The Dow Jones Industrial Average and the Standard & Poor's Industrial Index have a number of similarities and differences. Discuss at least two major similarities and major differences between these two market indicators
What will be an ideal response?
Answer: Similarity: Both the DJIA and the S&P Industrial Index are meaningful only when compared to values in other time periods or to a base value. Over the long-run and on a relative basis, they seem to move together remarkably well. Both track only established companies with large market capitalizations. Difference: The DJIA and the S&P Industrial Index are constructed very differently. The DJIA is a price average of only 30 stocks, while the S&P is a market-weighted index of 500 stocks.
Learning Outcome: F-01 Describe the different financial markets and the role of the financial managers
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When a retailer purchases a product on-deal in one location and ships it to another where it is off-deal, the process is:
A) exit forwarding B) a diversion C) a transaction alteration D) forward buying
The Szakos Company engaged in the following transactions during the current year:a) Acquired $50,000 of cash by issuing common stock to ownersb) Paid $10,000 to acquire manufacturing equipmentc) Paid $5,000 cash for materials used in productiond) Paid $2,000 for wages of production workerse) Paid $8,000 in general, selling, and administrative costsf) Recognized $1,000 of depreciation on the manufacturing equipmentg) Sold inventory for $18,000 cashh) The cost of the inventory sold was $6,500Required:Show the balance sheet and income statement effects of the transactions by completing the financial statement model provided.
What will be an ideal response?
Supply chain coordination improves if all stages of the chain take actions that are aligned and together increase total supply chain surplus
Indicate whether the statement is true or false.
Ergonomic Corporation convenes its employees for its managers to announce (1) a new company-wide ethical code of conduct, (2) an ad campaign to publicize the new code, and (3) the discharge of employees who do not adhere to the code. One of the most effective ways to set a tone of ethical behavior within a business organization is
A. to create an ethical code of conduct. B. to discharge employees who do not create the appearance of impropriety. C. to post a marketing campaign online touting the firm's ethical tone. D. for management to direct employees to "do as we say, not as we do."