Answer:
The answer is $7,900
Explanation:
Formula of Residual Income=Net Operating Income-(minimum required rate of return*average operating assets)
Residual income (RI)=$143,700-($970,000*14%)
RI=$7,900
Further we can alsocalculate
Return on investment (ROI)=$143,700/$970,000=14.81%
Answer:
The correct answer is letter "A": Screening mechanism.
Explanation:
The screening mechanism is the activity in which people identify good qualities in others by evaluating their actions and matching them with their own behavior so they can eventually qualify those other people as suitable for them or not.
In the example, <em>Sally must consider a good practice to give generous tips to waiters since only if Andy, her date, does such a thing, she will consider dating him again. What Sally conducted is an example of a screening mechanism.</em>
Answer:
The cash effects of transactions that create revenues and expenses are operating activities.
Explanation:
Operating activities are useful to stable the business and they are mostly based on cash transactions. Business need cash for their daily operational activities.
Answer
The calculation that helps to determine which producer has the absolute advantage is:
B. The amount produced divided by resources used
Explanation
Productivity is calculated by dividing the amount of output produced by the inputs used in its production process. The size of the output is divided by the resources used to produce the goods to determine the advantage/profit acquired in a business process.This will give the producers ultimate advantage as compared to number of time the bussiness will pay back.
