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2 years ago

How can professional assist school leavers to be successful business owners

1 answer:

5 0

STUDY FIRST AND WORKING HARDLY

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When iTunes sells a song or movie, it must record the transaction in accounts. Which accounts might iTunes use when it sells a s

Kay [80]

Since the actual process of the transaction is instantaneous, and its takes the money directly out of your account, the account they're dealing with is most likely Revenue.

Accounts Receivable is also another option that may come to mind, but remember that in this account, the seller is waiting for payment. Once the responsible party pays the seller, A/R is credited (decreased) and Revenue is debited (increased).

With iTunes (as stated previously), the transaction happens right then and there. We pay cash and iTunes gives us the song/movie/album/etc. Therefore, the only logical answer would be Revenue. In this case, Sales Revenue since we're dealing with a type of retailer and not a service.

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3 years ago

The following statement was made by the vice president of finance of The Electric Company: "The managers of a company should use

RideAnS [48]

Answer:

Check the following explanation.

Explanation:

The goals of managers and shareholders are not always aligned. Agency theory suggests this misalignment creates the need for costly monitoring through compensation contracts.

To align the goals of the two parties,compensation contracts should be designed to motivate the executive to make decisions that will not only increase his or her wealth, but will also increase shareholder wealth. Steps taken to increase shareholder wealth should be reflected in improved firm performance.Including both components in the contracts helps ensure the decisions of the executive are linked to various time horizons.

Shortterm components motivate the executive to make decisions that have an immediate affect on the firm. Long-term components are necessary to lengthen the decision horizon of the executive and enhance the likelihood of continued improvement in firm value. The long-term incentives in these contracts can be based on improved shareholder wealth as well as improved firm performance.

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3 years ago

Spandocorp is a diversified firm that makes industrial, military and consumer products from spandex. spandocorp manages each of

mars1129 [50]

The answer is economic value added measure of divisional performance.

Performance appraisals tend to impact bonuses or pay raise that an individual will receive, and thus the best way to measure this would it on a division-level by evaluating the economic value that the division manages to give to the company. This would minimize short-term bias because it would look at the division’s performance for the whole year.

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3 years ago

The risk premium for exposure to aluminum commodity prices is 4%, and the firm has a beta relative to aluminum commodity prices

Kitty [74]

Answer:

C.13.6 percent

Explanation:

GDP Market STOCK

ER 7,2% 2,4% 13,6% Expected Return of Investment Rf 4,00% Risk-Free Rate

Bi 1,2 0,6 1,0 Beta of the Investment

(Erm-Rf) 6,00% 4,00% 9,60% Market Risk Premium

It's necessary to calculate how much impact each item has with the corresponding Beta in the stock

Then, to know the impact of exposure to the Aluminum market, we have to multiply the risk premium of 4% by the beta of 0,6

Then, to know the impact of the exposure to GDP, we do the same procedure, we multiply the risk premium of GDP by the beta of 1,2.

With these calculations we reach how much of the return on this stock corresponds to the market and then we add 4% of risk free.

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2 years ago

Changes in tariffs and quotas are A) a means of slowing outsourcing. B) corporate strategies designed to maximize profits. C) bu

kicyunya [14]

Answer:

E) government actions that reduce competition from international firms.

Explanation:

Quotas place a limit on the amount of goods that can be imported.

A tariff is a tax levied on imported goods.

Tariffs and quotas are imposed by the government and they limit the amount of import flowing into a country. This reduces the amount of competition from international firms.

I hope my answer helps you

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3 years ago