Answer:
The correct answer is: Retaining a higher percentage of earnings will result in a lower growth rate.; Long-run earnings growth will decrease when firms retain earnings and reinvest them in the business.
Explanation:
In the first statement, a deliberate action is shown that consists of the capitalization of the entity, that is, the equity is accumulated in order to distribute it among the shareholders and leave a part to support the company. In the second statement, it means that the positive results of the company will not be seen in the long term due to management's dispositions to execute a policy to capitalize the entity and improve its cash flow by reinvesting the perceived resources.
Answer:
$1,500
Explanation:
Investment interest expenses = Interest Income + Non qualifying dividends
Investment interest expenses = $500 + $1,000
Investment interest expenses = $1,500
$1,500 < $2,500 (Investment interest expenses)
The long term capital gains are not considered in investment income because this income is taxed at a preferential rate. Hence, the Investment interest expenses deduction for the year is $1,500.
Answer:
Answer is given in the explanation
Explanation:
1. Racial predisposition; this research violates very basic ethical code of racial discrimination. There is no way that a researcher can be allowed to target a specific group of people based on their biological race. This type of discrimination hinders the authenticity of research and have far reaching repercussions for the target group as well as the whole society.
2. Electroshock therapy; this research’s target population is preteens and adolescents, experimenting such an extreme punishment on them has no justification. This causes direct harm to the children. Besides the electroshock are used on chronic psychic patients not on general public not even adults let alone the preteens.
3. Health Problems, Diet, and Socioeconomic Status; this research proposal is better than the previous two proposals but it has some ethical regarding the consequences of the publicly published findings. Rather it would be more effective to keep these findings to the policy makers and work for the betterment of the lower status peoples so that they can also eat healthy diet.
Answer:
d. $240.00
Explanation:
Calculation to determine what should the 2005 price be if Thor is to make the same $200,000 profit before income taxes?
2004 CM% = 12.5% ($15/$120)
2005 CM = $2,400,000 ($1,000,000 + $200,000)
2005 CM per unit = $2,400,000/80,000 units
2005 CM per unit= $30 CM per unit;
2005 selling price per unit = $30/.125
2005 selling price per unit= $240
Therefore what should the 2005 price be if Thor is to make the same $200,000 profit before income taxes is $240