Answer:
a. The division’s basic earning power ratio is above the average of other firms in its industry.
Explanation:
All the rest of the option in the question results in less efficiency of the company's division. In order to achieve a better grade Option A is the only choice.
Answer:
The theory of comparative advantage says that nations should yield and trade only those merchandises in which they have a reasonable advantage i.e. which they are specialize in.
To compute the comparative advantage of two nations A and B, let us first compute the opportunity cost of making movies and vehicles in each.
Country A:
Opportunity cost of making 1 automobile = 2 movies
Opportunity cost of making 1 movie = 1/2 automobile
Country B:
Opportunity cost of making 1 automobile = 8/5 movies
Opportunity cost of making 1 movie= 5/8 automobile
Since the prospect cost of making an automobile is lesser in Country B and the prospect cost of making movies is lesser in country A, thus Country A would make movies and country B would make automobiles.
Rule of law is very important in case of country’s legal system
This means that no one can be regarded to be above the law in a society where the rule of law exists. In a parliamentary democracy, the rule of law places a duty on all citizens to uphold the law, and in order to do so, the legislation must be just and not arbitrary. The goal of the rule of law, like other constitutional concepts, is to advance peoples' freedom and basic rights.
People and corporations must abide by the regulations set forth by the rule of law in order to avoid penalties. The rule of law establishes norms for businesses so that they, too, know what is required of them in their transactions and enables people to comprehend what is expected of them in their personal capacities.
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Answer:
$161 million
Explanation:
Given that,
Gross profit = $350 million
Operating expenses = $120 million
Tax rate = 30%
First, we need to find out the income before taxes by subtracting operating expenses from the gross profit then we are able to determine net income after taxes.
Income before tax:
= Gross profit - Operating expenses
= $350 million - $120 million
= $230 million
Net income after taxes:
= Income before tax - Taxes
= $230 million - (0.30 × $230 million)
= $230 million - $69 million
= $161 million
