<u>Calculation of Bvi corporation's payout ratio for 2014:</u>
The formula to calculate the Payout ratio is as follows:
Payout Ratio = (Total Divided Paid / Net Income)*100
Bvi corporation's payout ratio for 2014 can be calculated as follows:
Payout Ratio = (Total Divided Paid / Net Income)*100
= (400000/1600000)*100
= 0.25*100
=25%
Hence, Bvi corporation's payout ratio for 2014 is <u>25%</u>
Answer:
Explanation:
Computation A:
Product Cost Markup = Desire to Earn Profit + Total Selling
Desired to Earn profit = $960,000 × 12%
Desired to Earn profit = $115,200
Product Cost Markup = Desire to Earn Profit + Total Selling
Product Cost Markup = $115200 + $105000
Product Cost Markup = $220,200
Percentage Markup = Product Cost Markup / Incur Total Manufacturing Cost
Percentage Markup = $220200 / $2600000
Percentage Markup = 8.5%
Computation B:
Per Unit Cost = $2,600,000 / 80000
Per Unit Cost = $32.5
Price of Product = $32.5 + ($32.5 × 8.5%)
Price of Product = $35.26
Answer:
e. making it harder to pursue a multidomestic strategy as compared to a global strategy.
Explanation:
- The pitfalls or disadvantage associated with the strategic alliances is that of poor resource allocation. Loss of control over the quality, operating cost and the employees, etc.
- Difficulties to meet the objective on deadlines and delays in policy formulations. The strategy to negotiate is very essential for the strategic alliances as the need to avoid conflicting goals.
Inflation initiated by increases in wages or other resource prices is labeled as cost-push inflation.
Inflation is the rate of the boom in costs over a given period of time. Inflation is commonly a vast measure, which includes the general increase in prices or the growth in the price of a dwelling in a rustic.
In economics, inflation is a trendy boom in the charges of products and offerings in an economic system. Whilst the general fee stage rises, every unit of forex buys fewer goods and services; therefore, inflation corresponds to a reduction in the purchasing strength of money.
Even as high inflation is commonly taken into consideration as harmful, some economists trust that a small quantity of inflation can help pressure an economic boom. The opposite of inflation is deflation, a state of affairs in which prices tend to say no. The Federal Reserve's goal a 2% inflation fee, primarily based on the client rate Index (CPI).
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ANSWER: A) maxed out credit cards.
Lenders want to know that borrowers are able to pay down balances. High balances lead to lower credit scores. Lenders believe those with maxed out credit cards have a higher chance of defaulting and not paying their credit obligations.
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