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Phantasy [73]
3 years ago
6

Baldwin has an asset turnover of 1.55 (Asset Turnover = Sales/Assets). That means:________.

Business
1 answer:
DedPeter [7]3 years ago
5 0

Answer:

4. Each $1.00 of assets in the firm generates $1.55 of sales revenue.

Explanation:

Given that

The asset turnover ratio is 1.55 times

Also, it could be calculated by applying the following formula

Asset turnover ratio is

= Sales ÷ Average assets

In this the comparison is made for generating the sales by considering the assets

Therefore in the given case, the last option is correct and hence the same is to be considered

You might be interested in
In Lean/JIT systems the burden of ensuring quality of production inputs from vendors shifts from the _____________ to the ______
irina [24]

Answer:

Buyer/seller

Explanation:

In the case of lean system it focused on the customer side while on the other hand the JIT i.e. Just in time focused on the manufacturing process i.e. efficiency

So in the case of lean or JIT system the burden for ensuring the production quality from vendor shifts is from the buyer to the seller

Therefore the above represents the answer

6 0
3 years ago
Go to the internet and find a news article published within the last month that discusses changes in demand and supply of partic
Setler79 [48]

Answer: The explanation is provided below

Explanation:

Below article is the summary of the acceleration of inflation in the emerging markets that was published in 2018.

According to the article, inflation in an economy is caused by an adverse supply shock or as a result of the expansionary fiscal policy or the expansionary monetary policy.

In an adverse supply shock, total quantity of basic goods will reduce drastically causing the aggregate demand to rise exponentially and therefore, push prices higher and then gradually lead to inflation.

Also, the continous and eventual implementation of the expansionary fiscal or monetary policy through continous tax cuts or by increasing government spending or reducting interest rates, lead into significant increase in the aggregate demand and as a result, prices rise eventually resulting in hyperinflation in the economy. This will also lead to increase in the real GDP of the economy.

Different tools in the monetary policy framework can be used to control inflation such as government securities,

the cash reserve ratio, interest rates. To reduce recession, government utilize automatic stabilizer in order to boost the economy.

8 0
3 years ago
Suppose the market follows a single index model, where the index has standard deviation of 15%. For a stock with firm-specific r
iogann1982 [59]

Answer:

Explanation:

St deviation of stock σ = √( β² x σ₁² + σ₂² )

σ₁ = standard deviation of market = .15 and σ₂ is standard deviation of firm

Putting the values given

.30 = √ ( β² x .15² + .10² )

.09 =  β² x .0225 + .01

β² x .0225 = .08

β² = 3.5555

β = 1.88

3 0
3 years ago
Luciana, a nonshareholder, purchases a condominium for her employer for $85,000. The fair market value of the condominium is $12
krok68 [10]

Answer:

Luciana’s basis in the condominium is $120000.

Explanation:

The transfer or sale of property by the employer to the employee at less than the fair market value then it is considered as the compensation income or dividend income. However, it should be included in the income. The difference in cost and fair market value ($120000 - $85000 = $35000) is considered as the gross income which is taxable for the year.

5 0
3 years ago
A major airline sells an aggressively low priced ticket compared to a new low-fare airline, which is trying to enter the market.
ankoles [38]

Answer:

The correct option is is A, predatory pricing

Explanation:

Predatory pricing is an illegal approach to pricing where a firm fixes a very low price in order to send competitors out  of business.

This is very applicable to a firm that has economies of scale where its cost per unit reduces as more and more units are produced, making it possible to undercut competitors without feeling much impact in profitability.

This approach is against the anti-trust law as it paves for a monopoly market,where only one firm operating in the market determines the price which is not likely to be favorable to consumers

8 0
3 years ago
Read 2 more answers
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