A. Which Firm will have Higher Profits in a Recession Period ?
During a recession period trade and industries are unsuccessful and there is allot of unemployment. During the period supply in the market and level of output in the company are likely to be low. Robotic automated process seems to be relatively cheap under high production output in a firm. Also the cost of maintenance of machinery is quite high which the firm can`t cater for during the period. In this period human workers are more recommended as the cost of production will be accounted for due to small numbers of employees where the cost of wages and salaries is quite low.
B. Which Firm will have a Higher Profit During a Boom?
During a boom the industry experiences a period of economic success as demand in the market is high. Automated robotics process are machines and carry out their work with allot of efficiency. Compared to human beings they are relatively faster and more efficient. This will will help the industry meet its high level of production target. They also reduce the cost of production as their maintenance cost is low under large scale production. Human workers seem expensive during this period because cost of wages and salaries is subject per-head.
The Firm with a Higher Beta.
The automated robotics firm will have a higher beta this is because the output will be high leading to increased supply and sale for better profitability. The robots will also function as an asset to the firm increasing the net worth to the company.
Answer:
Receivables turnover ratio = 5
Explanation:
Receivables turnover ratio = Net Credit Sales / Average accounts receivable
Receivables turnover ratio = $100,000/$20,000
Receivables turnover ratio = 5
Average accounts receivable = (Beginning Account Receivable + Ending Account Receivable) /2
Average accounts receivable = ($15,000+$25,00)/2
Average accounts receivable = $40,000/2
Average accounts receivable = $20,000
Answer:
Cr Bonds Payable account 50,000
Cr Premium on Bonds Payable account 2,000
Explanation:
The complete journal record should be:
- Dr Cash account 52,000
- Cr Bonds Payable account 50,000
- Cr Premium on Bonds Payable account 2,000
Since cash is an asset and it increases, it should be debited.
Since bonds payable and premium on bonds payable are liabilities and they increase, they should be credited.
Had to look for the options and here is my answer:
Because of the existence of diminishing returns to capital, increasing the physical capital amount by two that is available for one worker to utilize will enlarge the outcome by less than a factor of two.
Answer:
you didnt put the full question in.
Explanation:
we cant tell what donna bought and cant see the question at all actually