The common stock of the P.U.T.T. Corporation has been trading in a narrow price range for the past month, and you are convinced it is going to break far out of that range in the next 3 months. You do not know whether it will go up or down, however. The current price of the stock is $110 per share, and the price of a 3-month call option at an exercise price of $110 is $6.53. a. If the risk-free interest rate is 8% per year, what must be the price of a 3-month put option on P.U.T.T. stock at an exercise price of $110? (The stock pays no dividends.) (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answers
Answer:
$3.86
Explanation:
According to the scenario, computation of the given data are as follow:-
Current price of stock (S0) = $110
Call option at exercise price X is $110
Three month call option price (C) = $6.53
Risk free interest rate = 8%
Price of the three month P.U.T.T option (P) = C - S0 + PV (X)
= $6.53 - $140 + $140 ÷ (1+8%)^(3÷12 )
= $6.53 - $140 + $140 ÷ (1+8%)^.25
= $6.53 - $140 + $140 ÷ 1.019427
= $6.53 - $140 + $137.33
= $3.86
Related Questions
Which type of car insurance policy usually has the highest premium?
Answers
Comprehensive car insurance policy usually has the highest premium among all the other types of car insurance policies. Hence the correct answer is A.
Comprehensive car insurance is an optional coverage that provides protection against damage to your vehicle from various risks such as theft, vandalism, fire, and natural disasters. It also covers damages to your car from collisions with animals. Comprehensive car insurance provides broader coverage than liability insurance, including damage to both other people and property and your own car, making it more expensive.
Therefore, comprehensive car insurance policy usually has the highest premium among all the other types of car insurance policies. Hence the correct answer is A.
Learn more about car insurance, here:
https://brainly.com/question/30025946
#SPJ1
briefly describe and note any errors you see in the a/p aging summary report as of march 30 2016
Answers
Your AR ageing report contains information about the credit you grant customers who make purchases from you.
What is AR ageing?Accounts receivable ageing is a recurring report that classifies a company's receivables based on how long an invoice has been unpaid. It serves as a yardstick for evaluating the stability and financial standing of a company's clientele. If an organization's receivables are being collected much more slowly than usual, this may indicate that business is slowing down or that the organisation is taking on more credit risk in its sales operations. As a management tool, accounts receivable ageing can show whether customers are developing credit concerns and whether the company should continue doing business with those who are frequently late with payments.
To learn more about accounts receivable, visit:
https://brainly.com/question/13166196
#SPJ1
The gaming commission is introducing a new lottery game called Infinite Progresso. The winner of the Infinite Progresso jackpot will receive $1,200 at the end of January, $2,400 at the end of February, $3,600 at the end of March, and so on up to $14,400 at the end of December. At the beginning of the next year, the sequence repeats starting at $1,200 in January and ending at $14,400 in December. This annual sequence of payments repeats indefinitely. If the gaming commission expects to sell a minimum of 1,000,000 tickets, what is the minimum price they can charge for the tickets to break even, assuming the commission earned 3.00 %/year/month on its investments and there is exactly one winning ticket
Answers
The following are selected transactions of the company RED RIBBON COMPANY.
April
1 Paid rent for the month, P10000.
2 The owner, Sara Marcos made additional cash Investment of, P200000.
3 Purchase additional office supplies on account, P12,000
5 Purchase office equipment on account, P15000.
8 Fees earned and billed to customers for the month, P83, 650
10 Paid advertising expenses, P20,000
Received cash from customers on account, P17500 18 Received cash from customer for services rendered, P25780
20 Paid creditor on account, 17000
21 Returned P1000 worth of office supplies that were defected, purchased April 15
23 Withdraw cash for personal use, P10000
27 Paid 2000 for the repair of office equipment
29 Paid telephone bills, P12000
30 Paid salaries of employees, P25000
30 Received a promissory note for service rendered, P20000
Answers
The liabilities owed by Red Ribbon Company, for the month of April can be found to be
How to find the liabilities owed ?To find the total liabilities owed by Red Ribbon Company for the month of April, you should sum up the different liabilities incurred in that month.
The total liabilities to Red Ribbon Company for April is therefore:
= Office supplies on account + Office equipment on account - Amount paid to creditor - office supplies returned to creditor
= 12, 000 + 15, 000 - 17, 000 - 1, 000
= P 9, 000
Find out more on liabilities at https://brainly.com/question/14921529
#SPJ1
The rest of the question is:
What is the ending value of liabilities to Red Ribbon Company for the month of April?
If you were a manager in a company that operates in many countries, what criteria would you use to determine whether an application should be developed as a global application or as a local application?
Answers
As a manager in a company that operates in many countries, I would consider the following criteria to determine whether an application should be developed as a global application or a local application:
Market demand: The first criterion would be to determine if there is a global market demand for the application. If the application addresses a need that is common across multiple countries, it makes sense to develop a global application. However, if the application is specific to a particular country or region, it may be better to develop a local application.
Cultural considerations: Cultural differences between countries can be a significant factor when deciding whether to develop a global or local application. Certain features that are accepted or preferred in one country may not be well-received in another. Therefore, it is essential to understand the cultural preferences of the target audience and design the application accordingly.
Language: If the application requires support for multiple languages, it may make more sense to develop a global application. In contrast, a local application would only need to support the primary language spoken in the country or region.
Legal requirements: Legal and regulatory requirements can differ significantly from country to country. Therefore, it is essential to ensure that the application complies with local regulations, including privacy laws, data protection laws, and other relevant regulations.
Cost considerations: Developing a global application can be more expensive due to the need to consider cultural, legal, and language differences. Therefore, cost considerations should be taken into account when deciding between a global or local application.
By considering these criteria, a manager can determine whether an application should be developed as a global application or a local application.
Wanderlust Tours is considering a B2B partnership with Green Ocean Cruises. Before Wanderlust Tours embarks upon this relationship, however, it must understand the differences between a B2B and B2C partnership. Those differences include all of the following except?
a. the duration of the relationships with customers
b. the focus on building relationships with customers
c. the buying procedures the focus on derived demand
d. the focus on building relationships with customers.
e. the buying procedures the focus on derived demand.
f. the long-term amount of money involved.
Answers
B2B partnerships focusing on buying procedures related to derived demand. Therefore, option c is correct.
Business-to-Business (B2B) partnerships involve collaborations between two companies, where the focus is on catering to each other's operational needs and mutual growth.
Unlike direct customer interactions in Business-to-Consumer (B2C) relationships, B2B partnerships delve into intricate supply chains, specialized services, and synergistic value creation.
These alliances thrive on aligning goals, sharing expertise, and optimizing resources for joint success. B2B partnerships often transcend individual transactions, nurturing enduring connections that evolve alongside evolving industry landscapes, making them pivotal drivers of innovation and collective advancement in the business realm.
Therefore, option c is correct.
Learn more about B2B partnership here:
https://brainly.com/question/31250149
#SPJ12
Fred was suffering from a nasal tissue blockage that could be corrected either through an operation or with medical treatment for about two months. Fred's doctor clearly told him that the condition was not acute and he did not need surgery. Fred, however, insisted on the surgical removal of the blockage, being aware that his medical insurance would cover the entire cost of this surgery. The situation described here can be associated with which of the following problems? A) Price dispersionB) Moral hazardC) Lemons problemD) Prisoner's dilemma
Answers
Answer:
The correct answer to the following question will be Option B (Moral hazard).
Explanation:
Moral hazard happens whenever one individual takes further chances as the responsibility of such consequences rests with somebody else.
Fred suffered from some kind of blockage of the nasal tissues that could have been resolved for around 2 months either by a procedure and via medical attention. Fred's doc warned him plainly the problem wasn't serious so he doesn't need an operation.However, Fred concentrated on either the blockage becoming surgically removed, becoming mindful that his private policy would fund the full cost of this operation.The other given options are not related to the given scenario. So that the condition outlined here could be related to the "Moral hazard" issue.
Differential Analysis for a Discontinued Product
The condensed product-line income statement for Suffolk China Ware Company for the month of May is as follows:
Sales
Cost of goods sold
Gross profit
Selling and administrative expenses
Income from operations
Suffolk China Ware Company
Product-Line Income Statement
For the Month Ended May 31
Bowls
Plates
$64,000 $89,800
26,500
32,800
$37,500
$57,000
28,500
35,400
$9,000
$21,600
Fixed costs are 12% of the cost of goods sold and 41% of the selling and administrative expenses. Suffolk China Ware assumes
that fixed costs would not be materially affected if the Cups line were discontinued.
Revenues
Costs:
a. Prepare a differential analysis dated May 31 to determine whether to Continue Cups (Alternative 1) or Discontinue Cups
(Alternative 2). If an amount is zero, enter "0". For those boxes in which you must enter subtracted or negative numbers use a
Profit (los)
Variable cost of goods sold
Variable selling and admin, expenses
Fixed costs
Differential Analysis
Continue Cups (Alt. 1) or Discontinue Cups (Alt. 2)
For the Month Ended May 31
Cups
$26,400
15,000
$11,400
15,500
$(4,100)
Continue Cups Discontinue Cups
(Alternative 1) (Alternative 2)
0000
b. Should the Cups line be retained? Explain.
C.
As indicated by the differential analysis in part (a), the income will (blank) by $(blank)
if the Cups line is discontinued.
Answers
a.)The differential analysis shows that if the Cups line is discontinued, the company's net income will decrease by $12,668. Therefore, discontinuing the Cups line is not a profitable alternative. b.)the Cups line should be retained. c.) the company will incur a loss of $9,536 if it discontinues the Cups product line
a.)The differential analysis for whether to continue or discontinue the Cups product line is as follows:
Differential Analysis
Continue Cups (Alternative 1) Discontinue Cups (Alternative 2)
Sales $26,400 $0
Variable Costs:
Cost of Goods Sold $15,000 $0
Variable Selling and Administrative Expenses $11,400 $0
Contribution Margin $0 $(0)
Fixed Costs:
Cost of Goods Sold ($3,180) ($0)
Selling and Administrative Expenses ($6,356) ($0)
Income (Loss) from Operations $(9,536) $(0)
The differential analysis shows that if the Cups product line is discontinued, the company will save $26,400 in sales revenue, but will also save $15,000 in variable cost of goods sold and $11,400 in variable selling and administrative expenses.
However, the company will still have to pay $3,180 in fixed costs related to the Cups product line's cost of goods sold and $6,356 in fixed costs related to selling and administrative expenses. Therefore, if the company discontinues the Cups product line, it will save $26,400 in sales revenue but will still incur $9,536 in fixed costs, resulting in a loss of $9,536.
b.Based on the differential analysis, Suffolk China Ware Company should retain the Cups product line.
While discontinuing the product line would save $26,400 in sales revenue, it would result in a net loss of $9,536 due to the fixed costs that would still need to be incurred.
By continuing the Cups product line, the company would be able to generate a positive contribution margin of $11,400, which would help cover the fixed costs associated with the product line.
c.As indicated by the differential analysis in part (a), the income will decrease by $9,536 if the Cups line is discontinued. This means that the company will incur a loss of $9,536 if it discontinues the Cups product line, after taking into account the savings in variable costs and lost sales revenue.
For more question on income visit:
https://brainly.com/question/30157678
#SPJ11
"Group decision making is better". Do you agree or disagree with the statement? Give 3 reasons why do you say so?
Answers
Answer:
I agree because it make the group bring out more ideals
sometimes group decision make some people to voice out their problems
group decision help organization and firms to operate in good aims
Maria is an industrial engineer at a Nissan plant. Indicate how Maria should change her production plans in respo
change in market conditions.
a. An engine supplier decreases the price it charges Nissan by 50%.
As a result, Nissan's cost of production will _____
and Nissan should _____
its supply.
b. Workers unionize and demand a 12% across-the-board raise.
As a result, the cost of production will ______
and Nissan should ____
its supply.
Answers
This is how Maria, as an industrial engineer at a Nissan plant, should change her production plans to respond to market changes:
a. Nissan's cost of production will decrease and Nissan should increase its supply by manufacturing vehicles.b. With the demand for a 12% across-the-board raise by the Workers' Union, the cost of production will increase and Nissan should reduce its supply.But this production choices are not Maria's to make. They are made by the senior management of Nissan at the Headquarters.Thus, the senior management can alter production plans in response to changes in market conditions when the changes are substantial.
Read more about production planning at https://brainly.com/question/20709827
Do you think teams are a valuable new management technique that will endure, or are they just a fad that will be replaced with something else in the near future?
Answers
Teams are a valuable management technique that is likely to endure, but their implementation may change as the needs of organizations and the workforce evolve.
Are teams valuable management techniques that will endure?Teams have been a valuable management technique for decades, and their popularity has only increased over time. Teams can bring together individuals with different skills and perspectives, enabling them to work collaboratively to achieve a common goal. Additionally, teams can foster innovation and creativity, as well as promote a sense of ownership and accountability among team members.
There is no reason to believe that teams will become less important in the future. In fact, with the rise of remote work and the need for organizations to be more agile and adaptable, teams are likely to become even more prevalent. However, it is possible that the way teams are managed and organized may evolve over time, as new technologies and management theories emerge.
Learn more on management technique here;
https://brainly.com/question/1276995
#SPJ1
Three of the common characteristics of hunter-gatherer communities are _____. Select all that apply.
they stayed in one place for long periods of time
their communities were small in size
they possessed knowledge of plants and animals
there were no divisions in communities of age and gender
they possessed the knowledge of tools and fire
Answers
Answer:
ans is responsibility
Explanation:
we should do our responsibility
4.2.9 Quiz: Selecting a Candidate and Making an Offer
Question 9 of 10
Which of the following is a way for an HR department to ensure it is following
up with job candidates in an EEO-compliant manner?
OA. They ensure that they have asked job candidates about their
willingness to work weekends.
OB. They ensure that have look at their budget before making a firm
offer on the wage or salary.
OC. They ensure that they ask job candidates about why they left their
last job or position.
OD. They ensure job candidates have been recruited from a wide
variety of minority channels.
Answers
One way that an HR department can ensure it is following up candidates right is D. They ensure job candidates have been recruited from a wide variety of minority channels.
What is EEO Compliance ?It is crucial for organizations to maintain a diverse candidate pool as it upholds EEO compliance, thereby preventing discrimination and enabling equal opportunities, adopting various minority channels in the recruitment process guarantees unbiased consideration of applicants from distinct backgrounds, which counters traditional recruitment methods that may be partial to certain groups.
Through this approach, HR departments can ensure impartiality and inclusivity in their hiring processes while serving the organization's overall best interests.
Find out more on HR Departments at https://brainly.com/question/18651669
#SPJ1
calculate the amount of budgeted selling and administrative expenses for february. xing, inc. has prepared the operating budget for the first quarter of the yeqra. The company forecast sales of 40000 in january, 50000 in february, and 60000 in march. variable and fixed expenses are as follows
Answers
The amount Xing, Inc. budgeted for selling and administrative expenses for February is C. $35,700.
What are the selling and administrative expenses?The selling and administrative expenses include all the variable and fixed costs incurred for the following:
SalariesRentDepreciationPower costMiscellaneous expenses.To determine the total selling and administrative expenses, we first determine the total fixed costs per month and the variable costs.
The variable costs are a function of the budgeted sales for each month since a percentage of the sales have been identified as variable costs for power costs and miscellaneous expenses.
January February March
Budgeted sales $40,000 $50,000 $60,000
Variable costs:
Power cost $12,000 $15,000 $18,000
Miscellaneous 2,000 2,500 3,000
Total variable cost $14,000 $17,500 $21,000
Total fixed expenses per month = $18,200
Selling and administrative expenses for February = $35,700 ($17,500 + $18,200).
Thus, for February, Xing forecast to spend C. $35,700 on sales and administration, which may be more or less than the actual expenses for the month.
Learn more about budgeting at https://brainly.com/question/17198039
#SPJ1
Question Completion:Variable and fixed expenses are as follows:
Variable Expenses: Power cost (30% of sales)
Miscellaneous expenses: (5% of sales)
Fixed Expenses:
Salaries expense: $10,000 per month
Rent expense: $5,000 per month
Depreciation expense: $1,400 per month
Power cost/fixed portion: $800 per month
Miscellaneous expenses/fixed portion: $1,000 per month
Using the information above, calculate the amount of selling and administrative expenses for the month of February.
A. $32,200
B. $32,200
C. $35,700
D. $14,000
Class time. Process Costing C50 points) Our company manufactures Chemical X. Assume the company uses weighted average. Separate direct materials and conversion costs. Chemical X is comprised of two liquids, Liquid A and Liquid B. The formula of Chemical X is 60% Liquid 40% Liquid B. 75% of the mixed liquid is added at the beginning of the process, 25% is added at the very end. This month, Liquid A costs $50 per gallon. Liquid B costs $30 per gallon. At the beginning of the month, there was 1,000 gallons in process, 75% through the process. The total costs in beginning WIP is $31,500 for materials and $20,975 for conversion costs. During the month, 10,000 gallons were started) Conversion costs were $343,000 for the month. Compute direct material costs (hint use DM EUP under FIFO). At the end of the month, there were 1,500 gallons in process, 70% through the AND ompleted) Completed?
Answers
Answer:
completed units = 9,500 gallons
Explanation:
gallons completed = beginning WIP inventory + units started during the month - ending WIP inventory = 1,000 gallons + 10,000 gallons - 1,500 = 9,500 gallons finished
units started and completed = total units started -ending WIP = 10,000 gallons - 1,500 gallons = 8,500 gallons
Jacob works as a researcher for a car showroom. He's going to collect data about consumers' changing preferences, Interests, and demands. He
doesn't plan to select a sample or conduct a survey. Instead, he wants to analyze the behavior of random consumers on his own. He wants to
study their reactions without letting them know that they are a part of the research study. He has decided to go to car showrooms and check
how consumers react to various car models. The notes that he plans to record during the process will form the basis of the market research
data. Which method of primary market research does Jacob plan to use?
Answers
Answer:
Visits to competitors' locations
Explanation:
Analyzing the information obtained in the scenario of the question above, it is correct to state that Jacob plans to use the primary market research method of visits to competing locations.
This method consists of gathering essential data and information for his research collected directly in a place that can serve as a parameter as a real scenario, that is, when visiting competing places, Jacob will be able to achieve his goal of collecting information, which is to analyze through of a real situation as is the behavior of random consumers on their own and understand their reactions.
This method can be effective because it eliminates biased behaviors by research participants, so that it can identify a real consumption situation without any type of interference, and it can be ideal to identify patterns of behavior that help to identify data about changes in consumer preferences, interests and demands, which is the goal of your research.
Answer:
behavior observation
Explanation:
What do you think are some of the difficulties of adding 25% more employees for the holiday season what kind of planning do you think would be needed 
Answers
Adding 25% more employees for the holiday season can bring some challenges and difficulties for a company. Here are some potential difficulties and the planning needed to address them:
Hiring and Training: The first challenge is to find and hire new employees, which can be time-consuming and costly. Companies should plan ahead and start the hiring process early to ensure they have enough time to select and train new employees.
Cost: The cost of hiring and training new employees can be high, and companies need to ensure they have enough resources to cover the additional expenses. Companies should create a budget and estimate the cost of hiring and training new employees.
Integration and Teamwork: Integrating new employees into the team and ensuring they work effectively with existing employees can be challenging. Companies should plan team-building activities and create a welcoming environment to help new employees feel part of the team.
Workload and Scheduling: Companies need to plan the workload and schedule the additional employees effectively to ensure they are utilized efficiently. This includes ensuring that there is enough work to keep all employees busy and that the schedule allows for an appropriate level of coverage.
To know more about tax here
https://brainly.com/question/30157668
#SPJ1
Which of the following is an effective way to deal with change and innovation? Insist on success and punish failure. Hold closely to established methods of getting the job done. Innovate by varying existing products that are already on the market. Have flexibility and adaptability. Offer different explanations for the change to different work groups.
Answers
Answer:
Have flexibility and adaptability.
Explanation:
A radical innovation also known as the disruptive innovation is an innovative approach aimed at destroying or supplanting old business strategies and models with an invention to breakthrough and change the whole industries by creating new products.
Because workgroups develop their own subcultures, intranets build a common cultural foundation that can help unify employees in different units and locations around common company values.
An effective way to deal with change and innovation is to have flexibility and adaptability.
This ultimately implies that, an entrepreneur or business owner should be flexible and adaptive to changes in the industry, as well as developing the courage to follow his or her brilliant ideas.
factors of production
Answers
Answer:
Land, capital, labor, and entrepreneurship are factors of production.
Activity-based costing for varying batch production
A manufacturing company has the following two activities associated with completion of products:
The setting up of machines for running batches of products
The actual production of units produced
The company has annual manufacturing overhead costs of $2,000,000, of which $200,000 is directly involved in setting up machines for batch runs. During the year, the company expects to perform 400 machine setups, one setup per batch for a total of 400 batches of production. Assume that the batch sizes vary considerably, but the work involved in setting up the machines is not appreciably different from one job to the next.
If the company estimates that the $200,000 costs associated with setups will yield 400 setups this year, the cost associated directly with each setup will be $ per setup. Because each job will require its own setup, setup costs are viewed as batch costs. Because $200,000 of the $2,000,000 are costs associated with setups, this means that costs associated directly with the production of units equal $.
Answers
Explanation:I don’t know
Many employment contracts have mandatory arbitration clauses.
False
True
Answers
If the cost of the beginning work in process inventory is $60,000, costs of goods manufactured is $890,000, direct materials cost is $330,000, direct labor cost is $210,000, and overhead cost is $315,000, calculate the ending work in process inventory.a. $350,000
b. $35,000. c. $355,000. d. $45,000. e. $25,000.
Answers
Answer:
Ending WIP= $25,000
Explanation:
To calculate the ending work in process, we need to use the following formula:
cost of goods manufactured= beginning WIP + direct materials + direct labor + allocated manufacturing overhead - Ending WIP
890,000 = 60,000 + 330,000 + 210,000 + 315,000 - Ending WIP
Ending WIP= 915,000 - 890,000
Ending WIP= $25,000
While airbags in cars have saved lives and lowered fatality rates, they have caused MORE accidents. Why has this happened? What do we call this idea in economics? Suppose the government was hoping to reduce the number of accidents (and was not concerned about fatalities), what should they require automakers to do?
Answers
The idea that airbags in cars have caused more accidents is known as the moral hazard problem in economics. This occurs when people take on more risk because they feel protected by insurance or safety features. In the case of airbags, drivers may feel invincible and drive more recklessly because they believe the airbag will protect them in case of an accident.
If the government was hoping to reduce the number of accidents and was not concerned about fatalities, they could require automakers to install technology that limits the speed of the vehicle or increases the distance between cars. They could also require automakers to install sensors that detect when a car is too close to another car and issue a warning to the driver. These measures would encourage safer driving practices and reduce the likelihood of accidents.
what can prevent dollar general robbery prevention?
Answers
Additionally, the business employs loss prevention personnel who "will advise on security measures, investigate instances of theft, and coordinate with Dollar General management and government agencies to ensure that all loss prevention tactics are appropriate and legal," according to the website of a consumer advocacy group.
What is the company's strategy?The long history of profitable growth at Dollar General is based on a dedication to a comparatively straightforward business model: meeting a wide range of customers' basic daily and household needs, supplemented with a variety of general merchandise items at consistently low prices in conveniently located, small-box stores.
Customers are visually assured of their protection by security officers, and they act as a deterrent to bank robbers. 3) Using security cameras both inside and outside the bank to catch potential criminals and try to identify them.
To know more about general robbery prevention, refer to:
https://brainly.com/question/14289515
#SPJ1
A company's relevant range of production is 10,000 to 15,000 units. When it produces and sells 12,000 units, its unit costs are as follows: Amount per Unit Direct materials $ 10.00 Direct labor $ 6.00 Variable manufacturing overhead $ 1.50 Fixed manufacturing overhead $ 5.00 Fixed selling expense $ 3.50 Fixed administrative expense $ 2.00 Sales commissions $ 1.00 Variable administrative expense $ 0.50 What is the incremental cost incurred if the company increases production from 12,000 to 12,001 units
Answers
Answer:
14.002
Explanation:
Suppose the following describes the economy (all figures in billions)
Business Profits (PR)........... $200
Compensation ………… 3244.20
Corporate profits ...........297.10
Deprecation.................. 575.70
Depreciation .....................$36
Government Purchases........ $156
Gross Private Investment...... $124
Household Consumption...... $304
Indirect business taxes.......469.90
Indirect Business Taxes.......... $74
Interest Income (i)............. $150
Net Exports......................... $18
Net Foreign Factor Income..... $12
Net interest.................... 467.10
Proprietor‘s income.......... 402.40
Rental Income (R)............. $75
Rental income of persons...... 6.70
Transfer Payments............... $54
Wages (W)......................... $67
a. What is the value of net domestic product/income at factor cost?
b. What is the value of GDP at market price?
c. Find GDP using expenditure approach
d. Find GDP using income approach
e. Compare the GDP values obtained using income and expenditure approaches.
Answers
A. The value of net domestic product/income at factor cost is $7,278.20.
b. The value of GDP at market price is $7,877.20.
What is net domestic product?Net Domestic Product (NDP) is the total value of all goods and services produced within a country’s boundaries during a specific period of time, usually one year. It is calculated by adding the gross domestic product (GDP) of the country to its net foreign factor income.
c. The GDP using expenditure approach is as follows: Household Consumption: $304, Government Purchases: $156, Gross Private Investment: $124, Net Exports: $18, Total Expenditure: $602.
d. The GDP using income approach is as follows: Business Profits: $200, Compensation: $3,244.20, Corporate Profits: $297.10, Depreciation: $575.70, Indirect Business Taxes: $469.90, Interest Income: $150, Net Foreign Factor Income: $12, Proprietor’s Income: $402.40, Rental Income: $75, Transfer Payments: $54, Wages: $67, Total Income: $7,278.20.
e. The GDP values obtained using income and expenditure approaches are different due to the fact that the expenditure.
To learn more about net domestic product
https://brainly.com/question/30646517
#SPJ9
Please post detailed answers to the following questions. Please use complete sentences.
What product(s) do you use on a daily basis that includes warnings or information from a federal agency on the packaging? Share an example of a product and the information that is included. What federal agency do you think required the information? Why do you think they required the information to be included?
Answers
For example, a bottle of Neutrogena Ultra Sheer Dry-Touch Sunscreen SPF 100+ includes the following information on its packaging: "Apply liberally 15 minutes before sun exposure. Reapply: after 80 minutes of swimming or sweating, immediately after towel drying, at least every 2 hours." This information is required by the FDA to ensure that consumers use sunscreen correctly and effectively to protect their skin from the harmful effects of the sun.
The FDA requires this information to be included on sunscreen packaging to ensure that consumers are fully informed about the level of protection the product provides and how to use it effectively. Sunscreen is a consumer product that can have a significant impact on the health and safety of consumers, and the FDA's requirements help to ensure that consumers are able to make informed decisions abo
How much money came into the cash account this month
Answers
Answer:
Sorry I did not know
Explanation:
plz follow me
a contractor signed an agreement to contruct a dam that requires four years to complete for a contract price of birr 100000000. the contractor to collected 15% of the contract price in advance. the cost to be incurred to complete the dam is estimated to birr 80000000.if the point of sale method is assumed,what is the revenue recognized at the time of
sale?
Answers
The contractor's entry at the time of the contract is as follows if the receipt of payment method is used: Debit: Cash equals 15,000,000 Credit (15% of 100,000,000): Unmerited Income = 15,000,000 .
How do I determine annuity's present value?An annuity's present value is the current value of a series of equal payments that will be made regularly in the future. Using a discount rate that reflects the time value of money, it is calculated by discounting the future payments to their present value. The following is the formula for determining an annuity's present value: PV is equal to PMT x [(1 - (1 + r) -n) / r], where: PV is the annuity's current value, PMT is the payment amount, and r is the discount rate (n).
The following is the revenue that is recognized at the time of sale if the point of sale method is assumed: 100,000,000 x 15% = 15,000,000 .
To learn more about revenue visit :
https://brainly.com/question/8645356
#SPJ1
what is differed interest loan in a sentence
Answers
A deferred interest loan is a loan in which the borrower is not required to pay any interest until a specified date in the future, typically at the end of the loan term.
What is deferred interest loan?A deferred interest loan is a type of loan where the borrower is not required to make interest payments until a specific time in the future. In most cases, this time is the end of the loan term. Instead of paying interest on a monthly basis, the interest accrues, or builds up, over the life of the loan. At the end of the loan term, the borrower must pay back the full amount of the loan, including the accumulated interest.
This type of loan is often used for large purchases, such as home appliances or furniture, where the borrower wants to spread the cost of the purchase over time but does not want to pay interest until a specific date.
Learn more about deferred interest loan at:
https://brainly.com/question/27105609
#SPJ1