Answer:
C. Interest expense 90
Explanation:
In accrual method of accounting, expenses and revenue is recognised when they are incurred or earned and not necessarily when cash has gone out or come in.
Adjusting entries are used to recognise expenses or revenue at a particular period.
If Mama's pizza borrowed $6,000 in May 2021. Principal and interest is due in October 2021 (that is in 6 months).
The interest for the 2 months May and June will be calculated.
Accrued interest will be
I = principal* rate*time
I= 6,000* 0.09* 2/12
I= $90 for the 2 month period
Answer:
e. more women are in the paid labor force than in the past
Explanation:
The labor force is also known as the work force. It is defined as the labor pool that is either in the employment or the unemployed. It generally describes those people who are working for an organization.
The workforce today is changing and is different from the early days. The modern labor force is rapidly changing. There is a huge challenge for the HR professionals as there is increase in the diversity of race, gender, ethnicity , age distribution and the requirement of skills. Now-a-days more and more women are engaged in the paid labor force as compared to the early days. More women are learned and skilled and work under a paid labor force. They have shown success in many fields and are sometimes better performer than men.
Thus now more women are in the paid labor force when compared to the past.
A contract clause which specifies the amount of damages to be paid in the event of a breach is called a liquidated damages clause.
When parties are entering into a contractual agreement, certain provisions are catered for in the contract which allows payment of a specified sum should one of the parties be in breach of contract. This is called liquidated damages clause.
The purpose of adding the clause ( liquidated damages clause) is to ensure sure parties to the contract understand and performs their duties accordingly.
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Answer:
d. Government should use fiscal policy to try to stabilize the economy.
Explanation:
Suggesting that the government should use fiscal policy to try to stabilize the economy generates the greatest amount of disagreement among economists because the process of implementing fiscal policy usually experiences lag as it is being slowed down by the political system (bureaucracy) of checks and balances.
Fiscal policy is the use of government expenditures, revenues and tax policies to influence macroeconomic conditions such as employment, inflation and Aggregate Demand (ADl in a specific country.
The benefits of fiscal policy is that investments, savings and growth is usually influenced in the long-run while it basically influences aggregate demand for goods and services in the short-run.
To create a delta-neutral portfolio, an investor sold 15,000 call options (now exactly at the money) long 7,500
To maintain a delta-neutral position, a delta totaling -200 then: Suppose you find an at-the-money put option on Company X trading at a delta of -0.5. Buying 4 of these put options will result in a total delta of (400 x -0.5) or -200.
Gamma Neutral Portfolios are option positions that do not change delta when the underlying security moves significantly up or down. Gamma-neutrality is a process known as gamma-hedging, usually achieved by adding additional option contracts to a portfolio as opposed to the current position.
Delta Hedging is an options strategy aimed at neutralizing direction by establishing opposite long and short positions in the same underlying. By reducing directional risk, delta hedging can isolate changes in volatility for options traders.
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