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3 years ago

What is the first step in the management decision making process

Business

1 answer:

Cloud [144]3 years ago

6 0

Decisions aren't always easy to make it! But The first step in your management decision is:

Identify the decision: The first step of making a decision is Identify the decision because you should define the nature of the decision/you must have clearly in your mind what's it, for after that, follow to the next steps of your management process.

After that, you can follow through to the next steps of a management decision:

Gather relevant information / Identify the alternatives / Weight the evidence / Choose among alternatives / Take actions / Review your decisions and its consequences.

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g A decrease in aggregate demand will cause prices to fall according to classical economists, and unemployment to increase accor

Mashcka [7]

Answer:

prices to fall according to the classical economists and unemployment to increase according to Keynes.

Explanation:

The classical economists believes that a decrease in aggregate demand for goods produced would being about fall in the prices of such goods. What this implies is that as more goods are produced, if such production is not backed by corresponding demand by consumers, the prices of such goods produced will eventually fall because supply is greater than demand.

For the Keynes, their argument is that a decrease in aggregate demand will cause unemployment to increase. This is because owners of businesses or employers would lay off their employees when goods produced exceeds the demand for such production by consumers. Here, owners of businesses pays their employees through sales of goods produced. So, when the goods produced are not purchased, then there will be excess availability of such goods; hence no sale or profit, from which salaries would be paid. The next step is to start laying off employees because employers cannot cover their running costs.

7 0

2 years ago

In practice, a common way to value a share of stock when a company pays dividends is to value the dividends over the next five y

svlad2 [7]

Answer:

Stock Price in 5 years: $97.94. Stock Price Today: $55.575

Explanation:

A pay-out ratio is computed by dividing dividends per share over earnings per share. Meanwhile, PE or Price-Earnings Ratio is computed by dividing the market value of stocks over earnings per share. Thus, using the pay-out ratio formula, the earnings per share is 2.925 ($1.17/40%) and using the PE ratio formula, the market price of stocks today is $55.575 (19 x 2.925). After 5 years, multiplying 1.17 and 12% rate raised to the 5th power, the dividend will amount to $5.1548. Using pay-out ratio, earnings per share is 5.1548 ($2.0619/40%) and the market price of stock after 5 years is $97.94 ($5.1548 x 19).

3 0

3 years ago

Crispy Fried Chicken bought equipment on January 2, 2016, for $ 18 comma 000. The equipment was expected to remain in service

qaws [65]

Answer:

Please check the attached image for the depreciation schedule

2. Units of production method

Explanation:

Book value in year 1 = Cost of asset - Depreciation expense of year 1

Book value in year in subsequent years = previous book value - that year's depreciation expense

Accumulated depreciation is sum of deprecation expense

Straight line depreciation expense = (Cost of asset - Salvage value) / useful life

($18,000 - $3,000) / 4 = $3,750

Depreciation expense each year of the useful life is $3,750

Depreciation expense using the double declining method = Depreciation factor x cost of the asset

Deprecation factor = 2 x (1/useful life) = 0.5

Depreciation expense in year 1 = 0.5 x $18,000 = $9,000

Book value = $18,000 - $9,000 = $9,000

Depreciation expense in year 2 = 0.5 × $9,000 = $4,500

Book value = $9,000 - $4,500 = $4,500

Depreciation expense in year 3 = 0.5 x $4,500 = $2250

Book value = $4,500 - $2250 = $2250

Depreciation expense in year 4 = 0.5 × $2250 = $1125

Depreciation expense using the unit of production method =( Total production in the year/ total productive capacity) × (cost of asset - Salvage value)

Depreciation expense in year 1 = ($18,000 - $3,000) x (300 / 3000) = $1,500

Depreciation expense in year 2 =18,000 - $3,000) x (900 / 3000) = $4,500

Depreciation expense in year 3 = (18,000 - $3,000) x (1200 / 3000) = $6,000

Depreciation expense in year 3 = (18,000 - $3,000) x (600 / 3000) = $3,000

The Units of production method tracks wear and tear accurately because deprecation depends on the production each year.

I hope my answer helps you

6 0

3 years ago

Once a trial balance has been prepared, the next step of the accounting cycle involves: a. Classifying the transactions into log

Mice21 [21]

Answer:

The correct answer is letter "B": Preparing financial statements such as the balance sheet, income statement, and statement of cash flows.

Explanation:

A trial balance is a worksheet listing the debit and credit balances of all the ledger accounts for an entity. Under accounting theory, the total of all the debits must equal the total of all the credits. Since the trial balance is a list of all the accounts it serves as an accuracy check before the company prepares the financial statements including the Balance sheet, Income and Cash Flows Statements.

3 0

2 years ago

2. A company made the following merchandise purchases and sales during the current month

Bezzdna [24]

Answer: You need to subtract the following then add what you have left.

Explanation: For example if you had $300 and you spent 200 you have $100 left

4 0

3 years ago