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Vlad [161]
3 years ago
7

If Karla spent $200 on Wednesday to have the windows in her building washed, recorded the

Business
1 answer:
Agata [3.3K]3 years ago
6 0

Answer:

Accrual Principle

Explanation:

The accrual principle is when a transaction is recorded in the time period that it occurs. In this case, recording a Friday transaction on Friday.

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Howard Weiss, Inc,. is considering building a sensitive new radiation scanning device. His managers believe that there is a prob
SpyIntel [72]

Answer:

<u>Consider the following information</u>

Probability of ATR coming up with a competitive product is 0.35

If ATR does not come up with a competitive product and H adds an assembly line, the profit is $60,000

If it adds an assembly line and ATR adds the product, the profit is $20,000

If H adds a new assembly but ATR does not come up with a competitive product, the profit is $600,000

If ATR does not enter the market, the loss for H is $120,000

<u>A) Expected value for the add assembly line option: </u>

The company would get a profit of $60,000 if ATR does not come up with a competitive product. If ATR comes up with a competitive product and H adds an assembly line, the profit is $20,000.

Probability of not coming up with a product is 0.65 (1-0.35)

Calculate the value if it does not come up with a new product line and H adds an assembly line as follows:

Value if it does not come up with a new product = 0.65 x $60,000

= $39,000

Calculate the value if it comes up with a new product line and H adds an assembly line as follows:

Value if it does come up with a new product = 0.35 x $20, 000  = $7,000

Calculate the expected value as follows:  

Expected value = S39000 + $7000

Expected value =$46,000

<u>Expected value for build new plant option: </u>

If H adds a new assembly but ATR does not come up with a competitive product, the profit is $600,000

If ATR does not enter the market, the loss for H is $120,000

Calculate the value if H adds a new assembly but ATR does not come up with a competitive product as follows:

Value if it does not come up with a new product = 0.65 x $600000

= $390, 000

Calculate the value if ATR does not enter the market:

Value if it does not compete in market = 0.35 x -$120000  = -$42, 000

Calculate the expected value as follows:  

Expected value= $390,000 - $42,000

Expected value =$348,000

The expected value of building a plant is more than the expected value of adding product line. Therefore, the best alternative is to build the plant.

<u>B) Calculation of expected value of perfect information (EVPI): </u>

EVPI = 0.65 x $600,000 + 0.35 x $120,000

EVPI = $390,000 + $42,000

EVPI =$432,000

<u>Calculation of value of return: </u>

Value of return = Value of perfect information - Maximum EMV

Value of return =$432,000 - 348,000

Value of return =$84,000

4 0
4 years ago
Kyra has decided to do her speech on trends in vampire fiction. Her two main points are as follows: (1) Many vampire series have
eduard

Answer:

They are not distinct.

Explanation:

When making a statement that is made up different main points, it is important to seperate them into distinct entities that can be easily identify by the reader.

This eases understanding of the reader and makes the piece more appealing.

In this scenario two main points are as follows: (1) Many vampire series have introduced werewolves into the mix. (2) The Twilight series introduced Jacob, a werewolf, into the series.

This is actually a single point broken into 2. Many vampire series like Twilight series introduced werewolves into the mix.

7 0
3 years ago
A decrease in energy prices will: decrease short-run aggregate supply. increase short-run aggregate supply. decrease aggregate d
Alex73 [517]

Answer:

increase short-run aggregate supply.

Explanation:

Given that energy is an important part of the production process. It is often considered to be the next in line after labor, thereby having a significant effect on the economy's aggregate supply of real production.

Hence, a decrease in energy prices will decrease the production cost and in turn lead to an increase in short-run aggregate supply, thereby making the SRAS curve shift rightward.

This is because a decrease in energy prices will make it possible for companies to increase their supply of real production at a cheaper cost

7 0
3 years ago
When the economy is at equilibrium, a) inventories must equal zero. B) there are no leakages. C) leakages equal aggregate demand
jeyben [28]

Answer:D) leakages equal injections

Explanation:

6 0
2 years ago
Today, it is stressed even more that companies go beyond just making a profit and take into consideration the environment and ph
Westkost [7]
Corporate social responsibility
3 0
3 years ago
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