project's payback period is 4.5 years.
<h3>
What is net operating income?</h3>
- Before deducting any expenditures for financing or taxes, net operational income assesses the profitability of an income-producing asset.
- Subtract all property-related running costs from all income earned at the property to arrive at NOI.
- A property owner can manipulate the operational expenditures included in the NOI statistic by delaying or accelerating particular revenue or expense elements.
- Capital expenses are excluded from the NOI statistic.
- A property owner can use NOI to determine whether the cost of owning and maintaining a property outweighs the benefits of renting it out.
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Answer: D. Longhorn owns the inventory and should report it on its balance sheet.
Explanation:
Goods to be sold on consignment for a company means a company is selling goods for another company and will be paid for their services.
In that case, the company being sold for will retain the ownership of the goods because the company that is selling it for them is simply providing a service.
Angus in this scenario are simply holding the goods to sell it and so do not own the goods. Longhorn should therefore record it in their own books as inventory.
Answer:
The correct answer is: Manufacturers use predetermined overhead rates to allocate to production jobs the production costs that are not directly traceable to specific jobs.
Explanation:
If we are able to trace a cost directly to a product we will not include it in manufacturing overhead. Manufacturing overhead was created to allocate costs that are not directly traceable to a product. It helps manufacturers to allocate costs with certain precision.
Answer 1) Option B) Shift to the right.
Explanation : If the amount of land available to the company increases, the PPC will shift to the right. As the graph indicates, the PPC will grow by shifting on right side as the company is acquiring more land for building purpose.
Answer 2) Option C) Remain Unchanged.
Explanation : The company realizes it cannot construct any buildings on a portion of the land because it is at risk of a cave-in.
In this case, the PPC will remain unchanged. When the company realizes that no construction can be done on the portion of land because of its hollowness the PPC will remain to be undisturbed.
