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3 years ago

Why do governments intercode in the market

1 answer:

6 0

Governments - Intervene in Markets

1) To promote general economic fairness; to avoid exploitation of the citizens by firms charging exorbitant prices.
2) Maximizing social welfare is one of the most common and best understood reasons.
3) To promote other goals, such as national unity and advancement.
4) Government tries to combat market inequities through regulation, taxation, and subsidies.
5) To minimize the damage caused by naturally occurring economic events.

are few reasons... to help you understand

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Which of the following perspectives of quality judges a product on the basis of how well the product performs its intended funct

Elis [28]

Answer:

The correct option is A

Explanation:

The user perspective is the one which states the quality that can judged a product on the grounds of how well the product is performing the intended function. User perspective is the perspective of the users who formally uses the product and then rate the product and judges the quality or its intended function of the product.

6 0

3 years ago

When starting a small business, it's important to remember:?

charle [14.2K]

When starting a small business it is very important to remember to take into account your employees point-of- view

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3 years ago

Following is partial information for the income statement of Audio Solutions Company under three different inventory costing met

Tamiku [17]

Answer:

The computation is shown below:-

Explanation:

1. FIFO LIFO Average cost

Cost of goods sold

Beginning inventory $11,200 $11,200 $11,200

(400 units × $28))

purchases $16,625 $16,625 $16,625

(475 units × 35)

Goods available for use $27,825 $27,825 $27,825

Ending inventory $18,025 $15,575 $16,695

(525 units)

Cost of goods sold $9,800 $12,250 $11,130

under ending inventory = 475 × $35 + 50 × $28

FIFO = $18,025

LIFO ending inventory 400 × $28 + 125 × $35

= $15,575

Average cost = $27,825 ÷ $875

= 31.8

Ending inventory = 525 × 31.8

= $16,695

2. FIFO LIFO Average

Sales

(307 × $50) $15,350 $15,350 $15,350

Cost of goods sold $9,800 $12,250 $11,130

Gross Profit $5,550 $3,100 $4,220

Expenses $1,680 $1,680 $1,680

Net income $3,870 $1,420 $2,540

3. FIFO = 3

LIFO = 2

Average = 1

5 0

3 years ago

A month ago, you bought a one-year bond with a value of $100 that pays a fixed interest rate of 5 percent per year. The interest

My name is Ann [436]

Answer:

less desirable to other investors

Explanation:

Given: Current fixed coupon rate 5%

Market rate of interest 5%

New Market Rate of Interest 6%

Value of a bond is inversely related to economy interest rate or the yield to maturity (YTM). Value of a bond is expressed by the following equation:

$B_{0}\ = \frac{C}{(1\ +\ YTM)^{1} } \ +\ \frac{C}{(1\ +\ YTM)^{2} } \ +....+\ \frac{C}{(1\ +\ YTM)^{n} }\ +\ \frac{RV}{(1\ +\ YTM)^{n} }$

wherein, C = Coupon rate of interest

YTM = Market Rate of Interest or interest rate in the economy or investor's expectation

n= Years to maturity

RV = Redemption value

In the given case, C = YTM i.e par value bond. When ytm rises to 6%, the value of the bond shall fall making such a bond less attractive since it represents lower coupon payments than investor expectations.

Thus, now the bond would be less desirable to other investors.

3 0

3 years ago

Is gross profit or net profit more important to consider when you're deciding how successful and profitable a company is? Why? E

ArbitrLikvidat [17]

Answer:

Net profit is more important to consider because it accounts for all the costs associated with making and selling the product and it includes the operating expenses that are excluded from gross profit. Gross profit is the profit made after deducting costs associated with making and selling its products, or the costs associated with providing its services.

6 0

3 years ago

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