Answer:
Option B $9 million is the correct answer.
Explanation:
The current portion of income tax expense is the taxable for the year multiplied by the prevalen tax rate in the year.
Current portion of income tax expense=taxable income*tax rate
taxable income is $30 million
tax rate is 30%
current portion of income tax expense=$30 million*30%=$ 9 million
Option B is the correct answer
However,if one chooses option A,it implies that one had used pretax net income of $25 million in computing the income tax expenses instead of taxable income on which tax is payable
Answer:
a. Savers who lend money are willing to accept a lower minimum interest rate than potential savers who do not lend money.
b. Investment projects that are financed by savers have larger rates of return than projects that do not receive financing.
Explanation:
Loanable funds refer to the aggregate amount of money that all sectors, entities and individuals within an economy have decided to keep as an investment, instead of spending on personal consumption, by saving and giving them out as loans to borrowers.
The market for loanable funds is in equilibrium when the supply of loanable funds by the saver is equal to demand for loanable funds by the borrowers at a given interest rate.
When the market for loanable funds is in equilibrium, efficiency is maximized because projects that have higher rates of return are given priority to be funded first before the projects with lower rates of return are funded. The reason is that savers that have lowest costs of lending provides funds for the projects that have highest return rates in equilibrium. However, potential saver who do not lend money will prefer a higher interest rates.
Therefore, the correct options related to the two aspects of efficiency that the equilibrium of market for loanable funds exhibits are as follows:
a. Savers who lend money are willing to accept a lower minimum interest rate than potential savers who do not lend money.
b. Investment projects that are financed by savers have larger rates of return than projects that do not receive financing.
Answer:
b) most shareholders have little direct control over how the company is managed.
Boom general operating profits in all four geographic areas -- the resulting growth in working earnings will improve general net income and assist increase the EPS, using the business enterprise's stock fee upward.
Due to the fact, that the boom in EPS can bring about an elevated and strong dividend, and thus can have an impact on the investors to buy the stocks, resulting in a boom in stock prices.
The inventory price is a relative and proportional price of an organization's worth. consequently, it only represents a percent alternate in an organization's market cap at any given factor in time. Any percentage adjustments in an inventory fee will bring about the same percent trade in a company's marketplace cap.
A percentage fee is the rate of an unmarried proportion of a number of saleable equity shares of an organization. In layman's terms, the stock price is the best amount someone is willing to pay for the inventory, or the bottom amount that it can be bought for.
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Answer:
It should continue the production in the short-run.
Explanation:
Given the unit produced by Mars Inc. = 100000 boxes.
The selling price of boxes = $4 per box.
The variable costs = $3 per box.
The fixed costs = $150000
The total sales revenue = number of boxes × selling price
= 100000 × 4
= $ 400000
In the short run, the firm should continue its production because it still covers the variable costs.
