This type of capitalization method is called the Gross Rent Multiplier (GRM). This is used in calculating the approximate net <span>income excluding the vacancies, bed debt, and expenses. In order to estimate the value of an apartment or building, for instance, GRM is used as the quickest tool.
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Answer:
Revenue (Consulting revenue + Rental revenue)=33000+22000=55000.
Operating expense (salaries expense+rent expense)=20000+12000=32000
Selling and administrative expense = 8000
Explanation:
Armani Company
Year end Income statement 2019
Revenue = 55000
less: Operating expense =(<u>32000</u>)
Gross Profit 23000
less :Selling and administrative expense = (<u>8000</u>)
Net profit 15000
Notes: Question should be mentioned the company nature of business so that we can identify company real business.
Answer:
The correct answer is $1,881,600
Explanation:
According to the scenario, the computation of the given data are as follows:
Unit sells = 10,000 units
Growth rate = 12%
Selling price = $150 per unit
Costing = $100 per unit
So, we can calculate the budget sales revenue by using following formula:
Budget sales unit for quarter 3 = (10,000 × 112%) × 112% = 12,544
So, budget sales amount for quarter 3 = 12,544 × $150
= $1,881,600
Answer:
a. 110.2
b. 105
c, 5%
d. 88.2
Explanation:
Price index measures the changes in price level over time. It is measure of inflation.
Price index = (price of good in a given year / price of good in the base year) x 100
Types of price indexes
1. Producer price index measures the goods and services produced. this would not increase because it is used cars that is being examined
2. The consumer price index measures the changes in price of a basket of good.
Inflation is a persistent rise in the general price levels
Inflation rate = (change in prices / previous years price) x 100
Types of inflation
1. Demand pull inflation – this occurs when demand exceeds supply. When demand exceeds supply, prices rise
2. Cost push inflation – this occurs when the cost of production increases. This leads to a reduction in supply. Higher prices are the resultant effect
a. (88.2 / 80) x 100 = 110.25
b. (84 / 80 x 100) = 105
c. (84 / 80) - 1 = 5%
d. 1.05 x 84 = 88.2
Answer:
Challenge
- Quality Issues
- Lack of Documentation
Risk
- Loss of Confidentiality
- System Unavailability
Reward
- Increased Quality
- Reduced Cycle
Explanation:
A challenge is something that test you and your business. The are temporary obstacles that you have to surpass in order to be successful.
Business Risk means the possibility of loss or any adverse condition that may severely damage the organization's ability to achieve its goals and objectives.
Reward means a positive outcome that has happened because of productive decision making and effective management.