Answer: Whether a particular cost is classified as direct or indirect does not depend on the cost object - <u>FALSE. BECAUSE "A particular cost may be direct or indirect, depending on the cost object".</u>
A direct cost is one that can be easily traced to the particular cost object -<u>TRUE.</u>
The factory manager’s salary would be classified as an indirect cost of producing one unit of product.<u> - TRUE.</u>
A particular cost may be direct or indirect, depending on the cost object. <u>- TRUE.</u>
Answer: -$45 billion.
Explanation:
Net Exports refers to Exports out of a country less imports into the country and it is a component of GDP using the Expenditure method. The other components include Government Spending, Investment and Consumption all of which are given in the above question.
The Net Exports are therefore;
GDP = Consumption + Investment + Government Spending + Net Exports
3,542 = 2,343 + 865 + 379 + Net Exports
3,542 = 3,587 + Net Exports
Net Exports = 3,542 - 3,587
Net Exports = -$45 billion
The Net Exports are negative which means that more goods were imported than were exported.
Answer and Explanation:
1.
A is semi annual coupon=43.75
B is par or face value=1000
C is semi annual required return=5.25%
2.
Reasonable because coupon rate is less than ytm
3.
=(8.75%*1000)/11.75%*(1-1/(1+11.75%/2)^6)+1000/(1+11.75%/2)^6=925.95
4.
Less than
5.
Discount
Answer:
C) minimize its weighted average cost of capital (WACC).
Explanation:
The weighted average cost of capital (WACC) is determined by multiplying the different costs of capital by their relative weight (proportional to the company's total capital structure). You must include all the sources of capital in order to calculate the WACC, e.g. common stock, bonds, bank loans, preferred stock and other long term debts.
The lower the WACC, the lower the discount rate for the company's cash flows.
Answer:
a. 4,000 parking spaces
b. $10 per day
c. 4,000
Explanation:
a. If students pay for a permit, and not a daily fee:
the demand equation is Qd = 10,000 and Qs = 16,000
So, the shortage is
= 20,000 - 16,000
= 4,000 parking spaces
b. If the university charges a daily fee so the equation will be
Qd = Qs
20,000 - 400P = 16,000
4,000 = 400P
P = $10 per day
c. An increase in demand will be
Qd = 24,000 - 400P
To keep the price at $10
Qs = 24,000 - 400 × (10)
= 20,000
now,
More spaces required is
= 20,000 - 16,000
= 4,000
