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Goryan [66]
3 years ago
9

In periods of rising prices when lifo is used, companies avoid reporting a ________ because a portion of the gross profit must b

e reinvested to purchase more expensive inventory items.
Business
1 answer:
Marysya12 [62]3 years ago
8 0
By the use of Lifo in a period where the prices rise, companies avoid to report paper profit, also called phantom profit, as economic gain. Have in mind that in periods of changing prices, the cost flow assumption can have a significant impact onincome and on evaluations based on income. That is why when Lifo is used the companies tend to <span>report the lowest net income </span>
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When calculating the net operating income of a property, it is important to identify any expenses that will be incurred in attem
Fantom [35]

Answer:

The correct answer is letter "C": Mortgage payments.

Explanation:

Net Operating Income or NOI reflects income after operating expenses deducted but before income taxes and interest are deducted. If the result is a positive value it is called <em>Net Operating Income</em>. If the figure is negative, it is referred to as <em>Net Operating Loss</em>.

Net operating income is often used to calculate real estate income, such as residential properties or commercial properties. <em>NOI is calculated by determining the Gross Operating Income (Gross potential income minus vacancy and credit loss) and subtracting the operating expenses (maintenance, fees, and insurance). </em>

<em> </em>

Thus, <em>mortgage payments are not considered in the calculation of the NOI.</em>

6 0
2 years ago
A firm always has a competitive disadvantage when its return on invested capital is:_________
Brilliant_brown [7]

Answer:

A firm always has a competitive disadvantage when its return on invested capital is:_________

D. below the industry average.

Explanation:

A firm's competitive disadvantage shows when the return on investment is below the industry average.  For instance, let us assume that Niposte, Inc. operates in the paper milling industry and that its return on investment of 10% falls below the industry average of 15%, then one can conclude that Niposte, Inc. is not favored in this industry.   The cause of such a situation for Niposte, Inc. may be that the ability of its management to turn revenue into profits for stockholders is hampered with excessive costs.  This is because the return on investment is a profitability ratio that shows how Niposte, Inc. and its competitors are performing in terms of generating profit from revenue through efficient management of operating costs.

4 0
3 years ago
n the United States, many agricultural products (such as corn, wheat, and rice) are subsidized. What are the benefits of subsidi
schepotkina [342]

Answer:

lower prices for consumers and higher prices for producers 

Explanation:

the options to this question wasn't provided . Here are the options:

higher prices for consumers and producers lower prices for consumers and producers higher prices for consumers and lower prices for producers

lower prices for consumers and higher prices for producers 

A subsidy is when the government pays an individual or a firm directly or indirectly. It could be in the form of direct cash payment, tax breaks or grants. Subsidies are usually given to encourage the production of goods and services.

Subsidy on agricultural goods reduces the price paid for agricultural goods and increases supply of goods. It would increase the price earned by producers.

I hope my answer helps you

7 0
3 years ago
The federal funds rate is the interest rate that banks charge each other.<br><br>T or f
sleet_krkn [62]

Answer: F

Explanation: The fed funds rate is the interest rate that depository institutions—banks, savings and loans, and credit unions—charge each other for overnight loans. The discount rate is the interest rate that Federal Reserve Banks charge when they make collateralized loans—usually overnight—to depository institutions.

5 0
3 years ago
Gunnar, the Director of Operations at Fantastic Foods, has worked with other managers over the years to set up groups and teams
qaws [65]

If Gunnar, the Director of Operations at Fantastic Foods.  One of the recent groups, which is also a team, is the dean search committee.

<h3>What is team?</h3>

Team are member of a group that come together in unity to resolve issue  and to achieve their set goals and objectives.

The recent group will be the dean search committee which aim is to interact or  communicate  frequently by making use of different communication  means over a period of several months.

Therefore  One of the recent groups, which is also a team, is the dean search committee.

Learn more about team here: brainly.com/question/11352260

#SPJ1

6 0
1 year ago
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