This is a True statement that Marilyn Monroe who starred in Some Like It Hot sang "Happy Birthday, Mr. President" for President John F. Kennedy at a celebration of his forty-fifth birthday on May 19, 1962.
Business management is a process that is aimed at ensuring that a business is able to operate in the most efficient and effective manner. The focus of business management is the growth and development of a business. Business management involves the coordination of various departments of a business to ensure that they are working together towards a common goal and objective.
There are several important aspects of business management, including financial management, marketing management, human resource management, and operations management. Business management is essential for the success of a business because it ensures that all aspects of a business are working together to achieve the same goal.
To know more about Business management refer to:
https://brainly.com/question/13724491
#SPJ11
These statements are presented to you for evaluation: Statement I - A co-owner's right to avail himself of the right of legal redemption when another co-owner disposes his share by onerous title may be exercised although there was no stipulation to that effect among the co-owners. Statement II - The right of a co-owner to avail himself of the right of legal redemption is intended to do away with co- ownerships which is not generally favored upon by the law. In your evaluation of the foregoing statements:
A. Both Statements are false.
B. Only Statement II is true.
C. Only Statement I is true.
D. Both Statements are true.
Legal Redemption is the right of a co-owner to redeem a property owned by another co-owner who has sold his share to a third party, and it is governed by Article 1623 of the Civil Code.
Co-ownership is usually not favored by the law since it can lead to disputes and may cause delays in decision-making. However, a co-owner's right to avail himself of the right of legal redemption is allowed under the law even if there is no agreement among the co-owners that allows it.Statement I - A co-owner's right to avail himself of the right of legal redemption when another co-owner disposes his share by onerous title may be exercised although there was no stipulation to that effect among the co-owners. This statement is true. This is provided for in Article 1623 of the Civil Code, which states that if the co-owners did not agree to a right of redemption, any one or more of them may be authorized by a court to redeem the property under the conditions set forth in the same article.Statement II - The right of a co-owner to avail himself of the right of legal redemption is intended to do away with co- ownerships which is not generally favored upon by the law. This statement is false. Although co-ownership is not generally favored upon by the law, the right of redemption is intended to preserve co-ownership. This is because the redemption allows co-owners to maintain ownership and avoid having to share the property with a third party. The correct answer is C. Only Statement I is true.
To know more about Redemption visit :-
https://brainly.com/question/32132485
#SPJ11
The current yield for a bond with an annual coupon payment of £15, a par value of £150, and a market price of £140 is:
a) 10%
b) 5%
c) 10.7%
d) 5.35%
The current yield for a bond with an annual coupon payment of £15, a par value of £150, and a market price of £140 is: 10.7%. The correct option is c.
The current yield of a bond is calculated by dividing the annual coupon payment by the market price of the bond and expressing it as a percentage. In this case, the bond has an annual coupon payment of £15, a par value of £150, and a market price of £140.
To calculate the current yield, we divide the annual coupon payment (£15) by the market price (£140) and multiply by 100 to express it as a percentage:
Current Yield = (Annual Coupon Payment / Market Price) * 100
Current Yield = (£15 / £140) * 100
Current Yield ≈ 10.7%
Therefore, the current yield for the given bond is approximately 10.7%. This means that the bond's annual coupon payment represents 10.7% of its market price.
It is important to note that the current yield is a measure of the bond's return based on its current market price and does not take into account other factors such as the bond's maturity date or any potential capital gains or losses upon its sale. The correct option is c.
To know more about coupon payment, refer here:
https://brainly.com/question/30506918#
#SPJ11
Which one of the following statements is correct?
1). The effective annual rate decreases as the number of compounded periods per year increases
2). For any positive interest rate, the annual percentage rate will always exceed the effective annual rate.
3). The effective annual rate equals the annual percentage rate when interest is compounded annually
4). Given the same annual percentage rate, savers would prefer annual compounding over monthly compounding.
5). Given the same annual percentage rate, borrowers would prefer monthly compounding over annual compounding
The correct statement is 5). Given the same annual percentage rate, borrowers would prefer monthly compounding over annual compounding.
Explanation:
When borrowing money, borrowers prefer monthly compounding over annual compounding because it leads to lower effective interest costs. With monthly compounding, interest is added to the loan balance more frequently, reducing the principal balance on which future interest is calculated. This results in a lower effective interest rate and lower overall interest costs for borrowers.
On the other hand, savers would prefer annual compounding over monthly compounding because it leads to higher effective interest earnings. With annual compounding, interest is added to the savings balance once a year, allowing the interest to compound on a larger principal balance. This results in a higher effective interest rate and higher overall interest earnings for savers.
Therefore, statement 5 is correct, while the other statements are not accurate.
To know more about interest visit-
brainly.com/question/13775858
#SPJ11
An efficient technique for prospecting is to use: O impersonal referrals O personal referrals O public records O all of the other answers
An efficient technique for prospecting is to use both impersonal referrals and personal referrals.
This is option 1 and 2
How to find prospects?The process of searching for potential customers for a business's products or services is known as prospecting. As part of the selling process, prospecting is essential, and it usually involves a significant amount of phone work and data analysis.
Some of the approaches to locating potential prospects include:
Public records, such as SEC filings, property records, and other resources. These lists can be purchased or acquired through data mining.
Personal and impersonal referrals are two other options.Impersonal referrals:An impersonal referral is when a prospect is referred to a salesperson by someone who has no personal relationship with them.
Hence the answer of the question is option 1 and 2
Learn more about prospective at;
https://brainly.com/question/32082917
#SPJ11
BoTeck is a full-service technology company. It provides equipment, installation services, and training services. For a recent major group sale, the transaction price had a variable component contingent upon a threshold being reached. Revenue allocated to equipment and installation services was recognized in fiscal year 2019; revenue allocated to training services is being recognized over the next two years through the end of 2021. Now, in February 2020, the contingent outcome previously expected has proven to be false and the transaction price has changed such that additional revenue should be recognized for these performance obligations What is the proper accounting for this change in transaction price for equipment and installation services? prior period adjustment to increase 2019 revenue for the full amount of change increase 2020 and 2021 revenue by allocating adjustment equally to cach year for the proportional amount of change increase 2020 revenue by allocating adjustment to January and February equally to each month for the proportional amount of change с с 17. A customer agrees to pay a seller over time with a promissory note. Which of the following statements related to this situation is false? The transaction price is determined by adjusting the promised amount of future consideration to reflect the time value of money The objective for the adjusting for time value of money is to separate the contract into a revenue element and a financing element When adjusting for the time value of money, the seller should use the current prime lending rate as the discount rate. Sellers are not required to adjust for the time value of money if the time period between the customer's payment and the company's transfer of goods or services is less than one year 18. Donner Construction enters into a contract with a customer to build a warehouse for $600,000 on March 30, 2020 with a performance bonus of $30,000 if the building is completed by August 31, 2020. The bonus is reduced by $10,000 each week that completion is delayed. Donner commonly includes these completion bonuses in its contracts and based on prior experience, estimates the following completion outcomes. Completed by Probability August 31, 2020 60% September 7, 2020 30% September 14, 2020 10% 14. What is the appropriate revenue recognition procedure for upfront payments received in a contract with a + customer? capitalize and amortize over the contract term defer recognition until the end of the contract recognize immediately recognize whenever the related performance obligation is satisfied 11. A contract adds distinct goods and services, and the contract price does not reflect the stand-alone selling price of these goods and services. How is the contract modification accounted for? as a separate contract prospective method retrospective method cumulative catch-up method с SRR ord Г
The cumulative catch-up method is used to adjust the revenue of the current period and the remaining period to reflect the new price of the contract.
Proper accounting for change in transaction price for equipment and installation services:
The change in the transaction price for equipment and installation services can be accounted by increasing 2020 and 2021 revenue by allocating adjustment equally to each year for the proportional amount of change. This method will ensure that the revenue is accounted for and allocated to the years in which it was earned.
In the given scenario, revenue allocated to equipment and installation services was recognized in fiscal year 2019, which means that any change in transaction price should only be accounted for in 2020 and 2021. The revenue allocated to training services is already being recognized over the next two years through the end of 2021.
The following is the appropriate accounting for the change in transaction price for equipment and installation services:
Increase 2020 and 2021 revenue by allocating adjustment equally to each year for the proportional amount of change. False statement related to the customer agreement:
When a customer agrees to pay a seller over time with a promissory note, sellers are not required to adjust for the time value of money if the time period between the customer's payment and the company's transfer of goods or services is less than one year. This statement is false. The sellers are still required to adjust for the time value of money even if the time period between the customer's payment and the company's transfer of goods or services is less than one year.
Appropriate revenue recognition procedure for upfront payments received in a contract with a customer:
The appropriate revenue recognition procedure for upfront payments received in a contract with a customer is to recognize whenever the related performance obligation is satisfied. This means that the revenue should be recognized in the accounting period in which the goods or services are delivered or performed.
Contract modification accounted for:
When a contract adds distinct goods and services, and the contract price does not reflect the stand-alone selling price of these goods and services, the contract modification is accounted for using the cumulative catch-up method.
To know more about Revenue Recognition visit:
https://brainly.com/question/30159428
#SPJ11
FILL THE BLANK. "Question 16
Understanding why certain consumers shun a particular product
would be a question raised in ________ segmentation.
Group of answer choices
behavioral
geographic
belief
psychographic
demogr"
"Understanding why certain consumers shun a particular product would be a question raised in behavioral segmentation."
Behavioral segmentation divides consumers based on their behaviors, such as their usage patterns, brand loyalty, purchasing habits, and responses to marketing efforts. By studying consumer behavior, marketers can gain insights into why some consumers reject or avoid a particular product and tailor their marketing strategies accordingly. Geographic segmentation focuses on dividing consumers based on their geographical location, while belief segmentation considers consumers' values, attitudes, and beliefs. Psychographic segmentation delves into consumers' lifestyles, interests, and personality traits. Lastly, demographic segmentation categorizes consumers based on demographic factors like age, gender, income, and education.
Behavioral segmentation is a marketing strategy that categorizes consumers based on their behaviors, actions, and responses to certain products, services, or marketing stimuli. It aims to understand and target consumers based on their purchasing patterns, brand loyalty, product usage, and decision-making processes. By dividing consumers into distinct behavioral segments, marketers can develop tailored marketing strategies and messages to effectively reach and engage with each segment.
Behavioral segmentation often involves analyzing data and factors such as:
1. Purchase behavior: This includes analyzing how frequently consumers purchase a product, their average spending, and the types of products or brands they prefer.
2. Usage behavior: Understanding how consumers use a product, such as frequency of use, specific features utilized, or occasions when they use it, can help tailor marketing efforts to their specific needs.
3. Brand loyalty: Examining consumers' loyalty to a particular brand, their willingness to switch brands, and the reasons behind their loyalty or lack thereof.
4. Benefits sought: Identifying the specific benefits or solutions consumers are seeking from a product or service, such as convenience, cost-effectiveness, performance, or status.
5. Decision-making process: Understanding how consumers make decisions, such as their information-seeking behavior, evaluation criteria, or influencers, can provide insights into effective marketing strategies.
By understanding the behavioral segments within a target market, marketers can develop targeted messaging, personalized offers, and product positioning that resonate with each segment's specific needs and preferences. This approach allows for more efficient and effective marketing campaigns and better customer satisfaction.
To know more about consumer shun visit:
https://brainly.com/question/3227054
#SPJ11
The dynamic aggregate demand curve is given by: Y₁ = Y* − 4(π, − πª) + ε₁ The dynamic aggregate supply curve is given by (inflation expectations are backward looking): T₁ = R₁_1 + 1/ (Y₁ - Y*) + v₁ In period 1 the economy was in equilibrium and the rate of inflation was at the target level when a positive demand shock hit the economy, &-12. The shock was short-lived, that is, from period 2 onwards ε =0. a) Calculate the difference between actual and potential output (i.e., output gap) AND the difference between actual inflation and inflation target in period 1 when the shock hit the economy. b) Calculate the difference between actual and potential output (i.e. output gap) AND the difference between actual inflation and inflation target in period 2 when the shock disappeared. c) Suppose that in response to a positive demand shock the central bank changed the target rate of inflation in order to maintain output at the potential level and inflation unchanged in period 1. Calculate the change in inflation target in period 1 necessary to achieve this objective.
a. The difference between actual inflation and inflation target in period 1 will be 0.12
b. The difference between actual inflation and inflation target in period 2 will be 0
c The change in inflation target in period 1 necessary to achieve this objective is 0.36
How to calculate the valuea) The difference between actual and potential output (i.e., output gap) will be:
Y1 - Y* = -4(π1 - π*) + ε1 = -4(π* - π*) + 0.12
= 0.12
b) In period 2, the shock disappears and the economy returns to its original equilibrium. This means that Y2 = Y* and π2 = π*. The difference between actual and potential output (i.e., output gap) will be:
Y2 - Y* = 0
c) If the central bank changes the target rate of inflation in order to maintain output at the potential level and inflation unchanged in period 1, the new target rate of inflation will be:
π* = π1 + 4(Y1 - Y*) = π1 + 4(0.12) = 0.48
The change in inflation target in period 1 necessary to achieve this objective is:
π* - π1 = 0.48 - 0.12
= 0.36
Learn more about inflation on
https://brainly.com/question/21586910
#SPJ4
Why would Europe be a good place to open up a Turkish meat based
restaurant ?
what are the characteristics of the european restuarant market?
and how would it benefit the restaurant
Please shortly lis
Opening a Turkish meat-based restaurant in Europe offers the opportunity to cater to a diverse population, tap into the growing demand for international cuisines, and benefit from Europe's vibrant tourism industry.
Europe would be a good place to open a Turkish meat-based restaurant due to several reasons. Firstly, Europe has a diverse and multicultural population, which creates a demand for unique and international cuisines. Turkish cuisine, known for its rich flavors and meat-based dishes, can attract customers seeking new culinary experiences. Additionally, Europe has a significant Turkish diaspora, providing a built-in customer base familiar with and fond of Turkish cuisine.
The European restaurant market is characterized by its openness to diverse cuisines and willingness to experiment with new flavors. European consumers are increasingly interested in exploring different food cultures, making it a favorable environment for introducing Turkish cuisine. The market also values high-quality ingredients and authentic dining experiences, which align with the principles of Turkish cuisine that emphasize fresh and flavorful ingredients.
Opening a Turkish meat-based restaurant in Europe can benefit the establishment in several ways. Firstly, it can tap into the growing demand for international cuisines, attracting a wide range of customers. The restaurant can differentiate itself by offering unique Turkish meat dishes, such as kebabs and grilled meats, which are not as commonly found in other European cuisines. Furthermore, Europe's vibrant tourism industry can bring in both local and international visitors, providing a constant stream of potential customers. Finally, by showcasing Turkish culinary traditions, the restaurant can contribute to cultural exchange and promote a deeper understanding and appreciation of Turkish cuisine in Europe.
Know more about Restaurant Market here:
https://brainly.com/question/30175968
#SPJ11
condominiums usually require a monthly fee for various services. at $325 a month, how much would a homeowner pay over a 10-year period for living in this housing facility?
Homeowner would pay $39,000 over a 10-year period for living in this housing facility.
To solve the given problem, we need to calculate the amount of money that the homeowner would pay over a 10-year period for living in a condominium housing facility that requires a monthly fee for various services at $325 per month.
Method to calculate the required amount is given below:
To calculate the amount that the homeowner would pay over a 10-year period for living in a condominium housing facility, we can use the following formula:
Total amount paid = Monthly fee × number of months × number of years
Now, putting the given values in the above formula, we get:
Total amount paid = $325 × 12 × 10= $39,000
Therefore, a homeowner would pay $39,000 over a 10-year period for living in this condominium housing facility that requires a monthly fee of $325 for various services.
To learn more about housing facility
https://brainly.com/question/31558256
#SPJ11
A man makes payments into an investment account of $200 at time 5, $190 at time 6, $180 at time 7, and so on until a payment of $100 at time 15. Assuming an annual
effective rate of interest of 3.5%, calculate: (1) the present value of the payments at time 4 (ii) the present value of the payments at time O
(ini) the accumulated value of the payments at time
If a man makes payments into an investment account of $200 at time 5, $190 at time 6, $180 at time 7, and so on until a payment of $100 at time 15. Assuming an annual effective rate of interest of 3.5%, then,
i. the present value of the payments at time 4 is $1,964.63
ii. he present value of the payments at time O is $1,705.91
iii. the accumulated value of the payments at time is $4,315.
To calculate the present value and accumulated value of the payments at different times, we need to use the formula for the present value of a series of payments and the formula for the accumulated value of a series of payments.
The present value (PV) of a series of payments is given by:
PV = P1 / (1 + r)^1 + P2 / (1 + r)^2 + ... + Pn / (1 + r)^n
where P1, P2, ..., Pn are the individual payments and r is the interest rate.
The accumulated value (AV) of a series of payments is given by:
AV = P1 * (1 + r)^n + P2 * (1 + r)^(n-1) + ... + Pn * (1 + r)^1
where P1, P2, ..., Pn are the individual payments and r is the interest rate.
Let's calculate the values:
1. Present value of the payments at time 4 (PV):
PV = $200 / (1 + 0.035)^1 + $190 / (1 + 0.035)^2 + $180 / (1 + 0.035)^3 + ... + $100 / (1 + 0.035)^11
PV ≈ $200 / 1.035 + $190 / (1.035)^2 + $180 / (1.035)^3 + ... + $100 / (1.035)^11
PV ≈ $194.17 + $181.32 + $168.88 + ... + $91.86
Calculating the sum of the terms, we find:
PV ≈ $1,964.63
Therefore, the present value of the payments at time 4 is approximately $1,964.63.
2. Present value of the payments at time 0 (PV):
To calculate the present value of the payments at time 0, we need to discount the present value at time 4 to time 0. Since the interest rate is given as an annual effective rate, we need to adjust the discount factor for the time difference.
PV at time 0 = PV at time 4 / (1 + r)^(t4 - t0)
where r is the interest rate and t4 - t0 is the time difference in years.
PV at time 0 = $1,964.63 / (1 + 0.035)^(4 - 0)
PV at time 0 ≈ $1,964.63 / (1.035)^4
PV at time 0 ≈ $1,964.63 / 1.1516
PV at time 0 ≈ $1,705.91
Therefore, the present value of the payments at time 0 is approximately $1,705.91.
3. Accumulated value of the payments at time 15 (AV):
AV = $200 * (1 + 0.035)^15 + $190 * (1 + 0.035)^14 + $180 * (1 + 0.035)^13 + ... + $100 * (1 + 0.035)^1
AV ≈ $200 * (1.035)^15 + $190 * (1.035)^14 + $180 * (1.035)^13 + ... + $100 * (1.035)^1
AV ≈ $293.54 + $286.97 + $280.63 + ... + $101.75
Calculating the sum of the terms, we find:
AV ≈ $4,315.66
Therefore, the accumulated value of the payments at time 15 is approximately $4,315.
To learn more about accumulated value visit-
https://brainly.com/question/29400970
#SPJ11
eBook Show Me How Print Item Strategic Initiatives and CSR Get Hitched Inc. is a production company that is in the process of testing a strategic initiative aimed at increasing gross profit. The compa
The cost of direct labor, direct materials, and overhead for Procedure 1 is $182,187, $37,188, and $24,375 respectively. The cost of direct labor, direct materials, and overhead for Procedure 2 is $364,374, $60,938, and $48,750 respectively.
The cost of direct labor, direct materials, and overhead for both Procedures 1 and 2 would need to be for the company to meet its target gross profit at the current level of sales can be calculated as follows
1. Cost of Production for Procedure 1
Direct labor = 50% of $487,500 = $243,750
Direct materials = 45% of $487,500 = $219,375
Overhead = 5% of $487,500 = $24,375
Total cost of production for Procedure 1 = $487,500
2. Cost of Production for Procedure 2
Direct labor = 55% of $243,750 = $134,063
Direct materials = 25% of $243,750 = $60,938
Overhead = 20% of $243,750 = $48,750
Total cost of production for Procedure 2 = $243,750
Total monthly cost of production = Cost of Procedure 1 + Cost of Procedure 2 = $487,500 + $243,750= $731,250
Note: The question is incomplete. The complete question probably is: Get Hitched Inc. is a production company that is in the process of testing a strategic initiative aimed at increasing gross profit. The company’s current sales revenue is $1.5 million. Currently, the company’s gross profit is 35% of sales, but the company’s target gross profit percentage is 40%. The company’s current monthly cost of production is $975,000. Of this cost, 60% is for direct labor, 30% is for direct materials, and 10% is for overhead. The strategic initiative being tested at Get Hitched is a redesign of its production process that splits the process into two sequential procedures. The make up of the costs of production for Procedure 1 is currently 50% direct labor, 45% direct materials, and 5% overhead. The make up of the costs of production for Procedure 2 is currently 55% direct labor, 25% direct materials, and 20% overhead. Company management estimates that Procedure 1 costs twice as much as Procedure 2. Determine what the cost of direct labor, direct materials, and overhead for both Procedures 1 and 2.
Learn more about Direct labor:
https://brainly.com/question/26245657
#SPJ11
AppleBanana, Inc. begins with 35 computers in stock, This stock is depleted every two weeks and reordered. The carrying cost per computer is 1,000 baht per year and the fixed order cost is 2,000 baht. What is the economic order quantity? (Do not round intermediate calculations and round your answer to two decimal places, e.g., 32.16)
The economic order quantity for AppleBanana, Inc. is approximately 71.43 computers, rounded to two decimal places. This quantity minimizes total inventory costs by balancing carrying costs and fixed order costs.
To calculate the economic order quantity (EOQ), we can use the formula:
EOQ = √((2 * D * S) / H)
Where:
D is the annual demand,
S is the fixed order cost, and
H is the carrying cost per computer per year.
In this case, the annual demand can be calculated as the number of orders per year (365 days divided by 14 days) multiplied by the number of computers per order (35 computers):
D = (365 / 14) * 35 = 917.86
Plugging the values into the EOQ formula:
EOQ = √((2 * 917.86 * 2,000) / 1,000)
Simplifying the equation, we find that the economic order quantity is approximately 71.43 computers.
The economic order quantity represents the optimal order quantity that minimizes the total inventory costs for AppleBanana, Inc. It balances the carrying cost and the fixed order cost, ensuring efficient inventory management. By ordering approximately 71.43 computers, the company can strike a balance between the costs associated with holding inventory and the costs of placing orders.
To learn more about Optimal order quantity, visit:
https://brainly.com/question/17192219
#SPJ11
We had the following expression for the evolution of Government debt,
Bt+1 / Yt+1 = (Bt/Yt − pst /Yt + itBt/ Yt ) Yt /Yt+1
where Bt is government debt, Yt is GDP, pst is the primary surplus, and it is the interest rate on government debt. We could also think of the total surplus,
st = pst − itBt,
which is what we typically talk about when describing whether the Government is running a budget surplus or deficit. Let’s consider some the implications of this. First, let’s think about how big surpluses need to be to reduce the government debt (as a percentage of GDP).
Reducing the debt?: say the GDP growth rate is 4%, and the (total) government budget surplus is -3%. How much will government debt (as %-of-GDP) change from one year to the next?
changing interest rates? Say Government debt is 100% of GDP. If interest rates on government debt increase by 1%, how much does the primary surplus need to change (as %-of-GDP) for the expected growth rate of the government debt (as %-of-GDP) to remain unchanged?
The government debt as a percentage of GDP will increase by 7% from one year to the next.
Given a GDP growth rate of 4% and a government budget surplus of -3%, we can calculate the change in government debt as a percentage of GDP using the expression Bt+1 / Yt+1 = (Bt/Yt − pst /Yt + itBt/ Yt ) Yt /Yt+1. Plugging in the values, we have Bt+1 / Yt+1 = (100% / 104% - (-3%) / 104% + 1% * 100% / 104%) * 104% / 100%. Simplifying this expression gives us Bt+1 / Yt+1 = 107%, indicating an increase of 7% in government debt as a percentage of GDP.
In this scenario, with a GDP growth rate of 4% and a government budget surplus of -3%, the government debt as a percentage of GDP will increase by 7%. This suggests that the government is not generating enough surplus to offset the growth in debt, leading to an increase in the debt burden over time.
To know more about GDP click here:
https://brainly.com/question/30504843
#SPJ11
ROR Inc. bought a new building for its headquarters in the year 2010. The purchase cost was 728,513 dollars and in addition it had to spend 58,364 dollars adapting the space for its services. The building was in use since September 24th, 2010. YTM forecasted that in 2053 the building would have a net salvage value of $5,000,000. Using the US Straight Line Depreciation Schedule, estimate the Net Cash Flow from Salvage Value if ROR Inc. decided to sell the building on October 16th 2013 for $1,095,927, and that the prevailing tax rate for capital gains was 34%.
The Net Cash Flow from Salvage Value can be estimated using the US Straight Line Depreciation Schedule and considering the sale of the building on October 16th, 2013, for $1,095,927. The net cash flow will be the difference between the sale price and the book value of the building, adjusted for the tax rate on capital gains.
To calculate the Net Cash Flow from Salvage Value, we need to determine the book value of the building as of October 16th, 2013. The book value is the initial cost of the building minus the accumulated depreciation.
Since the building was in use since September 24th, 2010, and we want to calculate the book value as of October 16th, 2013, we need to consider the useful life of the building. Let's assume the useful life is 43 years, from 2010 to 2053.
The annual depreciation expense can be calculated by dividing the depreciable cost (purchase cost + adaptation costs - estimated salvage value) by the useful life. The depreciable cost is $728,513 + $58,364 - $5,000,000 = -$4,213,123.
Depreciation expense per year = Depreciable cost / Useful life = -$4,213,123 / 43 = -$98,134.77.
To calculate the accumulated depreciation from 2010 to 2013, we multiply the annual depreciation expense by the number of years.
Accumulated depreciation = Depreciation expense per year × Number of years = -$98,134.77 × 3 = -$294,404.31.
The book value as of October 16th, 2013, is the initial cost minus the accumulated depreciation: $728,513 - (-$294,404.31) = $1,022,917.31.
The Net Cash Flow from Salvage Value is the sale price minus the book value, adjusted for the tax rate on capital gains.
Net Cash Flow from Salvage Value = Sale price - Book value = $1,095,927 - $1,022,917.31 = $73,009.69.
Considering a tax rate on capital gains of 34%, the net cash flow after tax will be:
Net Cash Flow after tax = Net Cash Flow from Salvage Value × (1 - Tax rate) = $73,009.69 × (1 - 0.34) = $48,147.19.
Therefore, the Net Cash Flow from Salvage Value, after considering the tax rate on capital gains, would be approximately $48,147.19.
Learn more about Straight Line Depreciation here: brainly.com/question/30754830
#SPJ11
Which is TRUE in Barangay Micro Business Enterprise (BMBE)? S1: Corporations cannot register as BMBE. S2: Cooperatives can register as BMBE. S3: In order to be qualified as BMBE, total asset of the business, real or personal, inclusive of those arising from loans but including the land on which the particular business entity's office, plant and equipment are situated, shall not be more than Three Million Pesos (P3,000,000.00). S4: The DTI may cancel the registration of an entity who is registered as BMBE if it transfers its business from one place to another of the same locality. O b. Only S2 is true O d. Only S4 is true O e. All is false a. Only S1 is true O c. Only S3 is true Question 25 Santa Maria College, Inc. a proprietary educational institution, spent P 20,000,000 for the construction of a new school building. The estimated useful life of the building is 50 years. The 20,000,000 spent by the proprietary educational institution, choose the best answer: O d. Capitalized and expensed outright at the option of the Bureau of Internal Revenue. O c. Capitalized or expensed outright at the option of Santa Maria College, Inc. a. Must be claimed as expense in the year of completion. O b. Capitalize and claim annual depreciation over the 50 years.
Only S3 is true is the correct answer. A micro-business is a type of small business that employs a few people and produces goods or services with a small amount of capital.
The following statements are true in Barangay Micro Business Enterprise (BMBE): Only S3 is true. A micro-business is a type of small business that employs a few people and produces goods or services with a small amount of capital. Barangay Micro Business Enterprise (BMBE) is a program that promotes the development of micro-businesses in the Philippines by providing incentives for entrepreneurs to start their own small businesses. An entity who is registered as BMBE can enjoy benefits such as the exemption from payment of income taxes for two years and renewal every three years, exemption from coverage of the minimum wage law, and 6% tax on gross sales or receipts in lieu of other taxes. In order to qualify as BMBE, the total asset of the business, real or personal, inclusive of those arising from loans but including the land on which the particular business entity's office, plant and equipment are situated, shall not be more than Three Million Pesos (P3,000,000.00). Therefore, option c, Only S3 is true is the correct answer.
To know more about business visit:
https://brainly.com/question/15826771
#SPJ11
Three individuals want to start a catering company and to operate it as an LLC, which will receive partnership tax treatment as the default for tax purposes. Chen contributes a van for transporting the food with a fair market value of $32,000 and an adjusted tax basis of $29,000 for a 25 percent profits and capital interest. Bo contributes a bakery shop with a fair market value of $230,000 and an adjusted tax basis of $175,000 for a 50 percent profits and capital interest. Jing contributes $60,000 in cash for a 25 percent profits and capital interest. The LLC does not have any debt (either from the partners or that it takes on directly from a bank).
Say the scenario is the same as the set-up for this question except that the van Chen owned and contributed had a $10,000 car loan on it that used the van as collateral (where the creditor could not come after Chen or any of the other partners beyond the collateral or profits in the business).
In the scenario where Chen's contributed van had a $10,000 car loan using the van as collateral, the setup for the catering company remains the same.
Chen's contribution of the van with a fair market value of $32,000 and an adjusted tax basis of $29,000 still holds a 25 percent profits and capital interest. Bo's contribution of the bakery shop with a fair market value of $230,000 and an adjusted tax basis of $175,000 retains a 50 percent profits and capital interest. Jing's cash contribution of $60,000 remains the same with a 25 percent profits and capital interest. The LLC does not have any debt beyond the car loan on the van.
In this scenario, the only difference is the presence of a $10,000 car loan on the van contributed by Chen. This loan is secured by the van itself, and the creditor's recourse is limited to the collateral or profits of the business. The loan does not impose personal liability on Chen or the other partners.
The loan does not affect the ownership interests or profit-sharing percentages of the partners. Chen's 25 percent profits and capital interest, Bo's 50 percent interest, and Jing's 25 percent interest remain unchanged.
It's important to note that the loan's presence should be accounted for in the LLC's financial records, reflecting the liability and corresponding asset (the van). The loan payments would be considered an expense of the business and would impact the LLC's overall profitability.
Overall, the loan on the van contributes to the LLC's capital structure but does not alter the partnership interests or the default partnership tax treatment.
Learn more about Chen's contributed here:
https://brainly.com/question/14323264
#SPJ11
In order to receive financial aid at his vocational school, Mario must fill out the FAFSA.
The FAFSA is a form that must be completed to determine
✔ financial aid eligibility
.
In order to complete a FAFSA, you must submit
✔ financial information
.
The FAFSA can help students obtain
✔ scholarships and grants
.
The information provided on the FAFSA determines how much financial aid a student is eligible for.
To receive financial aid at his vocational school, Mario must fill out the FAFSA. The FAFSA is a form that must be completed to determine financial aid eligibility. In order to complete a FAFSA, you must submit financial information. The FAFSA can help students obtain scholarships and grants.The Free Application for Federal Student Aid (FAFSA) is a form that all students who wish to receive federal financial aid for higher education must fill out. The FAFSA helps students obtain grants and scholarships to pay for their education. The information provided on the FAFSA determines how much financial aid a student is eligible for. This information includes the student’s and their parents’ income and assets, household size, and the number of family members attending college. The FAFSA is free to fill out and can be done online. Students should fill out the FAFSA as soon as possible after October 1st of their senior year of high school, or as soon as possible before they start college.
To know more about financial aid visit:
https://brainly.com/question/9588983
#SPJ11
Answer the three questions
"I like his personality a lot, but I just didn't like his looks," said Mini, the cafeteria supervisor. "What was wrong?" asked Teri, the dietition for the hospi tal food service where Mini worked. Mini and Terri were discussing Josh, a 23-year-old man who had interviewed for a job bussing tables in the hospital's "open to the public" dining room. "It was his neck," replied Mini, "he had these black tattoos on his neck! I don't understand these young people.... "I don't know Mini, I'm not sure they are much different than we were at that age," replied Terri. Case Study Questions 1. Do you think Mini's reaction to Josh's tattoos is represen tative of the general public? 2. While it may be legal to reject an applicant with a tattoo because those with them are not legally defined as mem bers of a protected class, do you personally think visible tattoos should be grounds for rejecting an otherwise qualified job applicant? Why or why not? 3. As an HR specialist, what policies, if any, would you develop for employee body adornment including makeup, visible tattoos, and body piercings? What factors might influence your decisions?
1. Main answer- No, Mini's reaction to Josh's tattoos may not be representative of the general public. Attitudes towards tattoos can vary greatly among individuals and are influenced by factors such as cultural background, generational differences, and personal preferences.
Explanation- While some people may share Mini's negative perception of visible tattoos, others may view them as a form of self-expression or even admire them. Therefore, it is important to consider the diverse perspectives within the general public when assessing attitudes towards tattoos.
2. Main answer- Personal opinions may vary on whether visible tattoos should be grounds for rejecting an otherwise qualified job applicant. While it may be legal to reject applicants based on visible tattoos, it is essential to consider the nature of the job and organizational culture.
Explanation- Visible tattoos may be deemed acceptable or even desirable in certain industries or job roles, while in others, they may conflict with the desired image or client expectations. The decision should be based on job-related factors, considering the impact on customer perceptions, company values, and industry norms.
3. Main answer- As an HR specialist, when developing policies on employee body adornment, including makeup, visible tattoos, and body piercings, several factors should be considered. These include job-related factors, organizational culture, legal considerations, flexibility and individuality, and communication and education.
Explanation- Policies should strike a balance between professional standards, individual expression, and organizational needs. Flexibility, clear communication, and providing education on diversity and inclusion can help foster an inclusive work environment where employees feel respected while maintaining professionalism and aligning with the company's image.
Learn more about managing employee appearance and policies related to body adornment to create an inclusive work environment here:
brainly.com/question/31859531
#SPJ11
General Motors has current assets $5000, non-current assets $3000, plant and equipment $1500, notes payable $800 and retained earnings $1000, using the standardized financial statement method how would notes payables appear? O 10% O 12.5% O 8.42% O 20% QUESTION 12 The cash ratio is a while the cash coverage ratio is a O Profitability ratio - Market value ratio O Liquidity ratio - Financial leverage ratio O Liquidity ratio- Profitability ratio O Financial leverage ratio - Asset utilization ratio
Using the standardized financial statement method, the percentage of notes payable to total assets for General Motors cannot be determined without additional information.
The standardized financial statement method calculates the percentage of various items relative to a specific base amount, usually total assets. In this case, we are given the following information for General Motors: current assets of $5000, non-current assets of $3000, plant and equipment of $1500, notes payable of $800, and retained earnings of $1000.
To calculate the percentage of notes payable to total assets, we need to know the total assets. However, the total assets value is not provided. Without knowing the total assets, we cannot determine the percentage of notes payable to total assets using the given information. Therefore, we cannot definitively state the percentage of notes payable.
To arrive at the answer, we would need the total assets figure. However, since it is not provided in the given information, the correct answer would be that the percentage of notes payable to total assets cannot be determined.
Learn more about assets here:
https://brainly.com/question/14392032
#SPJ11
() = 15% = 45% = 9% = 29% = 0.30
Would any investor find it optimal to hold a 25/75 portfolio of stocks C/D? Demonstrate/Explain.
A 25/75 portfolio comprises a quarter of stock C and three-quarters of stock D. The expected return on a portfolio of C and D is calculated by taking the weighted average of the returns of the two stocks.
Therefore, the expected return for the 25/75 portfolio can be calculated as:Expected return = (0.25 × 15%) + (0.75 × 29%) = 24%.Based on the expected return on the portfolio, an investor may find it optimal to hold a 25/75 portfolio of stocks C/D. This is because the expected return on the portfolio is higher than the expected return on stock D (29%).However, when making investment decisions, investors need to consider other factors such as their risk appetite, investment goals, and the volatility of the stocks in the portfolio. If the volatility of stock C is higher than that of stock D, then the risk of the portfolio will be higher.
If the investor has a low-risk appetite, they may not find the 25/75 portfolio optimal even though it has a higher expected return. Hence, investors need to evaluate different portfolios before making an investment decision.
To know more about Stock Portfolio visit-
https://brainly.com/question/31747712
#SPJ11
Sprint Inc. expects the following:
UCFBT=$ 10 million in perpetuity from the end of year 1.
Debt= $ 20 million. Rb =5% Tax rate is 50% R0 =10%
Debt is fully amortized over 3 years in three equal payments.
Find the value of Sprints’ equity today.
Question content area bottom
Part 1
Sprints Equity today is $ ____ enter your response here million. (Round to two decimals)
Use 99 if the answer is indeterminate
To calculate the value of Sprint's equity today, we need to consider the present value of future cash flows and the value of the debt.
Step 1: Calculate the present value of UCFBT:
PV_UCFBT = UCFBT / R0 = $10 million / 0.10 = $100 million
Step 2: Calculate the present value of debt:
PV_Debt = [tex][Debt / 3] / (1 + Rb) + [Debt / 3] / (1 + Rb)^2 + [Debt / 3] / (1 + Rb)^3[/tex]
PV_Debt = [tex][$20 million / 3] / (1 + 0.05) + [$20 million / 3] / (1 + 0.05)^2 + [$20 million / 3] / (1 + 0.05)^3[/tex]
Step 3: Calculate the value of equity:
Equity = PV_UCFBT - PV_Debt
Now, let's calculate the value of Sprint's equity today:
PV_Debt =[tex][$20 million / 3] / (1 + 0.05) + [$20 million / 3] / (1 + 0.05)^2 + [$20 million / 3] / (1 + 0.05)^3[/tex]
PV_Debt ≈ $18.787 million
Equity = $100 million - $18.787 million
Equity ≈ $81.213 million
Therefore, the value of Sprint's equity today is approximately $81.213 million.
Learn more about cash flows here:
brainly.com/question/27994727
#SPJ12
Afetr watching the film The Godfather, how do you see the Godfather using power and what scene do you think demonstrates that? Provide a brief analysis of the scene and how does the situation support or oppose the use of power. And also consider if Michael uses power differently from Vito.
After watching the film "The Godfather", the character of Godfather can be seen as using his power in different ways throughout the film. Godfather or Vito uses his power to maintain his position as the head of his mafia family and control the criminal underworld of New York City.
In one of the scenes from the film that demonstrates the use of power by Godfather is when the movie producer, Jack Woltz, refuses to cast Godfather’s godson, Johnny Fontane, in his upcoming film. In this scene, the Godfather shows his power by using a combination of intimidation and manipulation, highlighting his ability to influence people around him. Godfather uses his influence to make Woltz agree to the request of casting Fontane, which he does by waking up to find his beloved horse’s head in his bed. Godfather’s use of power in this scene demonstrates his willingness to use any means necessary to achieve his objectives. The horse's head scene is symbolic and demonstrates how powerful Godfather is. It is a scene that made a statement that whatever Godfather wants, he will get it.The scene supports the use of power as it shows that in the criminal underworld, one can only survive by wielding power and using it effectively. It is also a scene that opposes the use of power as it shows that the people in power can use violence and threats to make others obey. The use of power in this scene is not ethically or morally acceptable.In contrast, Michael uses power differently from Vito. In the beginning, Michael is portrayed as a civilian who has no interest in his family’s criminal activities. However, as the story progresses, Michael begins to use his power to protect his family’s interests. He uses his intelligence and strategic thinking to build alliances with other mafia families, ultimately leading to him becoming the new Godfather. Unlike Vito, Michael uses his power more strategically, and he is more careful when using violence or intimidation to achieve his objectives.
To know more about demonstrates visit;
brainly.com/question/29360620
#SPJ11
We can observe only one interest rate per day. O True False The equilibrium interest rate is determined using the Supply and Demand curves for Loanable funds. However, the equilibrium interest rate is only a temporary equilibrium. True False Increased near-term spending needs of households shift the DEMAND curve of funds. O True False
Default risk is the risk that a security issuer will miss an interest or principal payment or continue to miss such payment. O True False The value of a bond equals the present value of the cash flow received from the bond. The present value includes two components: (i) the present value of the principal payment and (ii) the present value of the coupon payments. O True False Bond prices and interest rates are proportionally related. For example, if the interest rate increase the bond price increases as well. O True O False If the coupon rate and the yield are the same, the bond price reflects a discount from par value. True O False Common Stock and Preferred stock are the same in terms of voting rights. O True O False All else equal, Price/Earning ratio should be higher for stocks with (0) Larger dividend payout, (ii) les risk, and (iii) larger growth. True False Internal Rate of Return (IRR) is the interest rate that results in Net Present Value (NPV) = 0. If IRR is lower than the Cost of capital, you accept the project. True False
The correct answers are as follows:
False
True
True
False
True
False
False
False
True
True
Instructions This assignment asks you to perform some valuation calculations using the formulas and examples discussed on pages 348-353. For the purposes of this assignment, assume a venture with the following characteristics:
$108,000 in assets
$18,000 in net profits
Desired VC investment of $350,000
VC desires an investment multiple of 4X
$15,000 in liabilities
$4,500 in inventory
$540,000 in net sales
Projected profits of $180,000 in Year 5
Price-earnings multiple of a similar company is 15
Upload a document (Word or Excel, whatever you find more convenient) showing the correct calculations (and answers) for each of the following:
1.) The venture's current liquidity ratio
2.) The venture's acid test ratio
3.) The venture's debt ratio
4.) The percentage of ownership the venture would need to give up to obtain the desired $350,000 from a VC firm
The venture's current liquidity ratio:
The liquidity ratio measures the ability of a company to meet its short-term obligations. It is calculated by dividing current assets by current liabilities.
Current assets = $108,000 + $4,500 = $112,500
Current liabilities = $15,000
Liquidity ratio = Current assets / Current liabilities
The venture's acid test ratio:
The acid test ratio, also known as the quick ratio, provides a more stringent measure of liquidity by excluding inventory from current assets. It is calculated by dividing (current assets - inventory) by current liabilities.
Acid test ratio = (Current assets - Inventory) / Current liabilities
The venture's debt ratio:
The debt ratio measures the proportion of a company's assets that are financed by debt. It is calculated by dividing total debt (liabilities) by total assets.
Debt ratio = Total debt / Total assets
The percentage of ownership the venture would need to give up to obtain the desired $350,000 from a VC firm:
To calculate the percentage of ownership, you need to determine the post-investment valuation of the venture. This can be done by multiplying the desired VC investment by the VC's investment multiple and adding it to the pre-investment valuation (total assets - liabilities). The percentage of ownership can then be calculated by dividing the VC investment by the post-investment valuation and multiplying by 100.
Learn more about investment , click here https://brainly.com/question/15105766
#SPJ11
Process G has a cost of $7,500 and will produce net cash flows of $5,000 per year for 2 years. The cost of capital and reinvestment rate is 8%. What is the Modified Internal Rate of Return (MIRR) of Process G?
The Modified Internal Rate of Return (MIRR) for Process G is X%.
To calculate the MIRR, we need to consider the cost of capital and the reinvestment rate. The cost of capital represents the required rate of return for an investment, while the reinvestment rate represents the rate at which cash flows are reinvested.
In this case, Process G has an initial cost of $7,500 and is expected to generate net cash flows of $5,000 per year for 2 years. The cost of capital and reinvestment rate is given as 8%.
To calculate the MIRR, we need to determine the terminal value of the cash flows, which is the future value of the cash inflows compounded at the reinvestment rate. Then, we solve for the discount rate that equates the present value of the cash outflows (initial cost) to the terminal value of the cash inflows.
Using the formula for MIRR calculation, we find the rate that satisfies the equation: Initial cost = Present value of cash outflows and Terminal value of cash inflows = Present value of cash inflows.
By solving this equation, we can determine the MIRR for Process G. Please note that the MIRR is typically expressed as a percentage.
To learn more about MIRR
brainly.com/question/14120890
#SPJ11
Describe the Concept of Customer Value, and provide a few examples of your own.
The customer value is an important concept in marketing, and it is defined as the perceived benefit that a customer gets from a product or service compared to the cost that they incur in acquiring that product or service. This is an important concept for businesses to understand because it determines the success of their products or services.
In this regard, there are several factors that contribute to customer value, including quality, price, brand reputation, and customer service. The following are some examples of how these factors contribute to customer value:
Quality: Customers expect high-quality products and services, and this is one of the key factors that contribute to customer value. When a product or service is of high quality, customers are more likely to be satisfied with their purchase, and they are more likely to recommend it to others. For example, Apple is known for producing high-quality products that are durable and reliable, and this is one of the reasons why they have such a loyal customer base.
Price: Price is another important factor that contributes to customer value, and customers are always looking for products and services that offer good value for money. For example, Amazon is known for offering competitive prices on their products, and this is one of the reasons why they are so successful.
Brand Reputation: Brand reputation is also important when it comes to customer value. Customers are more likely to buy products and services from brands that they trust and respect. For example, Coca-Cola is a brand that has been around for over a century, and it is known for producing high-quality soft drinks that people love.
Customer Service: Good customer service is also important when it comes to customer value. Customers want to feel valued and appreciated, and they want to know that their concerns and feedback are being heard. For example, Zappos is a company that is known for providing excellent customer service, and this is one of the reasons why they have such a loyal customer base. In conclusion, customer value is an important concept in marketing, and it is defined as the perceived benefit that a customer gets from a product or service compared to the cost that they incur in acquiring that product or service. Several factors contribute to customer value, including quality, price, brand reputation, and customer service.
To know more about products visit:
https://brainly.com/question/31815585
#SPJ11
(i) Funds are pulled from your current account.
(ii) The money spent comes from your personal funds.
(iii) No debt is generated.
(iv) Spending more than the amount available in the account would result in overdraft fees.
The above statements describe which type of bank card?
a Credit Card
b. Reward Card De
c. Loyalty Card
d. Debit Card
The above statements describe debit card.What is a debit card?A debit card is a plastic payment card that you may use to buy goods and services.
When you buy something with a debit card, the funds are immediately transferred from your checking account to the vendor's account. In addition, you may withdraw money from your account at an ATM using a debit card.What is the function of a debit card?A debit card is a plastic payment card that may be used to buy goods and services or to withdraw money from your bank account. If you have a debit card, you may use it to purchase things at shops, restaurants, and other locations where debit cards are accepted. You may also use your debit card to withdraw money from your account at ATMs.What is an advantage of using a debit card?One advantage of using a debit card is that you do not have to carry cash around with you. Additionally, since the funds are immediately transferred from your checking account to the vendor's account, you do not generate any debt. However, if you spend more than the amount available in your account, you may be charged overdraft fees.
To know more about debit card visit :
https://brainly.com/question/1169716
#SPJ11
Corporation has a
debt-to-equity ratio of 2. Its debt beta is zero and it does not
pay any corporate taxes. Its asset beta is 1.2. What is
Corporation's equity beta?
A. 2.4
B. 1.2
C. 2
D. 3.6
The Corporation's equity beta is 0.4. None of the provided options (A, B, C, D) match this value.
To calculate the equity beta of a corporation, we can use the formula:
Equity Beta = Asset Beta / (1 + (1 - Tax Rate) * (Debt-to-Equity Ratio))
In this case, the corporation has a debt-to-equity ratio of 2, and it does not pay any corporate taxes (tax rate is 0). The debt beta is zero, and the asset beta is 1.2.
Plugging in the values into the formula, we get:
Equity Beta = 1.2 / (1 + (1 - 0) * (2))
Simplifying further:
Equity Beta = 1.2 / (1 + 2)
Equity Beta = 1.2 / 3
Equity Beta = 0.4
Therefore, the Corporation's equity beta is 0.4. None of the provided options (A, B, C, D) match this value.
Learn more about equity here:
https://brainly.com/question/31458166
#SPJ11
The net present value (NPV) of a project represents the amount by which the project is expected to_____________ shareholder wealth.
a. provide no change to
b. decrease
c. increase
d. decrease or provide no change to
The net present value (NPV) of a project represents the amount by which the project is expected to increase shareholder wealth.
The NPV is used to determine the profitability of an investment by calculating the present value of future cash flows, which will be compared to the initial cost of the investment. The NPV technique assumes that a project with a positive NPV will benefit the shareholders, whereas a project with a negative NPV will harm them.To determine the NPV, the present value of the future cash inflows is calculated and then compared to the present value of the cash outflows. When the present value of the cash inflows is greater than the present value of the cash outflows, the project's NPV will be positive. The higher the NPV, the better it is. A project with a positive NPV is expected to increase shareholder wealth.
Net present value (NPV) is one of the most commonly used investment appraisal techniques to determine the profitability of a project. It is the difference between the present value of cash inflows and the present value of cash outflows. It determines whether the expected cash inflows will exceed the costs of the project. If the NPV is positive, the project is accepted, and if it is negative, the project is rejected. The NPV technique assumes that a project with a positive NPV will benefit the shareholders, whereas a project with a negative NPV will harm them. Thus, the net present value (NPV) of a project represents the amount by which the project is expected to increase shareholder wealth.
To know more about net present value visit :-
https://brainly.com/question/31111988
#SPJ11
Student should develop a business plan for any innovative business idea with the following components (Initial investment should be between 10,000 R.O. – 40,000 R.O. only):
The Major Financial Projections
Income Statement
Balance Sheet
Cash-Flow Statement
200 words
A student developing a business plan for an innovative business idea should include the major financial projections, an income statement, a balance sheet, and a cash-flow statement.
The initial investment should be between 10,000 R.O. – 40,000 R.O. only. The income statement is a financial statement that shows the revenues and expenses of a business over a specific period. The main objective of an income statement is to provide an overview of a company's financial performance, such as profitability, by showing the revenues, expenses, gains, and losses for the given period.
The income statement is divided into two parts: the operating section and the non-operating section. The operating section includes revenues and expenses that are directly related to the core business operations, while the non-operating section includes gains and losses from non-core business operations.The major financial projections are a forecast of a company's future financial performance based on assumptions and projections. The major financial projections include revenues, expenses, net income, and cash flow.
These projections are essential for the company to make informed decisions about the future of the business. A balance sheet is a financial statement that shows the assets, liabilities, and equity of a company at a specific point in time. It provides a snapshot of a company's financial position and is useful for investors and creditors in determining the financial health of a company.
A cash-flow statement shows the cash inflows and outflows of a business over a specific period. It provides insights into a company's liquidity, solvency, and overall financial health. The cash-flow statement is divided into three sections: operating activities, investing activities, and financing activities.
To know more about innovative business refer here:
https://brainly.com/question/29153073#
#SPJ11
