Answer:
The question is incomplete, I need more elements to answer.
Explanation:
Answer:
The correct answer is: conscious strategic decisions made by the company.
Explanation:
Finnish Company Nokia reported a $1,36 billion loss in sales by 2009 because of the decrease of 20% in sales worldwide during that year and 25% only in the United States the previous year. Even if the company is trying to recover nowadays, the emerging of new technology and competitors is still a struggle for the firm. Back in 2009, they were forced to give up part of their market share in order to restructure the company. This represents a well-thought strategy carried out by them if they wanted to still be in the business.
Answer:
a. mostly cigarette buyers.
Explanation:
The law of demand states an inverse relationship between quantity demanded of a good and it's price, keeping other factors affecting demand as constant.
Price elasticity of demand refers to the degree of responsiveness of quantity demanded to a change in price.
Alcohol and cigarettes are exceptions to the law of demand since in their case, the factor of addiction presides which outweighs rational decision making.
Thus, price elasticity of demand of cigarettes is inelastic. So a marginally higher price charged for cigarettes will not reduce their consumption.
A new tax on cigarettes would raise their prices. The manufacturers, to cover such taxes and maintain the same margin as before would further raise the prices of cigarettes further.
Thus, the tax burden would be shifted to the consumers and hence majorly borne by them.
Answer:
The firm’s cash flow to creditors during 2018 is -$85,000
Explanation:
The steps to compute the firm’s cash flow to creditors during 2018 is shown below:
Step 1: First the new debt is need to be calculated
Step 2: The step 1 amount is subtracted from interest expense amount. And Finally, the cash flow to creditors came
where,
Increase debt = 2018 long term debt - 2017 long term debt
= $2.21 million - $1.87 million
= 0.34 million = $3,40,000
Now,
Cash flow to creditors = Interest expense - Increase debt
= $255,000 - $3,40,000
= -$85,000
Thus, the firm’s cash flow to creditors during 2018 is -$85,000
Answer:
a. $1,290,000
b. $3.80
Explanation:
a. The computation of the net income is shown below:
= Net income - preference dividend
= $1,500,000 - $210,000
= $1,290,000
b. The earning per share is shown below:
= (Net income) ÷ (weighted-average shares of common stock)
= ($1,290,000) ÷ (340,000 shares)
= $3.80
Simply we apply the net income formula after considering the preference dividend and then earning per share is computed
