Answer:
$21,000
Explanation:
During the year, credit sales amounted to $ 840,000.
Cash collected on credit sales amounted to $ 790,000, and $ 18,000 has been written off.
At the end of the year, the company adjusted for bad debts expense using the percent-of-sales method and applied a rate, based on past history, of 2.5%.
The amount of bad debts expense for 2019 is 2.5% x 840,000 = $21,000
Answer:
The correct answer is (C)
Explanation:
The company has launched an initiative to improve cooperate citizenship and Abigail as a manager is responsible for various operations such as shareholders interest, transparency and integrity of customers. The job of a manager is tough and it requires tremendous amour of effort. Likewise, a manager is not responsible for the vigilance of the board of directors because they are on their own and she has no authority over them.
Answer:
The slope of the CML = (13% - 7%)/25% = 0.24
Explanation:
Given that:
expected rate of return of 17%
standard deviation of 27%.
The T-bill rate is 7%.
You estimate that a passive portfolio invested to mimic the S&P 500 stock index yields an expected rate of return of 13% with a standard deviation of 25%.
The slope of the CML is
Slope of the CML = (Expected return of Market - Risk free return)/Standard deviation of market
The slope of the CML = (13% - 7%)/25% = 0.24
= (0.13 - 0.07) /0.25
= 0.24
For a uniform-price monopolist the Profit is equal to Average Revenue as long as Average revenue is greater than Marginal revenue (P = AR > MR ). For a perfectly competitive firm, the Profit is equal to both Average Revenue and it is also equal to Marginal Revenue (P = MR = AR).
Answer:
Balance Sheet B because the excess reserves are adequate to cover the deposit outflow without the bank needing to alter its balance sheet.
Explanation:
Balance Sheet B because the excess reserves are adequate to cover the deposit outflow without the bank needing to alter its balance sheet and $50 million deposit outflow means that reserves reduced by $50 million to $25 million. Since required reserves are $45 million (10% of the $450 million of deposits), which means the bank needs to acquire $20 million of reserves and the reserve can be obtain by either calling in or selling off $20 million of loans, borrowing $20 million in discount loans from the Fed, borrowing $20 million from other banks or corporations, selling $20 million of securities, or the combination of all.
