Answer:
Reserve ratio = 31.11%
Currency drain ratio = 13.33%.
Explanation:
Reserve ratio = Reserves/Deposits = $280/$900 = 0.3111, or 31.11%
Currency drain ratio = Currency/Deposits = $120/$900 = 0.1333, or 13.33%
Therefore, reserve ratio is 31.11%, and currency drain ratio is 13.33%.
Answer:
a. Move all text to the right.
a. Unusual typefaces, underlining and italics.
c.Unfamiliar abbreviations.
Explanation:
Application Tracking System (ATS) is a software which helps organization to manage the recruiting process. It enables to look for required skills in a certain applicant and then select those candidates who matches the certain requirements by organization.
The candidates should format the resume as short lines and mention key points. Move all text to the right to be able for ATS to ease tracking process.
The candidates should avoid including unusual typefaces and italics, should not use unfamiliar abbreviations.
Answer:
1. Lack of ownership
2. Higher taxation
3. Legalities and formalities
Explanation:
An incorporated company is one that has a separate legal entity from that of its owner and shareholders. Disadvantages of an incorporated company include:
- <em>Lack of ownership</em>
An incorporated business is a separate entity from its owner. Hence, separate bank accounts would be required along with separate business identification since personal identification would not be sufficient. At the same time, personal funds must be kept separate from business funds. Mixture of the two is an offense against the law. Also, as shareholders are involved, they may have voting rights, hence, the owner will not have a complete say in all business activities.
Incorporated companies are expected to pay higher taxes whilst others may have minimum taxable limits. The owner will have to pay income tax as well as corporate taxes. They will also accumulate other expenses such as accounts and legal fees whilst processing these complex taxation methods.
- <em>Legalities and formalities</em>
Incorporating a business in itself requires complex procedures and a lot of paperwork. After this has been accomplished, the company is still expected to follow strict codes of conduct such as those provided by the Companies Act. This would include the way borrowings and lending occur, investments, dividend provisions, meetings and audits. They will also have to register documents under the Registrar of Companies.
Answer:
3. net income is understated by $175
Explanation:
There were two transactions omitted. The first transaction is unearned rent revenue of which $450 was earned. This earned rent revenue increases income by $450. While the second transaction was accrued interest payable of which $275 is owed. This interest payable increases liabilities by $275.
Therefore, from the above, income or revenue is understated by $450, while expenses is understated by $275.
Therefore, net income is understated by income less expenses, thus 450 - 275 = $175. This also implies that liabilities are overstated by $175.
Answer:
a. Firm M probably has a higher dividend payout ratio than Firm N.
Explanation:
The dividend payout ratio is commonly referred to a portion of the net income of the company which is paid to the various shareholders in dividends. Therefore, if we consider the statements made in the question, Firm M has a higher annual net income while the annual net income of Firm N is fluctuating, we can conclude that the dividend payout ratio of Firm M is more than that of Firm N.
