Answer:
see below
Explanation:
Social enterprises participate in commercial activities to solve social problems, improve communities' well-being, and better the environment. They make money through normal trading activities.
<em>Some characteristics of social enterprises include</em>
1. They have a mission to serve the community by initiating and supporting social, environmental, cultural, and economic programs. Social enterprises are not entirely driven by profits but have social missions to achieve.
2. Social enterprises generate the majority of their income through business activities. They are self-reliant as the selling of goods and services is their primary source of revenue.
3. A big proportion of the profits generated by social enterprises is invested in community projects. Social enterprises use profits to achieve their social objectives.
Scarcity refers to a state of being in short supply.
Scarcity exists because distribution of resources is unequal. Majority of the people tend to get more than they need in preparation for future uses. They did not take into consideration that other people also need the items they have stocked up on. This results to unequal distribution of resources. Those who had first access to the goods have more than they need while those who came last have goods that is not enough to sustain their needs. They are the ones experiencing scarcity.
Answer:<em>True cost = 
</em>
<em>= 
</em>
<em>= $ 13,669,821.2</em>
Explanation:
Given :
Debt-Equity ratio = 0.55
Flotation cost for new equity = 6%
Flotation cost for debt = 3 %
∴ To compute the weighted flotation cost , we'll use the following formula:
Weighted Flotation cost =![\left [ \frac{1}{1+Debt-Equity ratio}\times Flotation cost of equity \right ] + \left [ \frac{Debt-Equity ratio}{1+Debt-Equity ratio}\times Flotation cost of debt \right ]](https://tex.z-dn.net/?f=%5Cleft%20%5B%20%5Cfrac%7B1%7D%7B1%2BDebt-Equity%20ratio%7D%5Ctimes%20Flotation%20cost%20of%20equity%20%5Cright%20%5D%20%2B%20%5Cleft%20%5B%20%5Cfrac%7BDebt-Equity%20ratio%7D%7B1%2BDebt-Equity%20ratio%7D%5Ctimes%20Flotation%20cost%20of%20debt%20%5Cright%20%5D)
= ![\left [ \frac{1}{1+0.55}\times 0.06 \right ] + \left [ \frac{0.55}{1+0.55}\times 0.03 \right ]](https://tex.z-dn.net/?f=%5Cleft%20%5B%20%5Cfrac%7B1%7D%7B1%2B0.55%7D%5Ctimes%200.06%20%5Cright%20%5D%20%2B%20%5Cleft%20%5B%20%5Cfrac%7B0.55%7D%7B1%2B0.55%7D%5Ctimes%200.03%20%5Cright%20%5D)
= 0.0387 + 0.0106
= 0.04934 or 4.93%
The true cost of building the new assembly line after taking flotation costs into account is evaluated using the following formula :
True cost =
=
= $ 13,669,821.2
Answer:
August 2 Notes Receivable 8000 Dr
Accounts Receivable- Ryan 8000 Cr
October 30 Interest receivable 220 Dr
Interest Revenue 220 Cr
October 31 Cash 8220 Dr
Notes Receivable 8000 Cr
Interest Receivable 220 Cr
Explanation:
When we receive the Note against the Accounts Receivable, we will credit the Accounts Receivable to close the account of Ryan and create a new current asset account of Notes Receivable on August 2.
On October 30, 90 days period of Note is complete so we will record the interest that is receivable for us on this note.
- Interest Receivable = 8000 * 11% * 90/360 = $220
We record this as Interest Receivable as we have not received this and credit Interest revenue as it is our income.
On 31 October, when we receive cash it will be total of Notes payable and Interest so we will debit cash by 8220 and credit the Notes payable and interest receivable.
Answer:
1 EUR = 120 JPY
Explanation:
As the purchasing power parity theory, the exchange rate of currency 1 to currency 2 = Cost of good in currency 1
/ cost of same valued item in currency 2
In this case, a Lexus LS400 and a Mercedes C300 are considered to be of equivalent value, then the exchange rate between the yen and the euro
= price of Lexus in Tokyo/ price of Mercedes in Stuttgart
= 6,000,000 JPY/ 50,000 EUR
= 120 JPY/EUR
