All categories

2 years ago

What is the difference between limited liability and unlimited liability

Business

1 answer:

SOVA2 [1]2 years ago

5 0

Answer:

Limited liability means the business owners' liability for debts is restricted to the amount they put into the business. With unlimited liability, the business owner is personally responsible for any loss the business makes.

Explanation:

You might be interested in

Consider the market for loanable funds. Suppose that savers make deposits in savings accounts at banks. Initially, the interest

tiny-mole [99]

Answer:

A: The supply of loanable funds curve

B: left

C: Increase

Explanation:

If the tax rate on interest earned on savings deposits rises to 25% then the supply of loanable funds curve will shift to the left causing the equilibrium interest rate to slide upwards (or increase).

The supply curve for loanable funds slopes upwards from left to right. This means that when interest rates are high, lenders are more willing to lend more funds to investors and businesses. The intersection of the demand and supply curves for loanable funds creates the equilibrium interest rate.

Cheers!

8 0

2 years ago

Tried and True’s accountant suggests that monthly rent and hourly wage rate also be factored into the productivity calculations.

Zigmanuir [339]

Answer:

a. Blacksburg

b. Blacksburg

Explanation:

a. Productivity is measured by how much output is derived per input.

= Output/Input

= Sales Volume/Labor Hours

Annandele = 40,000/250

= $160 per hour

Blacksburg = 12,000/60

= $200 per hour

Charlottesville = 60,000/500

= $120

Danville = 25,000/250

= $100

Blacksburg is most productive at $200 per labor hour.

b. Multifactor productivity would incorporate the other costs such as labor rate and rent.

= Sales volume / ( Rent + Labor cost)

Annandale = 4,0000/ (2,800 + 250 * 10)

= $7.5

Blacksburg = 12,000 / (1,200 + 60 * 7.25)

= $7

Charlottesville = 60,000/ ( 2,000 + 500 * 8)

= $10

Danville = 25,000 / ( 800 + 200 * 7.50)

= $10.86

Blacksberg is least productive using Multifactor so should be closed down.

7 0

3 years ago

Toyota will bring hybrid electric automobiles to market next year priced at $27 comma 000 (this includes a $6 comma 750 feder

artcher [175]

Answer:

4.15%

Explanation:

In order to determine the annual saving we must divide the extra cost of the hybrid by the amount of years it takes to recoup our investment.

annual savings = $4,180 / 11 years = $380 per year

our initial investment = -$4,180

since we are going to use the car during 15 years, then we have 15 positive cash flows of $380

using a financial calculator or excel spreadsheet, the internal rate of return (IRR) on our investment = 4.15%

5 0

3 years ago

d)The owner of a cemetery plans to offer a perpetual care service for grave sites. The owner estimates that it will cost $150 pe

Nana76 [90]

Answer:

The one time fee that the owner should charge is $1764.71

Explanation:

To calculate the one time fee, we take this as a perpetuity and calculate the value or price of the perpetuity based on the fututre cash flows discounted to today's price by a certain dicount rate.

The discount rate is taken as 8.5% which is also the market interests rate.

The formula for the value/price of the perpetuity is,

Value / Price = Cash flow / Discount rate

Value / Price = 150 / 0.085

Value / Price = $1764.705 rounded off to $1764.71

4 0

3 years ago

Crane Company adopted the dollar-value LIFO method of inventory valuation on December 31, 2019. Its inventory at that date was $

guajiro [1.7K]

Answer:

See below

Explanation:

Crane corporation

Ending inventory

2019 $1,120,000

2020 $1,271,000/1.08 = $1,176,852

Ending inventory [$1,120,000+ (1,176,852 - $1,120,000)× 1.08]

= [$1,120,000 + $61,400]

= $1,181,400

2021 $1,417,000/1.26 = $1,124,603

2022 $1,623,000/1.31 = $1,238,931

Ending inventory [$1,124,603 + ($114,328 × 1.31)]

= $1,124,603 + $149,770

= $1,274,373

Therefore, the cost of the ending inventory at December 31, 2020 under dollar value LIFO would be $1,274,373

5 0

2 years ago