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almond37 [142]
2 years ago
10

A day care program frequently has a few parents picking up their children late. In an attempt to curb this, the daycare decides

to charge a fine to parents who are more than 10 minutes late. However, after the fine was implemented, the number of late parents increased. Which of these conclusions can be true?
1)The fine eliminated the non-financial incentives to be on time


2)The fine was not high enough to discourage being late


3)The fine was perceived as a price


4) All of the above
Business
2 answers:
alexandr1967 [171]2 years ago
5 0

Answer:

4) All of the above

Explanation:

The day care program should have rewardedbeing on time to encourage this attitude.

Instead they put a price on being late. As parent considers this price cheap they arrive later to have some extra time beofre picking their childrens

Either the day care program reconsiders the fine policy and moves into a better program to estimulate being on time or it increases the "price" so is more expensive for the parents to come in time rather than paiying their fines.

Sav [38]2 years ago
4 0

Answer:

The correct answer is number (4): All of the above.

Explanation:

<em>The fine eliminated the non-financial incentives to be on time </em>and <em>the fine was perceived as a price </em>because parents possibly felt guilty for picking up their children late but no punishments were given before the penalty. Since it was introduced, parents may consider it a fair trade for being late and are willing to pay the penalty.

Besides, it is possible that <em>the fine was not high enough to make parents change their behavior</em> because instead of decreasing the number of parents picking up their children late, the penalty increased it.

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Brewer Inc. has 5,000 shares of 6%, $50 par value, cumulative preferred stock and 100,000 shares of $1 par value common stock ou
scZoUnD [109]

Answer:

Total dividend = 30,000

Explanation:

Given:

Total number of stock = 5,000

Dividend rate = 6% = 0.06

Per value = $50

Computation of dividend per year:

Dividend per year = Total number of stock × Per value × Dividend rate

Dividend per year = 5,000 × $50 × 0.06

Dividend per year = 15,000

For cumulative preferred stock:

Total dividend = 2016 Dividend + 2017 Dividend

Total dividend = 15,000 + 15,000

Total dividend = 30,000

6 0
1 year ago
9. Bayarmaa owns land with an adjusted basis of $610,000 subject to a mortgage of $350,000. On April 1, Bayarmaa sells her land
Solnce55 [7]

Answer:

610000-b=a

Explanation:

April 1=610000

6 0
1 year ago
Feather Friends, Inc., distributes a high-quality wooden birdhouse that sells for $20 per unit. Variable expenses are $8 per uni
mars1129 [50]

Answer:

Explanation:

Sales Price p.u                           =  20

Variable Cost                             =  (8)

Contribution per unit                = 12

C.M Ratio = 12/20   = 60%

2)

break even =   fix cost/ Cm per unit

Break Even =  180,000/.6

Break Even =   300,000

3) Fix will not change due to increase in units sold

75000/20= 3750 increase in units

CM in $=   3750*12 = 45000

Net operating already given in the question =60000

Increase in operating inc. due to increase in sales= 45000

Total Net operating income = 105000

4.a)

degree of operating leverage=Change in operating income/ change in sale

degree of operating leverage=  45000/75000 = 0.6

4.b)

Sales with 20% increase = 400000*1.2 = 480000

Varible cost 20% increase = 160000*1.2 =192000

Fix Cost                                                      =180000

Operating Income                                     =108000

Net increase in operating income = 108000/60000-1 = 80%

5)

A)                                               10% Decrease   25% increase in units

Sales                 400000     360000        450000

Variable Cost -160000   0                -200000

Selling Cost                 0      -30000         -30000

Fix Cost                 -180000         0               -180000

Net Oper. Income    60000                          40000

Decrease in price will not affect the cost but sales will decrease by $40000

Increase in Sales units will also increase the Cost affects are shown above

In both case Fix cost will remain the same.

6.B)

No i will not recommend the manager's suggestion because the net operating will decrease by $ 20000 as shown above in part 5.a

6)

operating Income = 60000

Advertisement Expense = 60000

Current units sale = 20000*25% = 5000 increase in units

Net Cm * Increase in Units = 5000*12 = 60000 incremental Income Due to increase of 25% Sales

So putting the Same operating income That is 60000 and we have incremental income that can be used as Advertisement expense i.e 60000

4 0
2 years ago
Coke and Pepsi battle it out
Tanzania [10]

Answer:1. Advertising

2. D. They have more information about the product and the increased promotions give the consumers deals they otherwise would not have experienced.

Explanation:

The war between Pepsi and Coca- Cola is an advertisement war in which each is trying to gain the consumers patronage by proving the superiority of their product over others. It has nothing to do with research, price nor efficiency.

The advertisement provides more information on the product to the consumers and promotion offer like free gift which they hitherto would not have enjoyed.

Marketing or advertising cost are not passed to consumers and the advertisement been interesting adds little or no value to the consumers.

3 0
2 years ago
You are evaluating a proposed expansion of an existing subsidiary located in Switzerland. The cost of the expansion would be SF
Anna [14]

Answer:

SF7.37

Explanation:

PV of cash flow is calculated using the formula

1-(1+r)^-n/r=1-(1-0.15)^5/0.15=1-(0.75)^5/0.15=1-0.237/0.15=5.085

So pv=5.085×4.4=SF

20.3385million

Using interest parity

1+ic/1+ib =Fo/So

Counter country is US while home country is in

swiss

1+0.05/1.04=fo/1.09

Fo=1.09×1.05/1.04=1.1

So expected PV=20.3385×1.1=SF22.37235million

Profit=23.37235-15=SF7.37

6 0
1 year ago
Read 2 more answers
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