Answer:
Project B, which is of below-average risk and has a return of 8.5%.
Explanation:
E is the only one that should be accepted. A and B both have returns that are too low considering their risk and should be rejected (which means C and d is out as an answer as well.
Answer: D. decrease in equity investment
Explanation:
A decrease in the owner's equity occur when a company loses money during the normal course of the business and when the owners need to move equity into normal business operations.
But in this case under the equity method, dividends declared by a subsidiary are accounted for by the parent when there is decrease in equity investment.
Equity also decreases when an owner withdraws money for personal use.
Jasper city is a trustee for henry j. a moneybags endowment fund, created to provide scholarships to students. This is an example Permanent fund.
A permanent fund is a fund wherein the important fund may not be used and the most effective profits at the fund are used for the benefit of the authorities or its residents.
For example, a fund may be classified as a permanent fund if it's far getting used to paying for accounting services for a perpetual endowment of a central authority-run cemetery or economic endowments toward a central authority-run library.
The Alaska Permanent Fund (APF) is a constitutionally established everlasting fund controlled via a nation-owned business enterprise, the Alaska everlasting Fund business enterprise (APFC). It was mounted in Alaska in 1976 with the aid of Article 9, section 15 of the Alaska country constitution beneath Governor Jay Hammond and legal professional wellknown Avrum Gross.
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Answer:
$12,750
Explanation:
The computation of net differential income is shown below:-
For computing the net differential income first we need to find out the net income if equipment is sold and net income if offer lease is accepted which is given below:-
Net income if equipment is sold = Sales consideration - Commission
= $25,000 - ($25,000 × 7%)
= $25,000 - $1,750
= $23,250
Now,
Net income if offer lease is accepted = Lease amount - Repair, insurance and property tax expenses
= $46,000 - $10,000
= $36,000
So,
Net differential income from the lease alternative = Net income if offer lease is accepted - Net income if equipment is sold
= $36,000 - $23,250
= $12,750
Answer:
The Correct answer is A
Explanation:
Strategy of low cost is the kind of the pricing strategy, in which the business or organization, offers or provide the products or services at low price. This strategy helps in stimulating the demand as well as gain or acquire the higher market share.
So, the strategy which is competitive and also the low cost provider in the industry work well when:
1. Newcomers in the industry uses at the introductory stage, the low prices so that could attract the buyers.
2. The competition on the price between the rivals sellers is vigorous.
3. The buyer also incur the low costs while switching the purchases from seller to another seller.
4. The product which are commodity grounded prevail as well as has minimal differentiation.