When real estate agents sell their own, rather than clients', houses, they leave the houses on the market for a longer time (10 days longer on average) and wind up with better prices.
Suppose that real estate agents earn a commission equal to 3% of the sale value of each house that they help sell. Suppose a real estate agent has an offer on a house of $400,000. The agent can get a 5% higher offer with more effort and by leaving the house on the market for a few more weeks.
If the agent sells the house now, he will earn a commission of $________ . By keeping the house on the market and expending more effort to sell the house, the agent can earn a commission of $_______ . Thus, the agent gains $________ for the extra effort and time of keeping the house on the market.
Suppose a real estate agent has an offer on a house that he owns. The agent has a current offer of $400,000, but can get a 5% higher offer with more effort and by leaving the house on the market for a few more weeks. Assume that all of the commission is paid back to the agent, since he will act as the agent for the sale.
If the agent waits to sell the house, he gains $_________ more than selling the house now. Since this amount is ______(less/more) than what he would gain by waiting to sell a house he does not own (as in the first part of the problem), the agent is_______(less/more) likely to keep a house on the market and expend more effort to sell a house that he owns, as opposed to one that he does not own.
Answer:
If the agent sells the house now, he will earn a commission of $12,000. By keeping the house on the market and expending more effort to sell the house, the agent can earn a commission of $12,600. Thus, the agent gains $600 for the extra effort and time of keeping the house on the market.
If the agent sells the house now, he will earn 3% on $400,000:
= 400,000 * 3%
= $12,000
If the agent waits, the offer could increase by 5%:
= 400,000 * ( 1 + 5%).
= $420,000
New commission would therefore be = 420,000 * 3% = $12,600
Gain = 12,600 - 12,000 = $600
__________________________________________________________
If the agent waits to sell the house, he gains $20,000 more than selling the house now. Since this amount is more than what he would gain by waiting to sell a house he does not own (as in the first part of the problem), the agent is more likely to keep a house on the market and expend more effort to sell a house that he owns, as opposed to one that he does not own.
If the agent owns the house, the gain is:
= 420,000 - 400,000
= $20,000
This amount is more than the $600 he would gain if the house wasn't his as shown in the first question.
He will therefore most likely wait and expend more effort so he gets this $20,000.
Glen Arbor Corporation sells DVD players. The corporation also offers its customers a 4-year service-type warranty contract. On 1/1/24, Glen Arbor sold 20,000 warranty contracts at $99 each and spent $180,000 servicing warranties during 2024 and $200,000 servicing warranties in 2025. Estimated warranty expense for the four-year period is $800,000. The Sales Warranty (Deferred Revenue) approach is applicable. Assume straight-line amortization. What is the Unearned Warranty Revenue balance at 12/31/25
Answer:
the balance of unearned revenue as on Dec 31 25 is $990,000
Explanation:
The computation of the balance of unearned revenue as on Dec 31 25 is as follows:
= Opening balance - amortization for the year 2024 - amortization for the year 2025
= (20,000 × $99) - ((20,000 × $99) ÷ 4 years) - ((20,000 × $99) ÷ 4 years)
= $1,980,000 - $495,000 - $495,000
= $990,000
hence, the balance of unearned revenue as on Dec 31 25 is $990,000
On April 1, 20-3, Kwik Kopy Printing purchased a copy machine for $50,000. The estimated life of the machine is five years, and it has an estimated salvage value of $5,000. The machine was used until July 1, 20-6.
Required:
1. Assume that Kwik Kopy uses straight-line depreciation and prepare the following entries:
a. Adjusting entries for depreciation on December 31 of 20-3 through 20-5.
b. Adjusting entry for depreciation on June 30, 20-6, just prior to trading in the asset.
c. On July 1, 20-6, the copy machine was traded in for a new copy machine. The market value of the new machine is $38,000. Kwik Kopy must trade in the old copy machine and pay $22,000 for the new machine.
2. Assume that Kwik Kopy uses sum-of-the-years'-digits depreciation and prepare the following entries:
a. Adjusting entries for depreciation on December 31, 20-3 through 20-5.
b. Adjusting entry for depreciation on June 30, 20-6, just prior to trading in the asset.
c. On July 1, 20-6, the copy machine was traded in for a new copy machine. The market value of the new machine is $38,000. Kwik Kopy must trade in the old copy machine and pay $22,000 for the new machine.
Answer:
1. Assume that Kwik Kopy uses straight-line depreciation and prepare the following entries:
a. Adjusting entries for depreciation on December 31 of 20-3 through 20-5.
b. Adjusting entry for depreciation on June 30, 20-6, just prior to trading in the asset.
c. On July 1, 20-6, the copy machine was traded in for a new copy machine. The market value of the new machine is $38,000. Kwik Kopy must trade in the old copy machine and pay $22,000 for the new machine.
2. Assume that Kwik Kopy uses sum-of-the-years'-digits depreciation and prepare the following entries:
a. Adjusting entries for depreciation on December 31, 20-3 through 20-5.
b. Adjusting entry for depreciation on June 30, 20-6, just prior to trading in the asset.
c. On July 1, 20-6, the copy machine was traded in for a new copy machine. The market value of the new machine is $38,000. Kwik Kopy must trade in the old copy machine and pay $22,000 for the new machine.
Explanation:
Cost 50000
DEP 5 years
Salvage Value 5000
Purchase April 1 20-2
Until July 1, 20-6
Straigth Line Depreciation
Cost Salvage value Net value Depreciation Net book value
50000 5000 45000
Apri 1 2002 45000
Dec 31 2002 9 months 45000 6750 38250
Dec 31 2003 38250 9000 29250
dec 31 2004 29250 9000 20250
Dec 31 2005 20250 9000 11250
Jun-30 2016 11250 4500 6750
--1a--
Dr Depreciation expense____________$9000
Cr Acummulate Depreciation_______________$9000
Anual depreciation 2003
--2a--
Dr Depreciation expense____________$9000
Cr Acummulate Depreciation_______________$9000
Anual depreciation 2004
--3a--
Dr Depreciation expense____________$9000
Cr Acummulate Depreciation_______________$9000
Anual depreciation 2005
--1b--
Dr Depreciation expense____________$4500
Cr Acummulate Depreciation_______________$4500
Anual depreciation 2006
---1c---
Dr Accumulate depreciation_________$38250
Cr Machinery____________________________$50000
Dr Machinery_____________________$38000
Cr Bank_________________________________$22000
Cr Income in Asset sales_____________________$4250
The most global markets currently are markets for: consumer durables. consumer goods. industrial goods. services.
Answer:
industrial goods.
Explanation:
Industrial goods are the goods that are purchased and used for the industrial and the business purpose. It would be made from machinery, manufacturing plants, raw materials, etc also these are depend upon the consumer goods that would help for generating the product
So as per the given situation the most global market would be for the industrial goods
When agent Tom meets with his sellers to explain his advertising plan, he should make sure the owners understand that:
Answer:
a) Advertising a similar property can and does create interest in their property.
Explanation:
These are options for the question
.a) Advertising a similar property can and does create interest in their property.b) He can’t afford to continue advertising if the ads he places fail to generate interest.c) There are only so many advertising dollars to go around.d) Most of the advertising budget is earmarked for low-priced homes.
In business, advertising create the necessary awareness about the product that is needed to sell, which can be done through magazine, bull board, radio, television and others , in the above scenario, as Tom meet with the seller he should make the owner to have the understanding that
Advertising a similar property can and does create interest in their property. But Incase the the advertisement doesn't bring interest, he can't continue to proceed with it
Megan and Susan are roommates. They spend most of their time studying (of course), but they leave some time for their favorite activities: making pizza and brewing root beer. Megan takes 5 hours to brew a gallon of root beer and 3 hours to make a pizza. Susan takes 8 hours to brew a gallon of root beer and 4 hours to make a pizza.
Megan's opportunity cost of making a pizza is ______________ of root beer, and Susan's opportunity cost of making a pizza is ______________ of root beer. __________has an absolute advantage in making pizza, and ___________ has a comparative advantage in making pizza. If Megan and Susan trade foods with each other, ___________ will trade away pizza in exchange for root beer. The price of pizza can be expressed in terms of gallons of root beer. The highest price at which pizza can be traded that would make both roommates better off is ____________ of root beer, and the lowest price that makes both roommates better off is _________ of root beer per pizza.
Answer and Explanation:
The cost of pizza production for Megan is 3 ÷ 5 root beer gallons.
And, Susan's pizza production potential cost is 1 ÷ 2 root beer gallons
Megan also gained an edge in pizza making as she only takes three hours, whereas Susan takes four hours on the other side.
And, susan's opportunity cost is lower than megan, which means that susan has the comparative advantage.
3 ÷ 5 root beer gallon may be better off.
And the cheaper price of 1 ÷ 2gallons of root beer could be better.
___ occurs when businesses offering competitive products attempt to satisfy the same customers wants and needs
Answer: Competitive marketing strategy
Explanation:
The competitive marketing strategy can be defined as the action plans and strategies used by the companies to get an edge over the competitive companies seeking same kind of customers in the market. They can provide more benefits in terms of low cost, additional products per sale of goods and services to attract the customers this gives an competitive advantage to them.
Assume that at the beginning of the year, Firm B divested itself of $20,000 of unproductive capital and earnings for the year fell by only $3,000. Abnormal earnings are:
Answer:
The correct response will be "$600".
Explanation:
The given problem is incomplete. Please find attachment of the complete query.
The given values are:
Normal earning,
= 11000
Rate of interest,
r = 8%
Now,
The abnormal earning will be:
= [tex]Normal \ earning-Net \ income[/tex]
= [tex]11000-((150000-20000)\times 8 \ percent)[/tex]
= [tex]11000-((130000)\times 8 \ percent)[/tex]
= [tex]600[/tex] ($)
You have always thought that hiking in the Rocky Mountains would be fun. However, this activity would cost money and require time away from other activities. This situation best exemplifies:
Answer: trade off
Explanation:
A trade-off occurs when one has to reduce something or loose something for the person to enjoy another thing or gain from something else. During a trade off, an increase in a particular thing leads to a loss somewhere else.
Since the this activity would cost money and require time away from other activities. This is a trade off.
Why might the revenue and cost figures shown on a standard income statement not represent the actual cash inflows and outflows that occurred during a period
Answer:
Actual figures are only available after the period end using these will delay product costing, price setting and profit determination.
Explanation:
Firms use standard or budgeted revenue and cost figures in the income statement because actual figures are only available after the period end using these will delay product costing, price setting and profit determination.
what limits are placed on the government's power to tax?
g 5. Characteristics of oligopoly An oligopolistic market structure is distinguished by several characteristics, one of which is either homogeneous or differentiated products. What are some other characteristics of this market structure
Explanation:
An oligopoly can be defined as an imperfect competition market structure, it works when in an economic sector there are few companies offering a good or service, that is, the market is homogeneous and with differentiated services, as companies seek a degree differentiation to win customers.
Some characteristics of the oligopoly are: few price variations, which can affect the consumer, since there are few companies operating in the oligopolistic market, the possibilities of choice are reduced. There is also the difficulty of entry for new competitors, since there are few dominant companies in the market and we can also mention the dependence between companies in the market in which there is an oligopoly, since the actions of one will consequently affect the entire market and the companies present .
The oligopoly arises when there is an imbalance between supply and demand, which means that the active companies have greater control over the market and the prices charged.
Which function of money describes its ability to help people compare what
different goods and services are worth?
A. Standard of deferred payment
B. Store of value
C. Measure of value
D. Medium of exchange
Answer: D. Medium of exchange
Explanation:
The function of money describes its ability to help people compare what different goods and services are worth as a measure of value. Thus the correct option is C.
What is Service?Services are referred to as a type of goods that is offered to someone in terms of facilities like the one received in a restaurant or shopping mall. It is a type of commodity or product that is intangible in nature, one can only feel it.
Money is referred to as currency which is considered a medium of exchange that is used to buy and sell products and services by measuring their value in comparison to each object.
This is referred to as a standard payment system that is applicable in each country that has a different value of its currency based on the economy.
Therefore, option C is appropriate.
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A CPA issued an unqualified opinion on the financial statements of a company that sold common stock in a public offering subject to the Securities Act of 1933. Based on a misstatement in the financial statements, the CPA is being sued by an investor who purchased shares of this public offering. Which of the following represents a viable defense?
a. The investor has not proved fraud or negligence by the CPA.
b. The investor did not actually rely upon the false statement.
c. The CPA detected the false statement after the audit date.
d. The false statement is immaterial in the overall context of the financial statements.
Answer:
d. The false statement is immaterial in the overall context of the financial statements.
Explanation:
Note, the term 'misstatement' can also be rendered 'false statement'.
Since in this scenario, we can confirm the CPA (Certified Public Accountant) issued out an opinion about the financial statements of a company.
Since the interpretation of the financial statement is subject to personal interpretation, it can, therefore, be considered immaterial in the overall context of the financial statements; removing any liability to the CPA.
Suppose an event has occurred that has decreases money demand. This will cause the equilibrium interest rate to g
Complete Question:
Suppose an event has occurred that has decreased money demand. This will cause the equilibrium interest rate to: Multiple Choice decrease, but equilibrium quantity to remain constant. decrease, but equilibrium quantity to increase. increase, but equilibrium quantity to decrease. Increase, but equilibrium quantity to remain constant.
Answer:
Suppose an event has occurred that has decreased money demand. This will cause the equilibrium interest rate to:
decrease, but equilibrium quantity to increase.
Explanation:
Money demand equilibrium occurs at the interest rate at which the quantity of money demanded equals the quantity of money supplied. This implies that all other things unchanged, a shift in money demand will lead to a change in the equilibrium interest rate. This result will come about because with the reduced interest rate, more consumers and businesses will be angling for more loans.
What measures should the business use to monitor its customer service performance?
In the food service industry, recipes are invaluable because they provide a way for cooks, no matter who or where they are, to achieve consistency of _____ and ______. volume; scale
strain; tare
quality: yield
weight: gauge
Answer: quality: yield is correct
Explanation: Took the test
In the food service industry, recipes are invaluable because they provide a way for cooks, no matter who or where they are, to achieve consistency of quality and yield. Thus, option (c) is correct.
What is food?The term “food” refers to an edible and consumable material that provides the body with nutrition and vitamins to maintain itself. Plants, humans, animals, and birds all typically eat food. fruits, vegetables, legumes, dairy, and other nutrient-dense foods. The body need the food in order to function, thus it was consumed.
According to the food service sector, was the offered the information of the food as well as the grade of the cuisine. It instructs the cook on what ingredients to use, how to utilize them, and any nutrition facts that may be useful. A recipe's yield is the number of servings it will make.
Therefore, option (c) is correct.
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A customer buys an oil and gas limited partnership interest by contributing $20,000 and signing a $20,000 non-recourse note. The customer's tax basis is
Answer:
The customer's tax basis is:
$20,000.
Explanation:
The non-recourse notes of $20,000 do not provide basis for the customer's tax. Since the partnership cannot recover beyond the secured property, a non-recourse note is not a qualified basis. IRS Section 752 rules apply to non-recourse liabilities. A non-recourse note provides the basis for partnership distributions but generally do not provide basis for at-risk rules.
Annie Rasmussen is the owner and operator of Go44, a motivational consulting business. At the end of its accounting period, December 31, 2018, Go44 has assets of $865,080 and liabilities of $273,370. Using the accounting equation and considering each case independently, determine the following amounts.
Required:
a. Annie Rasmussen, capital, as of December 31, 2018.
b. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $96,500 and liabilities increased by $30,000 during 2019.
c. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets decreased by $168,000 and liabilities increased by $15,000 during 2019.
d. Annie Rasmussen, capital, as of December 31, 2019, assuming that assets increased by $175,000 and liabilities decreased by $18,000 during 2019 .
e. Net income (or net loss) during 2019, assuming that as of December 31, 2019, assets were $880,000, liabilities were $220,000, and there were no additional investments or withdrawals.
Answer:
a. $591,710
b. $658,210
c. $408,710
d. $784,710
e. $68,290
Explanation:
The Accounting Equation is stated as Assets = Equity + Liabilities
also stated as :
Equity = Assets - Liabilities
therefore,
a. Capital = $865,080 - $273,370 = $591,710
b. Capital = $591,710 + [$96,500 - $30,000] = $658,210
c. Capital = $591,710 + [- $168,000 - + $15,000] = $408,710
d. Capital = $591,710 + [$175,000 - - $18,000] = $784,71
e. Net income = [$880,000 - $220,000] - $591,710 = $68,290
The Blending Department of Luongo Company has the following cost and production data for the month of April.
Costs:
Work in process, April 1
Direct materials: 100% complete $111,000
Conversion costs: 20% complete 77,700
Cost of work in process, April 1 $188,700
Costs incurred during production in April
Direct materials $888,000
Conversion costs 405,150
Costs incurred in April $1,293,150
Units transferred out totaled 18,870. Ending work in process was 1,110 units that are 100% complete as to materials and 40% complete as to conversion costs.
Required:
Compute the equivalent units of production for (1) materials and (2) conversion costs for the month of April.
Answer:
(1) materials = 19,980 units , (2) conversion costs = 19,314 units
Explanation:
Equivalent units are physical units of output expressed as a percentage on work or inputs applied to them.
Here, I have calculated the equivalent units using the weighted average cost method.
Calculation of equivalent units of production for the month of April.
(1) materials
Ending Work in Process (100% x 1,110 units) = 1,110 units
Completed and transferred (100% x 18,870 units) = 18,870 units
Equivalent units of production for materials = 19,980 units
(2) conversion costs for the month of April.
Ending Work in Process (40% x 1,110 units) = 444 units
Completed and transferred (100% x 18,870 units) = 18,870 units
Equivalent units of production for conversion costs = 19,314 units
Which option identifies what can be inferred about Sophie's degree from the following scenario?
Sophie has graduated and obtained a job in the survey research field. She oversees a team of researchers who analyze the effectiveness of survey methodologies for a large market research
mirm.
O Sophie eamed a degree in survey methodology
O Sophie camed a professional researcher certification,
O Sophie eamed a bachelor's degree
O Sophie eamed an advanced degree
Answer:
O Sophie earned a degree in survey methodology
Explanation:
Sophie is a manager in the survey company. Her team is made up of researchers who analyze the effectiveness of survey methodologies. For Sophie to effectively manage a team of researchers, she needs to be good at research work. This suggests that Sophie must have graduated with a degree in survey methodology. The minimum requirement for a manager in many professions is a degree in the relevant field of study.
The answer is NOT:
Sophie earned a professional researcher certification.
Once you have completed your assignment, you will see your progress, accuracy, and a list of the most challenging concepts before returning to your Connect assignment.
a. True
b. False
Answer:
True.
Explanation:
Connect assignment refers to an educational web-based platform that offers assistance to students on assignment and assessments by connecting them with good and experienced tutors.
Once you have completed your assignment, you will see your progress, accuracy, and a list of the most challenging concepts before returning to your Connect assignment.
Answer:
When Carti said " " I felt that
Suppose you have $100 in a saving account earning 2 percent interest a year.after five year how much would you have
Answer: Roughly $110.40
Explanation:
100 x (1.02)^5
The 1.02 is just 100 percent of the number plus the 2 percent interest you make.
Answer:
$110.41
Explanation:
Provided that the interest is a "compounding interest," you will have $110.41 in 5 years. A compounding interest allows you to calculate the interest you can earn on your accumulated interest over time in addition to your deposit.
Let's calculate the interest on a yearly basis.
1. First year = $100 x 20% (0.02) = $2
You have to add $2 to the initial deposit of $100.
$100 + $2 = $1022. Second year = $102 x 20% (0.02) = $2.04
$102 + $2.04 = $104.043. Third year = $104.04 x 20% (0.02) = $2.0808
104.04 + $2.0808 = $106.12084. Fourth year = $106.1208 x 20% (0.02) = $2.122416
$106.1208 + $2.122416 = $108.2432165. Fifth year = $108.243216 x 20% (0.02) = $2.16486432
$108.243216 + $2.16486432 = $110.408 or $110.41After five years, you will have $110.41.
Matthew purchased a new piece of equipment to be used in its new facility. The $400,000 piece of equipment was purchased with a $40,000 down payment and with cash received through the issuance of a $360,000, 9%, 5-year mortgage payable issued on January 1, 2022. The terms provide for annual installment payments of $92,553 on December 31.
Required:
Prepare an installment payments schedule for the first five payments of the notes payable.
Answer:
The ending balance after the first five payments of the notes payable is $1.70.
Explanation:
Note: See the attached excel file for the installment payments schedule for the first five payments of the notes payable.
In the attached excel file, the following are calculated as follows:
Beginning balance for the year 2022 = Value of the note payable
For other years, Beginning balance for a particular year = Previous year's ending balance
Interest expense for each year = Beginning balance for each year * Interest rate
Principal paid for each year = Annual installment - Interest expense for each year
Ending balance for each year = Beginning balance for each year - Principal paid for each year
From the attached excel file, the ending balance after the first five payments of the notes payable is $1.70.
Which of the following statements best characterizes how digital Internet-based streaming is trending?
Digital Internet-based streaming services are becoming increasingly popular, but this trend is not expected to last.
Digital Internet-based streaming services have not caught on, and they are expected to eventually disappear entirely.
Digital Internet-based streaming services are not popular now, but they are expected to become popular in the near-future.
Digital Internet-based streaming services are becoming increasingly popular, and this trend is expected to continue.
Answer:
last choice
Explanation:
it is the last choice
if the interest rate on cds increase from 5% to 10% the opprunity cost of holding money will and the quanity demanded of money will
Answer:
D. increase; decrease
Explanation:
In the case when the rate of interest on cds increased from 5% to 10% so here the opportunity cost of holding the money would also be increased while on the other hand the quantity demanded of the money would be decreased
Therefore as per the given situation the option D is corect
And, the rest of the options are wrong
Organized securities markets a. are examples of financial intermediaries. b. are secondary markets. c. transfer resources from savers to borrowers. d. are not subject to regulation.
Answer:
b. are secondary markets
Explanation:
Secondary market can be defined as a market where various investors sell and buy securities from other investors.
Some examples of secondary market around the world are New York Stock Exchange (NYSE), NASDAQ, London Stock Exchange (LSE) and National Stock Exchange (NSE).
On the other hand, the primary market refers to the market where these securities that are being sold are issued or created.
Hence, organized securities markets are secondary markets.
A _________________ is wording that tells the reader to do something.
Question 8 options:
phrase
call to action
purpose
competition
Answer:
Call to Action
Explanation:
Just took the test and got it right:)
Amount issued $400 million Offered Issued at a price of 101.50% plus accrued interest (proceeds to company 101.300%) through First Boston Corporation. Interest 9.25% per annum, payable February 15 and August 15. Suppose the debenture was issued on September 1, 1992, at 101.50%. How much would you have to pay to buy one bond delivered on September 15
Answer: $1022
Explanation:
The amount that would be paid buy one bond delivered on September 15 will be the addition of the issued price and the accrued interest. This will be:
= (1000 x 101.50%) + (1000 x 9.25% x 1/12)
= (1000 x 101.50/100) + (1000 x 9.25/100 x 1/12)
= (1000 x 1.015) + (1000 x 0.0925 x 0.0833)
= 1015 + 7.70525
= 1022
The answer is $1022.
the decision-makers that experience scarcity.
Answer:
Governments, companies, and individuals
Explanation:
Answer:
goverments companies induvuduaks
Explanation:
