Answer:
a) $28 Million
b) -$24 Million
Explanation:
The first part of the question is to determine the pension liability tht should be reported in the balance sheet
To do this, we use the following formula
Projected Benefit Obligation - The Plan Assets
= $65 million - $37 Million = $28 Million
Part B) This part says to dettermine the amount JDS would report if the planned asset increase to $89 million
The formula Projected Benefit Obligation - The Plan Assets still should be used but there is a difference as follows
$65 million - $89 Million = -$24 Million
Answer:
A
Explanation:
In this question, we are asked at what value should the land be recorded in White Repair services records.
Technically, the value of land is to be recorded as purchase price plus improvements.
Generally, what we mean by improvements include such fees such as attorney fees. Looking at the question, we cannot find any of the entries that speaks about payment yo an attorney or any general land issue. This means that we only record the value of the land as purchase price only.
Looking at the question, the purchase price is the accepted seller’s counter offer. This value is $115,000. Hence, it is the value at which the land would be recorded in White repair service records
Answer:
The Equitable Life Assurance Society (Equitable Life), founded in 1762, is a life insurance ... Lord Penrose's 2004 Equitable Life Inquiry found that the company had made ... Both types of bonus were allocated at the discretion of the directors in ... between a fixed Guaranteed Annuity Rate (GAR) or the Current Annuity Rate ...
Explanation:
Answer:
A) change in the cost of eating index = <u>20% increase</u>
B) Suppose that consumers are completely indifferent between two chickens and one ham. For this example, how large is the substitution bias in the official "cost-of-eating" index?
The <u>INCREASE</u> in the cost-of-eating index is <u>18</u> %.
The <u>OVERESTIMATE</u> of inflation in the cost of eating reflects substitution bias.
Explanation:
2015
product units unit cost total
chickens 30 $4 $120
hams 10 $5 $50
<u>steaks 10 $8 $80</u>
total $250
2016
product units unit cost total
chickens 30 $5 $150
hams 10 $7 $70
<u>steaks 10 $8 $80</u>
total $300
A) ($300 - $250) / $250 = 20%
B)
if consumers are indifferent for 2 chickens per 1 ham, then the new basket should be assuming consumers will purchase the cheapest option:
2016
product units unit cost total
hams 25 $7 $175
<u>steaks 10 $8 $80</u>
total $255
the increase in inflation would have been = ($255 - $250) / $250 = 2%
the substitution bias = reported inflation - real inflation = 20% - 2% = 18%