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kipiarov [429]
3 years ago
11

If net operating income is $34,000, average operating assets are $204,000, and the minimum required rate of return is 15%, what

is the residual income
Business
1 answer:
VladimirAG [237]3 years ago
3 0

Answer:

The residual income is $3,400.

Explanation:

Residual Income is calculated as Profit less Return on investment.

Net operating income                                            $34,000

Less Return on Investment ($204,000 × 15%)    ($30,600)

Residual income                                                       $3,400

Conclusion:

The residual income is $3,400.

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Answer:

The correct answer is:

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Explanation:

In this case, the company can take advantage of the fact that consumers who buy furniture for their homes are usually interested in the line of appliances. This is a very good strategy, because in this manner they will realize about the  need or desire at the same time this fact will have good consequences, so that they can make a single purchase and a single shipment, giving them the feeling of saving a lot leading them to Buy more in the store. Therefore, using this strategy the company will have more cash flow in this way.

4 0
3 years ago
You are thinking of building a new machine that will save you $ 2 comma 000 in the first year. The machine will then begin to we
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Answer:

Present Value= $18,181.82

Explanation:

Giving the following information:

Savings= $2,000

The machine will then begin to wear out so that the savings decline at a rate of 4 % per year forever.

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To determine the present value of the savings, we need to use the perpetual annuity formula with the decline rate.

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4 0
3 years ago
The sales volume variance is the difference between the: A. static budget (based on planned volume) and actual revenue or cost.
Luda [366]

Answer:

The correct answer is the option A: static budget (based on planned volume) and actual revenue or cost.

Explanation:

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3 years ago
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I think the answer is convergent plate boundaries, but I am not positive. hope this helps :)
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Answer:

B) She has to share all of the profits with the partner.

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8 0
3 years ago
Read 2 more answers
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