Total= $159,552
Giving the following information:
The company has budgeted to sell 15,600 Debs in February.
Sales commissions $ 0.96*15,600= 14,976
Shipping $ 1.46 *15,600= 22,776
Executive salaries $ 60,600
Depreciation on office equipment $ 20,600
Other $ 40,600
Total= $159,552
Answer:
The answer is $7,900
Explanation:
Formula of Residual Income=Net Operating Income-(minimum required rate of return*average operating assets)
Residual income (RI)=$143,700-($970,000*14%)
RI=$7,900
Further we can alsocalculate
Return on investment (ROI)=$143,700/$970,000=14.81%
Answer:
The purposes of the Act and King 111 are, inter alia, to promote compliance with the Bill of Rights as provided for in the Constitution in the application of company law, to encourage transparency and high standards of corporate governance and provide for the balancing of rights and obligations of shareholders
Answer:
Issuing bonds will be the better option for this company. Mainly because they do not like to give up the control of the company or to change its equity structure.
When the bonds are issued, the company gets the money from the investors and has to pay an agreed amount of interest periodically until maturity of the bond, where the company will have to pay the face value of the bonds.
Explanation:
Answer:
Reserve price = $55
Expected revenue with a reserve price = $55
Expected revenue without a reserve price = $55
Explanation:
The auctioneer should set the reserve price siguiente:
Reserve price = ($30x0.5) + ($80x0.5) = $15 + $40 = $55
In the case of the expected revenue with the reserve price, only the bidder who has set a $80 value will pay the reservation fee, then the expected revenue will be the reserve fee of $55.
In the case of the expected revenue without the reserve price, both of the bidders will enter the auction for the item. Since the values are equally probable the expected profit without the reservation fee is equally $55.
Hope this helps!
