A+ Answers of the following Questions

1. When Ruby, the president of Interrelated Systems Corporation, is deciding what business action to take, an initial question is, like it is for most major companies today, whether the action 

a. Ethical
b. Legal
c. Socially responsible
d. Likely to result in executive bonuses.

2. Being socially responsible legally requires a company to adhere to: 

a. Kantian ethics
b. Moral Saint status
c. Business Hero status
d. None of the above.

3. Any item for which the manager wishes to measure cost is called a(n)
a. direct cost.
b. indirect cost.
c. cost object.
d. target cost.

1. "How does cheap (or expensive) crude oil contribute to the lifestyle you lead ?

2. Beethoven’s Fifth Symphony is the first movement of his symphony and the most famous, with its four-note beginning, a theme that is repeated throughout the symphony. Answer these questions:
Submit a short paper (1-3 paragraphs each) answering the following questions: 
1. What instruments do you hear that are used to play this theme? 
2. What is there about the symbolic force of this four-note theme that led American and Allied forces in World War II to adopt it as a symbol of victory? Describe.

3. A certain type of home security system is triggered in99 % of burglaries. If 8 homes equipped with such a system experience a burglary, find the probability that at least 6 alarms are triggered. Round your answer to four decimal places.

4. The value of a horse and cart increased by 80% in 1910, but decreased by 60% in 1911. What is its price at the beginning of 1912 as a percentage of its price at the end of 1909?

1. Limited liability makes the payoff (at liquidation of the firm) of a common stock look like the payoff of a
a. put option
b. forward contract
c. futures contract
d. call option
e. none of the above

2. If a firm has a lot of great ideas and projects to invest in, the firm would prefer which dividend policy below?
a. Low dividend payout
b. High dividend payout
c. Either, since dividend policy has nothing to do with capital budgeting (projects the firm is investing in)

3. Social responsibility theories: 

a. Are generally classified as modern ethical versions of Utilitarianism
b. Determine the moral worth of an action regardless of their consequences
c. Are largely precise legalistic formulations
d. Classify corporate social responsibility as typically the corporation engaging in community and civic affairs in a prudent manner.

1. Company purchased land from its 80% owned subsidiary at a cost of $100,000 greater than it subsidiary's book value. Two years later P sold the land to an outside entity for $50,000 more than it's cost. In its current year consolidated income statement P and its subsidiary should report a gain on the sale of land of: 
1. $50,000.
2. $120,000.
3. $130,000.
4. $150,000.

2. The income statement presentation that helps managers plan and make decisions shows the distinction between
1. sunk and opportunity costs.
2. variable and fixed costs.
3. controllable and non-controllable costs.
4. discretionary and outlay costs.

3. Any item for which the manager wishes to measure cost is called a(n)
1. direct cost.
2. indirect cost.
3. cost object.
4. target cost.

1. In order for real wages to grow:
a. productivity must grow:
b. productivity must fall
c. money wages must grow
d. money wages must fall

2. The substitution effect and the output effect work in the:
a. same direction some of the time
b. same direction all of the time
c. opposite direction some of the time
d. opposite direction all of the time

3. The law of demand holds for:
a. individuals, but not for markets
b. markets, but not for individuals
c. both individuals and for markets
d. neither individuals nor for markets

4. A firm will maximize its profits or minimize its loss at the output where:
a. the difference between price and marginal cost is at is maximum
b. total cost equals total revenue
c. marginal cost equals marginal revenue
d. total revenue equals variable cost