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Dmitry [639]
4 years ago
6

According to the rule of 72, if the GDP of the Apex Federation is growing at 1.7% per year, its economy will double in approxima

tely how many years?
A. 41 years
B. 17 years
C. 42 years
D. 114 years
Business
1 answer:
ahrayia [7]3 years ago
7 0

Answer:

C. 42 years

Explanation:

Rule 72 is used in finance and economics to estimate the number of years it will take for a given capital value to be doubled, given a given annual interest rate. In the case of GDP, the interest rate is replaced by the growth rate of the economy.

The formula for this rule consists of dividing 72 by the growth rate of the economy. The result will be the number of years for the capital value to double.

72 / growth rate = years to double

If the GDP growth rate is 1.7%, we have:

72 / 1.7 = 42.3 years

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Piper is a manager in a corporation that was organized in Canada by one of his former coworkers. The company provides consulting
Yuri [45]

Answer:

A Public company.

Explanation:

A public company can be described as a commercial organization that has its share capital formed by shares, that is, the company sells its shares to the public, who become partners in the company.

The shares of a public company are traded on the stock exchange freely, without the need for any type of public bookkeeping.

The company's shareholders can be composed of any type of person who is interested in buying shares in the company.

Private companies generally become public because of the possibility of obtaining capital, which generates greater revenue for the company and greater possibility for growth and investment in business.

8 0
3 years ago
Answer the following questions about prepaid​ expenses:
pochemuha

Answer:

the numbers are missing, so I looked for a similar question:

a. On ​1, Tree Service prepaid $7,200 for six​ months' rent. Give the adjusting entry to record rent expense at Include the date of the entry and an explanation. Then post all amounts to the two accounts​ involved, and show their balances at adjusts the accounts only at ​31, the end of its fiscal year.

Dr Rent expense 1,200 (= $7,200 / 6)

    Cr Prepaid rent 1,200

Balances:

Prepaid rent 6,000

Rent expense 1,200

b. On ​1, Tree Service paid $1,050 for supplies. At ​31, has $400 of supplies on hand. Make the required journal entry at 31. Then post all amounts to the accounts and show their balances at 31. Assume no beginning balance in supplies.

Dr Supplies expense 650 (= $1,050 - $400)

    Cr Supplies 650

Balances:

Supplies 400

Supplies expense 650

c. On ​1, Tree Service prepaid for six​ months' rent. Give the adjusting entry to record rent expense at Include the date of the entry and an explanation. Then post all amounts to the two accounts​ involved, and show their balances at adjusts the accounts only at ​31, the end of its fiscal year. Prepare the adjusting journal entry to record the rent expense at 31.

SAME AS QUESTION A

6 0
4 years ago
The marginal cost column reflects:_______.
docker41 [41]

Answer:

iii. The law of diminishing marginal utility

6 0
1 year ago
1. Why do firms choose to make large increases in their dividends or start a stock repurchase program?2. Why do firms choose to
sergij07 [2.7K]

Answer with Explanation:

Requirement 1:

The companies whose products are in growth phase or the company is cash cow which has a well diversified products does not have to invest in adding a new product line because their earnings are already stable enough or that they don't have to invest much because sufficient profits are left after extracting for investments. Increase in dividends has two meanings that either the management is confident enough that they think that the company will be able to earn more in the future and they will achieve better position in future which is a good news in the stock exchange and for investors as well and investor invest more in the company's ordinary stock.

Company start Stock repurchase program which is to buyback its previously issued ordinary shares which is because the management thinks that the stock is undervalued and thus they repurchase their ordinary shares so that the stock will go up in near future and this will benefit the company and the existing shareholders as well. This also helps in increasing earnings per share, return on equity, etc because the equity is reduced by share repurchase program.

Stock repurchase program is also run by the organization because they don't find any attractive opportunities. This means that the company does not have any large investment opportunities which means growth in revenue and profit can not be expected in the future years. Thus when the company starts repurchasing of stock the investor starts selling their stocks.

Requirement 2:

If the company thinks that they can increase the worth of shareholders beyond their shareholder's expectation then they don't pay dividend and invest in projects to increase the sales growth, profits and market share significantly in the coming future.

Some long term shareholders think this is a great news whereas short term investors who are looking for dividends will sell the stock which means that the stock value may fall in near future but in long run the company stock value increase when the investment will start showing its results.

8 0
4 years ago
Which of the following is a true statement about the field of manufacturing?
ivann1987 [24]

Out of the above choices, C) manufacturing jobs are expected to decline because of advances in technology. Due to technology advancing in many fields, it is creating a decline for the job because technology, once developed and tested is much cheaper. A, B, and D are incorrect because you can work in the manufacturing field without a college education, the jobs within the manufacturing field vary and can pay more or less than $50,000. There is also workers all over the world who work in manufacturing, not just the immigrant labor force.

6 0
4 years ago
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