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4 years ago

When applying the lower of cost or market rule to inventory valuation, market generally means?

1 answer:

5 0

The term that is being referred here is the REPLACEMENT COST. What the market generally means when lower of cost or market rule is being applied to inventory valuation, this refers to replacement cost. This is the cost applied to an item when it is being replaced. The cost is being applied is the same as its pre-loss condition.

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20. Sam and Abby are dependents of their parents, and each has income of $2,100 for the year. Sam's standard deduction for the y

denis23 [38]

Answer: The difference is because after the deduction from one dependent, then the standard deviation of the other dependent will be the income that was earned plus $350.

Explanation:

From the question, we are informed that Sam and Abby are dependents of their parents, and each has income of $2,100 for the year. We are further told that Sam's standard deduction for the year is $1,100, while the standard deduction for Abby is $2,450.

It should be noted that the income of $2100 attributed to Sam is an unearned income and in such scenario, he's allowed a minimum standard deduction of $1100.

The $2100 that Abby has is an earned income, therefore her standard deduction will be her eabee income plus $350. This will be:

= $2100 + $350

= $2450

7 0

3 years ago

Roderigo has just finished paying back his $8,575 unsubsidized Stafford loan, which he took out to fund his four-year degree. Th

Rudik [331]

Interest capitalization refers to the addition of interest earned to the principal amount, Roderigo will pay $7353.80 in interest to finish the amount of the loan.

<h3>What is interest capitalization?</h3>

Interest capitalization passes when owed interest is added to the principal amount of the loan. Interest is then charged on that advanced principal balance.

Computation of the amount of interest:

Given,

Principal(P) = $8,575,

Rate(i) = 7.1%

Compounded Monthly:

$\dfrac{\frac{7.1}{12}}{1000} = 0.0059$

Time period (n):

$\text{12 Months} \times \text{4 Years} = 48 \text{Months}$

Now, apply the given values in the formula of compound interest(CI):

$\text{A} = \text{P}\times{(1+i)^n}-1\\\\\\\text{A} =\$8,575\times(1+7.1\%)^4^8-1\\\\\\ \text{A} = \$11,381.94$

Then apply the formula of EMI by taking $11,381.94 as a principal, we have,

Here,

$\text{n} = 12\text{Months}\times\text{10Years} = 120\text{Months}$

$\dfrac{\text{p}\times i \times(1+i)^n}{(1+i)^n-1}\\\\\\\\\dfrac{\$11,381.94\times 0.0059\times(1+0.0059)^1^2^0}{(1+0.0059)^1^2^0-1}\\\\\\=\$132.74$

Now, the total payment made in 120 months would be:

$\$132.74\times120=\$15,928.80$

Hence, Interest paid will be:

$\$15,928.80-\$8,575 = \$7,353.80$

Therefore, the total amount of interest that would be paid by Roderigo is $7,353.80.

Learn more about interest capitalization, refer to:

brainly.com/question/417585

3 0

2 years ago

When a banker accepts a deposit of $1,000 in cash and puts $200 aside as required reserves and then makes a loan of $800 to a ne

Leya [2.2K]

The act of providing a loan by the banker to the borrower amounting to $800 after setting aside the reserve amount of $200 contributes to the increase of the money supply by $800.

<h3>What is the money supply?</h3>

The money supply is the amount that a public held at a point in time including currency notes, coins, and the bank account balances.

When the banker is giving the loan to the borrower at $800 then it infuses the money into the economy as this amount is further given as a loan by another bank to another borrower. This whole cycle goes on to continue till the amount reaches zero.

Therefore, the money supply increases by $800 when the banker gives loans to the borrower for the amount of $800.

Learn more about the money supply in the related link:

brainly.com/question/19720553

#SPJ1

7 0

2 years ago

This is 1 question do not delete, mods. how am I supposed to separate a connect the lines thing without knowing the answers

raketka [301]

Answer:

Executive Summary - 2.

Products and Service - 3.

Market Analysis - 8.

Competitive Analysis - 5.

Goals and Strategy - 1.

Funding Request - 4.

Marketing and Sales - 6.

Organization - 9.

Financial Analysis - 7.

To successfully identify which information belongs to a specific business plan part, knowing the aim and order of each part is essential. You should realize how each part fits in the bigger picture.

Executive Summary - This is usually the beginning part of each business plan. Its deliverable is similar to the deliverable of the elevator pitch, or pitch in general. It should give key information on your company: mission statement, briefly highlight the financials and shortly describe the business operating. It should briefly tackle the problem at hand and just introduce the eventual solution.

Products and Service - It is always needed to explain your existing or planned product or service line, highlighting the benefits and key characteristics of your goods/services. A key component of this part is the suppliers' part, as it should be noted how many financial resources should be allocated to suppliers for materials and other prerequisites.

Essential information regarding products can vary. Some may require a special note on copyright laws, trademarks, or relevant policies in general.

Market Analysis - This is the part describing your comparison of several markets, the choice describing why you opted for that one, and the consumer characteristics in that particular market.

Here you need to utilize the needed statistics, carefully describing the size and potential of a market. Special attention needs to be given to consumer habits, purchasing power and relevant info telling us why that particular customer segment would opt for our goods/services.

Competitive Analysis - Since every industry or area of business operating has direct and indirect competitors (unless we're making a business plan for a monopoly, which is unlikely), it is essential to tackle their strengths and weaknesses.

Here you need to put info regarding your competitor's business operating, how it gains its competitive advantage (if applicable) and which particular characteristic makes the competitor's customers opt for that business in the first place (unique selling proposition).

Goals and Strategy - This part refers to the concrete recommendations you, as a business consultant, have for the company, given the identified problems and issues.

This should be a real, defined action plan that makes you differ from your competitors, giving you the opportunity to get a competitive advantage. The strategies and tactics included can differ industry-wise and are often related to a specific area of business operating where the company faces critical problems.

Funding Request - Mainly placed on the end or separated from the core of the business plan, the funding request is key when creating startups. This part should put out how many financial resources to put your business on track and how you plan to use them. A funding request should be created to approach investors and banks.

Sometimes, a funding request is used in a broader sense than the business plan, as in that case, the request needs to have a part of the business plan attached, next to the key info (funds needed to start the company).

Marketing and Sales - Once you have conducted the analyses and made the recommendations, an adequate sales and marketing plan should follow. This is extremely important if a key constituent of your strategy is the placement of a new product.

This part should include all things related to the marketing mix: advertising plan, distribution channels, promotion and PR activities... Also, a marketing budget should be carefully allocated and elaborated.

When it comes to sales, you should include the sales strategy and sales target/projection.

Organization - Usually placed at the beginning of the business plan, the organization part should describe the structure and the level of departmentalization in the company. It often includes a diagram visually representing the divisions in your company. Also, it should be described which obligations and duties fall under each department.

Financial Analysis - Often placed at the end of a business plan, this part is critical to the overall effect and integration of the business plan. It includes the financial history and financial success of your company (reports on revenue, EBIT, profit, loss, ROI...), as well as the projections that relate to what will happen after you implement the strategies elaborated in the Goals and Strategy part.

5 0

3 years ago

Kevin meets with a young man who wants to start saving for his son’s college education. What is Kevin’s profession?

kozerog [31]

He is C

Can you give me brainliest?

6 0

4 years ago

Read 2 more answers