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1 year ago

Purchasing power parity (ppp) is considered an __________ measurement poverty levels

Business

1 answer:

Nastasia [14]1 year ago

7 0

Purchasing power parity (ppp) is considered an objective measurement poverty levels.

Purchasing power parity:

By removing the variations in price levels between nations, purchasing power parities (PPPs) are rates of currency translation that aim to equalize the purchasing power of various currencies.
monetary and developmental. Timothy Callen the rate at which the equivalent amount of goods and services might be purchased in one country using the currency of the other at a certain exchange rate.
By taking the geometric mean of the pricing relationships between each pair of economies for the two varieties of rice, the basic-heading PPP for each pair of economies may be calculated directly. This comparison is bilateral.
China, despite still being a developing country, is thought to have the greatest PPP in the entire world. This is due to the country's economy being the largest in the world, despite the fact that the bulk of its population earn extremely low wages.

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Financial information is presented below: Operating Expenses $ 91100 Sales Returns and Allowances 17000 Sales Discounts 12400 Sa

ira [324]

Answer:

$290,700

Explanation:

The amount of net sales on the income statement is computed as shown below;

Net sales = Sales revenue - Sales discount - Sales return and allowance

Net sales = $320,100 - $12,400 - $17,000

Net sales = $290,700

8 0

3 years ago

Rokhanna, Inc. issued $1,000 par value bonds with an 8% coupon. The bonds have 18 years to maturity. Market interest rates are 5

Zielflug [23.3K]

Answer:

Bond Price = $1294.65063 rounded off to $1294.65

Explanation:

To calculate the price of the bond today, we will use the formula for the price of the bond. Assuming the bond is an annual bond, the coupon payment, number of periods and annual YTM will be,

Coupon Payment (C) = 1000 * 0.08 = 80

Total periods (n) = 18

r or YTM = 0.054 or 5.4%

The formula to calculate the price of the bonds today is attached.

Bond Price = 80 * [( 1 - (1+0.054)^-18) / 0.054] + 1000 / (1+0.054)^18

Bond Price = $1294.65063 rounded off to $1294.65

8 0

3 years ago

A corporation had a change in net working capital of $40,000 this year. At the end of the year the balance sheet showed $150,000

FinnZ [79.3K]

Answer:

$\large\boxed{\large\boxed{\$ 110,000}}$

Explanation:

Net working capital is the difference between the current assets and the current liabilities:

$Net\text{ }working\text{ }capital=Current\text{ }assets-Current\text{ }liabilities$

Change in the net working capital (ΔNWC = $40,000)

$\Delta NWC=\Delta\text{Current assets}-\Delta\text{Current liabilities}$

$\Delta\text{Current assets}=\$ 150,000-\$ 120,000=\$ 30,000$

$\Delta\text{Current liabilities}=\$ 100,000-x$

$\$ 40,000=\$ 30,000-(\$ 100,000-x)$

$x=\$ 40,000-\$ 30,000+\$ 100,000=\$ 110,000$

7 0

3 years ago

The City of Troy collects its annual property taxes late in its fiscal year. Consequently, each year it must finance part of its

matrenka [14]

PAnswer:

A. $1,460,000

B. Dr Cash $1,460,000

Cr Tax anticipation note Payable $1,460,000

C.General fund

Dr Tax anticipation note Payable $1,460,000

Dr Expenditure $43,800

Cr Cash $1,503,800

Government activities

Dr Tax anticipation note Payable $1,460,000

Dr General government interest expense $43,800

Cr Cash $1,503,800

Explanation:

a. Calculation for the estimated amount of tax anticipation financing that will be required for the remainder of FY 2017.

Estimated amount of Tax Anticipation Financing

Budgeted expenditures, remainder of year 2,500,000

Add Current liabilities payable 830,000

Less Estimated Resources Available:

Cash on hand, beginning of year (770,000)

Collections of budgeted revenues and delinquent property taxes (1,100,000)

Estimated Amount of Required Tax Anticipation Note Financing $1,460,000

b. Preparation of the Journal entry to Record the issuance of the tax anticipation notes

Dr Cash $1,460,000

Cr Tax anticipation note Payable $1,460,000

c. Preparation of journal entry to Record the repayment of the tax anticipation notes and interest

General fund

Dr Tax anticipation note Payable $1,460,000

Dr Expenditure $43,800

($1,460,000*6%*6/12)

Cr Cash $1,503,800

($1,460,000+$43,800)

Government activities

Dr Tax anticipation note Payable $1,460,000

Dr General government interest expense $43,800

($1,460,000*6%*6/12)

Cr Cash $1,503,800

($1,460,000+$43,800)

6 0

3 years ago

Rose industries had 400 units of product ab in their inventory, costing $12 each. 600 more units of product ab were purchased fo

amid [387]

The company in here is forced to sale their older inventory because of the demand of 700 units while the inventory that last entered their warehouse was only 600 units. Since they are following the LIFO method of inventory, LIFO liquidation will take place and the normal gross profit will differ than the actual profit. The sales for Rose Industries would be $21,000 (700 units x $30). The COGS should have been $12,600 (700 units x $18) following the normal sale of inventory giving the normal gross profit as $8,400 ($21,000 - $12,600). But since the demand is higher than the inventory that was last purchased, the company needs to sell 100 units of product ab that costs $12. Therefore, the COGS would be $12,000 [(600 units x $18) + (100 units x $12). Therefore the actual gross profit is $9,000 which is $600 higher than the normal gross profit.

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3 years ago