In the united states about ________ of all jobs are in consumer services.

While the evidence suggests that over long periods of time that stocks will outperform bonds, individuals with a long-term inves

Scrat [10]

Answer:

Stocks and Bonds

Yes. It is a rational behavior for individuals with a long-term investment horizon to choose to invest in bonds rather than investing in stocks despite the overwhelming "evidence that suggests that over long periods of time stocks still outperform bonds."

Rational behavior involves making rational choices that provide optimal levels of benefit or utility for the individual. People who make rational choices would rather choose bonds with lower risks and returns than stocks with higher risks and returns.

Explanation:

Every rational investor would prefer to reduce her risk exposure instead of increasing it. Every investor is also aware that investments with higher risks attract higher returns. However, determining the certainty of the returns is difficult.

4 0

3 years ago

Many firms in the United States file for bankruptcy every year, yet they still continue operating. Why would they do this instea

vladimir1956 [14]

Answer:

see below

Explanation:

A firm may either opt to shutdown or declare bankruptcy if its making losses. A shutdown will involve ceasing operations and disposing of assets to pay creditors. Declaring bankruptcy shields the business from debt obligations or seizing of assets by its creditors.

Many businesses opt to declare bankruptcy because shutting down is costly. Except for properties, other assets are likely to be liquidated at costs below their book value. With the burden of debts shelved for some time, a business has a chance of bouncing back to profitability. A loss-making firm whose price is above the average variable cost should continue operating.

3 0

3 years ago

At September 1, 2012, Baxter Inc. reported Retained Earnings of $272,000. During the month, Baxter generated revenues of $40,000

LiRa [457]

Answer:

$284,000

Explanation:

Movements in the retained earnings account are as a result of the payment of dividend and the addition of the income or loss for the year.

Given that

Baxter generated revenues = $40,000

incurred expenses = $24,000

purchased equipment = $10,000 and

paid dividends = $4,000

Net income/(loss) = $40,000 - $24,000

= $16,000

Retained Earnings at September 30, 2012

= $272,000 + $16,000 - $4,000

= $284,000

6 0

3 years ago

What makes up the organization’s mission, policies, procedures, and also forms a hierarchy that dictates the purpose of the orga

Delicious77 [7]

<span>The mission is the purpose, the objectives and goals of the organization. The policies are based on the mission and provide a statement of purpose. Procedures are step by step directions on how a policy is to be carried out. </span>The organization’s mission, policies, procedures, and also forms a hierarchy that dictates the purpose of the organization are defined in the framework of the organization.

6 0

3 years ago

Cotrone Beverages makes energy drinks in three flavors: Original, Strawberry, and Orange. Company is currently operating at 75 p

irina [24]

Relevant Information:

The relevant information is as under:

Segmented income statements appear as follows:

Product Original Strawberry Orange

Sales 65,200 85,600 102,400

Variable costs (44,000) (77,200) (80,200)

Contribution margin 21,200 8,400 22,200

Fixed costs allocated (9,400) (12,000) (14,200)

Operating profit (loss) 11,800 (3,600) 8,000

Answer:

The product not be closed because it is generating net cash flows of ($3,060), which will generate loss for the organization. The better option would be to not abandoning the manufacturing of Strawberry.

Explanation:

Relevant costing says that any savings or losses are relevant if it satisfy following three conditions:

Is a cash flow.
Future related (Not arising due to Past bindings).
Differential or Incremental in nature.

Its crystal clear that any inflows and outflows that are considered would be cash in nature, not related to past events it must be arising as a consequence of taking the decision whose consequences are we considering now, I mean it must arise in future due to the decision made which are considering. The last condition is the concept of differential that lies in the heart of relevant costing and is easily understood by following the following steps:

Step 1: What are the losses or savings if we don't make decision?

Step 2: What are the losses or savings if we make the decision?

Step 3: The difference between step one and two is differential or incremental cost.

Here we learned that relevant cost arises if we take the decision (closing manufacturing of Strawberry), and it doesn't arises if we don't take the decision (not abandoning manufacturing of Strawberry).

Relevant costs associated with the decision are as under:

Step 1 Step 2 Step 3

Make Decision If we Don't Differential

Revenue loss (85,600) - (85,600)

Variable Costs Savings 77,200 - 77,200

Fixed costs Savings (W1) 5340 - 5340

Operating Profit (3,060)

Working1: Fixed costs Savings

Total Fixed costs =21400+12000+14200 = $35,600

The saving is 15% of the total fixed cost and is as under:

Fixed costs Savings = $35,600 * 15% = $5340

Note:

Kindly also practice the following question:

brainly.com/question/14423321

8 0

3 years ago