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dimulka [17.4K]
2 years ago
3

Net working capital is a measure of a company's: A. goodwill. B. short-term liabilities. C. estimated cash reservoir. D. shareho

lders' equity.
Business
1 answer:
lakkis [162]2 years ago
3 0

Answer:

The correct answer is C. estimated cash reservoir.

Explanation:

Indicates the amount of resources that a company has to be able to continue working once all short-term liabilities are paid. These resources must be available in the short term, and the company can dispose of them immediately.

In technical terms, net working capital is calculated by subtracting current liabilities from current assets.

Companies, in addition to investing in fixed assets (capital expenditures), can allocate their funds in net working capital, this is what is known as a change in net working capital. It is the difference between the net working capital of a period with respect to the previous period. In growing companies, it is usually positive.

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If manufacturing overhead has been underallocated during the period, then which of the following is true?(a) the jobs produced d
Alecsey [184]

Answer:

The correct answer is B: the jobs produced during the period have been under-costed

Explanation:

Giving the following information:

If manufacturing overhead has been under-allocated during the period, then which of the following is true?

(a) the jobs produced during the period have been over-costed

(b) the jobs produced during the period have been under-costed

(c) the jobs produced during the period have been costed correctly

(d) none of the above

When manufacturing overhead has been under-allocated means that the actual costs incurred where superior that the estimated cost for the period.

7 0
2 years ago
Stocks that don't pay dividends yet
mariarad [96]

Answer:

horizon value at year 5 = $94.3444

current intrinsic intrinsic value P₀ = $47.73

Assuming that the markets are in equilibrium, Goodwin's current expected dividend yield is and Goodwin's capital gains yield is <u>0(it pays no dividends)</u>.

Goodwin has been very successful, but it hasn't paid a dividend yet. It circulates a report to its key investors containing the following statement:

Goodwin's investment opportunities are poor.

Is this statement a possible explanation for why the firm hasn't paid a dividend yet?

<u>B. False</u>

Generally companies that are experiencing a rapid growth do not pay dividends, because they need all the cash that they can use to finance their expansion. Sometimes mature companies that have a steady growth rate will also choose not to pay dividends because they consider themselves as solid investments and not paying dividends allows them to grow more and should increase stockholders' wealth more.

Explanation:

D₃ = $5.50

D₄ = $7.073

D₅ = $9.096

D₆ = $9.642 (and a constant growth rate of 4.38%

Re = 14.60%

horizon value at year 5 = $9.642 / (14.6% - 4.38%) = $94.3444

intrinsic value P₀ = $94.3444 / 1.146⁵ = $47.73

5 0
2 years ago
During the ____ phase of team implementation, managers have withdrawn from the daily operations and are counseling teams. Group
murzikaleks [220]

During the<u> self-managing teams </u>phase of team implementation, managers have withdrawn from the daily operations and are counseling teams.

<u>Option: D</u>

<u>Explanation:</u>

When business is in the form of start-up than it need huge attention from leading members like manager, employer, team leader, etc. But after training workers, employee and staff regarding their work and duties, the procedure they need to follow, timing, etc, the main leader concentrate more on counsel them, related to obstacles they face while performing their duties.

This is because after training and leasing some time to gain experience in firm, it is understood by manger that the team must have reached to self management, thus concentrating on daily operations is totally a work of team leader. But still when they need guidelines related to new strategies, ongoing improvement, physical and mental issues due to work load, how to remain in pace, etc manger counsel them.

7 0
2 years ago
Susie is thinking about changing her auto insurance policy at Fret-No-More Auto Insurance. Her current policy includes the follo
k0ka [10]

Answer:

Changes that would increase Susie’s limits the most without increasing her monthly premium by more than $5.00 is Option C: Increase coverage on bodily injury to $100/300,000 and on property damage to $50,000.

Explanation:

Lower coverage does not necessarily means lower premiums.

Premium is the amount of one makes to keep his insurance policy active. Lower coverage would mean lower premium but that means there would be a few restrictions on the insurance policy while covering that policy.

Full coverage policies of the vehicle not only covers the liabilities but also the damage that occurs to the car.

If Susie increases the 'coverage' on the injury of the body to '$100/300,000' and on property damage to '$50,000', then her monthly premium would not increase from more than $5.00.

7 0
2 years ago
A ________ is a partnership in which two or more companies (often from different countries) join together and share the risk and
GenaCL600 [577]

Answer:

The correct answer is letter "B": joint venture.

Explanation:

Two or more companies in a traditional joint venture plan to commit capital and resources to a specific project. Developers, manufacturers, and service providers typically agree to form a joint venture. If successful, those parties divide the income based on the value of their respective joint venture contributions.

4 0
2 years ago
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