Answer:
$4,400 less than under absorption costing.
Explanation:
First the complete Question:
The Southern Corporation manufactures a single product and has the following cost structure:
Variable costs per unit:
Production $ 35
Selling and administrative $ 17
Fixed costs per year:
Production $ 157,080
Selling and administrative $ 128,810
Step 1: Calculate the Value of the Ending or Closing Inventory under variable costing
To do this subtract the closing inventory form the produced units and multiply it by the production variable cost per unit
= (7,140 - 6,940) x $35 = $7,000
Step 2: Use Absorption Costing to determine the Product Cost
a. Determine Fixed Production Cost per Unit
Fixed Cost/ total units produced
= $157,080 /7140 = $22
b. Calculate total cost per unit by adding the variable Production cost to the determined fixed production cost per unit
= $35 + $22 = $57
Step 3: Determine Closing Inventory of goods produced under absorption costing
= 7,140 - 6,940 = 200 Units
Multiply this by the total production cost determined
= 200 units x $57 = $11, 400
Step 4: Find the difference between the value of closing inventory determined in step 1 and the value of closing inventory determined by absorption costing in step 3
= $11, 400 - $7,000 = $4,400
This means that the ending inventory of finished goods under variable costing (step 1) is $4,400 less than the ending inventory under absorption costing (step 3)
The New Fund had average daily assets of $2.7 billion in the past year. The fund sold $405 million and purchased $505 million worth of stock during the year. What was its turnover ratio?
Answer:
turnover ratio = 16.87 %
Explanation:
given data
average daily assets = $2.7 billion
fund sold = $405 million
purchased = $505 million
solution
we get here turnover ratio that is express as
turnover ratio = [tex]\frac{total\ stock\ sold}{daily\ assets}[/tex] ................1
put here value and we get turnover ratio
turnover ratio = [tex]\frac{405\ million}{2400\ million}[/tex]
turnover ratio = 0.16875
turnover ratio = 16.87 %
The ethical codes that tell employees what behavior is expected of them and establish the punishment for any violations are called _______ ethics codes.
a. customs-based
b. retribution-based
c. integrity-based
d. compliance-based
Explanation:
Compliance-based ethical code
Follow lawsFollow rules and regulationsAvoid legal complaintsThis always focus on prevention, early detection of violationWill empower legal counselState of being in accordance with established guidelinesThese are the rules attached to the employeesThe rules, laws and regulation might be as follows1. Non-Disclosure agreement
2. Behavior especially towards women employee
3. Timings and other administrative procedures
4. Any other which might create a legal issue
Compliance-based ethics codes are guidelines that instruct employees about expected behavior in an organization and specify penalties for violations. An example includes rules against insider trading.
Explanation:The ethical codes that inform employees about the expected behavior and outline the penalties for any violations can be called compliance-based ethics codes. These codes are designed to set clear standards for professional behavior within an organization and to ensure employees adhere to laws and regulations. They typically spell out consequences for breaches of the code to underscore the seriousness of ethical conduct.
An example of a compliance-based ethics code would be rules restricting employees from insider trading, with harsh penalties such as dismissal or legal action for any violation.
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Rocky’s insurance pays 80% of covered expenses after a $500 deductible is paid first. If all of Rocky’s expenses were covered and his insurance paid $16,000, what is the total amount that Rocky paid?
Answer:
$4,500
Explanation:
Let the Rocky’s expenses were 'x'
Therefore,
after deducting $500, amount left = x -500
Now,
The insurance paid 80% of the remaining amount i.e 80% of (x -500)
or
0.80 × (x - 500 ) = $16,000
or
x - 500 = $20,000
or
x = $20,500
Therefore,
The amount paid by Rocky = Rocky's expense - Amount paid by insurance
= $20,500 - $16,000
= $4,500
One way to think about free cash flow is that if the amount were withdrawn, it would harm the firm's ability to operate and to produce future cash flows.
A. True
B. False
The given statement "One way to think about free cash flow is that if the amount were withdrawn, it would harm the firm's ability to operate and to produce future cash flows" is FALSE.
Explanation:
Free flow of cash is the cash produced by an enterprise, less than the cost of asset spending. Free cash flow is the remaining cash after a corporation pays the operating costs and the equity, also called CAPEX.
FCF conflates net income through adjustments to non-cash spending, working capital shifts and capital expenditure.
The FCF is prone to volatility rather than net income as an indicator of profitability.
Nonetheless, FCF can expose basic problems until they emerge from the income declaration as a additional tool for analysis.
is the process of carefully managing detailed information about individual customers and all customer "touch points" to maximize loyalty.
Answer:
Customer Relationship Management (CRM)
Explanation:
Customer Relationship Management (CRM) is a technique or approach initiated by the corporation to manage the all-important information about the patent customer to gain loyalty at fullest and maximize the business p[productivity.
the main focus of this approach is to know about all those customers who can be in a list of potential customers.
A company that uses accrual-basis accounting purchased equipment on July 1 of the current year for $20,000. The company expects to use the equipment consistently for four years, and will record ________ depreciation in its December 31 financial statements.
Answer:
$2,500
Explanation:
Acquisition cost = $20,000
Expected useful life = 4 years
Therefore, annual depreciation = [tex]\frac{Cost}{Useful Life} =\frac{20,000}{4} = 5,000[/tex]
However, given that there are 6 months from July 1 (the date of acquisition) to December 31 (the end of the period), the amount of depreciation to be recorded within that period
= [tex]\frac{6 Months}{12 Months} * Annual Depreciation[/tex]
= 6/12 * 5,000
= $2,500.
All societies face a trade-off between equality and efficiency.
If the United States government raises the income taxes on the wealthiest Americans, while increasing welfare payments to the poorest Americans, the result will likely be ________ (increase/decrease) in efficiency and ________ (increase/decrease) in equality in the United States.
Answer:
a decrease; an increase
Explanation:
The advantages of the trade-off between equality and efficiency are few and short-term because they affect economic growth. If the government tries to give money to the poor by taking it from the rich in the form of taxes increase the equality but at the same time, it affects the efficiency level of the whole economy. As long as rich people feel that they are being overpowered they work less which decrease the GDP and low overall efficiency.
When a company seeks to match the benefits of a successful position and maintain their current position in the marketplace it is attempting a(n) ________________ approach.
a. unique
b. straddling
c. leader
d. innovative
Answer:
B. Straddling
Explanation:
Straddling is a management approach in which a firm seeks to match what a competitor is doing by adding new services, technologies, features to its current activities.
Straddling is a very risky management approach as any other firm that is not straddling can match a straddling company on every front. The risk always shows if the straddling firm has to trade-off(i.e: lose one quality to improve another or to make gains).
Cheers.
An excess of merchandise exports over merchandise imports results in a balance of trade deficit. True False
Answer:
False
Explanation:
As we know that
Net exports = Exports - imports
If the exports are higher than the imports than it would be surplus and on the other hand if exports are lower than the imports than it would be deficit
In the given scenario, since the merchandise exports have a higher value than the merchandise imports that reflects the trade surplus, not the trade deficit.
Ted is the owner and chief executive officer of a business. He recently began an advertising campaign to promote a new product that is regulated by state law. The law is somewhat unclear. Before launching the campaign, he researched the relevant law and consulted with his attorney in an effort to comply with the law. Nevertheless, the attorney general of his state has filed a lawsuit against him for deceptive advertising. Ted's best defense is that:
a. his firm made a profit on the product.b. he acted in good faith.c. his attorney was incompetent.d. the law is unfair.
Answer:
Option B- He acted in good faith.
Explanation:
The person who is trading with the other party owes the duty of care which is well stated in the negligence act. However in this case we saw that though the law was unclear but still the CEO acted in best interest of the public at large by consulting the attorney to shed light on the issue. Remember law is ethically minimum that is desired but in this situation the CEO was committed to comply with law that's why he consulted attorney. So saying that he acted in good faith is the best defense in the court.
Entrepreneurs emphasize the importance of believing in your own ideas because in the process of developing those ideas you are likely to hear from skeptics. Characteristically, they also know that success or failure is "on them." These attributes are described as _____________.a) action-oriented and highly energeticb) self-directed and self-nurturingc) self-contained and self-centeredd) a high-stakes roller and highly energetic
Answer:
Entrepreneurs emphasize the importance of believing in your own ideas because in the process of developing those ideas you are likely to hear from skeptics. Characteristically, they also know that success or failure is "on them." These attributes are described as self-directed and self-nurturing
Explanation:
It is pertinent to note that, every entrepreneur must be self direct i.e generate their ideas themselves and got motivated while nurturing such idea to manifest into big ways
Entrepreneurs display self-directed and self-nurturing attributes as they take calculated risks and rely on their own belief in their ideas for success.
b is correct
Explanation:Entrepreneurs emphasize the importance of believing in their own ideas, despite the skepticism they might face. They are aware that the ultimate responsibility for success or failure lies with them.
These attributes can best be described as self-directed and self-nurturing. Entrepreneurs take calculated risks, and before investing in any project, they assess the risks against potential benefits. They are visionaries who use their insight and dedication to transform concepts into reality, thereby contributing to the marketplace with innovative products or services.
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In an assembly line of a factory that makes gears, it takes fifteen minutes to complete a drilling operation using a lathe. The duration of this operation is called ___________
Answer: processing time
Explanation:
It is the duration or time taken in processing something or completing the process involved in turning a raw material into a finished product. During this period most businesses always look for ways to minimize the duration without affecting the quality of the final product to a level where it will affect sales or patronage.
On October 1, 20X4, Shaw Corp. purchased a machine for $126,000 that was placed in service on November 30, 20X4. Shaw incurred additional costs for this machine, as follows: Shipping $ 3,000 Installation 4,000 Testing 5,000 In Shaw's December 31, 20X4 Balance Sheet, the machine's cost should be reported as:
Answer:
$138,000
Explanation:
The computation of the machine cost that would be reported is shown below:
= Purchase value of machine + shipping cost + installation cost + testing cost
= $126,000 + $3,000 + $4,000 + $5,000
= $138,000
At the time of reporting the machine cost, we have to consider all the cost that is related to the machine. Therefore, all the given cost is considered.
Manufacturing costs do not include: Multiple Choice Direct labor applicable to production within the period. Selling expenses related to goods manufactured during the period. Direct materials used during the period. Manufacturing overhead charged to work in process during the period.
Answer: The manufacturing costs don't include selling expenses related to goods manufactured during the period.
Explanation:
Manufacturing costs by definition are the sum total of direct labour (labour charges paid for production), direct material (raw material expenses paid for producing the goods) and manufacturing overheads (other manufacturing expenses like fuel charges and accounting costs for recording manufacturing processes etc). These costs are calculated for work in progress and finished goods.
Thus manufacturing costs= Direct Labour + Direct Material + Manufacturing Overheads.
So, thereby looking at the options manufacturing costs don't include selling expenses related to goods manufactured during the period.
On January 4, 2012, Harley, Inc. acquired 40% of the outstanding common stock of Bike Co. for $2,400,000. This investment gave Harley the ability to exercise significant influence over Bike. Bike's assets on that date were recorded at $10,500,000 with liabilities of $4,500,000. There were no other differences between book and fair values. During 2012, Bike reported net income of $500,000. For 2013, Bike reported net income of $800,000. Dividends of $300,000 were paid in each of these two years. How much income did Harley report from Bike for 2012?
a) $120,000.
b) $300,000.
c) $200,000.
d) $500,000.
e) $320,000.
Answer:
e) $320,000
Harley's income from Bike in 2012= Harley's investment in Bike * Net Income of Bike in 2012 + Dividend Income share of Harley received from Bike in 2012
= 0.4 or 40% * $ 500,000 + 0.4 or 40% * $ 300,000
= $ 200,000 + $ 120,000 = $ 320,000
Explanation:
For computing Harley's income from Bike in 2012, we should find the Harley's income from Bike from the two sources given in the problem i.e.
Net Income of Bike in 2012Dividend Paid by Bike in 2012The Net Income of Bike in 2012 = $ 500,000
Therefore, Harley's Net Income share in Bike of 2012 = 0.4 or 40% * $ 500,000 (As Harley's investment in Bike is 0.4 or 40%).
= $ 200,000 - (Part A)
Dividend income of Harley from Bike in 2012 = 0.4 or 40% * $ 300,000
= $ 120,000 - (Part B)
Adding Part A and Part B we get the answer of $ 320,000.
Which of the following actions is associated with a niche strategy? Group of answer choices A. Manufacturing products in bulk and targeting average customers B. Selling products without extra frills or options C. Choosing a target market that is not crucial to the success of major competitors D. Creating cross-departmental teams across all the strategic business units
Answer:
The action that is associated with a niche strategy choosing a target market that is not crucial to the success of major competitors.
Option: (C)
Explanation:
The major reason an organization chooses to adopt a niche strategy is to avoid the dominance of a particular competitor in the present targeted market that both the organizations are functioning in. A niche strategy helps the organizations to experiment with the market and see if the output they get is acceptable or not.A niche strategy involves focusing on a specific, underserved segment of the market. The action most associated with this strategy is choosing a target market that is not crucial to the success of major competitors. C. Choosing a target market that is not crucial to the success of major competitors.
Explanation:The action most associated with a niche strategy is C. Choosing a target market that is not crucial to the success of major competitors. This is because a niche strategy is all about focusing on a specific, often underserved segment of the market. Rather than trying to cater to average customers or mass market, firms utilizing a niche strategy tailor their products or services to meet the unique needs and preferences of a specific group of customers that are not the main target of major competitors. This allows them to effectively avoid direct competition and often allows for higher profit margins.
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Smith Company's inventory cost is $100. The expected sales price is $110, estimated selling costs are $6. The normal gross profit ratio is 20% of selling price. The replacement cost of the inventory is $106. Smith Company uses the LIFO inventory method so must use the lower of cost or market approach and this inventory item should be valued at:_____________
a) $102
b) $106
c) $104
d) $110
Answer:
$100
Explanation:
Compute the valuation for the inventory item
1. a. Calculate the Ceiling Price/NRV
= Expected Sales Price - Estimated Selling Costs
= $110-$6 = $104
b. Calculate the Floor Price which represents Net Realizable Value - 20% of the Expected Sales Price= $22
=$104- $22 = $82
C. Replacement Cost is $106,
Therefore the Market price for the market approach represents the middle price of the three values.
The three values are Ceiling= %104, Floor = $82 and Replacement= $106
Therefore, the middle price is $104. The market is $104
D. Valuing inventory based on the lower of Cost or Market Approach is calculated as follows:
If $104 is the market approach cost then compared with the inventory cost of $100, then the cost of inventory is lower and should be used for inventory valuation.
Therefore, valuation is at $100
Every Saturday Mrs. Jones and hundreds of other shoppers visit ABC Market, a grocery store, to buy food for their home or business. These shoppers are _____ to ABC.
Answer:
Customers
Explanation:
A customer represents either a business or an individual that patronizes an organisation's products or services especially on a regular basis.
The role of the customer is to get their needs met by getting products or services offered, while the manufacturer or service provider's benefit is to derive income or revenue from the patronage of the customers.
Therefore, the customer - vendor relationship is a relationship that is critical to the continued existence of both parties.
Since, Mrs. Jones goes to visit ABC market on a regular basis (Saturdays) with other shoppers, then these shoppers are customers to ABC
Mrs. Jones and the other shoppers who visit ABC Market are customers to the store. As customers, they contribute to the store's revenue and are crucial for its success.
Every Saturday, Mrs. Jones and hundreds of other shoppers visit ABC Market, a grocery store, to buy food for their homes or businesses. These shoppers are customers to ABC Market. Customers play a crucial role in the retail environment, as they are the end-users who purchase products for personal use or consumption. In the context of a grocery store, customers help to drive sales and contribute to the store's revenue, making them a vital part of the store's success. Regular customers, like those described in the narratives, create a sense of community and loyalty, which can lead to sustained business for markets and grocery stores.
What is the relationship between Audit and tax services?
Answer and Explanation:
The greatest contrast among expense and review is that with charge you will be working in either open bookkeeping or corporate bookkeeping. In case you're in the open bookkeeping region, you're going to survey the fiscal reports and afterward evaluate the duty obligation for the enterprise
An expense review is an assessment of your government form by the IRS to confirm that your salary and deductions are precise. An assessment review is the point at which the IRS chooses to analyze your government form somewhat more intently and confirm that your salary and deductions are precise.
The industrial organization (I/O) model suggests that above-average returns are determined primarily by the firm's unique internal resources rather than by external capabilities.True or false?
The given statement " The industrial organization (I/O) model suggests that above-average returns are determined primarily by the firm's unique internal resources rather than by external capabilities " is FALSE
Explanation:
Industrial Organisation Model: Above-average returns are primarily calculated by the company's EXTERNAL factors.
---Industry structure
---Attractiveness of the external environment
The industry in which a company participates has a stronger impact on the performance of the company than the managers make choices within their organisations.
The industrial organisation model allows companies to get a better indication on a competitor's behavior through the use of game theory. Game theory, also known as immersive decision theory, comprises of a limitless amount of players (the competition) and a limited number of decisions they can create.
In your opinion, what aspects of the economy should be subject to some government regulation, involvement, or oversight?
Answer with Explanation:
In my opinion, the aspects of the government that should be subjected to some regulation, involvement or oversight are education, political structure and businesses.
These areas should have a set of rules in order to function effectively in the society. If the government will regulate education, many children will be able to learn. Learning can become an important requirement in order for the citizens to work or engage in businesses. Regulating the political structure is a must. This will prevent the monopoly of power of many politicians. It will also ensure that the political system is coordinated, trusted and unbiased. The government should also regulate businesses in order to provide equality. The businesses should follow a standard of rules (such as a common price standard) in order to practice fairness.
Cindy is preparing for a closing meeting with clients who are considering a deferred fixed annuity. This solution could help them meet their financial goal of supplementing their future retirement income need with an income plan from the deferred annuity. The clients are____________.
A deferred fixed annuity can serve to supplement the retirement income of clients facing depreciating buying power due to inflation. Traditional fixed pension plans result in loss of buying power over time. Defined contribution plans, like 401(k)s, are becoming more popular, as they hold the potential for real return rates, thus protecting against inflation.
Explanation:The clients Cindy is preparing for are likely considering a deferred fixed annuity as a means to supplement their future retirement income and potentially mitigate the impact of inflation on their fixed income from pensions. This problem of reduced buying power overtime is faced by a large number of retirees who have traditionally relied on defined benefit plans like private company pensions. These pensions are usually set at a fixed dollar amount per year at retirement, which does not increase with time leading to a loss in buying power due to inflation.
Recently, defined benefits plans, such as pensions, are being replaced by defined contribution plans, like 401(k)s and 403(b)s. In these plans, both the employer and employee contribute, and the worker invests these funds across a wide range of investment vehicles. Because these plans generate real rates of return, they help retirees safeguard against inflation costs that are a problem for pensioners with traditional fixed incomes.
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In contrast to public markets, private markets are characterized by individually negotiated transactions that take place without the aid of a centralized market. Therefore, private markets will generally have:
Answer: High transaction costs and low liquidity.
Explanation: Without the aid centralized market as opposed to the public market, transaction cost will be high 'cause of the middle men and the ease with which assets or security to be bought will be low.
What is the term used to describe product attributes that attract certain customers and can be used to form the competitive position of a firm?
Answer:
What is the term used to describe product attributes that attract certain customers and can be used to form the competitive position of a firm?
Competitive dimensions.
Explanation:
In the business world, there are companies that sell products that are used for the same things. The companies in this types of environments are in competition with each other since they are all fighting over the same resource which is market share. A bigger market share usually translates to more customers and more sales. Bigger sales reflects to a bigger profit margin. For a company to have a bigger market share, there are a number of things that they can do to form the competitive position of their firm. They can do this by using product attributes that attract certain customers, a situation termed competitive dimensions.
The following competitive dimensions can be considered, namely;
1. Quality: companies can focus on the quality of their product by improving the quality of the features above the competition. In this way some customers might consider opting for that product because of its perceived quality. The major features of quality are: reliability, performance, serviceability and value for money.
2. Time: the following form the major components of time, namely; delivery time, manufacturing lead-time and frequency of delivery.
3. Price and cost: these include selling price and the service costs.
On November 15, Meier Company received $3,000 cash from a customer for services that were performed on November 1. According to the Revenue Recognition Principle, on which date should the revenue be recorded?
Answer:
November 1
Explanation:
As per generally accepted accounting principles (GAAP), when the goods or services are delivered the revenue should be recorded and the transaction done in all respects.
The principle of revenue recognition occurs when the revenue is realized or earned, whether cash is obtained or not and it also meets the accounting accrual basis. Realizable here means that the consumer receives the product but the payment is made later.
Therefore, the revenue should be recorded on November 1
Final answer:
Revenue should be recognized according to the Revenue Recognition Principle when it is earned, which in this case is on November 1, when the services were performed, not on the date of cash receipt.
Explanation:
Revenue Recognition Principle
According to the Revenue Recognition Principle, revenue should be recognized when it is earned, regardless of when the cash is received. Since the services were performed on November 1, it is on this date that the revenue should be recorded. This aligns with the accrual basis of accounting which states that the effects of transactions and other events are recognized when they occur, not necessarily when cash is received or paid.
The Revenue Recognition Principle is an essential concept in accounting which ensures that financial statements provide a faithful representation of a company's financial performance. The customer's payment on November 15 is unrelated to the timing of revenue recognition for the services that were performed on November 1.
According to the Office of Federal Contract Compliance Programs (OFCCP), one of the criteria for an individual to qualify as an Internet applicant for a job is to:
Answer:
Submit an expression of interest in employment through the Internet
Explanation:
The Federal Contract Enforcement Services Agency is a part of the United States Department of labor.
OFCCP is responsible for making sure that workers doing business with the Government of the united states comply with the anti-discrimination laws and regulations that are required.
A compliance review is a form of enforcement audit in which OFCCP tries to evaluate whether the provider has preserved such records: AAP reports for the past year, job ads and housing details for people with disabilities.
At Camp Bow Wow, all employees, franchisees, and recruits learn the inspirational story of how Heidi Ganahl founded the dog day care company. This is important because the story:
a Helps sustain values, attitudes, and beliefs.
b Helps individuals detect environmental changes.
c Reduces absenteeism among employees.
d Reduces uncertainty in the external environment.
The story helps sustain values, attitudes, and beliefs.
Explanation:
A company's success in long term depends upon the commitment that is shown by the employees. It is necessary for an organisation to create good values and principles in the minds of the employees. This helps them to know the value of the company and the things that led to the success of the organisation.
The success and inspirational stories helps to achieve this. Every organisation will be having an inspirational story and success story that helps in creating good values and sustaining them in the minds of the employees. This will help to create good beliefs and values towards the organisation they work for. This will also help them to show long term commitment towards the organisation.
During the _____ age, manufacturers were principally concerned with production, and the primary burden of marketing fell on the wholesalers.
Answer:
industrialization age
Explanation:
Industrialization age -
It refers to the time period which encircles , the alterations in the social and economic organization.
This very time period begins around 1760 , firstly in the Great Britain and then to other countries .
During this age ,
The main concern of the manufacturer's is the production and therefore, the burden of the marketing goes to the wholesale people .
Hence , from the question,
The correct term is industrialization age .
A bond has a face value of $1,000. The bond matures in 10 years. It has a coupon rate of 8% and pays interest annually. The yield is 9%. What is the price of the bond?
Answer:
The price of the bond is $935.823
Explanation:
The Price of a bond is denoted by [tex]B_{0}[/tex]
The price of a bond is the present value of future interest stream and principal stream discounted at yield represented as kd.
[tex]B_{0} = \frac{Intererst}{(1 \ +\ Kd)^{1} } +\ \frac{Interest}{(1\ +\ Kd)^{2} } +.....+ \frac{Interest}{(1\ +\ Kd)^{n} } \ + \frac{Redemption\ value}{(1 \ + Kd)^{n}}[/tex]
[tex]B_{0} = \frac{80}{(1 \ +\ .09)^{1} } +\ \frac{80}{(1\ +\ .09)^{2} } +.....+ \frac{80}{(1\ +\ .09)^{10} } \ + \frac{1000}{(1 \ + .09)^{10}}[/tex]
[tex]B_{0}[/tex] = 6.41766 × 80 + 0.42241 × 1000 = 513.413 + 422.41 = $ 935.823
Whenever the coupon rate of payment is lesser than Kd or yield to maturity (ytm) , the price of such bonds are at a discount.
A bonds value is determined by the future stream of interest it generates in addition to it's redemption value both discounted at the investor's expected rate of return which is denoted by Kd.
Since Ben’s supervisor is out sick, Ben has been called on to give an impromptu briefing to the other employees at his company. This situation is likely to cause ________ communication apprehension.
Answer:
Novelty Communication Apprehension
Explanation:
In communication, the anxiety that develops as a result of being put in communication environments, contexts or situations that are new to the individual is known as novelty communication apprehension.
It is important to note that novelty communication apprehension also affect people who are used to public speaking. The contexts 'new environment and impromptu' are the trigger for this type of apprehension and a way to reduce it is to find opportunities to interact and speak at multiple platforms.
Ben knows his other employees, but the communication environment that puts him in charge of an impromptu brief creates a new circumstance and context for formal communication that he is not used to and as such it will likely cause him apprehension.