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Viktor [21]
2 years ago
8

Assume J. K. Lumber increases its operating efficiency such that costs decrease while sales remain constant. As a result, given

all else constant, the__________.
A) equity multiplier will decrease.
B) return on assets will decrease.
C) profit margin will decline.
D) return on equity will increase.
E) total asset turnover will increase.
Business
2 answers:
Mars2501 [29]2 years ago
7 0

Answer:

D) return on equity will increase.

Explanation: Return on equity is a financial term that explains the net income of a business venture. There are several ways through which the return on equity can be improved or increased in business.

(1) Reduction in the cost of operations or production of goods and services

(2) increase in the price of the product etc.

If the cost of producing a given Quantity of goods is reduced with sales remaining constant,THE RETURN ON EQUITY WILL INCREASE AS A RESULT OF THE INCREASE IN NET INCOME DUE TO REDUCED COST OF OPERATIONS OR PRODUCTION OF GOODS.

m_a_m_a [10]2 years ago
4 0

Answer: D) return on equity will increase.

Explanation: Return on Equity (ROE) is a measure of management's ability to generate income from the equity available to it and can be said to be a return on asset.

Return on equity can be calculated by dividing net profits by the shareholders' average equity.

It can also be said to be a measure of the profitability of a business in relation to the equity, also known as net assets or assets minus liabilities.

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sleet_krkn [62]

Answer:

C) budget constraint

Explanation:

The budget constraint is a graph of all the combinations of goods and services a consumer can purchase given prices and income of the consumer.

The absolute slope of the budget constraint is the relative price of the two goods represented on the graph.

I hope my answer helps you

8 0
3 years ago
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Answer:

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4 0
2 years ago
Why do nations often impose trade barriers that make it difficult for their own citizens to trade with people in another country
melisa1 [442]

Answer:

The correct answer is d. Trade restrictions often provide benefits to highly visible special interest groups while imposing a less visible cost on the general populace.

Explanation:

A trade restriction is an artificial restriction to the exchange of goods and / or services between two countries. It is the byproduct of protectionism. However, the term is controversial because what a party can see as a trade restriction can be seen as a way to protect consumers from inferior, harmful or dangerous products. For example, Germany demanded that beer production adhere to its purity law. The law, originally implemented in Bavaria in 1516 and eventually converted into a law for the newly unified Germany in 1871, meant that many foreign beers could not be sold in Germany as "beer." This law was annulled in 1987 by the Court of Justice of the European Union, but remains voluntarily followed by many German breweries.

7 0
2 years ago
A. M&R Company provided $2,000 in services to customers that are expected to pay the company sometime in January following t
AleksAgata [21]

Answer and Explanation:

The Journal entries are shown below:-

a. Accounts receivable Dr, $2,000  

          To Service revenue $2,000

(Being service revenue is recorded)

b. Wages expenses Dr, $1,000  

          To Wages payable $1,000

(Being wage expenses is recorded)

c. Interest expenses Dr, $400  

    To Interest payable $400

(Being interest expenses is recorded)

d. Lawn service expenses $500  

    To Accounts payable $500

(Being lawn service expenses is recorded)

e. Interest receivable $200  

     To Interest revenue $200

(Being interest revenue is recorded)

f. Salaries expenses $900  

     Salaries payable $900

(Being salary expenses is recorded)

3 0
3 years ago
At a cocktail party, you can expect the average person to eat how many hors d'oeurves in two and a half
nydimaria [60]
That would be C, twenty
7 0
3 years ago
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