Who's copping the candy axe?

When government gives money to a college student this is an example of a consumer

Scilla [17]

Answer:

When government gives money to a college student this is an example of a consumer subsidy.

Explanation:

A government performs different roles in the economy of a company to ensure that income and resources are equally distributed to various people in the country. For example, the government utilizes economic policies to ensure that economically vulnerable groups in the society are given a chance towards economic growth by providing them with subsidies and low-cost loans, housing and healthcare to ensure that they have a chance at growing economically. Another way the government distributes income and resources is by providing tax cuts to the poor or those with low income while at the same time increasing taxes to the rich and wealthy. Examples of vulnerable groups in the society are; the poor, people with low income, the unemployed, people of old age, and the youth and children.

In our case,we will consider consumer subsidy. Consumer subsidy is the act of providing benefits to a certain group in the society. The benefits can be in the form of; tax cuts and cash payments to that particular group or individual. An example is the government giving money to a college student in the form of consumer subsidy. College fees is usually very high and cannot be afforded by most students, government subsidies assist these students to go to college.

8 0

4 years ago

Janice spends her weekends with her friends at shopping malls. She acknowledges that her weekend shopping outing is driven by bo

anzhelika [568]

Answer:

The answer is experiential shopping.

Explanation:

Experiential shopping describes when customers go to retail spaces not to necessarily make purchases but to enjoy experiences offered by the retail spaces. The experiences include live music, art, massages, cafes and lounges, virtual reality e.t.c.

Jane does not necessarily have the intention of making purchases but does experiential shopping on weekends because she finds it interesting and relaxing (which resultantly makes her escape boredom).

4 0

3 years ago

EB3.

Natalija [7]

Answer:

Please see the explanation

Explanation:

Sales budget for the 4 quarters of the first year is given as follows:

Quarter 1 sales=120,000*$20=$2,400,000

Since there is 7% increase in each subsequent quarter, therefore the sales for the subsequent quarters of year 1 shall be calculated as follows:

Quarter 2 sales=$2,400,000*1.07=$2,568,000

Quarter 3 sales=$2,568,000*1.07=$2,747,760

Quarter 4 sales=$2,747,760*1.07=$2,940,103.2

5 0

4 years ago

If a firm uses the same company cost of capital for evaluating all projects, which situation(s) will likely occur? I) The firm w

kicyunya [14]

Answer:

I) The firm will reject good low-risk projects

II) The firm will accept poor high-risk projects

Explanation:

<h2>Cost of Capital:</h2>

The required return on the existing firm assets. It is based on the risk of assets.
The risk of firm’s overall assets is equal to the weighted average risks of firm’s debt, preferred stock and common equity.
The cost of capital of a firm equals the weighted average of the cost of debt, the cost of preferred stock, and the cost of common equity

Each project has different risk profiles, using one cost of capital for project evaluation might provide misleading results and the investor or company may end up accepting high risk projects or may reject low risk good projects.

6 0

4 years ago

The December 31, 2018, balance sheet of Whelan, Inc., showed long-term debt of $1,420,000, $144,000 in the common stock account,

n200080 [17]

Answer:

606,000

Explanation:

Operating cash flow (OCF) is a measure of the amount of cash generated by a company's normal business operations. Operating cash flow indicates whether a company can generate sufficient positive cash flow to maintain and grow its operations, otherwise, it may require external financing for capital expansion

Operating Cashflow = Cashflow from assets + Net capital spending + Change in Net working capital

Operating Cashflow =(-265,000) + (1,000,000) + (-129,000)

Operating Cashflow = 606,000

Working

New borrowings = Long term borrowings (2019) - Long term borrowings (2018)

New borrowings = 1,620,000 - 1,420,000

New borrowings = 200,000

Cash flow to creditors = Interest expense - new borrowings

Cash flow to creditors = 96,000 - 200,000

Cash flow to creditors = 104,000

New equity = ((Common stock(2019) + additional paid in surplus(2019)) - (Common stock(2018) + additional paid in surplus(2018))

New equity = ($154,000 + $2,990,000) - ($144,000 + $2,690,000)

New equity = 3,144,000 - 2,834,000

New equity = 310,000

Cashflow to stockholders = Dividend (2019) - new equity

Cashflow to stockholders = 149,000 - 310,000

Cashflow to stockholder = -161,000

Cashflow from assets = Cashflow to creditors + cashflow to stockolders

Cashflow from assets = (-104,000) + ( - 161,000)

Cashflow from assets = -265,000

4 0

4 years ago