In the Management in Action case, McFarland primarily failed at downward communication.
Downward communication is the process of transmitting information from higher-level employees to lower-level employees within an organization. This type of communication is essential for ensuring that employees are aware of their roles, responsibilities, and expectations. It also helps to build trust and maintain positive relationships between employees and management.
McFarland's failure at downward communication was evident in several ways. First, he failed to clearly communicate the company's goals and objectives to his team. As a result, employees were unsure of what they were working towards, which led to a lack of motivation and poor performance.
Second, McFarland did not provide adequate feedback to his employees. This is a critical aspect of downward communication as it helps employees to understand their strengths and weaknesses and to make necessary improvements.
Finally, McFarland did not listen to his employees. Downward communication is not just about transmitting information; it also involves actively listening to feedback and ideas from employees. By ignoring the input of his team, McFarland missed out on valuable insights that could have helped to improve the company's performance.
In conclusion, McFarland's failure at downward communication had a significant impact on the company's performance. By failing to clearly communicate the company's goals and objectives, provide feedback, and listen to his employees, he created a culture of confusion and mistrust. To be an effective manager, it is essential to prioritize downward communication and to ensure that all employees are on the same page.
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a corporate bond with a face value of $1,000 matures in 5 years and has an annual coupon rate of 4.5 percent. the current price of the bond is $1,069.14 and interest is paid semiannually. what is the yield to maturity? group of answer choices 1.94% 3.00% 1.50% 3.89% 1.66%
The yield to maturity for this corporate bond is approximately 1.94%. The correct option is 1.94%.
To calculate the yield to maturity (YTM) for the corporate bond, we can use the following formula:
Bond Price = (C * (1 - (1 + YTM/2)^(-2 * Years to Maturity))) / (YTM/2) + (Face Value / (1 + YTM/2)^(2 * Years to Maturity))
Where:
Bond Price = $1,069.14
Face Value = $1,000
Years to Maturity = 5
C = (Face Value * Annual Coupon Rate) / 2 = ($1,000 * 0.045) / 2 = $22.50
Now, we need to solve for YTM. Since it's difficult to solve this equation algebraically, we can use a trial-and-error method with the given answer choices to find the YTM:
1. 1.94%
2. 3.00%
3. 1.50%
4. 3.89%
5. 1.66%
After testing each of these options, you'll find that the bond price is closest to $1,069.14 when YTM is 1.94%. Therefore, the correct option is 1.94%.
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a.b. winston has a company policy of increasing its dividend by 2.5 percent annually. what will the annual dividend for this firm be 3 years from now if the last dividend paid was $2.80 a share?
Based on the company policy of increasing its dividend by 2.5 percent annually, the annual dividend for a.b. Winston three years from now will be $3.02 per share.
To do so, we need to use the formula for calculating the future value of an investment:
FV = PV x (1 + r)^n
Where:
FV = future value
PV = present value
r = annual interest rate
n = number of years
In this case, the present value (PV) is $2.80, the annual interest rate (r) is 2.5%, and the number of years (n) is 3.
Plugging in the values, we get:
FV = $2.80 x (1 + 0.025)^3
FV = $2.80 x 1.0772
FV = $3.02 (rounded to two decimal places)
Therefore, the annual dividend for a.b. Winston will be $3.02 per share three years from now if the last dividend paid was $2.80 a share and the company policy of increasing its dividend by 2.5 percent annually is upheld.
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Question 10 1 pts Automatic stabilizers have the effect of O reducing inflationary and recessionary gaps. inflation. eliminating all recessions. O increasing the long-run supply curve.
Automatic stabilizers are government policies that automatically adjust to changes in the economy, without requiring explicit action from policymakers. These policies can help reduce the negative effects of both inflationary and recessionary gaps.
In an inflationary gap, the economy is producing beyond its capacity, leading to higher prices and inflation. Automatic stabilizers can help reduce this gap by decreasing government spending and increasing taxes, which reduces aggregate demand and puts downward pressure on prices.
This helps to reduce the inflationary pressure in the economy.
In a recessionary gap, the economy is producing below its potential, leading to high unemployment and slow economic growth. Automatic stabilizers can help reduce this gap by increasing government spending and decreasing taxes, which boosts aggregate demand and stimulates economic activity.
This helps to reduce unemployment and promote economic growth.
Therefore, automatic stabilizers can help to stabilize the economy by reducing the negative effects of both inflationary and recessionary gaps. This is beneficial as it helps to maintain a stable economic environment and prevents excessive fluctuations in economic activity.
By reducing these gaps, automatic stabilizers can help promote long-term economic growth and stability.
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one way of ensuring that recurring adjusting journal entries are made each month would be to group of answer choices create a standard adjusting journal entry file rotate the responsibility among the accounting staff program the entries to be made automatically make all the entries a month in advance
One way of ensuring that recurring adjusting journal entries are made each month would be to create a standard adjusting journal entry file.
This file would contain all of the necessary entries for each month, and could be easily accessed and used by the accounting staff. Another option would be to rotate the responsibility among the accounting staff, ensuring that each member is responsible for making the necessary entries on a regular basis.
Alternatively, the journal entries could be programmed to be made automatically, using accounting software or other tools. However, it is important to review and verify the accuracy of these entries on a regular basis. Making all of the entries a month in advance may not be practical or feasible, as it would require predicting all of the necessary adjustments ahead of time.
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suppose that a bank holds no excess reserves and receives a deposit from a customer of $ 200 . how does this impact the money supply?
When a customer deposits $200 into a bank, then bank's reserve increase by $200. Since the bank holds no excess reserves, it can lend out the entire $200 to borrowers. This bank's reserves in lending process increases the money supply, as borrowers spend the newly borrowed money in the economy.
The money multiplier effect comes into play here. As the borrowers spend the $200, the recipients of those payments will deposit the money in their own bank accounts, and the process continues. This chain of events leads to a larger increase in the money supply than the initial $200 deposit.
To calculate the total increase in the money supply, use the formula:
Total Money Supply Increase = Initial Deposit × Money Multiplier
The money multiplier is determined by the reserve requirement ratio. For example, if the reserve requirement ratio is 10%, the money multiplier would be 1 / 0.1 = 10. In this case, the total increase in the money supply would be:
$200 × 10 = $2,000
Thus, the initial $200 deposit would ultimately increase the money supply by $2,000, given a 10% reserve requirement ratio.
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In what ways, if any, is Nestlé exercising corporate social
responsibility? Are there any changes to its CSR strategy that you
would suggest? If some shareholders complained that Nestlé has been
Nestlé is committed to corporate social responsibility in various ways. Firstly, they have established policies to ensure responsible sourcing of raw materials, such as cocoa, coffee, and palm oil.
They are working towards achieving sustainable agricultural practices. Secondly, the company is actively involved in several charitable activities, such as providing clean drinking water to developing countries and supporting local communities through various initiatives. Additionally, Nestlé has set targets to reduce its environmental impact, including carbon emissions, water usage, and waste generation.
In terms of changes to its CSR strategy, Nestlé could increase transparency and accountability in its supply chain by regularly reporting on its progress and addressing any issues or challenges. Additionally, they could invest more in renewable energy sources to further reduce their carbon footprint.
If shareholders complain about Nestlé's CSR practices, the company should listen to their concerns and take appropriate action to address them. It is essential to ensure that the company's operations align with its values and mission while also creating value for all stakeholders, including shareholders, customers, employees, and the environment.
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a $30,000 bond issue with a stated rate of interest of 6%, when the market rate of interest is 7%, means that the bond will be sold for:
Means that the bond will be sold for less than 30,000.
The market interest rate in effect at the time of issuance has an inverse relationship with a certain bond's issue price. As a result, the price of such bonds will be higher than their face value or par value.
If bonds with a stated interest rate (also known as a coupon rate) of 7% are issued when the market interest rate is 6%. The bond will be sold for less than face value (often referred to as a discount) if the contract rate is lower than the market rate. The bond will sell for more than face value if the contract rate is higher than the market rate (this is known as a premium).
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At what rates do the following variables grow, if at all, in the steady state for the Solow Growth Model with population growth but without technological progress? Production is defined here by Y = F(K, L) with constant returns to scale. Also, s > 0,δ >0, n > 0, and g = 0. . - capital per worker- capital- output per worker - output
In the steady state for the Solow Growth Model with population growth but without technological progress, capital per worker and output per worker grow at a rate of zero.
What is the solow growth model?
In the Solow Growth Model with population growth but without technological progress, the steady-state values for capital per worker (k*), capital (K*), output per worker (y*), and output (Y*) are:
Capital per worker (k*): In the steady state, capital per worker grows at a rate of zero. This means that, in the long run, the amount of capital per worker remains constant.
Mathematically, we can write this as:
gk* = 0
Capital (K*): In the steady state, the total amount of capital in the economy also grows at a rate of zero, since the population is growing at a constant rate and there is no technological progress. This means that, in the long run, the amount of capital in the economy remains constant as a proportion of the population.
Mathematically, we can write this as:
gK* = nK* - δK*
Output per worker (y*): In the steady state, output per worker also grows at a rate of zero, since the capital stock per worker is constant and there is no technological progress. This means that, in the long run, the amount of output produced by each worker remains constant.
Mathematically, we can write this as:
gy* = 0
Output (Y*): In the steady state, total output also grows at a rate of zero, since the population is growing at a constant rate and there is no technological progress. This means that, in the long run, the amount of output produced in the economy remains constant as a proportion of the population.
Mathematically, we can write this as:
gY* = nY*
This means that they do not grow at all in the steady state. However, capital and output continue to grow at a rate equal to the population growth rate, which is represented by the variable n.
Therefore, the growth rate of capital and output is equal to n.
In summary, in the Solow Growth Model with population growth but without technological progress, the steady-state values for capital per worker, capital, output per worker, and output all grow at a rate of n.
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Suppose that this month one million more people enter the labor force, but the total number of people working does not change. Then a. total employment has risen.b. the nation's unemployment rate has risen.c. the nation's unemployment rate has fallen. d. the nation's unemployment rate has not changed.
In an economy, the labor force is the total number of people who are either employed or unemployed but actively looking for work. When the number of people in the labor force increases, the total number of people working may or may not change. In this case, we are assuming that the total number of employed people stays the same.
When one million more people enter the labor force but the number of employed people stays the same, it means that those additional one million people are now classified as unemployed. To calculate the unemployment rate, we take the number of unemployed people and divide it by the labor force.
Therefore, if the labor force increases by one million people, but the number of employed people does not change, the number of unemployed people has increased by one million. Dividing this number by the larger labor force will result in a higher unemployment rate.
So, the correct answer is b. the nation's unemployment rate has risen.
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A perfectly competitive firm will benefit by spending some of its revenues advertising the product it produces. A True B False
It depends on the specific circumstances of the market and the firm. In some cases, a perfectly competitive firm may benefit from advertising its product, while in other cases, it may not.
In a perfectly competitive market, all firms sell identical products and are price-takers, meaning they have no market power to set prices. In this type of market, consumers have perfect information about the products available and their prices, and firms cannot differentiate their products through advertising or other means. However, in some cases, advertising can help a firm in a perfectly competitive market to increase brand recognition and loyalty among consumers, which can lead to increased demand and market share. Additionally, advertising can inform consumers about new or improved products, potentially increasing demand and sales. On the other hand, in a perfectly competitive market, the costs of advertising may outweigh the benefits, especially if all firms in the market are also advertising. In this case, the increased demand generated by advertising may be offset by the higher costs, leading to lower profits for the firm. Therefore, the answer is not a straightforward true or false, and depends on the specific market conditions and the firm's advertising strategy.
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Troy is managing a project that is several weeks into production. One of the processes used on the project is imposing constraints on what can be achieved by the project team. What should Troy use to determine a strategy to improve the process?AnswersA.Process analysisB. SWOT analysisC. Control chartsD. Ishikawa diagram
To determine a strategy to improve the process that is imposing constraints on the project team, Troy should use Process Analysis.
Process Analysis involves examining the various steps in a process to identify inefficiencies, bottlenecks, and areas for improvement. By conducting a Process Analysis, Troy can gain a better understanding of the process, identify potential problems, and develop solutions to enhance the performance of the project team. This approach will help Troy to optimize the process and ensure that the project runs smoothly.
To conduct a Process Analysis, Troy should:
1. Define the process: Identify the specific process that needs improvement and define its purpose, inputs, and desired outputs.
2. Break down the process: Break down the process into its individual steps and components.
3. Identify inefficiencies: Analyze each step and component to find inefficiencies, bottlenecks, or areas that can be improved.
4. Develop solutions: Propose strategies or changes to address the identified issues.
5. Implement changes: Make the necessary adjustments to the process and monitor the results to ensure that the changes are effective and beneficial to the project team.
By following these steps, Troy will be able to develop a strategy to improve the process and overcome any constraints that may be limiting the project team's performance.
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QUESTION 5 = Let the price elasticity of demand for group A be EA = -4 and for group B be EB = -2. The MC of selling is constant and the same for both groups. If the seller engages in price discrimination by market segments, then ... consumers in group A will pay the same price as consumers in group B. consumers in group A will pay 2 times more than consumers in group B consumers in group A will pay a lower price than consumers in group B
If the seller engages in price discrimination by market segments, then consumers in group A will pay a lower price than consumers in group B. This is because price discrimination involves charging different prices to different groups of consumers based on their willingness to pay.
Since the price elasticity of demand is higher for group A (-4) compared to group B (-2), group A is more price-sensitive and willing to pay a lower price. The seller can therefore charge a higher price to group B while charging a lower price to group A, resulting in a higher overall profit.
It is important to note that for price discrimination to work, the seller must be able to differentiate between the two groups of consumers and prevent arbitrage, which is when consumers from one group buy at the lower price and then resell to consumers in the other group at a higher price.
In conclusion, price discrimination by market segments can help a seller maximize profits by charging different prices to different groups of consumers based on their willingness to pay. In this case, consumers in group A will pay a lower price than consumers in group B due to the difference in their price elasticity of demand.
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Howhas the senate become a threat to canadian democracy?
The senate in Canadian democracy has been a topic of debate for many years. Some argue that the senate has become a threat to Canadian democracy due to its unelected nature and lack of accountability to the Canadian people.
This lack of accountability can lead to senators making decisions that do not align with the will of the people they are supposed to represent. Additionally, the senate has been known to be a partisan institution, with appointments being made based on political affiliations rather than qualifications. This can result in senators being more loyal to their party than to the interests of the Canadian people. Overall, the senate's lack of accountability and partisan nature has led to concerns about its impact on Canadian democracy.
The Senate has been perceived as a potential threat to Canadian democracy due to concerns over its unelected nature, lack of representation, and potential for partisan appointments. In a democratic system, citizens expect their representatives to be elected and accountable; however, Canadian Senators are appointed, which can undermine the democratic principles of representation and accountability. Additionally, partisan appointments may lead to biased decision-making, further diminishing the democratic legitimacy of the Senate.
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Table 3-11
Assume that Falda and Varick can switch between producing wheat and producing cloth at a constant rate.
Quantity Produced in 1 Hour
Bushels of Wheat
Yards of Cloth
Falda 8
12
Varick 6
15
Refer to Table 3-11. Falda's opportunity cost of one bushel of wheat is
The opportunity cost of one bushel of wheat for Falda is the amount of cloth that she could have produced instead. To find out, we need to calculate the trade-off between wheat and cloth production for Falda.
From the table, we see that in one hour, Falda can produce either 8 bushels of wheat or 12 yards of cloth. Therefore, her opportunity cost of one bushel of wheat is:
12 yards of cloth / 8 bushels of wheat = 1.5 yards of cloth per bushel of wheat
So, for every bushel of wheat that Falda produces, she gives up the opportunity to produce 1.5 yards of cloth.
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The key for a company to achieve competitive advantage is either to provide superior value to customers or to deliver value more
a. collabortively
b. subtly
c. forcefully
d. efficiently
The key for a company to achieve competitive advantage is either to provide superior value to customer or to deliver value more efficiently. Therefore the correct option is option D.
While collaboration and subtle delivery might help you gain a competitive advantage in some scenarios, they are not the major drivers of value creation or operational efficiency.
Customers are provided with exceptional value when a product or service satisfies their demands and surpasses their expectations in terms of quality, features, and pricing.
This can be accomplished through a variety of tactics, including product distinction, exceptional customer service, and inventive marketing strategies. Therefore the correct option is option D.
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which statement best summarizes the economic theories of adam smith
Answer: Economies work best when government leave businesses alone.
Explanation:
The primary advantage to selling pollution permits rather than using a fixed percent reduction for all firms is that ________. A. pollution reduction is accomplished in the least costly way possible B. the government can raise additional revenue C. enforcement costs are eliminated D. pollution is driven to zero Do Not
The primary advantage to selling pollution permits rather than using a fixed percent reduction for all firms is that pollution reduction is accomplished in the least costly way possible.
When the government mandates a fixed percent reduction in pollution for all firms, it can be costly for some firms to comply with these regulations. On the other hand, selling pollution permits allows firms to purchase the right to pollute from other firms that are able to reduce their pollution levels at a lower cost. This system creates a market for pollution permits, which helps to allocate resources more efficiently and reduce the overall cost of pollution reduction. Additionally, selling pollution permits can generate revenue for the government, which can be used to fund further environmental initiatives. Thus, selling pollution permits is considered a more economically efficient way of reducing pollution.
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in the market for a particular pair of shoes, geri is willing to pay $65 for a pair, while jane is willing to pay $85 for a pair. the actual price that each has to pay for a pair of these shoes is $65. what is the total amount of the two women's combined consumer surplus?
Answer:
20$
Explanation:
The consumer surplus for Geri is the difference between what she is willing to pay and the actual price she pays, which is:
CS_Geri = 65 - 65 = 0
The consumer surplus for Jane is the difference between what she is willing to pay and the actual price she pays, which is:
CS_Jane = 85 - 65 = 20
Therefore, the total consumer surplus for both women combined is:
CS_total = CS_Geri + CS_Jane = 0 + 20 = 20
So the combined consumer surplus for Geri and Jane is $20.
abmt is trying to decide whether to make or buy an accessory item for one of their products. it is projected that this item will sell for $10 each. if the item is bought, there are three suppliers with different costs and quality ratings to choose among. if they make the item, then they have two processes that could be used. process a requires a large investment, but has a low production cost per unit. process b requires a smaller investment, but has a relatively high production cost per unit. regardless of whether the item is bought or produced internally, there is a 50% chance that they will sell 50,000 units, and a 50% chance that they will sell 100,000 units. if you were to draw a decision tree for this problem, how many decisions would there be? a) 1 b) 2 c) 3 d) 4 e) more than 4 jdi, inc. is trying to decide whether to design and make a part or to buy the part. buying the part would cost more per unit than making the part. however, there is a large investment for designing and making the part. further, they realize that if they make the part, there is a 30% chance that the part will need to be redesigned at an additional cost. which decision tree below represents this problem? a) a b) b c) c d) d e) none of these.
If we draw a decision tree, we can see that there are three possible decisions to choose from when buying the accessory item, and two possible decisions when making the item (one for each process). Option (c) is the correct answer.
Additionally, there are two possible outcomes for sales, so there would be a total of 8 decisions in the decision tree. Therefore, the answer is (e) more than 4.
For the second question, we need to look for the decision tree that represents the problem of deciding whether to design and make a part or to buy the part, considering the investment and the possibility of needing a redesign.
Option (c) represents this problem, with a decision to make or buy and a chance of needing a redesign leading to either additional costs or proceeding with the production. Therefore, the answer is (c).
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In the international airline market, the demand for flight tickets is Q=50-(p/4). There are two firms in this market with constant marginal and average costs of $40. These two identical firms are located in two countries, denoted as country A and country B. Firms are denoted as firm A and B to reflect the country of their headquarters. Now assume that firms A and B compete as described in the Cournot game. a) What is Firm 1's best-response function? Show your workings b) Determine the equilibrium quantities for each firm and the equilibrium price.
the equilibrium price is $32 and each firm produces 5 units of output.
a) To find firm 1's best-response function, we need to determine how much firm 1 will produce given firm 2's output level. The profit function for firm 1 can be expressed as follows:
π1 = (p1 - 40)Q1
where p1 is the price charged by firm 1 and Q1 is firm 1's output level. We can substitute the demand function into this expression to get:
π1 = (p1 - 40)(50 - (p1 + p2)/4 - Q1)
Taking the derivative of this expression with respect to Q1 and setting it equal to zero, we get:
(p1 - 40) = (p1 + p2)/4 - 50/4
Simplifying this expression, we get:
Q1 = (3/8)p1 - (1/8)p2 - 15/8
This is firm 1's best-response function.
b) To find the equilibrium quantities and price, we need to solve for the intersection of the two best-response functions. Using the best-response function we found for firm 1, and the analogous expression for firm 2, we get the following system of equations:
Q1 = (3/8)p1 - (1/8)p2 - 15/8
Q2 = (3/8)p2 - (1/8)p1 - 15/8
We can solve this system of equations to get
p1 = p2 = 32
Q1 = Q2 = 5
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As explained in "The Power and the Glory," one major complaint about subsidies for renewable energy innovation is that they:
As explained in "The Power and the Glory," one major complaint about subsidies for renewable energy innovation is that they can create an unfair advantage for certain companies and industries. Critics argue that government subsidies can lead to market distortions and discourage competition, as companies that receive funding may not be incentivized to reduce costs or improve efficiency.
Additionally, subsidies may not be effective in driving innovation in the long term, as companies may become reliant on government support rather than developing sustainable business models. Some opponents also argue that subsidies can be a burden on taxpayers, who may ultimately bear the cost of funding renewable energy projects.
However, proponents of subsidies for renewable energy innovation argue that they are necessary to address the urgent threat of climate change and promote the transition to a more sustainable energy system. Ultimately, the effectiveness of subsidies for renewable energy innovation depends on the design and implementation of these policies, as well as their ability to foster innovation while ensuring fair competition and value for taxpayers.
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The future-oriented aspect of the management process is ______.
planning
implementing
controlling
The future-oriented aspect of the management process is planning. Planning involves setting goals and objectives for the future and developing strategies and action plans to achieve them.
It is a critical aspect of management as it helps to ensure that the organization is moving in the right direction and making progress towards its desired outcomes. Implementation involves putting the plans into action, while controlling involves monitoring and evaluating progress to ensure that goals are being met and adjustments can be made if necessary. Planning is the process of setting goals and objectives, identifying the resources needed to achieve them, and developing a plan of action to accomplish them. Planning involves looking ahead to the future and anticipating what needs to be done to achieve desired outcomes.
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Nonmanufacturing costs include ______.
insurance on plant equipment
assembly-line worker wages
company president's salary
sales commissions
Nonmanufacturing costs, also known as non-production costs, are expenses that are not directly associated with the production of goods or services. These costs are typically divided into two categories: selling expenses and general & administrative (G&A) expenses.
In the given options, "insurance on plant equipment" and "assembly-line worker wages" are not considered nonmanufacturing costs, as they are directly related to the production process. Insurance on plant equipment is a production cost associated with the maintenance and protection of the equipment, while assembly-line worker wages are a part of direct labor costs in the manufacturing process.
On the other hand, the "company president's salary" and "sales commissions" are examples of nonmanufacturing costs. The company president's salary falls under the G&A expenses category, as it is an indirect cost associated with the overall management and administration of the organization. Sales commissions are part of selling expenses, as they are costs incurred in promoting and selling products or services to customers.
In conclusion, nonmanufacturing costs include the company president's salary and sales commissions, while insurance on plant equipment and assembly-line worker wages are considered manufacturing or production costs. These distinctions are crucial for understanding and managing an organization's financial performance and cost structure.
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On June 25, 1941, President Franklin D. Roosevelt issued Executive Order 8802. The executive order declared full participation by all U.S. citizens (regardless of race, creed, color, or national origin) in what...?
Social Security and Medicare programs
Affirmative action practices
National defense programs
Anti-discrimination practices
The executive order declared full participation by all U.S. citizens (regardless of race, creed, color, or national origin in discriminatory employment practices by federal agencies and all unions and companies engaged in war-related work.
The correct answer is option D.
As the US prepared for World War II in early 1941, millions of jobs were being generated, mostly in urban areas.
African Americans were frequently the targets of violence and discrimination as they relocated in significant numbers to cities in the north and west to work in the defence industry.
Executive Order 8802 established the "Committee on Fair Employment Practise" to look into "complaints of discrimination in violation of the provisions of this order." Most historians have dismissed it as a helpless, ineffective organisation, particularly in the South.
The FEPC nearly became a permanent agency after World War II, but a powerful congressional voting group blocked it. Executive Order 9981, signed by President Truman shortly after the FEPC was dismantled, forbade segregation in work place.
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average total cost is equal to marginal cost when responses a average variable cost is also equal to marginal cost.average variable cost is also equal to marginal cost. b average variable cost is falling.average variable cost is falling. c marginal cost is at its minimum.marginal cost is at its minimum. d average total cost is at its minimum.average total cost is at its minimum.
Marginal cost is equal to both average variable cost and average total cost when they are their minimums. Option (b) is correct.
Marginal cost (MC) is the additional cost of producing one more unit of output. Average variable cost (AVC) is the variable cost per unit of output. Average total cost (ATC) is the total cost per unit of output. When marginal cost intersects the average variable cost and average total cost curves, it is equal to them.
Marginal cost is an important concept in economics because it helps firms make decisions about how much to produce. If the marginal cost of producing one more unit is less than the price that consumers are willing to pay for that unit, then the firm will increase production to earn additional profit.
Therefore, option (b) is the correct answer.
-----------The given question is incomplete, the complete question is:
"Marginal cost is equal to both average variable cost and average total cost when:
a. average total cost and average variable cost are decreasing.
b. average variable cost and average total cost are their minimums.
c. the marginal product of labor is increasing.
d. total fixed costs are large relative to variable costs."-----------
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bethesda water has an issue of preferred stock outstanding with a coupon rate of 4.10 percent that sells for $90.54 per share. if the par value is $100, what is the cost of the company's preferred stock?
The cost of Bethesda Water's preferred stock is 43.3%.
The cost of Bethesda Water's preferred stock can be calculated using the formula:
Cost of Preferred Stock = Annual Dividend / Net Proceeds from Sale
To calculate the annual dividend, we need to multiply the coupon rate (4.10%) by the par value ($100), which gives us $4.10 per share.
To calculate the net proceeds from sale, we need to subtract the selling price ($90.54) from the par value ($100), which gives us $9.46 per share.
Now, we can plug these values into the formula:
Cost of Preferred Stock = $4.10 / $9.46 = 0.433 or 43.3%
This means that the company needs to pay $4.10 per share annually to its preferred stockholders, which represents 43.3% of the net proceeds from the sale of each preferred stock share.
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Growth, Empirics, and Policy - End of Chapter Problem Suppose an economy described by the Solow model is in a steady state with population growth n of 1.8 percent per year and technological progress g of 1.8 percent per year. Total output and total capital grow at 3.6 percent per year. Suppose further that the capital share of output is } a. Using the growth-accounting equation to divide output growth into three sources—capital, labor, and total factor productivity -determine how much output growth can be attributed to each source. (Indicate your answer to the tenths place.) Contribution of capital: % Contribution of labor: % Contribution of total factor productivity growth: % b. The results _________ the data shown in Table 10-1 in the text for the United States for 1948–2019. (Let the criterion for "matching" be within 2 or 3 tenths of a percent for each estimate.)
Contribution of capital: 1.8%
Contribution of labor: 0%
Contribution of total factor productivity growth: 1.8%
The Solow growth model is an economic framework used to understand the sources of long-run economic growth in an economy
The model assumes that the economy has a steady state, which is characterized by a constant level of output per capita, a constant level of capital per capita, and a constant rate of population growth. In this problem, the economy is assumed to be in a steady state, with a population growth rate of 1.8% per year and technological progress of 1.8% per year.
The growth-accounting equation is used to divide output growth into three sources: capital accumulation, labor force growth, and total factor productivity (TFP) growth. In this case, total output and total capital grow at 3.6% per year, so the contribution of capital accumulation to output growth is 1.8% (50% of total output growth). Since the labor force is assumed to be growing at a rate of 1.8% per year, the contribution of labor to output growth is zero. Therefore, the remaining 50% of output growth is attributed to TFP growth, which is also 1.8%.
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Question 2 Compare the future worth of $3,000 for 8 years at 12% per year compounded monthly. How much interest is paid? O a.F - $3,533 O b. F = $3,633 9. c. F = $4,633 Od. F = $4,533
The interest paid is approximately $4,900.70.
To calculate the future worth of $3,000 for 8 years at 12% per year compounded monthly, we need to use the formula for compound interest:
F = P(1 + r/n)^(nt)
where:
F = future worth
P = principal amount ($3,000)
r = annual interest rate (0.12)
n = number of times the interest is compounded per year (12 for monthly)
t = number of years (8)
Now, let's plug in the values:
F = $3,000(1 + 0.12/12)^(12*8)
F = $3,000(1 + 0.01)^96
F = $3,000(1.01)^96
F = $3,000 * 2.63356725
F ≈ $7,900.70
To calculate the interest paid, subtract the initial principal amount from the future worth:
Interest Paid = F - P
Interest Paid = $7,900.70 - $3,000
Interest Paid ≈ $4,900.70
Thus, none of the given options are correct. The future worth is approximately $7,900.70, and the interest paid is approximately $4,900.70.
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Whose factory production model went on to influence the way many governments managed their national economies in the mid-twentieth century?
The factory production model of Henry Ford went on to influence the way many governments managed their national economies in the mid-twentieth century.
His concept of mass production and assembly line manufacturing revolutionized the manufacturing industry, leading to increased efficiency and productivity. This model was widely adopted by governments around the world as a means of driving economic growth and development.
Henry Ford's factory production model, known as the assembly line, went on to influence the way many governments managed their national economies in the mid-twentieth century. This efficient method of mass production led to increased productivity and economic growth.
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true or false: branch bank loan limits are based on the capital of the branch bank, not the parent bank.
The given statement "branch bank loan limits are based on the capital of the branch bank, not the parent bank" is True because they provide loan according to their limited balance.
The parent bank is the bank or director of the all branch bank, the parent bank sets all the rules, limitation and other notices. The branch bank is part of the parent bank. So, they follows all the rules and regulation from the parent bank.
Therefore, the given statement branch bank loan limits are typically based on the capital of the branch bank, not the parent bank is true due limited of balance and it is a system in which a bank operates multiple branches that are considered to be extensions of the main office.
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