Answer:
B. $1.12
Explanation:
The computation of arbitrage trading profit is shown below:-
Euro Share price = £0.875
Spot rate R = £0.6366/$1.00
1 ADR Share price in US = $5.75
1 ADR = 5 share of shares
Now, The actual price of 1 ADR P1 = 5 × Euro Share price ÷ Share price in US
= 5 × £0.875 ÷ £0.6366
= $6.87
Therefore, The Arbitrage profit = Actual price - trading price
= Actual price - Price in US
= $6.87 - $5.75
= $1.12
Therefore for computing the arbitrage trading profit we simply applied the above formula.
Answer:
A one-time error in the application of the lower of cost or market/net realizable value (LCM/NRV) rule in the current period distorts financial results for the current accounting period:
a. only.
Explanation:
The lower of cost or market (LCM/NRV) method states that when valuing a company's inventory use the historical cost or the market value, whichever is lower. The historical cost refers to the cost at which the inventory was purchased. The market value is the current price. The implication is that while the historical cost remains static, the market value shifts over time.
Therefore, if there is a one-time error made in the use of the LCM/NRV rule, it only affects the current period. The next accounting period will restart the process of comparing the historical costs with the market value, thus obviating the need to repeat the error.
Answer: See explanation
Explanation:
a. Predetermined overhead rate will be:
= Administrative costs/Number of users
= 739,500/25,500
= $29 per user
Administrative costs applied to Toot will be:
= Number of users x Predetermined overhead rate
= 8900 x 29
= $258100
Administrative costs applied to Tix will be:
= Number of users x Predetermined overhead rate
= 16600 x 29
= $481400
b. For Toot
Revenue: $1,450,000
Less: Engineering cost: $402,500
Less: Administrative cost: $258,100
Profit = $789400
For Tix:
Revenue: $1,200,000
Less: Engineering cost: $521,875
Less: Administrative cost: $481,400
Profit = $196725
The ‘SMART’ technique a tool for effective goal setting. The acronym SMART stands for Specific, Measurable, Attainable, Realistic, and Time-bound, all of which are requisites for goals. The goal “to sell a combination of six refrigerators, stoves or dishwashers to earn a bonus” is specific, measurable, attainable and realistic because Michelle has done this before. Yet the goal is not time-bound. The length of time it is required to meet is not specified in the goal.
<span>
Jobs created by pollution-control will offset those that may be lost
you'r welcome :)
</span>