Answer: Risky; Uncertain
Explanation:
In making decisions, we are often faced with a lack of certainty which can be categorized into risk and uncertainty.
Risk occurs when an individual in trying to make a decision subjectively judges a task or decision based on incomplete knowledge and information about the task or decision and still able to carry such task by weighing probabilities that may result from the possible outcome of such task
Uncertainty on the other hand is a state in which the individual making a decision does not have the right information to enable him make reasonable and logical approach to probability assessments
Decision-making is perceived as risky within the finding approach, decision-making is thought to be uncertain in the building approach.
Answer:
Requirement 1 - Predetermined Overhead Rate is $0.60 per direct labor cost
Explanation:
Requirement 1 - Predetermined Overhead Rate
Predetermined Overhead Rate = Budgeted Overheads / Budgeted Activity
In our senario we use the formular:
Factory overheads Applied = Predetermined Overhead Rate × Actual Activity
therefore, Predetermined Overhead Rate = Factory overheads Applied / Actual Activity
<em>Note : Moonrise Bakery applies factory overhead based on direct labor costs</em>
Predetermined Overhead Rate = $2,460,000/$4,100,000
= $0.60 per direct labor cost
Answer:
d. Time of the year
Explanation:
The<em> time of the year</em> reflects on fruit production (season growth). As most seasonal goods, its price varies drastically from the in-season period to the time when it's not in season. The temporal factor influencing this variation is the exact time of the year, as that is synonymous with the season period.
Steve started an entrepreneur company called "Like" a data company which provides business data to all the social media sites to base on products.He starts with $1000 and $200 deposited in bank as capital budget, He had expenses $150 is spent on rent, computer, furniture and air-condition as his fixed expenses and $90 on carpenter, fittings and computer services as variable expenses.A month passed by, his expenses were $360 and income was $500 about $140 of profit.He bought 3 more computers on loan for $300 at interest of 12% for 2 years, Budget $50 for investment, $40 on buying equities from financial institution and balance $10 on debt instruments and $15 was withdrawn form bank for personal use.
Explanation:
- Balance amount is the paid amount and<em> </em><em>left over amount</em>.
- Deposit is the amount placed in a <em>particular bank</em>.
- Withdrawn amount taken from the <em>bank</em>.
- Fixed expenses which are on a <em>common basis</em>.
- Variable expenses which is an <em>occurrence at any point in time</em>.
- Profit amount earned after all the <em>net expenses and taxes</em>.
- Interest extra amount paid or received by <em>borrowing or lending</em>.
- Financial institutions buy <em>companies stocks and shares</em>.
- Loan monetary on <em>credit</em> for business,house etc.
When the Federal Reserve buys $50 million in Treasury bills from commercial banks, itsassets increase by $50 million (it now owns $50 million in Treasury bills) but its liabili-ties also increase by $50 million as it credits the banks’ accounts at the Federal Reserve,part of the monetary base. From the perspective of commercial banks, their assets fall by$50 million because they sell Treasury bills to the Fed, but their assets also rise by $50million when their deposits at the Fed (reserves) are credited with $50 million.Initial changes to the T-account of the Federal Reserve immediately after the Fed pur-chase of $50 million in Treasury bills:Initial changes to the T-account of commercial banks immediately after the Fed pur-chase of $50 million in Treasury bills:After the Federal Reserve buys $50 million from commercial banks, the banks areholding $50 million in excess reserves. Since the banks do not want to hold any excessreserves, they will increase loans and deposits by $500 million, the maximum amountthat $50 million in reserves can support. Therefore, the money supply will alsoincrease by $500 million.Total changes to the T-account of commercial banks after the Fed purchase of$50 million in Treasury bills:13.Show the changes to the T-accounts for the Federal Reserve and for commercial bankswhen the Federal Reserve sells $30 million in U.S. Treasury bills. If the public holds afixed amount of currency (so that all new loans create an equal amount of checkablebank deposits in the banking system) and the minimum reserve ratio is 5%, by howmuch will checkable bank deposits in the commercial banks change? By how muchwill the money supply change? Show the final changes to the T-account for the com-mercial banks when the money supply changes by this amount.AssetsLiabilitiesTreasury bills−$50 millionCheckable deposits+$500 millionReserves+$50 millionLoans+$500 millionAssetsLiabilitiesTreasury bills−$50 millionNo changeReserves+$50 millionAssetsLiabilitiesTreasury bills+$50 millionMonetary base+$50 millionS-194MACROECONOMICS,CHAPTER 14ECONOMICS,CHAPTER 30S187-S198_Krug2e_Macro_PS_Ch14.qxp2/25/098:02 PMPage S-194
