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4 years ago

Fill in the blank.

Business

1 answer:

Schach [20]4 years ago

3 0

Answer:

Explanation:

Larry manages a grocery store in a country experiencing a high rate of inflation. He is paid in cash. On payday, he immediately goes out and buys as many goods as he can for himself for the next two weeks in order to prevent the money in his wallet from losing value. What he can't spend, he converts into a more stable foreign currency for a steep fee. This is an example of the of shoe-leather costs inflation as shoe-leather costs refer to the time and effort people take to minimize the effect of inflation on the eroding purchasing power of money. As larry made a decision for stocking goods for use for 2 weeks, it prevents him to fight against inflation as there is so much costs involved to earn such money and then fight against inflation

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Recall statement, nnnnnnnnnnnnnnnnnn

NARA [144]

Answer:

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3 years ago

__________ is any proprietary software licensed under exclusive legal right of the copyright holder.

FromTheMoon [43]

Answer:

Closed Source

Explanation:

Closed source is any proprietary software licensed under exclusive legal right of the copyright holder.

4 0

3 years ago

ROI, Residual Income, and EVA with Different Bases Envision Company has a target return on capital of 12 percent. The following

lara [203]

Answer:

a. ROI = income / Assets

Book Value Current Value

Software Division 0.175 0.13

Consulting Division 0.164 0.182

Venture Capital Division 0.093 0.088

Workings:

i. Book value

Software Division = 12,250/70,000=0.175

Consulting Division = 16,400/100,000=0.164

Venture Capital Division = 56,730/610,000 =0.093

ii. Current value

Software Division = 11,700/90,000=0.13

Consulting Division = 20,020/110,000=0.182

Venture Capital Division= 51,920/ 590,000=0.088

b. Residual income = Income - {Asset x Return on capital 12% }

Book Value Current Value

Software Division 3850 900

Consulting Division 4400 6820

Venture Capital Division -16470 -18880

Workings:

i. Book value

Software Division = 12,250-(70,000*12%)=3850

Consulting Division = 16,400-(100,000*12%)=4400

Venture Capital Division = 56,730-(610,000*12%) =-16470

ii. Current value

Software Division = 11,700-(90,000*12%)=900

Consulting Division = 20,020-(110,000*12%)=6820

Venture Capital Division= 51,920-(590,000*12%)=-18880

c. Economic Value Added ( EVA ) = Net Income After Tax - ( Amount of Capital x Weighted Average Cost of Capital [WACC] )

C. Software Division

(Value Base)

Book Current

Sales 100,000 100,000

Income 12,250 11,700

Assets 70,000 90,000

Liabilities 10,000 10,000

Capital invested 60,000 80,000

(Asset - Liabilities)

Tax on Income(30%) 3675 3510

Income after Tax 8,575 8,190

(Income - Tax on

income) (A)

Capital invested 6,000 8,000

* WACC - 10% ) (B)

EVA (C)=(A)-(B) 2,575 190

Consulting Division

(Value Base)

Book Current

Sales 200,000 200,000

Income 16,400 20,020

Assets 100,000 110,000

Liabilities 14,000 14,000

Capital invested 86,000 96,000

(Asset - Liabilities)

Tax on Income(30%) 4920 6006

Income after Tax 11,480 14,014

(Income - Tax on

income) (A)

Capital invested 8,600 9,600

* WACC - 10% ) (B)

EVA (C)=(A)-(B) 2,880 4,414

Venture Capital Division

(Value Base)

Book Current

Sales 800,000 800,000

Income 56,730 51,920

Assets 610,000 590,000

Liabilities 40,000 40,000

Capital invested 570,000 550,000

(Asset - Liabilities)

Tax on Income(30%) 17019 15576

Income after Tax 39,711 36,344

(Income - Tax on

income) (A)

Capital invested 57,000 55,000

* WACC - 10% ) (B)

EVA (C)=(A)-(B) -17,289 -18,656

8 0

3 years ago

Schuepfer Inc. bases its selling and administrative expense budget on budgeted unit sales. The sales budget shows 1,300 units ar

telo118 [61]

Answer:

Total expending 21,320

Explanation:

Assuming the administrative expense are also paid on cash during the period

1,300 units x $4.20 = 5,460 Variable expending

19,240 fixed cost - 3,380 depreciation (non-monetary) = 15,860 Fixed expending

Total expending 5,460 + 15,860 = 21,320

Remember:

Depreciation and amortization are non-monetary term, they don't involve a cash disbursement.

3 0

4 years ago

What is the most common factor in the code of ethics for many professional organizations?

serg [7]

Answer:

The correct answer is: information, training, and credentials are based on evidence-based practice.

Explanation:

Business ethics, in addition to having a responsibility for the common good, is a commitment to permanent respect for all its associates: its staff, its customers, its investors, its suppliers, its creditors and the State as representative of the society.

Thus, ethics should contribute to strengthening the credibility and reliability of the entire society in the company, managing to satisfy the wishes and attending to the rights of all its stakeholders.

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3 years ago