Answer:
5.78%
6.59%
8.85%
11.40%
Explanation:
The formula for determining future value (FV) given present value is(PV) :
FV = PV (1 +r)^n
r = interest rate
n = number of years
1. $338 = $270 x (1 + r)^4
( $338 /$270)^0.25 = 1 + r
1.0577 = 1 +r
r = 1.0577 - 1
r = 5.78%
2. 1231 = 390 (1 + r)^18
(1231 / 390)^0.055556 = 1 + r
1.065941 = 1 + r
r = 1.065941 - 1
r = 6.59%
3. 210390 = 42000 (1 +r)^19
(210390 / 42000)^0.052632 = (1 +r)
1.088505 = 1 + r
r = 8.85%
4. 613,284 = 41,261 (1 + r)^25
(613,284 / 41,261)^0.04 = (1 + r)
1.113999 = 1 + r
r = 11.40%
<span>Many firms securely share relevant sales, inventory, product development, and marketing information with suppliers and other external partners via its extranet.
Extranet is a type of a website where control over information is given to the company's partners.
</span>
According to Adam smith, by pursuing its self-interest (maximizing profits), a firm tends to meet the needs of society.
<h3>
Who is Adam smith?</h3>
Scottish economist and philosopher Adam Smith was a leading proponent of political economy and a pivotal figure in the Scottish Enlightenment. According to Adam Smith's economic theory, markets typically function most effectively when the government keeps out of the way. A result of Adam Smith's beliefs on capitalism, free markets, and supply and demand, he is referred to as the "father of economics." Smith supported the idea of taxing income, profits, sales, and labor.
The Law of Demand and Supply, the Law of Self Interest, and the Law of Competition are Adam Smith's three economic laws. According to these laws, sufficient commodities would be produced at the lowest cost to satisfy demand in a market economy, and better items would be produced at lower costs owing to competition.
Hence, According to Adam smith, by pursuing its self-interest (maximizing profits), a firm tends to meet the needs of society.
To learn more about Adam smith refer to:
brainly.com/question/50
#SPJ4
Answer: See explanation
Explanation:
The year-end adjusting entry to record the cost side of sales returns and allowances will be:
Dr Inventory Return estimated $3200
Cr Cost of goods sold $3200
(To record expected coat of returns)
Note that the above calculation was done as:
= $64,000 × 5%
= $64,000 × 0.05
= $3200
Answer:
ROIC for firm HL = 11.25%
ROIC for firm LL = 11.25%
Explanation:
Given:
EBIT = $3,450,000
Tax rate = 25%
Invested capital = $23,000,000
Note that the information above is the same for both firms HL and LL. This implies that their ROIC will be the same as calculated below:
ROIC = (EBIT * (100% - Tax rate)) / Invested capital ……………………. (1)
Substituting the values into equation (1), we have:
ROIC = ($3,450,000 * (100% - 25%)) / $23,000,000 = 0.1125, or 11.25%
Therefore, we have:
ROIC for firm HL = 11.25%
ROIC for firm LL = 11.25%
