The answer Is B! Hope this helps
Answer:
12,000,000; $6,000,000
Explanation:
the amount of economic investment from BBQ’s actions
BBQ builds 10 new restaurants at $1 million per restaurant
= $1 million × 10
= $10 million
equipment and furnishings = $200,000 for each restaurant
Total = $200,000 × 10 restaurants
$2 million
Total economic investment from BBQ’s actions = $10 million + $2 million
= $12 million
B. How much purely financial investment took place?
BBQ issues and sells 200,000 shares of stock at $30 per share
But the total
= 30% × $2 million
= $600000 for each restaurant
Total for the 10 restaurants will be
$600000 × 10
= $6,000,000
Answer:
Your friend says that Company A is doing a great job for shareholders. He says that their ROA is high. You point out that shareholders tend to like debt and the Company A has low debt. Furthermore, ROA is biased towards companies with low debt. You suggest that __ROE______ is a better measure of the job management is doing for shareholders.
Explanation:
Company A's Return on Equity (ROE) is a financial measure that investors use to gauge how their equity investments in the company are generating income. The Return on Assets (ROA) helps the same investors to measure how management is using Company A's assets or resources to generate more income. Company A's ROE is determined by dividing its net income by the equity, while its ROA is determined by dividing its net income by the assets. If the ROE equals the ROA, it shows that there is no leverage (debts) held by Company A.
The first one debt ces out of your account credit is borrowed from the bank
Answer:
(A) 86,000
Explanation:
common stock + additional paid in + retained earnings = equity
200,000 + 80,000 + 150,000 = 430,000
344,000 is 80%
then: 86,000 will represent the 20%
We are asked for the amount of non-controlling interest then that will be 20% of the equity of Frazer which is in possesion of other stockholders.
