Answer:
deferred income tax benefit during 2018: 6,700
deferred income tax liability ending balance 27,400
Explanation:
beginning deferred tax laibility 34,000
this will change to 21,000 for the tax rate change
(100,000 x 21% = 21,000)
thus there is a decrease of 13,000 in the tax liablity
Then:
book income 400,000
temporary differenc(net): (30,000)
Taxable income 370,000
30,000 x 21% = 6,300 additional deferred tax expense
13,000 benefit - 6,300 deferred tax expense = 6.700 benefit
Answer:
symbolic/prestige pricing
Explanation:
Symbolic/prestige pricing occurs when consumers associate with goods based on how costly it is. If the princes of the goods are low it doesn't encourage buyers to make purchases as they seem to associate high prices with top quality.
This is why matrix charges high for its cologne. Therefore Symbolic/prestige pricing is the answer to the question.
Answer:
B) The SRAS curve will shift to the right, and the short‐run Phillips curve will shift downward.
Explanation:
When the price of key inputs decreases, then the short-run aggregate supply (SRAS) curve shifts to the right, generally resulting in higher production levels (higher supply) due to lower production costs. On the other hand, when the price of key inputs increases, then the SRAS curve shifts to the left.
When inflation expectations decrease or SRAS curve shifts to the right, the short-run Phillips curve shifts to the left.
It is true that this change would probably be a good move, as it would increase the ROE from 7.5% to 13.5%.
<u>Explanation:</u>
Equity multiplier is calculated by dividing the total assets of a company to shareholder’s equity of an organization. If a company has not raised any debt, then such company would be having equity multiplier equal to 1. t is a leverage ratio.
Return on equity is another financial measure to calculate the return. It is calculated by dividing the net income of a company to the shareholder’s equity. It directly shows the amount that a company is earning on its money invested by the equity shareholders.
