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3 years ago

Money is a productive asset. Its opportunity cost is:

Business

1 answer:

dsp733 years ago

8 0

Answer:

The correct answer is A. The time value of money.

Explanation:

In economic theory, the temporary value of money is intended to represent the idea that a dollar of today is worth more than a dollar of the future, even after adjusting for inflation, because a dollar can now generate interest or other returns up to moment in which the dollar of the future is received. This theory is based on the calculation of present or current value.

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Financial data for Joel de Paris, Inc., for last year follow: Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance

kondor19780726 [428]

Explanation:

The computation is shown below:

1. Average operating assets is

= (Opening operating assets + closing operating assets) ÷ 2

where,

Opening operating assets is

= Total assets - Land (undeveloped) - Investment in Buisson, S.A

=$2,020,000 - $180,000 - $250,000

= $1,590,000

And, the closing operating assets is

= Total assets - Land (undeveloped) - Investment in Buisson, S.A

= $2,100,000 - $170,000 - $280,000

= $1,650,000

So, average operating assets is

= ($1,590,000 + $1,650,000) ÷ 2

= $1,620,000

Margin = Net operating income ÷ Sales

= $405,000 ÷ $4,050,000

= 0.1 or 10%

Turnover is

= Sales ÷ Average operating assets

= $4,050,000 ÷ $1,620,000

= 2.5

Return on Investment = Margin ×Turnover

= 0.1 × 2.5

= 0.25 or 25%

3. Residual Income = Net operating Income - (Average operating assets × Minimum required rate of return)

= $405,000 - ($1,620,000 × 15%)

= $405,000 - $243000

= $162,000

3 0

3 years ago

Darren is eligible to contribute to a traditional 401(k) in 2019. He forgot to contribute before year-end. If he contributes bef

Irina18 [472]

Answer:

True

Explanation:

Base on the scenario been described in the question which, Darren was eligible to assist to a traditional of 401,000 in 2019, but we were told he forgot and later he paid in 15, June 2020, he is look as though he paid in 2019 because and it is true.

The reason why the answer is true is that Darren is that the time he paid the money in July 15, 2020, it was still within the time he allowed to still pay for the year 2019, that's why he considered as though he paid in 2019.

5 0

3 years ago

Age Group Accounts Receivable Estimated Loss % 0-30 days past due $110,000 1% 31-60 days past due 40,000 2 61-120 days past due

icang [17]

Answer:

The answer is attached below

Explanation:

7 0

3 years ago

Read 2 more answers

Jared eagerly agreed to edit the employee handbook but procrastinated until the evening before he was to submit his work. Then h

german

Answer: energy

Explanation: In simple words, energy refers to the strength and vitality that must be present to initiate and complete a mental and physical activity. Energy drives the force that leads to changes in variables.

In the given case, Jared initiated the project but lacked vitality off continuing and completing it due to lack of focus and happening of errors. Thus, we can conclude that he lacked energy.

4 0

3 years ago

United Apparel has the following balances in its stockholders' equity accounts on December 31, 2021: Treasury Stock, $700,000; C

Sergio [31]

Answer and Explanation:

The preparation of stockholders' equity is shown below:-

Stockholder's equity Statement

December 31, 2021

Particulars Amount ($)

Paid-in capital

Preferred Stock $2,100,000

Common Stock $450,000

Additional paid in capital $7,300,000

Total paid in capital $9,850,000

Add:Retained earnings $1,450,000

sub total $11,300,000

Less: Treasury stock $700,000

Total stockholders' equity $10,600,000

7 0

3 years ago