1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
drek231 [11]
3 years ago
9

The Campus Division of All-States Bank has assets of $1,800 million. During the past year, the division had profits of $225 mill

ion. All-States Bank has a cost of capital of 4 percent. Ignore taxes.
Required:
(a) Compute the divisional ROI for the Campus Division. (Enter your answer as a percentage rounded to 1 decimal place (i.e., 32.1)
(b) Compute the divisional RI for the Campus Division. (Enter your answer in dollars, not in millions.)
Business
1 answer:
Nookie1986 [14]3 years ago
6 0

Answer: (a) 12.5%;

(b) $153 million

Explanation:

Given that,

Campus Division of All-States Bank,

Assets = $1,800 million

Division profits = $225 million

Cost of capital = 4 percent

(a) Divisional ROI = \frac{Profit}{Assets}

                             = \frac{225}{1,800}\times100

                             = 12.5%

(b) Divisional RI = Profits - Assets × cost of capital

                          =  $225 million - $1,800 million × 0.04(4%)

                          = $225 million - $72 million

                          = $153 million

You might be interested in
Business behavior determines the ethics of society.We can improve society's moral and ethical behavior by first making a commitm
valkas [14]

Answer: The correct answer is False.

Explanation:

Business behavior will not determine the ethics of society. Businesses can't be responsible to change the moral and ethical behaviors of a single person or an entire world. Only a person can change their own behavior. A society in whole can only be changed by each person acting upon their own free will.

If a business is not ethical, then they need to change the way they work and do business and lead by example.

7 0
3 years ago
A statistician prepared a bar chart showing, in descending order, the frequency of six underlying causes of general aviation acc
Zigmanuir [339]

The answer is: Pareto chart

Pareto chart is the combination of line and bar graphs. This type of chart is usually used to present data with frequency of nonoccurence and unite measurement at the same time.(frequency of accidents and number of factors that cause the accidents. )

Other than that, Pareto chart is also commonly used in quality control or searching the highest cause of defects.

5 0
3 years ago
Read 2 more answers
A firm's value added equals 10) A) its revenue minus its wages. B) its revenue minus all of its costs. C) its revenue minus its
Rufina [12.5K]

Answer:

D) its revenue minus its cost of intermediate goods.

Explanation:

The firm value added shows a difference between the revenue and the cost of intermediate goods

In mathematically,

Firm value added = Revenue - cost of intermediate goods

After deducting the cost of intermediate goods from the revenue we can get the firm value added

Hence, the option D is correct as it denotes the firm value added

8 0
3 years ago
The _______________ on Lay's potato chips informs customers that the chips received the "Best Taste Award" among leading classic
MA_775_DIABLO [31]

Answer:

seal

Explanation:

Based on the information provided within the question it can be said that this information is found of the seal of the Lay's potato chips bag. This is is a type of award symbol that demonstrates excellence in a certain area for the product in question. Which in this scenario refers to the "Best Taste Award" that was given to the company by the American Culinary Institute.

4 0
3 years ago
What Generation expected immigrants to assimilate and become "American" to the extent of expecting to alter their names upon arr
Anna [14]
Probably millennials
3 0
2 years ago
Other questions:
  • The predetermined overhead rate for manufacturing overhead for 2020 is $4.00 per direct labor hour. Employees are expected to ea
    7·1 answer
  • Claremont company specializes in selling refurbished copiers. during the month, the company sold 210 copiers for total sales of
    5·1 answer
  • Nipurna is a high school guidance counselor. Nipurna is well liked by the staff and students whom she supervises. She recognizes
    5·1 answer
  • Better Publications sold annual subscriptions to their magazine for $42,000 in December, 2016. The magazine is published monthly
    6·1 answer
  • Globalization has led toa. lower operational efficiency as firms must transport raw materials and finished goods farther. b. inc
    15·1 answer
  • HELP ME PLEASE
    13·2 answers
  • Testbank Multiple Choice Question 100 Bramble Corp. purchased machinery on January 2, 2015, for $880000. The straight-line metho
    8·1 answer
  • "Stock in Daenerys Industries has a beta of 0.73. The market risk premium is 10 percent, and T-bills are currently yielding 5 pe
    6·1 answer
  • Josie is the CRM manager for a toy company. Under what pathway in the Marketing, Sales, and Services career cluster would Josie'
    10·2 answers
  • The typical amount of capital needed to launch a startup, according to the Bureau of Labor Statistics, is
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!