If the price elasticity of demand is inelastic, then the incidence of tax will be greater on consumers, as producers can shift most of the tax on them by raising prices. Whereas if it was elastic, then it would be producers.
The item is followed by three dots
Answer:
$5,500,000
Explanation:
Total fair value of the options = Number of shares in the option × Estimated fair value per option = 1,000,000 × $5.50 = $5,500,000
Therefore, the total compensation indicated by these options would be $5,500,000.
Answer:
The correct answer is letter "B": is both a dollar amount rather than a percentage and uses a firm's weighted-average cost of capital.
Explanation:
The Economic Value Added metric helps the shareholders of a business to determine how their capital is performing against other potential investments using the <em>weighted-average cost of capital </em>for that purpose. It is also a useful calculation for companies to decide on the most economically valuable project to be pursued.
The economic value added is calculated by subtracting the opportunity cost of capital from the earnings of the company. <em>The result is given in dollar amounts.</em>
Answer: c. 78,000 equivalent units.
Explanation:
Equivalent units for conversion is calculated as:
= Units completed and transferred out + Equivalent ending work in process
Units completed and transferred out:
= Units started into production - Ending units
= 90,000 - 20,000
= 70,000 units
Equivalent ending work in process = 40% * 20,000 work in process units
= 8,000 units
Equivalent units for conversion = 70,000 + 8,000
= 78,000 units
