Answer:
False
Explanation:
In a command or planned economy, the factors of production are owned and controlled by the government. The government makes all the significant economic decisions such as production, distribution, and pricing.
The government prepares a central plan for the entire economy. The plan determines the production level, the goods and services to be produced, and their prices. The central government employs all workers. The private sector does not exist.
1. Identify what type of investment the Farrier stock is for Bryant. 2. Journalize the transactions related to Bryant's investment in the Farrier stock during 2018. 3. In what category and at what value would Bryant's report the investment on the December 31, 2018, balance sheet
Answer:
1. Identify what type of investment the Farrier stock is for Bryant.
This investment should be classified as a long term investment since Bryant held Farrier's stock for more than one year.
2. Journalize the transactions related to Bryant's investment in the Farrier stock during 2018.
January 1, 2018, purchase of 3,750 shares of Farrier stock
Dr Investment in Farrier stock 60,000
Cr Cash 60,000
August 1, 2018, dividends received from Farrier stock
Dr Cash 6,375
Cr Investment in Farrier stock 6,375
December 31, 2018, Farrier reports net income
Dr Investment in Farrier stock 12,500
Cr Investment revenue 12,500
3. In what category and at what value would Bryant's report the investment on the December 31, 2018, balance sheet
This investment should be reported under non-current assets as a long term investment. The book value of this investment = $60,000 - $6,375 + $12,500 = $66,125
Incurring an expense for advertising on account would be recorded by:
a. Is the primary standard-setting body in the United States.
b. Is governed by the U.S. Securities and Exchange Commission.
c. Can overrule the FASB when their policies disagree.
d. Promotes the use of high-quality, understandable global accounting standards.
Complete Question:
Incurring an expense for advertising on account would be recorded by:
Group of answer choices
A) Debiting a liability account.
B) Crediting an asset account.
C) Debiting an expense account.
D) Debiting an asset account.
Answer:
C) Debiting an expense account.
Explanation:
Incurring an expense for advertising on account would be recorded by debiting an expense account.
This ultimately implies that, when a business firm incurs an expense such as on advertising its goods or services, the appropriate account on the balance sheet to record this will be to debit the advertising expense account and then credit the account payable.
One of the biggest problems associated with renting a home is:
A. the money invested does not build wealth.
B. the renter is responsible for all maintenance costs.
C. the initial required investment is very high.
D. the renter is required to pay huge insurance fees.
Answer:
The money invested does not build wealth
Explanation:
The biggest problem associated with renting a home is that the money invested does not build wealth. The correct option is A.
Why property investment is not good?Even after purchasing the property, you will still need to pay for repairs, society maintenance, and property tax. Also, if you rent out your property, there is a potential that it can sustain damage, adding to your costs. Real estate is not a wise choice for investment because of all these costs.
When renting, the monthly payments go toward the landlord's mortgage and other expenses, rather than toward building equity in a property. In contrast, when owning a home, the mortgage payments go towards building equity in the property, which can be a valuable asset over time. Renters do not benefit from any appreciation in the property value and do not have any ownership stake in the property.
Thus, the ideal selection is option A.
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2. Suppose the State bank of Pakistan instructs its Trading Desk to purchase Pkr 5 billion of securities. Analyze the result of this transaction on the balance sheets of the State bank of Pakistan and commercial banks?
Answer:
The definition has always been listed throughout the clarification section downwards as per the query.
Explanation:
One such trade infuses the community with extra cash as well as raises the Federal Reserve Business's resources.
The Changes In accounting estimates law implemented here seems to be:
⇒ [tex]Total \ Assets = Total \ Liabilities + Capital[/tex]
Above that, the trade would have an impact mostly on income statement including its Federal Reserve System for almost the similar positive and negative number, without any adjustment mostly on the liability side. Although the trade will have a two-way influence on the investment banking institutions:Everything always raises investments towards commercial banks, leading to increased obligations, as well as increases the accounts receivables with financial firms, leading to an increase throughout reserves. And whether the capital expenditure acquired by that of the Central Bank takes into account another commitment including its financial institutions, then perhaps the expenditure including its financial institutions is decreased as well as the free margin requirement including its banking institutions is raised, consisting in something like a simultaneous decline or rise throughout reserves.Rossdale Co. stock currently sells for $68.69 per share and has a beta of .87. The market risk premium is 7.30 percent and the risk-free rate is 2.89 percent annually. The company just paid a dividend of $3.53 per share, which it has pledged to increase at an annual rate of 3.20 percent indefinitely. What is your best estimate of the company's cost of equity?
Answer:
8.5%
Explanation:
we can calculate the company's cost of equity in two different ways:
Re = risk free rate + (beta x market risk premium) = 2.89% + (0.87 x 7.3%) = 9.24%
or
we can use the dividend growth model
P₀ = Div₁ / (Re - g)
Re - g = Div₁ / P₀
Re = Div₁ / P₀ + g
Div₁ = $3.53 x 1.032 = $3.64296P₀ = $68.69g = 3.2%Re = $3.64296/$68.69 + 3.2% = 8.5%
Personally, I would consider the second calculation to be more exact since the market knows better.
Assume that Metlock Company estimates its bad debt expense based on 6% of accounts receivable. What amount of bad debt expense will Metlock record if it has an Allowance for Doubtful Accounts credit balance of $4,000
Answer:
Amount of bad debt expense = $47,540
Explanation:
Missing:
Accounts receivable = 859,000
Bad debt expense = 6% on Accounts receivable
Doubtful Accounts credit balance = $4,000
Find:
Amount of bad debt expense
Computation:
Amount of bad debt expense = [859,000 x 0.06] - 4,000
Amount of bad debt expense = [859,000 x 0.06] - 4,000
Amount of bad debt expense = [51,540] - 4,000
Amount of bad debt expense = $47,540
Suppose a group of investors pooled $750,000 and founded Best National Bank in Rochester, NY. Best National Bank used $$75,000 of this to purchase shares in the New York Federal Reserve Bank. With the remaining $675,000, the bank manager purchased a building, furniture, and equipment for the bank.
Answer:
I have no idea to wat the answer is
1._____refers to the goods or services that you offer and how they
meet your customers' needs and desires.
A. Place
B. Products
C. Price
2.
D. Promotion
is how much customers pay for your product or service, .
A. Place
B. Products
C. Price
D. Promotion
3. It refers to the way you communicate with potential customers, includes
what you say, who you say it to, what channels you use to reach them.
A. Place
B. Products
C. Price
D. Promotion
4. It is where and how a company will make its products available to its
customers.
A Place
B. Products
C. Price
D. Promotion
5. Marketing tools are the controllable variables that when properly
blended constitute the
A. Marketing mix
B. Marketing plan
C. Market research
D. Market feasibility
Answer:
1.Product
2.Price
3.Promotion
4.Place
5.Sorry,i don't know this answer
Rhian believes he was unfairly passed over for a promotion, so he meets with his union steward to complain. The steward meets with management, but they refuse to make any changes. Which of the following would most likely occur if Rhian decides to push the issue further?
Multiple Choice
(A) The steward would submit the issue for mediation.
(B)The union would initiate a boycott of company products.
(c)The steward would organize a formal sickout (D) The NLRB would issue a temporary court injunction.
(E) the union arbitrator would plead the case to management
The board of directors authorizes 1,000 shares, the firm sells 100 shares to employees, and IPOs 600 shares to the public. How many outstanding shares?
Answer:
The number of shares outstanding is 700.
Explanation:
Number of shares outstanding refers to part of the shares authorized by the directors of a company which are currently held or sold to the shareholders of the company including shared owned by the employees and other officers of the company and the shares held institutional investors.
Therefore, authorized shares is not part of the number of shares outstanding.
Based on the above explanation, the number of shares outstanding for this question can be calculated as follows
Number of shares outstanding = Number of shares sold to employee + IPOs shares sold to the public ................... (1)
Where;
Number of shares sold to employee = 100
Initial Public Offerings (IPOs) shares sold to the public = 600
Substituting the values into equation (1), we have:
Number of shares outstanding = 100 + 600 = 700
Therefore, the number of shares outstanding is 700.
what is jojo siwas net worth?
pls help im failing my class
Answer:
As of 2020, her net worth is 14 million.
Imagine being a pink girl with no sense of more than one hairstyle at 17, but she got that moolah so I ain't complaining.
Answer:
14 million dollars as of today.
Explanation:
Madeline has a credit score of 648. According to the following table, her
credit rating is considered to be which of these?
Il your FICO credit score is
Your credit rating is considered to be
750 - 850
660 - 749
620 - 659
350 - 619
Excellent
Good
Fair
Poor
A. Fair
B. Good
O
C. Excellent
D. Poor
SUMIT
Answer: Fair
Explanation:
Based on the given table, Madeline's credit score of 648 falls within the range of 620-659, which is considered as a "Fair" credit rating.Hence option A is correct.
A credit score is a numerical representation of a person's credit worthiness, and it is calculated based on various factors such as credit history, payment history, credit utilization, and length of credit history. A higher credit score is generally considered more favorable by lenders as it indicates a lower risk of defaulting on loans or credit cards.
A "Fair" credit rating suggests that Madeline may have some negative items on her credit report, such as late payments, collections, or high credit utilization. While she may still qualify for credit products, she may have to pay higher interest rates or put down a larger deposit to secure a loan or credit card.
It's essential for Madeline to continue building her credit score by making timely payments, keeping credit utilization low, and avoiding new credit applications unless necessary.
With consistent efforts, she can improve her credit score and move up to a higher credit rating, which may provide better borrowing opportunities and lower interest rates.
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Willie Lohmann travels from city to city for business. Every other year he buys a used car for about $15,000. The dealer allows about $8000 as a tradein allowance, so Willie spends $7000 every other year for a car. Willie keeps accurate records of his expences, which total 32.3 per mile. Willie's employer has two plans to reimburse car expenses: Actual expenses: Willie will recieve all his operating expenses, and $3500 each year for the car's decline in value. Standard mileage rate: Willie will recieve 56.5 per mile but no operating expenses and no depreciation allowance. If Willie travels 18,000 miles per year, which method gives him the larger reimbursement? At what annual mileage do the two methods give the same reimbursement?
Answer:
Plan B is better.
Computation:
Total travel = 180,00 miles
Plan A:
Actual Expenses
Total Reimbursement = $3,500 + [18,000 x 32.3]
Total Reimbursement = $3,500 + $5,814
Total Reimbursement = $9,314
Plan B:
Standard Mileage
Total Reimbursement = 18000 x 56.5
Total Reimbursement = $10,170
So,
Plan B is better.
Difference in fixed reimbursement = $3500 Plan A
Difference in mileage rate = 56.5 - 32.3
Difference in mileage rate = 24.2 cents per mile
Difference in mileage rate = $0.242 per mile
Difference in fixed reimbursement = $3500 Plan A
a. The method that gives Willie Lohmann the larger reimbursement is Plan A.
b. The annual mileage where the two methods give the same reimbursement to Willie is 144.63 miles.
Data and Calculations:
Cost of used car = $15,000
Trade-in Allowance 8,000
Amount spent yearly = $7,000
Total expenses per mile = $32.3
Amount reimbursed with Plan A = $32.3 m + $3,500
Amount reimbursed with Plan B = $56.5 m
where m = per mile
Distance traveled per year = 18,000
Reimbursement from Plan A = $584,900 ($32.3 x 18,000 + $3,500)
Reimbursement from Plan B = $1,017,000 ($56.5 x 18,000)
For Plan A to equal Plan B, $56.5 m = $32.3 m + $3,500
From the equation, $56.5 m - $32.3 m = $3,500
Therefore, $24.2 m = $3,500
m = 144.63 ($3,500/$24.2)
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What will happen to a project's schedule if there are resource overloads and the critical path is delayed?
a. Nothing will happen to the project's schedule if the critical path is delayed.
b. The project's schedule will slip only if the float / slack period for the critical path activities is not enough to resolve the resource overload issue.
c. The project's schedule will slip only if the float/slack period for the noncritical activities is not enough to resolve the resource overload issue.
d. There is never a delay in the critical path, because it is the longest path through the network.
Answer:
b. The project's schedule will slip only if the float / slack period for the critical path activities is not enough to resolve the resource overload issue.
Explanation:
This is true because, the resource overload will be an impediment to the critical activities going on in the project. There supposed to be an equilibrium between the resource and the project schedule in-order to ensure completion of the project within the given time frame.
As it relates to the European Union, what is the ECB?
a. The Euro Currency Board, responsible for pegging exchange rates.
b. The European Currency Bureau, responsible for issuing the euro.
c. The Economic Council of Banks, responsible for oversight of the European banking industry.
d. The European Central Bank, responsible for monetary policy within the European Union.
Answer:
d. The European Central Bank, responsible for monetary policy within the European Union.
Explanation:
The full form of the ECB is European Central bank. It is the bank that is responsible for the monetary policy for those countries who are the members of the European union that means the person who have adoptred the currency of the euro
So according to the given options, the option d is correct as it met the condition
Therefore the other options are wrong
Compared to a competitive industry, a monopolist is likely to achieve _____ producer surplus while generating _____ deadweight loss. a) less; more b) more; more c) more; less d) less; less
Answer:
b) more; more
Explanation:
Compared to a competitive industry , a monopolist is likely to achieve more producer surplus (i.e monopolist profits) while generating more deadweight loss (and there is no deadweight loss under competitive market ). Hence, option(B) is correct.
Compute the missing amounts.
King Company Queen Company
Sales Revenue 56000 ?
Sales Returns and Allowances ? 5000
Net Sales 50000 ?
COGS 33000 80000
Gross Profit ? 32000
Operating Expenses 12000 ?
Net Income ? 14000
Required:
Calculate the profit margin and the gross profit rate for each company. (Round answers to 2 decimal places, e.g. 15.25.)
a. King Company;
b. Profit Margin %
c. Gross Profit Rate %
d. Queen Company;
e. Profit Margin %
f. Gross Profit Rate %
Answer:
King Company Queen Company
Sales Revenue $56,000 $117,000
(112000+5000)
Sales Returns & Allowance $6,000 $5,000
(56000-50000)
Net Sales $50,000 $112,000
COGS $33,000 $80,000
Gross Profit $17,000 $32,000
(50000-33000)
Operating Expenses $12,000 $18,000
Net Income $5,000 $14,000
Profit Margin % = [Net Income / Net Sales]
King Company = 5,000/ 50,000* 100 = 10.00%
Queen Company = 14,000 / 112,000 * 100 = 12.50%
Gross Profit Rate % = [Gross Profit / Net Sales]
King Company = 17,000 / 60,000 = 34.00%
Queen Company = 32,000 / 112,000 = 28.57%
The Perpetual Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $18,500 per year forever. a. If the required return on this investment is 5.9 percent, how much will you pay for the policy? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Suppose the company told you the policy costs $460,000. At what interest rate would this be a fair deal? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Answer:
a. $313,559.32
b. 0.0402, or 4.02%
Explanation:
The computation is shown below:
Here we use the following equation
PV = C ÷ r
Present value
= $18,500 ÷ 0.059
= $313,559.32
b. Now the interest rate is
As we know that
PV = C ÷ r
$460,000 = $18,500 ÷ r
r = $18,500 ÷ $460,000
= 0.0402, or 4.02%
We simply applied the above formula so that the correct value could come
And, the same is to be considered
The amount of the average investment for a proposed investment of $184,000 in a fixed asset with a useful life of 4 years, straight-line depreciation, no residual value, and an expected total income of $20,600 for the 4 years is
Answer:
$92,000
Explanation:
Average Investment = (Initial Investment + Scrap Value) / 2
Average Investment = ($184,000 + $0) / 2
Average Investment = $184,000 / 2
Average Investment = $92,000
Thus The amount of the average investment for a proposed investment is $92,000
In the Income-Expenditures model, it is assumed that investment is independent of the level of (current) income. This is:
Answer:
I'm not sure what this question is about, but the concept of the income expenditures model and its components is the following:
In the income (or aggregate) expenditures model, its author (Keynes) established certain assumptions in order to analyze how the economy works as a whole. His assumptions included that investment, government spending and net exports were all independent from income level.
When the economy is at equilibrium, total expenditures (GDP) = income level = consumption + government + investment + net exports
Another important assumptions are:
marginal propensity to consume (MPC) + marginal propensity to save (MPS) = 1consumption = autonomous consumption + [MPC x (total income level - taxes)]Savings = investment increase when disposable income increases or real GDP increases.
This model is used to explain the relationship between labor and production levels, and how they are affected by the economy's total expenditures. By increasing expenditures, the demand for labor and products/services will increase.
can you aswer this screen shot
its in carrer
Answer:
Associate degree --> general 2 years college level degree
apprenticeship --> an on the job training
vocational school --> a one or two year program ..
bachelor --> four year college level degre
certification --> an endorsement from a non gov ..
Stock in Daenerys Industries has a beta of 1.3. The market risk premium is 7 percent, and T-bills are currently yielding 4.5 percent. The company’s most recent dividend was $1.50 per share, and dividends are expected to grow at an annual rate of 8 percent indefinitely. If the stock sells for $36 per share, what is your best estimate of the company’s cost of equity?
Answer:
13.05%
Explanation:
Using CAPM Equation, Ke = Rf+Beta*(Rm-Rf)
= 0.045+1.3*(0.07)
= 0.136
= 13.60%
Using Dividend growth model, Ke = (D1/P0) + g
= (D0*(1+g)/P0) = g
= (1.50*(1+0.08)/36) + 0.08
= 0.125
= 12.50
The cost of equity (Ke) = 0.136 + 0.125 / 2
The cost of equity (Ke) = 0.261/2
The cost of equity (Ke) = 0.1305
The cost of equity (Ke) = 13.05%
Fowler is expected to pay a dividend of $1.81 one year from today and $1.96 two years from today. The company has a dividend payout ratio of 40 percent and the PE ratio is 18.95 times. If the required return on the company's stock is 11.9 percent, what is the current stock price?
Answer:
$77.34
Explanation:
The computation of the current stock price is shown below:
But before that following calculations need to be done
EPS for year 2 = Dividend at year 2 ÷ Payout Ratio
= $1.96 ÷ 0.40
= $4.90
Now the price at year 2 is
Price at year 2 ÷ EPS at year 2 = PE ratio
Price at year 2 ÷ $4.90 = 18.95
Price at year 2 = $92.855
Now finally the current stock price is
= Dividend at year 1 ÷ (1 + rate of interest) + Dividend at year 2 ÷ (1 + rate of interest)^2 + Price at year 2 ÷ (1 + rate of interest)^2
= $1.81 ÷ 1.119 + $1.96 ÷ 1.119^2 + $92.855 ÷ 1.119^2
= $77.34
The following table lists the components needed to assemble an end item, the manufacturing or purchase lead times (in weeks) for typical lot sizes, amount on hand, and the direct components of each item and, in brackets, the number of each component for each parent.
Item Lead Time Amount on
Hand Direct
Components
End item 1 - L(2), C(1), K(3)
L 2 10 B(2), J(3)
C 3 15 G(2), B(2)
K 3 20 H(4), B(2)
B 2 30
J 3 30
G 3 5
H 2 -
If 40 units of the end item are to be assembled, how many additional units of B are needed? (You don’t need to develop the MRP tables.)
An order for 40 units of the end item is scheduled to be shipped at the start of week 8. What is the latest week that the components of the order can be started and the order still be ready to ship on time? (You don’t need to develop the MRP tables.)
Answer:
first question:
in order to produce 40 units of the end item you need:
40 units of L: only have 10 on hand, so you need to produce 30 more40 units of C: only have 15 on hand, so you need to produce 25 more40 units of K: only have 20 on hand, so you need to produce 20 morein order to produce L, C and K you need 75 units of B but only have 30 on hand, so you would need to buy 45 units of B.
second question:
you need 1 week to produce the 40 units of the end unityou need 3 weeks to produce L, C and K (C and K both take 3 weeks to produce or acquire)you need 3 weeks to produce or acquire B. J. G. H (G is the component that takes longer to produce or acquire out of these 4)total production time for 40 units of end item = 7 weekssince the order is due at the start of the 8th week, you need to start this week.
To be effective issuing and investing in bonds, knowledge of their terminology, characteristics, and features is essential.
For example:
A bond's _____ refers to its face value and the amount of money that the issuing entity borrows and promises to repay on the maturity date.
A bond issuer is said to be in _____ if it does not pay the interest or the principal in accordance with the terms of the indenture agreement or if it violates or more of the issue's restrictive covenants.
The contract that describes the terms of a borrowing arrangement between a firm that sells a bond Issue and the investors who purchase the bonds is called _____.
Answer:
Par valueDefaultIndentureExplanation:
A bond's par value refers to its face value and the amount of money that the issuing entity borrows and promises to repay on the maturity date.
A bond issuer is said to be in default if it does not pay the interest or the principal in accordance with the terms of the indenture agreement or if it violates or more of the issue's restrictive covenants.
The contract that describes the terms of a borrowing arrangement between a firm that sells a bond Issue and the investors who purchase the bonds is called indenture.
When you redeem a 50-cents-off coupon for Crest toothpaste at your local supermarket, you are being influenced primarily by which promotional element?
a. advertising
b. sales promotion
c. public relations
d. publicity
e. personal selling
Answer:
The correct answer is the option B: Sales promotion.
Explanation:
To begin with, in the field of marketing there are a lot of different elements that can be used in order to achieve the established goals that the campaign is looking for. In the options of the questions are presented most of those tools that are available for the managers to choose and use. In this case, where the situation establishes a discount obtained by a coupon regarding a determine product that is in the local supermarket then the promotional element that is being used to influenced in the person is the sales promotion. That marketing element characterises itself for having the purpose to increase the short term demand of the consumers that are in the moment being influenced by the promotion itself. Moreover, it uses both media and non media marketing communications in order to stimulate that demand.
3. Which part of a letter identifies the address of the person writing the letter
Answer:
Return Address
Explanation:
There are primarily 7 parts of a letter and these are the following:
1. Letterhead/Heading (business) or Return Address (an individual)
2. Date
3. Inside Address
4. Salutation/Greeting
5. Body
6. Complimentary Close
7. Signature
The "Return Address" refers to the address of the sender. This includes the name of the sender as well. This is very important especially if the letter requires a response from the recipient.
As the price level rises ceteris paribus people holding some of their wealth in monetary form because:_____
a. less wealthy and they buy less.
b. more wealthy and they buy more.
c. less wealthy and they buy more.
d. more wealthy and they buy less
Answer:
a. less wealthy and they buy less.
Explanation:
we are assuming a situation where the price level rises (inflation rises), so anyone holding cash will be able to purchase a smaller amount of goods with the same amount of cash simply because the goods are more expensive. E.g. you purchased 10 goods with $100, but if the inflation rate increases to 10%, you will be able to purchase only 9 goods with the same $100. As inflation rises, people holding cash (or other monetary form) will lose wealth and purchasing power.
If the growth rate in an economy is 3%, then its GDP will double in about:
A.
20 years.
B.
23.33 years.
C.
70 years.
D.
245 years.
Answer:
B. 23.33 years.
Explanation:
If we are going to make use of rule of seventy (70) to help us know the actual time that it takes for a country to double their economy GROSS DOMESTIC PRODUCT (GDP) which means that it will take up to 14 years for a country that has 5% growth rate to double their GDP but in a situation where a country economy has a growth rate of 3% it will takes actually takes 23 .3 years to double their GDP or 10 years to double their GDP.
a. What is the significance of voting rights to the ordinary shareholders? What is a proxy? Why do proxy fights occur?
b. Briefly explain the factors that influence the planning of the capital structure in practice.
c. ‘Bonus shares represent simply a division of corporate pie into a large number of pieces.’ Explain.
Answer:
a. What is the significance of voting rights to the ordinary shareholders? What is a proxy? Why do proxy fights occur?
Voting rights, to ordinary shareholders, is the upside of holding common stock, with the downside being that they have less preference of payment than bondholders, and preferred stock holders.
A proxy is a group of shareholder activists who attempt at enacting a particular change within the company. Proxy fights occur because proxies often meet resistance from the firm's current board.
b. Briefly explain the factors that influence the planning of the capital structure in practice.
There are many factors that influence the planning of the capital structure. For example, if interest rates are low, the board may plan for more debt and less equity, while the opposite would occur if interest rates are high.
In general terms, boards and managers tend to like debt because they represent the chance of leveraging the company, and a high leverage can increase returns to shareholders by a large margin if the economic performance of the firm is good.
c. ‘Bonus shares represent simply a division of corporate pie into a large number of pieces.’
Bonus shares are stock issued in place of dividends. In other words, when profits are distributed, stockholders get even more stock, instead of cash. Bonus shares, therefore, increase the amount of the firm's stock by the value of current profit, slicing the corporate pie into a larger number of pieces.