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Finger [1]
3 years ago
7

Residual Income The Avila Division of Maldonado Company had operating income last year of $112,300 and average operating assets

of $760,000. Maldonado's minimum acceptable rate of return is 10%. Required: 1. Calculate the residual income for the Avila Division. Round your answer to the nearest dollar. Residual income $ 2. Was the ROI for the Avila Division greater than, less than, or equal to 10%?
Business
1 answer:
Margaret [11]3 years ago
8 0

Answer:

Explanation:

Residual income=Net operating income-(Average operating assets*minimum required rate)

=$112300-(760,000*10%)=$36,300

ROI=Net operating income/Average operating assets

=(112300/760,000)=14.78%

ROI was greater than 10%

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Amram Inc. can issue a 20-year bond with a 6% annual coupon at par. This bond is not convertible, not callable, and has no sinki
tino4ka555 [31]

Answer:

b. It could be less than, equal to, or greater than 6%.

Explanation:

THIS ARE THE OPTIONS FOR THE QUESTION BELOW!

a. Exactly equal to 6%.

b. It could be less than, equal to, or greater than 6%.

c. Greater than 6%.

d. Exactly equal to 8%.

e. Less than 6%.

Convertible bonds can be regarded as one which can be converted to equity shares at a particular time, so in this case, Base on specific terms set the coupon rate can be equal, greater even less than 6%, talking of real world, the feature of the convertible could make the coupon rate to be probably less than 6%.

3 0
3 years ago
On June 10, 2020, Ebon, Inc. acquired an office building as a result of a like-kind exchange. Ebon had given up a factory buildi
lakkis [162]

Answer:D. The holding period of the office building includes the holding period of the factory building

Explanation:

The holding period simply refers to the period of time that a particular investment is being held by an investor.

The holding period csn.also be referred to as the period between when a security is purchased and when it is sold.

With regards to the question, the holding period of the office building includes the holding period of the factory building. Therefore, the correct option is D.

4 0
3 years ago
The money that you make from your wages, before taxes are taken out, is called your _____ pay. Question 4 options: Gross Net Tot
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Answer:

it is Gross pay

Explanation:

3 0
3 years ago
According to a summary of the payroll of Scotland Company, $450,000 was subject to the 6.0% social security tax and $500,000 was
solmaris [256]

Answer:

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There is important to undestand some vocabulary for business aproach.  

A credit to salaries are the amount that the companies owed to their employees.

3 0
3 years ago
Which of the following will cause an increase in Supply for the Short-Run Macroeconomic model?
Len [333]

Higher Prices can encourage competition and cause an increase in the supply for the Short-run Macroeconomic model. Therefore, Option B is the correct choice.

<h3>How supply can be increased in the short run?</h3>

In the marketplace model, supply slopes up due to the profit purpose of individual firms. If a corporation receives a better price, they'll make a higher profit via way of means of selling more, so the quantity supplied will increase while the price will increase.

Therefore, Higher Prices can encourage competition and cause an increase in the supply for the Short-run Macroeconomic model. Therefore, Option B is the correct choice.

Learn more about short-run supply here:

brainly.com/question/24260367

#SPJ1

5 0
2 years ago
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