Answer:
False since the intent of corporate advertising is usually done to ensure that the perception of the company's image is positive.
Explanation:
Corporate advertising is usually done to ensure that the perception of the company's image is positive. The products under the corporation is not a priority in this case, rather its is the company as a whole that needs to be viewed in good light.
This kind of advertising forms part of the public relations techniques used by the company or institution to improve its public image. There are so many companies with different brands under them that utilize this advertising technique to improve their standing in the public eye. It is a way of making the company itself to be a brand by advertising the company as a package.
These companies always want to prove that they care more about the public than they care for the products, in this way they create the perception that the company is primary and anything else is secondary.
Cooperate advertising is majorly used in companies whose business activities have a negative effect to the public. Cooperation that engage in mining activities or activities that affect the environment are likely to utilize this form of advertising.
Answer:
9.68%
Explanation:
Percent Return on Investment is calculated as Net Profit / Cost of Investment x 100
Net Profit= $46,620 (1,000 x $46.62 per share) + $950 (1,000 x $.95 per share) - $43,370 (1,000 x $43.37 per share) = $4,200
Cost of Investment= $43,370 (1,000 x $43.37 per share)
Percent Return on Investment= $4,200 / $43,370 x 100 = 9.68%
Answer:
Ranking projects from least risky to most risky:
1. Repair to old machinery.
2. Addition to normal product line.
3. Completely new market in United States.
4. Completely new market in South America.
Explanation:
As can be seen from the above scenario, the risk profile increases as the company's activities move away from the known, controllable, and internal arenas to the unknown, uncontrollable, and external arenas. This implies that increasing uncertainty induces more risk.
Answer: Please refer to Explanation.
Explanation:
Your question was incomplete so I attached the missing details.
The Carrying Amount of the Division has to be ascertained to move forward as it is needed in calculating the loss on Impairment. It is calculated by subtracting Goodwill from the Net Assets.
= 496 - 214
= $282 million
Calculating the Loss on impairment is done by the following formula,
= Market Price - Carrying Amount of the Division (net of Goodwill) - carrying value of Goodwill
= 335 - 282 - 214
= -$161 million.
Journal Entry
DR Loss on Impairment $161 million
CR Goodwill $161 million
(To record the loss on Impairment)
Answer:
An increase in the production leads to decline in the price. Producers are likely to supply more at the lower price or the existing price, considering the increase in production. If there is a 20 percent increase in the production, then it tends to increase the supply. An increase in supply will have a negative impact on price.
The effect of the increase in production on price is shown in the above figure. A twenty percent increase in the production causes an increase in the supply. Excessive supply causes a reduction in the price. Hence, when the supply increases from P1 to Q2, the price decreases to P2 from P1.
