Answer: Option B
Explanation: In simple words, capital market is that market in which securities that are long term in nature are sold and purchased. The maturity period of such securities is generally more than one year.
These, markets transact all types of securities whether it is equity or debt, but it has to be long term in nature.
Hence, from the above we can conclude that the right answer is Option B.
Answer:
$7,750
Explanation:
The computation of the net income for the first year is shown below:
but before that following calculations needed
The Cost of production is
= Direct material + Direct labor + Manufacturing overhead
= $11,625 + $11,000 + $10,000
= $32,625
The Unit product cost is
= $32,625 ÷ 7,250 units
= $4.50 per unit
Now
Cost of goods sold = Number of units sold × cost per unit
= 4,500 units × $4.50
= $20,250
And, finally
Net Income = Sales revenue - COGS - general, selling, and administrative expenses
= (4,500 units × $7) - $20,250 - $3,500
= $7,750
Explanation:
The computation is shown below:
The consumption is
= 40 cases × $40 per case
= $1,600
The import is also same i.e $1,600 because the purchase from Dutch distributor represents the consumption and imports for the United states economy.
Now the exporter is
= 200 transistors × $ 15
= $3,000
Now the net exports is
= Exports - imports
= $3,000 - $1,600
= $1,400
And, the consumption value is $1,100
The total economy consumption is
= $1,600 + $1,100
= $2,700
Now the GDP is
= Consumption + investment + government spending + net exports
= $2,700 + $0 + $0 + $1,400
= $4,100
Answer: b. $106,700
Explanation:
The marketing and administrative expense budget is based on budgeted unit sales, which are 5,500 units for June.
The variable marketing and administrative expense is $1.00 per unit. Which is 5,500 units x $1.00 = $5,500.
The budgeted fixed marketing and administrative expense is $101,200.
To get the cash disbursements for marketing and administrative expenses on the June marketing and administrative expense budget should be Variable costs plus fixed costs.
= $5,500 + $101,200
= $106, 700
