Answer:
The company's price–earnings ratio is 36.
Explanation:
Price earning ratio is the ratio of market value of share to earning per share. It shows that how much investors are willing to pay for each dollar of earning of the company.
Profit margin = Net income / sales
0.04 = Net Income / $7800
Net Income = $7800 x 0.04 = $312
Earning Per share = Net Income / number of outstanding shares
Earning Per share = $312 / 6,100 = $0.05
Price earning ratio = Market price of share / Earning per share
Price earning ratio = $1.8 / $0.05 = 36
Answer:
customer orientation
Explanation:
customer orientation can be regarded as business approach where the company helps the customer to achieve their aim and goals.
Answer:
Explanation:
The journal entry will be:
Debit: Bad debt expense $2500
Credit: Allowance for doubtful $2500
Then, we will calculate the net amount of account receivable that should be included in current assets which will be:
Account receivable = $128000
Less: Allowance for doubtful = $500 + $2500 = $3000
Net amount of account receivable = $125000
Answer:
Deferred tax is increased by $130 million
Explanation:
We have given income = $400 million
Company is subject to a tax rate of 40 %
So tax rate = 40 %
So current Tax = $400×40%= $160 Million
Decrease in deferred tax assets of 50 million result in increase in tax expense
Hence total Tax Expense= $160+$50= $210 Million
But it is given that expense is only $80 million
So change in deferred tax is increases by = $210 - $80 = $130
So deferred tax is increases by $130 million
Answer:
$40,360
Explanation:
Data provided
Inventory price = $38,100
Transportation cost = $1,500
Shipment insurance = $210
Cleaning and refurbishing = $550
According to the situation the computation of total cost of inventory is shown below:-
Total cost of inventory = Inventory price + Transportation cost + Shipment insurance + Cleaning and refurbishing
= $38,100 + $1,500 + $210 + $550
= $40,360
Therefore for computing the total cost of inventory we simply applied the above formula.
