Describe the four stages of the business cycle. What are the characteristics of each stage and how would a financial manager adjust their strategic and tactical planning for changes in the business cycle?
What will be an ideal response?
Peaks in the business cycle tend to occur when the capacity-to-output gap is smallest, and troughs tend to occur when the gap is largest. When changes in real GDP are positive, the economy is said to be expanding. Conversely, two consecutive quarterly declines in real GDP are generally said to indicate a RECESSION.
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For each of the following oversights, state whether stockholders' equity will be understated, overstated, or not affected. ______
a. Failure to record depreciation ______ b. Failure to record accrued wages ______ c. Failure to convert unearned revenue to earned revenue ______ d. Failure to record accrued interest in the bank ______ e. Failure to record expired insurance ______ f. Failure to record revenue earned but not yet received
Cultural conflicts cannot be avoided if you are aware, open-minded, and respectful
Indicate whether the statement is true or false
What are the principles and standards that guide our behavior toward other people?
A. Intellectual property. B. Copyright. C. Pirated software. D. Ethics.
Warbler Gifts reported the following information for the sales of their single product: TotalPer UnitSales$300,000 $10 Variable expenses 180,000 6 Contribution margin 120,000 $4 Fixed expenses 100,000 Net operating income$20,000 Warbler's salesmen have proposed to decrease the selling price by 50 cents per unit. How many units will need to be sold for Warbler to earn at least the same net operating income? (Round your intermediate calculations to 2 decimal places.)
A. 36,000 units B. 28,572 units C. 5,715 units D. 34,286 units