Answer:
answer is normal
Explanation:
please mark me as brainlier
Answer:
Authority - Responsibility Balance & Incentive Development.
Explanation:
Authority refers to the power to command, give orders to somebody. And enjoying the position of having right to get it obeyed.
Responsibility refers to being in a position of accountability, answerability for an allocated task or job & its performance.
For Eg : A manager given responsibility to complete a task of production targets achievement, is also given authority to command the entire staff at the production site.
Joe had problem while working for someone else that :- he had responsibility to complete employers allocated task, but may be not given enough authority to do so, thats why he felt he is being 'commanded by, working for' someone else. Also, he doesn't owe the rewards of his acts, so lacks incentive.
Being an entrepreneur will entitle him with managerial responsibilities, but at the same time will also give him higher authority to take his own independent decisions. And, he is himself responsible for his acts, will bear losses or enjoy profits for himself. So, it also incentivises him to work for himself.
Answer:
Entry to record adjustment:
COGS Dr $9.4m
Inventory Cr $9.4m
Explanation:
The question relates to a change in accounting policy. According to IAS 8 (changes in accounting policy and estimate), a change in accounting policy is to be reflected retrospectively and prospectively, which means any changes should be implemented by bringing changes in the past records. Since CPS company has been using FIFO method, the inventory has been overstated in the financial statements. A shift to AVCO has resulted in a decrease in inventory value.
The value of inventory has to be reduced as a result of change in accounting policy (i.e $38m - $28.6m). This is the closing inventory so a reduction in the value of closing inventory results in an increase in cost of goods sold (COGS), therefore, the adjusting entry will be aimed at reducing inventory and increasing cost of goods sold, see as follows:
Entry:
COGS Dr $9.4m
Inventory Cr $9.4m
Answer:
3.34 times
Explanation:
Ginger incorporation has a market valu of equity of $710,000
The debt is $227,800
Cash is $45,600
EBIT is $102,800
The first step is to find the enterprise value
= market capitalization + debt -cash
= $710,000 +$227,800 - $45,600
= $937,800-$45,600
= $892,200
The EBITDA can be calculated as follows
= EBIT + depreciation and amortization
= $102,800 + $164,600
= $267,400
Therefore the enterprise value-EBITDA can be calculated as follows
= 892,200/267,400
= 3.34 times
Answer:
Find answers below.
Explanation:
Risk management can be defined as the process of identifying, evaluating, analyzing and controlling potential threats or risks present in a business as an obstacle to its capital, revenues and profits. This ultimately implies that, risk management involves prioritizing course of action or potential threats in order to mitigate the risk that are likely to arise from such business decisions.
Price risk is the risk of a decline in a bond's value due to an increase in interest rates. This risk is higher on bonds that have long maturities than on bonds that will mature in the near future.
Reinvestment risk is the risk that a decline in interest rates will lead to a decline in income from a bond portfolio. This risk is obviously high on callable bonds. It is also high on short-term bonds because the shorter the bond's maturity, the fewer the years before the relatively high old-coupon bonds will be replaced with new low-coupon issues. Which type of risk is more relevant to an investor depends on the investor's investment horizon, which is the period of time an investor plans to hold a particular investment. Longer maturity bonds have high price risk but low reinvestment risk, while higher coupon bonds have a higher level of reinvestment risk and a lower level of price risk. To account for the effects related to both a bond's maturity and coupon, many analysts focus on a measure called duration, which is the weighted average of the time it takes to receive each of the bond's cash flows.
The bonds which would have the largest duration is a 10 year - zero coupon bond.
