The __________ rate tells you how much one unit of currency is worth when converted to another currency.

Sanyo Corporation manufactures a popular model of business calculators in a suburb of Seoul, South Korea. The production process

Elden [556K]

Question a)

The sum of the Total assets plus total fixed assets results in total assets.

Question b)

The division of Net sales over total assets results in Asset Turnover

Question c)

The subtraction of the cost of good sold from net sales is equal to the gross margin

Question d)

The subtraction of Operating expenses from gross margin results in the Net Operating profits, before the taxes.

Question e)

The subtraction of Taxes from Net Profit before tax results in Net profit after taxes

Question f)

The division of Net profit after tax over the Net saves gives you the Net profit margin percentage.

Question g)

The division of Net profit Margin percent over the asset turnover results in a return on assets.

5 0

3 years ago

Economic Ordering Quantity (EOQ). The Gentry Garden Center sells 100,000 bags of lawn fertilizer annually. The optimal safety st

GalinKa [24]

Answer:

1. Annual demand ( D) = 100,000 bags

Ordering cost per order (Co) = $15

Holding cost per item per annum (H) = 15% x $2 = $0.30

EOQ = √2DCo

H

EOQ = √2 x 100,000 x $15

0.30

EOQ = 3,162 units

2. Maximum inventory

= Safety stock + EOQ

= 1,500 + 3,162

= 4,662 units

3. Average inventory

= EOQ/2

= 3,162

2

= 1,581 units

4. Number of order

= Annual demand

EOQ

= 100,000

3,162

= 32 times

Explanation:

EOQ is the square root of 2 multiplied by annual demand and ordering cost per order divided by holding cost per item per annum.

Maximum inventory is the aggregate of safety stock and EOQ.

Average inventory is economic order quantity divided by 2

Number of order is the ratio of annual demand to economic order quantity.

3 0

3 years ago

Company X currently has a capital structure that consists of 40% equity, 20% preferred equity, and 40% of debt. The risk-free ra

Sindrei [870]

Answer:

14.58%

Explanation:

WACC = weight of equity x cost of equity + weight of debt x cost of debt x (1 - tax rate) + weight of preferred equity x dividend yield

According to the capital asset price model: Expected rate of return = risk free + beta x (market rate of return - risk free rate of return)

r= 3% + 1.1 x 8 = 11.8

equity = 0.4 x 11.8% = 4.72

d = 0.4 x 5 x (1 -0.21) = 1.58

p = 0.2 x 6 = 1.2

11.8 + 1.58 + 1.2 =

8 0

3 years ago

Dallas Company uses a job order costing system. The company's executives estimated that direct labor would be $3,360,000 (240,00

mixer [17]

Answer:

Option (C) is correct.

Explanation:

Given that,

Estimated overhead cost = $1,540,000

Estimated direct labors (in dollars) = $3,360,000

Estimated direct labor hours = 240,000

Actual overhead cost = $1,240,000

Predetermined overhead rate:

= Estimated overhead cost ÷ Estimated direct labor hours

= $1,540,000 ÷ 240,000

= $6.42 per direct labor hour

6 0

3 years ago

The Borio Company had an asset with an $8 book value and a $7 market value; it decided to distribute the asset as a property div

ankoles [38]

Answer:

The net income will decrease and also the total assets will also decrease

Explanation:

Here, we want to know the combined effect on net income and total assets of company that made a decision of distributing assets as a property dividend.

As the asset value is down the entry is asset (credit) and loss on asset (debit)

This will effect the net income as it will come down and total assets value also come down

7 0

3 years ago