Answer:
Less for income
Less for food
less for discretionary spending
Explanation:
Luca has prepared the budget for the month. He has included actual expenses in the budget to compare the budget with actual expenses. He has used flexed budgeting technique to incorporate his savings and expenses. He should keep less income, less for food and less for discretionary expenses in the new budget.
Answer:
A knowledge sharing system could be establish between rival organizations like Mastercard and Visa in order to improve the services they provide for their clients, as well as to attract more people and earn more money.
Even though it might seem contradictory for rival organizations to work together on sharing knowledge, it's actually not. Mastercard might have something that Visa wants and vice versa so it makes sense for them to collaborate to get what they need.
Answer:
$21.65
Explanation:
The computation of the standard cost is shown below:
= Material cost + labor cost + factory overhead cost
where,
Material cost = 3 ÷ 4 × $5 per yard
= $3.75
Labor cost = 2 hours × $5.75 = $11.5
And, the factory overhead cost is
= $3.20 × 2 hours
= $6.4
So, the standard cost is
= $3.75 + $11.5 + $6.4
= $21.65
Answer:
When using dollar-value LIFO, the ending inventory at current year cost must first be converted to base year cost. The 12/31/Y2 inventory at base year cost is given as $60,000. Since the 12/31/Y1 inventory at base year cost was $45,000 ($40,000 base layer and $5,000 year 1 layer), a new layer of $15,000 was added in year 2 ($60,000 − $45,000). This layer must be restated using the year 2 price index. The year 2 price index is computed using the double-extension technique, as illustrated below.
Answer:
B. Reduce the Money Market Fund allocation by 30% (to 10%) and put the released funds in AAA-rated corporate bonds
Explanation:
First of all, since the investor is risk averse and cannot afford to lose money on any risky investment, she should change the mix of her investment portfolio but without increasing risks. Corporate bonds that are AAA-rated carry a very low risk and pay a little higher than money market funds. So a small decrease in money market fund assets and an increase in AAA-rated bonds should yield a slightly higher return.
Investing in equities would be too risky and US Treasuries pay even less interests than money market funds.
