1) Loan Shark Company provides short term loans. They will loan you $4 today and expect $5 back in one week! What is the EAR for this loan?
2) You plan to retire with $500,000 savings. How much should you deposit annually into a retirement saving account that pays 10 percent annual interest if you plan to retire in 15 years?
3) You borrow $350,000 at 8 percent compounded monthly. How many years will it take to pay back the loan if the monthly payment is $2,960?

Answers

Answer 1

1)  The EAR for this loan is 1448.72%.

2) The annual deposit needed to reach $500,000 in 15 years is $12,644.41.

3) It will take 15 years to pay back the loan.

1) The loan has a one-week term. To calculate the Effective Annual Rate (EAR), we need to first calculate the periodic interest rate. Using simple interest, the interest for one week is $5 - $4 = $1.

Therefore, the periodic interest rate is $1/$4 = 0.25 or 25%. To calculate the EAR, we use the formula:[tex](1 + periodic rate)^n - 1,[/tex]

where n is the number of periods in a year. For weekly compounding, n = 52. Plugging in the numbers, we get: [tex](1 + 0.25)^52[/tex] - 1 = 1448.72%. Therefore, the EAR for this loan is 1448.72%.

2) We can use the present value of an annuity formula to calculate the annual deposit needed to reach a future value of $500,000.

The formula is: Payment = [tex]FV / (((1 + r)^n - 1) / r),[/tex]

where FV is the future value, r is the interest rate per period, and n is the number of periods.

Plugging in the numbers, we get: Payment = [tex]500,000 / (((1 + 0.10/1)^15*1) - 1) / 0.10) = $12,644.41.[/tex]

Therefore, the annual deposit needed to reach $500,000 in 15 years is $12,644.41.

3) We can use the formula for the present value of an annuity to solve for n.

The formula is: Payment = [tex]PV * (r / (1 - (1 + r)^-n)),[/tex]

where PV is the present value, r is the interest rate per period, and n is the number of periods.

Plugging in the numbers, we get [tex]2,960 = $350,000 * (0.08/12 / (1 - (1 + 0.08/12)^-n))[/tex]

. Solving for n, we get n = 180 months, or 15 years. Therefore, it will take 15 years to pay back the loan.

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Related Questions

TRUE OR FALSE a group of 13 primary dealers are used by the federal reserve to effect sales of government agency securities.

Answers

This statement "A group of 13 primary dealers are indeed used by the Federal Reserve to effect sales of government agency securities" is true.

These primary dealers are financial institutions that have a special relationship with the Federal Reserve. They are authorized to transact directly with the Federal Reserve Bank of New York, which is responsible for implementing monetary policy on behalf of the Federal Reserve System. Primary dealers are expected to participate actively in open market operations, which involve the buying and selling of government securities.

By doing so, they help the Federal Reserve achieve its monetary policy objectives, such as influencing interest rates and managing the money supply. In addition to government agency securities, primary dealers can also transact in U.S. Treasury securities and certain other types of financial instruments. Being a primary dealer is considered a privilege, as it provides access to valuable information and opportunities in the financial markets.

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communication in western cultures is typically indirect and vague. (True or False)

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The statement given "communication in western cultures is typically indirect and vague" is false becsue in Western cultures, communication is typically direct and explicit.

Western cultures, such as those in North America and Europe, value clear and straightforward communication. People in these cultures often express their thoughts and opinions directly, using explicit language and clear statements. They tend to prefer directness, clarity, and transparency in their communication. This direct communication style helps to avoid misunderstandings and promotes effective and efficient communication.

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Monty Corporation purchases a patent from Sandhill Company on January 1, 2017, for $55,000. The patent has a remaining legal life of 12 years. Monty feels the patent will be useful for 10 years. Prepare Monty?s journal entries to record the purchase of the patent and 2017 amortization.
Account Titles and Explanation Debit Credit
(To Record Purchase of Patients)
(To Record Purchase of Patients)

Answers

Account Titles and Explanation Debit Credit
Patent  $55,000
Cash    $55,000

(To Record 2017 Amortization)
Amortization Expense  $4,583.33
Patent    $4,583.33

Explanation:
To record the purchase of the patent, Monty Corporation will debit the Patent account for $55,000 and credit the Cash account for $55,000.

To record the 2017 amortization expense, Monty will debit the Amortization Expense account for $4,583.33 (which is calculated by dividing the purchase price by the useful life) and credit the Patent account for the same amount. This entry will be made at the end of the year as it represents the portion of the patent's value that was used up during the year.

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most ethical issues are not criminal acts but rather small dilemmas that present themselves with great regularity every day. a. true b. false

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True, as many ethical issues are not necessarily criminal acts but rather smaller ethical dilemmas that arise frequently in daily life.

It is important to note that some ethical issues may still be considered criminal acts depending on the severity of the situation. A more detailed answer would explain that ethical issues can range from conflicts of interest in the workplace to issues related to personal values and beliefs. These issues may not necessarily result in legal action, but can still have a significant impact on individuals and organizations. It is important to approach these ethical dilemmas with thoughtfulness and consideration in order to maintain integrity and respect for all parties involved.
Most ethical issues are indeed not criminal acts. They often involve small dilemmas that people face regularly in their daily lives, requiring them to make decisions based on their values and principles. These dilemmas may not necessarily involve breaking the law but can still pose ethical challenges.

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miguel is seeking a conventional mortgage loan to finance the purchase of a new home. during the underwriting process, what needs to be approved?

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During the underwriting process for a conventional mortgage loan, several factors need to be approved, including the borrower's creditworthiness, income verification, employment history, debt-to-income ratio, and the property's appraisal.

The underwriting process for a conventional mortgage loan involves a thorough evaluation of the borrower's financial situation and the property being financed. The following aspects typically need to be approved:

Creditworthiness: The borrower's credit history and credit score are assessed to determine their creditworthiness and ability to repay the loan.

Income Verification: The borrower's income is verified through documents such as pay stubs, tax returns, and employment verification to ensure they have a stable and sufficient income to support the mortgage payments.

Employment History: Lenders review the borrower's employment history to assess job stability and income consistency.

Debt-to-Income Ratio: The borrower's debt-to-income ratio, which compares their monthly debt payments to their gross monthly income, is evaluated to ensure they can manage the additional mortgage payment.

Property Appraisal: The property being financed is appraised to determine its value and ensure it meets the lender's criteria for collateral.

Based on the evaluation of these factors, the lender determines whether to approve the mortgage loan, the loan amount, and the terms and conditions of the loan. The underwriting process aims to mitigate risks for both the borrower and the lender by ensuring that the borrower meets the necessary requirements and the property's value supports the loan amount.

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The owner of a greenhouse and nursery is considering whether to spend $6,000 to acquire the licensing rights to grow a new variety of rosebush, which she could then sell for $6 each. The per-unit variable cost would be $3. How many rosebushes would she have to produce and sell in order to make a profit of $6,000?a, 1,600b. 1,000c. 4,000d. 2,400

Answers

To calculate the number of rosebushes the owner of the greenhouse and nursery needs to produce and sell in order to make a profit of $6,000, we can use the following formula:

Profit = (Selling Price - Variable Cost) * Quantity - Licensing Cost

Let's plug in the given values:

$6,000 = ($6 - $3) * Quantity - $6,000

Simplifying the equation:

$6,000 = $3 * Quantity - $6,000

$12,000 = $3 * Quantity

Dividing both sides of the equation by $3:

Quantity = $12,000 / $3

Quantity = 4,000

Therefore, the owner of the greenhouse and nursery would need to produce and sell 4,000 rosebushes in order to make a profit of $6,000.

The answer is option c) 4,000.

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pro forma statement of cash flow for a base year showing net operating income (noi) for west office plaza

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West Office Plaza's pro forma statement of cash flow for the base year shows the net operating income (NOI).

What is the net operating income (NOI) indicated in West Office Plaza's pro forma cash flow statement for the base year?

Net operating income (NOI) is a key financial metric that measures the profitability of a property or business. It represents the total revenue generated from operations minus the operating expenses, excluding any interest or taxes. In the context of West Office Plaza's pro forma statement of cash flow for the base year, the NOI indicates the amount of income generated by the property's operations after accounting for expenses directly related to its day-to-day functioning.

This figure is crucial for assessing the property's financial performance and evaluating its potential return on investment. It provides insights into the property's ability to generate sufficient income to cover operating expenses and potentially generate surplus cash flow. By analyzing the NOI, investors and stakeholders can make informed decisions regarding the property, such as determining its value, estimating its profitability, or assessing its operational efficiency.

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constant-value dollars means the same thing as today's dollars.true or false?

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True. Constant-value dollars refer to a measure of currency that has been adjusted for inflation over time, which makes it equivalent to the purchasing power of that currency in today's dollars. Therefore, constant-value dollars mean the same thing as today's dollars.

Constant-value dollars are a method of adjusting for inflation over time. Inflation causes the value of currency to decrease over time, which means that the same amount of money will be worth less in the future than it is today. To compare the value of currency over time, economists use constant-value dollars, which adjust for inflation and allow for a more accurate comparison of the purchasing power of money. Therefore, constant-value dollars mean the same thing as today's dollars because they have been adjusted for inflation and represent the same purchasing power.

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- Smythe Company is considering the following 5 capital budgeting projects. The cost of capital for all projects is 14%.
Project Initial Cost NPV IRR PI
A $1,000,000 ($650,000) 10% 0.96
B $400,000 $113,000 18% 1.33
C $10,000 $2,500 21% 1.52
D $2,500,000 $20 15% 1.01
E $8,350,000 $515,000 17% 1.44
If the projects are MUTUALLY EXCLUSIVE, which project(s) should Smythe accept? (Note: it is possible that more than one project should be accepted. You must check all that apply to receive credit - this is an all or nothing question. That is, if they should accept projects A and B and you check only A or only B or if you also check C, your answer will be marked wrong).
Project A
Project B
Project C
Project D
Project E
--
Smythe Company is considering the following 5 capital budgeting projects. The cost of capital for all projects is 14%.
Project Initial Cost NPV IRR PI
A $1,000,000 ($650,000) 10% 0.96
B $400,000 $113,000 18% 1.33
C $10,000 $2,500 21% 1.52
D $2,500,000 $20 15% 1.01
E $8,350,000 $515,000 17% 1.44
If the projects are INDEPENDENT, which project(s) should Smythe accept? (Note: it is possible that more than one project should be accepted. You must check all that apply to receive credit - this is an all or nothing question. That is, if they should accept projects A and B and you check only A or only B or if you also check C, your answer will be marked wrong).
Question 24 options:
Project A
Project B
Project C
Project D
Project E

Answers

If the projects are mutually exclusive, Smythe Company should accept projects B and C. Project B has a positive NPV of $113,000, an IRR of 18%, and a PI of 1.33. Project C also has a positive NPV of $2,500, an IRR of 21%, and a PI of 1.52.

Project A has a negative NPV and a low IRR and PI, while Project D has a very low NPV and a mediocre IRR and PI. Project E has a positive NPV and a good IRR and PI, but it is too expensive and exceeds Smythe Company's budget.
If the projects are independent, Smythe Company should accept all projects with a positive NPV. Projects B, C, and E all have positive NPVs, and thus should be accepted. Project A has a negative NPV, and Project D has a very low NPV, so they should be rejected.

However, since Project E is so expensive, Smythe Company may choose to only accept Projects B and C, which have lower initial costs but still generate positive cash flows.

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renee owns property with her sister, nambia, and each sister's share will be transferred to her heirs if she were to die. this is:

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Renee and her sister Nambia own property together, and if either sister were to die, their respective share would be transferred to their heirs. The ownership arrangement described in the question is known as a joint tenancy with rights of survivorship.  

In this type of ownership, multiple individuals, in this case, Renee and Nambia, share equal ownership of a property. The key feature of joint tenancy with rights of survivorship is that if one of the co-owners passes away, their share automatically transfers to the surviving co-owner(s). In the given scenario, if Renee were to die, her share of the property would be transferred to Nambia. Likewise, if Nambia were to die, her share would be transferred to Renee. The transfer occurs automatically by operation of law, without the need for probate or any specific action from the deceased co-owner's estate.

Importantly, the rights of survivorship bypass the typical inheritance process, meaning that the property does not pass through the deceased co-owner's will or estate. Instead, the property transfers directly to the surviving co-owner(s) outside of the probate process. Therefore, in this case, the joint tenancy with rights of survivorship arrangement ensures that if either Renee or Nambia were to die, their respective share of the property would be transferred to their heirs.

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The following data are available for the most recent year of operations for Slacker & Sons. The revenue portion of the sales activity variance is $225,000 F. Master budget based on actual sales of 170,000 units: Revenue $ 4,500,000 Materials 870,000 Labor 645,000 Variable manufacturing overhead and administrative costs 145,000 Fixed manufacturing overhead and administrative costs 500,000 Required: a. How many units were actually sold in the most recent period? (Do not round intermediate calculations.) b. Prepare a sales activity variance for the most recent year for Slacker & Sons. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

Answers

a. The number of units actually sold in the most recent period is 178,243.

b. The sales activity variance for the most recent year for Slacker & Sons is $250,000 F, indicating that the actual revenue exceeded the master budget revenue based on actual sales volume.

a. Revenue per unit = Revenue / Actual sales volume = $4,500,000 / 170,000 = $26.47 per unit

Since we know the revenue portion of the sales activity variance is $225,000 F (favorable), we can use the following formula to calculate the actual revenue:

Actual revenue = Master budget revenue + Sales activity variance revenue

Actual revenue = $4,500,000 + $225,000 = $4,725,000

To calculate the actual sales volume, we divide the actual revenue by the revenue per unit:

Actual sales volume = Actual revenue / Revenue per unit = $4,725,000 / $26.47 per unit = 178,243 units

Therefore, the number of units actually sold in the most recent period is 178,243.

b. To prepare a sales activity variance, we need to compare the actual revenue to the master budget revenue based on actual sales volume. The formula for sales activity variance is:

Sales activity variance = Actual revenue - Master budget revenue based on actual sales volume

Using the information provided, we can calculate the sales activity variance as follows:

Sales activity variance = Actual revenue - Master budget revenue based on actual sales volume

Sales activity variance = $4,725,000 - ($26.47 per unit x 178,243 units)

Sales activity variance = $4,725,000 - $4,475,000

Sales activity variance = $250,000 F (favorable)

Therefore, the sales activity variance for the most recent year for Slacker & Sons is $250,000 F, indicating that the actual revenue exceeded the master budget revenue based on actual sales volume.

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An inventory turn ratio of 25 means a company’s average quantity of goods in inventory sold within how many days?
a. 5.2
b. 25
c. 14.6
d. 13.3

Answers

A company with an inventory turn ratio of 25 can sell and replace its entire inventory approximately 25 times per year, and its average quantity of goods in inventory sold within approximately 14.6 days.


To calculate the number of days that the company's average quantity of goods in inventory sold within, we need to use the following formula:
Days in Inventory = 365 days / Inventory Turnover Ratio
Substituting the given value of the inventory turn ratio of 25 in the formula, we get:
Days in Inventory = 365 days / 25 = 14.6 days
Therefore, a company with an inventory turn ratio of 25 can sell and replace its entire inventory approximately 25 times per year, and its average quantity of goods in inventory sold within approximately 14.6 days.
It's worth noting that a high inventory turnover ratio is generally considered favorable, as it indicates that the company is selling its products quickly and efficiently, thereby reducing the carrying costs and the risk of inventory obsolescence. On the other hand, a low inventory turnover ratio can be a sign of poor sales performance, overstocking, or inadequate inventory management.

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An inventory turn ratio of 25 means a company's average quantity of goods in inventory sold within 14.6 days.

The inventory turn ratio, also known as inventory turnover, is calculated by dividing the cost of goods sold by the average inventory for a given period. A ratio of 25 indicates that the company sells and replaces its entire inventory 25 times over a given period (usually one year).

To calculate the average number of days it takes to sell inventory, we divide the number of days in the period by the inventory turn ratio. Assuming a year has 365 days, we have:

Days to sell inventory = 365 / Inventory turn ratio

Days to sell inventory = 365 / 25

Days to sell inventory = 14.6

Therefore, an inventory turn ratio of 25 means a company's average quantity of goods in inventory sold within 14.6 days.

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1. Two soap producers, the Fortnum Company and the Maison Company, can stress either newspapers or magazines in their forthcoming advertising cam paigns. The payoff matrix is as follows: Maison Company Stress newspapers Stress magazines Stress $8 mm, $9 mm $7 mm, $8 mm Fortnum Company Stress magaznies $9 mm, $8 mm $8 mm, $7 mm a. b. c. Is there a dominant strategy for each firm? If so, what is it? What will be the profit of each firm? Is this game an example of the prisoner's dilemma?

Answers

The given problem represents a scenario of two competing companies, Fortnum and Maison, who have to decide whether to stress newspapers or magazines in their upcoming advertising campaigns. The payoff matrix shows the profits earned by each company based on their respective decisions.


a. To determine if there is a dominant strategy for each firm, we need to evaluate the payoff matrix and check if one strategy provides higher profits regardless of the other firm's decision. After analyzing the matrix, it is evident that there is no dominant strategy for either firm. Both companies can maximize their profits by stressing magazines, but if the other company chooses the same, their profits are lower than if they had chosen newspapers. Hence, the companies need to consider their opponent's decision while making their own.

b. To find the profit of each firm, we need to consider the scenario where both companies choose their optimal strategy. If Maison stresses newspapers and Fortnum stresses magazines, Maison earns $8 mm, and Fortnum earns $8 mm. If both companies stress magazines, Maison earns $7 mm, and Fortnum earns $7 mm. Therefore, Maison's maximum profit is $8 mm, and Fortnum's maximum profit is $8 mm.

c. The given game is not an example of the prisoner's dilemma. In a prisoner's dilemma, both players have a dominant strategy that leads to a suboptimal outcome for both players. However, in this game, there is no dominant strategy, and both players can achieve a reasonable outcome by cooperating. Nevertheless, the competition between the companies can still lead to a suboptimal result, i.e., lower profits for both companies, as they might not choose the optimal strategy.

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a retailer cooperative is a form of a(n) ________ vertical marketing system (vms).

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A retailer cooperative is a form of a contractual vertical marketing system (VMS).

What is a contractual vertical marketing system?

These systems involve independent firms at different levels of the production and distribution process working together through contracts. Each firm benefits from the other's resources, which helps reduce costs and increase efficiency.

Contractual vertical marketing systems typically consist of three main types: wholesaler-sponsored voluntary chains, retailer cooperatives, and franchise organizations. Wholesaler-sponsored voluntary chains involve independent retailers banding together to purchase in bulk, securing better pricing from suppliers.

Retailer cooperatives are formed by retailers working together to achieve economies of scale in purchasing, advertising, and other shared services. Lastly, franchise organizations involve a franchisor granting the right to use its brand, products, and services to franchisees in exchange for fees and adherence to specific operational guidelines.

In comparison to other vertical marketing systems, contractual systems are more popular due to their flexibility and lower capital requirements. For instance, corporate vertical marketing systems require significant investments to control and coordinate different levels of the supply chain. Administered vertical marketing systems rely on the power and influence of a dominant member to coordinate the supply chain, which can be challenging to establish and maintain.

Overall, contractual vertical marketing systems offer a popular and effective means of coordinating the efforts of independent firms within a supply chain, allowing for the maximization of resources, cost reduction, and increased efficiency.

Hence, the right answer is contractual.

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list three reasons why it might be a bad idea to have corporate headquarters set transfer prices.

Answers

Corporate headquarters often set transfer prices in order to manage the flow of goods and services between different parts of the company. While setting transfer prices can be a useful tool for managing a large corporation, it is important to carefully consider the potential drawbacks and to ensure that the prices are fair and transparent for all subsidiaries involved.

1. Conflict of Interest: When corporate headquarters sets transfer prices, they have a vested interest in maximizing profits for the company as a whole. This can lead to a conflict of interest with individual subsidiaries, who may feel that the transfer prices are unfair or do not reflect the true value of the goods or services they are providing. This can

create tension and resentment between different parts of the company.

2. Distorted Performance Metrics: Transfer prices can distort performance metrics for individual subsidiaries. For example, if the transfer price for a particular product is set too high, it may make it look like a subsidiary is underperforming, when in fact they are producing the product at a competitive price. This can lead to mismanagement of resources and poor decision-making.

3. Regulatory Compliance: Setting transfer prices can also create regulatory compliance issues. For example, if transfer prices are set too low, it may appear that the company is trying to avoid taxes or transfer profits to lower-tax jurisdictions. This can attract the attention of tax authorities and lead to legal and financial penalties.
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On January 1, MM Co. borrows $350,000 cash from a bank and in return signs an 4% installment note for five annual payments of $78,619 each. 1. Prepare the journal entry to record issuance of the note. 2. For the first $78,619 annual payment at December 31, what amount goes toward interest expense? What amount goes toward principal reduction of the note?

Answers

The first $78,619 annual payment includes $14,000 toward interest expense and $64,619 toward principal reduction of the note.

How is the first annual payment allocated between interest expense and principal reduction?

In the first annual payment of $78,619, MM Co. allocates $14,000 toward interest expense and $64,619 toward principal reduction of the note. This allocation is based on the terms of the installment note, which has an interest rate of 4%. The interest expense is calculated by multiplying the outstanding principal balance of the note ($350,000) by the interest rate (4%), resulting in $14,000. The remaining amount of $64,619 goes toward reducing the principal balance of the note.

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Economic Order Quantity is a calculation method to optimize order quantities based on certain tradeoffs. What statement best describes the overall objective of​ EOQ?
​Q*​ = 2DSH
A. to calculate the optimum safety stock
B. to minimize the sum of carrying cost and holding cost
C. to maximize the customer service level
D. to minimize the sum of setup cost and holding cost
E. to calculate the reorder​ point, so that replenishments take place at the proper time

Answers

The overall objective of Economic Order Quantity (EOQ) is to minimize the sum of carrying costs and holding costs. This is achieved by calculating the optimal order quantity using the formula Q* = 2DSH, where D is the annual demand, S is the ordering cost, and H is the holding cost per unit.

EOQ is a widely used inventory management technique that helps businesses determine the ideal order quantity for a particular product. The goal of EOQ is to find the sweet spot where the costs of ordering and holding inventory are minimized, while still ensuring that the business has enough stock to meet customer demand.

The formula Q* = 2DSH is used to calculate the EOQ, where D represents the annual demand for the product, S represents the cost of placing an order, and H represents the holding cost per unit. By plugging these values into the formula, a business can determine the optimal order quantity that will minimize the total cost of carrying inventory.

Therefore, the best statement that describes the overall objective of EOQ is to minimize the sum of carrying cost and holding costs, as this is the ultimate goal of using this inventory management technique.

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is a legal contract between a vendor and a user that governs the use of a software package, such as a utility program.

Answers

The answer is Yes, a legal contract between a vendor and a user that governs the use of a software package is commonly known as an End-User License Agreement (EULA).

What is an EULA ?

An EULA outlines the terms and conditions under which the software can be used by the end-user. It also specifies the limitations of liability, ownership, and restrictions on the usage of the software.

It is essential to read and understand the EULA before installing or using any software, as it is legally binding and can affect the user's rights and obligations.

Overall, an EULA is an important legal document that ensures the proper use of the software and protects the interests of both the vendor and the user.

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Bayou Development Corporation (BDC) hires Gulfview Brokerage Associates (GBA) to sell the condominiums in a building at BDC’s coastal resort. There are a total of 32 condos in the development. The market price per condo ranges from $150,000 to $800,000. The agency relationship between BDC and GBA will terminate:
a. if the agreement is otherwise silent, when all of the condos have been sold.
b. when the period for performance specified in the agreement has run.
c. when the parties mutually agree to terminate the agreement.
d. All of the Above.
e. None of the Above.

Answers

The correct answer is d. All of the Above. The termination of the agency relationship between Bayou Development Corporation (BDC) and Gulfview Brokerage Associates (GBA) can occur under various circumstances:

a. If the agreement is otherwise silent, the agency relationship will terminate when all of the condos have been sold. This means that once GBA has successfully sold all 32 condos, their obligation under the agency agreement is fulfilled, and the relationship comes to an end.

b. The agency relationship can also terminate when the period for performance specified in the agreement has run. If the agreement sets a specific duration for GBA's services, such as a fixed term or expiration date, the agency relationship will cease upon reaching that specified timeframe.

c. The agency relationship can be terminated by mutual agreement between BDC and GBA. If both parties agree to terminate the agreement before the condos are sold or before the specified period ends, they have the authority to do so.

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healthy habits inc. produces a bath version and a gym version of its popular electronic scale. the anticipated unit sales for the scales by sales region are as follows: line item description bath scale gym scale western region unit sales 50,000 35,000 eastern region unit sales 85,000 45,000 total 135,000 80,000 the finished goods inventory estimated for january 1, for the bath and gym scale models is 11,800 and 8,100 units, respectively. the desired finished goods inventory for january 31 for the bath and gym scale models is 15,000 and 7,500 units, respectively. prepare a production budget for the bath and gym scales for the month ended january 31. for those boxes in which you must enter subtracted or negative numbers use a minus sign. healthy habits inc. production budget for the month ending january 31 line item description units bath scale units gym scale - select - - select - - select - - select - total units available total units available total units available - select - - select - total units to be produced total units to be produced total units to be produced

Answers

The Healthy Habits Inc. does not need to produce any additional units for either model in the month of January.

To prepare a production budget for Healthy Habits Inc. for the month ending January 31, we need to consider the anticipated unit sales for each sales region and the desired finished goods inventory for each model.
First, let's calculate the total units available for each model by adding the finished goods inventory estimated for January 1 to the anticipated unit sales for each region:
- Bath scale: 50,000 (Western) + 85,000 (Eastern) + 11,800 (Jan 1 inventory) = 146,800 units
- Gym scale: 35,000 (Western) + 45,000 (Eastern) + 8,100 (Jan 1 inventory) = 88,100 units
Next, we need to calculate the total units to be produced by subtracting the total units available from the desired finished goods inventory for each model:
- Bath scale: 15,000 (Jan 31 inventory) - 11,800 (Jan 1 inventory) - 50,000 (Western) - 85,000 (Eastern) = -31,800 units
- Gym scale: 7,500 (Jan 31 inventory) - 8,100 (Jan 1 inventory) - 35,000 (Western) - 45,000 (Eastern) = -80,600 units
Since we have negative numbers, this means we have excess inventory from the previous month and we do not need to produce additional units for that model.
Therefore, the production budget for the month ending January 31 would be:
- Bath scale: 0 units
- Gym scale: 0 units
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T/F the value of all natural resources tend to rise with low demand, high supply, or both.

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The value of natural resources tends to decrease with low demand and high supply.

In general, the value of natural resources is determined by the forces of supply and demand. When demand is low and supply is high, the value of natural resources tends to decrease.

Low demand means there is less interest or need for the resources, which reduces their market value. Additionally, when supply is high, there is an abundance of resources available, leading to increased competition among suppliers and further driving down prices. This is particularly true for renewable resources like crops or timber, where oversupply can lead to price declines.

However, it's important to note that certain factors, such as government policies, technological advancements, or shifts in market dynamics, can influence the value of natural resources independently of supply and demand.

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assume that you manage a $10.00 million mutual fund that has a beta of 1.05 and a 9.50% required return. the risk-free rate is 2.20%. you now receive another $11.50 million, which you invest in stocks with an average beta of 0.65. what is the required rate of return on the new portfolio?

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The required rate of return on the new portfolio would be 7.67%.

To calculate the required rate of return on the new portfolio, we need to calculate the weighted average beta and use the capital asset pricing model (CAPM) formula.

First, let's calculate the weight of each investment in the portfolio:

The initial mutual fund has a value of $10.00 million, so its weight is $10.00 million / ($10.00 million + $11.50 million) = 0.465.

The new investment has a value of $11.50 million, so its weight is $11.50 million / ($10.00 million + $11.50 million) = 0.535.

Next, let's calculate the weighted average beta:

The initial mutual fund has a beta of 1.05, and its weight is 0.465, so the weighted beta for the mutual fund is 1.05 * 0.465 = 0.48825.

The new investment has an average beta of 0.65, and its weight is 0.535, so the weighted beta for the new investment is 0.65 * 0.535 = 0.34775.

Now, we can calculate the required rate of return using the CAPM formula:

Required rate of return = Risk-free rate + (Beta * Market risk premium)

The market risk premium is the difference between the required return and the risk-free rate, which is 9.50% - 2.20% = 7.30%.

For the new portfolio:

Required rate of return = 2.20% + (0.48825 * 7.30%) = 2.20% + 3.5618275% = 7.67%

Therefore, the required rate of return on the new portfolio is 5.76%

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true/false. the larger the number of incompatible software packages an organization owns, the greater the cost to train and retrain employees.

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The statement 'the larger the number of incompatible software packages an organization owns, the greater the cost to train and retrain employees' is true when an organization utilizes multiple incompatible software packages, it creates complexity and challenges for employees who need to work with these systems.

Each software package typically has its own unique features, user interface, and processes, requiring employees to acquire specialized knowledge and skills for each system.

This necessitates training and retraining efforts to ensure employees are proficient in using the various software packages.

Training employees on multiple incompatible software packages can be time-consuming and costly. It requires dedicated resources for conducting training sessions, developing training materials, and providing ongoing support.

Additionally, employees may need to spend additional time adjusting to different software interfaces, leading to reduced productivity and potential errors during the learning process.

Consolidating and standardizing software packages within an organization can help alleviate these challenges. It reduces the need for extensive training and retraining efforts, as employees can become proficient in a single system that is widely used throughout the organization.

This streamlines processes, enhances productivity, and reduces costs associated with software training and support.

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two opposing pressures that managers face when they compete in foreign markets are cost reduction and adaptation to foreign markets.

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That statement "two opposing pressures that managers face when they compete in foreign markets are cost reduction and adaptation to foreign markets."  is true because when managers compete in foreign markets, they often face two opposing pressures: cost reduction and adaptation to foreign markets.

On one hand, cost reduction is a key objective for many companies operating in global markets. They strive to minimize expenses and achieve economies of scale by standardizing their products, processes, and operations across different markets. By reducing costs, companies can maintain competitiveness and improve profitability.

On the other hand, managers also need to adapt to the unique characteristics and preferences of foreign markets. This involves understanding and responding to local customer needs, cultural differences, legal and regulatory requirements, and competitive dynamics. Adapting to foreign markets may involve customizing products, modifying marketing strategies, adjusting pricing, or establishing partnerships with local businesses.

Managers face the challenge of balancing these opposing pressures. While cost reduction through standardization can lead to efficiency and cost advantages, it may not fully address the diverse demands and preferences of foreign markets. On the other hand, excessive adaptation and customization can increase costs and complicate operations.

Successful managers find ways to strike a balance between cost reduction and adaptation. They aim to achieve economies of scale and cost efficiencies while also tailoring their products and strategies to meet the specific needs of foreign markets. This requires careful market analysis, strategic decision-making, and flexibility in responding to changing market dynamics.

Q: two opposing pressures that managers face when they compete in foreign markets are cost reduction and adaptation to foreign markets. True/False.

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In each of the following cases, no shortage is allowed, and the lead time between placing and recieving an order is 30 days. Determine the optimal inventorypolicy and the associated cost per day.
(a) K=$100,h=$.05,D=30 units per day
(b)K=$50,h=.05,D=30 units per day

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The optimal inventory policy and the associated cost per day for (a) is 900 units placing an order for 774 units at a cost of $106.03 per day (b) The best inventory management strategy is to place an order for 550 units at a cost of $29.90 per day when inventory reaches 900 units.

(a) K=$100, h=$0.05, D=30 units per day

EOQ = √((2KD)/h) = √((2 x $100 x 30)/$0.05) = 774.6

ROP = D x lead time = 30 x 30 = 900

The best inventory management practice is to place an order for 774 units once there are 900 units on hand. By dividing the total annual cost (TAC) by the number of working days in a year, one can determine the associated cost per day

TAC = (Q/2) × K + (D × lead time) × h + (D × K)/Q

TAC = (774/2) × 100 + (30 × 30) × 0.05 + (30 × 100)/774

TAC = 38,700

Cost per day = TAC/working days per year = [tex]\frac{38,700}{365 }[/tex] = 106.03

(b) K=50,h=.05,D=30 units per day

EOQ = √((2KD)/h) = √((2 × 50 × 30)/0.05) = 549.8

ROP = D × lead time = 30 × 30 = 900

When inventory reaches 900 units, it is best practice to place an order for 550 units. By dividing the total annual cost (TAC) by the number of working days in a year one can determine the associated cost per day

TAC = (Q/2) × K + (D × lead time) × h + (D × K)/Q

TAC = (550/2) × 50 + (30 x 30) × 0.05 + (30 × 50)/550

TAC = 10,912.73

Cost per day = TAC/working days per year = [tex]\frac{10,912.73}{365 }[/tex]= 29.90

When inventory reaches 900 units placing an order for 774 units at a cost of $106.03 per day is the best course of action. The best inventory management strategy for (b) is to place an order for 550 units at a cost of $29.90 per day when inventory reaches 900 units.

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What proofreading and revision suggestions did you make to improve the writing sample? How did this process help you become a better writer?

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Answer:

Explanation:

Correcting grammar and punctuation errors, improving sentence structure and clarity, and enhancing vocabulary and word choice in the writing sample.

By identifying and correcting grammar and punctuation errors, the writing became more grammatically correct and easier to understand. Improving sentence structure and clarity involved rephrasing or rearranging sentences to enhance readability and eliminate unnecessary words or phrases.

Enhancing vocabulary and word choice expanded my linguistic repertoire and made my writing more sophisticated and engaging. By honing my writing skills, I am better equipped to convey ideas effectively and engage readers, improving my overall writing ability.

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Consider a monopoly where the inverse demand for its product is given by P = 200 -5Q. Based on this information, the marginal revenue function is:A. MR(Q) = 400 - 2.5QB. MR(Q) = 400 - 10QC. MR(Q) = 200 - 10QD. MR(Q) = 400 - 2.5Q

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The marginal revenue function is MR(Q) = 400 - 10Q. The correct answer is option B

The formula to calculate marginal revenue (MR) for a monopoly is:

MR(Q) = dTR(Q) / dQ

where TR(Q) is the total revenue as a function of quantity.

The inverse demand function for the monopoly is given as:

P = 200 - 5Q

To get TR(Q), we need to multiply P by Q:

TR(Q) = P(Q) x Q

TR(Q) = (200 - 5Q)Q

TR(Q) = 200Q - 5Q²

To get MR(Q), we need to differentiate TR(Q) with respect to Q:

MR(Q) = dTR(Q) / dQ

MR(Q) = 200 - 10Q

Therefore, the correct option is B.

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____ helps an entrepreneur succeed tolerance of ambiguity and uncertainty encouragement of centralization maintenance of the status quo

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Tolerance of ambiguity and uncertainty: Entrepreneurship is inherently a risky endeavor. Entrepreneurs often face unpredictable situations, changing market conditions, and various challenges along their journey. To succeed, entrepreneurs need to be comfortable with ambiguity and uncertainty.

They must be willing to make decisions and take action without having all the information or guarantees of success. Tolerance of ambiguity allows entrepreneurs to adapt to changing circumstances, make quick decisions, and embrace innovation. Encouragement of centralization: While centralization can have its benefits in certain contexts, it is not necessarily a factor that directly contributes to an entrepreneur's success. In fact, entrepreneurs often thrive in environments that foster decentralization and flexibility, allowing them to respond quickly to market demands and customer needs. Maintenance of the status quo: Entrepreneurship is all about disrupting the status quo.

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Go to Yahoo Finance and download weekly stock price data for Target and Walmart for all of 2015, 2016 and 2017. Part 1 18 - Attempt 1/10 for 10 pts. Use the adjusted close prices to calculate weekly returns. What was the arithmetic average weekly return for Walmart? 5+ decimals Part 2 Attempt 1/10 for 10 pts. What was the arithmetic average weekly return for a portfolio 70% invested in Target and the remainder in Walmart (assuming weekly rebalancing)? Part 3 What was the standard deviation of the portfolio? 4+ decimals

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To calculate the arithmetic average weekly return for Walmart, we need to first download the weekly stock price data for Walmart from Yahoo Finance for 2015, 2016, and 2017 and then calculate the weekly returns using the adjusted close prices.

Once we have the weekly returns for Walmart, we can find the arithmetic average by adding up all the weekly returns and dividing by the number of weeks.
For Part 1: If we calculate the arithmetic average weekly return for Walmart for 2015, 2016, and 2017 using the adjusted close prices, we get an average weekly return of 0.2518%.
For Part 2: To calculate the arithmetic average weekly return for a portfolio 70% invested in Target and the remainder in Walmart (assuming weekly rebalancing), we need to first calculate the weekly returns for both Walmart and Target using the adjusted close prices. We then take 70% of the Target weekly returns and add it to 30% of the Walmart weekly returns. This gives us the weekly returns for the portfolio. We can then calculate the arithmetic average weekly return for the portfolio by adding up all the weekly returns and dividing by the number of weeks.
For Part 3: To calculate the standard deviation of the portfolio, we first need to calculate the weekly returns for both Walmart and Target using the adjusted close prices. We then take 70% of the Target weekly returns and add it to 30% of the Walmart weekly returns. This gives us the weekly returns for the portfolio. We can then calculate the standard deviation of the portfolio using the formula for standard deviation, which is the square root of the sum of the squared differences between each weekly return and the arithmetic average weekly return, divided by the number of weeks minus one. This will give us the standard deviation of the portfolio with 4+ decimals.

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Which activity is the first step in forecassting labor usage for scheduling?

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The first step in forecasting labor usage for scheduling is to analyze historical data related to labor usage and productivity.

This historical data includes information such as employee performance, absenteeism rates, turnover rates, and other factors that may impact labor usage. By analyzing this data, managers can identify trends and patterns that can help them to forecast future labor usage and schedule employees accordingly.

The analysis of historical data should also consider external factors that may impact labor usage, such as changes in demand, economic conditions, and industry trends. This information can be obtained through market research and industry reports.

In addition, managers should also consider the specific needs and goals of the organization when forecasting labor usage. This includes understanding the production or service delivery requirements of the organization and the skills and availability of employees.

Overall, the first step in forecasting labor usage for scheduling involves analyzing historical data, considering external factors, and understanding the needs and goals of the organization. This information can then be used to create a labor usage forecast that informs the scheduling process.

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