What is the difference between simple interest and compound interest?
What will be an ideal response?
Simple interest is calculated only on the principal amount. Compound interest is calculated on the principal and on all previously earned interest.
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The following are quotes received by U.S. government for a particular work. Which is the most likely quote to get selected based on the government procurement policies?
a. domestic supplier 1 - $112 per unit b. Chinese supplier - $106 per unit c. domestic supplier 2 - $115 d. French supplier - $110
If a company has very low operating leverage (i.e. a low proportion of fixed costs in the cost structure) and no changes are expected in operations
a. percentage change income statement percentages can serve as the basis for projecting operating expenses. b. using common-size income statement percentages will overstate future projected operating expenses. c. using common-size income statement percentages will understate future projected operating expenses. d. using common-size income statement percentages can serve as a reasonable basis for projecting future operating expenses.
Floyd's Barbershop has fixed costs of $3,000 per month. Floyd currently breaks-even when it performs 400 haircuts a month. Floyd charges customers $10 per cut. What is Floyd's variable cost per cut?
A) $2.50 B) $7.50 C) $17.50 D) $1.33
TECO Coal Corporation mines and ships more than six million tons of coal annually. TECO is comprehensively regulated by the U.S. Bureau of Mines. The U.S. Bureau of Mines may conduct a surprise inspection of one of TECO's mines
a. only if it has a search warrant. b. only if it has a subpoena. c. only if it has reason to believe a violation of a regulation has occurred. d. without a search warrant to ensure safety.