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
xz_007 [3.2K]
2 years ago
12

The management at Dime Corporation is investigating purchasing equipment that would increase sales revenues by $527,000 per year

and cash operating expenses by $339,800 per year. The equipment would cost $425,000 and have a 10 year life with no salvage value. Dime Corporation uses straight-line depreciation for all fixed assets. The simple rate of return on the investment is closest to (ignore income taxes): A. 44.05% B. 54.05% C. 27.46% D. 34.05%
Business
1 answer:
Contact [7]2 years ago
5 0

Answer:

option (D) : 34.05%

Explanation:

As per the data given in the question,

Computation of Simple rate of return :

Investment = $425,000

Depreciation = (Initial cost - salvage value) ÷ useful life

= ($425,000 - 0) ÷ 10

= $42,500

Net profit = Sales revenue - cash operating expense - Depreciation

= $527,000-$339,800-$42,500

= $144,700

Simple rate of return = Net Profit ÷ Investment

= $144,700 ÷ $425,000

= 34.05%

Hence, option (D) is correct answer

You might be interested in
Bonner Automotive has shareholders' equity of $218,700. The firm owes a total of $141,000 of which 40 percent is payable within
MA_775_DIABLO [31]

Answer:

$93,500

Explanation:

Net Working Capital = Current Assets - Current Liabilities

Current Assets = Total Equity + Liability - Fixed Assets

= $218,700 + $141,000 - $209,800 = $149,900

Current Liability = $141,000 X 40% = $56,400

As out of total due 40% is payable within a year, which means it is current liability.

Net working capital = $149,900 (current assets) - $56,400 (current liability)

= $93,500

6 0
3 years ago
What is the difference between intra departmental communication and interpersonal departmental communication
natima [27]

Answer:

Difference between intra departmental communication and interpersonal departmental communication

Explanation:

Intra means within , Inter means between

Intra departmental communication means communication (exchange of information) between people, within the same department in an organisation.

Interpersonal departmental communication means communication (exchange of information) between people, from different departments in an organisation.

5 0
2 years ago
A(n) ____________ portfolio maximizes return for a given level of risk, or minimizes risk for a given level of return.
Anastaziya [24]

An efficient portfolio maximizes return for a given level of risk or minimizes risk for a given level of return.

Having an efficient portfolio when preparing a financial planning is undeniably important as this helps you in your decision-making; whether you engage in something while knowing the specific risk of doing that certain action.

8 0
2 years ago
White Pearl Cosmetics markets skin care products for teenage girls between 16 and 19. In approaching its international markets,
Anna35 [415]
I think (but I’m not sure) it’s global
3 0
2 years ago
. Qiang, an Asian employee, working at Rapid Fire Inc., is terminated on the grounds that he is homosexual. He wants to file a d
erica [24]

Answer:

he was discriminated solely based on his sexual orientation.

Explanation:

The Title VII of the Civil Rights Act of 1964 stated that all employers in united states are prohibited to discriminate their employees based on race, religion, gender, national origin, and sexual orientation.

You do not need to be married for your sexual orientation to be acknowledged by the The Title VII of the Civil Rights Act of 1964  . You just need to proof that any of the factors above are the reason why you're discriminated against.

In Qiang case, he could tried to find witness by talking to other employees or find a recorded email/messages that indicates his boss mistreatment toward him. If there are enough employees who came out as witnesses, he could build a strong enough case to gain support in the court.

5 0
3 years ago
Other questions:
  • In the long run, if the firm decides to keep output at its initial level, what will it likely do? stay on but decrease to the po
    11·1 answer
  • what tax preparation option do you think you are most likely to use? Why? What are the advantages and disadvantages to using thi
    5·1 answer
  • What is the apr on a loan that charges interest at the rate of 1.4% per month?
    14·1 answer
  • Leahy Corp. sells $300,000 of bonds to private investors. The bonds are due in five years, have an 6% coupon rate, and interest
    8·1 answer
  • Mediflow, a medium-sized medical technology company, has been successful in its research and development, but needs improvement
    5·1 answer
  • Suppose that this year's money supply is $500 billion, nominal GDP is $10 trillion, and real GDP is $5 trillion. The price level
    7·1 answer
  • 3. Bob's lawn-mowing service is profit maximizing, competitive firm. Bob mows lawns for $27 each. His
    11·1 answer
  • Domestic business differs from international business in that a firm operating within the borders of one country A) must be conc
    13·1 answer
  • Celia has a son and a daughter in college. They have been students since tax year 2017. Celia’s son’s tuition is $6,600 and her
    6·1 answer
  • Select the correct answer. a computer store decides to increase the prices of all the items it sells by 15%. the store manager u
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!