Because everything has to be paid for by someone. Also, if someone is getting you something for free, it is likely that they will want something in return.
The accounting rate of return for this investment given its income, cost of the machine and the salvage value is 8.05%.
<h3>What is the accounting rate of return?</h3>
The accounting rate of return is a capital budgeting method used to determine the level of profitabiliy of an investement.
Accounting rate of return = Average net income / Average book value
Average book value = (cost of equipment - salvage value) / 2
Average book value = (59700 - 7500) / 2 = $21,600
Accounting rate of return = $2100 / 21600 = 8.05%
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Answer:
Here is the answer!
Explanation:
You are working as a communication specialist for BMW which is releasing a new luxury car in March 2021. BMW have already carried out a market survey and have already determined the price of the product and the targeted audience.
You are working as a communication specialist for BMW which is releasing a new luxury car in March 2021. BMW have already carried out a market survey and have already determined the price of the product and the targeted audience. Now that your company have to start a sale campaign, you have been asked to elaborate with your team the communication strategy for conducting this campaign during spring and summer (From March to August). Write your strategy in almost five pages
The answer is A. True
Well, basically all types of business organization need to follow a particular framework and provisions.
It help to prevent a future misconduct between partners, and to keep the company in the good side of the Law
Answer:
Under absorption costing ,net operating income = $63625
Explanation:
<u> Cost per unit:</u>
Variable cost per unit = 675 per unit (a)
Fixed cost per unit = Fixed overhead cost /uits produced = 63000/350
= 180 per unit (b)
Total cost per unit = (a)+(b)= 675+180= 855 per unit
Hayek Bikes
Income statment
( Absorption costing)
$
Sales (225 * 1625) = 365625
less: <u>Cost of goods sold:</u>
(225 * 855) = <u>(192375)</u>
Gross profit 173250
Less: variable selling and administraive expense 14625
Fixed selling and admintrative expense <u>95000 </u>
=(<u>109625</u>)
Net operating income 63625