Answer: 0.8; 5
Explanation:
From the question, we are informed that people decide to save 20 percent of their incomes. We should note that the addition of the marginal prospensity to consume(MPC) and the marginal prospensity to save(MPS) will be equal to 1.
Therefore, the value of the marginal propensity to consume will be:
= 1 - 20%
= 1 - 0.2
= 0.8
The value of the spending multiplier will be calculated as:
= 1/MPS
= 1/0.2
= 5
Answer:
$1,503.75
Explanation:
Sales $12,500
Operating costs $7,025
Operating income (EBIT) $5,475
WACC 9.5%
Tax rate 40%
Investor-supplied capital $18,750
EVA = EBIT(1 - T) - Investor Capital × WACC
EVA = $3,285.00 -$1,781.25
EVA = $1,503.75
Therefore the management add $1,503.75 value to stockholders' wealth during the year.
Answer:
1)Weakness:
Cashiers are not bonded and background checks are not conducted
Principle Violated:
Human resource Controls
2)Weakness:
Inability to establish responsibility for cash on a specific clerk
Principle Violated :
Establishment of responsibility
3)Weakness:
Cash is not adequately protected from theft
Principle Violated :
Physical Controls
4)Weakness:
Cash is not independently counted
Principle Violated :
Independent internal verification
5)Weakness:
The accountant should not handle cash
Principle Violated :
Segregation of duties
It should be noted that Under the terms of a net lease, a commercial tenant would usually be responsible for paying all of the following property expenses except mortgage debt.
<h3>What is net lease ?</h3>
net lease can be regarded as contractual agreement where the portion of a tax is been paid by lessee as well as maintenance costs for a property in addition to rent.
Therefore, commercial tenant would usually be responsible for paying extended coverage insurance.
Learn more about net lease at:
brainly.com/question/24858866
Answer:
standard price= $5
Explanation:
Giving the following information:
Quantity of direct materials used 3,000 lbs. Actual unit price of direct materials $5.50 per lb. Units of finished product manufactured 1,400 units Standard direct materials per unit of finished product 2 lbs.Direct materials quantity variance-unfavorable $1,000Direct materials price variance-unfavorable $1,500.
Direct material price variance= (standard price - actual price)*actual quantity
-1,500= (SP - 5.5)*3,000
15,000=3,000SP
5= standard price
Direct material quantity variance= (standard quantity - actual quantity)*standard price
Direct material quantity variance= (1400*2 - 3,000)*5
Direct material quantity variance= 1,000 unfavorable