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fenix001 [56]
3 years ago
9

Target ROI is 19% Invested Capital is $569,512 Full Cost per unit $1,124 Expected sales volume is 959 units. If the company pric

es each unit to earn the target ROI, what amount of profit would be added to the cost of each unit?
Business
1 answer:
larisa [96]3 years ago
4 0

Answer:

The amount of profit to be added to the cost of each unit = $112.83

Explanation:

<em>Profit is the difference between the selling price per unit and full cost per unit. To determine the the amount of profit to be added , we will divide the total return on invested capital by the number of units to be produced and sold. This is given below as follows:</em>

Target return = ROI (%) × Invested capital

                     = 19% × 569,512 = 108,207.28

Profit per unit = Total return/Number of units

                   = $108,207.28 /959 units

                   = $112.83 per unit

Selling price per unit = Full cost per unit + profit per unit

                                = 1,124 + 112.83 = 1,237.66  (this is not required anyway)

The amount of profit to be added to the cost of each unit = $112.83

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Some companies use ____ as internal tools for teams working on a project requiring lots of documentation.
dybincka [34]

Some companies use <u>wikis</u> as internal tools for teams working on a project requiring lots of documentation.

<h3>What is a wiki?</h3>

A wiki is a hypertext publication collaboratively edited and managed by its own audience directly. A typical wiki contains multiple pages for the subjects or scope of the project and could be either open to the public or limited to use within an organization for maintaining its internal knowledge base.

Therefore, the correct answer is as given above.

learn more about wiki: brainly.com/question/25153373

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4 0
2 years ago
On May 10, 2020, Splish Co. enters into a contract to deliver a product to Greig Inc. on June 15, 2020. Greig agrees to pay the
Amiraneli [1.4K]

Answer:

May 15, 2020

No Entry

June 15, 2020

Debit: Account Receivable 2,060

Credit Revenue 2,060

Debit COGS 1,380

Credit Inventory 1,380

July 15, 2020

Debit Cash 2,060

Credit Account Receivable 2,060

Explanation:

Preparation of the journal entries for Splish related to this contract.

May 15, 2020

No Entry

June 15, 2020

Debit: Account Receivable 2,060

Credit Revenue 2,060

Debit COGS 1,380

Credit Inventory 1,380

July 15, 2020

Debit Cash 2,060

Credit Account Receivable 2,060

4 0
3 years ago
A local bagel shop produces two products: bagels (B) and croissants (C). Each bagel requires 6 ounces of flour, 1 gram of yeast,
irakobra [83]

Answer:

Consider the following calculations

Explanation:

Let X be Bagels and Y be croissants

Profit:

20X+30Y

Subject:

6X+3Y<=6600

1X+1Y<=1400

2X+4Y<=4800

Critical points are

(0,1400) , (800,600) , (1100,0)

So

Max at 0,1400 and P =4200

5 0
4 years ago
Mint Co.'s cash balance in its balance sheet is $1,300,000, of which $300,000 is identified as a compensating balance. Additiona
Natasha2012 [34]

Answer:

Correct option is B Yes and Yes

Yes - Compensating shall be reported, And Restricted shall also be reported.

Explanation:

Compensating balance is the minimum balance to be maintained in the company's bank account as this is used by bank for offsetting loan, and used by company to set up the loan amount.

Restricted balance is a choice made by the company to not use the funds and use it later for company's growth or future projected, but still since it cannot be used it shall also be reported accordingly.

Therefore the company has the need to report such restricted balance also and compensating balance has to be reported as well.

Therefore correct option is B

Yes - Compensating shall be reported, And Restricted shall also be reported.

7 0
4 years ago
Vasudevan Inc. recently reported operating income of $2.90 million, depreciation of $1.20 million, and had a tax rate of 40%. Th
babymother [125]

Answer:

2.34 million

Explanation:

Vasudevan incorporation reported an operating income of $2.90 million

The depreciation is $1.20 million

The tax rate is 40%

= 40/100

= 0.4

The firm's expenditure on fixed assets and net operating working capital is $0.6 million

Therefore, the free cash flow can be calculated as follows

Free cash flow= operating profit-tax+depreciation-expenditure

= 2.90-(2.90×0.4)+1.20-0.6

= 2.90-1.16+1.20-0.6

= 2.34

Hence the free cash flow is 2.34 million

4 0
3 years ago
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