What is the simplified base for the function f(x) = 2(3/272x)?

The concept of market efficiency underpins almost all financial theory and decision models. When financial markets are efficient

OverLord2011 [107]

Answer:

Equal to

Explanation:

Financial theory assumes that financial markets are efficient and that there is no information failure in conducting financial transactions. However, this is an assumption and there could, in some instances, be asymmetric information in the form of adverse selection and moral hazards. For example, if managers of a corporation know how well or how poorly their business is doing than stockholders (as organizational performance determines the price of a security), then there would be an information failure or informational inefficency. Also, a potential investor who cannot distinguish between a firm whose security has a high potential for profit and low risks compared to that with a low potential for profit and high risk will be willing to pay a price that lies between the value of stock from bad firms and the value of stock from good firms. This will not augur well for good firms as their stock is underpriced and they will be reluctant to sell.

When the financial market is efficient, investors of stock would be able to earn supernormal returns on their investments. It is therefore neccessary that the price of a corporation's common stock should be equal to the present value estimate of the firm's expected cash flows discounted by it appropriate rate of return.

6 0

3 years ago

Reedy Company reports the following information for 2012:

asambeis [7]

Answer:

Ending WIP= $13,500

Explanation:

<u>First, we need to calculate the factory overhead:</u>

Factory overhead= 25,000*0.75= $18,750

<u>Now, the ending WIP inventory:</u>

cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP

68,250 = 11,000 + 27,000 + 25,000 + 18,750 - Ending WIP

Ending WIP= $13,500

4 0

3 years ago

Ice Cream Corporation uses the weighted-average method in its process costing system. Data concerning the first processing depar

olya-2409 [2.1K]

Answer:

Ice Cream Corporation

The cost per equivalent unit for materials for the month in the first processing department is closest to:

= $14.30.

Explanation:

a) Data and Calculations:

Units Materials Conversion

Beginning work in process 2,400 $ 14,500 $ 6,600

Percentage of completion

Beginning work in process 75% 20%

Started into production 11,100

Units in production 13,500

Completed and transferred 10,000

Ending work in process 3,500 90% 30%

Costs added during the month $173,600 $243,600

Total costs of production

Beginning work in process $ 14,500 $ 6,600

Costs added during the month 173,600 243,600

Total costs of production $188,100 $250,200

Equivalent units of production:

Completed and transferred 10,000 10,000 (100%) 10,000 (100%)

Ending work in process 3,500 3,150 (90%) 1,050 (30%)

Equivalent units of production 13,150 11,050

Cost per equivalent unit:

Total costs of production $188,100 $250,200

Equivalent units of production 13,150 11,050

Cost per equivalent unit $14.30 $22.64

5 0

3 years ago

You have been placed in charge of a large project. Shortened communication lines are required to ensure quick resolution of prob

Sphinxa [80]

Answer:

Pure project

Explanation:

A pure project management structure is one in which a team works full time on a project and the project manager of such project has full control of the project with very little control/interference from the top management levels.

This lesser interference from top management levels the more control and flexibility of the project managers towards accomplishing the project.

Cheers.

6 0

3 years ago

Park Sung Inc. is a fictional South Korean manufacturer of refrigerators. The company produces at its manufacturing plant in Bus

Murrr4er [49]

Answer:

The answer for each requirement is given separately below.

Explanation:

What is the economic production quantity (EPQ)?

EPQ = ((Annual Requirement * setup cost *2)/Carrying cost per unit)^(1/2)

= ((30,000 * 50 *2)/3^(1/2)

= 1000 Units

a. What is the average inventory level for this optimum production quantity?

Average Inventory level = EPQ/2 = 500 units

b. How many production setups would there be in a year?

Production setups = Annual Usage /EPQ = 30 set ups

C. What is the optimal length of production run in days

length of production = Total Requirement/production per day

= 30,000/275

=110 days approx

d. What would be the savings in annual inventory Cost if setup costs can be reduced to US$40 per setup?

If set up cost reduce to $40 than EPQ = 895

So Set up cost = 30,000/ 895 * 40 = 1,360

Carrying cost = 883/2 *3 = 1,325

Total Cost = $ 2,685 -A

If set up cost $50 than EPQ = 1000

So Set up cost = 30,000/ 1000 * 50 = 1,500

Carrying cost = 1000/2 *3 = 1,500

Total Cost = $ 3,000- B

Saving = B-A = 315 Dollars

4 0

3 years ago