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Rina8888 [55]
3 years ago
13

The following data has been provided for a company’s most recent year of operations: Return on investment 20% Average operating

assets $ 100,000 Minimum required rate of return 15% The residual income for the year was closest to:
Business
1 answer:
Snowcat [4.5K]3 years ago
3 0

Answer:

$5,000

Explanation:

The return on investment is 20%

= 20/100

=0.2

The average operating assets is $100,000

The minimum required rate of return is 15%

= 15/100

= 0.15

The first step is to calculate the net operating assets

= ROI× average operating assets

= 0.2×100,000

= $20,000

Therefore, the residual income can be calculated as follows

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

= $20,000-($100,000-0.15)

= $20,000-15,000

= $5,000

Hence the residual income for the year was closest to $5,000

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Kitty [74]
Ideally;
Inventory = Cost of raw materials + Cost of finished goods + Cost of work-in-progress

Assuming this ideal case, Harlan's inventory would be;

Inventory = $14,000+$25,000+$18,600 = $57,600

However, if work-in-progress inventory was listed as $0;

Then, the  new work-in-progress would be;
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3 years ago
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seropon [69]

Answer:

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Explanation:

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Retained earnings breakeven = $745,000 / 45%

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Retained earnings breakeven is $1,655,556.

7 0
3 years ago
Read 2 more answers
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ohaa [14]

Answer:

I believe it it the second option.

Explanation:

8 0
3 years ago
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Sonja [21]

Answer:

B, a license

Explanation:

A license is an official permit issued by a person or body in authority to do, own or use a thing. A license could be granted as a sign of agreement between parties  on a particular thing.

From the question, Elsa gave Gina license to use her farm land as a camp for one night. After one night, the license expires.

I hope this helps.

6 0
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On January 1, 2018, Cat Power Company reported stockholders' equity of $705,000. During the year, the company paid dividends of
Setler79 [48]

Answer:

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Explanation:

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7 0
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