Answer:
The correct answer is the option A: Diseconomies of scales.
Explanation:
To begin with, the concept known as <em>''diseconomies of scales''</em>, in the field of economics and management, refers to the situation where an organization finds itself in problems due to the fact that a large production is being produced by them and the coordination and management of that large production is beginning to cause trouble and that impacts in the fact that the company will produce good or services with an increase in the cost per unit of the products.
Answer:
49 days
Explanation:
Account receivable turnover ratio = Net credit sales / Accounts receivable
Account receivable turnover ratio = $602,000 / $79,922
Account receivable turnover ratio = 7.53
Average collection period = 365/7.53
Average collection period = 48.47277556440903
Average collection period = 49
Thus, firm’s sales uncollected for year is 49 days.
<span>Let us first find out how much of the prepaid subscriptions has been used up during the reporting year. $1548 is for 36 months. So the monthly rate of subscription charges will be 1548/36 = 43. During the reporting year, subscription charges are paid only for 9 months( from April to December) So the amount to be debited to subscription charges = 43 * 9 = 387. Subscription charges will be debited with $ 387 and prepaid subscriptions account will be credited with the same amount. The remaining amount, 1548-387=1161, will remain in prepaid subscriptions account as a debit balance.</span>
When a client has a massage and then asks the company to mail the bill to him/her, the bookkeeper of the company will decide what entry to make. The bookkeeper is the person who is in charge of all the accounts and makes sure the accounts are up to date and each client pays their bills. In this case, the bookkeeper will enter on the invoice; accounts receivable, debit; fees earned, credit. Then the bookkeeper will send the invoice to the client at the end of the business month to be paid.
Answer:
The value of the put option is;
e. $9.00
Explanation:
To determine the value of the put option can be expressed as;
C(t)-P(t)=S(t)-K.e^(-rt)
where;
C(t)=value of the call at time t
P(t)=value of the put at time t
S(t)=current price of the stock
K=strike price
r=annual risk free rate
t=duration of call option
In our case;
C(t)=$7.2
P(t)=unknown
S(t)=$50
K=$55
r=6%=6/100=0.06
t=1 year
replacing;
7.2-P=50-55×e^(-0.06×1)
7.2-P=50-(55×0.942)
7.2-P=50-51.797
P=51.797+7.2-50
P=$8.997 rounded off to 2 decimal places=$9.00
