Answer:
An entity is an abstract category or grouping of things that share a common quality, and an instance, is a particular form or type of the entity.
In a barbershop, the main entities would be:
- Barbers
- Hair Cutting instruments
- Furniture
And some instances for each entity would be:
- Barber - Barber A, Barber B, Barber C, each representing a different person.
- Hair Cutting instruments - razors, blades, clips.
- Furniture - chairs, counter, mirrors, brooms, bulbs.
Answer:
Stock's current market value = $44.87
Explanation:
We can solve this stock valuation problem using DDM (Dividend Discount Model).
Lets find the dividends for the years:
D0 = $1.32
D1 = $1.32*1.3 = $1.716
D2 = $1.716*1.1 = $1.888
D3 = $1.888*1.05 = $1.982
The formula of stock valuation:
Lets calculate the terminal value after Year 3 afterwards:
<u>Note:</u> rate of return, k_e = 0.09 (given) and growth rate (g) is 5% or 0.05
Now,
The present value of the stocks is gotten using formula:
So, we have:
Stock's current market value = $44.87
Answer:
False
Explanation:
Management dilemma can be regarded as complicated issue that is been developed when more than a goal is set to be accomplished by manager at a time, and at that present time no right answer. It should be noted that management dilemma can aw well be regarded as either a problem or opportunity that needs a business decision.
Answer:
1. Dr Interest expense 54
Cr Accrued interest 54
( To record interest expense )
Explanation:
Interest expense = 7200 * 9% = $648 * 1 /12 = $54 for the m/o dec
Answer:
A
Explanation:
A perfect competition is characterized by many buyers and sellers of homogenous goods and services. Market prices are set by the forces of demand and supply. There are no barriers to entry or exit of firms into the industry.
In the long run, firms earn zero economic profit. If in the short run firms are earning economic profit, in the long run firms would enter into the industry. This would drive economic profit to zero.
Also, if in the short run, firms are earning economic loss, in the long run, firms would exit the industry until economic profit falls to zero.
A monopolistic competition is when there are many firms selling differentiated products in an industry. A monopoly has characteristics of both a monopoly and a perfect competition. the demand curve is downward sloping. it sets the price for its goods and services.
An example of monopolistic competition are restaurants
An Oligopoly is when there are few large firms operating in an industry. While, a monopoly is when there is only one firm operating in an industry.
Oligopolies are characterised by:
price setting firms
product differentiation
profit maximisation
high barriers to entry or exit of firms
downward sloping demand curve
