With a complete understanding of the local market, regulations, financial requirements, and a comprehensive business and marketing plan, Yaozu can be successful.
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What are capital gains on an investment.
Answers
Answer:
A capital gain is, to put it simply, a rise in the value of an investment over its initial purchase price, such as stocks, mutual fund shares, or shares of an exchange traded fund. You have a capital gain if the asset's value rises, and you must pay tax on it
Hope this helped!
nam and explain two recent CSR/CSI initiatives of Woolworths
Answers
The two recent CSR/CSI initiatives of Woolworths
MySchool MyVillage MyPlanet Woolworths Educational ProgrammeWhat are the CSR initiatives for Woolworths?For a long time now, Woolworths is known to have worked using a structured charity organizations to engage CSI initiatives as they often donate their surplus food from food saved to communities that are known to need the support.
Note that they tend to contributes to the reduction of hunger in local communities as well as lower food waste to landfill from their own operations.
Hence, The two recent CSR/CSI initiatives of Woolworths
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1. Which of the following is true about finding the present value of cash flows?
A. Finding the present value of cash flows tells you how much you need to invest today so that it grows to a given future amount at a specified rate of return.
B. Finding the present value of cash flows tells you what a cash flow will be worth in future years at a specified rate of return.
2. Which of the following investments that pay will $18,000 in 4 years will have a lower price today?
A. The security that earns an interest rate of 4.00%
B. The security that earns an interest rate of 6.00%.
3. Eric wants to invest in government securities that promise to pay $1,000 at maturity. The opportunity cost (interest rate) of holding the security is 4.00%. Assuming that both investments have equal risk and Eric’s investment time horizon is flexible, which of the following investment options will exhibit the lower price?
A. An investment that matures in four years
B. An investment that matures in five years
4. Which of the following is true about present value calculations?
A. Other things remaining equal, the present value of a future cash flow increases if the discount rate increases.
B. Other things remaining equal, the present value of a future cash flow decreases if the discount rate increases.
Answers
Based on present value calculations, the following are true:
A. Finding the present value of cash flows tells you how much you need to invest today so that it grows to a given future amount at a specified rate of return.B. The security that earns an interest rate of 6.00%.B. An investment that matures in five years.B. Other things remaining equal, the present value of a future cash flow decreases if the discount rate increases.What is true of present value calculations?Present value relies on the interest rate and the number of periods that an investment. The longer the investment period, the lower the present value.
The higher the interest rate, the lower the present value as well, For this reason, the 6% investment will be worth less today and the five year investment will have a lower price today.
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