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Misha Larkins [42]
3 years ago
12

Elliot is preparing a training program for his company's subsidiary in Paris, France. He speaks French fairly well, but does not

understand the nuances of French culture.
What should he do?
OA. Take a French class before he presents his training session.
OB. Establish a partnership with a local person to help him navigate local customs and communication preferences.
OC. Present the training session in English, expecting trainees to know the language.
OD. Prepare the training session using an online translation program.
Business
1 answer:
morpeh [17]3 years ago
5 0

Answer:

B. Establish a partnership with a local person to help him navigate local customs and communication preferences.

Explanation:

Elliot should establish a partnership with a local person to make him understand local customs and communication preferences. Enrolling in a french class is costly and time-consuming. Since Elliot is preparing a presentation, the important thing is for him to understand are the dos and the don ts as per the french culture as far as communication is concerned.

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ROI, Residual Income, and EVA with Different Bases Envision Company has a target return on capital of 12 percent. The following
lara [203]

Answer:

a. ROI = income / Assets      

                                      Book Value       Current Value    

Software Division              0.175              0.13    

Consulting Division           0.164              0.182    

Venture Capital Division   0.093            0.088

<u>Workings:</u>

i. Book value

Software Division = 12,250/70,000=0.175

Consulting Division = 16,400/100,000=0.164  

Venture Capital Division = 56,730/610,000 =0.093

ii. Current value

Software Division = 11,700/90,000=0.13

Consulting Division = 20,020/110,000=0.182

Venture Capital Division= 51,920/ 590,000=0.088

b. Residual income = Income - {Asset x Return on capital 12% }

                                      Book Value       Current Value    

Software Division              3850              900    

Consulting Division           4400              6820    

Venture Capital Division   -16470           -18880

<u>Workings:</u>

i. Book value

Software Division = 12,250-(70,000*12%)=3850

Consulting Division = 16,400-(100,000*12%)=4400  

Venture Capital Division = 56,730-(610,000*12%) =-16470

ii. Current value

Software Division = 11,700-(90,000*12%)=900

Consulting Division = 20,020-(110,000*12%)=6820

Venture Capital Division= 51,920-(590,000*12%)=-18880

c. Economic Value Added ( EVA ) = Net Income After Tax - ( Amount of Capital x Weighted Average Cost of Capital [WACC] )

C.                     Software Division  

                            (Value Base)  

                                    Book            Current

Sales                           100,000          100,000

Income                          12,250           11,700

Assets                           70,000          90,000

Liabilities                      10,000           10,000

Capital invested           60,000          80,000

(Asset - Liabilities)

Tax on Income(30%)     3675            3510

Income after Tax            8,575           8,190

(Income - Tax on

income) (A)

Capital invested             6,000           8,000

* WACC - 10% ) (B)

EVA (C)=(A)-(B)                2,575            190

                       Consulting Division

                            (Value Base)

                                     Book            Current

Sales                         200,000        200,000

Income                        16,400           20,020

Assets                         100,000        110,000

Liabilities                      14,000         14,000

Capital invested           86,000       96,000

(Asset - Liabilities)

Tax on Income(30%)     4920            6006

Income after Tax           11,480           14,014

(Income - Tax on

income) (A)

Capital invested           8,600            9,600

* WACC - 10% ) (B)

EVA (C)=(A)-(B)              2,880            4,414

                     Venture Capital Division

                           (Value Base)

                                   Book            Current

Sales                        800,000       800,000

Income                      56,730          51,920

Assets                       610,000        590,000

Liabilities                    40,000         40,000

Capital invested        570,000        550,000

(Asset - Liabilities)

Tax on Income(30%)    17019          15576

Income after Tax          39,711         36,344

(Income - Tax on

income) (A)

Capital invested           57,000       55,000

* WACC - 10% ) (B)

EVA (C)=(A)-(B)              -17,289       -18,656

8 0
3 years ago
A likely analytical procedure to test the accuracy of purchase discounts would be to compute the ratio of cash discounts earned
NikAS [45]

A likely analytical procedure to test the accuracy of purchase discounts would be to compute the ratio of cash discounts earned to : Purchase

<h3>What is Purchase Discount?</h3>

Purchase discount is deducted to the total purchases when computing for the net purchases. This account has a normal balance of credit and decreases the total amount of cost of goods sold.

<h3>What is Analytical procedures ?</h3>

Analytical procedures refer to study of significant ratios and past trends and investigating unusual fluctuations.

Under analytical review procedures, an auditor compares financial information of the current period with those of the previous periods, applying techniques of ratio analysis and investigating the causes of unusual fluctuations and deviations.

Therefore, we can conclude that the correct option is C.

Your question is incomplete, but most probably your full question was:

A likely analytical procedure to test the accuracy of purchase discounts would be to compute the ratio of cash discounts earned to:

a. accounts payable

b. notes payable

c. purchases

d. sales discounts

Learn more about Analytical procedures on:

brainly.com/question/16370850

#SPJ4

8 0
2 years ago
An investment project provides cash inflows of $600 per year for eight years.
I am Lyosha [343]

Answer:

(i) 2.71 years

(ii) 5.38 years

(iii) Never or 0

Explanation:

1. Payback period:

= Initial cost ÷ cash inflows

= 1625 ÷ 600

= 2.71 years(Approx).

2. Payback period:

= Initial cost ÷ cash inflows

= 3225 ÷ 600

= 5.38 years(Approx).

3. The payback period for an initial cost of $5,100 is a little trickier.

Notice that the total cash inflows after eight years will be:

= 8 × $600

= $4,800

Payback period

= Initial cost ÷ cash inflows

= 5100 ÷ 600

= 8.5

This answer does not make sense since the cash flows stop after eight years, so again, we must conclude the payback period is never.

7 0
4 years ago
What is compund interest?
dlinn [17]

Answer:

compound interest- interest calculated on the initial principal, which also includes all of the accumulated interest of previous periods of a deposit or loan.

Explanation:

4 0
4 years ago
Read 2 more answers
Jerry, a partner with 30 percent capital and profits interest, received his Schedule K-1 from Plush Pillows, LP. At the beginnin
GarryVolchara [31]

Answer:

$63,500

Explanation:

Calculation to determine Jerry's adjusted basis in his partnership interest at the end of the year

Using this formula

Partnership interest adjusted basis =Partnership interest+Cash contribution+Long-term capital gain+Qualified dividends -Reduction in partnership debt -Non-deductible expenses-Reported an ordinary loss

Let plug in the formula

Partnership interest adjusted basis=$42,000+ $28,000 + $4,800 + $3,800 - $5,800 - $2,300 - $7,000

Partnership interest adjusted basis = $63,500

Therefore Jerry's adjusted basis in his partnership interest at the end of the year will be $63,500

7 0
3 years ago
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