In supermarket retailing, 25 percent of end caps should be unadvertised "sale" items that will cause the customer to be alert when looking at an end caps while travelling through the store.
Explanation:
"Unadvertised" means that only clients who are shopping in this store are advertised.
For example is an item that was marked down in between printings for the weekly store sales flyers.
So the deal may not have made the flyer, but you will see the shelf label that marks the item as discounted once it is in the store.
Unadvertised retail prices play a competitive role. For this model, we produce a balance of rational prospects in which each store randomly announces the cost of one product in accordance with a blended approach.
Answer:
The selling price today = $28.536
Explanation:
The question states that D0 is $1.5.
To calculate price, we need to calculate Present value of future dividends along with a terminal value from the time the dividend growth is becoming constant.
The D1 growth will be 20% of D2.
The fall in dividend growth will be 5% till it reaches 5%.
- P0 = D1 / (1+r) + D2 / (1+r)² + D3 / (1+r)³ + D4 / r-g
- Where,
- r = required rate of return
- g = growth rate
Thus,
P0 = 1.5*(1.2) / (1+0.15) + 1.5*(1.2)*(1.15) / (1+0.15)² + 1.5*(1.2)*(1.15)*(1.1) / (1+0.15)³ + 1.5*(1.2)*(1.15)*(1.1)*(1.05) / (0.15 - 0.05)
P0 = $28.536
I believe the correct answer would be A) The ability to make payments on time.
The amount of cash received will be the net of discounts and sales returns.
Given,
the sales = $ 2,000
The sales return = $ 800
The discount will be allowed only if the payment is made within the discounts period i.e. 10 days. The sales were made in 15th July and Payment is made on 24th July, thus Carson company is eligible for the discount. The discount will be calculated on the sales net of returns
Net sales = $ 2,000 - $ 800 = $ 1200
Discount = 2 % X $ 1,200 = $ 24
The cash received = $ 2,000 - $ 800 - $ 24 = $ 1,176
Answer and Explanation:
The journal entries are shown below:
On Jan 1
Cash $500,000
To Bond Payable $500,000
(Being the issuance of the bond is recorded)
On Dec 31
Bond Payable $500,000
Loss on redemption $15,000 ($500,000 × 3%)
To Cash ($500,000 × 103%) $515,000
(Being the redemption of the bond is recorded and the remaining balance or we can say balancing figure is debited to loss on redemption)
