Answer:
decrease in the quick ratio
Explanation:
The quick ratio is the (cash + marketable securities + cash equivalents) divided by the current liabilities. In this question current liabilities are increasing and all other things are constant, which means in relation to the quick ratio the denominator which is current liabilities is increasing and the numerator is constant, this means that the quick ratio will decrease.
Lets assume that the cash + marketable securities + cash equivalents was 1,000 and current liabilities was 500. In this cash the quick was 1000/500=2
Now we assume current liabilities increase by 100 and are now 600 where as the numerator is the same.
1000/600=1.66
The new quick ratio is 1.66 which is less than 2.
When each firm produces 8 units, Big Inc has a lower total cost, and when each firm produces 12 units, Mega crop has a lower total cost.
<u>Explanation:
</u>
When each product is made 8 units, Big Inc does have a smaller total cost, and when each company produces 12 units, Mega Crop does have a smaller total cost.
A single company producing goods without near competition has a monopoly, whereas an oligopoly market does have an amount limited of extremely large companies producing similar or slightly separate goods. For both cases, the entrance of other businesses is significantly impeded.
By nationalization of a good or service like postal system a government could create a monopoly.
Answer:
The correct word for the blank space is: value chain.
Explanation:
American economist Michael E. Porter (<em>born in 1947</em>) coined the term value chain to denote the interrelated operating activities businesses perform during the process of converting raw materials into finished products. The goal in value chain analysis is to find ways to add value to the product along each part of the process and do so at the lowest possible cost.
Answer:
Change the exchange rate so that 2 rudolfs equal to $1
Answer:
$2,058
Explanation:
the bonus when FIFO method is used = $50,490 x 20% = $10,098
the bonus when LIFO method is used = $40,200 x 20% = $8,040
the difference = $10,098 - $8,040 = $2,058
First in. first out (FIFO) method assigns cost of goods sold based on the price of the oldest units purchased, while last in, first out (LIFO) assigns cost of goods sold based on the price of the last units purchased. When the cost of merchandise increases during the year, FIFO method will result in lower COGS and higher net income.