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3 years ago

The rationing function of prices means that

Business

1 answer:

sergeinik [125]3 years ago

7 0

Answer:

A) buyers and sellers synchronize their decisions through the price system

Explanation:

Buyers are affected by the price mechanism and generally demand less at higher prices while sellers offer more when the price is higher. This provides a rationing mechanism that is not controlled by a central authority.

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Wax music expects sales of $437,500 next year. the profit margin is 4.8 percent, and the firm has a 30 percent dividend payout r

zimovet [89]

$16,231 is the Projected Increase in Retained Earnings.

<h3>Explanation</h3>

get here first Expected Profit that is express as

expected Profit = Sales × Profit Margin .......................1

expected Profit = 437500 × 5.3%

expected Profit = $23187.50

and Dividends is here as

Dividends = Expected Profit × Dividend Payout Ratio .................2

Dividends = 23187.50 × 30%

Dividends = $6956.25

Projected Increase in Retained Earnings will be

Projected Increase in Retained Earnings = expected Profit - Dividends ........3

Projected Increase in Retained Earnings = $23187.50 - $6956.25

Projected Increase in Retained Earnings = $16231.25

There are options missing in the question which is given below-

a. $16,231

b. $17,500

c. $18,300

d. $20,600

e. $21,000

Thus, the correct option is a. $16231

For more details about the question, click here:

brainly.com/question/14275701

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3 0

1 year ago

Sooner Machinery Company purchased a delivery truck at a cost of $56,000 on March 10, 2018. The truck has a useful life of six y

Fofino [41]

Answer:

Results are below.

Explanation:

Giving the following information:

Purchase price= $56,000

Useful life= 6 yearsd

Salvage value= $5,000

a. To calculate the annual depreciation, we need to use the following formula:

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (56,000 - 5,000) / 6= $8,500

Year 1:

Annual depreciation= (8,500/12)*10= $7,083.33

Year 2:

Annual depreciation= $8,500

b. To calculate the annual depreciation, we need to use the following formula:

Annual depreciation= 1.5*[(book value)/estimated life (years)]

Year 1:

Annual depreciation= [(1.5*8,500)/12]*10= $10,625

Year 2:

Annual depreciation= [(51,000 - 10,625)/6]*1.5

Annual depreciation= $10,093.75

4 0

3 years ago

Assume that you hold a well-diversified portfolio that has an expected return of 11.0% and a beta of 1.20. The total value of yo

diamong [38]

Answer:

hope this helps

Assume that you hold a well-diversified portfolio that has an expected return of 11.0% and a beta of 1.20. You are in the process of buying 1,000 shares of Alpha Corp at $10 a share and adding it to your portfolio. Alpha has an expected return of 21.5% and a beta of 1.70. The total value of your current portfolio is $90,000. What will the expected return and beta on the portfolio be after the purchase of the Alpha stock? Do not round your intermediate calculations.

Old portfolio return

11.0%

Old portfolio beta

1.20

New stock return

21.5%

New stock beta

1.70

% of portfolio in new stock = $ in New / ($ in old + $ in new) = $10,000/$100,000=

10%

New expected portfolio return = rp = 0.1 × 21.5% + 0.9 × 11% =

12.05%

New expected portfolio beta = bp = 0.1 × 1.70 + 0.9 × 1.20 =

1.25

Explanation:

7 0

2 years ago

Bubbles Inc. produces gummy bears. The company purchases raw materials, stores them in warehouse, and then runs them through two

rusak2 [61]

Answer:

D. $65,000

Explanation:

Data provided

Direct labor = $56,500

Manufacturing overhead = $8,500

The computation of Conversion costs is shown below:-

Conversion costs = Direct labor + Manufacturing overhead

= $56,500 + $8,500

= $65,000

Therefore for computing the conversion cost we simply add the direct labor with manufacturing overhead.

8 0

3 years ago

Suppose a local hardware store has explicit costs of $2 million per year and implicit costs of $44,000 per year. If the store ea

Korolek [52]

Answer: $94,000

Explanation:

7 0

3 years ago