Which of the following statements concerning product costs versus general, selling, and administrative costs is false?

Bram buys a bulldozer from construction equipment corporation, which he leases to earth movers, inc. in this situation, the less

Nina [5.8K]

Bram buys a bulldozer from construction equipment corporation, which he leases to earth movers, inc. in this situation, the lessee is Earth Movers, Inc. A lessee is the person who rents land or property from a lessor. A lessor on the other hand is A lessor is the party who rents property to another party. Bram is the lessor in this situation.

5 0

3 years ago

Tim's Tools just issued a dividend of $2.22 per share on its common stock. The company is expected to maintain a constant 2.8 pe

LekaFEV [45]

Answer:

expected return = 12.03%

Explanation:

using the dividends growth model we can calculate the required return

$\frac{divends}{return-growth} = Intrinsic \: Value$

2.22 x 1.03 = 2.2866

We must remember that the gordel model is used with next year dividends

2.2866(return - 0.023) = 19

2.2866/19 +0.023 = return

return = 12.03%

4 0

3 years ago

What factors are not important in determining exchange rate fluctuations in the long run?

Ratling [72]

speculating in currency markets

8 0

3 years ago

Matt Simpson owns and operates Quality Craft Rentals, which offers canoe rentals and shuttle service on the Nantahala River. Cus

Vlad1618 [11]

The price that Quality Craft Rentals should charge per rental is $35.57.

Data and Calculations:

Fixed Costs Variable Costs Total Annual Costs

Canoe maintenance $ 3,100 $61,200 ($9 x 6,800) $64,300

Licenses and permits 3,800 0 3,800

Vehicle leases 6,200 0 6,200

Station lease 7,720 0 7,720

Advertising 6,800 $47,600 ($7 x 6,800) 54,400

Operating costs 21,800 $47,600 ($7 x 6,800) 69,400

Annual depreciation ($27,000/10) 2,700

Total annual costs $208,520

Before-tax return on assets 33,363

Total costs + returns $241,883

Total rentals per year 6,800

Price to charge per rental ($241,883/6,800) $35.57

Thus, the price per rental of $35.57 would ensure that Quality Craft Rentals makes an annual 16% before-tax return on assets using life-cycle costs.

Learn more: brainly.com/question/13959507

7 0

2 years ago

Damon Co. purchased 100% of the outstanding common stock of Smith Co. in an acquisition by issuing 20,000 shares of its $1 par c

Tamiku [17]

Answer: the correct answer is $70000

Explanation: the fair value of the shares given plus the fair value of the contingent consideration is the total amount paid by the buyer which is (20000 shares * $10 price per share) = $200000+$10000= $210000.

The gain of the transaction is registered as the net fair value of the acquiree that is $350000-$70000= $280000 less the sum paid by the Acquirer that is $280000-$210000= $70000.

The $15000 in direct acquisition costs are registered as period expenses and not relevant for the calculation of the gain of the transaction.

8 0

3 years ago