Answer:
9.82
Explanation:
Given that,
Assets = $18 billion
Tax rate = 35%
Basic earning power (BEP) ratio = 12%
Return on assets (ROA) = 7%
BEP = EBIT ÷ Total Assets
12% = EBIT ÷ $18 billion
EBIT = 12% × $18 billion
= $2.16 billion
ROA = Net Income ÷ Total Assets
7% = Net Income ÷ $18 billion
Net Income = 7% × $18 billion
= $1.26 billion
Earning before tax:
= Net income ÷ (1 - tax)
= $1.26 ÷ (1 - 0.35)
= $1.26 ÷ 0.65
= $1.94 billion
Interest Expense:
= EBIT - EBT
= $2.16 billion - $1.94 billion
= $0.22 billion
Times interest earned ratio:
= EBIT ÷ Interest expense
= $2.16 billion ÷ $0.22 billion
= 9.82
Neoclassical economics focuses on providing more options while Behavioral economics focuses on helping people make better decisions with the options available.
A psychological approach to business, behavioral economics looks at how well people's expectations of utility and profit maximization match their actions and if they actually maximize predicted utility.
Contrarily, neoclassical economics views manufacturing costs as a key determinant of pricing a product. Thus, neoclassical economists contend that customers' primary determinant of choice is price.
Hence, the two have different beliefs about giving people options. While behavioral economics focuses on assisting people in making better decisions with the options at hand, neoclassical economics places greater emphasis on offering more options.
Want to know how would keynesian and neoclassical economics propose dealing with cyclical unemployment? Read here: brainly.com/question/28213854
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Answer:
a. $14,040 Favorable
b. $3,240 Unfavorable
Explanation:
a. Material Price Variance = (Standard price - Actual price) × Actual quantity
= ($0.30 - $0.25) × (27,000 × $10.40)
= $0.05 × $280,800
= $14,040 Favorable
b. Materials usage variance = (Standard quantity - Actual quantity) × Standard price
= (27,000 × $10 - 27,000 × $10.40) × $0.30
= ($270,000 - $280,800) × $0.30
= $10,800 × $0.30
= $3,240 Unfavorable
Answer:
Why can't the Fed push the rate any lower than zero?
Real interest rates can be lower than zero, or negative (because inflation rate is higher than interest rate), but nominal interest rates are generally only limited to zero. But during this same time, the European Central Bank actually started paying negative interest rates on money deposits and many European private banks followed. That means that they charged people for having their money on the bank.
Why do you think that the Fed was so seemingly reluctant to push the rate all the way to the floor?
The reason why the Fed was not willing to push the interest rates to zero or even below zero was that by doing so, the US dollar would have depreciated or lost value. In Europe this was done to encourage people to spend their money and not save as much, but in the US that is not really a problem. Generally in the US the problem is that people spend too much and save too little, but on some European countries and Japan, people tend to save too much. For example in Japan the national savings rate fluctuates between 22-40%, while the maximum savings rate in the US has been 10.4% in 1960, it currently is around 7.6%.
Answer:
Trademark law is being violated
Explanation:
The employee is violating the trademark law.
Even though the clothing designs are original, by incorporating the same graphic symbol as that of the company, what the employee is doing is regarded as trademark violation or infringement. Trademark infringement is the unauthorized use of a service mark or trademark of another company or organization.
