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3 years ago

What are the scopes of microeconomy

Business

1 answer:

MAVERICK [17]3 years ago

7 0

MICROeconomics refers to the effects and purchasing decisions of individuals.

This differs from MACROeconomics which focuses on large scale views of things that affect the economy as a whole like inflation and interest rates.

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Magellan is adding a project to the company portfolio and has the following information: the expected market return is 11.6%,

fredd [130]

Answer:

The beta of the new project is 1.475

Explanation:

The beta is the measure of systematic or market risk associated to a stock. The beta is used in the calculation of the required/expected rate of return under the CAPM model. The CAPM model uses the following formula to calculate the required/expected rate of return,

r = rRF + Beta * (rM - rRF)

Plugging in the available variables, we can calculate the value of the beta.

0.154 = 0.036 + Beta * (0.116 - 0.036)

0.154 - 0.036 = Beta * 0.08

0.118 / 0.08 = Beta

Beta = 1.475

6 0

3 years ago

"Bronson Manufacturing is planning to issue $12 million in bonds. Based on a poll of potential investors, they have the highest

telo118 [61]

Answer:

C.eight-year bond with 5.5% annual interest rate

Explanation:

The computation of the total options under each option is as follows:

As we assume the par value be $1,000

For Option A

Total interest

= 9.5% × $1,000 × 3 years

= $285

For Option B

Total interest is

= 7.25% × $1,000 × 4 years

= $290

For Option C

Total interest is

= 5.5% × $1,000 × 8 years

= $440

For Option D

Total interest is

= 6% × $1,000 × 6 years

= $360

As we can see that the option C contains high value of the total interest. So the same is to be selected

6 0

2 years ago

Marcelino Co.'s March 31 inventory of raw materials is $80,000. Raw materials purchases in April are $540,000, and factory payro

vovangra [49]

Answer:

See below

Explanation:

Marcelino Co's total cost of each production incurred in April

From March

Job306 Job307 job308

Direct materials $28,000 $39,000

Direct labor $23,000 $17,000

Applied overhead $11,500 $8,500

(50% of direct labor)

Beginning goods in process $52,500 $64,500 ---

For April:

Direct materials $139,000 $220,000 $110,000

Direct labor $103,000 $153,000 $104,000

Applied overhead $51,500 $76,500 $52,000

(50% of direct labor)

Total cost added in April $293,500 $449,500 $266,000

Total costs(April 30) $346,000

$514,000 $266,000

3 0

2 years ago

The deprecation method that charges more expenses in earlier years than in later years is

vlabodo [156]

Double-declining balance. Keep in mind there are three main ways to depreciate: straight-line, units of production, and double declining balance. Straight-line means depreciating the same amount every year. Units of production is based off your production levels for the year. Double declining means you depreciate more in earlier years (2 times your straight-line rate) and depreciate less in later years.

4 0

3 years ago

Read 2 more answers

On September 15, 2021, the Scottie Company board of directors declared a 8% stock dividend on common shares. The shares are to b

iren [92.7K]

Answer:

Date General Journal Debit Credit

Sept 15 Stock dividend $2,342,400

(1,200,000*8%*24.4)

Common Stock dividend distributable $480,000

(1,200,000*8%*5)

Paid in capital in excess of par- $1,862,400

Common Stock

Oct 1 No Journal entry

Oct 10 Common Stock dividend $480,000

distributable

Common Stock $480,000

3 0

2 years ago

What are the scopes of microeconomy​

What are the scopes of microeconomy