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4 years ago

When evaluating a balance sheet, the two primary questions are ________?

Business

1 answer:

Brilliant_brown [7]4 years ago

4 0

In terms of evaluating balance sheet, the two primary questions that are being formulated are the following;

- The assets are financially secure or stable

- The firm has assets that are sufficient and are short term in means of having debts that are only short and temporary.

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Return on investment LO A1, A2 ZNet Co. is a web-based retail company. The company reports the following for 2017. Sales $ 23,16

katovenus [111]

Answer:

2017

ROI = 18%

Profit Margin = 30%

2018

ROI = 25.2%

Investment Turnover = 84%

Explanation:

The formulas for the required ratio are as follows,

ROI = Operating income / Average invested assets

Profit margin = Operating Income / Sales

For 2017,

ROI = 6,948,000 / 38,600,000 = 0.18 = 18%

Profit margin = 6,948,000 / 23,160,000 = 0.3 = 30% of sales

For 2018, we compute increased sales first

Sales = 23,160,000 * 1.4 = $32,424,000 after 40% increase

with profit margin staying the same, profit for 2018

Profit = $32,424,000 * 0.3 = $9,727,200

Using the earlier formulas,

ROI = $9,727,200 / 38,600,000 = 0.252 = 25.2%

Investment turnover = Sales / Average invested assets

Investment Turnover = $32,424,000 / 38,600,000 = 0.84 = 84%

Hope that helps.

8 0

3 years ago

Read 2 more answers

On December 1, 2018, Marigold Corp. issued at 102, 750 of its 7%, $1,000 bonds. Attached to each bond was one detachable stock w

balu736 [363]

Answer:

<em>$726,750</em>

Explanation:

According to the given problem,

Bonds issued at 103% of the face value.

Face value of the bonds = $1000

Coupon rate = 7%

Number of bonds issued = 750

The data indicates that each bond is issued with a separate stock warrant which has a market value of $50.

However the question was provided that the value of the proceeds from issuing the bonds should be found.

At 102 per cent of the bond's face value, each bond is issued.

Request bond price along with stock warrant.

= 102% ($1000) = $1020

Total number of bonds = 750

Proceeds from the issuance of total number of bonds

= 750 * $1020 = $765 000

The value of the proceeds from issuing the bonds therefore is $765 000.

You deduct the $50 stock purchase warrant at 102 per cent initial market value.

50 * 1.03 = 51

51*750 = 38250

3 0

3 years ago

Yvonne finds a carpenter to do some repairs for her house and tells him that if he finishes the job within Saturday, she would p

VikaD [51]

Answer:

Unilateral contract

Explanation:

A unilateral contract is one which is agreed to based on the performance of one party.

Simply put, a unilateral contract in one in which there is agreement based on performance.

From the above question, the carpenters performance determines the contract. If he fixes the job within Saturday, he gets $1,000. If he doesn't finish within saturday, the carpenter doesn't get $1,000. The 'saturday' is the conditon for the payment of $1,000.

7 0

3 years ago

Altoon Manufacturing's records were partially destroyed in a flood. The company does not know what sales have been for the year,

Masteriza [31]

Answer:

a. $164,000

Explanation:

The computation of the Altoon Manufacturing's sales for the year until the flood is given below:

= Cash collections + ending receivables - opening receivables

= $158,000 + $25,000 - $19,000

= $164,000

hence, the Altoon Manufacturing's sales for the year until the flood is $164,000

Therefore the first option is correct

7 0

3 years ago

CMI International, a composite plastic manufacturer, wants to improve its involvement with the community, so it has established

RideAnS [48]

When CMI International, a composite plastic manufacturer attempt to find and attract qualified applicants from the external labor market for its Community Involvement Office; This process is called "recruitment ".

<h3>What is recruitment?</h3>

The practice of actively seeking out, locating, and employing individuals for a certain post or career is known as recruitment. The entire hiring process, from the first stages to the recruit's integration into the business, is covered by the term of recruitment.

The goal of recruitment is -

The purpose of recruitment is to build a large pool of qualified candidates from which to select the best candidate for the position.
This strategy attracts sizable groups of people and motivates them to submit applications for open positions at a company.

Types of recruitment are-

Direct marketing.
Databases of the talent pool.
Worker recommendations.
Transfers and promotions.
Exchanges of jobs.
Recruiting firms.
Organizations with expertise.

To know more about hiring process, here

brainly.com/question/18859039

#SPJ4

4 0

2 years ago