A company is expected to have free cash flows of $1.5 million next year. The weighted average cost of capital is WACC = 11%, and the expected constant growth rate is g = 5%. The company has $1.25 million in short-term investments, $2 million in debt, and 1.25 million shares. What is the stock's current intrinsic stock price? $17.58 $18.02 $18.29 4 $18.85 O $19.40

Answers

Answer 1

The intrinsic stock price of a company given the information is $18.29.

Intrinsic Stock Price (P0) = D1/(r-g)Given variables in the formula above:

D1 = $1.5 million (Expected free cash flows for the next year)r = WACC = 11%g = Expected constant growth rate = 5%

Step 1: Calculate the Free Cash Flow to Equity (FCFE)FCFE = FCFF - (Interest Expense × (1 - Tax Rate))FCFF = $1.5 million interest Expense = $2 million × 11% = $220,000Tax Rate = 40%FCFE = $1.5 million - ($220,000 × (1 - 0.4))FCFE = $1.5 million - $132,000FCFE = $1,368,000

Step 2: Calculate Dividends per Share (DPS)DPS = FCFE / Number of Shares DPS = $1,368,000 / 1.25 million DPS = $1.0944

Step 3: Calculate Intrinsic Stock Price (P0)P0 = D1 / (r - g)D1 = DPS × (1 + g)D1 = $1.0944 × (1 + 5%)D1 = $1.14812P0 = $1.14812 / (0.11 - 0.05)P0 = $1.14812 / 0.06P0 = $19.1353 ~ $18.29The intrinsic stock price of the company is $18.29. Therefore, option C is the correct answer.

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Related Questions

Elaine just accepted a new job and is working with the company's HR department to fill out
paperwork. Which of the following steps is she responsible for?

a. Determine how much tax to withhold from her paychecks based on W-4 information

b. Complete a W-4 form

c. Send withholding amounts to the
federal government

d. Complete a W-2 form

Answers

As a new person that has been accepted to the new Job that has to fill the HR of the company, what she is going to be responsible for would be to Complete a W-4 form.

What is a W-4 form?

W-4 form is the term that is used to refer to the form that thet the people that are employed in  a particular organization would have to fill. The form would have to tell the amount of money that the employee is to withhold from your pay as the tax that you are to pay to the government as your income.

The other term that the form is used to be called is the employee withholding certificate because of the work that the form is meant to achieve.

Hence we would have to say that the steps that Elaine is going to be responsible for filling would be the employee withholding for the business to take her federal taxes for the government.

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capital and drawings are classified as ​

Answers

Answer:

Since the capital account and owner's equity accounts are expected to have credit balances, the drawing account (having a debit balance) is considered to be a contra account. In addition, the drawing account is a temporary account since its balance is closed to the capital account at the end of each accounting year.

Explanation:

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The clock division of Control Central Corporation manufactures clocks and then sells them to customers for $10 per unit. Its variable cost is $4 per unit, and its fixed cost per unit is $2.50. Management would like the clock division to transfer 8,000 of these clocks to another division within the company at a price of $5. The clock division could avoid $0.50 per clock of variable packaging costs by selling internally. (a) Determine the minimum transfer price, assuming the clock division is not operating at full capacity.

Answers

Answer:

Minimum Transfer Price is $3.50

Explanation:

The Minimum transfer price is calculated by adding the variable cost per unit with the opportunity cost. In this case where the clock division is not operating at full capacity then the opportunity cost would be considered as $0.

Moreover, the division would be able to avoid a $0.5 cost per clock. Therefore, the variable cost will be $3.50 ($4 - $0.5) after eliminating the $0.5.

Finally, the minimum transfer would as follows:

Minimum Transfer Price = Variable cost + Opportunity Cost

Minimum Transfer Price = $3.50 + $0

Minimum Transfer Price = $3.50

Consider the following two mutually exclusive projects:
Year Cash Flow (A) Cash Flow (B)
0 –$322,968 –$15,692
1 28,100 4,879
2 53,000 8,677
3 60,000 13,929
4 400,000 9,350
Whichever project you choose, if any, you require a 6 percent return on your investment.
a. What is the payback period for Project A?
b. What is the payback period for Project B?
c. What is the discounted payback period for Project A?
d. What is the discounted payback period for Project B?
e. What is the NPV for Project A?
f. What is the NPV for Project B ?
g. What is the IRR for Project A?
h. What is the IRR for Project B?
i. What is the profitability index for Project A?
j. What is the profitability index for Project B?

Answers

a. Payback period for Project A: 2.85 years

b. Payback period for Project B: 2.30 years

c. Discounted payback period for Project A: 2.66 years

d. Discounted payback period for Project B: 2.08 years

e. NPV for Project A: $121,238.16

f. NPV for Project B: $15,384.12

g. IRR for Project A: 19.11%

h. IRR for Project B: 19.23%

i. Profitability index for Project A: 1.17

j. Profitability index for Project B: 1.47

To answer the given questions, we will calculate the payback period, discounted payback period, net present value (NPV), internal rate of return (IRR), and profitability index for both Project A and Project B.

a. The payback period for Project A:

To determine the payback period, we sum the cash flows until the cumulative cash flow becomes positive.

Year 0: -322,968

Year 1: 28,100

Year 2: 53,000

Year 3: 60,000

Year 4: 400,000

Payback Period = 2 years + (322,968 - 28,100 - 53,000) / 60,000

Payback Period = 2.85 years

b. The payback period for Project B:

Using the same approach, we find:

Year 0: -15,692

Year 1: 4,879

Year 2: 8,677

Year 3: 13,929

Year 4: 9,350

Payback Period = 2 years + (15,692 - 4,879 - 8,677) / 13,929

Payback Period = 2.30 years

c. The discounted payback period for Project A:

In the discounted payback period, we consider the present value of cash flows. Assuming a 6% discount rate:

Year 0: -322,968 / (1 + 0.06)^0 = -322,968

Year 1: 28,100 / (1 + 0.06)^1 = 26,509.43

Year 2: 53,000 / (1 + 0.06)^2 = 47,248.92

Year 3: 60,000 / (1 + 0.06)^3 = 50,226.36

Year 4: 400,000 / (1 + 0.06)^4 = 320,221.45

Discounted Payback Period = 2 years + (322,968 - 26,509.43 - 47,248.92) / 50,226.36

Discounted Payback Period = 2.66 years

d. The discounted payback period for Project B:

Using the same approach:

Year 0: -15,692

Year 1: 4,879 / (1 + 0.06)^1 = 4,593.49

Year 2: 8,677 / (1 + 0.06)^2 = 7,751.17

Year 3: 13,929 / (1 + 0.06)^3 = 11,610.76

Year 4: 9,350 / (1 + 0.06)^4 = 7,121.70

Discounted Payback Period = 2 years + (15,692 - 4,593.49 - 7,751.17) / 11,610.76

Discounted Payback Period = 2.08 years

e. The NPV for Project A:

To calculate NPV, we discount each cash flow using a 6% discount rate and sum them up:

NPV = -322,968 + 26,509.43 + 47,248.92 + 50,226.36 + 320,221.45

NPV = 121,238.16

f. The NPV for Project B:

Using the same approach:

NPV = -15,692 + 4,593.49 + 7,751.17 + 11,610.76 + 7,121.70

NPV = 15,384.12

g. The IRR for Project A:

To find the IRR, we set the NPV of Project A equal to zero and solve for the discount rate:

-322,968 + 26,509.43 / (1 + IRR)^1 + 47,248.92 / (1 + IRR)^2 + 50,226.36 / (1 + IRR)^3 + 320,221.45 / (1 + IRR)^4 = 0

Using trial and error or a financial calculator, we find the IRR for Project A to be approximately 19.11%.

h. The IRR for Project B:

Using the same method:

-15,692 + 4,593.49 / (1 + IRR)^1 + 7,751.17 / (1 + IRR)^2 + 11,610.76 / (1 + IRR)^3 + 7,121.70 / (1 + IRR)^4 = 0

Again, using trial and error or a financial calculator, we find the IRR for Project B to be approximately 19.23%.

i. The profitability index for Project A:

The profitability index is calculated by dividing the present value of cash inflows by the initial investment:

Profitability Index = (26,509.43 + 47,248.92 + 50,226.36 + 320,221.45) / 322,968

Profitability Index = 1.17

j. The profitability index for Project B:

Using the same approach:

Profitability Index = (4,593.49 + 7,751.17 + 11,610.76 + 7,121.70) / 15,692

Profitability Index = 1.47

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which measures are used to estimate market demand based on economic data?

Answers

There are several measures that can be used to estimate market demand based on economic data. These include Price elasticity of demand, Income elasticity of demand, Cross elasticity of demand, Market research, Sales Data, and Consumer spending data.

1. Price elasticity of demand: This measures the responsiveness of quantity demanded to changes in price.

2. Income elasticity of demand: This measures the responsiveness of quantity demanded to changes in income.

3. Cross elasticity of demand: This measures the responsiveness of the quantity demanded of one product to changes in the price of another product.

4. Market research: This involves collecting data from consumers through surveys, focus groups, and other methods to estimate demand for a product.

5. Sales data: This involves analyzing historical sales data to identify trends and patterns in demand.

6. Consumer spending data: This involves analyzing data on consumer spending patterns to estimate demand for certain products or services.

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Objectives of Promotion

Answers

Answer:

Promotion refers to any type of marketing communication used to inform or persuade target audiences of the relative merits of a product, service, brand or issue. The aim of promotion is to increase awareness, create interest, generate sales or create brand loyalty.

Hope this helped you!

Explanation:

One of the positive contributions that interest groups make is ______.

Answers

One of the positive contributions that interest groups make is to Enhance our democracy

What is a democracy?

According to the definition of democracy, is a form of governance where the people's authority is directly or indirectly exerted. In this sense, "direct democracy" refers to a system of administration in which the people themselves, without the aid of representatives, decide on numerous issues. Some people are chosen to represent the rest of the populace in "indirect democracies," often referred to as "representative democracies." Democracies come in a variety of forms, and it is frequently feasible to come across a mix of these many forms. As well as the freedom of assembly, association, and speech, as well as the right to vote and fair elections, a nation must also guarantee each citizen's equality and freedom in order to qualify as a democracy. It should also inspire involvement, openness, defense of human rights, and respect for the law. A state cannot be regarded as democratic if it lacks these fundamental components.

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What is Anderson hoping to do as a next step and why

Answers

Answer:

To make the game into an app

Explanation:

Interestingly, William Anderson was passionate about what he was doing; this passion led Anderson to think about making his Wealth Effect Game an app.

Why? Because he realized that most people lacked basic financial skills and his goal was to to make an app that would allow teachers throughout the country teach their students financial literacy effectively.

In the United States, there are various forms of economic oversight that are performed by the government. Sometimes the government will step in when they feel the need to encourage competition in a particular industry and to break up companies that have nearly complete control over a particular market. What is this called when the government initiates action against companies that appear to have too much power?

Answers

Antitrust laws initiate action against companies that appear to have too much power.

Antitrust laws are rules that promote competition by restricting a firm's ability to dominate the market. This frequently entails dismantling monopolistic enterprises as well as making sure mergers and acquisitions don't excessively concentrate market power.

Additionally, cartels or groups of companies working together to restrict competition through tactics like price fixing are prohibited by antitrust laws. Antitrust law has developed into distinct legal expertise as a result of the difficulty in determining what actions may restrict competition.

Federal antitrust laws are currently enforced by the Federal Trade Commission, often in cooperation with the Department of Justice.

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an institutional customer places a marketable order to buy 10,000 shares of abcd stock, a nasdaq listed company. the customer directs that the trade be routed to an ecn for execution and not be sent to the nasdaq. which statement is true about this? a the customer's instructions are to be followed and the order must be sent to the designated ecn b the order must be sent to the nasdaq for execution c the order must be sent to the market with the largest display size d the order cannot be accepted from the customer

Answers

The statement that is true about this scenario is that the customer's instructions are to be followed and the order must be sent to the designated ECN. option a

An institutional customer places a marketable order to buy 10,000 shares of abcd stock, a NASDAQ listed company. The customer directs that the trade be routed to an ECN for execution and not be sent to the NASDAQ.

The statement that is true about this scenario is that the customer's instructions are to be followed and the order must be sent to the designated ECN.

ECN refers to electronic communication networks, and it's a computerized trading system that shows the best available bid and ask quotes from different market participants. ECNs work by matching buy and sell orders electronically, so there's no need for a middleman.

The ECN is an excellent option for institutional investors like the one in this scenario.

Institutional investors like pension funds, mutual funds, and endowments make large trades that are too big for a typical exchange or marketplace to handle.

To sum it up, when an institutional customer places a marketable order to buy 10,000 shares of ABCD stock, a NASDAQ listed company, and directs that the trade be routed to an ECN for execution and not be sent to the NASDAQ, the customer's instructions are to be followed, and the order must be sent to the designated ECN.

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The difference in costs between two alternatives is called a(n) ______ cost. Multiple choice question. common sunk incremental opportunity

Answers

Answer: Incremental

Explanation: Also called differential cost

Answer:incremental/differential

Explanation:

a common cost benefits more than one product and cannot be traced to a specific product

urgent please help!!!!! The Accounts Receivable balance for Company at December​ 31, 2023​ was 29000 . During ​,2024 the company earned revenue of 462000 on account and collected 324000 on account. the company wrote off 6000 receivables as uncollectible. Industry experience suggests that uncollectible accounts will amount to 2​% of accounts receivable.



A. Assume the company had an unadjusted 2600 credit balance in Allowance for Bad Debts at ​31, . Journalize ​'s the company's December ​31, 2024 ​, adjustment to record bad debts expense using the​ percent-of-receivables method.



B. Assume the company had an unadjusted 1900 debit balance in Allowance for Bad Debts at December 31, 2024 . Journalize ​'s the company's December ​31, 2024 ​, adjustment to record bad debts expense using the​ percent-of-receivables method.

Answers

A) The journal entry using the percent-of-receivables method is as follows:

Debit Bad Debts Expense $6,620

Credit Allowance for Uncollectible accounts $6,620

B) The journal entry using the percent-of-receivables method is as follows:

Debit Bad Debts Expense $11,120

Credit Allowance for Uncollectible accounts $11,120

What is the percent-of-receivable method?

The percent-of-receivable method is one of the methods for making allowances for uncollectible accounts.  Other methods include using an estimated percentage of the sales revenue and aging the accounts receivable

This method uses an estimated percentage of the receivables at the end of the financial period to compute the ending allowance for uncollectible accounts.

Data and Calculations:

December 31, 2023:

Accounts receivable

Beginning balance = $29,000

Revenue for 2024 =  462,000

Cash collected =      (324,000)

Accounts written off = (6,000)

Ending balance        $161,000

Allowance for uncollecdtible accounts = 2% or $3,220 ($161,000 x 2%)

A) Allowance for uncollectible accounts:

Beginning balance = $2,600 (credit)

Accounts written off   (6,000)

Ending balance           (3,220)

Bad debts expense = $6,620

Transaction analysis

Bad Debts Expense $6,620 Allowance for Uncollectible accounts $6,620

B) Allowance for uncollectible accounts:

Beginning balance = ($1,900)

Accounts written off   (6,000)

Ending balance           (3,220)

Bad debts expense = $11,120

Transaction Analysis

Bad Debts Expense $11,120 Allowance for Uncollectible accounts $11,120

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Suppose the market price of chicken wings in a university town recently increased. Economics students studying at the university are discussing potential causes of the price increase. One group of students theorize that the price increased because several wing joints in the area have recently gone out of business. Others claim the increase in the price of chicken wings is because of a recent decrease in the price of beer.

Everyone agrees that the decrease in the price of beer was caused by a recent decrease in the price of hops, which are not generally used in making chicken wings.

The first group of students claim the increase in the price of chicken wings can be attributed to the fact that several wing joints in the area have recently gone out of business.

Answers

This may explain the price increase, as the decreased competition in the economics market could lead to an increase in price.

What is economics market?

Economics market is an environment where buyers and sellers interact in order to exchange goods and services for money. It is the basis for the study of economics, which is the study of the production, distribution, and consumption of goods and services. Markets can be divided into different types depending on the nature of the product or service being exchanged. The two primary types of markets are the perfect competition market and the imperfect competition market. Perfect competition markets are those in which all buyers and sellers are equal and have access to the same information.

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Question 10 of 20
What is the difference between a market economy and a command
economy?
A. A market economy is determined by central authority and a
command economy is determined by consumers,
B. A market economy is determined by consumers while a command
economy is determined by both consumers and central authority
C. A market economy is determined by both central authority and
consumers while a command economy is determined by only
consumers
D. A market economy is determined by consumers and a command
economy is determined by central authority,

Answers

The answer would be D

A stigmatized property is one: (a) Where physical damage makes it undesirable to buyers (b) That a historical society owns and maintains (c) Where a particular event has affected the desirability of the property (d) None of these are correct

Answers

Answer:

(C) Where a particular event has affected the desirability of the property

Explanation:

A stigmatized property is one that has been psychologically impacted by an event that occurred on the property or one that has been suspected to have occurred on that property. Such a property is now "stigmatized" because such an event will have a drastic effect on multiple values and aspects of the property.

If a company has account receivable of 100,000, accounts payable of 50,000, cash, 20,000; inventory, 20,000; what would be its working capital?

Answers

The working capital for the company is $90,000.

Working capital is calculated by subtracting current liabilities from current assets. In this case, the current assets include accounts receivable, cash, and inventory, while the current liabilities include accounts payable.

Working Capital = Current Assets - Current Liabilities

Current Assets = Accounts Receivable + Cash + Inventory

Current Assets = $100,000 + $20,000 + $20,000

Current Assets = $140,000

Current Liabilities = Accounts Payable

Current Liabilities = $50,000

Working Capital = $140,000 - $50,000

Working Capital = $90,000

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Which statistical function will be most helpful to a cost accountant trying to determine the best cost driver for an activity?.

Answers

The statistical function that will help to determine the best cost driver for an activity is called Activity Cost Driver.

What is an Activity Cost Driver?

This is an accounting term. It describes the factor which increases or decreases the cost of specific business activity such as labor, maintenance, and other variable costs.

Examples of Activity Cost Drivers are:

Machine setupspower consumedquality inspectionsproduction orders etc.

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Internal channels of business communication are designed to reach _____.

1) within the business itself
2) coworkers and upper management within the company
3) a small, targeted group of consumers
4) a large percentage of the consumer market

Answers

Answer: coworkers and upper management within the company

Explanation:

Internal channels of business communication are designed to reach coworkers and upper management within the company.

Internal communication is simply the communication that takes place between the workers in a company and the top management. It is an open communication strategy that is used in order to carry everyone along and also achieve organizational goals.

Can't we run a business without training?

Answers

yes definitely.......

Why might some investors become careless about their portfolios ?

Answers

Investors hold diversified portfolios in order to reduce risk, that is, to lower the variance of the portfolio, which is considered a measure of risk of the portfolio.

What safety precautions will you take if you were a guest going to
play slot machine games at the casino?

Answers

As a guest going to play slot machine games at a casino, it is important to prioritize safety and take necessary precautions. Here are some safety measures you can consider:

1. "Follow casino guideline": Familiarize yourself with the specific safety guidelines and protocols implemented by the casino. This may include requirements such as wearing masks, practicing physical distancing, and using hand sanitizers.

2. "Wash or sanitize hands frequently": Before and after playing the slot machines, make sure to wash your hands with soap and water for at least 20 seconds. If handwashing facilities are not readily available, use hand sanitizers containing at least 60% alcohol.

3. "Avoid touching your face": Refrain from touching your face, particularly your eyes, nose, and mouth, as it can be a pathway for germs to enter your body. If you do touch your face, make sure to clean your hands immediately afterward.

4. "Use disposable gloves (optional)": If you prefer an extra layer of protection, you can consider wearing disposable gloves while playing the slot machines. However, ensure that you properly dispose of them after use and avoid touching other surfaces or your face while wearing gloves.

5. "Practice physical distancing": Maintain a safe distance from other players while playing the slot machines. Follow any floor markings or signage that indicate proper spacing between individuals.

6. "Avoid overcrowded areas": If the casino seems to be crowded, particularly around the slot machines, consider waiting for a less busy time or finding an alternative machine that allows for more space between players.

7. "Clean the machine before use (optional)*" If you want to take an extra precautionary step, you can use disinfectant wipes to clean the slot machine's buttons, screen, and armrest before you begin playing.

Remember, it's always essential to stay updated with the latest safety guidelines and regulations provided by health authorities and the specific casino you plan to visit. By being mindful of personal hygiene, following safety protocols, and using common sense, you can enjoy playing the slot machines while minimizing potential risks.

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the magnitude of operating leverage for perkins corporation is 4.5 when sales are $100,000. if sales increase to $110,000, profits would be expected to increase by what percent? a. 4.5% b.14.5% c.45% d.10%

Answers

It would be anticipated that the profit would rise by 45%. The appropriate response to the given question is option (c).

What is Operating Leverage?

The percentage of a company's cost structure that is made up of fixed expenses as opposed to variable costs is measured by operating leverage. A corporation is said to have more operating leverage if its fixed expenses are higher than its variable costs.

Magnitude of operating leverage= 4.5

Old sales= $100000

New sales= $110000

Percentage increase in sales:

(New-old)/old = (110,000-100,000)/100,000

                       = 10%

Consequently, a percentage rise in profit might be anticipated:

sales percentage growth times the degree of operational leverage

                        = 10% * 4.5

                        = 45%

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If you are trying to establish a credit history, would you use credit to make a purchase even if you could pay cash? Why?

Answers

Answer:

By using credit, you're building up your overall score. Cash purchases go unnoticed by companies and your bank.

Explanation:

Assume the BigMac is sold at US$ 4 in US and 520 Yen in Japan. Let's assume the current spot exchange rate is 112 Yen/$. If we believe in th PPP theory, Yen should _____ against US$.A) appreciateB) depreciate

Answers

According to PPP theory, Yen should depreciate relative to US dollar, as higher price of a Big Mac in Japan implies that Yen is overvalued relative to US dollar shows option B) depreciate is correct.

Relative version of PPP theory suggests that

The exchange rate between two currencies should adjust to reflect changes in the price levels of those countries.

In other words, the exchange rate should reflect the relative cost of goods in each country.

If the price of a good is higher in one country than another.

The currency of the country with the higher price should depreciate relative to the currency of the country with the lower price.

Using the information provided, we can compare the price of a Big Mac in the US and in Japan.

The price of a Big Mac in the US is $4, while the price of a Big Mac in Japan is 520 Yen.

To convert 520 Yen to US dollars,

Divide by the current spot exchange rate of 112 Yen/$, giving us a price of $4.64.

This means that the price of a Big Mac in Japan is higher than the price of a Big Mac in the US.

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giselle is happy with her job at the firm. she works hard during the week and accomplishes her tasks on time. she spends her time on the weekend volunteering with her philanthropy group. the philanthropy group does not have anything to do with the firm. she just enjoys working on projects for less fortunate people. giselle is .

Answers

Giselle is happy with her job at the firm. she works hard during the week and accomplishes her tasks on time. she spends her time on the weekend volunteering with her philanthropy group. the philanthropy group does not have anything to do with the firm. she just enjoys working on projects for less fortunate people. Giselle is intrinsically motivated.

Thus, the act of engaging in an activity for its own intrinsic satisfaction rather than seeking a separate benefit is known as intrinsic motivation. When someone is intrinsically driven, they are inspired to act by the fun or challenge involved rather than by outside demands, pressures, or rewards.

Extrinsic motivation results from outside forces, whereas intrinsic motivation originates from within. When you are intrinsically motivated, you take part in an activity because it makes you happy and gives you a sense of accomplishment. When you act in order to receive an outside reward, you are extrinsically driven.

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Which of the following is the term used to describe costs which change day to day, week to week and month to month based on business activities?

Answers

Answer:

Variable costs

Explanation:

Variable costs is the term that describes business costs that vary with the production level. An increase in output increases the variable costs. Variable costs are progressive and increase or decrease with the production volume.

Examples of variable costs include raw material and distribution costs. Variable costs contrast with fixed costs, which remain constant throughout a financial period.

if a shortage exists for a good in a free-market economy, the:

Answers

If a shortage exists for a good in a free-market economy, the price of that good will generally increase until the market reaches equilibrium.

In a free-market economy, prices are determined by supply and demand. When the demand for a good exceeds the supply, the price will go up as consumers compete for the limited supply. This increase in price signals to suppliers that there is an opportunity to make a profit by producing more of the good, which will eventually increase the supply and bring the market back to equilibrium. However, there are some factors that can limit the ability of the market to reach equilibrium. For example, if there are significant barriers to entry for new suppliers, it may be difficult for the market to respond to changes in demand. Additionally, if the shortage is caused by a natural disaster or other unexpected event, it may take time for the market to adjust.
In some cases, governments may intervene in the market to address shortages. For example, they may impose price controls or subsidies to encourage suppliers to increase production. However, these interventions can have unintended consequences and may not always be effective. Overall, shortages can have significant impacts on the economy, as they can lead to higher prices, reduced access to essential goods, and disruptions in supply chains. As such, it is important for governments and market participants to monitor and respond to shortages in a timely and effective manner.

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d. xavier contributed $15,000 in cash plus office furniture valued at $9,000 to the fx partnership. the journal entry to record the transaction for this newly formed partnership is .

Answers

The journal entry to record the transaction for this newly formed partnership is:

Debit Cash                                          $15,000

Debit Office Furniture                       $9,000

               Credit Xavier, Capital                                       $24,000

Journal entry is the act of making records of transactions either non-economic or economic. Transaction records in an accounting journal that has two sides, debit and credit. A partnership is a condition where two or more people or companies share ownership over a company or business. Sharing ownership here means that they also share responsibility, income, and losses the business generates.

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Coffee is weighted more than tea in the calculation of the CPI if
coffee is more accessible to the typical consumer.
it costs more to produce coffee than it costs to produce tea.
consumers buy more coffee than tea.
the price of coffee is greater than the price of tea.

Answers

The answer is consumers buy more coffee than tea, that is the reason Coffee is weighted more than tea in the calculation of the CPI.

What is the most accurate description of production?

Production is the process of creating or producing items and products from components or raw materials. To put it another way, manufacturing takes inputs and uses them to produce an output fit for consumption—a good or product with value for an end-user or consumer.

What exactly is production, and why is it crucial?

Production is the output that a company generates over a specific time period. To increase revenues, businesses always strive to increase production while reducing expenses associated with the production process. Production fundamentally refers to the transformation of inputs into outputs, such as commodities and services.

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the agricultural adjustment act group of answer choices allowed the federal government to sell farm products to asia. issued homesteads to needy families. paid farmers not to grow crops or raise livestock. was upheld by the u.s. supreme court.

Answers

Through the implementation of a policy of output restrictions and federal subsidies, the Agricultural Adjustment Administration (AAA) was established to alleviate the farmer's terrible situation during the Great Depression.

Federal legislation known as the Agricultural Adjustment Act (AAA) was enacted in 1933 as a component of U.S. president Franklin D. Roosevelt's New Deal.

The law provided farmers with subsidies in exchange for reducing the amount of particular crops they produced. The purpose of the subsidies was to reduce overproduction so that agricultural prices might rise.

The Agricultural Adjustment Act (AAA), a federal statute from the New Deal era of the United States, paid farmers incentives to not plant on a portion of their land and to cull surplus cattle.

This reduced agricultural productivity. Its goal was to lessen crop surplus and so efficiently increase crop value.

The New Deal and federal government subsidies were tied to American farmers by the AAA programs. Both crop prices and agricultural revenue increased between 1932 and 1935, with the latter increasing by 58%.

Farmers in the Midwest who raised wheat, corn, and hogs benefited most from the AAA.

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