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Answer:
1. Vacation pay expense Dr. 3500
Vacation pay payable 3500
2. It is recorded at the company's balance sheet as the accrued liabililty at the liabilities portion.
3. The amount will be removed once the vacation pay is paid and is debited to income account.
Answer: A greater and fall
Explanation:
Economies of scale are said to exist when inputs are increased by some percentage and output increases by a(n) greater percentage, causing unit costs to fall. This is referred to as the cost advantages obtained by companies when production becomes well organized. One reason for economies of scale is specialization of labor and of machinery. This brings a great input to production because Labour must have mastered his/her field coupled with the help of machinery which will eventually result into a great turn out.
Answer:
The portfolio's alpha is - 0.15%
Explanation:
For computing the portfolio's alpha, first, we have to compute the expected rate of return. The formula is shown below:
Expected rate of return = Risk free rate of return + Beta × (realized rate of return - free rate of return)
= 7% + 1.15 × (12% - 7%)
= 7% + 1.15 × 5%
= 7% + 5.75%
= 12.75%
Now the portfolio alpha equal to
= Expected rate of return - portfolio realized rate of return
= 12.75% - 12.6%
= - 0.15%
Answer:
Take a look to the following explanation
Explanation:
Reserve ratio ,10%=0.1
Money multiplier=1/reserve ratio=1/0.1=10
If feds sells 1million$ bond the economy reserves increases by 1 million$ and money supply decrease by 10 million $(1*money multiplier).
If fed changes RR to 5% but banks choose to hold another ,5 percent as excess reserve ,then on aggregate actual reserve ratio will be 10%. So money multiplier would remain same,10 and so the money supply