Answer:
True
Explanation:
Total debt to total capital ratio, also known as D/C ratio is a ratio that measures a company's capital structure, financial solvency, and degree of leverage, at a particular point in time.
While the Times Interest Earned (TIE) is a ratio which measures the ability of an organization to pay its debt obligations.
So A company with high debt-to-capital ratios, compared to a general or industry average, may show weak financial strength and hence would have a lower ability to pay its debt obligations one which the TIE ratio measures.
Answer: $100
Explanation:
Opportunity cost is the benefit that we forgo when another option is chosen thereby leaving out something else. Based on the information given, Ed's opportunity cost of going to the ball will be calculated as the addition of the income that's lost when he takes some time off from his work and the expenses that he incurs on the base ball game. This will be:
= ( 4 × $15) + $25 + $15
= $60 + $40
= $100
The opportunity cost is $100.
Answer:
The answer is: C) The person living in Anchorage has $50.80/CPI more than the person in Minneapolis.
Explanation:
The Consumer Price Index (CPI) weighs the average prices of a basket of consumer goods and services. So the higher the CPI, the more expensive it is to purchase goods or services in that place.
The purchasing power of someone living in Minneapolis and earning $42,500 is $245.66/CPI; for someone living in Anchorage and earning $67,000 is $296.46/CPI. The difference between them is $296.46/CPI minus $245.66/CPI equals $50.80/CPI.
The person living in Anchorage has $50.80/CPI more than the person in Minneapolis.
Answer:
The amount FVI should record is $ 617,200
Explanation:
The amount FVI should record as the cost of the land includes the initial purchase price ,broker's commission,title insurance ,miscellaneous closing costs as well as the cost of dismantling the old warehouse since all of these costs were incurred to bring the asset acquired to its present condition and location.
land purchase price $540,000
broker's commission $34,000
title insurance $2,400
miscellaneous closing costs $6,800
Cost of demolition $34,000
total costs $617,200
