Answer:
d) relative to others instead of against performance standards.
Explanation:
Contrast error is one that occurs during performance rating where a person is not rated objectively, but against previous people who performed good or badly.
The person's ratings is affected negatively or positively.
A person that performs well subconsciously sets a benchmark in the mind of the rater, and he now rates future participants based on this benchmark and not on performance standards that have been set.
Answer:
Date Account title and explanation Debit Credit
March 1 Equity investment $32,000
($612,000/17%)*8% - $256,000)
Unrealized holding gain $32,000
(To adjust the value of equity investment)
Note: On 1 march, value of the investment value is increased which is unrealized based on 31 December fair value
Answer:
The price you should be willing to pay for this stock= $24.86
Explanation:
To estimate the stock will be worth $50 per share 5 years from now and you require a 15% rate of return for stock investments of this type . Therefore 50= xX1.15^5 by solving this equation we have x= 24.86 . The price you should be willing to pay for this stock= $24.86
A business plan that provides information on a company, its products or services, its market, and critical risks to prospective business or marketing partners or to prospective key employees is called an invention plan.
Invention Plan informs prospective business or marketing partners or key employees about the company, product/service, market, and critical risks.
This business plan should briefly explain ones corporation, ones brand, the main aspects of ones market research, ones strategic plan, ones management, and ones financial plan.
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Answer:
Some of the troubles that could occur in the economy if inflation rate get as high as 8% or 10% per year are:
1) Foreign investors will avoid the country.
2) Money losses value very fast causing an increase in the prices of goods and services.
3) The economy becomes unstable making the the government leaders to loose credibility.
Explanation:
The type of inflation that gets as high as 8% or 10% is called Galloping inflation.
Some of the troubles that could occur in the economy if inflation rate get as high as 8% or 10% per year are:
1) Foreign investors will avoid the country.
2) Money losses value very fast causing an increase in the prices of goods and services.
3) The economy becomes unstable making the the government leaders to loose credibility.
