Answer: D. Correlation analysis
Explanation:
Since she estimated the future sales of these textbooks by measuring the interconnection between sales and announcement of courses that recommend them, she's using correlation analysis of sales forecast.
Correlation analysis is used to show the relationship that exist between two quantitative variables. We should note that in this case, the dependent variable is sales while the independent variables will be the factors that bring about the fluctuation in sales.
A high correlation simply implies that there's a strong relationship between the variables while a weak correlation implies that the variables are not related.
Answer:
best represents the return on capital is 12.5 %
Explanation:
given data
operating income = $1,000,000
total capital = $8,000,000
to find out
best represents the return
solution
we find return by given formula that is
return = 
.............1
put here value
return = 
return = 0.125
so best represents the return on capital is 12.5 %
Enron faced an ethical accounting scandal in 2001 after using “mark-to-market” accounting to fake their profits and misused special purpose entities, or SPEs. Enron worked to make their losses seem less than they actually were, and “cooked the books” to make their income look much higher than it was.
Answer:
Rivian
The equivalent annual annuity is:
$28,053,400.
Explanation:
a) Data and Calculations:
R1T assembly investment cost = $95,000,000
Net cash flows = $37,000,000 per year
Cost of capital = 10%
Period of investment and annuity = 5 years
Annuity factor = 3.791
Present value of annuity = (3.791 * $37,000,000)/5
= 140,267,000/5
= $28,053,400
b) The net cash flows of $37 million per year will produce an annuity value of $28,053,400. In comparison with the investment cost in the R1T assembly, the present value of the annuity is reasonable.
Answer:
The cost recovery deduction for 2019 is $26666
Explanation:
Additional first-year depreciation = 40000*0.5
= $20000
MACRS cost recovery = (40000 - 20000)*0.3333
= $6666
Total cost recovery deduction for 2017 = Additional first-year depreciation + MACRS cost recovery
= $20000 + $6666
= $26666
Therefore, The cost recovery deduction for 2019 is $26666
