Answer:
A
Explanation:
Cadillac is responding to one of the geographic demographic trends in the United States, which has been migration into the Sun Belt. Building a plant in Louisiana, which is in the Sun Belt, would greatly reduce transportation cost, compared to a plant in Michigan.
The additional operating cash flow after a new project is called incremental cashflow
The increased operating cash flow that a company obtains as a result of taking on a new project is known as incremental cash flow. If the project is approved, the company will experience an increase in cash flow, which is known as a positive incremental cash flow. A project should receive funding from an organization if the incremental cash flow is positive.
When examining incremental cash flows, it is important to take into account several factors, including the original investment, cash flows from taking on the project, terminal cost or value, and the scope and time of the project. The net cash flow from all cash inflows and outflows during a certain period and between two or more company decisions is known as incremental cash flow.
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Answer:
The path around the normal purchasing channel is known as Maverick Spending.
Explanation:
The Maverick spending refers to expenses made from purchases outside the original contract, breaking the rules of previously established processes. In this example, one professor decided to disobey the original agreement and find another supplier, even though that would increase the expense greatly.
This is an actual problem for many different companies that are trying to eliminate by implementing different measures such as <em>spend analysis</em>, <em>a list of verified suppliers</em> or <em>purchasing control</em>.
Answer:
The five Specific forces acting as stimulants for change are (1)Globalization, (2)Social trends (3)Competition (4)Changes in Technology (5)Changes in Law and political behavior.
Explanation:
Solution
The Five specific forces as stimulants for change is stated below:
- Globalization: globalization has also affected the domestic organizations more often. Globalization has led to the increase of the competition for every industry. for this, every domestic business would have to adopt some change is in its operations to maintain its market share and to get a competitive advantage over others.
- Social trends: social trends in any market would act as a stimulus for organizational environment and change as they would help the business get a first-mover advantage. for example, any social movement such as ripped jean or Bell bottom jeans, made the various companies in the same industry to adopt some changes.
- Competition: the entrance of new competition in the market forces the existing business organizations to acquire some changes to get a competitive advantage.
- Changes in technology: It is one of the significant changes in the business environment, which acts as a substance for the change in the organization. If any business wants to prosper and survive for a longer period, then it would have to acquire changes according to the technological changes in the environment to attend the competitive environment and a continually increasing market share.
- Changes in law and political behavior: if there are changes in government or law in any country, it may bring some changes for the business. It would force the business to adopt such changes. for example some laws related to the environmental Protection force are the business to produce environment-friendly products and adopt green technology.
Answer:
D. 189,000 = NA + 189,000 NA - NA = NA 189,000 FA
Explanation:
The accounting equation shows the relationship between the elements of a balance sheet which are assets liabilities and equity. This may be expressed mathematically as
Assets = Liabilities + Equity
While assets include fixed assets, cash, inventories, account receivables etc, liabilities include accounts payable, loans payable, accrued expenses etc.
Equity which represents the amount owed to the owners of the business includes retained earnings (which is the accumulation of the net income/loss over the years less dividends paid) and common shares.
When 9,000 shares of no-par stock issued for $17 per share increases to $21, this means that the additional amount
= ($21 - $17) × 9000
= $36,000
Amount to be collected from the issue
= $21 × 9000
= $189,000
This will result in an increase in cash and an increase in owners equity (the respective debits and credits).
