1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Anit [1.1K]
3 years ago
6

J Corporation has gathered the following data on a proposed investment project (Ignore income taxes.): Investment required in eq

uipment $ 30,500 Annual cash inflows $ 6,200 Salvage value of equipment $ 0 Life of the investment 15 years Required rate of return 10 % The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment. The simple rate of return for the investment (rounded to the nearest tenth of a percent) is:
Business
1 answer:
IrinaVladis [17]3 years ago
6 0

Answer:

Simple accounting  rate of return= 27.32%

Explanation:

The accounting rate of return = Average annual operating income / Average investment

Annual depreciation = ( Cost - Salvage value)/No of years = (30,500 - 0 )/15

                                =       2033.33

Average Investment -= (Cost + scrap Value)/ 2

                                   = (30500 + 0)/2 =15,250

Average Annual income = 6,200 - 2033.33

                                         = 4166.67

Simple accounting rate of return =( 4,166.667/ 15,250 )× 100

                                                     = 27.32%

You might be interested in
Japan must give up the production of 75 computers to produce 25 additional cellular telephones. The opportunity cost of producin
LenKa [72]

Answer:

One

Explanation:

Opportunity cost is the cost of the next best option forgone when one alternative is chosen over other alternatives.

If Japan decides to produce computers, it forgoes the opportunity of producing phones

Opportunity cost of one computer = 25/75 = 1 /3

Opportunity cost of producing 3 computers 3 ×(1/3)= 1 phone

I hope my answer helps you

7 0
3 years ago
Marketing involves which of the following : A. Advertising B. Transporting products C. Taking surveys D. All of the above
IgorLugansk [536]
The following day I can send it off a couple advertising
4 0
3 years ago
Maas LLP developed software that helps farmers to plow their fields in a manner that prevents erosion and maximizes the effectiv
Dafna1 [17]

Answer:

The correct option is D. $ 20,000

Explanation:

$ 20,000 is the revenue that will recognize in the first year of the contract Because the company Mass LLP will have no more continuing involvement with the Company Sunny Dale.

All the license transfers a right of use to Sunny Dale, and all license revenue $20,000 will be recognized upon transfer of control of the software to the customer

4 0
3 years ago
In the 1960s, a popular ad stated that "blondes have more fun!" this is an example of ______.
ololo11 [35]
Salutations!

In the 1960s, a popular ad stated that "blondes have more fun!" this is an example of ______.

<span>In the 1960s, a popular ad stated that "blondes have more fun!" this is an example of positive correlation. Positive correlation means that two or more thing are probable to happen at once.

Hope I helped :D</span>
5 0
3 years ago
Novak Corporation is preparing its 2014 statement of cash flows, using the indirect method. Presented below is a list of items t
Aleks [24]

Answer: The answers are provided below

Explanation:

a) Purchase of land and building = P-I

This will be a cash payment in investing section

b) Decrease in accounts receivable = A

This will be added to the net income in the operating section

c) Issuance of stock = R-F

This will be a cash receipt in financing section

d) Depreciation expense = A

This will be added to the net income in the operating section

e) Sale of land at book value = R-I

This will be a cash receipt in investing section.

f) Sale of land at a gain = R-I and D

This will be a cash receipt in investing section and deducted from the net income in the operating section

g) Payment of dividends = P-F

This will be a cash payment in financing section

h) Increase in accounts receivable = D

This will be deducted from net income in the operating section

i) Purchase of available-for-sale investment = P-I

This will be a cash payment in investing section

j) Increase in accounts payable = A

This will be added to the net income in the operating section

k) Decrease in accounts payable = D

This will be deducted from net income in the operating section

l) Loan from bank by signing note = R-F

This will be a cash receipt in financing section

m) Purchase of equipment using a note = N

This will be a noncash investing and financing activity

n) Increase in inventory = D

This will be deducted from net income in the operating section

o) Issuance of bonds = R-F

This will be a cash receipt in financing section

p) Retirement of bonds payable = P-F

This will be a cash payment in financing section

q) Sale of equipment at a loss = R-I and A

This will be a cash receipt in investing section and will be added to the net income in the operating section

r) Purchase of treasury stock = P-F

This will be a cash payment in financing section

5 0
3 years ago
Other questions:
  • Vivian, as a vice-president of marketing, is far removed from the research and development department. However, she keeps a clos
    12·1 answer
  • What plan of action will you do to address your development area??
    7·1 answer
  • Which of the following statements is​ FALSE?
    7·1 answer
  • Which of the following items are liabilities of Siebers Jewelry Stores? Indicate by Yes/No.
    10·2 answers
  • Revenue is reported on the income statement in the period earned. The accounting concept supporting this reporting is
    14·1 answer
  • Brenda likes to download her music from a(n ____ site and then transfer it to her portable digital media player so that she can
    5·1 answer
  • Which of the following is the least important in the sales process?
    5·1 answer
  • A primary function of the promotional mix is to Multiple Choice explain how to use a product. persuade consumers to try a produc
    14·1 answer
  • The use of insurance credit scoring is more common with the sale of homeowner's insurance coverage than it is with automobile in
    14·1 answer
  • A rise in wages could be due to:
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!