currency? or money. It seems quite vague. Each country calls its currency in various ways.
Answer:
Explanation:
Net Income = 20m
Sales = 100m
Debt-equity ration = 40%
Asset turnover = 0.60
A)
Profit Margin = Net Income / Sales = $20 million / $100 million = 20%
Equity Multiplier = 1 + Debt-Equity Ratio = 1 + 0.40 = 1.40
Return on Equity = Profit Margin * Asset Turnover * Equity Multiplier = 20% * 0.60 * 1.40 = 16.80%
B)
Debt-equity ratio = 60%
Equity Multiplier = 1 + Debt-Equity Ratio = 1 + 0.60 = 1.60
Return on Equity = Profit Margin * Asset Turnover * Equity Multiplier = 20% * 0.60 * 1.60 = 19.20%
As calculations provide, if debt-equity ratio increases to 60%, Return on equity will increase by 2.40% (19.20% - 16.80%)
Answer:
$15,000
Explanation:
Gross domestic product is the sum of all final goods and services produced in an economy within a given period which is usually a year.
When calculating GDP, only items produced in the current year are added. The house had been sold in 2007. Adding the sale to the GDP in 2011 would lead to double counting.
It's only the amount paid to the agent that would be added to GDP.
I hope my answer helps you
<span>Because interest income is usually the largest component of a bank's income, specifically for a commercial bank. (Investment banks earn more from fees and trading.)</span>
Answer:
The total budgeted manufacturing overhead for November is $125,000
Explanation:
The total budgeted manufacturing overhead for November comprises of the budgeted variable manufacturing overhead of $5 per direct labor(where total labor hours are 8,500) plus the budgeted fixed manufacturing overhead of $90,000 for the month.
Budgeted variable manufacturing overhead($5*8500) $35,000
Budgeted fixed manufacturing overhead $90,000
Total budgeted manufacturing overhead for November $125,000
The overhead projected to be incurred in November is $125,000
