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Vinvika [58]
2 years ago
10

If wealth increases, the demand for stocks ________ and that of long-term bonds ________, everything else held constant.

Business
1 answer:
cricket20 [7]2 years ago
7 0

Answer:

Increase

Increase

Explanation:

When wealth increases, the disposable income of individuals increases and individuals are more willing and able to invest in stocks and long term bonds.

I hope my answer helps you.

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Project A requires a $ 385,000 initial investment for new machinery with a five year life and a salvage value of . The company u
Papessa [141]

Answer:

4.2 years

Explanation:

Here is the complete question

Project A requires a $ 385,000 initial investment for new machinery with a five year life and a salvage value of $44,000. The company uses straight - line depreciation . Project A is expected to yield annual net income of $ 23,100 per year for the next five years.

Required:

Compute Project A's payback period.

Payback = amount invested / cash flow

cash flow = net income + depreciation

depreciation = (cost of asset - salvage value) / useful life

(385,000 - 44,000) / 5 = 68,200

Cash flow = 68,200 + $ 23,100 = 91300

$ 385,000 / 91300 =4.2

6 0
2 years ago
Stine Company uses a job order cost system. On May 1, the company has a balance in Work in Process Inventory of $3,500 and two j
Naddika [18.5K]

Answer:

Stine Company

1. Summary Journal Entries:

Debit Work in Process $10,400

Credit Materials  $10,400

To record materials requisitioned for production.

Debit Work in Process $12,500

Credit Direct Labor $12,500

To record direct labor time tickets.

Debit Work in Process $7,500

Credit Manufacturing overhead $7,500

To record manufacturing overhead applied to production.

Debit Finished goods inventory $7,540

Credit Work in Process $7,540

To record the transfer of Job No. 429 to finished goods inventory.

2. Work in Process Inventory Control

Account Titles             Debit    Credit

Beginning balance    $3,500

Direct materials         10,400

Direct labor               12,500

Overhead                   7,500

Finished Goods Inventory     $7,540

Ending Balance                     26,360

Job Sheets                              Job 429       Job 430      Job 431     Total

Beginning WIP                         $2,000          $1,500                        $3,500

Direct materials                         2,500           3,500       $4,400      10,400

Direct labor                                 1,900           3,000         7,600      12,500

Manufacturing overhead (60%) 1,140             1,800        4,560        7,500

Finished Goods Inventory     $7,540                                               (7,540)

Work in Process                                           $9,800    $16,560  $26,360

Explanation:

a) Data and Computations:

Balance in Work in Process Inventory = $3,500

Job No. 429 $2,000

Job No. 430  $1,500

Job                  Materials              Labor Time

Number   Requisition Slips               Tickets

429                  $2,500                      $1,900

430                    3,500                        3,000

431                     4,400 $10,400          7,600 $12,500

General use                        800                         1,200

Total                              $11,200                     $13,700

Total manufacturing overhead:

Indirect materials  $800

Indirect labor      $1,200

Total                  $2,000

5 0
2 years ago
What to do to gain on the job experience and earn money while attending college
bogdanovich [222]

There are several ways to earn money and start building job experience while in college. One of the most common is an internship, where you work at a company under supervision of a mentor/intern coordinator, get paid, and often earn college credit. Another way would be to look for a part time or entry-level job in the field you are studying. Many college campuses have a career resource office designed to help students search for and gain relevant employment.

8 0
2 years ago
Under a periodic inventory system
balandron [24]

Answer:

The correct answer is letter "A": a physical inventory is taken at the end of the period.

Explanation:

When the general ledger is only updated by the end of a period it is said that the firm is using a periodic inventory system. This approach is implemented because physical inventories could be time-consuming. It is even more helpful for small businesses since their inventory is limited.

5 0
3 years ago
Last year Ann Arbor Corp had $155,000 of assets, $305,000 of sales, $20,000 of net income, and a debt-to-total-assets ratio of 3
mezya [45]

Answer:

13.42%

Explanation:

The computation of return on equity is shown below:-

Debt = Assets × ( Debt to assets ratio)

$155,000 × 37.5%

= $58,125

Equity = Total Assets - Debt

= $155,000 - $58,125

= $96,875

Old Return on equity = Old Net Income ÷ Equity

=$20,000 ÷ $96,875

= 20.64%

New Return on equity = New Net Income ÷ Equity

= $33,000 ÷ $96,875

= 34.06%

Increased in Return on equity = New Return on equity - Old Return on equity

= 34.06% - 20.64%

= 13.42%

8 0
3 years ago
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