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eimsori [14]
3 years ago
8

Which of the following is not an advantage of ROI?

Business
1 answer:
dmitriy555 [2]3 years ago
7 0

Answer:

 (A) It encourages managers of departments with high ROIs to invest in average ROI projects.  

Explanation:

The full form of ROI is Return of investment. Generally, ROI is used by different organizations to find out the profit from the expenditure. By using the concept of return of investment the organization can save money as well as time.ROI also helps to explore and measure potential returns on various investment opportunities

Therefore answer is a.

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Riemer, Inc. has four departments. Information about these departments is listed below. Maintenance is a service department. If
Norma-Jean [14]

Answer:

a. $3,520.

Explanation:

The computation of the amount of maintenance cost allocated to the Cutting Department is given below:

= maintenance cost ÷ total floor space excluding maintenance cost

= $20,000 ÷ 6,250 × 1,100

= $3,520.

hence, the option is A.$3,520.

The 6,250 comes from

= 1,100 + 2,100 +  3,050

= 6,250

8 0
3 years ago
The Reading Co. has adopted a policy of increasing the annual dividend on its common stock at a constant rate of 3 percent annua
kicyunya [14]

Answer:

$1.07

Explanation:

In this question ,we use the formula which is shown below:

A = P × (1 + r ÷ 100)^n

where,

P = Present value $0.90

A = Future value

rate =3%

number of years = 6

Now put these values to the above formula

So, the value would be equal to

= $0.90 × (1 + 3%)^6

= $0.90 × 1.03^6

= $0.90 + 1.194052

= $1.07

We considered all the items so that the correct dividend can come

7 0
3 years ago
By lowering production costs, _____ help domestic producers compete against foreign imports. subsidies duties quotas tariffs
MrRa [10]
By dropping production costs, subsidies aid domestic manufacturers strive in contrast to foreign imports and attainment export markets. Subsidies proceeds many forms as well as cash grants, low interest loans, tax breaks and government equity contribution in domestic companies. Government subsidies should be paid for or usually by taxing people and businesses. The biggest protectors of the agricultural subsidies are the industrialized nations of the world and the consequence of subsidies is subsidies protect inefficient domestic producers. Conferring to the strategic trade policy, subsidies can assist a company to attain a first mover benefit in an developing industry. Non-tariff obstructions which comprise of subsidies, quotas, voluntary export restraints and anti dumping duties. 

4 0
3 years ago
The following information pertains to Lightning Inc., at the end of December: Credit Sales $ 20,000 Accounts Payable 10,000 Acco
OLEGan [10]

Answer:

Lightning Inc.

Computation of Bad Debts Expense:

7% of $7,500 =   $525

21% of $1,600 =    336

46% of $1,300 =   598

Total                 $1,459

Explanation:

a) Data and Calculations:

Credit Sales $ 20,000

Accounts Payable 10,000

Accounts Receivable 10,400

Allowance for Uncollectible Accounts 400 credit

Cash Sales 20,000

Lightning uses the aging method and estimates it will not collect 7% of accounts receivable not yet due, 21% of receivables up to 30 days past due, and 46% of receivables greater than 30 days past due.

The accounts receivable balance of $10,400 consists of $7,500 not yet due, $1,600 up to 30 days past due, and $1,300 greater than 30 days past due.

Age Analysis of Accounts Receivable balance of $10,400

                  Not yet due     up to 30 days         greater than 30

                                               past due              days past due

Percentage         7%                         21%                  46%

Balance           $7,500                  $1,600               $1,300

Bad debts          $525                     $336                 $598

Bad debts Expense = $1,459            

6 0
3 years ago
How useful is GDP as an economic indicator? Answer in 4-6 sentences.
kherson [118]

Answer:

it represents the value of all goods and services produced over a specific time period within a country's borders.

Economists can use GDP to determine whether an economy is growing or experiencing a recession.

Investors can use GDP to make investments decisions

a bad economy means lower earnings and lower stock prices.

Explanation:

good luck

4 0
2 years ago
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