Answer:
Financial metrics reveal characteristics of economic data sets that might not be apparent from a single view of the numbers. Financial metrics deals with the economic data and each metrics has a unique message about a body of economic data. Examples of financial metrics include: profitability, account receivable aging and days sales outstanding (which tells how many days, on average , it takes to receive payment from the invoice date)
Non-financial metrics can serve as leading indicators of future financial performance and can provide insight as to organisation's impact on stake holders and society. Non-financial metrics can be used to understand why certain financial results occurred, and what needs to be changed in order to improve. Examples of non-financial metrics include: company reputation, competitiveness, innovation and customer influence and value.
Answer:
O Placing increased attention on improving operating profits and operating profit margins in all four geographic regions -the resulting growth in operating profits company wide will increase the company's interest coverage ratio Using a portion on the company's internal cash flows and new issues of common stock to pay higher dividends to shareholders
.
Explanation:
The bank managers of different companies should try to consider the improvement of their operating profits as well as the profit margins in all their sectors. This will also boast the companies' cash flow. In addition, it will improve the outlooks of the companies to the public. This is very vital to ensure business continuity.
When a private company goes public, it begins selling equity in the company in the form of shares of stock, which are traded on the stock market. The first sale of equity through an investment banking firm is called an initial public offering, or IPO, according to Entrepreneur.
Answer: The amount of dividend paid during the month is $7,000.
Explanation: You need to prepare a simple movement schedule (an extract from the statement of changes in equity) to solve this question as follows:
Arcade Fire Enterprises
Stockholders' equity, begining of the month $35,000
Net income (addition) 9,000
Dividend paid (XXXX)
Stockholders' equity, end of the month 37,000
To get XXXX, you need to make it the subject of the formula:
$35,000 + $9,000 - XXXX = $37,000
$44,000 - XXXX = $37,000
XXXX = $44,000 - $37,000
XXXX = $7,000
Note that <u>dividends are always paid out of stockholders' equity.</u>
Answer:
The simple rate of return on the investment is closest to 7.41%.
Explanation:
This can be calculated as follows:
Equipment cost = $135,000
Annual profit = Annual sales revenue - Annual operating expenses - Annual depreciation on the equipment = $75,000 - $38,000 - $27,000 = $10,000
Therefore, we have:
Simple rate of return on the investment = Annual profit / Equipment cost = $10,000 / $135,000 = 0.0741, or 7.41%
Therefore, the simple rate of return on the investment is closest to 7.41%.
