Answer:
Fairness rule
Explanation:
In the fairness rule, the seller is responsible for the information given by him to a buyer in order to make a reasonable judgement whether to buy a product or not until informed by the seller. It is the responsibility of the seller to give all the necessary information to the buyer so that he is able to take the decision regarding the purchase
Any has to file a tax report
Answer:
Controllable margin =$125,000
Return on investment = 20%
Explanation:
<em>Controllable margin is the difference between the sales revenue and the controllable cost. Controllable costs include variable and fixed cost directly under the control of the manager and which are influenced by his decisions.</em>
Controllable margin - Sales revenue - variable cost - controllable fixed cost
Controllable margin= $500,000 - $300,000 - 75,000 = $125,000
Controllable margin =$125,000
Return on investment = (controllable margin/ Average investment) × 100
= (125,000/625,000) × 100 = 20%
Return on investment = 20%