Evaluate the current strategy of Hewlett-Packard related to personal computers and compare it with the strategy being pursued by Dell.
What will be an ideal response?
This question has no single correct answer, and the evaluation should be left to the student’s discretion. However, several questions should be answered in a company’s evaluation. These include the following: For what reasons were we successful in the past? What is our present strategy in the light of our past successes? What has changed in both the internal and the external environment to affect us in our present position? What strategic adjustments should be made to counter these internal and external developments? What might happen in the future environment, and what strategies might we use to adapt to those changes?
In addition, products, markets, and financial performance should be analyzed in depth to examine overall strategies. This means analyzing factors such as the company’s and the competitors’ sales, profits, growth, and market share. In the chapter, factors are given for evaluating strategies; these should be utilized in the evaluation.
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The dividend yield rate is equal to the dividends per share divided by the par value per share of common stock
a. True b. False Indicate whether the statement is true or false
Exhibit 14-12 On January 1, 2016, Jewels, Inc sold $200,000 of its 12% five-year bonds to yield 10%. Interest is paid each January 1 and July 1, and effective interest amortization is used. On May 1, 2018, Jewels, retired $100,000 of the bonds at 104. The book value of the bonds on December 31, 2017, was $212,926. ? Refer to Exhibit 14-12. The entry to record the retirement in May, 2018 would
include a A) credit to Cash for $104,000. B) debit to Interest Expense for $8,000. C) credit to Premium on Bonds Payable for $12,926. D) debit to Loss on Bond Retirement for $4,024 (rounded).
What is the potential byproduct of promotional markdowns?
A. Retailers aim to get rid of unwanted merchandise through promotional markdowns. B. The increased in-store traffic can lead to the purchase of other products at regular prices. C. Promotional markdowns benefit customers because they are charged according to their willingness to pay. D. It is a way of achieving a break-even point. E. Buyers are benefitted because they are charged according to the market segment to which they belong.
Hull Company reported the following income statement information for the current year: Sales$410,000 Cost of goods sold: Beginning inventory$132,000 Cost of goods purchased 273,000 Cost of goods available for sale 405,000 Ending inventory 144,000 Cost of goods sold 261,000 Gross profit$149,000 The beginning inventory balance is correct. However, the ending inventory figure was overstated by $20,000. Given this information, the correct gross profit would be:
A. $149,000. B. $142,000. C. $129,000. D. $169,000. E. $112,000.