Answer: China was making up figures
Explanation:
This question is based on the documentary film, ''The End of the Line'' which was done on the effects of fishing worldwide. In 2001, records showed that local stocks of fish were down around the world yet worldwide figures were increasing at a record rate.
The United Nations hired someone to investigate this and what he found was that Communist China was inflating the amount of fish they were harvesting so that they could look more efficient.
Answer:
France should specialize in producing phones and import computers from Sweden
Explanation:
France can produce: 4 phones or 3 computers
The opportunity cost of producing 1 phone = (3 ÷ 4)
= 0.75 computers
The opportunity cost of producing 1 computer = (4 ÷ 3)
= 1.33 phones
Sweden can produce: 1 phone or 2 computers
The opportunity cost of producing 1 phone = (2 ÷ 1)
= 2 computers
The opportunity cost of producing 1 computer = (1 ÷ 2)
= 0.5 phones
According to the comparative advantage,
Sweden has a comparative advantage in producing computers because the opportunity cost of producing computers is lower for Sweden than for France.
France has a comparative advantage in producing phones because the opportunity cost of producing phones is lower for France than for Sweden and import computers from Sweden because Sweden has a comparative advantage in producing computers.
Answer: See explanation
Explanation:
The formula to use here will be:
required rate = risk free rate + beta × (market return - risk free rate).
where,
risk free rate = 5%
beta =0.20.
market return = -30%.
Therefore,
required return = 5% + 0.20 × (-30% + -5%)
= 5% + 0.2(-35%)
= 5% - 7%
= -2%
Therefore, the return on portfolio should have been -2% but the portfolio manager produced a return of −10%
Since -10% is lower than -2%, we can deduce that the claim of the manager is wrong.
Answer:
Maximum initial cost would be $58,116,883.12
Explanation:
1,790,000 increased at 3%
Ke 0.119 + 0.02 = 0.139
ER 0.15
Kd(after-tax) Kd(1-t) = 0.047
DR 0.85
WACC 0.06080
Now that we have the rate, we calculate the present value using the gordon method
1,790,000 / (0.06080-0.03) = 58,116,883.12
Answer:
C.a debit to Sales Returns and Allowances and a credit to Accounts Receivable.
Explanation:
The journal entry to record the returns of merchandise is shown below:
Sales return and allowance A/c Dr XXXXX
To Accounts receivable XXXXX
(Being sales return is recorded)
Basically we debited the sales returns and allowances and credited the account receivable so that the proper recording could be made.
