A manufacturing business changes the basic inputs into products that are sold to the customers.
The manufacturing business is in charge of manufacturing the goods for the entire country. It takes input from the economy as raw materials and processes or manufactures it and then gives the output back to the company. A very simple example of this is steel rods. The manufacturing company changes the basic inputs of steel into products which are steel rods.
An enterprise is a business or a company that runs its own business. Retail is a type of business that buys goods from wholesalers and sells them to customers. Service is the work that is done by professionals like doctors. None of these actually make their own goods to sell back to the customers. They only sell other goods or services without manufacturing anything new.
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Answer:
D
Explanation:
Risk premium is the compensation given to investors for holding risky assets. The more risky an asset is, the higher the premium.
A rational investor would be unwilling to invest in a stock that offers zero premium because there is no compensation for the risk that is borne by the investor.
Risk premium is always positive.
Risk premium = expected rate of return of the asset - expected rate of return of the risk free asset.
The more risky the asset, the higher the expected rate of return. So, the expected rate of return of the asset would always be higher than the risk free rate. This makes risk premium positive
The country Lilliput has low unemployment and high consumer spending, and small businesses are thriving. However, prices are starting to rise throughout the economy. The government of Lilliput should raise the income tax, which gives citizens less money to spend, and buy more services from civilian - owned businesses, which creates more jobs.
Answer:
The correct answer is option (B).
Explanation:
According to the scenario, the computation of the given data are as follows:
Beginning inventory = 2,.000 units
Ending inventory =2,000 + 2,000 × 20% = 2,400 units
Sold units = 20,000 units
So, we can calculate the budgeted purchase by using following formula:
Budgeted purchase = Sold units + Ending inventory - Beginning inventory
= 20,000 + 2,400 - 2,000
= 20,400 units
A)
Sales. 14
COGS. (8)
Dep. (2)
Interest (1)
Net profit before tax=3 million
Tax. 0.35×3 = (1.05)
Net income= 1.95
Cash flow= net income+ depreciation
Cash flow=1.95+2=3.95
B)
Net income=1.95-1=0.95
Cash flow=3.95+1=4.95
