Answer:
$74
Explanation:
The maximum transfer price is the price that causes the receiving division to break even.
The receiving division <em>can never </em>accept a price greater that it can purchase the product from an external market.
Therefore maximum transfer price is $74
Answer:
Explanation:
East division segment margin = Contribution margin - Direct fixed expense
Contribution margin = $240,000*35% = $84,000
Direct fixed expenses = $48,000
So segment margin is 84,000 - 48000
= $36000
Answer is option A
Answer:
(i) The trial balance of Monroe Entertainment Co. is as shown below.
Amounts in $
Accounts Debits Credits
Accounts Payable 486.00
Fees Earned 2,807.00
Accounts Receivable 854.00
Insurance Expense 405.00
Prepaid Insurance 1,698.00
Land 2,275.00
cash 1,878.00
Wages Expense 519.00
Drawing 751.00
Capital <u> </u> <u> 5,087.00</u>
Balances <u> </u><u>8,380.00 </u> <u>8,380.00 </u>
(ii) Total debits is c.$8,380
Explanation:
The trial balance shows the balances of all accounts in terms of debits and credit and is used to check the mathematical accuracy of posted entries. The debits are the assets and expenses while the credits are the equity, income and liabilities.
Total debits is $8,380
Answer:
A. A bond which has a price of $850, a Yield to Maturity of 4%, and a Current Yield of 3.75%
Explanation:
Since George is focussed on achieving a high total return for his portfolio, he will consider adding a bond whose yield to maturity (YTM) is the highest. Among these options, option A would be ideal since it has a 4% YTM; he would probably not consider if the price of $850 is high or not . This is the annual interest rate paid on the bond investment.
Answer and Explanation:
a. In case when the new bills are kept by the people so the supply of money would be increase by a very similar amount as it was dropped off the plane. That's because the banking is not in the image, so there is no impact on the money multiplier.
b. If the amount is deposited in the bank, the cash supply would rise with the money multiplier being taken into account. Money Multiplier = Deposited currency / reserve ratio. The overall supply of money that will raise be 1 billion / 0.1.
c.Again, if a 100% reserve banking is exercised by the bank, so the boosted money supply would be the same value as it has been deposited.
d. If half of the value is held by the public and half of the value is deposited with the bank at 10% of the reserves, the supply of money rises by half of the amount which is held by the public in addition of half of the value / reserve ratio that is 10%.
