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
Liono4ka [1.6K]
3 years ago
14

The following data are for the Akron Division of Consolidated Rubber, Inc.: Sales $ 820,000 Net operating income $ 59,000 Averag

e operating assets $ 320,000 Stockholders' equity $ 82,000 Residual income $ 22,000 For the past year, the minimum required rate of return was: Multiple Choice 44.00% 11.56% 23.10% 7.20%
Business
1 answer:
VladimirAG [237]3 years ago
7 0

Answer:

11.56%

Explanation:

The computation of the minimum required rate of return is shown below:

Residual income = Net operating income - (Average operating assets × minimum required rate of return)

$22,000 = $59,000 - ($320,000 × minimum required rate of return)

After solving this the minimum required rate of return is 11.56%

By applying the above formula we can find out the minimum required rate of return

You might be interested in
Under U.S. GAAP, if the carrying value of a fixed asset was $50,000, the undiscounted expected future cash flows was $55,000, th
ira [324]

Answer:

$0

Explanation:

According to US GAAP the reduction in the value of the asset due to a decrease in the fair value. It means when fair value of the asset is reduced than the book value of the asset.

Amortized Cost / Book value = $50,000

Market Value = $53,000

Discounted Value = $51,000

There is no Impairment loss on this asset as the fair market value is more than the book value of the asset.

7 0
3 years ago
Read 2 more answers
Mallard Corporation uses the product cost concept of product pricing. Below is cost information for the production and sale of 4
boyakko [2]

Answer:

d. 96,000

Explanation:

Provided required rate of return on investments of $800,000 = 12%

Now desired profit = $800,000 X 12% = $96,000

therefore when fixing the price per unit this profit shall be added, and then reverse calculation is done.

With this we can get the desired profit.

At the last the total of cost and profit shall be divided by number of units to get the selling price per unit.

Therefore desired profit in dollars = $96,000

6 0
3 years ago
Read 2 more answers
Tom's Textiles shipped the wrong material to a customer, who refused to accept the order. This is an example of a:-Sales revenue
Angelina_Jolie [31]

Answer:

Sales return

Explanation:

Sales return when a customer is not satisfied with a product, refuses to accept the order and expects to receive back the whole amount of money he paid for it.

Tom's Textiles are at wrong here as they shipped the wrong material to a customer. The customer is allowed not to accept the order and all the money he paid must be reimbursed to him. The company should apologize for the mistake in a pleasant manner, as mistakes happen everyday and can be corrected quickly and efficiently.  

3 0
3 years ago
A writer, an illustrator, a publisher and an agent would form a ______. a. functional team b. cross-functional team c. managemen
tresset_1 [31]

A Cross-functional team will be formed when a writer, an illustrator, a publisher and an agent work together.

<h3>What is a Cross-functional team?</h3>

This means the groups of people from various departments in an organization that work together to achieve a common goal.

Hence, when writer, an illustrator, a publisher and an agent work together, this is known as a Cross-functional team.

Therefore, the Option B is correct.

Read more about Cross functional team

<em>brainly.com/question/7628770</em>

6 0
2 years ago
New Age Computers manufactures and sells pagers and radio paging systems which include a 180 day warranty on product defects. It
alukav5142 [94]

Answer:

Given that,

sold a paging system = $4,500

Sold extended warranty = $1,400

The journal entry to record this transaction would include:

(i) cash account Dr. $4,500

       To Sales A/c                 $4,500

(To record the sales)

(ii) Cash A/c Dr. $1,400

       To Unearned revenue A/c $1,400

(To record the service revenue)

7 0
3 years ago
Other questions:
  • James is an agreeable and emotionally stable person. A _______ , he inspires his employees to believe in the changes he wants to
    9·1 answer
  • The payroll register of Charbroil Company indicates $1,200 of social security tax withheld and $300 of Medicare tax withheld on
    15·1 answer
  • The management of River Corporation is considering the purchase of a new machine costing $380,000. The company's desired rate of
    15·1 answer
  • A corporate bond has 22 years to maturity, a face value of $1,000, a coupon rate of 4.6% and pays interest semiannually. The ann
    13·1 answer
  • Elegance Inc. is a large cosmetics company that made an initial small investment in a start-up company, Peace Planet, which was
    13·1 answer
  • How much should be in the reserve for fixed expenses?
    15·1 answer
  • The demographics of their target market are extremely important for companies to know in order to determine how they'll advertis
    13·1 answer
  • abuat Corporation, which has only one product, has provided the following data concerning its most recent month of operations: S
    10·1 answer
  • If the total costs of producing 1,500 units of output is $15,000 and this output sold to consumers for a total of $16,500, then
    13·1 answer
  • jose owns a dog whose barking annoys jose's neighbor jane. suppose that the benefit of owning the dog is worth $100 to jose and
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!