Answer:
Market value; real assets; shareholders; dividend; financial assets; real assets; expected return; higher; opportunity cost of capital.
Explanation:
Shareholders want managers to maximize the market value of their investments. The firm faces a trade-off. Either it can invest its cash in real assets or it can give the cash back to shareholders in the form of a dividend and they can invest it in financial assets. Shareholders want the company to invest in real assets only if the expected return is higher than they could earn for themselves. The return that shareholders could earn for themselves is therefore the opportunity cost of capital for the firm.
A shareholder can be defined as an individual or organization who has a stock in a particular company through the purchase of such stocks.
Generally, all shareholders are interested in making profits and increasing the market value of their investments.
Answer:Please refer to the explanation section
Explanation:
The question is incomplete, amounts of production costs like Direct Material, direct labour and Variable/Fixed manufacturing overheard were not given, we will explain the absorption cost and variable cost in detail so that the student would be able to calculate absorption cost and variable cost balances easier.
Absorption costing Method
Total Manufacturing costs are allocated to Finished goods Product. Absorption Costing method assigns or allocates the total cost of Manufacturing or total production costs to units of Finished Goods produced. each unit of finished goods thus represents total costs of production per unit or Total Manufacturing/Production cost is the Balance of Finished Goods.
Total Manufacturing/Production cost = direct labor cost + direct material cost + variable and fixed Manufacturing overheads cost.
Finished Goods Balance = Total Manufacturing/Production cost
A unit of Finished Goods = Total Manufacturing costs/units produced
Variable costing method
Variable costing method fixed manufacturing costs are treated as an expense, Variable Manufacturing costs are the only allocated to inventory. The value or Balance of inventory consist of Variable Manufacturing cost like Direct labor, Direct Material and Variable Manufacturing costs. Finished Goods Balance equals total Variable Manufacturing cost
Answer:
Im bk37613... and im ur worst nightmare
Explanation:
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Answer:
Center 1 should be open 7 days a week, and center 2 should be open 6 days a week. Total cost = $580
Explanation:
minimize the following equation 40A + 50B
where:
A = center 1
B = center 2
constraints:
140A + 100B ≥ 1540
60A + 180B ≥ 1440
A ≤ 7
B ≤ 7
A, B ≥ 0
using Solver, the optimal solution is 7A + 6B = 580
