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rusak2 [61]
4 years ago
15

When forecasting fixed asset​ requirements, the projected fixed asset balance will

Business
1 answer:
iren2701 [21]4 years ago
4 0

Answer:

C. not increase proportionally with sales if the existing level of fixed assets is sufficient to support current sales.

Explanation:

The total assets comprises of current assets, fixed assets and the intangible assets .

The current assets includes cash, stock, account receivable, etc

Fixed assets include plant & machinery, land, equipment, furniture & fittings, etc.

And, the intangible assets include patents, copyrights, goodwill, etc.  

If the existing level of the fixed asset is enough to support the current assets so the projected fixed assets balance would not be increased proportionally with the increase in sales

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Cost of goods sold is characterized by the following statements
melamori03 [73]

Answer:

The interpretation of the particular context is provided in the subsection below on clarification.

Explanation:

  • The cost of the products sold has become a reporting liability on either the cash flow statement.
  • The cost of the goods offered for sale includes the cost of materials expenditures and the time to prepare such a component for selling price.
  • The cost of the goods generated is measured using gross profit. Prices of the products sold are also known as selling costs.
4 0
3 years ago
The Consumer Division lost $28,000 and the Industrial Division had operating income of $58,000. Management has analyzed the situ
Juli2301 [7.4K]

Answer: c. $22,000 increase in operating income

Explanation:

Expected decrease in revenues                                       -$280,000

Expected decrease in total variable costs                        (-$200,000)

Expected decrease in fixed costs                                  <u>    (-$102,000)</u>

Expected increase(decrease) in operating income            $22,000

<em>Costs are to be deducted from revenues so if the costs are decreasing, the mathematical treatment would be to add the decrease to the revenues which is how the above was calculated. </em>

5 0
3 years ago
Bello, Inc., has a total debt ratio of .31.
lutik1710 [3]

Answer:

a. Debt Equity ratio is calculated by dividing long term Debt by total equity of the company.

b.Equity Multiplier or P/E ratio=Market value per share/Earning per share.

Explanation:

a. Debt Equity ratio is calculated by dividing long term Debt by total equity of the company. The Debt Equity ratio can be calculated using the Market value of debt or equity. It can also be calculated using the book values of debt or equity which are included in the balance sheet of the company.

b. Equity multiplier is also known as price /earning ratio. A price/earnings ratio or P/E ratio is the ratio of the market value of a share to the  annual earnings per share. For every company whose shares are traded on a  stock market, there is a P/E ratio. For private companies (companies whose shares are not traded on a stock market) a suitable P/E ratio can be selected and  used to derive a valuation for the shares.

Equity Multiplier or P/E ratio=Market value per share/Earning per share.

4 0
3 years ago
Changes in the net working capital requirements: can affect the cash flows of a project every year of the project's life. only a
DIA [1.3K]

Answer:

can affect the cash flows of a project every year of the project's life.

Explanation:

Project management can be defined as the process of designing, planning, developing, leading and execution of a project plan or activities using a set of skills, tools, knowledge, techniques and experience to achieve the set goals and objectives of creating a unique product or service.

Cash flow can be defined as the net amount of cash and cash- equivalents that is flowing into (received) and out (given) of a business. There are three components of the cash flow;

1. Operating cash flow: all cash generated from the business activities of an organization.

2. Financing cash flow: all payments made by an organization and profits from issuance of debts and equity.

3. Investing cash flow: costs associated with purchasing of capital assets and investments of cash resources in other businesses.

Generally, changes in the net working capital requirements can affect the cash flows of a project every year of the project's life.

Mathematically, Net cash flow = Receipts - Total payments

7 0
3 years ago
What causes changes from one phase of the business cycle to another?
mixas84 [53]
If you look it up your question on google your answer will come up and click on the very top link.
7 0
4 years ago
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