Answer:
$25,650
Explanation:
The formula for calculating the future value of an annuity is:
F = P x ([1 + I]^N - 1 ) / I
where:
- P = payment amount = $1,000
- I = interest rate = 4%
- N = number of payments = 18
F = $1,000 x ([1 + 4%]^18 - 1 ) / 4% = $1,000 x (1.04^18 - 1 ) / 4% = $1,000 x (2.026 - 1 ) / 4% = $1,000 x 1.026 / 4% = $25,650
Answer:
The current bid/ask spread for Berkshire Hathaway Class A shares is $935
Explanation:
The computation of the current bid/ask price is shown below:
The Current bid/ask price = Ask price - Bid price
= $263,810 - $262,875
= $935
The commission amount should be ignored in the computation part. Hence, it will not be considered as it is not relevant.
Answer:
Sole Purpose Shoe Company
The reason for Sarah to want to use standard costs to compare with her actual costs is:
A) Management can evaluate the differences between standard costs and actual costs to focus on correcting the cost variances.
Explanation:
Standard costs provide a control technique for evaluating the Sole Purpose Shoe Company's performance at three levels: a standard performance level, a measure of actual performance, and a measure of the difference (variance) between standard and actual costs. Sarah will use the variance resulting from the comparison of standard costs with actual costs to measure the non-financial performance of the entity.
Answer:
C. The importance of secondary effects
Explanation:
Secondary economic impact is a study of economic activities due to recurring rounds of spending by companies, households, and the government.
Secondary effects are long term and comes after the primary effect (first round of spending).
It is also called induced economic effect.
