Another term that can be used for Defensive strategy is retrenchment strategy.
- Defensive strategy can be regarded as marketing tool which is been used by companies in retaining valuable customers that can be easily loose to their competitors.
- Competitors can be regarded as other firms that are present in the same market selling almost similar products
- This strategy is been utilized by companies in market leadership positions in defending market share from attacks by challengers;
- Some if the defence strategies are;
<em>counter-offensive defence</em>
<em>contraction defence</em>
<em> position defence</em>
<em>mobile defence</em>
<em>flanking defence</em>
<em> pre-emptive defence</em>
Therefore, defensive strategy can be explained as marketing tool that is been utilized by management in defending their business from potential competitors.
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Answer: Option B
Explanation: Capital budgeting refers to the process in which an analyst tries to evaluate whether a long term investment will be profitable for the organisation or not.
In the capital budgeting process, only the quantitative aspects of a project will be taken into consideration and qualitative aspects such as quality and work space safety are not considered.
Hence from the above we can conclude that the right option is B.
Answer:
$48,000
Explanation:
Given that,
Ending owner's equity = $70,000
Beginning owner's equity = $45,000
Owner's withdrawals = $23,000
There were no new capital contributions during the year.
Net income (loss):
= Ending owner's equity - Beginning owner's equity + Owner's withdrawals
= $ 70,000 - $ 45,000 + $ 23,000
= $48,000
Therefore, the net income for the year is $48,000.
Answer:
The amount the employer should record as payroll taxes expense for the employee for the month of January is $695.75
Explanation:
According to the given, The FICA tax rate for Social Security is 6.2% and the FICA tax rate for Medicare is 1.45%. The current FUTA tax rate is 0.6%, and the SUTA tax rate is 4.4%.
The remainder are taken out of the employees' checks as part of their responsibility.
Therefore, to calculate the amount the employer should record as payroll taxes expense for the employee for the month of January we would have to make the following calculation:
Total payroll expense=($5,500 x 0.062)
+ ($5,500 x 0.0145)
+($5,500 x 0.006)
+($5,500 x 0.044)
Total payroll expense=$695.75
The amount the employer should record as payroll taxes expense for the employee for the month of January is $695.75
Answer:
- True
- False
- True
- True
Explanation:
When an economy has a strong balance sheet and a declining budget deficit, it means that there is less need to borrow from the market which would keep rates lower.
When the economy is weakening, the Fed will try to stimulate it by engaging in actions that weaken short term interest rates so that people and businesses can borrow at lower cost and invest or buy goods and services.
When investors are worried about the riskiness of other financial assets, they usually come to safer assets like U.S. Treasury bonds so that they do not lose money and this is what happened in the credit crisis of 2008. More demand for the bonds led to a rise in their price.
