Answer:
D) overemphasizing some issues and underemphasizing others
Explanation:
Apparently Ms. Bisset has a lot of good qualities as an employee and human being, but her supervisor, Mr. Reber is behaving as if all her actions were great, when they are not. Generally performance appraisals do not focus on only one activity or performance measurement, it is more like a weighted appraisal. But that doesn't mean you should focus only on the tasks that you want an forget about the rest.
It is very uncommon that someone will do great n every single aspect or category, e.g. good salespeople are very competitive and depending on how sales are distributed (by sector, region or not differentiated at all) may not be very social or hopeful with their coworkers. People who like accounting are boring, no one is perfect.
The problem here is that Mr. Reber likes Ms. Bisset a little too much, and he is considering only her good qualities as important, when a salesperson can have many defects, but he/she must be able to sell. It's like a pitcher that cannot pitch, they are useless for that position. Maybe she could work somewhere else in the company that better fits her abilities.
Answer:
P0 = $137.2988907 rounded off to $137.30
Explanation:
The two stage growth model of DDM will be used to calculate the price of the stock today. The DDM values a stock based on the present value of the expected future dividends from the stock. The formula for price today under this model is,
P0 = D0 * (1+g1) / (1+r) + D0 * (1+g1)^2 / (1+r)^2 + ... + D0 * (1+g1)^n / (1+r)^n + [(D0 * (1+g1)^n * (1+g2) / (r - g2)) / (1+r)^n]
Where,
- g1 is the initial growth rate
- g2 is the constant growth rate
- D0 is the dividend paid today or most recently
- r is the required rate of return
P0 = 2 * (1+0.15) / (1+0.07) + 2 * (1+0.15)^2 / (1+0.07)^2 +
2 * (1+0.15)^3 / (1+0.07)^3 +
[(2 * (1+0.15)^3 * (1+0.05) / (0.07 - 0.05)) / (1+0.07)^3]
P0 = $137.2988907 rounded off to $137.30
Answer:
In accounting, agency costs are the costs of hiring an agent in order for him/her to act on behalf of a principal. In finance, agency costs are much broader since they imply costs that may appear due to conflicts of interests between the agent and the principal. E.g. a manager who seeks to accomplish short term goals in order to collect a bonus but hurts the long term objectives and goals of the stockholders.
Agency costs of financial distress refers to the costs associated with conflicts of interest that may result in a company being insolvent, specially in the long run. This type of costs are not necessarily related to operating costs, instead they result from management decisions and strategies, e.g. higher cost of capital or debt, or even excessive spending.
Agency benefits of leverage result from stockholders benefiting from the agent's decision to keep equity low, and if needed, obtain financing from debt sources.
Answer:
Economic Growth
Full Employment:
Price Stability or Controlling Inflation:
The balance of payment:
Economic Security:
Explanation:
Answer:
H.T. Tan Company
Computation of the Ending Inventory, using lower of cost or net realizable value:
Item Quantity (FIFO cost) Net Realizable Value Valuation
A 50 $15 $12 $600 ($12 x 50)
B 80 30 40 $2,400 ($30 x 80)
C 10 48 52 $480 ($48 x 10)
D 70 25 30 $1,750 ($25 x 70)
E 350 10 5 $1,750 ($5 x 350)
Total 560 $6,980
Explanation:
Conservatism principle requires that in valuing inventory, an entity should choose a method that does not overstate the inventory value. The LCNRV method meets this requirement. The method takes the lower of the historical cost of the goods and the market price to determine the value of inventory.
