Which of the following is not a tool of Monetary Policy?

A company that has just completed its Initial Public Offering has raised $200 million of capital and has been listed on the NYSE

coldgirl [10]

Answer:

1 year

Explanation:

Under the shelf registration rule the company has to wait for up to 1 year because it is madated that the company file quarterly and annual reports with the SEC, before it can do an "add on" offering under the Security and Exchange Commission (SEC) Rule 415.

Note that the "add on" offering are additional shares issued by a company after going public inorder to raise cash or for expanding into new markets.

5 0

3 years ago

Read 2 more answers

A cause can have many final manifestations. this is referred to as

VLD [36.1K]

The manifestations of cause are referred to as the effects

5 0

3 years ago

Revenues, Expenses, and Cost of Goods Sold are closed to which of the following accounts:_________

iren2701 [21]

Answer: A) Income Summary

Explanation:

The Income Summary account is used to compile temporary accounts before posting them to capital accounts. Revenues, Expenses and Cost of Goods are temporary accounts which will be compiled in the Income summary account.

The Income summary account has a debit and a credit side with income going on the credit side and expenses going on the debit side. If the credit side is higher than the debit side then profits have been made. The reverse is true.

6 0

3 years ago

Monette Corporation has found that 70% of its sales in any given month are credit sales, while the remainder are cash sales. Of

hoa [83]

Answer and Explanation:

The preparation of cash collection budget is shown below:-

Cash Collection Budget

For the month of January through March

January February March Quarter

Cash sales $43,500 $37,500 $58,500 $139,500

Collection on Credit sales

20% month of sale $20,300 $17,500 $27,300 $65,100

40% month after $33,600 $40,600 $35,000 $109,200

24% two months after $17,640 $20,160 $24,360 $62,160

Total Cash collection $115,040 $115,760 $145,160 $375,960

Working Note 1

November December January February March

Total Sales $105,000 $120,000 $145,000 $125,000 $195,000

Cash sales $31,500 $36,000 $43,500 $37,500 $58,500

Credit sales $73,500 $84,000 $101,500 $87,500 $136,500

Credit sales is 70% of Total sales every month

Cash Sales is 30% of Total sales every month

Working Note 2

January February March Quarter

Cash sales $43,500 $37,500 $58,500 $139,500

Cash collection from credit sales of

November $17,640 $17,640

December $33,600 $20,160 $53,760

January $20,300 $40,600 $24,360 $85,260

February $17,500 $35,000 $52,500

March $27,300 $27,300

Total collections $115,040 $115,760 $145,160 $375,960

6 0

3 years ago

Sue sells authentic Amish quilts on her website. Suppose Sue expects to sell 3 comma 000 quilts during the coming year. Her aver

e-lub [12.9K]

Answer:

(A) 1,200 Margin of Safety_{units}

(B) 330,000 Margin of Safety_{usd}

(C) Margin of Safety 40% of Sales

Explanation:

(A)

$Sales \: Revenue - Variable \: Cost = Contribution \: Margin$

275 - 150 = 125 CM per unit

$\frac{Fixed\:Cost}{Contribution \:Margin} = Break\: Even\: Point_{units}$

$\frac{225,000}{125} = 1,800 = Break\: Even\: Point_{units}$

${units \: sold- BEP_{units} = margin \: of \: safety_{units}$

3,000 - 1,800 = 1,200 Margin of Safety_{units}

HOW? we Calculate the contribution per unit. Then the BEP in units and with that the margin of safety in units.

(B)

$\frac{Contribution Margin}{Sales Revenue} = $Contribution Margin Ratio$

125/275 = 0.45454545 = 5/11 CM ratio

$\frac{Fixed\:Cost}{Contribution \:Margin \:Ratio} = Break\: Even\: Point_{dollars}$

225,000/(5/11) = 495,000 BEP USD

${current \:sales - BEP_{USD} = margin \: of \: safety$

825,000-495,000 = 330,000 Margin of Safety_{usd}

HOW? we Calculate the contribution ratio by dividing CM over sales. Then the BEP in dollars and with that the margin of safety in dollars.

Important: When posible to avoid rounding errors express as fraction iof posible

(C)

$\frac{current \:sales - BEP_{USD}}{current \:sales} \times 100 = margin \: of \: safety$

$\frac{330,000}{825,000} \times 100 = margin \: of \: safety$

Margin of Safety 40%

8 0

3 years ago