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2 years ago

One way that the world bank might experience an adverse selection in its own lending is if __________.

1 answer:

6 0

Adverse selection describes situations when high-risk persons are more likely to receive insurance or when one bargaining side has important knowledge that the other does not. Our goal is to influence decision-makers, both inside and outside of government, to consider the future and adopt long-term plans.

When vendors and/or purchasers have different knowledge about a certain component of a product's quality, this is referred to as adverse selection. Thus, those who work in hazardous environments or lead high-risk lives are more likely to buy life or disability insurance, knowing that they will likely be able to use it.

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Which of the following would be the best place to discuss your interests or extracurricular activities?

Alinara [238K]

Answer:

B. A cover letter

Explanation:

An internship is a student working in an organization, a cover letter (which is the right answer) can state your interests or extracurricular activities to show your interest in taking the job, a resume is for your past job experiences and a thank you letter is... a thank you letter-

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3 years ago

Adriana Corporation manufactures football equipment. In planning for next year, the managers want to understand the relation bet

Delicious77 [7]

Answer:

$50.57 ; $175,573.6

Explanation:

The computation of the fixed and variable portions of overhead costs based on machine-hours using high low method is shown below:

Variable cost per hour = (High Overhead cost - low overhead cost) ÷ (High machine hours - low service hours)

= ($581,145 - $503,775) ÷ (8,020 hours - 6,490 hours)

= $77,370 ÷ 1,530 hours

= $50.57

Now the fixed cost equal to

= High overhead cost - (High machine hours × Variable cost per hour)

= $581,145 - (8,020 hours × $50.57)

= $581,145 - $405,571.4

= $175,573.60

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3 years ago

Lillich, Inc., manufactures and sells two products: Product U6 and Product R5. Data concerning the expected production of each p

Goryan [66]

Answer:

Lillich, Inc.

c. The unit product cost of Product U6 under traditional costing is greater than its unit product cost under activity-based costing by $5.63.

Explanation:

a) Data and Calculations:

Direct labor rate = $28.00 per DLH

Product U6 Product R5 Total

Expected production 690 1,060

Direct materials cost/unit $250.40 $167.80

Direct Labor Hours/unit 8.9 5.9

Total direct labor hours 6,141 6,254 12,395

Direct labor costs $171,948 ($28*6,141) $175,112 ($28*6,254)

Total direct materials cost $172,776 ($250.4*690) $177,868 ($167.8*1,060)

Total overhead $636,360 $658,752 $1,295,112

Total production cost $981,084 $1,011,732

Expected production 690 1,060

Cost per unit $1,421.86 $954.46

Traditional costing:

Direct labor costs $171,948 ($28*6,141) $175,112 ($28*6,254)

Total direct materials cost $172,776 ($250.4*690) $177,868 ($167.8*1,060)

Total overhead $641,612 $653,418 $1,295,112

Total production cost $986,336 $1,006,398

Expected production 690 1,060

Cost per unit $1,429.47 $949.43

Allocation of overhead based on direct labor hours

= $ 1,295,086/12,395

= $104.48 per DLH

Product U6 = $641,612 ($104.48 * 6,141)

Product R5 = $653,418 ($104.48 * 6,254)

Estimated Expected Activity

Activity Cost Pools Activity Overhead Product Product Total

Measures Costs U6 R5

Labor-related DLHs $ 201,638 7,125 7,280 14,405

Production orders Orders 72,840 1,350 1,250 2,600

Order size MHs 1,020,608 6,500 6,800 13,300

Total $ 1,295,086

Overhead rates:

Labor-related = $201,638/14,405 = $14.00 per DLH

Production orders = $72,840/2,600 = $28.00 per order

Order size = $1,020,608/13,300 = $76.74 per machine hour

Overhead allocation:

Product U6 Product R5 Total

Labor-related $99,750 (7,125*$14) $101,920 (7,280*$14) $201,670

Production orders 37,800 (1,350*$28) 35,000 (1,250*$28) 72,800

Order size 498,810 (6,500*$76.74) 521,832 (6,800*$76.74) 1,020,642

Total overhead $636,360 $658,752 $1,295,112

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3 years ago

The senior management at Life Inc., a pioneer in the health care domain, came up with a blueprint to address the current issues

yuradex [85]

Answer:

The answer is: D) Sustainability

Explanation:

Organizational sustainability is the survival of an organization, which not only depends on financial sustainability but also on complex and dynamic dimensions like workforce growth, delivering value to customers, etc.

It is one of the most important results in applying the Baldrige Model for Business Excellence, which is a system launched by the US government.

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3 years ago

Simon owns stock that has declined in value since acquired. He has decided either to give the stock to his nephew, Fred, or to s

Rudiy27

Answer:

It appears on the surface that Simon must give the stock to Fred and let Fred sell it, because Fred is in the higher tax bracket (i.e., 22% compared to Simons 12%). But for gift property, the basis of loss to the donee is the lower of (1) the adjusted basis of the donor, or (2) the amount of fair market value (FMV) on the date of the gift. Thus as Fred cannot take benefit of the loss, Simon must sell the stock, deduct the realized loss, and sales proceeds should be given to Fred.

When Simon sells the stock and handover the sale proceeds to Fred, in that case the capital gain received from the stock's sale will be taxed on Simon as per his tax bracket. The transfer of sale proceeds to Fred will not have any impact on tax.

8 0

3 years ago