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Genrish500 [490]
4 years ago
5

The Balance sheet of Mister Ribs Restaurant reports current assets of $30,000 and current liabilities of $15,000.a. Calculate th

e current Ratio.b. Does it appear likely that Mister Ribs will be able to pay its current liabilities as they come due in the next year?
Business
1 answer:
Pani-rosa [81]4 years ago
4 0

Answer:

<u>Current Ratio = 2; Yes</u>

Explanation:

First, to solve for current ratio, simply divide the current assets by the current liabilities.

So the current ratio would be $30,000 / $15,000 resulting to <em><u>2</u></em>

Now, a current ratio greater than one means that <u>Mister Ribs will be able to pay its current liabilities as they come due in the next year.</u>

However, because the current ratio at any one time is just a snapshot, it is usually not a complete representation of a company’s liquidity or solvency.

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Reddick Enterprises' stock currently sells for $35.50 per share. The dividend is projected to increase at a constant rate of 5.5
lapo4ka [179]

Answer:

<em>$41.69</em>

Explanation:

\frac{divends}{return-growth} = Intrinsic \: Value

Assuming the shares is on point and is not overrated or underrated we can <em>solve for dividends</em>

dividends/(r-g) = 35.50

dividends = 1.2425

Now we apply the growth for 3 years

Principal * (1+ r)^{time} = Ammount

1.2425 (1.055)^{3}= 1.4589949084375

Then we apply the dividend growth model

1.4589949084375/(0.09-0.055) = 41.68556881 = 41.69

5 0
4 years ago
The stage in the evolution of new products in which ideas that match company objectives are analyzed as to whether the firm has
qwelly [4]

Answer:

The question is incomplete, it misses the options. The options are the following:

a) exploration.

b) Product development.

c) Test marketing.

d) Screening.

e) Business analysis

And the correct answer is the option A: Exploration.

Explanation:

To begin with, the stage of <em>"exploration"</em> in the process of developing new products by the companies is the one in where the expertises primarily focus on the devolpment of new ideas that may match with what the company is looking for and therefore that in this part it is quite common to do storm ideas or techniques like that in where the whole group focus on coming together in few options that will pleased the superiors that will later accept or not the idea and will pass the stage to the next one or will have to start thinking about new ideas.

8 0
3 years ago
Imagine that an economic recession erodes consumer confidence. As a result, the marginal propensity to consume drops from .8 to
Serga [27]

Answer:

Increased government spending will be less effective for raising the Marginal Propensity to Consume.

Explanation:

The Marginal Propensity to Consume depends on disposable income, and disposable income is the money that individuals have after paying tax.

If the government increases spending, it will also increase taxes to finance spending, and if taxes are higher, people will have less disposable income, and even if their marginal propensity to consume increases, because they now have less money, the will spend less in total.

8 0
3 years ago
The Postal Service is negotiating a new three-year agreement with two of its unions. One represents the clerks and one the mail
Bezzdna [24]

Answer: A. The actions of the clerk and carrier unions are not prohibited, and management does not have any recourse to recover damages nor to win an Unfair Labor Practice.

Explanation:

An unfair labor practice simply occurs when the National Labor Relations Act is being violated. Some if the unfair labor practice include when a worker is threatened when he or she files a ULP charge. Also, the refusal to negotiate with an agency in good faith etc.

In the scenario in the question, we should note that the actions of the clerk and the carrier unions are not prohibited, and then the management does not have any recourse to recover damages nor to win an Unfair Labor Practice.

Therefore, the correct option is A.

8 0
3 years ago
Why has globalization resulted in increasing environmental damage around the world?
Lubov Fominskaja [6]

Those who support this bleak view of globalization argue it creates global competition, resulting in a boost in economic activities that deplete the environment and its natural resources. The increased economic activity leads to greater emissions of industrial pollutants and more environmental degradation.

6 0
3 years ago
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