Answer:
distributive justice
Explanation:
Based on the information provided within the question it can be said that in this scenario, this is an example of applying distributive justice. This term refers to a concept that determines who owns what within a society. In other words an individual should receive benefits or goods depending on their contributions to a company or society. Which in this case is what ALT inc. is trying to make sure of.
Answer:
Mark-up= 30%
Explanation:
Mark-up is profit expressed as a percentage of the total production cost.
Full cost per unit = (Variable cost + Fixed cost)/No of units
Full cost per unit = (1,156,000 + 104,000)/9000= 140 per unit
Profit per unit = Net income / No of units
=378,000/9,000
= $42 per unit
Mark-up = profit per unit/cost per unit
= 42/140 × 100
= 30%
Answer:
a. Terrell's Optimal Capital Structure is 40:60. It means to obtain optimal capital structure in-order to increase value of firm, Terrell should finance 40% of its Assets through Debt and remaining through Common Equity.
b. The optimal Capital Structure is the point where company's WACC is minimized. So, 40:60 is the ratio where Terrell's WACC will be minimized.
Explanation:
The goal of Management is to increase Shareholders' wealth and not to generate profits because wealth is something that is for long-run whereas Profits are temporary. Management would accept projects having negative NPV if its goal is to maximize Profit.
Maximizing Shareholders' wealth means to increase the Share Price whereas Generating a higher EPS is Profit Maximization Strategy. So, you should look for that Capital Structure Point where the Company's Stock Price is Highest.
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Answer:
8. First-In, First-Out (FIFO) - a.
7. Disclosure Principle - b
1. Specific Identification - c
6. Weighted-Average - d
4. Conservatism - e
3. Last-In, First-Out (LIFO) - f
5. Consistency Principle - g
2. Materiality Concept - h
Explanation:
FIFO is a sale technique which provides the oldest stoke of goods as the first sales batch, while LIFO brings the last inventory first.
The materiality concept is a situation where the financial information of a company is said to be material from observing the preparation of the financial statements if it can change the opinion of a reasonable person.
The consistency principle states that once an accounting principle is adopted, it can never be changed. Disclosure principle states that company report must be given to outsiders for knowledgeable decision.
Answer:
Centrally Planned Economy
Explanation:
A centrally planned economy, also known as a command economy, is an economic system in which a central authority, such as a government, makes economic decisions regarding the manufacturing and the distribution of products. Centrally planned economies are different from market economies, in which such decisions are traditionally made by businesses and consumers.
The production of goods and services in command economies is often done by state-owned enterprises, which are government owned companies. In centrally planned economies, which are sometimes referred to as "command economies", prices are controlled by bureaucrats.