Answer:
"Capital rationing" would be the appropriate answer.
Explanation:
- Capital rationing is a systematic process for allocating remaining cash through various alternative investments, thus growing the bottom line of a financial institution.
- It consists of calculating profitability economic indicators across all projects as well as choosing the best ventures which result in the highest present value especially when associated.
Answer:
c. auditors and financial statement users.
Explanation:
This is because, the auditors and the financial statement users tends to have different views on what their responsibilities are. Since their views differs, their tend to be a gap which occurs. <em>This gap is called audit expectation gap. This could be minimized through self regulating auditing of the financial statement before the final auditing by auditors.</em>
Answer:
depreciation expense 2021 = $6,200
depreciation expense 2022 = $6,700
Explanation:
depreciable value = $29,000 - $200 = $28,800
depreciation expense per mile driven = $28,800 / 144,000 = $0.20
number of miles driven during 2021 = 31,000
depreciation expense 2021 = 31,000 x $0.20 = $6,200
number of miles driven during 2020 = 33,500
depreciation expense 2022 = 33,500 x $0.20 = $6,700
Answer:a) Will give you less opportunities than a career starting right away
wrong
Explanation:
Answer:
Average rate of return= 10.17
%
Geometric return = 9.23%
Explanation:
<em>Geometric average return</em>
This is compounded annual rate of return which is used to measure the performance of an asset over a certain number of years. It helps to measure the return generated by an investment taking into account the volatility .
Unlike the arithmetic average the geometric average gives an idea of the real rate taking into account of volatility
The formula below
Geometric Return =(1+r1) (1+r2) ...... (1+rn)^1/n
Geometric Average return =
(1.12× 1.19× 1.21× 0.88× 1.26× 0.95)^(1/6) - 1 =0.09233168
Geometric return =0.0923
× 100= 9.23%
Geometric return = 9.23%
Average rate of return
<em>The average return is the sum of the returns over the years dividend by the Numbers of returns</em>
Average return = sum of return / No of returns
(12% + 19% + 21% + (12%) + 26% + (5%))/6 =10.17
%
Average rate of return= 10.17
%
Geometric return = 9.23%
