Managers often use a(n) utilitarian approach when making organizational decisions - using financial performance such as profit as the best definition of what constitutes an ethical choice for the company.
<u>Explanation:</u>
When decisions are taken by taking benefits and the costs that are associated with stakeholders into consideration is an utilitarian approach. The main thing that is considered in this approach for taking any decision is consideration of the outcome and net result of the action that is to be taken.
It aims in taking an action that has greater good for many number of people and less harm for lesser number of people. It considers both the people who gets benefits and those people who suffer from the decision. It mainly focus on choosing an alternate that is more ethical and produces a good balancing of benefits than harm.
Answer:
d. $7,032
Explanation:
The computation of the interest expense is shown below:
= Sale value of the bond × market interest rate ÷ 0.5
= $117,205 × 12% ÷ 0.5
= $117,205 × 6%
= $7,032
Simply we multiply the sale value of the bond with the market interest rate so that the accurate amount of the interest expense can come.
We divide it by 0.5 because as the number of months is 6 months and total months is 12. The six month is calculated from the January 1 to July 1
Answer:
Estimated manufacturing overhead rate= $15 per direct labor hour
Explanation:
Giving the following information:
Overhead is allocated to each job based on the number of direct labor hours spent on that job.
The estimated overhead= $61,500.
Estimated direct labor hours= 4,100
To calculate the estimated manufacturing overhead rate we need to use the following formula:
Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 61,500/4,100= $15 per direct tlabor hour
Answer:
D. Simon, who is baking a cake that will be sold in a bakery
Explanation:
Simon is the producer here because he is producing a product to sell on the market.
Answer:
19.50%
Explanation:
In this question, we apply the Capital Asset Pricing Model (CAPM) formula which is shown below
Expected rate of return = Risk-free rate of return + Beta × (Market rate of return - Risk-free rate of return)
For Stock R
= 3% + 2.5 × (13% - 3%)
= 3% + 2.5 × 10%
= 3% + 25%
= 28.00%
For Stock S
= 3% + 0.55 × (13% - 3%)
= 3% + 0.55 × 10%
= 3% + 5.5%
= 8.50%
The difference would be
= 28% - 8.5%
= 19.50%
