Answer:
5.6%
Explanation:
Internal growth rate can be calculated as below:
Internal growth rate = (Return on asset x Retention Rate)/[1 - (Return on asset x Retention Rate)]
Retention rate = 1 - Payout ratio = 1 - 30% = 70%
Return on asset = Net income/Asset = 82,490/1,089,500 = 7.6%
Putting all the number together, we have:
Sustainable growth rate = (7.6% x 70%)/[1 - (7.6% x 70%)] = 5.6%
Answer:
How is providing customer information to a law firm different than providing email addresses and symptoms to a pharmaceutical company?
Both are live saving professions, every detailed of their clients must be well documented in order to get the best services as far as life is concerned. A law firm must be sure of every details submitted in order to tackle anything that might affect such clients in court of law while a client must provide a detailed information as regards his/her health in order to get the right prescription for health service
Explanation:
Answer:
Beginning RE 708,900
prior period adjustment <u> 89,470 </u>
adjusted beginning RE 798,370
net income 1,663,000
cash dividends <u> (77,800) </u>
ending RE 2,383,570
Explanation:
The amend of the mistake is done to adjust the beginning retained earnings as it didn't occur in the current accounting cycle.
We have to added as it was posted as an expense something it wasnt Thus, our expense were overstated making a lower net income
then, we proceed normally by adding the net income and decreasing the cash dividends paid to arrive to ending RE
False answering customer feedback can make the business seem more honest and appealing to consumers.
Answer:
Explanation:
1. Prepaid Expenses: In this transaction, the collection is made in advance so it will be come under prepaid expenses
2. Prepaid Expenses: In this transaction, the office supplies are used in the next period, so it will be treated as prepaid expenses
3. Accrued revenues: The subscription revenue is already earned, so it will be treated as a accrued revenues
4. Accrued revenues: The rent is earned but not collected, so it will be treated as a accrued revenues
5. Accrued Expenses: As the expenses are incurred but not yet paid or recorded so, it will be treated as outstanding expenses
6. Accrued Revenues: As the revenue is earned but not yet collected or recorded so, it will be treated as an accrued revenues
7. Accrued Expenses: As the interest expenses are incurred but not yet paid or recorded so, it will be treated as outstanding expenses
