Answer:
$9 million
Explanation:
Gross domestic product is defined as the total monetary value of all goods and services produced by a country in a given period. It is used to measure the countries wealth and economic growth .
GDP can be calculated based on expenditure, production, or by income.
Types of GDP measurements include real GDP, nominal GDP, GDP growth rate, and GDP per capita.
Gross domestic product= Total output - intermediate goods in production {products from Canada}
Gross domestic product= 10 million- 1 million
Gross domestic product= $9 million
Answer:
Annual depreciation= $16,020
Explanation:
Giving the following information:
Purchase price= $174,500
Salvage value= $14,300
Useful life= 10 years
T<u>o calculate the depreciable base, we need to use the following formula:</u>
<u></u>
Depreciable base= purchase price - salvage value
Depreciable base= 174,500 - 14,300
Depreciable base= $160,200
N<u>ow, we can determine the annual depreciation:</u>
Annual depreciation= depreciable base /estimated life (years)
Annual depreciation= 160,200 / 10
Annual depreciation= $16,020
Answer:Weaver Company
Comparative Balance Sheet
December 31, 2015 and 2014
2015 2014
Assets
Cash $ 7 $ 11
Accounts receivable 308 230
Explanation:
Answer:
D) Dividend payout ratio
Explanation:
Internal Growth Rate of a firm is the maximum growth rate at which the firm can grow without involving external financing i.e. without assuming additional debt or equity infusion in the firm. At this level of growth the cash available from the operations can be used to fund the company.
It is calculated using the formula
IGR= ROA* b / (1-ROA * b)
where
IGR is the Internal Growth Rate
ROA is return on assets
b is the retention ratio or (1-dividend payout ratio)
To answer the question we look at each option
If ROA (Return on Asset) is decreased the numerator decreases and denominator increases in equation (1) and thus the Internal growth rate decreases, so ROA is not the answer
If Net Income is reduced the Return on Assets also falls thus as in the above case Internal growth Rate decreases
If retention ratio is reduced the numerator decreases and denominator increase leading to a fall in IGR
If dividend payout ratio is decreased the retention ratio increases leading to the increase in numerator and decrease in denomonator leading to an increase in the IGR. Thus Decreasing the dividend payout ratio will increase the IGR.
If Return on Equity is reduced i.e. indirectly Net Income is reduced for the same equity the similar effect as in part for Net Income and thus reduces the IGR.
So decreasing dividend payout ratio increases the interna growth rate of a firm
Answer:
$784,434 will be allocated to the Retail division
Explanation:
See attached file
