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3 years ago

14

It is very difficult for Julia to find inexpensive and available inputs for her business. Because of this, we would predict that

Julia's price elasticity of supply would be:

1 answer:

Vlad [161]3 years ago

5 0

Answer: Julia’s price elasticity if supply would be inelastic

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What does overapplied manufacturing overhead mean?

victus00 [196]

Answer:

A. The applied manufacturing overhead cost was greater than the actual manufacturing overhead cost.

Explanation:

Applied manufacturing overhead is calculated by using multiplying predetermined manufacturing overhead rate with Actual units of basis used to determined manufacturing overhead rate e.g Machine hours, labor hours etc. If manufacturing overhead applied is greater than the actual manufacturing overhead incurred during the period then overhead is overapplied.

3 0

3 years ago

Read 2 more answers

Rita Company buys merchandise on account from Linus Company for $590. Rita sells the goods to Ellis for $900 cash. Use a tabular

rosijanka [135]

Answer:

Record of transaction is given below

Explanation:

given data

Selling price of goods = $900

Cost of goods sold = $590

solution

we get here Record of transaction in Rita Company that is

Inventory accounts Dr $900

Account payable Cr $900

and

Record of transaction in Linus Company is

Account receive able Dr $900

Sales revenue Cr $900

and

Cost of goods sold Dr $590

Inventory Cr $590

4 0

3 years ago

As in any crisis, opportunities develop. Name three firms that have maximized their competitive advantage during this time. Name

Orlov [11]

Answer:

Firms that maximized their competitive advantage:

Pfizer

Amazon

Netflix

Firms who failed during Coviid crisis:

LasVegas Monorail

Bounce for fun - New York

Gold's Gym International

Explanation:

The world is going through very tough period. Its been more than a year that there have been complete lockdown in many countries. COVIiD - 19 virus has created great challenges for humans to survive. It has also impacted businesses and financial sectors. Some businesses were able to boost their sales and they exploit the pandemic while some companies were struggling to avoid bankruptcy and shutdowns. Pfizer has turned this pandemic into an opportunity to boost their business sales by introducing vaccine against this virus. While on the other hand some businesses were moved towards bankruptcy as there is closure for more than a year due to social distancing.

8 0

3 years ago

The growing demand for biofuels in the U.S. that has led to a growing supply of soybeans from Brazil is an example of all of the

Annette [7]

Answer:

Localized economics

Explanation:

Localized economics :

Localisation implies the grouping of a specific industry in a specific region, region or area. Localisation is identified with the regional division of work, that is, specialization by regions or areas.

A specific town or district will in general have practical experience in the creation of a specific item.

These are benefits for a firm got from the nearness of firms having a place with a similar industry in a region. Urbanization economies are those advantages acquired by a firm emerging from the size of a region and the decent variety of its economy.

5 0

3 years ago

Edwards Construction currently has debt outstanding with a market value of $101,000 and a cost of 10 percent. The company has EB

Mashcka [7]

Answer:

(a) (i) 0

(ii) 1

(b) $27,775; 0.784

(c) $166,650; 0.377

Explanation:

a-1)

Interest paid = market value of debt × cost

= $101,000 × 0.1

= $10,100

EBIT = $10,100

Cash flow to shareholders = EBIT - Interest paid

= $10,100 - $10,100

= 0

value of equity = 0

a-2)

Debt to value = total debt ÷ total value of firm

total debt value debt is $101,000

No default is likely to occur

Hence , total value of firm = total debt

= $101,000

Hence, the debt to value ratio is 1 .

(b) At growth rate 2%

EBIT next year will be:

= $10,100 × (1.02)

= $10,302

Since there is no risk, the required return for shareholders is the same as the required return on the company’s debt.

The payments made to the shareholders increase at 2% every year.

Present value of these payments :

Value of equity = [ $10,302 ÷ (0.1 - 0.02)] - [$10,100 ÷ 0.1]

= $128,775 - $101,000

= $27,775

Debt to value ratio = $101,000 ÷ ($101,000 + $27,775)

= 0.784

(c) At growth rate of 6%

EBIT next year will be:

= $10,100 × (1.06)

= $10,706

Present value of these payments :

Value of equity = [ $10,706 ÷ (0.1 - 0.06)] - [$10,100 ÷ 0.1]

= $267,650 - $101,000

= $166,650

Debt to value ratio = $101,000 ÷ ($101,000 + $166,650)

= 0.377

7 0

3 years ago