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Sophie [7]
3 years ago
8

2. Idler Co. has an investment in Cowl Corp. for which it uses the equity method. Cowl has suffered large losses for several yea

rs, and the balance in the investment account has been reduced to zero. How should Idler account for this investment
Business
1 answer:
Digiron [165]3 years ago
5 0

Answer:

Since the account's balance is $0, Idler should not continue to use the equity method to report their investment in Cowl Corp. E.g. Idler has 50% of Cowl, but 50% of $0 is still $0. Only if Cowl continues to operate and starts making a profit, should Idler again start including that investment in their balance sheet using the equity method.

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Prior to the launch of its financial service, Mint made extensive use of ______ which helped search engines view this business a
Dafna1 [17]

Answer:

Blogs

Explanation:

Blogs are information websites that provides relevant information for a target group in a diary style arranged according to date.

The most recent posts appear first in the website.

Mint has used blogs to provide relevant information to users.

Search engines analyse the contents of websites to determine of they are relevant sources of information.

Mint's blogs have help search engines identify the company as a relevant source of personal financial topics

8 0
3 years ago
When driving in the city, _____ may help you avoid traffic, but they may not be as safe or they may increase your travel time be
Darya [45]
The correct answer is side streets.
If you are in a hurry, it may be better to take a different route and drive through side streets in order to avoid the traffic which is usually present in the more 'popular streets.' However, side streets have a lot of traffic control lights, which may slow down your ride even more.
7 0
3 years ago
Read 2 more answers
During the meeting malcolm constantly reminds the rest of the team that he is in charge of this project, and it must be carried
sattari [20]
Malcom seems to be drawing from COERCIVE source of power. 
Coercive means to be using force or threat in order to make some one to do something. From the scenario given above, it can be seen that, Malcom is using threat in order to make others to be subjective to him concerning the project they are handling.<span />
8 0
4 years ago
Read 2 more answers
Which of the following explains why the aggregate demand curve slopes downward? a) The interest-rate effect, the real-balances e
klio [65]

Answer:

Option (a) is correct.

Explanation:

Real balance effect: This effect states the relationship between the price level and the purchasing power of the consumer. If there is a higher price level in an economy then this will reduce the purchasing power of the consumers and results in a fall in investment expenditure, net exports and consumption expenditure. That's why aggregate demand curve is slopes downward.

Interest-rate effect: This effect states the cost of borrowing funds with the price inflation in an economy. If there is a higher interest rate then most of the consumers cut down there borrowings activities which is one of the reason of downward sloping demand curve.

Foreign purchases effect: When there is a fall in the price level then as a result the price in the United states falls relative to the foreign prices. Hence, there is an increase in the U.S exports and decrease in the U.S imports.

6 0
3 years ago
Oriole Company will receive $43000 today (January 1, 2020), and also on each January 1st for the next five years (2021 – 2025).
raketka [301]

Answer:

PV of the six year annuity =  $201,923.57  

Explanation:

<em>This is an example of an advanced annuity. A series of constant amount receivable for certain number of years with first one occurring immediately.</em>

Present Value of the annuity for the next five years=

A×  1- (1+r)^(-n)/r

A- annual cash flow, n- number of period, r-interest rate per period

A- 43,000, r- 11%, n- 5

=43,000× (1- 1.11^(-5))/0.11

=158,923.57

The first cash flow of 43,000 occurs immediately , hence it is already discounted. Hence the PV of the total cash flows would be the sum of the PV of the next five year cash flows and the one received now.

Hence,

PV = 158,923.57  + 43,000= 201,923.57  

PV of the six year annuity =  $201,923.57  

7 0
4 years ago
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