Answer:
Micro environment
Explanation:
The institution's micro-environment comprises of those components that are manageable. Generally the micro-environment doesn't really impact all businesses in a sector in same manner, as the scale, efficiency, competence and approaches are different.
For instance, the suppliers of raw materials are giving big corporations more compromises. We might not offer small businesses the same concessions though. Thus, from the above we can conclude that the correct answer is micro-environment.
Answer:
b)less than $500,000 today, but a positive amount.
Explanation:
By the virtue of the concepts of compounding and discounting, we understand that $1 today is worth more that $1 in the future.
Where Pv = Present value
Fv = Future value
r = discount rate
t = time
Fv = Pv ( 1 + r)^t
As such If a firm can earn a profit stream of $50,000 per year for 10 years, that profit stream is worth less than $500,000 today, but a positive amount.
Answer:
Data for Question
<u>Debt</u> <u>Book Equity</u> <u>Market Equity</u> <u>Operating Income</u> <u>Interest Expense</u>
Firm A
500 300 400 100 50
Firm B
80 35 40 8 7
1.
Market debt-to-equity ratio = Debt of Firm / Market Equity
Firm A = 500 /400 = 1.25
Firm B = 80 / 40 = 2
2.
Book debt-to-equity ratio = Debt of Firm / Book Equity
Firm A = 500 /300 = 1.67
Firm B = 80 / 35 = 2.29
3.
Interest coverage ratio = Operating Income / Interest Expense
Firm A = 100 /50 = 2
Firm B = 8 / 7 = 1.14
4.
Firm B will have more difficulty meeting its debt obligations because it has higher debt equity ratio and lower interest coverage ratio than Firm A.
Answer:
May 1, 2020 - No Entry
Explanation:
IFRS 15 requires an entity to recognise revenue <em>when</em> entity transfers the goods or services to the customer.
Transfer of the mower happens on May 31, 2020, this is the date at which Revenue is recognised.
The cash is also paid on May 15, 2020, according the <em>accruals concept</em>, no entry must be done on May 1,2020. Only when the payment occurs should there be a record in Vaughn books.
Answer:
R = 4 customers per minute
I = 12 customers in line
average time (T) = 3 minutes per customer
Explanation:
if we follow Little's Law and its assumptions: L = λW
- L = average number of clients in line = 12
- λ = arrival or departure rate = 4 per minute
- W = average waiting time
W = L / λ
average waiting time = average number of clients in line / average number of clients arriving (or departing) = 12 / 4 = 3 minutes
Little's Law can also be written as I = RT
I = L
R = λ
