1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Kaylis [27]
3 years ago
9

F. Marston, Inc. has developed a forecasting model to estimate its AFN for the upcoming year. All else being equal, which of the

following factors is most likely to lead to an increase of the additional funds needed (AFN)?
A) A switch to a just-in-time inventory system and outsourcing production.

B) The company reduces its dividend payout ratio.

C) The company switches its materials purchases to a supplier that sells on terms of 1/5, net 90, from a supplier whose terms are 3/15, net 35.

D) The company discovers that it has excess capacity in its fixed assets.

E) A sharp increase in its forecasted sales.
Business
1 answer:
erica [24]3 years ago
3 0

Answer:

E) A sharp increase in its forecasted sales.

Explanation:

Haven developed a forecasting model to estimate its AFN for the upcoming year, F. Marston, Inc. would have an increase in the additional funds needed (AFN) due to the sharp increase in its forecasted sales.

An increase in sales translates to an increased cash flow and profits.

You might be interested in
It is July 16. A company has a portfolio of stocks worth $100 million. The beta of the portfolio is 1.2. The company would like
Anuta_ua [19.1K]

Answer:

A. The company should take Short position and

140 contract

B. The company should take Long position and 60 contract

B.

Explanation:

Calculation for what position that the company should take

Using this formula

Company position=(Beta of the portfolio*Change in beta of the portfolio) *Portfolio of stocks /Index futures price* Each Contract index times

Let plug in the formula

Company position =(1.2-0.5)*$100 million/2,000*250

Company position=0.7*$100 million/500,000

Company position=$70,000,000/500,000

Company position=140 contract

Therefore the position that the company should take will be SHORT position with 140 contract

B. Calculation for the increase in beta of the portfolio from 1.2 to 1.5 and what position tthr company should take in the futures contract and how many contracts

Using this formula

Company position=Increase in beta of the portfolio *Portfolio of stocks /Index futures price* Each Contract index times

Let plug in the formula

Company position =(1.5-1.2)*$100 million/2,000*250

Company position=0.3*$100 million/500,000

Company position=$30,000,000/500,000

Company position=60 contract

Therefore the company should take Long position and 60 contract

4 0
3 years ago
The only deposits of a rare and sought-after mineral known as ursarite are found in Russia. Since no other nation has deposits o
fomenos

Answer: Russia has an absolute advantage in the mineral.

Explanation:

Absolute advantage is an economics term that means to the ability of an individual, firm, or nation to manufacture a larger quantity of a product than its competitors. 

Adam Smith proposed absolute advantage of absolute advantage in international trade by using only labor as the input. Absolute advantage is derived by comparing labour productiveness between countries.

Russia has an absolute advantage because it's the nation that can produce the highest amount.

4 0
3 years ago
Society cannot produce all that it wants what is this called
xxTIMURxx [149]
It would be called scarcity.
5 0
3 years ago
Given below are lease terms at the local dealership. What is the total cash
adell [148]

Answer:

1) 2,475

down payment+security deposit+acquisition fee= total cost

sorry if I miss something

4 0
3 years ago
Paul wanted to know about the skills and experience needed to qualify for a management position with jcpenney. thus, he called a
Sholpan [36]

Answer:

Description.

Explanation:

A job description outlines the skills and duties for a position as well as the required experience, education, and training.

4 0
3 years ago
Other questions:
  • QUESTIONS
    15·1 answer
  • A soft-drink machine is regulated so that it dischargesan average of 200 milliliters per cup. If theamount of drink is normally
    6·1 answer
  • You own a small deli that produces sandwiches, soups, and other items for customers in your town. Which of the following is a de
    14·1 answer
  • Flannery Corporation owns machinery with a book value of $520,000. It is estimated that the machinery will generate future cash
    8·1 answer
  • nco purchased a computer for $200,000 and this machine is expected to generate annual cash flows of $48,271 over the next 5 year
    15·1 answer
  • Erik has a five-dollar bill. He uses it to pay for a soda and a hamburger. What form of financial exchange is this?
    8·1 answer
  • One thing in life we cannot control is nature. What would your organization do if there was a natural disaster that destroyed el
    14·1 answer
  • Melinda, who works in a jewelry store owned by Cindy, was picking up some gem stones for use in the store. On the way back to th
    14·1 answer
  • The penalty for nonqualified distributions from a health savings account (HSA) is __________.
    13·1 answer
  • The united states often engages in ________, which is the use of government regulations to limit the import of goods and service
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!