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Setler [38]
3 years ago
9

The Box Manufacturing Division of the Allied Paper Company reported the following results from the past year. Shareholders requi

re a return of​ 9%. Management calculated a weightedminusaverage cost of capital​ (WACC) of​ 7%. Allied's corporate tax rate is​ 30.
Sales $700,000
Operating income $175,000
Total Assets $1,500000
Current liabilities $600,000
What is the division's Return on Investment (ROI)?
A) 25.00%.
B) 11.67%.
C) 40.00%.
D) 46.67%.
Business
1 answer:
Galina-37 [17]3 years ago
3 0

Answer:

Return n investment = 11.67%

Explanation:

Return on Investment is the proportion investment that is earned as operating income.

For the division, the return on investment would be the proportion of te investment in assets that is earned as  net income.

This would be determined as follows;

Return n investment = (Net income÷ Operating assets) × 100

Return n investment = (175,000   ÷ 1,500,000) × 100= 11.67%

Return n investment = 11.67%

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Shay is preparing to go into her meeting with her supervisor, Jill, to discuss her annual evaluation. She knows that there have
Rzqust [24]

Shay is preparing to go into her meeting with her supervisor, Jill, to discuss her annual evaluation. She knows that there have been a few times this year where she could have performed better and she does not want to get angry in the meeting. Last night and on the ride in this morning, she rehearsed what she anticipated Jill would tell her and what her response would be. Shay was trying to  resist being defensive - True

<h3><u>Explanation:</u></h3>

The word Resist refers to the act of  withstanding  the action or effect of something. An act that is done with an  intention to protect oneself or defend from the challenge or avoiding criticism is defensive. When we do something wrong or when we are in a situation to avoid criticism by others who may be our co workers we tend to defend our self.

When we are having confidence in  the things that we do then we will try top resist what others says by explaining them the actual thing. In the given scenario, Shay is preparing how to answer the questions that Jill shoots in the meeting because he has the confidence in the work she performed. Thus, Shay is trying to resist Jill than being defensive.

4 0
4 years ago
Able Company enters into a contract with a customer to provide them with an accounts receivable program. Able will also provide
ICE Princess25 [194]

Answer:

One

Explanation:

Installation of the program is the single performance obligation because there nothing more than this obligation the Able company is providing them. If they were providing this facility to the customer's subsidiary as well then the performance obligation would be 2 because the two companies were here to given product access by installation. So in the given scenario there is only one performance obligation.

6 0
4 years ago
Suppose a relative has promised to give you $1,000 as a wedding gift the day you get engaged. Assuming a constant interest rate
Vlada [557]

Answer:

Date Received       Present Value      Value in 1 Year    Value In 2 Years

today                       $1,000                  $1,050                 $1,102.50          

in 1 year                   $952.38               $1,000                 $1,050

in 2 years                $907.03               $952.38               $1,000      

The present value of the gift is <u>LOWER (BY $45.35)</u> if you get engaged in two years than it is if you get engaged in one year.

Explanation:

to determine future value:

future value = present value x (1 + interest rate)ⁿ

to determine present value:

present value = future value / (1 + interest rate)ⁿ

7 0
3 years ago
For each of the following situations, decide whether the unemployment that occurs is a result of cyclical, frictional, or struct
UkoKoshka [18]

Answer:

frictional

structural changes.

Cyclical

frictional

Explanation:

Structural unemployment is an unemployment that occurs as a result of changes in the economy. These changes can be as a result of changes in technology, polices or competition . Structural unemployment tends to be permanent.  

Frictional unemployment is the period of time a person is unemployed from the time he leaves his current job and the time he gets another job.  

Cyclical unemployment occurs as a result of fluctuations in the economy. In a downturn unemployment is high and in a boom, unemployment is low.

7 0
3 years ago
Surreal Corp. has borrowed to invest in a project. The loan calls for a payment of $17,500 every month for three years. The lend
Marianna [84]

Answer:

The rate at which to discount the payments to find sum borrowed is 12.68%

Explanation:

The discount rate to be used in computing the sum borrowed can e derived from the effective annual rate formula below:

Effective annual rate = (1 + Quoted interest rate/m)^m - 1

quoted interest rate is 8.40

m is the number of months in a year when compounding is done which is 12

effective annual rate=(1+8.40%/12)^12-1

effective annual rate=(1+0.01)^12-1

effective annual rate=(1.01)^12-1

effective annual rate=1.12682503 -1

effective annual rate=0.12682503=12.68%

7 0
4 years ago
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