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alina1380 [7]
3 years ago
9

This year Baldwin achieved an ROE of 5.9%. Suppose management takes measures that increase Asset turnover (Sales/Total Assets) n

ext year. Assuming Sales, Profits, and financial leverage remain the same, what effect would you expect this action to have on Baldwin's ROE
Business
1 answer:
Rufina [12.5K]3 years ago
8 0

Answer:

ROE will increase

Explanation:

This action will cause an increase in Baldwin's ROE

ROE is the same as return on Equity. The return on equity is equal to the net profit margin multiplied by asset turnover which is also multiplied by equity multiplier.

From the above, if asset turnover is being increased by measures taken by the management, the ROE will also have to increase too. Firms will have to be generating more sales per units of the assets that they own.

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Dukes Corporation used a predetermined overhead rate this year of $2 per direct labor-hour, based on an estimate of 20,000 direc
astraxan [27]

Answer:

Under allocation= 1,000 underallocated

Explanation:

Giving the following information:

Dukes Corporation used a predetermined overhead rate this year of $2 per direct labor-hour, based on an estimate of 20,000 direct labor-hours to be worked during the year. Actual costs and activity during the year were: Actual manufacturing overhead cost incurred $ 38,000 Actual direct labor-hours worked 18,500

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 2*18,500= $37,000

Real overhead= 38,000

Over/under allocation= real MOH - allocated MOH

Under allocation= 38,000 - 37,000= 1,000 underallocated

5 0
3 years ago
The listing agent received a full price offer that she faxed to the out-of-town seller. The seller signed the faxed copy, and fa
ExtremeBDS [4]

Answer: Yes contract has been formed.

Explanation: According to the Uniform Electronic Transaction Act (UETA), electronic transactions are just as binding as transactions made on hardcopy documents. Moreover signatures made electronically reinforces the validity of these elctronic documents.

In the scenario the actual signature was signed on a hard copy by the seller, but it was then faxed back to the listing agent. This faxed copy, showing the faxed signature, is an electronic document that confirms the existence of the contract in accordance with the UETA. This faxed signature is as enforceable as an ink signature.

6 0
3 years ago
Mike is the head of a research team at a technology firm. in spite of constant rejection of mike's ideas by the senior officials
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Mike is an innovative leader who keeps going
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What are 3 benefits of adding non-QuickBooks Online clients to your Client List in QuickBooks Online Accountant
kipiarov [429]

Answer:

The answer is below

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After you have put a marketing plan in place,it is importantly to do what
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I found the options online. it would be to monitor the results
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