1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Stolb23 [73]
3 years ago
5

Toys, Trinkets and More requires a minimum rate of return of 12% on its average operating assets. The toy department currently h

as average operating assets of $300,000 and a net operating income of $42,000. The department's residual income is $ .
Business
1 answer:
Serggg [28]3 years ago
6 0

Answer:

Residual Income = $6,000

Explanation:

Residual income is the excess income of a firm leftover the opportunity cost of capital or over the desired income.

Given,

The minimum rate of return 12%

Average operating assets = $300,000

Net operating income = $42,000

We know,

Residual Income = Net Operating Income - (Average operating assets x the minimum rate of return)

Residual Income = $42,000 - ($300,000 x 12%)

Residual Income = $42,000 - $36,000

Residual Income = $6,000

You might be interested in
True or false: production runs can be scheduled in one or two shifts.
irina1246 [14]
The answers are as follows:
1. TRUE.
Shift schedule is a practice used in manufacturing industries to increase the numbers of hours that is used in production process. The shift divides the hours in the day into specific period and assign teams that will work during each period. The shift practice is usually employed in production run in order to ensure efficient use of all resources during the production process. Production run are typically schedule into one or two shifts; which may be during the day alone or during the day and night.
2. FALSE
Hiring the needed complement will eliminate OVERTIME, not the second shift. Hiring the needed complement usually remove the need for all overtime. Hiring the needed complement will make having a second production run team possible and this second team can handle the production process that ought to be done through overtime.
3. FALSE.
It is the duty of the management to strive to DECREASE STAFF TURNOVER.
Staff turnover refers to the rate at which employees are leaving a company and new employees are been absorbed. High staff turnover will make the company to spend more money on resources and training of new staffs.  
4. TRUE.
During periods of high demand, production usually increases and more workers are hired. Instead of hiring more workers, a company that has two production shifts may decide to add more workers to the first shift in order to increase the amount of work that could be done. This will result in the decrease in the number of the workers in the second shift.
5. FALSE
Increasing training hours decreases needed complement. Increasing the training hours will equip the workers with the needed knowledge which will make them more effective and productive. This will decreases the complement needed for the production process.
6. RECRUITING COST [B].
In a situation where a company has to hire more workers to the one it already has on ground as a result of increased production, then the company will have to spend extra money in the process of recruiting the needed workers.
7. DECREASE [B]
If the productive index is already at 100%, adding overtime will decreases the productivity index. This is because, overtime has a way of reducing the efficiency and the productivity of the workers, thus decreasing the amount of work done by them.
8. FALSE.
Workers training is entered in hours. The amount of training received by workers are measured in hours. The higher the training hours, the higher the amount of training which a worker has undergone and the higher will be the value of that worker to the company.
9. C
Each company is expected to have a base amount of $1,000 for each new worker that is hired. The company may decide to eliminate all other recruiting costs but this base amount can not be eliminated.
10. SEPARATION COST [C].
Separation cost are incurred when production level decreases and/ or automation level increases.
Separation cost refers to the cost that is needed to lay off an employee from an organisation. When the production level decreases or the company decide to automate their production processes, then some workers will have to be sacked and these workers have to be paid some money before they leave the company. This result in increase in the amount of money that the company will spend on separation cost.
8 0
3 years ago
Insurance companies negotiate discounts with hospitals under a(n) Question 10 options: PPO. HMO. EPI. FYI.
nalin [4]

Insurance companies negotiate discounts with hospitals under a PPO. Option A

This is further explained below.

<h3>What are Insurance companies?</h3>

Generally, A corporation, which may be for-profit, not-for-profit, or government-owned, offers the promise to pay for particular expenditures in return for a recurring charge, which is referred to as a premium. For instance, if a person acquires health insurance, the insurance company will pay for (at least part of) the client's medical expenditures, if the client has any medical bills.

In conclusion, Within the context of a PPO, insurance companies negotiate savings with hospitals. Alternative

Read more about Insurance companies

brainly.com/question/16996203

#SPJ1

7 0
2 years ago
Time to reach a financial goal You have $42,180.53 in a brokerage account, and you plan to deposit an additional $5,000 at the e
andrew11 [14]

Answer:

It take to reach your goal is 11 years

Explanation:

given data

initial fixed amount = $42,180.53

deposit additional = $5,000

account totals = $250,000

expect to earn r = 12%

solution

we will apply Future value of annuity that is express as

Future value of annuity = initial fixed amount ×  (1+r)^{t} + deposit additional  × \frac{(1+r)^t-1}{r}     ......................a

put here value and we get

250,000 = 42,180.53  \times (1+0.12)^{t} + 5,000 \times  \frac{(1+0.12)^t-1}{0.12}          

solve it we get

time t = 11

so it take to reach your goal is 11 years

6 0
3 years ago
Who is most likely to benefit when the Canadian dollar depreciates against the euro? A. Foreign sellers to Canadian buyers B. Ca
mariarad [96]

Answer:

A

Explanation:

When the Canadian dollar depreciates against the euro, the value of the Canadian dollar falls relative to the Euro.

For example, the exchange rate before the depreciation is 40 Canadian dollar / Euro. After the depreciation, it is 80 Canadian dollars / Euro.

Goods become more expensive for Canadian buyers of foreign goods. For example, a foreign good costs 160 Euros. Before the depreciation the good would cost (160 x 40) = 6400 Canadian dollars. After the depreciation, it would cost, 12,800 Canadian dollars.

Canadian sellers to foreign buyers don't benefit from the depreciation. Assume a local good costs 40 Canadian dollars. foreigners would pay 1 Euro for the good before depreciation. After depreciation, foreigners would pay 0.5 Euros for the good

6 0
3 years ago
The summary of a state’s financial transactions with the rest of the world, including trade, __________, and the remittance of i
Oduvanchick [21]
The summary .................. including trade, FOREIGN AID and the remittance............. Balance of payment is the record of all economic transactions between the residents of a country and the rest of the world in a particular period of time. A balance of payment allows a country to monitor its import and export rates.
8 0
3 years ago
Other questions:
  • ___competition is a competitive advantage based on factors other than price.
    12·1 answer
  • On October 1, 2016, Concord Corp. issued $924,000, 7%, 10-year bonds at face value. The bonds were dated October 1, 2016, and pa
    15·1 answer
  • PLEASE LEAVE A COMMENT EVEN IF THERE ARE TWO ANSWERS! Hi, I am picking a name for my coffee shop, I was thinking CoffeeCake beca
    14·2 answers
  • A mother earned ​$ 18750.00 18750.00 from royalties on her cookbook. She set aside​ 20% of this for a down payment on a new home
    11·1 answer
  • Choose the organization listed below that takes a proactive role in developing recommendations and prototype technologies relate
    14·1 answer
  • 2. Discuss how the factors that affect the promotional mix affect how Pepe’s promotes its various locations: Nature of the produ
    12·1 answer
  • What does the government have to do with public sector ?
    15·1 answer
  • . Alternative A has a first cost of $20,000, an operating cost of $9,000 per year, and a $5,000 salvage value after 5 years. Alt
    14·1 answer
  • Sinking fund bonds: Multiple Choice Require equal payments of both principal and interest over the life of the bond issue. Requi
    8·1 answer
  • Company k incurs a $22,000 deductible expense. compute the current year tax savings from the deduction assuming that:_________
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!