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lozanna [386]
4 years ago
8

The average accounting return (AAR) rule can be best stated as: An investment is acceptable if its AAR is less than a target AAR

. An investment is acceptable if its AAR exceeds a target AAR. An investment is acceptable if its AAR exceeds the firm's return on equity (ROE). An investment is acceptable if its AAR is less than the firm's return on assets (ROA).
Business
1 answer:
Natasha_Volkova [10]4 years ago
7 0

Answer:

An investment is acceptable if its AAR exceeds a target AAR.

Explanation:

The average accounting return (AAR) is a capital budgeting decisions method that is obtained by dividing the earnings after taxes and depreciation of an investment project by its average book value during its life.

An arbitrary ARR target is usually set which compared with the calculated ARR.

The decision rule under ARR is that an  investment should be accepted if its AAR exceeds the target AAR.

Therefore, The average accounting return (AAR) rule can be best stated as ann investment is acceptable if its AAR exceeds a target AAR.

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Describe how legal contracts provide incentives for people to exchange goods and services
Jlenok [28]
They know that if you do not go through with the contract it may lead you to whats known as fraud. It is illegal to not go through with a contract so you may be arrested

5 0
3 years ago
Rob and Laura wish to buy a new home. The price is $187, 500 and they plan to put 20% down. New Rochelle Savings and Loan will l
Sonbull [250]

Answer:

The Answer is C. $1,325.99

Explanation:

The monthly equated formula is used to reach out on monthly installments

total amount needed to buy a new home is =$187500-($187500*20%=$150000

Therefore loan required is $150,000 which will be repaid over 30 years i.e 30*12=360 months

Interest=10%/12=.008333

Installment=.00833*(1+.00833)^360/(1+.00833)^-360=3.27

Installment=(3.27*150000)/360=$1325.99

7 0
3 years ago
Suppose you run a software company and you want to determine if there is a difference between the 'debugging unit' (population 1
GalinKa [24]

Answer:

e. -2.6291.

Explanation:

from the information available in this question,

mean x₁ = 0.12

mean x₂ = 0.30

n₁ = 24

n₂ = 30

n1 = 24 < 30

n₂ = 30 <= 30

therefore we would be solving this using the t test.

we have

t =\frac{x_{1-x_{2} } }{s} *\sqrt{\frac{n1n2}{n1+n2} }

inserting values whe have:

t=\frac{0.12-0.30}{0.25} *\sqrt{\frac{24*30}{24+30} }

t = -0.72 *\sqrt{13.33333}

t=-0.72*3.6514836

t=-2.629067947

this is approximately

-2.6291

therefore <u>option e</u> answers this question.

3 0
3 years ago
Product market comparisons that focus on labor costs are likely to deserve greater weight when:.
Hunter-Best [27]

Product market comparisons that focus on labor costs are likely to deserve greater weight when product demand is inelastic.

<h3>What is the product market?</h3>

The product market is defined as the marketplace where final items or services are sold to firms and the government.

It does not concern trading in raw or another intermediate substances because it concentrates on the selling of finished goods. Business enterprise market and labor market are two speeches that are related to but not interchangeable.

When product demand is inelastic, product market comparisons that focus on labor costs are more likely to be valuable.

Learn more about the product market, refer to:

brainly.com/question/3964664

#SPJ1

8 0
3 years ago
Emil Company expects that its asset will be more useful during early years of its life than during later years. In addition, the
liq [111]

Answer: sum of the years digits

double decling balance

Explanation:

Sum-of-the-years'-digits is a method that is used in calculating the depreciation of an asset's depreciation.

In this method, the expected life of the asset is taken and then added together

to each year's digit.

For example, if an asset was believed that it would last for four years, then it should be noted that the sum of the years' digits would then be gotten by adding: 4 + 3 + 2 + 1 = 10.

6 0
3 years ago
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