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2 years ago

28. Considered alone, which of the following would increasea company’s current ratio?

Business

1 answer:

natka813 [3]2 years ago

7 0

Answer:

d.An increase in accounts receivable.

Explanation:

The current ratio is one of the liquidity ratios. It measures the company's ability to meet its current liabilities. The higher the ratio, the more financially healthy a company is. The calculation of the current ratio is by dividing current assets by current liabilities.

Current assets include inventory, cash and cash equivalents, accounts receivable, and prepaid expenses . Examples of current liabilities include accounts payable, accrued liabilities like dividend, and payroll, Short-term debt, and the current portion of long-term debt.

An increase in current liabilities increases the current ration. The bigger the numerator is over the denominator, the better the current ratio.

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Firms prefer FDI to licensing because FDI_____.

Neko [114]

Answer:

B) provides the firm with direct ownership to its foreign assets

Explanation:

When a multinational enterprise (MNE) is considering investing in foreign country they usually decide to do it through foreign direct investment (FDI). They do this because FDI ensures that the MNE is the direct owner of the assets and can freely decide what to do with them.

5 0

3 years ago

Suppose ABC Dairy is one firm competing in the perfectly competitive market for milk. Now suppose ABC Dairy decides to produce o

Sedbober [7]

Answer:

The correct option is D.

Explanation:

In a perfectly competitive market, there are many sellers selling the same product and in this market, firms have easy entry and exit, products are identical in nature from one seller to another and also the sellers are price taker.

So, in this case, ABC firm compete in this market for milk but later on they changed their production to produce organic milk and this change would be described by the effect that ABC firm is differentiating its product from market and they will have a chance to charge high price than earlier.

Therefore, the correct option is D.

8 0

2 years ago

In terms of innovation streams, what ____ occurred when customers purchased flat-screen computer monitors to replace the older,

Novay_Z [31]

Answer:

Technological substitution.

Explanation:

Technological substitution is basically the substitute to another option product of technology.

4 0

2 years ago

On January 1, 2021, the Allegheny Corporation purchased equipment for $115,000. The estimated service life of the equipment is 1

Mazyrski [523]

Answer:

1. $11,000 each year

2. $23,000 and $18,400

3. $15,000 and $12,500

Explanation:

The calculation of the depreciation expense for the 2021 and 2022 is shown below:

1. Straight-line method:

= (Purchase value of equipment - estimated residual value) ÷ (estimated service life)

= ($115,000 - $5,000) ÷ (10 years)

= ($110,000) ÷ (10 years)

= $11,000

In this method, the depreciation is same for all the remaining useful life i.e for 2021 also the same depreciation is applied i.e $11,000

2. Double-declining balance method:

First we have to determine the depreciation rate which is

= One ÷ estimated service life

= 1 ÷ 10

= 10%

Now the rate is double So, 20%

In year 1, the original cost is $115,000, so the depreciation is $23,000 after applying the 20% depreciation rate

And, in year 2, the $(115,000 - $23,000) × 20% = $18,400

3. Units-of-production method:

= (Purchase value of equipment - estimated residual value) ÷ (estimated production units)

= ($115,000 - $5,000) ÷ ($220,000 units)

= ($110,000) ÷ (220,000 units)

= $0.5 per units

For 2021, it would be

= Production units in 2021 year × depreciation per unit

= 30,000 units × $0.5

= $15,000

Now for the 2022, it would be

= Production units in 2022 year × depreciation per unit

= 25,000 units × $0.5

= $12,500

4 0

2 years ago

Which of the following is true of work?

Mademuasel [1]

Answer:

a. A job needs to be divided into types of work so that it can be coordinated in some logical way. ==>TRUE.

b. Work is the output that comes from the accomplishment of tasks. ==>FALSE.

c. Work is effort directed toward accomplishing results.==>TRUE.

d. Ideally, the work to be done in any organization should be significantly less than the amount of work that the organization needs to have done.==>FALSE

Explanation:

For a Job to be effectively executed, the steps required to carry out the job needs to be properly outlined, this itemized steps can be regarded as the work that needs to be done to properly execute the job.

Every work done has to be goal oriented, this is done to give the workers a sense of direction and also to avoid wasting time, energy and resources on things irrelevant to the job at hand.

Work done on an organization has to be equal to or more than it had planned to carry out in order to achieve the organization overall objectives.

5 0

2 years ago