Recent Question

Total net operating capital is equal to net fixed assets True or false: 1. The income statement shows the difference between a firm's income and its costsi.e., its profitsduring a specified period of time. However, not all reported income comes in the form or cash, and reported costs likewise may not correctly reflect cash outlays. Therefore, there may be a substantial difference between a firm's reported profits and its ac ...

Other / Other 04 May 2016

How much value has Janjigian's management added to stockholder wealth 1. Companies generate income from their "regular" operations and from other sources like interest earned on the securities they hold, which is called non-operating income. Lindley Textiles recently reported $12,500 of sales, $7,250 of operating costs other than depreciation, and $1,000 of depreciation. The company had no amortization charges and no non-operating income. I ...

Other / Other 04 May 2016

Marginal factor cost is defined as the amount that an additional unit of the variable input adds to 1. Marginal factor cost is defined as the amount that an additional unit of the variable input adds to ____. A. marginal cost B. variable cost C. marginal rate of technical substitution D. total cost E. none of the above 2. The primary purpose of the Cobb-Douglas power function is to: A. allow one to make estimates of cost-output relat ...

Other / Other 30 Apr 2016

Damages intended to punish a defendant and deter the defendant and others from engaging in the same tortious 1) Monica owed Bob $500, which was more than a year overdue. Bob got drunk at a party and told everyone that Monica had owed him $500 for over a year. Can Monica recover from Bob for defamation? A. Yes, because Bob communicated the statement to third persons B. No, because Bob was telling the truth C. No, because Bob had been ...

Other / Other 30 Apr 2016

The following is a Cobb-Douglas production function Question 1 Marginal factor cost is defined as the amount that an additional unit of the variable input adds to ____. a. marginal cost b. variable cost c. marginal rate of technical substitution d. total cost Question 2 The marginal product is defined as: a. The ratio of total output to the amount of the variable input used in producing the output b. The incremental change in total ...

Other / Other 30 Apr 2016

When statutes are passed only after considerable study 1) The Federal Trade Commission is an example of A. a branch of the U.S. Supreme Court B. a temporary commission created by executive order that has become permanent C. a corporation subsidized by the federal government D. a federal agency created by the federal government 2) The doctrine of stare decisis concerns A. using constitutional law to render a decision B. ...

Other / Other 30 Apr 2016

The Identification Problem in the development of a demand function 1. The Identification Problem in the development of a demand function is a result of: A. the variance of the demand elasticity B. the consistency of quantity demanded at any given point C. the negative slope of the demand function D. the simultaneous relationship between the demand and supply functions E. none of the above 2. The estimated slope coefficient (b) of ...

Other / Other 30 Apr 2016

Economies of Scope refers to situations where per unit costs are 1. Which of the following statements concerning the long-run average cost curve of economic theory is true? A. It is L-shaped B. It is –shaped C. It is –shaped D. It is -shaped E. It is M-shaped 2. Economies of scale exist whenever long-run average costs: A. Increase as output is increased B. Remain constant as output is increased C. Decrease as outp ...

Other / Other 30 Apr 2016

What are the expected dividend yield and capital gains yield today 1. Multi-stage growth model If N = 3 years, gs = 30%, gn = 8%, D0 = $1.15, RRR = 13.4%, what should be the value of stock today? What are the expected dividend yield and capital gains yield today? How about in 5 years? 2. A share of XYZ stock is now selling at $40.00. XYZ will pay a cash dividend of $2.00 at the end of the year (D1). The stock has a beta o ...

Other / Other 30 Apr 2016

How many shares can the investor purchase 1. Todd Mountain Development Corporation is expected to pay a dividend of $3.00 in the upcoming year. Dividends are expected to grow at the rate of 8% per year. The risk-free rate of return is 5% and the expected return on the market portfolio is 17%. The stock of Todd Mountain Development Corporation has a beta of 0.75. Using the constant growth DDM, the intrinsic value of the stock is ____ ...

Other / Other 30 Apr 2016