Answer:
Liabilities increase and assets decrease.
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Answer:
Pollution permits are a market-based scheme aimed at reducing pollution and trying to encourage firms to reduce the quantity of pollution they create.
Explanation:
Answer:
A. $2,500
B. $60
Explanation:
A. Calculation to determine How much in cash or securities must you put into your brokerage account if the broker's initial margin requirement is 50% of the value of the short position
Initial Margin = 100*$50*50%
Initial Margin = $2,500
Therefore The amount of securities that you must put into your brokerage account if the broker's initial margin requirement is 50% of the value of the short position is $2,500
b. Calculation to determine How high can the price of the stock go before you get a margin call if the maintenance margin is 30% of the value of the short position
First step is to calculate the Maintenance Margin per share
Maintenance Margin per share = $50*30%
Maintenance Margin per share =$15
Second step is to calculate the Rise in price required
Rise in price required = $50*50% - $15
Rise in price required= $10
Now let calculate How high can the price of the stock go
Price of stock=$50+$10
Price of stock= $60
Therefore How high can the price of the stock go before you get a margin call if the maintenance margin is 30% of the value of the short position is $60
Answer:
Customer lifetime value predicts how much profit is associated with a customer during the course of their lifetime relationship with a company.
Explanation:
It is important to manage customer relationships because customers provide a great deal of value to the company if they remain customers for many years.
Customer lifetime value is greater for companies who have loyal customers as compared to customers who are one time only. They add less value to the company as customers are also a source of promotion for the company.
Answer:
Estimated manufacturing overhead rate (Meeting with clients)= $170 per hour
Explanation:
Giving the following information:
Activity Cost Pool - Total Cost - Total Activity
Researching legal issues $ 22,130 and 750 research hours
Meeting with clients $ 1,270,410 and 7,473 meeting hours
Preparing documents $ 93,490 and 5,850 documents
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate (Meeting with clients)= 1,270,410/7,473= $170 per hour