Answer:
B. Net income will be too high.
Explanation:
Revenue will be overstated instead of liabilities. overstatement in revenue will lead to the higher net income in current period. On the other hand liabilities are overstated. Entry to cash is accurately done and it will not effect due to this error. So the correct option is B. Net income will be too high.
Answer: 0.22
Explanation: Return on total assets is calculated by dividing net income or operating income from average total assets. It is a profitability ratio which is used by analysts to evaluate the ability of the firm to generate revenue from the given level of assets it have.
where,
= $425,000
Now,putting the values into equation :-
= 0.22
Answer: Skilled Workers.
Explanation:
Skilled workers refers to those with the skills and abilities required to work in their various tasks. Often these skills are gained from tertiary level institutions such as Universities, Colleges or Technical Schools.
When the report speaks of how having a college education leads to increased productivity, it is targeting skilled workers who as the definition states, have probably gone to College or Universities and the like.
This report will increase the labour market for skilled college education holders as companies might want to hire them more to gain from the reported increased productivity.
Answer:
The interest rate implicit in this agreement is 1%
Explanation:
Present Value = $131,300
n = 9
i = ?
Annuity Payment = $15,328
Use the following formula to calculate the interest rate
PV of Annuity payment = Annuity Payment x ( 1 - ( 1 + r )^-n / r
$131,300 = $15,328 x ( 1 - ( 1 + r )^-9 / r
$131,300 / $15,328 = ( 1 - ( 1 + r )^-9 / r
8.5660 = ( 1 - ( 1 + r )^-9 / r
using Annuity Table the 8.5662 annuity factor for 9 payments shows under 1% interest rate.
So, the answer is 1%
