Answer:
A. $250,800
B. $150,000
Explanation:
a. Calculation for maximum price
First step is to find the Earnings per year amount using this formula
Earnings per year= ROI×Plant and equipment replacement value
Let plug in the formula
Earnings per year=198,000*19%
Earnings per year=37,620
Second step is to calculate for the maximum price using this formula
Maximum price=Earnings per year/ROI
Let plug in the formula
Maximum price=37,620/15%
Maximum price= 250,800
Therefore maximum price is $250,800
b. Based on the information given each of the asset that each individual acquired will be recorded at the market fair value amount while the amount of $150,000 will be recorded as Goodwill.
Using this formula to calculate Goodwill amount
Goodwill =Purchased amount- Fair value
Let plug in the formula
Goodwill=750,000-600,000
Goodwill=$150,000
Answer:
$60,000
Explanation:
Total Capital = $50,000 + $30,000 + $20,000
Total Capital = $100,000
Using goodwill method, total value = $40,000/20% = $200,000
Balance after investment = $100,000 + $40,000 = $140,000
Goodwill = Total value of goodwill - Balance after investment
Goodwill = $200,000 - $140,000
Goodwill = $60,000
So, $60,000 will be debited for goodwill.
According to what is taught in this course, company is most likely to start earning positive profits at the growth stage stage of an industry life-cycle.
<h3>
What is growth stage stage of an industry life-cycle?</h3>
At the growth stage there is usually a notable change in the revenue, this is because the revenue continues to rise and in this period the companies start generating positive cash flows as well as the profits and product revenue and costs .
It should be noted that According to what is taught in this course, company is most likely to start earning positive profits at the growth stage stage of an industry life-cycle.
Learn more about industry life-cycle on:
brainly.com/question/17360211
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Answer
The answer and procedures of the exercise are attached in a microsoft excel document.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
Answer:
democratic manager
Explanation:
A democratic manager invites participation from members in the decision-making process. In this leadership style, every member is encouraged to contribute their ideas and opinions. Members' involvement leads to increased feelings of recognition and satisfaction.
Democratic leadership is also referred to as participative leadership. It contrasts with autocratic leadership, where the leader makes all the decisions without consultation.