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topjm
1 month ago
5

A large beer company previously had a yearly budget of $50 million per year for advertising but increased the budget to $60 mill

ion in order to run a commercial during the Super Bowl. That year revenues increased by 1%. Should the beer company continue with the increased advertising budget?
Business
1 answer:
stepan [3K]1 month ago
4 0
The company may continue with the advertising, but this is contingent on ensuring that the 1% revenue increase is equal to or exceeds the $10 spent on advertising. Here's the reasoning: A revenue uptick of 1% suggests that the advertisement played a role in attracting more customers. This opens possibilities for the company to maintain consistent advertising next year, potentially adapting the ad channel, enhancing ad quality, or changing its timing and location. The 1% increase could even equate to $20, although the actual revenue remains unspecified. Conversely, if the 1% growth is noticeably less than the advertising costs, the business should consider consulting with experts.
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John Rawls owns and operates Philosophical Consulting, Inc. During 2019 and 2020 he made the following purchases of assets for u
soldi70 [3150]

Answer:

The correct answer is "600000".

Explanation:

The values provided are:

Cost of office furniture,

= $100,000

Cost of the computer system,

= $500,000

  • The revised MACRS allows a corporation to gradually reduce the mortgage balance of such depreciating assets.
  • In the initial years, MACRS permits accelerated depreciation but then slows down the process. This is advantageous for businesses from a taxation perspective.

Now,

The cost recovery deduction is calculated as:

= Office \ furniture+Computer \ system

Substituting the values gives us

= 100000+500000

= 600000

6 0
1 month ago
Imagine you've just gotten the first glimpse at your upcoming report card or transcript. 1. What are your steps for reviewing it
Mariulka [3182]

Answer:

Steps to Review:

  1. Check for the unweighted GPA and Total GPA
  2. Examine individual grades by semester and overall GPA
  3. Review the marks explanation
  4. Finally, read the comments provided in the report

Sections of Interest:

  • Total GPA
  • Grades in specific subjects like Computer Science, Commerce, and Chemistry.
  • Teacher comments

What Matters to Me:

  • Aim to pass all subjects to minimize my teachers' frustrations.

What Matters to My Parents:

  • Ensure I succeed in all subjects with the best possible grades.

Steps If Something Seems Off:

  • First, investigate personally; for example, if a grade doesn’t match expectations, review the term papers to confirm results.
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4 0
1 month ago
Canine Crates just paid an annual dividend of $.45 per share but plans to double that amount each year for three years. After th
marusya05 [3096]

Answer:

e) $23.89

Explanation:

To find the present value of Canine Crates shares today, based on a return rate of 13%, we must first compute the annual value derived from dividends over three years as follows

D1= The yearly dividend x 2 ( Canine Crates intends to double the dividend each year for three years

D1= $0.45 x 2 = $0.9D2= $0.90 x 2 = $1.80

D3= $1.80 x 2 = $3.60

Subsequently, we calculate the stock’s value by summing the present values of each year's dividends.

This is founded on the following formula

Dividend per year / (1+r)∧n

= Dividend per year

r = required rate

n= period

Stock value = $0.9 / (1.13) + $1.80 / (1.13)∧2 + $3.60/ (1.13)∧3

Final stock valuation = $23.89

3 0
16 days ago
Read 2 more answers
Question Help A company purchased mineral assets holding approximately 240,000 tons of ore for $960,000. The estimated residual
marusya05 [3096]

Answer: $160,000

Explanation:

To find the depletion rate per ton:

= ( Cost - residual value) / Capacity in tons

= (960,000 - 0) / 240,000

= $4 per ton

During the first year, the extraction was 40,000 tons. Thus, the depletion amount is:

= 40,000 * 4

= $160,000

3 0
10 days ago
When airbnb customers in malibu start paying hotel taxes, this will have the potential to raise the equilibrium price in this ma
Katen [2925]
If Airbnb guests in Malibu begin to pay hotel taxes, it could lead to an increase in the equilibrium price in that market, thus reducing overall efficiency. The equilibrium price is defined as the point at which the supply of goods and services matches consumer demand. An increase in the equilibrium price would result in decreased efficiency as supply and demand would no longer align.
8 0
28 days ago
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