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3 years ago

How is owner’s equity affected when is paid for expenses?

Business

1 answer:

Kobotan [32]3 years ago

4 0

Answer:

Profit and loss are directly linked to the amount of money the company is spending to run its business -- its operating expenses. So changes in operating expenses naturally affect owner's equity.

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Use the information below to answer the following questions. Currency per U.S. $ Australia dollar 1.2377 6-months forward 1.2356

NikAS [45]

Answer:

Missing word "a. What must the six-month risk-free rate be in Japan"

a. Spot rate = 1 US $ = 1.2377 Aus.dollar

Forward rate = 1 US $ = 1.2356 Aus.dollar

1.2356 = (1 + i Ad)

1.2377 (1 + 0.05)

0.9983 * (1.05) = 1 + i.Ad

1.048215 = 1 + i.Ad

i.Ad = 1.048215 - 1

i.Ad = 0.048215

i.Ad = 4.82%

b. Spot rate = 1 US $ = 100.3300 Japan Yen

Forward rate = 1 US $ = 100.0500 Japan Yen

100.0500 = (1 + i Ad)

100.3300 (1 + 0.05)

0.9972 * (1.05) = 1 + i.Ad

1.04706 = 1 + i.Ad

i.Ad = 1.04706 - 1

i.Ad = 0.04706

i.Ad = 4.71%

4 0

2 years ago

Some one can answer pls?

olga_2 [115]

The prospect of greater market share and setting themselves apart from the competition is an incentive for firms to innovate and make better products. But no firm possesses a dominant market share in perfect competition. Profit margins are also fixed by demand and supply.

A perfectly competitive firm is a price taker, which means that it must accept the equilibrium price at which it sells goods. If a perfectly competitive firm attempts to charge even a tiny amount more than the market price, it will be unable to make any sales.
Perfect competition occurs when there are many sellers, there is easy entry and exiting of firms, products are identical from one seller to another, and sellers are price takers.
The market structure is the conditions in an industry, such as number of sellers, how easy or difficult it is for a new firm to enter, and the type of products that are sold.

Hope this helps:)

8 0

3 years ago

- What is the conventional wisdom when it comes to what good debt is vs. bad debt?

Ede4ka [16]

good debt is for buying assets : things that will be worth more in the future

bad debt is for buying liabilities : things that will be worth less in the future

6 0

2 years ago

Read 2 more answers

Suppose you've just inherited $10,000 from a relative. You're trying to decide whether to put the $10,000 in a non-interest-bear

Serggg [28]

Answer:

A. $800

B. $1,000

C. a. The quantity of money demanded decreases as the interest rate rises

Explanation:

A. Computation for the opportunity cost of holding the $10,000 as money if Interest Rate is 8%

Opportunity Cost for 8% interest rate=$8%*$10,000

Opportunity Cost for 8% interest rate= $800

Therefore the opportunity cost of holding the $10,000 as money if Interest Rate is 8% will be $800

B. Computation for the opportunity cost of holding the $10,000 as money if Interest Rate is 10%

Opportunity Cost for 10% interest rate =10%*$10,000

Opportunity Cost for 10% interest rate = $1,000

Therefore the opportunity cost of holding the $10,000 as money if Interest Rate is 10% will be $1,000

C. Based on the information given the previous analysis suggest about for money: THE QUANTITY OF MONEY DEMANDED DECREASES AS THE INTEREST RATE RISES.

6 0

3 years ago

You sell short 300 shares of Microsoft that are currently selling at $30 per share. You post the 50% margin required on the shor

Lostsunrise [7]

Answer:

20%

Explanation:

Data provided

Currently selling per share = $30

Cost of Microsoft after selling = $27

Margin percentage = 50%

The calculation of rate of return is shown below:-

Rate of return = (Currently selling per share - Cost of Microsoft after selling) ÷ Margin percentage × 100

= ($30 - $27) ÷ 50% × 30

= $3 ÷ 15

= 0.20

20%

Therefore for calculating the rate of return we simply applied the above formula.

4 0

3 years ago