the beta of an all-equity firm is 1.2. suppose the firm changes its capital structure to 50 percent debt and 50 percent equity using 8 percent debt financing. what is the equity beta of the levered firm? the beta of debt is 0.2. (assume no taxes.)multiple choice1.22.22.41.7

Company B estimated depreciation expenses for 2015-2018 using double-declining-balance method: 2015: $100,000, 2016: $50,000, 2017: $25,000, 2018: $12,500. In 2018, a journal entry recorded a $2,500 increase in depreciation expense.

1. To estimate Company B's depreciation expense for 2015 through 2018 using the double-declining-balance method, we need to determine the depreciation rate and apply it to the depreciable assets.

First, calculate the straight-line depreciation rate:

Depreciation rate = 1 / Useful life = 1 / (2018 - 2015 + 1) = 1/4 = 0.25

Next, calculate the double-declining-balance depreciation rate:

Depreciation rate = 2 * Straight-line depreciation rate = 2 * 0.25 = 0.5

Now, apply the double-declining-balance method to each year:

2015: Depreciation expense = Beginning book value * Depreciation rate = $200,000 * 0.5 = $100,000

2016: Depreciation expense = (Beginning book value - Accumulated depreciation of previous year) * Depreciation rate = ($200,000 - $100,000) * 0.5 = $50,000

2017: Depreciation expense = (Beginning book value - Accumulated depreciation of previous year) * Depreciation rate = ($200,000 - $150,000) * 0.5 = $25,000

2018: Depreciation expense = (Beginning book value - Accumulated depreciation of previous year) * Depreciation rate = ($200,000 - $175,000) * 0.5 = $12,500

Therefore, if Company B had used the double-declining-balance depreciation method, the estimated depreciation expenses for 2015 through 2018 would have been:

2015: $100,000

2016: $50,000

2017: $25,000

2018: $12,500

2. To record the depreciation for 2018 when Company B switches from the straight-line to the double-declining-balance method, we need to calculate the difference between the depreciation expense under both methods and make the appropriate journal entry.

Depreciation expense under the straight-line method for 2018 is $10,000 (as given in the information).

Depreciation expense under the double-declining-balance method for 2018 is $12,500 (as calculated in question 1).

Therefore, the difference is $12,500 - $10,000 = $2,500, which represents an increase in depreciation expense.

The journal entry to record the depreciation for 2018 would be as follows:

Debit: Depreciation expense $2,500

Credit: Accumulated depreciation $2,500

This entry recognizes the increase in depreciation expense and updates the accumulated depreciation account accordingly.

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Answer:

D.) $1,135.30 at the end of 3 years

Explanation:

First method:

Formula for simple interest is I = P * R * T.

In this instance P = 3,000, R = 2.7, T = 5.

\(I=(3000)(0.027)(5)\\= $405\)

Second method:

The formula for annual compounding is \(A=P(1+r)^t\), where A = amount, P = principal (initial) amount, r = rate of growth, t = years.

\(A=5000(1+0.027)^3\)

=\(5416.0334\)

Third method:

The formula for periods within a year is \(A=P(1+\frac{r}{n})^n^t\). There is now the added value of n (number of periods per year). Since there are 3 quarters per year, n will be 4.

\(A=5000(1+\frac{0.039}{4})^4^*^3\\=5000(1.00975)^1^2\\= 5617.4129\)

Sum after 3 years is $1,135.30

Answer:

F

Explanation:

When monopolistically competitive firms are making positive economic profits, new firms would enter the industry to absorb those excess profits.

In monopolistically competitive markets, firms have some degree of market power, but they face competition from other firms offering similar products. When existing firms in a monopolistically competitive market are making positive economic profits, it indicates that there are excess profits available in the industry.

In response to these positive economic profits, new firms have an incentive to enter the industry to capture a share of those profits. The entry of new firms increases competition and reduces the market power of existing firms, leading to a decrease in economic profits over time.

By entering the industry, new firms increase the supply of products available, which helps to absorb the excess profits and brings the market closer to long-run equilibrium. As new firms compete for customers, it puts downward pressure on prices and reduces the profitability of existing firms.

Therefore, the correct answer is that new firms would enter the industry to absorb the excess profits.

When monopolistically competitive firms are making positive economic profits, new firms would enter the industry to absorb those excess profits. This entry of new firms increases competition, reduces the market power of existing firms, and leads to a decrease in economic profits over time.

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One of the main things to consider when evaluating a business opportunity is option A. customer demand for the product.

Customer demand for the product refers to products and services that customers buy. It includes the quality, quantity, and trends in the products and services preferred by the customer.

Business opportunities rely on customer demands for the product and services. An increase in customer demands will increase the growth of business opportunities.

Meeting customer demands will increase the trust level of customers. It will also increase the hiring of employees and production level. If the demand for a product or service is high, the price will also increase. Production will also be increased to meet customer demand.

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If your role in a group is to increase the team’s efficiency, you are probably the facilitator.

The role of facilitator is to plan, manage and guide the group in order to achieve the goal successfully.

A facilitator will make suggestions and encourage the other members to come up with new ideas that can be efficient in solving the problems.

Using different learning techniques, and making sure that the group works together, you can achieve the highest efficiency level of the team.

To become a good facilitator, you must understand the details of the event and the group's desired outcome.

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D) The employer

By shielding your assets from the high cost of needing long-term care services, long-term care insurance can help you put your largest retirement concern to rest.

If an employer covers all or a portion of an employee's LTC premiums, the full sum is deductible by the employer as a business cost. The amount that may be deducted is unlimited. Additionally, the employer contribution is not counted as taxable income for the employee.

If the employer and the employee share the cost, the employee can withdraw their portion from their pay up to the mentioned levels. The level of the use of health insurance is according to the age level.

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If an employer paid for its employees' long-term care insurance premiums, who determines the effect on the employees' gross pay?

A) The IRS

B) The state in which the business is located

C) The employee

D) The employer

Answer:

Environmental risk

Explanation:

In simple words, The environmental risk of farming refers to the affect that various agricultural activities have on the environments in which they operate, as well as how those impacts can be linked to those practices. Agriculture's ecological influence varies greatly depending on the activities used by growers as well as the size at which they operate.

answer 1 in the attachment ✌️✌️✌️

Answer:

McKenna grace lives in Texas of America.

If revenues are recognized only when a customer pays, the method of accounting being used is cash basis accounting.

If revenues are recognized only when a customer pays, the method of accounting being used is the cash basis accounting method. The cash basis accounting method recognizes revenue when cash is received from customers or clients. This method does not consider when goods or services are delivered but focuses solely on the actual receipt of cash. It is a straightforward approach commonly used by small businesses or individuals who do not have complex financial transactions. However, it is not in accordance with generally accepted accounting principles (GAAP) and is generally not suitable for larger businesses or those requiring more accurate financial reporting.

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Two importance of office resources are greater output and promote productivity .

All of the resources and amenities found in an office, including people, tools and supplies, furniture and equipment, cash, modes of transportation, and communication, are referred to as office resources. These resources are used to help the organization achieve its goals.

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Answer:

You share it to everyone. Marketing is the first to do

FOB Destination describe goods whose risk will be catered by Seller until being delivered to the buyer.

FOB Destination is an acronym for "Freight on Board" Destination

In conclusion, the term states that the goods are owned by the buyer as soon as it is not delivered to the buyer.

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To calculate the future value of the entire cash flow delivered, we need to calculate the present value of each cash flow and then sum them up.

Using the appropriate interest/discount rate of j26 = 10.400% p.a., we can calculate the present value of each cash flow as follows:

Present Value of $20 now = $20 / (1 + 0.104)^0 = $20

Present Value of $20 in a fortnight's time = $20 / (1 + 0.104)^1 = $18.09

Present Value of $0 in two fortnight's time = $0 / (1 + 0.104)^2 = $0

Now, we can sum up the present values to find the total present value:

Total Present Value = $20 + $18.09 + $0 = $38.09

Finally, to find the future value, we can use the future value formula:

Future Value = Total Present Value * (1 + 0.104)^2 = $38.09 * (1 + 0.104)^2 = $38.09 * 1.2196 = $46.46

Therefore, the future value of the entire cash flow delivered is $46.46. Thus, option 3) $46.46 is the correct answer.

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Answer:

Escalator clause

Explanation:

The equilibrium price and quantity will both increase as a result of these changes. Therefore, the correct option is Price increases and Quantity increases.

The market equilibrium price and quantity for bananas are expected to rise if consumers' income rises. Bananas are a typical good, so as income increases, consumers can buy more bananas, leading to an increase in demand in the banana market. As a result, the equilibrium price and quantity in the banana market rise.

Equilibrium price refers to the price of a good or service that is established when the supply and demand curves intersect each other on the graph. When the market is in equilibrium, the quantity of goods supplied and the quantity of goods demanded are equal. If one of the determinants of supply or demand changes, the equilibrium price and quantity will change.

The demand for bananas will increase as a result of an increase in consumers' income. The demand curve will shift to the right. The price will increase, and the quantity of bananas sold will increase as a result of this.

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Answer:

Bamboo can be processed into thin strips or sheet materials for bamboo plaiting , commonly known as bamboo strips. The processing procedures of bamboo strips include selecting materials , sawing bamboo, pruning, scraping, dividing, splitting, setting the width, thinning and chamfering.

Explanation:

Example: •Bamboo furniture

•Bamboo toys

•Bamboo wind chimes

•Bamboo lamps and lanterns

•Bamboo placements and coasters

The technique bamboos are processed into thin strips or sheet materials for bamboo plaiting, known as bamboo strips and the processing procedures of bamboo strips include selecting materials, sawing bamboo, pruning, scraping, dividing, splitting, setting the width, thinning and chamfering. For example, bamboo furniture.

The process of making bamboo handicrafts is given below. First, the bamboo is completely dried before use. The bamboo is segregated in the beginning according to the products that are going to be made. They are cut to the required sizes with the help of a bamboo sawing machine. The cut bamboo sticks are arranged for the products that have to be made.

The products are always made depending on the client’s orders. For example, to make a stool, bamboo is cut respectively into four sets to make the legs and eight sets of smaller lengths to connect the legs horizontally to get a firm hold of the four legs of the stool. A stool is something similar to that a chair but doesn’t hold a backrest.

A stool is a seat for a single person without any backrest.

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Answer: Output

Explanation: The output control system refers to one of the organizational control systems which is employed by business strategist and establishment in tracking the progress, growth, flaws and ways whereby an organization can improve, provide better services and ultimately make more revenue. The output control system is focused on that aspect of a business offering which can be quantified, such that executives could analyze the feedback and thus use it as a guide to provide and improve on future projects or services. In the scenario above, data was studied to identify peak periods in other to schedule worker's shift so that the organization would not fall short of workers at the time which they are mostly required.

The factor that causes reductions among the options provided is 2) the amount subtracted from the gross margin. Reductions can occur when expenses, such as discounts, markdowns, or customer returns, are taken out of the gross margin. This ultimately leads to a decrease in the net profit, affecting the overall financial performance of a business.

Among the options given, the factor that can cause reductions in business profits or revenue is option 2) the amount subtracted from the gross margin. The gross margin is the difference between the revenue generated from sales and the cost of goods sold. When this amount is reduced, it directly affects the profitability of the business. Option 1) the cost of alterations may or may not have an impact on the business profits depending on the nature of the alterations and the revenue generated from them. Option 3) theft and accounting errors can also have an impact on business profits, but it is not a factor that causes reductions consistently. Option 4) tax write-off for corporate volunteer hours and option 5) format of saving for low-profit quarters are not directly related to reductions in business profits or revenue.

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Answer:

2 unit

Explanation:

The break-even point is that point at which a business makes no profit after settling all the necessary fixed cost for the period. It is the point preceding profit making at which costs are recovered

It is calculated by dividing the fixed costs with the sales revenue less the variable cost per unit of an item.

Workings

Fixed cost = 200

Selling price = 150

Variable cost = 50

Break even point = 200/(150-50)

=2 units

Any sales below this ends up in a loss as the fixed cost will not be fully recovered.

The common stock does not provide the corporation with any further benefits. the entire issue is a bond, after all. Bond issuance provides an additional $1 billion in operating funds.

What is common stock?

A security that symbolizes ownership in a firm is called common stock. Common stock owners choose the board of directors and cast ballots for corporate rules. Long-term rates of return are often higher with this type of stock ownership. The rights of common shareholders to a company's assets in the case of liquidation, however, begin only after bondholders, preferred shareholders, and other debt holders have been fully compensated. In the stockholders' equity section of a company's balance sheet, common stock is disclosed.

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Answer:

O B. Raising interest on reserves

Explanation:

The Federal Reserve expects banks to keep a percentage of customer deposits as reserves. The reserves cater to both the normal and unexpected withdrawals. The Federal Reserve (Fed) also uses reserve requirements as a monetary policy tool.

Interest on reserves is one of the monetary policy tools that the Fed uses regularly. The Fed pays interest on any excess reserves held by the banks. Increasing the interest paid on reserves encourages banks to hold more money.  Decreases the interest prompts the banks to lend out more. Contractionary monetary policies are measures aimed at decreasing the money supply in the economy. Increasing interest on reserves increases money held in the banking sectors, thereby slowing down money circulation.

Answer: B. Raising interest on reserves

Explanation:

Just got it right!!!

You can automate the process of paying yourself first by setting up an automatic transfer from your checking account to your savings account or by enrolling in your employer's direct deposit program.

Automating the process of paying yourself first can be an effective way to ensure that you save money consistently. One way to do this is by setting up an automatic transfer from your checking account to your savings account. This can typically be done through your bank's online portal or mobile app. You can choose the amount and frequency of the transfer and it will occur automatically on the designated date.

Another way to automate the process is by enrolling in your employer's direct deposit program. Many employers offer the option to split your paycheck between multiple accounts, so you can have a portion of your paycheck automatically deposited into your savings account.

Automating your savings can help you avoid the temptation to spend your money instead of saving it. By paying yourself first, you prioritize saving and ensure that you are making progress towards your financial goals. It's important to regularly review your savings plan and adjust it as necessary to ensure that you are saving enough to meet your needs.

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Answer:

Oligopoly

An oligopoly is the type of market where there are very few sellers. The firms, therefore, have a choice whether to work in collusion or competition. In this type of market, the demand curve is kinked due to the dynamic nature of the market. The firms in this type of market will engage in heavy advertising to capture a good amount of market share.

Explanation:

It should be noted that the factors that could affect the relative value units include the physicians work and practice expenses.

It should be noted that the relative value units of a procedure don't define the physician's compensation amounts directly.

The relative value units of a procedure define the value of a service. It includes physicians work, practice expenses, liability insurance expenses, etc.

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