-Wild, Shew,Chlappetta,7e, Inventories and Cost of Sales Recall the formula for figuring a company's inventory turnover ratio. Inventory Turnover = Cost of Goods Sold/ Average Inventory
Inventory turnover ratio is calculated by dividing the period's cost of goods sold by the period's average inventory. Inventory turnover is a measurement of how many times inventory is sold or used in a given time period, such as a year. It is calculated to determine whether a company has an excessive inventory in comparison to its sales level. A high inventory turnover ratio typically indicates that products are selling on time and that sales are strong during a given period. An excessive inventory ratio, on the other hand, may necessitate constant replenishment, which may result in stockouts.
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Why it is an integral part of business?
Strategic management is considered to be an integral part which is of the business.
Business is considered to be an integral part of our modern society. So, it is an organized and systematic activity in order for earning the profit. It is also concerned with the activities which is of people who are working towards a common economic goal.
In business, strategic management tend to provide certain overall direction which is mainly by developing plans and certain policies which are mainly designed in order to achieve the objectives.
Hence, this is also done by allocating the resources to implement the plans.
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An organization's most important resource is its human resource. true or false
The most crucial resource for any company is its human resource. This statement is accurate.
The most valuable resource is the workforce, also known as human resources. The process of hiring people, providing them with training, paying them fairly, creating workplace policies, and creating retention plans for staff is known as human resource management.
Staffing, establishing rules, pay and benefits, retention, training, compliance with employment laws, and worker protection are the seven key duties of HRM managers.
HRM managers must stay informed about changes in the external environment that could have an impact on their personnel in addition to being concerned with the seven internal components. External variables include things like the popularity of flexible work hours and telecommuting.
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In making and marketing tools and other do-it-yourself home maintenance products, Do-It-Rite Corporation, like other sellers, is required to take precautions against
a.
every conceivable misuse of a product.
b.
only foreseeable misuses of a product.
c.
no misuses of a product.
d.
only obvious misuses of a product.
Do-It-Rite Corporation, like other sellers, is required to take precautions against only foreseeable misuse of a product. Thus the correct option is B.
What is a product?
Final or finished goods are products that are sold in the market to satisfy buyers. This product can be both a tangible good and an intangible service, with tangible good being the case.
When we utilize the word "foreseeable," we mean "able to be seen or expected." In a case involving product responsibility, the main issue would be whether the product's manufacturer should have predicted that the product would be mistreated.
Therefore, option B is appropriate.
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assuming the risk-free rate is 5% and the expected return on the market is 12%, what is the value of a stock with a beta of 1.5 that paid a $2 dividend last year if dividends are expected to grow at a 5% rate forever?
The value of a stock with a beta of 1.5 that paid a $2 dividend last year is $ 20.00
Calculating the problem:
Rs = Rf + β(RM - Rf)
= 0.05 + 1.5(0.12 - 0.05)
= 0.155
D1 = D0(1 + g)
= 2 × (1.05)
= 2.10
P0 = 2.10 / (0.155 - 0.05) = $20.00
What is a risk free rate?The risk-free interest rate represents the rate of return an investor expects from a completely risk-free investment over a period of time. Calculate the so-called "real" base rate by subtracting the current rate of inflation from the yield on the government bond corresponding to the investment period.
Why use the risk-free rate?The risk-free interest rate serves as the basis for all other types of investments involving the cost of capital. Since it is risk free, all other investments with some degree of risk must offer higher returns in order to attract investors
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Can you access the client has implemented an enterprise platform and is looking for a tool that will help monitor the ongoing performance of the platform?
The client has set up an enterprise platform and is searching for a solution to track ongoing performance.
The term "enterprise" can also refer to a for-profit corporation or organization, but it is most frequently used in connection with entrepreneurial endeavors. A endeavor or undertaking, especially one that is audacious or complex, is called an enterprise.Accenture The ideal solution for clients to employ to keep track of the platform's continuing performance is MyConcerto Platform Enterprise.The market value of a company is determined by adding the market values of all outstanding debt, common shares, and preferred shares.
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SkyChefs, Inc., prepares in-flight meals for a number of major airlines. One of the company’s products is grilled salmon in dill sauce with baby new potatoes and spring vegetables. During the most recent week, the company prepared 5,600 of these meals using 2,700 direct labor-hours. The company paid its direct labor workers a total of $21,600 for this work, or $8.00 per hour. According to the standard cost card for this meal, it should require 0.50 direct labor-hours at a cost of $7.50 per hour.Required:1. What is the standard labor-hours allowed (SH) to prepare 5,600 meals?2. What is the standard labor cost allowed (SH × SR) to prepare 5,600 meals?3. What is the labor spending variance?4. What is the labor rate variance and the labor efficiency variance?
1. The standard labor-hours allowed to prepare 5,600 meals is 2,800 hr.
2. The standard labor cost allowed to prepare 5,600 meals is $21,000.
3. The labor spending variance is $600 .
4. The labor rate variance is $1,350.
5. The labor efficiency variance is $750 .
a) Standard labor-hours allowed (SH) to prepare 5,600 meals
standard labor-hours =Actual output X standard direct labor hours
5,600 X 0.50 = 2,800hours
b) standard labor cost allowed
direct labor-hours per hour = $7.50
standard labor-hours = 2,800
standard labor cost =direct labor-hours per hour standard labor hours
= $7.50 x 2,800= $21,000
c) labor spending variance= Actual cost incurred - Standard Labor cost
= 21,600 - 21,000= 600 -- Which is unfavorable because the actual is cost is greater than the standard labor cost
d) the labor rate variance and the labor efficiency variance?
labor rate variance= (Actual rate - standard rate ) X Actual hours
($8.00 -$7.50) * 2,700= $1,350
Labor efficiency variance=(Actual hrs - standard hrs allowed) x standard rate
(2,700- 2,800) * $7.50= $750 --- Favourable as the actual hours used is less than the standard hours .
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What are 3 examples of Bartering?
Examples of barter would be of a farmer working in a field in exchange of a portion of the harvest, farmer exchanging eggs with grain from another farmer, or baker exchanging bread with milk from cattle rancher.
Bartering is a system of exchange that exist before the invention of money and it involves a direct cashless exchange of goods or services between two parties at a certain rate that has been agreed upon by both parties bilaterally without using money as an intermediary or medium of exchange. Examples of barter would be exchanging meat for milk, cotton for fruits, or oil for milk. The exact amount of the traded commodity or hours of services needed to be negotiated and agreed upon before the barter takes place, hence making barter system inefficient and ineffective.
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What is closed economy in economics?
A closed economy is an economy that does not engage in international trade. This means that all the goods and services produced within the economy are consumed within the economy, and no foreign goods or services are imported.
What is closed economy ?In a closed economy, the government typically plays a larger role in economic decision-making and the allocation of resources. The opposite of a closed economy is an open economy, which actively engages in international trade and is influenced by global market forces.A closed economy is an economy that does not engage in international trade. This means that all the goods and services produced within the economy are consumed within the economy, and no foreign goods or services are imported. Aside from the potential benefits, maintaining a truly closed economy is difficult in modern society, in part because raw materials are essential in everyday life and the production of finished goods. Many countries that are manufacturing and exporting powerhouses do not have all of the necessary raw materials on hand and must import them.To learn more about closed economy refer :
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What are the 3 types of competition in marketing?
There are three primary types of competition: direct, indirect, and replacement competitors.
Marketing competition is the rivalry between existing companies, services, or products in a specific market. Marketing Competition is a battle between businesses that sell similar goods and services in order to increase revenue, profit, and market share. The marketing battle motivates businesses to improve sales volume by utilising the four components of the marketing mix, commonly referred to as the four P's.
These are businesses in the same market that offer similar (or identical) products or services. They are also competing for the same customer base. Apple versus Android, Pepsi versus Coca-Cola, and Netflix versus Hulu are all examples of direct competitors.
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What are the 4 ethical considerations?
The ethical concerns of conflict of interest, informed consent, risk of damage, confidentiality, and anonymity must all be taken into account and addressed in the management strategy.
Is ethical behavior taken into account in quantitative research?
Protection of integrity, these ethical standards cover matters like requirements for truthfulness, informed consent requirements, data anonymization and storage requirements, participant access rights, and confidentiality obligations for all study participants.
What ethical factor in study is the most crucial?In all scientific communications, strive for honesty. Honestly describe the information, findings, techniques, and status of publications. Don't make up, falsify, or represent data incorrectly. Do not mislead peers, research sponsors, or the general public.
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_____ goals are important because they reflect how efficiently a salesperson uses resources, such as time, to accomplish performance goals.
Conversion goals are important because they reflect how efficiently a salesperson uses resources, such as time, to accomplish performance goals.
Conversion goals are the goals that typically aid in organizing conversion actions to make it easier for a business to optimize toward its many goals. Salespeople's effectiveness is gauged by their conversion targets. These goals are also helpful for the sales staff in an organization. Conversion targets reveal the salesperson's desired level of productivity or level of ingenuity. -
Conversion objectives are very different from performance goals in that they quantify relative success, such as the proportion of total sales to calls made or the number of customers to prospects. Conversion objectives are crucial because they show how effectively a salesman uses time and other resources to achieve performance objectives.
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Conversion goals are important because they reflect how efficiently a salesperson uses resources, such as time, to accomplish performance goals.
A conversion goal is a website objective that calls for a particular action from the user, such as making purchases or submitting a form. Website conversions can assist a business in discovering new avenues for success, learning more about their clients and pinpointing areas for development. Conversion targets must be quantifiable; otherwise, it is impossible to determine whether objectives have been met. The organization's general website aims should be supported by these objectives as well.
Organizations frequently use marketing analytics software to manage, assess and regulate their marketing initiatives and track the effectiveness of their conversion objectives as they choose which conversion goals to concentrate on.
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Mark is a manager who spends a great deal of his time thinking of new ways to improve his organization. His subordinates describe him as being charismatic and visionary. He often encourages his employees to expand their skills and motivates them to reach their full potential. In the context of organizational psychology, mark exhibits the characteristics of a(n).
Option B. is correct. Mark demonstrates traits that make a transformational leader. This is as a result of the fact that he spends a lot of time considering how to enhance the business he oversees.
The inspiration he gives workers to further their careers, and his captivating personality. The majority of his time is spent scheduling the precise service calls that each employee completes during the day, checking that the work was completed, and assessing the performance of each employee. Given these duties, Mark appears to be a middle management.
1. The key responsibility of managers today is to keep an eye on employees to ensure they follow instructions.
2. Reprimanding those who don't do things correctly is the best way for a manager to get employees to do what they are asked to.
3. Managers in forward-thinking businesses of all stripes typically treat staff members like partners and are approachable.
Mark is a manager who spends a great deal of his time thinking of new ways to improve his organization. his subordinates describe him as being charismatic and visionary. he often encourages his employees to expand their skills and motivates them to reach their full potential. in the context of organizational psychology, mark exhibits the characteristics of a(n) _____.
A. Autocratic leader
B. Transformational leader
C. Theory x leader
D. Transactional leader
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company bw has issued 2,000 corporate bonds with a maturity value of $1,000 and a coupon rate of 6%. coupon payments are made every 6 months and those bonds will mature in 6 months from today. current market price of those bonds is $978.56. marginal corporate income tax rate is 34%, find the annual after-tax cost of debt for these bonds. [15 points] *** hint: what have you found? semi-annual rate or annual rate?
The answer to the question indicates that the yearly on cost of debt for these bonds is 6.94%.
Describe a Bond?When they need to raise money, governments and businesses issue bonds. You are basically handing the issuer money when you buy a bond. In response, they agree to pay you the whole amount of loan on a specific date as well as regular interest payments (average twice a year) during the repayment period.
Briefing :Using a calculator for money
Input: FV= 1000, PMT=6%*1000/2=60/2 = 30
PV= -978.56
N=1
Solve for I/Y as 5.26
Hence YTM=5.26%*2= 10.51%
After tax cost of debt = 10.51%*(1-34%) = 6.94%
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What is the purpose and difference between short term savings and long term savings?
Short-term goals are those that can be accomplished in less than five years; long-term goals require more time.
What are short-term savings used for?Anything that must be saved within the next five years is considered a short-term aim. It could be a planned event like a wedding or vacation, or it could be a fund to cover unexpected costs like a home or auto repair. Goals for short-term savings typically include travel and upcoming excursions.
What does long-term saving serve?
Long-term savings accounts are those created with the intention of achieving long-term financial goals. In general, one-time, long-term expenses like home purchases, retirement, and children's education are paid for with money saved in long-term savings accounts.
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Who is responsible for clearly expressing backlog items?
The Item Proprietor is the sole individual answerable for dealing with the Item Excess. This entails: expressing product backlog items clearly. putting the items in the backlog in the best order to achieve objectives.
Throughout the project's duration, who is accountable for clearly expressing Product Backlog items?The first task of a product owner in managing the backlog, according to the Scrum Guide, is "Clearly expressing Product Backlog items," but what exactly are backlog items? Backlog items are basically any ideas that could improve a product that is being made.
Who is in charge of providing explanations for the Product Backlog items?The product owner is in charge of the backlog even though the entire cross-functional agile team works together on it. The organization and upkeep of the product backlog is typically the responsibility of the product owner (also known as the product manager).
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your research team has recently been awarded a program by the defense advanced research project agency (darpa) to study the effects of salt-water corrosion on a new material incorporated into the hulls of u.s. navy aircraft carriers. the agreement includes a contract clause that prohibits dissemination of the research results without prior darpa review and approval. the principal investigator wants to employ a non-u.s. person as a graduate research assistant (gra) to perform the salt-water tests on the hull material. the gra will be generating a portion of technical data that will be combined with the results of other characterization experiments performed on the hull material by u.s. person participants. all of the data will be provided to darpa in the final report. which answer best describes how this activity is affected by export controls? the non-u.s. person gra can participate in the program and access project data if darpa approves of the participation. the non-u.s. person gra will require prior u.s. government approval to work on the program or access any technical data. the non-u.s. person gra is allowed to perform the portion of the research because it can be segregated from the efforts of the u.s. persons. the activity is not affected by export controls.
The answer that best describes how the activity on the program by DARPA would be affected by export controls is B. the non-US.. person will require prior U.S. government approval to work on the program or access any technical data.
What are export controls ?Laws governing the export of products, software, and technology are known as export controls. Some products might be useful for things that go against the interests of the exporting nation. These things are seen as managed. To prevent their hazardous usage, export regulations apply to controlled items.
When a government organization, such as DARPA, awards a contract, the contractor is responsible for obtaining export licenses, if necessary, before employing foreign workers to carry out the contract, including when the work is to be done on-site at any government installation (whether inside or outside the United States) and the workers will have access to export-controlled technologies, such as technical data or software.
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Which step in the financial planning process comes before monitoring?
A.
Implementing the plan.
B.
Gathering data.
C.
Analyzing the client’s financial status.
D.
Presenting the plan.
The financial planning process comes before monitoring is the implementation of the plan. Hence, option A is correct.
What is a Financial Planning?Your financial situation is likely to change throughout the course of your life because personal finance is an ongoing, dynamic activity.
You should frequently review your financial choices since they may need to be adjusted to take into account changing personal, financial, and social circumstances.
The step in the financial planning process that comes before monitoring is the implementation of the plan because once the plan is implemented than you are there for its monitoring.
Therefore, it concludes that option A is correct.
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How does an agile team maintain obtain clarity on backlog items?
4) The team meets with the product owner for a backlog refinement session each iteration to clarify which backlog items will be selected for subsequent iterations.
How does an agile team keep requirements up to date?In a backlog, the agile teams keep track of their requirements. Product Backlog Items (PBI) are the items that are stored in it in Scrum and are referred to as such. Functional requirements, non-functional requirements, enhancements, change requests, or defects are all examples of these items.
When it comes to iteration, how does the team know what to work on?During iteration planning, the team discusses with the product owner who should work on what and decides who should.
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Full Question = How does an agile team obtain clarity on backing items that may be picked up in upcoming iterations? (1 correct answer)
1. During iteration planning, team discusses backlog items for both current and upcoming iterations.
2. Product Owner and Facilitator detail out the backlog items planned for upcoming iterations.
3. There is no need to obtain clarity on backlog items for upcoming iterations in advance.
4. During every iteration, team has backlog refinement session with the Product Owner for gaining clarity on the backlog items to be picked up in upcoming iterations.
Assume a decreasing-cost perfectly competitive industry. Which of the following statements is true?
A. Firms will earn economic profits in long-run equilibrium.
B. The short-run market supply curve is upward sloping; the long-run supply curve is horizontal or perfectly elastic.
C. As industry output expands, there are fewer firms producing in the long run.
D. As industry output contracts, each firm's long-run average total cost curve shifts upward.
E. Input prices rise as the industry produces more output.
As industry output contracts, each firm's long-run average total cost curve shifts upward is true for a decreasing-cost perfectly competitive industry.
In macroeconomics, an industry is a division of an economy that creates a group of commodities, services, or raw resources that are closely tied to one another. Industry classifications often employ a company's or group's major income source to categorize it inside a certain industry when assessing it.
Following that, industry is described as "a group of statistical units that fall under the same ISIC category." A single company need not, however, be confined to a particular industry, as is the case when a sizable corporation that is sometimes referred to as a conglomerate diversifies across many sectors.
Hence the correct option is D
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Zaria and Hannah are roommates. zaria assigns a $30 value to smoking cigarettes. hannah values smoke-free air at $15. which of the following scenarios is a successful example of the coase theorem?
a. Hannah offers Zaria $16 not to smoke. Zaria accept and does not smoke
b. Zaria pays Hannah $16 so that Zaria can smoke
c. Hannah offers Zaria $12 not to smoke. Zaria accepts and does not smoke
d. Zaria pays Hannah $14 so that Zaria can smoke
The scenario that is a successful example of the Coase theorem is if Zaria pays Hannah $16 so that Zaria can smoke. The Option B is correct.
What does the Coase theorem states?When there are competing property rights, the Coase Theorem is used. According to the Coase Theorem, when there is a conflict of property rights, under ideal economic conditions, the involved parties can bargain or negotiate terms that accurately reflect the full costs and underlying values of the property rights at issue, resulting in the most efficient outcome.
In this case, because Zaria pays Hannah $16 so that Zaria can smoke, this depict Coase theorem as its involves bargaining or negotiation of terms. Therefore, Option B is correct.
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Which 2 quickbooks subscription levels would support a client who needs to track inventory and create purchase orders and budgets?.
For small businesses with more complicated needs, QuickBooks Online Plus offers greater capability in addition to the features included in Simple Start and Essentials.
For small businesses with more complicated requirements, QuickBooks Online Plus offers lesser capability in addition to the features included in Simple launch and rudiments. It's the most extensively used subscription league. Plus facilitates controlling multitudinous users. You can also invite people who can simply run reports and not make changes. However, you may simply examine the volume on hand and track force using first - buy, first - out (FIFO) valuation, If you acquire and vend products. produce purchase orders, admit goods through check or tab, and keep track of stock situations and inventory. Run reports for stock counts and, as necessary, make adaptations to your force. To plan the forthcoming time and keep track of income and charges, produce budgets. To gauge performance, run budget vs.factual reports.
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which player joined real madrid after already training with and having an agreement to play for fc barcelona? group of answer choices di stefano pele maradonna
Endrick, a Brazilian forward who is 16 years old and plays for Palmeiras, has been signed by Real Madrid. Endrick will sign for Real Madrid when he turns 18 in July 2024, but he will remain with Palmeiras until then.
Who has ever been Real Madrid FC's greatest player?Cristiano Ronaldo No player has ever played to their full physical potential as frequently as Cristiano Ronaldo has. His combination of physicality, speed, touch, and movement is unparalleled, and no one has ever scored more goals. either for Real Madrid or anyone else.
Which member of the Real Madrid Team in 2022 is the best?Real Madrid won the Champions League, LaLiga, European Super Cup, and Spanish Super Cup under the direction of the forward. At the Globe Soccer Awards, where he was named player of the year, Karim Benzema received additional recognition for his exceptional 2022 campaign.
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How should you respond to the theft of your identity Cyber Awareness 2022?
The respond to the theft of your identity Cyber Awareness 2022 is to Report the crime to local law enforcement.
What is cyber crime?An offense involving a computer or computer network is referred to as a "cybercrime." Both the computer and the target may have been involved in the crime. Someone's security or finances could be at risk from cybercrime. Computers, computer networks, and other networked devices are used or targeted in cybercrime. Cybercriminals or hackers who seek to profit from their crimes typically conduct cybercrime. In some cases, though, the goal of cybercrime is not always financial gain; instead, it may be to harm systems or networks.Cybercrime is defined as the use of a computer as a tool or weapon to accomplish or secure something that is regarded criminal. Consider fraud or breaking privacy regulations, as well as identity or intellectual property theft. Just a few instances are provided below.To learn more about cyber crime refer to:
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What are the 3 threats that you should be aware of when using the Internet?
Malware is one type of cyberthreat that your organization should be aware of, Ransomware, attacks that use distributed denial of service (DDoS).
What dangers exist for online security?Phishing, online fraud, spyware, cyberstalking, cyberbullying, online predators, and sextortion are examples of common dangers to personal safety. Cyberstalking is the practice of following or harassing someone online or through other technological channels.
What are the three information security principles?Confidentiality, integrity, and availability are the fundamental principles of information security. Each component of the information security program needs to be created with one or more of these concepts in mind. They are collectively known as the CIA Triad.
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What is the meaning of Kanban?
Meaning of Kanban is a just-in-time (JIT) manufacturing inventory control technique.
Japanese for "sign," Kanban is an inventory control method used in just-in-time (JIT) manufacturing to keep track of production and make orders for new supply of materials and components.
Kanban, developed by Toyota industrial engineer Taiichi Ohno, uses visual cues to inspire the activity necessary to maintain the flow of a process. In the manufacturing sector, kanban begins with the customer's order and follows production downstream. Kanban is just a card attached to a component that has an inventory number on it. Just before the component is installed, the kanban card is removed and transmitted higher up the supply chain as a request for a different component.
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What are the five steps to complete a stakeholder impact analysis?
Create a stakeholder matrix, Create a short stakeholder summary and Create a detailed stakeholder analysis are the five steps to complete a stakeholder impact analysis.
Stakeholder analysis involves evaluating a system and any prospective adjustments in relation to pertinent and interested stakeholders. This data is used to determine how a project plan, policy, programme, or other activity should take account of those stakeholders' interests. Stakeholder management includes stakeholder analysis as a crucial component. An issue's stakeholder analysis entails assessing and balancing all of the conflicting demands made on a business by each party with a claim on it in order to determine the firm's responsibility in a given situation. The consideration of all affected parties is guaranteed by a stakeholder analysis, which does not exclude the interests of certain stakeholders from superseding those of other affected stakeholders.
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What is the most important thing to consider when shopping for a loan?
Answer:
Explanation:
Your credit. Nearly all lenders look at your credit score and report because it gives them insight into how you manage borrowed money. A poor credit history indicates an increased risk of default
the balance sheet of sound designs reports total assets of $750,000 and $800,000 at the beginning and end of the year, respectively. sales revenues are $1.5 million ($1.2 million in the previous year), net income is $150,000, and net cash flows from operating activities are $175,000. what is sound designs' asset turnover?
At the beginning and end of the year, Sound Designs' balance statement shows total assets of $750,000 and $800.000, respectively. $1.5 million in sales revenues (up from $1.2 million the year prior), $150,000 in net income, and $175,000 in net cash flows from operational operations.
What is turnover ?
The accounting notion of turnover determines how rapidly a corporation runs its operations. Most frequently, turnover is used to determine how quickly an organisation sells its inventory or receives money from accounts receivable.
Accounts receivable turnover, inventory turnover, portfolio turnover, and working capital turnover are examples of frequent types of turnover. By examining a variety of these ratios, businesses can more accurately gauge the effectiveness of their operations, frequently with the intention of increasing turnover.
The percentage of a portfolio sold in a given month or year is referred to in the investing industry as turnover. Fast turnover rates produce greater
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Organizational weaknesses in a SWOT analysis are Multiple Choice environmental factors that the organization may exploit for a competitive advantage. problems that a specific industry needs to correct. SMART goals that are set but not achieved. drawbacks that hinder an organization in executing strategies.
Organizational weaknesses in a SWOT analysis c) problems that a specific industry needs to correct.
An organization's weaknesses prevent it from operating at its highest potential. A bad brand, higher-than-average turnover, high levels of debt, an inadequate supply chain, or a lack of cash are examples of areas where the company needs to improve in order to stay competitive.
Analysts typically represent a SWOT analysis as a square divided into four quadrants, each representing a different SWOT component. The company's situation is quickly summarized in this visual representation.
Even though not every point under a given topic will be equally significant, they should all provide important insights into how opportunities and threats, advantages and disadvantages, and other factors are balanced.
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KNOWLEDGE CHECK On June 23, 2016, the United Kingdom voted to leave the European Union. The white line shows the U.K.'s main equity index, the FTSE 100, from the start of 2016 to the date on which the U.K. government notified the European Union of its intent to leave. The orange line shows the number of dollars it takes to buy one pound sterling. The United Kingdom is a net importer, meaning the value of imports exceeds the value of exports. What can be reasonably surmised from the chart about large U.K. corporations? Their CEOs probably voted to remain in the E.U. Their CEOs probably voted to leave the EU They are probably heavy exporters. They are probably heavy importers. open/close chart. PREV SUBMIT p on events with Bloomberg's live blogs
It is reasonable to surmise that large U.K. corporations are probably heavy importers, as evidenced by the decrease in the value of the pound sterling in the chart.
This suggests that the CEOs of large U.K. corporations may have voted to remain in the European Union, in order to protect their ability to import goods and services from the E.U.
An import is when an item or service that is purchased outside of its nation of origin. International trade is made up of both imports and exports. A country has a negative trade balance, or a trade deficit, if the value of its imports exceeds the value of its exports.
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