Answer:
66.62%
Explanation:
The debt ratio is the total liabilities divided by total assets. At the end of the year, total assets stood at $266,000, the increase in retained earnings which is the excess of revenue over expenses and dividends payment does not affect liabilities, as a result, liabilities stayed the same at $177,200.
Debt ratio=total liabilities/total assets
debt ratio=$177,200/$266,000
debt ratio=66.62%
Answer:
The correct answer is D.
Explanation:
Giving the following information:
Chef City projects sales of 625 10-inch skillets per month. The production costs are $5 per skillet for direct materials, $2 per skillet for direct labor, and $3 per skillet for manufacturing overhead.
Cost of goods sold= unitary cost* units sold= 10*625= $6,250
<u>Explanation</u>:
In the first scenario, because of being the only student in the class my efforts to produce good grades will be low and inefficient since I believe there is no one competing with me for good grades.
However, in the second scenario of a class of 40 students, there will be great competition to be that 1 student to get a good grade as mentioned by the teacher. Changes will be seen in my efforts at study and paying attention in class, as well as asking questions about the subject in order to get a good grade.
Answer:
$137,200; $103,600
Explanation:
In 2015:
Free cash flow:
= Net cash flow from operating activity - Capital expenditure
= $294,000 - (70% × $224,000)
= $294,000 - $156,800
= $137,200
In 2016:
Free cash flow:
= Net cash flow from operating activity - Capital expenditure
= $280,000 - (70% × $252,000)
= $280,000 - $176,400
= $103,600
Answer:
If the return on capital is 12% and the price for loanable funds is 14%, then:____.
a. currently businesses will not borrow loanable funds to invest in capital goods.
Explanation:
This simply means that the costs of borrowing exceed the returns. This makes borrowing and investment unattractive to businesses. The resulting effect on the economy will be disastrous. Many economic variables will be affected negatively, especially output and employment. At such times, the central bank needs to intervene with monetary policies to move the economy out of recession.