Answer:
Command Economic System
Explanation:
The economic system of the East Asian nation of Xinzen calls for public ownership of all businesses. The government has complete control over the market, and individuals do not have individual rights and the freedom to make choices. In this scenario, the economic system followed by Xinzen is Command Economic System.
Answer:
The stock market tends to value diversified companies at less than their break-up value.
Explanation:
Conglomerate discount is only applicable to large, highly diversified business entities and it basically arises as a result of business analysts having difficulty finding an appropriate way to value group of businesses with complex financial statements.
Simply stated, the expression "conglomerate discount" means that the stock market tends to value diversified companies at less than their break-up value.
Hence, when a vast array of businesses aren't performing optimally as the overall conglomerate or there are issues with respect to its core values and financial statements, business analyst may have to apply the conglomerate discount concept.
In order to calculate the conglomerate discount, business experts add up various estimations of the intrinsic values associated with the respective subsidiary firms in a conglomerate and lastly, the market capitalization of the conglomerate is subtracted from that sum. Intrinsic value refers to a measure of the underlying value of a firm and its cash inflow.
Also, it's worthy of note that the sum of the various estimations is typically greater than the conglomerate stock values.
This question is incomplete. The complete question, answer & explanation for this question is given in the attachment below.
Answer:
income = 500,000
Explanation:
Income = sales - expenses
In this case, we are given with the three cost component, we add them together to get the total cost, or total expenses for the period.
Then we calculate the difference with the revenue and obtain the net income.
sales 10 millions
direct materials 3.5 millions
direct labor 2.5 millions
overhead <u> 3.5 millions </u>
total cost 9.5 millions
net income 0.5 millions = 500,000