Answer:
E. Labor, capital and management
Explanation:
Productivity refers to efficiency in production which means how much output is produced for available level of inputs. It is measured by output/input ratio.
The variables which determine productivity are labor, capital and management.
Capital refers to the amount of investment an entrepreneur makes in a project. Capital invested determines the resources available.
Labor refers to men employed to produce output. Labor cost refers to the wages paid.
Management refers to carrying out operations effectively so that all factors of production work in synchronization and to ensure that everything is in order.
Answer & Explanation:
<u>a.- Revenues: </u>Increase for 3.2 millions
It will be recognize for the entire order, as it was deliveried entirely within the accounting period.
<u>b.- Earnings: </u> Increase for 1.5 millions
The earnings for the business will be the net between the revenues and expenses.
3.2 revenues - 1.7 expenses = 1.5 earnings
<u>c.- Receivables: </u> Increase for 1.8 millions
It will increase for the unpaid portion ofthe order.
<u>d.- Inventory</u> Decrease for 1.7 millions
It will decrease for the entire cost of the order, as it was within this accounting period both, revenues and the expense related to it, will be recognize.
<u>e.- Cash:</u> Increase for 1.4 millions
It will increase for the amount received from the customer. As it was no payment from the business in the transaction.
Answer: <em><u>Cash to be distributed to Harding = $ 17000, Jones = $ 3000
</u></em>
Explanation:
It has been indicated that the ($9,000) deficit will be covered with a forthcoming contribution
∴ The Remaining Capital Balance is = (24000 + 24000) = $48000
∵Total cash Available = $20000
Loss = 48000 - 20000
= $ 28000
Loss will be shared between Harding & Jones in ratio = 16:48
∴ Harding Capital balance =
= $ 17000
∴ Jones Capital balance =
= $ 3000
Cash will be Distributed in their capital balance ratio
Therefore,
<u><em>Cash to be distributed to Harding = $ 17000, Jones = $ 3000
</em></u>
Answer with Explanation:
Requirement 1:
The companies whose products are in growth phase or the company is cash cow which has a well diversified products does not have to invest in adding a new product line because their earnings are already stable enough or that they don't have to invest much because sufficient profits are left after extracting for investments. Increase in dividends has two meanings that either the management is confident enough that they think that the company will be able to earn more in the future and they will achieve better position in future which is a good news in the stock exchange and for investors as well and investor invest more in the company's ordinary stock.
Company start Stock repurchase program which is to buyback its previously issued ordinary shares which is because the management thinks that the stock is undervalued and thus they repurchase their ordinary shares so that the stock will go up in near future and this will benefit the company and the existing shareholders as well. This also helps in increasing earnings per share, return on equity, etc because the equity is reduced by share repurchase program.
Stock repurchase program is also run by the organization because they don't find any attractive opportunities. This means that the company does not have any large investment opportunities which means growth in revenue and profit can not be expected in the future years. Thus when the company starts repurchasing of stock the investor starts selling their stocks.
Requirement 2:
If the company thinks that they can increase the worth of shareholders beyond their shareholder's expectation then they don't pay dividend and invest in projects to increase the sales growth, profits and market share significantly in the coming future.
Some long term shareholders think this is a great news whereas short term investors who are looking for dividends will sell the stock which means that the stock value may fall in near future but in long run the company stock value increase when the investment will start showing its results.