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crimeas [40]
3 years ago
11

Tom is studying how changes in income affect the frequency of eating out. In this example, "changes in income" is the ______ var

iable, and "frequency of eating out" is the ______
variable.
a. spurious; control
b. control; spurious
c. independent; dependent
d. dependent; independent
Business
1 answer:
MatroZZZ [7]3 years ago
5 0

Answer: c. independent; dependent

Explanation:

In sociology, independent variables are typically considered as being the cause, and dependent variables are often addressed as being the effect.

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It will pay a dividend of $7 per share at the end of the year. its beta is 1.0. What must investors expect the stock to sell for
Gelneren [198K]

The answer is $\$ 114.8$

Calculate the expected return using CAPM approach as follows:

$$\begin{aligned}\text { Expected return } &=\text { Risk-free rate }+\text { Beta } \times(\text { Return on market portfolio }-\text { Risk-free rate }) \\&=7 \%+1 \times(16 \%-7 \%) \\&=7 \%+9 \% \\&=16 \%\end{aligned}$$

How to calculate the price at the end of the year?

Price at the end of year = Price today $\times(1+$ Expected return $)$

$$\begin{aligned}&=\$ 105 \times(1+0.16) \\&=\$ 121.8\end{aligned}$$

The dividend is deducted from the price at the end of year as after the dividend declaration the stock price tend to reduce. Calculate the expected selling price of share as follows:

Expected selling price = Price at the end of year - Dividend

$$\begin{aligned}&=\$ 121.8-\$ 7.0 \\&=\$ 114.8\end{aligned}$$

Therefore, the expected selling price of share is $\$ 114.8$.

To learn more about dividend declaration the stock price visit:

brainly.com/question/14292918

#SPJ4

6 0
2 years ago
The local Target store sells a variety of Dyson vacuum cleaners. A particularly popular model is the DC22, which costs Target $2
777dan777 [17]

Answer:

24 units

Explanation:

safety stock = z-score 99% x √lead time x standard deviation of demand

safety stock = 2.576 x √3 x 2 = 8.92 units ≈ 9 units

reorder point = lead time demand + safety stock

lead time demand = 3 days x 5 = 15 units

reorder point = 15 + 9 = 24 units

6 0
3 years ago
Exercise 13-12 Ivanhoe Company includes one coupon in each box of soap powder that it packs, and 10 coupons are redeemable for a
IRINA_888 [86]

Answer: Please see below

Explanation:

1) Journal to record  the purchase of  9000 premiums at 85 cents

Year Account Title and explanations        Debit      Credit

2020 n Inventory of premium                     $7,650

            Cash                                                                  $7,650  

working

Purchase price= Number of units purchased x price per unit

9000 x 0.85= $7,650

2) Journal to record  the sale  of 109,000 boxes at $3.10

Year Account Title and explanations        Debit               Credit

2020                    Cash                              $337,900

     Sales Revenue                                                    $337,900                                    

working

Sale price= Number of units sold x price sold per unit

109,000 boxes x $3.10= $337,900

3) Journal to record  the premium expenses

Year       Account Title and explanations        Debit      Credit

2020               Premium    Expenses                 $4,080

Inventory on premium                                                  $4080

working

Premium expenses= coupons presented for redemption / number of coupons to redeem premium x price per premium

= 48,000/10 x 0.85 = $4,080

4) Journal to record  the premium liability

year    Account Title and explanations        Debit      Credit

2020   Premium    Expenses                 $1,479

       Premium liability                                                 $1,479

working

 Estimated redemption on number of boxes sold  = number of boxes sold x probability of redemption= 109,000 x 60 %=  $65,400

premium liability of coupons  = estimated redemption of premiums - number of coupons already redeemed

= 65,400- 48,000 = 17,400

Cost of premium liabilty = premium liability of coupons /number of coupons per premium x rate per premium

17,400/10 x 0.85 ==$1,479

6 0
3 years ago
Suppose the City of Chicago, noticing a shortage in day care is driving up prices, decides to provide 50 public day care centers
Kamila [148]

Answer:

This is called government provision Or Government intervention in the markets.

Explanation:

If government is attempting to correct demand-supply mismatch by taking responsibility to provide any good or service then it is called as government provision. Market may fail if there is no proper allocation due to this move.

Government intervention is any action carried out by the government or public entity that affects the market economy with the direct objective of having an impact in the economy, beyond the mere regulation of contracts and provision of public goods.

Government intervention advocates defend the use of different economic policies in order to compensate the flaws of the economic system that give way to large economic imbalances. They believe the Law of Demand and Supply is not sufficient in order to ensure economic equilibriums and government intervention should be used to assure a correct functioning of the economy.  Examples of these economic doctrines include Keynesianism and its branches such as New Keynesian Economics, which relay heavily in fiscal and monetary policies, and Monetarism which have more confidence in monetary policies as they believe fiscal policies will have a negative effect in the long run. On the other hand, there are other economic schools that believe that governments should not have an active role in the economy, and therefore should limit its intervention, as they believe it will have a negative impact in the economy. They believe that the economy should be left to run in a laissez-faire way and it will find its optimal equilibrium.  Advocates of none or limited intervention include liberalism, the Austrian school and New Classical Macroeconomics.

As in most imperfect competition markets and especially in monopolistic ones, a firm may practice an abusive behaviour, which will translate into a loss of welfare. In such cases, government intervention will be praised both by consumers and those firms that seek for lower prices and a profitable share of the market. Regulations such as price setting, taxation or subsidies may be used in order to restore and maximise the initial efficiency of natural monopolies.

Nevertheless, the government must be cautious when setting and applying regulations, as an incorrect comprehension of the market structure may bring a higher cost to social welfare instead of the expected benefits. In order to achieve an optimal regulation level, governments should analyse and determine if natural monopolies can be sustained whenever they ensure a lower total cost. If this is the case, the government will have to guarantee that the firm does not make excessive revenues, and that fair prices are maintained. If, on the contrary, the total costs of the industry would diminish if new firms entered the market, the government should regulate their entrance. Essentially, what governments should do is to correctly balance the conflict between the industry’s efficiency and its profitability.

8 0
4 years ago
Read 2 more answers
Gear Corporation had the following common stock record during the current calendar year: Outstanding-January 1 104,000 Additiona
GrogVix [38]

Answer:

Gear Corporation

The number of shares to be used in computing basic EPS is:

6,654,400 shares

Explanation:

a) Data and Calculations:

January 1 Outstanding shares =              1,104,000

March 31  Issued shares                        5,040,000

Total outstanding before June              6,144,000

June 30 10% Stock Dividend                    614,400

Total before reacquisition in Sept.       6,758,400

Sept. 30 Treasury Stock                           104,000

Total outstanding for EPS computing 6,654,400

b) The outstanding number of shares on December 31 equals 6,654,400 shares.  This will be used to calculate Gear's EPS.  

5 0
3 years ago
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