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3 years ago

because conumers today are presented with so many choices it is generally best if your advertising is

Business

1 answer:

Elanso [62]3 years ago

4 0

Answer:

Explanation:

Serving them with a unique (service/product usage) experience they will not receive form the competition. Create and make a difference for them and tell them about that.

E.g. - the idea of exclusivity air a personalized approach.

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The following are the current? month's balances for ABC Financial? Services, Inc. before preparing the trial balance. Accounts P

ale4655 [162]

Answer:

B. $ 23 comma 000 $23,000

Explanation:

Following equation to calculate the common stock Value

Total Debit = Total Credit

40,500 = $17,500 + Common stock value

Common stock value = $40,500 - $17,500 = $23,000

<u>Accounts with Credit balances</u>

Accounts Payable $7,000

Revenue $6,000

Common Stock ?

Notes Payable $4,500

Total Debit balances $17,500

<u>Accounts with Debit balances</u>

Cash $3,000

Expenses $16,500

Furniture $10,000

Accounts Receivable <u>$11,000</u>

Total Debit balances 40,500

6 0

3 years ago

If the standard deviation of returns from an investment is zero, then: the risk associated with the investment is more than that

MariettaO [177]

Answer:

the expected return from the investment is higher than that of those investments whose standard deviation is greater than zero.

Explanation:

As for the coefficient of variation which clearly defines the difference in values from the mean value in the data set.

It clearly defines as standard deviation/mean.

Where standard deviation is 0 the coefficient will also be 0 which shall represent the risk associated with it.

The least the coefficient of variation the least the risk with maximum return.

Thus, the correct statement will be concluding that the expected return from this investment will be higher than the returns from the project in which standard deviation is more than 0.

3 0

3 years ago

If Wild Widgets, Inc., were an all-equity company, it would have a beta of 0.9. The company has a target debt-equity ratio of .4

Veronika [31]

Answer:

a. 6.5%

b. 13.06%

c. 10.91%

Explanation:

Cost of debt of a bond is yield to maturity. Yield to maturity is the rate of return that a investor actually receives or a borrows actually pays on a bond. It is long term return or payment which is expressed in annual term.

Formula for yield to maturity is as follow

Yield to maturity = [ C + ( F - P ) / n ] / [ (F + P ) / 2 ]

By placing values in the formula

Assuming the bond face value is $1,000

Yield to maturity = [ (1000x7.2) + ( 1,000 - $1,090 ) / 20 ] / [ ( 1,000 + $1,090 ) / 2 ]

Yield to maturity = [ $72 + ( 1,000 - $1,090 ) / 20 ] / $1,045

Yield to maturity = [ $72 - $4.5 ] / $1,045

Yield to maturity = $67.5 / $1,045

Yield to maturity = 6.5%

So, the cost of Debt is 6.5%

As 0.9 is the unlevered beta, We need Levered beta due to restructuring of capital.

Beta Levered = Beta Unlevered x ( 1 + ( 1 - tax rate ) x Debt / Equity)

Beta Levered = 0.9 x ( 1 + ( 1 - 0.35 ) x 0.4 )

Beta Levered = 1.134

Cost of equity can be calculated using CAPM

CAPM calculated the expected return on an equity investment based on the risk free rate, market premium and risk beta of the investment.

Formula for CAPM is as follow

Expected return = Risk free Rate + Beta ( Market premium)

As we know the Risk premium is the difference of market return and risk free rate.

Expected return = Risk free Rate + Beta ( Market Return - Risk free Rate )

Ra = Rf + β ( Rm - Rf )

Ra = 4.1% + 1.134 ( 12% - 4.1% )

Ra = 13.06%

Cost of Equity is 13.06%

WACC is the average cost of capital of the firm based on the weightage of the debt and weightage of the equity multiplied to their respective costs.

According to WACC formula

WACC = ( Cost of equity x Weightage of equity )+ ( Cost of debt ( 1- t) x Weightage of debt )

Placing the values in formula

If the debt to equity 0.4 the equity value should be 1 and total capital is 1.4 ( 1 + 0.4 )

WACC = ( 13.06% x 1 / 1.4 )+ ( 6.5% ( 1- 0.35) x 0.4 / 1.4 ) = 9.71% + 1.2% = 10.91%

WACC is 10.91%

4 0

3 years ago

A post-closing trial balance should be prepared

yanalaym [24]

Answer:

<h2>Post-Closing trial balance is usually prepared after the closing entries are posted to the ledger account.Hence,the correct answer is the third option or after closing entries are posted to the ledger accounts.</h2>

Explanation:

In Accounting,the main objective of preparing a post-closing trial balance is to ensure the completion and closure of all the temporary accounts and the equality between all the debit and credit entries have been consistently established once the closing entry has been done.Once the closing entries have been put into journal and finally posted in ledger,a detailed account or list of all the individual accounts along with their respective balances is prepared which is basically known as Post Closing Trial Balance Account.It includes all the unbalanced accounts from the original trial balance or the accounts which are not balanced based on debt and credit entries,at the end of the accounting or reporting year.Therefore,post-trial balance basically ensures that all the accounts entered in the original trial balance are zero balance or the debit and credit entries of all the individual accounts in trial balance are balanced or equal.

7 0

3 years ago

Spending, saving, and investing to have the kind of life you want and financial security can be achieved by

melomori [17]

Answer:

Personal financial planning

Explanation:

If you plan out how you will spend, save, and invest your money, you can get to many places in live.

5 0

3 years ago

Read 2 more answers