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2 years ago

Sam placed a limit order to sell 500 shares of stock at $14 a share. Which of the following does Sam know for sure?

Business

1 answer:

Arte-miy333 [17]2 years ago

4 0

Answer:

His order may never execute and,

He could receive more , but not less, than $14 a share

Explanation:

A limit order places a pre specified price for buying or selling a security. Such a mechanism is used to limit or restrict the extent of losses the investor may suffer.

For example, an investor is desirous of purchasing the stock of XYZ Co whose current market price is $100. The investor places a limit that his buy order shall only be executed once the stock price touches $90 or lower than that.

In this case, the moment market price touches $90, the order shall be executed and the purchase shall be complete. The flip side being, the order may never be executed if the price never reaches the limit prescribed.

In the given case, Sam placed a sell limit order wherein 500 shares of stock would be sold once the price reaches $14 or higher. So in this case, if the price does reach $14, he would at least receive $14 or higher, but not lower than $14 since below this price, the order will not be executed.

Also, there is no guarantee that the order will be executed since it depends upon the share price reaching $14, which may or may not happen.

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6.9% or 14.5%

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2 years ago

The accounting principle that ensures all expenses are recorded during the period when they are incurred and offsets those expen

Naya [18.7K]

Answer:

The correct answer is Congruence.

Explanation:

Any company that makes its financial statements available to the public will conform to GAAP standards. The congruence principle is one of the fundamental lines established by the Financial Accounting Standards Board (FASB) This process is different from the cash accounting principles that the total amount of income or expenses is recorded regardless of when They have an impact on the cash flow of the company. The GAAP congruence principle helps to provide a clear and accurate picture of cash on hand, the revenue generated and expenses incurred at a specific point in time (see Resources below).

In order to minimize errors and provide accurate account information during the accounting period, companies can recognize expenses and revenues that occur within a time-giving period. The GAAP congruence principle recognizes expenses when they are incurred, and when it distinguishes between deferred income and accrued expenses in order to determine its real value of the company at a given time.

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3 years ago

Drew Co. uses the average cost inventory method for internal reporting purposes and LIFO for financial statement and income tax

Xelga [282]

Answer:

Dr Cost of Goods Sold 20,000

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Explanation:

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3 years ago

A person wishes to convey any and all interests in a property to another without making any assurances as to encumbrances, liens

morpeh [17]

Answer:

c) A Special Warranty Deed

Explanation:

First, the multiple options for the question

a)A quitclaim deed

b) A sheriff's deed

c) A special warranty deed

d) A partition deed

Warranty deeds are documents used mostly in the sales of real estate properties either commercial or residential. It is most useful when the transfer or sale of property is done between parties that are not familiar with one another. The two types of warranty deeds are General Warranty Deed and the Special Warranty Deed. The coverage guaranteed is the difference between the two types of warranty deeds.

In using a special warranty deed, the seller who is also the grantor of the warrant, only guarantees against issues, damages and defects that occur during the grantor's physical ownership of the property. This type of warrant does not make assurances or guarantees for defects in title on the proprty and defects that occured before ownership of the property. It is also called grant deed or covenant deed.

General Warranty on the other hand covers all issues, damages and defects on the sold property.

Since, the person only wishes to convey all interests without warrants on liens, encumrances and any other title defect, the deed is the Special Warranty Deed

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2 years ago

If inputs increase by 30% and outputs increase by 15%, what is the percentage change in productivity? A. 88.46% increase B. 88.4

Igoryamba

Answer:

C. 11.54% decrease

Explanation:

Productivity is a parameter that measures number of outputs per unit of input. Assume that rhe original productivity was 100%, the new productivity after the changes in input and output is:

$P_{new} = \frac{100\%+15\%}{100\%+30\%}=88.46\%$

The change in productivity is:

$\Delta P=P_{new} - P_{old} = 88.46\%-100\%\\ \Delta P =-11.54\%$

There is an 11.54% decrease.

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2 years ago