Which of the following criteria is important when identifying a potential

The new CFO thinks that inventories are excessive and could be lowered sufficiently to cause the current ratio to equal the indu

yan [13]

Answer:

4.50%

Explanation:

Note:<em> Question is incomplete but very similar one is attached as picture below</em>

Current ROE = Net Income / Equity = $21,000 / $280,000 = 7.50%

Current Inventory = $210,000

Target Current ratio = 2.70

1. Current assets at target Current ratio = Current Liabilities * Target current ratio = $70000 * 2.70 = $189,000

2. Reduction in Inventories = Present Current assets - Current assets under target current ratio

Reduction in Inventories = $14000 + $70000 + $210000 - $189000

Reduction in Inventories = $105000

3. Reduction on common equity using sale of inventory = Current Equity - reduction

Reduction on common equity using sale of inventory = $280,000 - $105,000

Reduction on common equity using sale of inventory = $175,000

4. Change in ROE = New ROE - Current ROE

Change in ROE = [21000 / 175000] - 7.50%

Change in ROE = 12% - 7.50%

Change in ROE = 4.50%

4 0

2 years ago

Robert has a monthly income of $1,650.00. His monthly mortgage payment is $675.00. What percentage of his income does Robert spe

makkiz [27]

Answer:B.40.9%

Explanation:

If $675 spend on mortgage and his monthly income is $1650

So the percentage will be:

$675 / $1650 × 100

= 0.409 ×100

= 40.9%

6 0

3 years ago

Four ways by which your choice of reading material can affect your writing

Liula [17]

What you read directly affects how you write. If you don’t have time to read, you won’t have the tools to write either. Readers understand how reading affects writing positively. Readers understand thoughts and learn how to structure those thoughts into a sentence. Readers also understand words and the connection they make with thoughts. Writing often comes naturally to avid readers because they understand the connection between thoughts and words.

How Reading Affects Writing
These are just some of the ways reading can help make you a better writer.
Structure
Readers are accustomed to structuring sentences. They have seen good sentence structure so many times that it starts to come naturally to them. A lot of this also depends on the quality of material you are reading. Readers are also used to seeing writers use different styles of writing. They learn to play around with different writing styles and use them according to the mood of the piece being written.

Grammar
Good grammar automatically makes sense to avid readers. They understand how different figures of speech fit together. They understand punctuation and how one comma or apostrophe can change the whole meaning of the sentence. Grammar can be improved through reading which then shows through in your writing too.
Understand the Thoughts of the Writer
Frequent readers are able to understand the thoughts of the writer. They are able to transport themselves and visualize what the author is saying through his words. Being able to understand thoughts is a great asset while writing. It helps you become the author you want to be.
Vocabulary and Creativity
Good readers have seen so much diverse content that they know how to make writing interesting. They understand the level of creativity required as a writer to be able to transport your audience to the scene you are describing. Such creative and powerful writing can only be made possible with the aid of great vocabulary.
Apart from reading with the goal of becoming a great writer, reading is also a great de-stressing agent. Unlike television where you actually see what’s going on, reading allows you to be your own director of the scene and allows your imagination to run wild.

7 0

2 years ago

An individual's ecological footprint is equivalent to the:

makkiz [27]

Answer: option D is correct

Explanation:

This is the biologically productive land that can sustain the individuals activities. It takes into account resources needed to produce goods and clean up it's waste.

7 0

2 years ago

Inventory Ratio Calculations

tatuchka [14]

Answer:

Inventory Turnover Ratio for 2008= 3.223 Times

Inventory Turnover Ratio for 2009= 3.91 times

Explanation:

Inventory Turnover Ratio= Cost of Goods Sold / Average Inventories

Inventory Turnover Ratio for 2008= $632,000/ $201,000 + 191,100/2

Inventory Turnover Ratio for 2008= $632,000/196,050

Inventory Turnover Ratio for 2008= 3.223 times

Inventory Turnover Ratio for 2009= $ 731,000/191,100 + 182,600/2

Inventory Turnover Ratio for 2009= $ 731,000/ 186,850

Inventory Turnover Ratio for 2009= 3.91 times

7 0

3 years ago