Answer:
Explained below:
Explanation:
The following are the <u>disadvantages of a sole proprietorship:</u>-
1. In a sole proprietorship, there is no separation between business assets and personal assets.
2. When the owner dies, the business also ends as well unless the owner made a prudent estate plan which allowed the business to continue.
3. A sole proprietorship has no shareholders and cannot sell ownership in the company without changing its business structure. etc
Answer:
Use the same estimations and computations as accounts receivable to determine cash realizable value.
Explanation:
Notes receivable is a balance sheet item, that records the value of promissory notes that a business is owed and has the right receive payment for.
Short term notes receivable are due within a period of one year from the balance sheet date and are catergorised under current assets in the balance sheet.
Answer: is unit elastic
Explanation:
If the percentage increase in the quantity supplied equals the percentage increase in the price, the supply will be said to be unit elastic.
In the unit elastic supply, it should be noted that supply responds perfectly to the changes in price. This simply means that there'll be an equal change between the price change and the quantity that is supplied.
Answer:
The answer is 5.13percent
Explanation:
The formula to be used here is from Capital Asset Pricing Model (CAPM) and it is used to determine the cost of equity or the expected return on a company's equity.
The formula is
Ke = Rf + beta(Rm - Rf)
Where Ke is Cost of equity(13 percent)
Rf is the risk free rate of return
Rm is the market risk(9.5 percent)
beta = 1.80
To solve for Rf;
0.13 = Rf + 1.8(0.095 - Rf)
0.13 = Rf + 0.171 - 1.8Rf
0.13 - 0.171 = Rf - 1.8Rf
-0.041 = -0.8Rf
Rf = 0.041 ÷ 0.8
=0.0513
5.13percent
Answer: $2,974.45 million
Explanation:
Cost of goods sold for Year 7 = $2,945 million
Cost of goods sold is expected to increase by 1%.
Cost of goods sold in Year 8 will be:
= 2,945 * (1 + 1%)
= $2,974.45 million
