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Maslowich
3 years ago
7

The legal definition of "small business" varies by country and by industry. In the United States, the Small Business Administrat

ion establishes small business size standards on an industry-by-industry basis, but generally specifies a small business as having fewer than five hundred employees for manufacturing businesses and less than $7.5 million in annual receipts for most non-manufacturing businesses. Please explain why leasing as a capital financing alternative is an advantage for small business.
Business
1 answer:
tamaranim1 [39]3 years ago
6 0

Answer:

Leasing as a capital financing is an alternative for small business for three important reasons: better technology, better capital management and tax incentives.

Explanation:

1. Better technology for the business.

Instead of buying the equipment, a lease is a better option because allows the organization to use cutting edge technology for the operation of a business.

2. Better capital management.

Buying machinery is a capital-intensive activity. Leasing let use the same machinery by less amounts of money and invest capital in other useful activities for the organization.

3. Tax benefits

Leasing is  tax deductible. Reducing the fiscal pressure over the small business.

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Social security and medicare are
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Social safety programs that Americans pay into during their working years through taxes. Both are designed to assist older Americans and distribute benefits to the disabled and their families.

Hopes This Helps
4 0
3 years ago
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According to Goldratt: Two activities scheduled to be carried out sequentially and using the same scarce resource benefit from h
zimovet [89]

Answer:

Two activities scheduled to be carried out in parallel and using the same scarce resource are independent.

Explanation:

An Israeli physicist named, Eliyahu M. Goldratt developed the Critical Chain Project Management (CCPM) and introduced it in his book "Critical Chain" in 1997.

The CCPM is a project management methodology used by managers to better manage a project. The CCPM ensures that the project plan is feasible and immune from any uncertainty or statistical fluctuations.

In the CCPM activity network, there are no milestones and all non-critical activities are performed as late as possible.

CCPM adopts the use of drum buffers, so as to ensure extra safety is applied to a project immediately before using constrained resource.

According to Goldratt, two activities scheduled to be carried out in parallel and using the same scarce resource are independent.

6 0
2 years ago
The way Professor Quinn choose to handle this situation illustrates the difficulty of dealing with ethics violations. Listed as
miv72 [106K]

Answer:

The correct answer is:

Establishing a code of ethics

Referring ethical dilemmas to an ethics committee

Providing support for whistleblowers

Explanation:

The ethics of the company tries to apply ethical principles in decision-making and concrete actions, and provides tools that raise the ethical level of companies.

Business ethics includes the moral principles and norms that guide behavior in the business world. In fact, there are people who think that their personal values ​​and principles have nothing to do with those presented in their work environment. This is a mistake, when an ethical person works in a company where ethics remains, this person will have a place where he can develop his full potential and his degree of loyalty will be unimaginable.

Companies when they want to define their code of ethics, integrate a series of values ​​such as honesty, loyalty, integrity, innovation, quality, respect for the individual, among others.

4 0
3 years ago
Barnes Company sells two products, X and Y. For the coming year, Barnes predicts sales of 5,000 units of X and 10,000 units of Y
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Answer:

B. False

Explanation:

The statement is False.

This conclusion can be reached just by analyzing the data provided. The weighted-average contribution margin ($6.50) cannot be higher than all of the individual contribution margins ($5 and $4). The actual weighted-average contribution margin is:

WACC = \frac{5,000}{5,000+10,000}*\$5 +\frac{10,000}{5,000+10,000}*\$4 \\WACC = \$4.33

5 0
3 years ago
The calculation of diluted earnings per share assumes that stock options were exercised and that the proceeds were used to:A. Bu
mihalych1998 [28]

Answer:

C. Buy Treasury Stock

Explanation:

The Treasury Stock Method of Calculating Diluted Earnings Per Share

This method is usually used by an organisation to determine the number of additional shares it can generate from options as well as outstanding in-the-money warrants. Once these new shares are acquired they are then used to calculate the organisation's diluted EPS

Specifically and in relations to the question, the outstanding warrants and options are used to repurchase stocks which are then converted into treasury stock. Hence, the answer that states that stock options are exercised and that the proceeds were used to buy treasury stock.

5 0
3 years ago
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