The primary distinction between expenses and losses is that costs are incurred in order to produce income, whereas losses are often associated with any other activity. the sale of an asset with a long lifespan for less than its book value. a negative verdict in a lawsuit brought against the business.
The cancellation of bonds that are payable at a cost higher than their carrying value An expense is a business's operational cost incurred to produce income. It may deduct tax-deductible expenses on its income tax returns. Either the cash basis approach or the accrual method is used by accountants to record expenses.
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Answer:
$135
Explanation:
Given:
Total clients = 1700
Membership dues = $45
Increase in monthly dues = $1
Loss of clients per dollar increase = 7 clients
Thus,
let x be the number of dollar increases
therefore,
clients lost will be 7x
so the revenue function will be
f(x) = charges × Number of clients
or
f(x) = ( 45 + x ) × ( 1700 - 7x )
or
f(x) = 90000 - 315x + 1700x - 7x²
or
f(x) = 90000 + 1385x - 7x²
now,
for point of maxima or minima
differentiating with respect to x, we get
f'(x) = 0 + 1385 - 14x = 0
or
14x = 1385
or
x = 98.92 ≈ 98
thus,
to optimize the revenue from monthly dues the club should charge
( $45 + $90 ) = $135
Answer:
c)$568; $378; $54
Explanation:
($1,120 - $1,000)/$1,000 = 12%
(0.6)14% + (0.4)10% = 12.4%
12% = w5% + 12.4%(1 - w)
w = .054
1-w = .946
w = 0.054($1,000)
= $54 (T-bills)
1 - w = 1 - 0.054 = 0.946
0.946($1,000) = $946
$946 x 0.6 = $568 in X
$946 x 0.4 = $378 in Y.
Answer:
C, first mover
Explanation:
A first mover is the first entrant to a particular market. That is, the first to start the manufacture of a certain product.
A first mover strategy is a strategy that allows a firm have control of a market as well as gain competitive advantage. It also helps to give an almost monopolistic control of the market as it can dictate the prices of the product in the market.
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Answer:
1. b. $3,400 in a mutual fund, $3,300 in bonds, and $3,300 in a land purchase
This is the most diversified because it involves equal or almost equal amounts put into separate instruments which means that a loss will be less likely to affect this portfolio because a loss affecting one instrument might not affect the rest
2. a. $10,000 in a mutual fund
This is the second most classified because Mutual funds invest in a variety of instruments so investing in Mutual funds is akin to investing in a variety of instruments.
3. c. $5,000 in one stock and $5,000 in another stock
This is the third most diversified because even though it involves investing in separate stocks, stock still generally move together in terms of performance so if one stock suffers a loss, there is a high chance the other will too.
4. d. $10,000 in one stock
This is not diversified at all because all the funds are on one instrument.
