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Reika [66]
3 years ago
12

Where does Hewitt’s leadership fall on the Managerial Grid discussed in the chapter? (5 marks) (b) What deficiencies or shortcom

ings would you identify in Hewitt’s leadership
Business
1 answer:
nikdorinn [45]3 years ago
5 0

Answer:

The Hewitt's leadership falls on the the Middle of Road Management, which is carefully assessed, realistic and in turn creates a balance between concerns for people and production.

The shortcomings of this leadership are, Failure to motivate and inspire people, lack of passion and enthusiasm, Inability to keep workers.

Explanation:

Solution:

(a) The leadership of Hewitt fall towards the Middle of Road Management at 5,5 points, as it is well realistic, carefully assessed or adjusted, and satisfies the concerns for the people and production.

(b) The shortcomings or defaults discovered in Hewitt's Leadership is stated as follows:

  • The failure to motivate and inspire people
  • The Inability to retain employees or workers
  • The lack of passion and willingness or zeal
  • The lack of appreciation on employee or individual
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everything else held constant, the interest rate on municipal bonds rises relative to the interest rate on treasury securities w
posledela

Interest rates would increase since the tax-exempt status of municipal bonds would lose some of its appeal and there would be less of a market for them as a result of the lower income tax rates.

When the income tax rate is reduced for municipal bonds, the value of the bonds will also decline because the tax-exempt status for the bonds will also be reduced as a result of the lower income tax rate. Additionally, it lessens the demand for municipal bonds.

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6 0
1 year ago
Low Carb Diet Supplement Inc. has two divisions. Division A has a profit of $134,000 on sales of $2,310,000. Division B is able
Genrish500 [490]

Answer:

a. Division A = 5.80 %, Division B = 8.95 %

b. Division B is superior. Because, it generates a greater profit margin per each sale made.

Explanation:

<u> a. Compute the profit margins</u>

Profit margin = Profit / Sales × 100

Division A = $134,000 / $2,310,000 × 100

                 = 5.80 % (2 decimal places.)

Division B = $33,400 / $373,000 × 100

                 = 8.95 % (2 decimal places.)

<u> b. Based on the profit margins</u>

Division B is superior as it generates a greater profit margin per each sale made.

8 0
3 years ago
Banc Corp. Trust is considering either a bankwide overhead rate or department overhead rates to allocate $396,000 of indirect co
Viktor [21]

Answer:

(A) $144,000.

Explanation:

For computing the indirect costs allocated to the Commercial Department first we have to compute the per unit cost which is shown below:

Per unit cost = (Allocated department overhead indirect cost) ÷ (total number of direct labor hours)

=  $396,000 ÷ 22,000

= $18

The total number of direct labor hours = Consumer + commercial

                                                                = 14,000 + 8,000

                                                                = 22,000

Now the indirect cost equal to

= Per unit cost × Commercial direct labor hours

= $18 × 8,000

= $144,000

4 0
3 years ago
Western Bank &amp; Trust purchased land and a building for the lump sum of $3 million dollars. To get the maximum tax deduction,
leonid [27]

Answer:

Explanation:

Because land never depreciates, Western Bank & Trust wanted to distribute a higher percentage of the purchase price to the building, rather than the land. By allocating 90% of the purchase price to the building, rather than a more accurate 70%, Western Bank & Trust increases the depreciation amount of the building each year. For tax purposes, the IRS requires that the Modified Accelerated Cost Recovery System (MACRS) be used as the depreciation method used by companies. Under this method, the IRS specifies the useful life for a specific asset. MACRS also ignores residual value of an asset at the end of its useful life. By stating that the building was worth 90% of the total purchase price, Western Bank is attempting to increase its tax deduction from the IRS, because only the building depreciates, not the land. This improper allocation of the total purchase amount violates GAAP principles, which require that accounting information be “relevant and have faithful representation.” The information must be “complete, neutral, and free from error” (Nobles, Mattison, & Matsumura, 2014). For Western Bank to provide complete, neutral, and free from error information, it should record the transaction honestly: 70% to the building, 30% to the land. This dishonest representation is harmful to the federal government in that it is allowing Western Bank to take more money than what it is owed. If these kinds of situations happen on a large scale, it could have a huge impact on the economy in general. Source: Nobles, T., Mattison, B., & Matsumura, E. M. (2014). Horngren's Accounting, 10th Edition. Pearson Education, Inc. Student 2

3 0
3 years ago
Beau Corporation sells a unit of its product for​ $250 per​ unit, while its variable costs per unit are​ $75. Fixed cost are bud
wolverine [178]

Answer:

Number of units that must be sold to earn the target profit is 3000 units.

The contribution margin ratio is 0.70

Explanation:

We will use the break even analysis modified for target profit to calculate the number of units needed to earn the desired

The break even point in units is calculated by dividing the fixed cost by the contribution margin per unit. To calculate the number of units required to earn the desired profit, we add the desired profit to fixed cost and divide it by the contribution margin per unit.

Contribution margin per unit = 250 - 75  =  $175

Number of units required to earn target profit = (325000 + 200000) / 175

Number of units required to earn target profit = 3000 units

The contribution margin ratio is = 175 / 250   =  0.7 or 70%

Dollar Sales required to earn target profit = $4,812,500

8 0
3 years ago
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