Answer:
Osaka ROI is 28%
Yokohama ROI is 18%
Explanation:
The formula for return on investment =net income/average operating assets*100
For Osaka division:
net income is $749,000
average operating assets is $2,675,000
return on investment=$749,000/$2,675,000*100
=28%
For Yokohama
net income is $3,330,000
average operating assets is $18,500,000
return on investment=$3,330,000/$18,500,000
=18%
Even though Yokohama has a higher net operating income ,the Osaka division recorded a better performance using ROI as a performance metric,which shows profit computation is an absolute figure which does not consider the amount of resources invested in order to earn the profit
Answer:
False
Explanation:
The statement is false: because
As provided the doctors are identical and even there parents cannot differentiate properly and are mistaken sometimes.
As the doctors practice across the hall, that is the same place, any customer if there is an increase in fee of Doctor 1 will substitute his doctor, into another, as both are common with knowledge, and practice.
This will lead to fall of customers or patients at a change of fees, to another doctor.
Thus the price elasticity of demand is infinite, as all customers might be loosed.
Therefore, the statement is false.
Answer:
profit-sharing
Explanation:
As in the partnership, the profit and losses are shared between the partners in their profit losses sharing ratio so the profit sharing plan deals in the same thing if the compensation is distributed so it would be distributed based on the profit sharing plan so that everyone can get their share and according to that the work can done in a smoothly manner
Answer:
Annual lease payment = $6874.69
Explanation:
Computation of annual rental payment:
Residual value = 28000
present value (6%,4Yr) = 0.79209
Present value = 28000 x 0.79209
present value of residual value = $22178.52
Fair value of machine = $46000
Less: present value of residual value =22178.52
Amount recover from lease = Fair value of machine minus present value of residual value
Amount recover from lease = $46000 - $22178.52
Amount recover from lease = $23821.5
Annual lease payment = Amount to be recover from lease divided by present value Annuity factor (6%,4yr)
Annual lease payment = 23821.5/3.46510
Hence,
Annual lease payment = $6874.69
Answer:
9.2%
Explanation:
expected return of the investment = potential return x chance of each return happening
Expected return of the investment:
- 20% chance of occurring x 30% potential return = 0.2 x 30% = 6%
- 50% chance of occurring x 10% potential return = 0.5 x 10% = 5%
- 30% chance of occurring x -6% potential return = 0.3 x -6% = -1.8%
- total expected return = 9.2%
