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Alenkinab [10]
3 years ago
9

Explain the term “Flag of Convenience" and how it might affect International Business.

Business
1 answer:
MAXImum [283]3 years ago
4 0

Answer:

<u><em>Flag of convenience</em></u>

A flag of a country under which a ship is registered in order to avoid financial charges or restrictive regulations in the owner's country.

It affects the international business as it creates advantages for the ships using this register as some the countries offering flag of convenience have poor regulations and poorer enforcement then activities like tax avoidance, criminal trade, and bad labour conditions make the participation in the international businesss easier for those ships

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3 0
3 years ago
Shown below are selected data from the financial statements of the Supreme Company. (Dollar amounts are in millions, except for
Yuki888 [10]

Answer:

a. Gross profit rate =   Gross profit / sales

                              = <u> $710,000 * 100</u>

                                       $1,230,000

                              =  57.72%

b. <u>Supreme Operating Income </u>

Gross Profit                           $710,000

Operating expenses             <u>(440,000)</u>

Operating Profit                    <u> 270,000</u>

<u />

c. Return on Asset  =   Return/  Average Asset

                                =   <u>$390,000 * 100 </u>

                                       $4,000,000

                             =   9.75%

d. Return on equity  =   Return / Average equity

                                 =   <u>$390,000 * 100 </u>

                                        $2,400,000

                               =      16.25%

e. Price-earnings ratio  =  Market price per share / earnings per share

                                       =   $88/ $4  

                                       =  22

Explanation:

Computation of Gross profit

                                                $'000

Net Sales                                1,230

Cost of goods sold                 <u>(520)</u>

Gross Profit                              710  

3 0
3 years ago
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Evgen [1.6K]

Answer:

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Explanation:

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2 years ago
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jasenka [17]

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Explanation:

Hope it helps:)

8 0
3 years ago
Read 2 more answers
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