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nikdorinn [45]
3 years ago
14

Which of the following statements is correct?

Business
1 answer:
Marina CMI [18]3 years ago
8 0

Answer:

Free cash flow (FCF) is, essentially, the cash flow that is available for interest and dividends after the company has made the investments in current and fixed assets that are necessary to sustain ongoing operations. (A)

Explanation:

Option A- This statement is true.

Option B- This is false. After-tax operating Income is calculated as Operating profit less interest less Depreciation and less tax

Option C-This is false. They will have the same operating incomes. Operating income is calculated as Sales less operating cost.

Option D- False.

Option E- False.

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Which of the following is the formula for calculating the lifetime value of a​ customer?
Nadya [2.5K]

The formula for calculating the lifetime value of a​ customer the amount a person will spend MINUS the cost to maintain the relationship

<u>Explanation:</u>

Any company must measure the customer lifetime value for its success. Customers are the important factor that decides the growth of any business. They play an important role of buying the goods and services produced by any business. It is required to know how much it costs to attain new customers than retaining the older customers.

By measuring the CLTV, a company can make better decisions like the goals related to marketing, reduction in the cost related to acquisition, customer retention,etc. CLTV can be measured by subtracting the  amount spent by a customer  from the total cost that is spent in maintaining the relationship with that customer.

3 0
3 years ago
Instruments had retained earnings of $ 390 comma 000 at December​ 31, 2017. Net income for 2018 totaled $ 220 comma 000​, and di
VashaNatasha [74]

Answer:

The retained earnings should Quartz report at December​ 31, 2018 is $570,000

Explanation:

In this question, we apply the retained earnings equation which is shown below:

Ending retained earnings balance = Beginning retained earning balance + net income - dividend paid

= $390,000 + $220,000 - $40,000

= $570,000

The net income should be added while dividend should be deducted for finding out the ending retained earnings balance

3 0
3 years ago
A customer has $20,000 to invest, but needs immediate access to the funds to pay a variety of bills that will arrive over the ne
tatiyna

Answer:

A. Money Market checking account

Explanation:

A money market account represents a savings account with some features of a checking account provided by a bank. Herein, a customer deposits money, and such funds are invested into money market instruments which are highly liquid, such as commercial papers, treasury bills, certificate of deposits, etc.

Such accounts provide debit card and checks and allow a certain number of withdrawals every month. The rate of interest offered under these accounts is usually higher than the ordinary savings account.

In the given case, the customer has $20,000 to invest and also requires immediate access to the funds to pay his bills. The best recommendation would be to deposit such funds to a money market checking account, which would provide him with access i.e liquidity, a higher rate of interest than on savings account and safety of investment.

It is noteworthy that all other options specified are not as liquid as money market checking account since, those alternatives either require considerable time in redeeming and selling or do not provide immediate access to funds.

4 0
2 years ago
Sean is initially unsure about which laundry detergent brand to buy: Stainz-Out or Ocean Fresh. Thanks to advertising, he has le
svlad2 [7]

Answer:

Positive effect advertisement

Explanation:

Base on the scenario been described in the question, the effect of the Ocean fresh because of the positive effect advertisement. This so because he discovered that ocean fresh is more cheaper and has almost the same price with that of stainz-out.

We can define positive advertisement as some kind of marketing strategies which show the target population all the positive effects which one can receive due to any particular product or service

4 0
3 years ago
How does the dynamic model of aggregate supply and aggregate demand explain​ inflation? A. by showing that if total spending in
boyakko [2]

Answer:

The correct answer is option A.

Explanation:

The dynamic model of aggregate supply and aggregate demand shows that if an economy the total spending in the economy increases faster than total production, there will be a shortage. This shortage will cause the price level to increase and will ultimately lead to inflation.  

When the increase in aggregate demand is greater than the increase in aggregate supply, it will create a shortage in the economy. The demand for goods and services will be more than the supply of goods and services. This will cause the price level to increase.

4 0
3 years ago
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