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2 years ago

Over a six-month period in 2007, the price of corn increased by almost 70% as a result of increased demand for ethanol biofuel.

Business

1 answer:

Lady bird [3.3K]2 years ago

6 0

Answer:

a. As a result of the price increase in corn, the supply of corn would increase. At the same time, the amount of acreage used in corn production would increase.

b. The most likely cause of the change in the amount of acreage used in corn production is:

A. The higher price signals suppliers that corn is becoming more valuable.

Explanation:

With corn as the major ingredient for the production of ethanol biofuel the demand and supply of corn increase to match with the increasing price. Suppliers, on their part, increase production by utilizing more acreage of land devoted for corn production. This is the typical interplay between the market forces that drive market equilibrium.

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Micro Enterprises has the capacity to produce 10,000 widgets a month, and currently makes and sells 9,000 widgets a month. Widge

balu736 [363]

Answer:

The order for 1,500 at $4 should be rejected. It will imply omre work for no extra income.

Explanation:

First, we need to check for the cost structure of Micro Enterprises

9,000 x $5 average cost = 45,000 total cost

total cost = fixed cost + variable cost

45,000 = 18,000 + 9,000 x variable cost per unit

(45,000 - 18,000) / 9,000 = variable per unit

variable per unit = 3

Now we calculate the the special order

sales revenue for the proposed deal: 1,500 x 4 = 6,000

variable cost for the widget: 1,500 x 3 = (4,500)

opportunity cost:

we resing the contribution for 500 units in the local marke

this units selling price is $6 and their cost is the same $3

500 x (6 - 3 ) = (1,500)

net differencial analysis 0

It should be rejected. as it would not modify the net income

We could prove this by building the incomefor each scenario

if not accepted:

9000 x ( 6 - 3 ) -18,000= 9,000

if accepted:

8500 x (6-3) + 1,500 x (4-3) - 18,000 = 9,000

6 0

2 years ago

Wylie has been offered the choice of receiving $5,000 today or an agreed-upon amount in 1 year. While negotiating the future amo

Studentka2010 [4]

Answer:

The answer is 14%

Explanation:

Formula for Future value (FV) FV = PV (1+ni)

Whereas FV= Future value, PV = present value, n= number of years, i= TVOM in percentage

Rearranging the formula for i

i = (FV/PV)-1

So, i = (5,700/5,000)-1

i = 1.14-1

i = 0.14

i = 14%

(0.14x100=14%)

8 0

2 years ago

How do you feel about the total profits you made with Shady Sam? How do those emotions compare with how you felt while you were

charle [14.2K]

Answer:

1. How do you feel about the total profits you made with Shady Sam?

I felt hilarious making huge sums of profits from a careless borrowers who did not take due diligence to study and apply properly the procedures of borrowing from the Shylock lenders like me who undue advantages of her loose ends.

2. How do those emotions compare with how you felt while you were playing the game? Explain.

The emotions are overwhelming because of how I made huge sums as profit from borrowers who are carefree in the application and utilisation of loans without reassessing the consequences. It is always exciting to smile always to the banks.

Explanation:

Financial regulations in America are skewed toward those who have money to lend, rather than those who need to borrow it. This imbalance lets unscrupulous lenders gouge customers who have no other options for access to cash. These legal loan sharks can charge exorbitant interest rates or pile on fees to keep borrowers in constant debt.

But it isn’t always easy to tell when you’re being taken advantage of. A new 8-bit online game from Next Gen Personal Finance lets players slip into the role of one of these sleazy lenders. The goal: scam good people out of as much of their hard-earned money as you can, and learn a little about how to protect yourself in the process.

As a new employee at Shady Sam’s, players pick the best loan option (i.e. worst for the customer) to present to a stream of borrowers who can’t get money from traditional banks. Charlotte needs $345 to make rent tomorrow, but she doesn’t get paid until Friday. Offer her a two-week loan with a huge $55 fee. When she can’t pay it all back quickly enough, just tack on $25 fees every month. When Myrtle pays back her auto loan early, don’t take the nice way out. Charge her an early payoff fee. That’s what a lot of banks would do.

Shady Sam is a hands-on boss. He emails regularly with praise or criticism depending on how much profit you’ve squeezed out of the customers. He also lays out the tactics lenders use to maximize costs. It’s exhilarating to watch the coffers fill up, even at the expense of people down on their luck. Do a good job, and Sam will even send baubles for your desk--a coffee mug, a bonsai tree, a red stapler.

6 0

2 years ago

Record the issuance of additional shares for $1,469 cash; total par value was $1 and the rest was in excess of par value.

mel-nik [20]

Answer:

cash 1,469 debit

common stock 1 credit

additional paid-in 1,468 credit

--to record issuance of shares in exchange of cash--

Explanation:

We are given the fact that total par value of the shares is $1

thus, the remained will be additional paid-in excess of Common stock.

We debit the cash received as it is an asset

Then, we credit both, common stock and additional paid-in excess of Common Stock as they are equity accounts.

7 0

2 years ago

In the current year, Keyaki Construction Company exchanged a building, which cost $530,000 and had accumulated depreciation of $

wariber [46]

Answer:

The tax basis of the new building amounts to $650,000

Explanation:

The tax basis of the new building is computed as:

Tax basis = Old building - Accumulated depreciation + Cash paid

Where

Old building is $530,000

Accumulated depreciation is $160,000

Cash paid is $280,000

Putting the values above:

= $530,000 - $160,000 + $280,000

= $370,000 + $280,000

= $650,000

4 0

2 years ago