Answer:
Change in US external wealth between periods T and T +1 in dollars = -$100
Explanation:
Since nothing else changes, this implies that the exchange rate per yen is $0.01 in periods T and T +1. Therefore, we have:
Value shares of Sonic in period T in dollar = Number of shares of Sonic bought in period T * Price per share of Sonic in Yen in period T * Exchange rate per yen in periods T = 100 * 700 * $0.01 = $700
Value shares of Sonic in period T+1 in dollar = Number of shares of Sonic in period T+1 * Price per share of Sonic in Yen in period T+1 * Exchange rate per yen in period T+1 = 100 * 600 * $0.01 = $600
Change in US external wealth between periods T and T +1 in dollars = Value shares of Sonic in period T+1 in dollar - Value shares of Sonic in period T in dollar = $600 - $700 = -$100
Answer:
Option (a) $114,000
Explanation:
Data provided in the question:
Dividend declared = $240,000
Shares outstanding = 9,000
Interest = 7%
Now,
Value of share = $100 × 9,000
= $900,000
Dividend to Preference Stock Holders Arrears = 7% of Value of share
= 0.07 × $900,000
= $63,000
Dividend to Preference Stock Holders = $63,000
Therefore,
Dividend to Common Stock Holders
= $240,000 - $63,000 - $63,000
= $144,000
Option (a) $114,000
Answer:
"A"
Explanation:
Restrictive covenant is a form legally binding agreement , used in trading and employment contracts ,that confines buyer to certain conditions and keep them away from some others.This means that a legal suit can be initiated if violated. It can be further grouped into non-compete ,non-solicitation and non disclosure and confidentiality agreement.
Due to its legal and enforceable nature , it takes priority over less restrictive zoning ordinances.
Answer:
My recommended sourcing strategy is that Pacific Systems should single source their DVD drives and they should establish a good relationship with their suppliers. Having a single supplier and having a long term contract with that supplier will be advantageous for the company. Further it should implement a just in time inventory management practice.
A quantitative analysis is provided in the attached file
To reduce any risk associated with my sourcing decision I will have to trust my supplier and try and create synergies together by building a symbiotic relationship with the supplier. Cross functional risk planning will also be useful here.
2. Not all sourcing decisions require the same quantum of commitments in terms of time and efforts. This is because a variety of suppliers are available both locally as well as globally. As a company analysis will have to be done with regards to suppliers if they are financially competent to supply, on a consistent basis, high quality materials. The type of sourcing that does not justify the level of effort and analysis are fasteners for the computers and poly bags that are used to protect products from dust.
3. The issue of supplier capacity is important in this case. This is because the market is booming and demand is about to rapidly increase due to a revival of the economy. The company should look out for a supplier that has the ability, wherewithal and capacity to cater to spikes in demands besides being able to take on new projects. A supplier should be stable enough to absorb increase in demand and having such suppliers will ensure that the company does not lose out on potential customers.
4.
Advantages of single sourcing – It helps in optimizing the company’s supply chain. Further it helps the company by lowering its production costs and provides and creates a better and incremental value for the shareholders.
Disadvantages of single sourcing – It can be detrimental to the company in the long run as greater power is provided to the suppliers. Secondly failure of a supplier may cause a total shutdown for the company.
Advantages of multiple sourcing – As competition increases among the suppliers it drives down prices in the long run. Secondly failure of a single supplier will no longer disrupt the company’s operations.
Disadvantages of multiple sourcing – Managing different suppliers can become complex as each of the suppliers will have to be managed and monitored. Secondly as there are many suppliers they will not eb able to leverage the advantages of economies of scale.
Explanation:
Answer:
Explanation:
Amount of Bolton Company inventory = 38,972
Calculations are attached
1. Find net realizable value, which is selling price - cost of disposal;
2. Then subtract normal profit from net realizable value = [g];
3. Find designated market value by choosing the middle value of cost to replace, net realizable value and [g];
4. Choose lowest between designated market value and selling price;
5. Multiply by quantity.
