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Evgesh-ka [11]
3 years ago
10

Lee sun's has sales of $3,650, total assets of $3,350, and a profit margin of 5 percent. the firm has a total debt ratio of 41 p

ercent. what is the return on equity? 5.00 percent 5.45 percent 10.83 percent 9.23 percent 4.45 percent
Business
1 answer:
Kisachek [45]3 years ago
8 0

<u>Calculation of Return on Equity:</u>


Return on Equity can be calculated using the following formula:


Return on Equity = Net Income / Equity


We can calculate net income using the following formula:

Net Income = Sales * Profit Margin = 3650*5% = $182.50


And we can calculate Equity using the following formula:

Equity = Total Assets * (1-Total Debt ratio) = 3350*(1-41%) = $1976.50


Now Finally,

Return on Equity = Net Income / Equity = 182.50 / 1976.50 = 9.23%



Hence the return on equity is <u>9.23%</u>






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Explanation:

The technology will grow until 2022, and our job will have definitely improved by making it easier to communicate to our customers and by providing managers with jobs that managers have been paid less.

The job market for management workers has risen since the economic downturn in the 2008-2009 recessions.

This is anticipated to increase, as administrative workers work in economic sectors, such as education, social services, legal aid, health care and finance, that are growing and creating new jobs. The employers are looking to reoccupy these positions with so many jobs lost during the crisis and the recent recovery in the economy.

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A hardware store rents its one wood chipper. A request for the chipper arrives every 4 days with a standard deviation of 4 days.
astraxan [27]

Answer:

20%

Explanation:

The question has a Mean of 1 day and the Standard deviation is 4 days, So it is apparent that in every Five days including the 4 days standard deviation, we have the chipper to be available and clients in need of it can rent it for 1 day.

Therefore if the chipper is going to be rented on the 1st day, it would be rented again after 4 days, on the 5th day.

utilization for the chipper will be

= (1/5) x 100

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3 years ago
Employees earn vacation pay at a rate of one day per month. Maxum estimated and must expense $13,000 of accrued vacation benefit
weqwewe [10]

Answer and Explanation:

The journal entries are shown below:

1

Vacation Benefit Expense  $13,000  

                To Vacation Benefit Payable $13,000

(Being vacation benefit expense is recorded)

2

Warranty Expense $18,000  

           To Estimated Warranty Liability $18,000

($12,000 × 10 % × $15) = $18,000

(Being warranty expense is recorded)

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3 0
3 years ago
Fraser Company had $130,000 in sales on account last year. The beginning accounts receivable balance was $10,000 and the ending
Musya8 [376]

Answer:

The company's accounts receivable turnover was closest to 10.83 times

Explanation:

The accounts receivable turnover is an efficiency ratio that measures how many times a company can collect its receivables or money owed by clients during the year.

Accounts receivable turnover is calculated by following formula:

Accounts Receivable Turnover = Net Credit Sales /Average Accounts Receivable

In there:

Average Accounts Receivable = (The beginning accounts receivable of the period balance + The ending accounts receivable of the period balance)/2

In Fraser Company:

Average Accounts Receivable = ($10,000 + $14,000)/2 = $12,000

Accounts Receivable Turnover = $130,000/$12,000 = 10.83 times

6 0
3 years ago
how entrepreneurs that operate in the sharing economy use creative thinking to develop and improve businesses?
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Answer:

To find out future needs and trends.

Explanation:

Entrepreneurs use creative thinking to develop and improve businesses by analyzing the future needs and trends that will follow by the people so by knowing future needs and trends, the entrepreneurs started to invest in those needs and products which give him a good profit in the future and in this way the creative mind of Entrepreneurs helps in the generating of employment as well as boosting the economy of the country.

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