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Nataly [62]
3 years ago
5

An investment adviser that is a sole proprietor finds that its net worth (net capital) has fallen below the minimum requirement.

What asset can an owner of the advisory firm contribute to bring the net worth back above the minimum requirement? A copyright on a book owned by the individual A B A couch from the owner's home An automobile owned by the individual Co A mutual fund position owned by the individual
Business
1 answer:
Liono4ka [1.6K]3 years ago
3 0

A mutual fund position that is owned by the individual should be contributed to bring back the position of the advisory firm.

Answer: Option D

<u>Explanation:</u>

Net worth is the value of the firm of all the financial and the non financial assets which the firm owns. The outstanding liabilities of the firm are deducted from the net worth.

Mutual funds have the flexibility where they can manage the cash positions according to themselves. They can be followed by the market speculators and can be used to know the net worth in the market.

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The US agricultural sector experienced a severe drought in 2012. A drought decreases the supply of agricultural products, which
Nataliya [291]

Answer:

True

Explanation:

Exceptionally good weather will guarantee a good yield in crops. This will lead to an increase in supply of produce to the market, and when supply increases, the supply curve shifts to the right.

This is simply because there are more products and more sellers, and this will result in more supply.

5 0
3 years ago
The city of New Orleans has 200 advertising companies, 199 of which employ designers of normal ability at a salary of $80,000 a
mezya [45]

Answer:

Jacobs will earn $1,080,000

Explanation:

The earnings of the work factor are made up of two factors: Transfer Earnings + Economic Rents.

Transfer earnings are defined as the minimum required amount that a company must pay its workers to keep them in the workplace. Below this amount, the worker will leave his job. In this case, the Transfer Earnings are $ 80,000, which is the base salary of every designer.

On the other hand, the Economic Rents are the additional income that the worker receives and that is above the minimum level they need to supply his work (In this case, the additional income is given by Jacobs' special ability). In numerical terms, the Economics Rents amount is equivalent to the difference between the earnings obtained by the Jacobs company and the earnings obtained by the other companies.

That is: 1,500,000 - 500,000 = 1,000,000.

Therefore Jacobs salary is equivalent to 80,000 + 1,000,000 = 1,080,000.

From this, it can be deduced that approximately 92% of Jacobs' salary is equivalent to Economic Rents. From the theoretical point of view, this makes sense, because the demand for designers (which is a highly qualified profession) is very inelastic, and the more inelastic the greater the proportion of Economic Rents as part of the salary. In the annexes, I show it graphically.

8 0
3 years ago
James Company began the month of October with inventory of $32,000. The following inventory transactions occurred during the mon
Anvisha [2.4K]

Requirement 1: [Find attachment 1]

Requirement 2: [ Find attachment 2]

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3 years ago
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Answer will be ‘Desire’ according to me.
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