Jack has $1,000 that he wishes to invest for the next two years. One-year CDs are currently paying 8% while two-year CDs are paying 12% per annum. Economists are predicting that interest rates will rise by the end of the year
What is the minimum amount interest rates would have to increase to in order for the one-year CD to be better than the two-year CD?
A) 16%
B) 14%
C) 12%
D) 10 %
Answer: A
Explanation: A) Total dollar return over the two years at 12% is $240; one year return at 8% is $80, therefore interest rates would have to increase to 16% or better to make up the difference.
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Cash receipts from the cash register tapes totaled $897 . The cash count indicated that $927 is in the cash drawer. There is a change fund of $100 . The entry to record the difference would be
a. debit Cash for $30 and credit Cash Short and Over for $30; b. debit Cash Short and Over for $30 and credit Cash for $30; c. debit Cash for $70 and credit Cash Short and Over for $70; d. debit Cash Short and Over for $70 and credit Cash for $70; e. none of these
Cross-sectional and longitudinal designs are types of ________ (Figure 3.1 in the text)
A) causal research B) exploratory research C) descriptive research D) none of the above
A manufacturer, using a standard cost system, purchased 250 units of direct materials at a cost of $2 per unit. The standard cost per unit of direct materials is $1.85.
Prepare the journal entry to record the direct materials cost variance at the time of purchase. Omit explanation.
Identify two postpurchase evaluation metrics that may be used in the B2B buying process
What will be an ideal response?