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son4ous [18]
3 years ago
6

"Profit-sharing plans provide a more direct incentive in small firms than in large firms. are practically impossible to use succ

essfully in small firms. are similar to individual incentive plans in their motivational effect. are an expensive fringe benefit for small firms, costing 40 percent of payroll.
Business
2 answers:
dusya [7]3 years ago
7 0

Answer:

Provides a more direct incentive in small firms than in large firms.

Explanation:

Profit sharing plan can be defined as a contribution plan in which the management of a company shares part of its profit with the employees. This could motivate and inspire the employees to work efficiently towards the growth of the organisation.

Profit sharing plan gives the employees a sense of ownership, this would inspire them to work harder to ensure the success of the organisation.

muminat3 years ago
5 0

Answer:

Statement "A" is correct.

Explanation:

Profit distribution delivers a a lot of direct motivation in little companies than bigger  firms because of the dimensions of firms and range of individuals operating in it.

As the range of individuals is small, there's high official communication and also these strategies are a lot of direct in environment.

Therefore statement A is correct which identifies that the share range delivers a lot of direct incentive in small size companies than in huge firms.

These strategies are utilized with success in smaller companies thus statement B is incorrect. These aren't the same as distinct strategies thus statement C is also incorrect. These strategies aren't peripheral edges cost accounting 40% of staff thus statement D is not correct.

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In preparing a budgeted balance sheet, the dollar amount of Accounts Receivable can be derived from: Multiple Choice The purchas
Fittoniya [83]

The sales budget and the schedule of cash receipts.

Option B.

<u>Explanation:</u>

Account receivable is the account which consists of the amount that is to be received by a firm for the goods and the services that have been delivered to the customers but the amount and the payment has not yet been received by the firm for the same.

The amount of money that is still to be received can be derived from the accounts having the sales that is done by the firm to the clients.

8 0
2 years ago
Huron Investments issues $1 million in 13.250% bonds maturing August 11, 2028. The bond is callable August 11, 2023 at a call pr
Whitepunk [10]

Answer:

Huron Investments issues $1 million in 13.250% bonds maturing August 11, 2028. The bond is callable August 11, 2023 at a call premium of 2.500%. August 11, 2023 the prevailing yield is 5.250%. If Huron Investments calls the entire issue and replaces it with 5.250% bonds also maturing August 11, 2028 then each semi-annual coupon payment will decrease by <u>$125,000</u>

Explanation:

Change in semi-annual coupon = (13% - 6.75%) x 4m / 2 = $125,000

6 0
3 years ago
If jack was in a 25% tax bracket and received a $1,000 tax deduction, by how much would his taxes be reduced?
Lubov Fominskaja [6]

<span>The answer is that the taxes would be reduced by the following procedure;</span>

(Tax deduction) * (Tax rate) = Your Answer

Applying this formula;

<span>$1000 x 25% </span>  = (?)

<span>$1000 x 25/100 = $<span>250  

</span></span> <span>So the answer is that his taxes would be reduced by “$250”.</span> <span><span> 

Hope that is helpful :)</span></span>
7 0
3 years ago
Avido Inc. is expected to pay a $2.00 dividend at year end (D1 = $2.00), the dividend is expected to grow at a constant rate of
Tatiana [17]

Answer:

6.57%

Explanation:

Given that,

D1 = $2.00

Dividend growth rate, g = 4.50%

Stock price, P0 = $47

Before-tax cost of debt = 6.50%

Tax rate = 40%

Target capital structure for Debt = 45%

Target capital structure for Common equity = 55%

Cost of equity:

= (D1 ÷ P0) + g

= ($2.00 ÷ $47) + 4.50%

= 4.25% + 4.50%

= 8.75%

After tax cost of dept:

= Before tax cost of dept × (1 - Tax rate)

= 6.50% × (1 - 0.40)

= 6.50% × 0.60

= 3.9%

Company’s WACC if all the equity used is from retained earnings:

= (Cost of equity × Percent of common equity) + (After tax cost of dept × Percent of debt)

= (8.75% × 55%) + (3.9% × 45%)

= 4.8125% + 1.755%

= 6.57%

4 0
3 years ago
Grandview Park was started on April 1 by R. S. Francis and associates. The following selected events and transactions occurred A
madreJ [45]

Answer:

Explanation:

The journal entries are shown below:

April 1

Cash A/c Dr $48,200

     To Common stock A/c $48,200

(Being cash is exchange for common stock)

April 4

Land A/c Dr $29,900

   To Cash A/c        $29,900

(Being land is purchased for cash)

April 8

Advertising expenses A/c Dr $1,880

        To Accounts payable A/c            $1,880

(Being advertising expenses incurred)

April 11

Salaries Expense A/c Dr $960

    To Cash A/c                          $960

(Being salaries expenses are paid)

April 12

No entry

April 13

Prepaid Insurance A/c Dr $1,940

    To Cash A/c                               $1,940

(Being prepaid insurance is paid)

April 17

Dividend A/c Dr $690

    To Cash A/c               $690

(Being dividend is paid in cash)

April 20

Cash A/c Dr $4,900

   To Admission revenue A/c $4,900

(Being cash is received for admission fees)

April 25

Cash A/c Dr (158 coupon books × 30 each) $4,740

       To Unearned Admission revenue                           $4,740

(Being coupon books are sold)

April 30

Cash A/c Dr $8,200

   To Admission revenue A/c $8,200

(Being cash is received for admission fees)

April 30

Accounts payable A/c Dr $570

    To Cash A/c                           $570

(Being balance owed is paid)

7 0
3 years ago
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