1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Zarrin [17]
2 years ago
15

It is April 2018 and Mark is a novice investor who wants to decide between purchasing shares in EagleCorp or Myna Bird Inc. In f

iscal year 2017, EagleCorp's return on invested capital (ROIC) was 15 percent, and its cost of capital was 12 percent. During the same period, Myna Bird Inc.'s ROIC was 22 percent and its cost of capital was 25 percent. What does this information tell Mark? Question 1 options: Myna Bird Inc. is more likely to create value while EagleCorp is more likely to destroy value. EagleCorp is more likely to create value while Myna Bird Inc. is more likely to destroy value. Both Myna Bird Inc. and EagleCorp are likely to create value. Neither Myna Bird Inc. nor EagleCorp are likely to create value.
Business
1 answer:
dybincka [34]2 years ago
6 0

Answer:

EagleCorp is more likely to create value while Myna Bird Inc. is more likely to destroy value.

It is April 2018 and Mark is a novice investor who wants to decide between purchasing shares in EagleCorp or Myna Bird Inc. In the fiscal year 2017, EagleCorp's return on invested capital (ROIC) was 15 percent, and its cost of capital was 12 percent. During the same period, Myna Bird Inc.'s ROIC was 22 percent and its cost of capital was 25 percent. Here EagleCorp is more likely to create value while Myna Bird Inc. is more likely to destroy value.

You might be interested in
How many products are in the average supermarket today
Ber [7]

Answer: 47,000 products

Explanation:Altogether, there are nearly 38,000 supermarkets in the United States. Seventy percent of those are conventional grocery stores, with super centers , gourmet stores, warehouse clubs, and military commissaries making up the remaining 30%. the average supermarket has more than 47,000 products.

6 0
3 years ago
Beth and Bob Martin have total take-home pay of $5,000 a month. Their monthly expenses total $4,360. Calculate the minimum amoun
Feliz [49]

Answer:

the minimum amount that required to create an emergency fund is $13,080

Explanation:

The computation of the minimum amount that required to create an emergency fund is as follows:

= Monthly expenses × minimum months

= $4,360 × 3 months

= $13,080

hence, the minimum amount that required to create an emergency fund is $13,080

The same is relevant and considered too

8 0
2 years ago
Erica transfers land worth $500,000, basis of $100,000, to a newly formed corporation, Robin Corporation, for all of Robin's sto
valentinak56 [21]

Answer:

Robin Corporation has a basis of $300,000 in the land.

Explanation:

Options are <em>"a. Erica does not recognize gain.  b.  Erica recognizes gain of $400,000.  c.  Robin Corporation has a basis of $100,000 in the land.  d. Robin Corporation has a basis of $300,000 in the land.  e.  None of the above."</em>

<em />

Erica has a recognized gain of $200,000 which is the amount made payable to her through her receipt of the securities in Robin Corporation. The basis of the land to Robin would be equals to the basis Erica has in the land, $100,000 plus gain recognized by Erica $200,000 or $300,000.

5 0
2 years ago
Country Club Center sells season memberships for $100 each. Prior to May 1, 2017, 60 season memberships were sold. The season ru
Vlada [557]

Answer:

$1,500

Explanation:

Since the season lasts 4 months, the membership fees must be recognized over the whole 4 month period, that means that the club must recognize $100 / 4 = $25 per month per membership sold.

The company sold 60 season memberships, so it must recognize 60 x $25 = $1,500 in revenues.

6 0
2 years ago
What are durable goods?
JulsSmile [24]
They're the opposite of perishable goods. 

Meaning, that durable goods can be left on the shelf for a while, and don't need to be imediately consumed.

Hope this helps!
6 0
3 years ago
Other questions:
  • When a multinational firm decides to sell its products abroad, one of the risks the firm faces is that the government of the for
    13·1 answer
  • Middleton Corporation uses the normal costing system to determine the amount of overhead to be applied to production. The predet
    9·1 answer
  • Property, plant, and equipment and intangible assets are:
    14·1 answer
  • A,B,C, or D on 8-10__________
    7·1 answer
  • Net income was $240,000 for the year. Throughout the year the company had outstanding 12,000 shares of 6%, $50 par value preferr
    15·2 answers
  • Kawamura, a careful utility maximizer, consumes peanut butter and ice cream. Assume that both peanut butter and ice cream are no
    8·1 answer
  • Calculate the arithmetic average returns for large-company stocks and T-bills over this period. (Do not round intermediate calcu
    5·1 answer
  • I need help!!!! Someone please lemme know what I need to do!!!!
    14·1 answer
  • Your company is building a new office site in a different state. You want to show your board members the progress of constructio
    13·1 answer
  • A ________Blank identifies that a firm has legally registered its brand name or trade name so the firm has its exclusive use, th
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!