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3 years ago

Which of the following risk factors indicates an increased risk of misappropriation of assets?

1 answer:

4 0

Answer: In the given case, the following indicates an increased risk of misappropriation of assets: lack of mandatory vacations for employees performing key functions.

Here, employees are a integral part of an organization. They are considered as one of the most vital asset of an organization. Therefore if there are lack of mandatory vacations for employees then there will be an increase in risk of misappropriation of assets.

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Current Attempt in Progress Restate the following income statement for a retailer in contribution format. Sales revenue ($100 pe

Komok [63]

Answer:

Contribution Margin Income Statement for the year end MM DD, YY

$ $

Sales revenue ($100 per unit) 66,000

Less: Variable Cost

Less cost of goods sold ($56 per unit) 36,960

Commissions expense ($6 per unit) 3,960

Shipping expense ($3 per unit) 1,980

42,900

Contribution Margin 23,100

Less: Fixed Cost

Salaries expense 7,900

Advertising expense 5,800

13,700

Net Income 9,400

5 0

4 years ago

A company estimates that the appropriate discount rate (i.e., the cost of capital) for Project A, Project B, Project C and Proje

aliina [53]

Answer:

a. Project A requires an up-front expenditure of $1,000,000 and generates a net present value of $3,200.

Explanation:

The company should accept project A because it provides a positive net present value of $3,200 that is the highest among all the projects.

When the IRR of a project is lower than the required rate of return of the project, it will generate the negative net present value because at IRR the net present value of the project will be zero and at a higher rate than IRR it will be negative.

The project with a profitability index of less than 1 generates a negative NPV because the present value of future cash flows is less than the initial cash outflow.

Project D also generates a positive net present value but it is lower than project A. So, after comparing the results we will choose the project with higher NPV.

4 0

3 years ago

Using the Base Case, calculate total depreciation expense for the year 2023E. Assume that depreciation expense on assets pre-202

balu736 [363]

Answer:

b) $33,000

Explanation:

Capital Expenditure = $20,000

Salvage Value in % = 10%

Useful Life = 4 Years

Salvage Value = Salvage Value% * Capital Expenditure

Salvage Value = 10% * 20,000

Salvage Value = $2,000

Annual Depreciation = (Capital Expenditures - Salvage Value) / Useful Life

Annual Depreciation = ($20,000 - $2,000) / 4

Annual Depreciation = $18,000 / 4

Annual Depreciation = $4,500

Depreciation of 2023E = Depreciation Pre 2020E + Depreciation on capital expenditures in 2020E + Depreciation on capital expenditures in 2021E + Additional Depreciation on capital expenditures in 2022E + Additional Depreciation on capital expenditures in 2023E

Depreciation of 2023E = $15,000 + $4,500 + $4,500 + $4,500 + $4,500

Depreciation of 2023E = $33,000

7 0

3 years ago

Assume that the hypothetical economy of Molpol has 8 workers in year 1, each working 1,200 hours per year (40 weeks at 30 hours

Harrizon [31]

Answer:

Answer for the question:

Assume that the hypothetical economy of Molpol has 8 workers in year 1, each working 1,200 hours per year (40 weeks at 30 hours per week). The total input of labor is 9,600 hours. Productivity (average real output per hour of work) is $10 per worker

Instructions: In parts a and b, round your answers to the nearest whole number. In part c, round your answer to 2 decimal places.

a. What is real GDP in Molpol? Suppose work hours rise by 2 percent to 9,792 hours per year and labor productivity rises by 5 percent to $10.5

b. In year 2, what will be Molpol's real GDP?

c. Between year 1 and year 2, what will be Molpol's rate of economic growth? percent

Is given in the attachment.

Explanation:

7 0

3 years ago

Pratt, an owner of an appliance store, has a garage sale at his home where he sells old furniture and books. He sells a set of b

ELEN [110]

Answer:

false

Explanation:

8 0

3 years ago