Differentiate between the general classifications of common stock
What will be an ideal response?
Answer: Blue-chip stocks are issued by large, nationally known companies with sound financial histories and solid dividend and growth records, such as IBM. Growth stocks have shown sales and earnings growth well above their industry average. Income stocks are usually issued by more mature firms that pay relatively high dividends with little increase in earnings.
Speculative stocks have much more variability and risk than do typical stocks. It is difficult to forecast their direction for investment purposes. Cyclical stocks move with the economy, up with recoveries and down with slumps. Defensive stocks are not as affected by swings in the economy and they are not hurt as much in slumps.
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Persuasive advertising aims to create brand awareness and knowledge of new products or new features of existing products
Indicate whether the statement is true or false
List and briefly describe the technical skills that are important to the practice of public relations
What will be an ideal response?
The predetermined manufacturing overhead rate for 2020 was $4.00 per direct labor hour; employees were paid $5.00 per hour. If the estimated direct labor cost was $75,000, what was the estimated manufacturing overhead?
A. $15,000. B. $93,750. C. $75,000. D. $60,000.
In calculating net cash from operating activities using the indirect method, an increase in prepaid expenses during a period is
A) deducted from net income. B) added to net income. C) ignored because it does not affect income. D) ignored because it does not affect expenses.