Answer:
C. NPV is the discounted present value of a project's expected future accounting net income at the required return, subtracting the initial investment.
Explanation:
NPV means Net Present Value, this is calculated by computing the present value of cash returns and not the accounting income, as accounting income takes in account non cash items also, although while computing returns the non cash transactions are not considered.
Therefore the chosen statement which states about accounting income less initial investment is false as even in case the project requires additional mid term investment then that is also considered.
Thus, false statement is
Statement C
Answer and Explanation:
The computation is shown below
a. The economic order quantity is
= sqrt ((2 × annual demand × ordering cost) ÷ carrying cost)
= sqrt ((2 × 1,215 × $10) ÷ $75)
= 18 units
b) Average number of bags on hand is
= EOQ ÷ 2
= 18 ÷ 2
= 9
c) Orders per year is
= D ÷ EOQ
= 1215 ÷ 18
= 67.5
= 68
d) Total cost = Total carrying cost+ Total ordering cost
= (Q ÷ 2)H +(D ÷ Q)S
= (18 ÷ 2)75 + (1215 ÷ 18) × 10
= 675 + 675
= $1350
Answer:
A low asset turnover compared to the industry implies Net income is low relative to the investment in assets.
Explanation:
Asset turnover is the ratio of total sales or revenue to average assets. It is a measure used to gauge how effectively companies are using their assets to generate sales.
Higher turnover ratios mean the company is using its assets more efficiently. Lower ratios mean that the company isn't using its assets efficiently and most likely have management or production problems.
The asset turnover ratio measures the value of a company's sales or revenues relative to the value of its assets
If a company has a low asset turnover ratio, it indicates it is not efficiently using its assets to generate sales.
There are 100 people and 4 answers. The minimum people for each answer is 10. You can distribute the minimum people to make it easy.
Answer 1. 10 people
Answer 2. 10 people
Answer 3. 10 people
Answer 4. 10 people
There are still 60 people that are not assigned, so you take this number and add it to the minimum.
60 + 10 = 70
Answer: The maximum number of customers giving any one response is 70 people.
