Answer:
1. Create and give innovative experience.
2. Brand and reputation operation
3. Improvement in workers general welfare
Explanation:
As a manager in an hotel, I would Improve the facets of the hotel by
1. Create and give innovative experience. As a manager, I would ensure the hotel create and delivers top notch service considering there are competition in the hospitality industry.
2. Brand and reputation operation. When customers receives a world class experience, reputation is being created here. I would then sustain this reputation by making it a brand upon which the hotel will be identified with subsequently.
3. Improvement in workers general welfare. This is very critical to the success of the hotel. Once workers are well paid , it would spur them to work and align with the vision I have for the hotel.
Answer:
1. Equity reduces to $372,300
2. 11,517 shares
3. $32.33
Explanation:
1. Effect on Equity
The company will use $15,600 cash to buy the equivalent amount of shares.
Cash Balance will reduce by;
= 52,900 - 15,600
= $37,300
Equity will reduce by the amount of stock repurchased;
= 387,900 - 15,600
= $372,300
2. Shares Outstanding
Current Stock Price =
= 387,900/12,000
= $32.33
Number of shares repurchased = 15,600/32.33
= 483 shares
New Shares Outstanding = 12,000 shares - 483 shares
= 11,517 shares
3. Price per share after repurchase
=
= 372,300 / 11,517
= $32.33
4. Dividends declared reduces the equity value.
= 32.33 - 1.30
= $31.03
The share repurchase is the same as the cash dividend because the stock price after the repurchase is the same as the stock price if dividends are declared less the cash dividends.
Answer:
Whether the demand for their product is elastic or inelsatic AND whether they have close competitors
Explanation:
*DEMAND ELASTIC OR INELASTIC*
If the product A&B is selling has close substitutes, the product is likely to be more elastic. This means that even a slight rise in price will shift consumers to the substitutes ( competitor's product) which have lower prices. Moreover if the product takes a larger proportion of people's income, and is a luxury, the price is likey to be elastic. However if the product is inelastic ( the product doesn't have close substitutes), an increase in price will not cause much fall in sales, resulting in the prevention of losses in revenue. By using this knowledge A&B can determine whether or not they can use price skimming or promotional pricing.
*CLOSE COMPETITORS*
If the product that A&B is selling has close competitors, raising the price greater than competitor's prices will result in losses of A&B and it will loose customers to rival businesses. A&B can also decide by observing the quality of rival's products and examine whether they should further increase the quality and set higher prices for their product to create a 'higher quality image'.
Through these observations A&B can decide if competitive pricing or penetration pricing will be suitable for it or not.
Answer:
C) Insensitivity to others
Explanation:
Myrtle is not a bully, she seems to be more like a dictator. Besides Myrtle being rude to her subordinates, which is totally wrong, her behavior will cause negative emotions to them. I bet the cashiers and clerks all dislike her, and feel a mixture of anger, fear, stress and sadness about this situation. The real problem is that all of these negative emotions translate into hostility and bad service towards the customers. Customers do notice when bad things are happening in a business, specially in stressful places like banks. Banks by themselves are very stressful places and if you add employer hostility and bad service, it turns into a perfect storm.
Answer:
B) reports AGI of $90,000 with a $10,000 passive loss carryover.
Explanation:
regular business income $90,000
passive income:
- Activity A: $20,000 gain
- Activity B: $30,000 loss
Mark's adjusted gross income will include the income from his normal business activities = $90,000. But he should also report the passive activities which result in a net loss of $10,000 (= $20,000 - $30,000 = -$10,000). This loss from his passive activities must be reported as passive loss carryover.